{
    "fund_name": "iShares Edge MSCI World Value Factor",
    "type": "ETF",
    "ucits": true,
    "replication_method": "physical",
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "complex_factors": [
        "Factor-focused index (value factor)",
        "Optimised replication techniques (may include limited derivatives)",
        "Counterparty risk from securities lending"
    ],
    "classification": "non-complex",
    "supporting_data": "The ETF uses physical replication as its primary method and only limited derivatives for optimisation. The index is factor-focused (value) but not inherently complex. While there is counterparty risk from securities lending, this is common in ETFs and does not trigger complexity. The risk profile is rated 6 (medium), but this is typical for equity ETFs. No leverage, inverse strategies, or synthetic replication are used. The PRIIPs KID confirms the product structure is 'physical'.",
    "confidence": 90,
    "counter_argument": "Some might argue the optimised replication and factor focus could indicate complexity, but MiFID II guidance clarifies that standard ETFs using derivatives for efficient portfolio management are typically non-complex. The lack of leverage, inverse strategies, or synthetic replication supports the non-complex classification.",
    "overriding_reason": "The ETF's structure aligns with standard UCITS ETF practices, and the derivative usage is limited to optimisation rather than core strategy. The factor focus does not materially increase complexity beyond typical equity ETFs."
}