{
    "fund_name": "Franklin Emerging Markets UCITS ETF",
    "type": "ETF",
    "ucits": true,
    "replication_method": "physical",
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "complex_factors": [
        "Complex Index (LibertyQ Emerging Markets Index)",
        "Emerging Markets Exposure",
        "Counterparty Risk (though minimal due to physical replication)"
    ],
    "classification": "non-complex",
    "supporting_data": "The ETF uses physical replication to track the LibertyQ Emerging Markets Index, which is a complex index based on multi-factor selection (quality, value, momentum, and low volatility). However, the fund itself does not use derivatives for leverage or synthetic replication. The primary complexity lies in the underlying index methodology rather than the fund's structure. The fund is UCITS-compliant, has a straightforward investment objective, and is designed for retail investors with basic investment knowledge. The use of derivatives is limited to efficient portfolio management (hedging and risk reduction), which does not trigger MiFID II complexity classification. The risk profile is clearly communicated, and the fund is passively managed with full replication of the index.",
    "confidence": 90
}