{
    "type": "ETP",
    "ucits": false,
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": true,
    "leverage": true,
    "inverse": true,
    "complex_factors": [
        "3x Leverage",
        "Inverse Exposure",
        "Synthetic Replication via Funded Swap",
        "Counterparty Risk",
        "Daily Reset and Compounding Effects"
    ],
    "classification": "complex",
    "supporting_data": "The GraniteShares 3x Short Diageo Daily ETP is a collateralised exchange traded product (ETP) that seeks to replicate -3 times the daily performance of Diageo plc via the Solactive Daily Leveraged 3x Short Diageo plc Index. The product uses a funded swap agreement with Natixis as the swap counterparty, with collateral held at BNY Mellon, indicating synthetic replication. The use of a swap exposes investors to counterparty risk. The product explicitly employs 3x leverage and inverse exposure, with daily resetting of leverage causing compounding effects that make returns over periods longer than one day non-linear and potentially unpredictable. 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 only for sophisticated investors with specific knowledge of leveraged and inverse products. The PRIIPs KID and factsheet confirm the presence of swap fees, collateralisation, and the complexity of daily leverage reset mechanisms. These factors combined clearly classify the product as complex under MiFID II rules."
}