{
    "type": "ETP",
    "ucits": false,
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": true,
    "leverage": true,
    "inverse": false,
    "complex_factors": [
        "Leverage",
        "Swap usage",
        "Synthetic replication",
        "Collateralised structure",
        "Daily reset compounding effect"
    ],
    "classification": "complex",
    "supporting_data": "The GraniteShares 3x Long BP Daily ETP is a collateralised exchange traded product that seeks to replicate 3 times the daily performance of BP p.l.c. via the Solactive Daily Leveraged 3x Long BP PLC Index. The product uses a swap agreement with Natixis as the swap provider, indicating synthetic replication. The swap is collateralised with assets held in a segregated account, confirming counterparty exposure and derivative counterparty risk. The product explicitly uses leverage (3x daily leverage) and has a daily reset mechanism causing compounding effects, which increases complexity. The risk indicator is at the highest level (7/7), reflecting very high risk and complexity. The product is not UCITS compliant, which often implies fewer investor protections and more complex structures. The KIID states the product is 'not simple and may be difficult to understand' and is intended for investors with specific knowledge and experience. There is no capital protection, but the product carries significant counterparty risk due to the swap structure. Costs include ongoing fees related to managing the swap and collateral. The product\u2019s return deviates from a simple multiple of the underlying asset over periods longer than one day due to the daily reset and compounding effect, adding to complexity. All these factors combined lead to a classification as a complex financial instrument under MiFID II."
}