{
    "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 Japan USD Hedged UCITS ETF is a UCITS-compliant ETF that aims to track the MSCI Japan 100% Hedged to USD Net TR Index through physical replication techniques, including holding equity securities and using FX forward contracts solely for currency hedging purposes. The derivatives used (FX forwards) are for efficient portfolio management (EPM) to hedge currency risk and do not form an integral part of the investment objective or introduce complex payoff structures. There is no indication of synthetic replication, embedded derivatives, leverage beyond UCITS limits, or complex structured products such as CLOs. Securities lending is employed but managed within UCITS rules and does not dominate the risk profile. The ETF tracks a transparent, well-documented equity index, and the structure and risks (market volatility, tracking error, currency hedging) are straightforward and understandable by retail investors with basic knowledge. According to MiFID II Article 25(4)(a)(iv) and Article 57 criteria, UCITS ETFs that use physical replication and derivatives only for EPM with minimal risk impact are classified as non-complex. The ETF does not embed derivatives that would trigger complexity, nor does it have features such as leverage or capital protection structures that would increase complexity. Therefore, under MiFID II and ESMA guidelines, this ETF is classified as non-complex."
}