{
    "type": "ETP",
    "ucits": false,
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": true,
    "leverage": true,
    "inverse": false,
    "complex_factors": [
        "Leverage",
        "Swap usage",
        "Daily reset compounding",
        "Counterparty risk",
        "Collateralised structure"
    ],
    "classification": "complex",
    "supporting_data": "The GraniteShares 3x Long Square Daily ETP is a collateralised exchange traded product that seeks to replicate 3 times the daily performance of Block Inc. via the Solactive Daily Leveraged 3x Long Square Index. The product uses a swap agreement with Natixis as the swap provider, indicating synthetic replication. The swap is collateralised and backed by assets held at BNY Mellon, confirming counterparty exposure and collateral management risks. The product explicitly uses leverage (3x daily), with daily reset and compounding effects that cause returns over periods longer than one day to deviate significantly from a simple multiple of the underlying asset's returns. The risk indicator is at the highest level (7/7), reflecting very high risk and complexity. The product is not UCITS compliant and is intended for sophisticated investors with specific knowledge. The PRIIPs KID and factsheet both highlight the use of swaps, leverage, counterparty risk, and the complexity of daily compounding leveraged returns. There is no capital protection or principal guarantee. The product is classified as complex due to synthetic replication via swaps, embedded leverage, counterparty risk, and the complexity of the underlying index and return profile. These factors make it difficult for retail investors to understand and assess the risks fully."
}