{
    "ucits": true,
    "type": "ETF",
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "replication_method": "physical",
    "complex_factors": "",
    "classification": "non-complex",
    "supporting_data": "The iShares MSCI China Tech UCITS ETF is a UCITS-compliant ETF that aims to replicate the MSCI China Technology Sub-Industries ESG Screened Select Capped Index by physically holding the underlying equity securities in similar proportions to the index. The ETF uses derivatives only for direct investment purposes to gain exposure to certain emerging market securities and may engage in short-term securities lending to generate additional income. However, these derivative uses are limited and for efficient portfolio management, not integral to the investment objective, thus not triggering complexity. There is no indication of synthetic replication, embedded derivatives, significant leverage, or complex structured products such as CLOs within the ETF. The index tracked is transparent and well-documented, and the ETF's structure and risks (market volatility, tracking error) are straightforward and understandable by retail investors with basic knowledge. According to MiFID II Article 254 and Delegated Regulation EU 2017/565 Article 57, UCITS ETFs that physically replicate transparent indices and use derivatives only for efficient portfolio management with minimal risk impact are classified as non-complex. The ETF does not embed derivatives that would automatically make it complex, nor does it have features such as leverage beyond UCITS limits or capital protection structures that would increase complexity. Therefore, the ETF is classified as non-complex under MiFID II. This aligns with ESMA guidance and industry practice that all UCITS ETFs physically replicating indices and using derivatives only for EPM are non-complex, exempt from appropriateness assessments for retail investors."
}