{
    "success": true,
    "data": {
        "leverage": false,
        "derivates": true,
        "swaps": true,
        "inverse": false,
        "replication_method": "synthethic",
        "ucits": true,
        "type": "ETC",
        "complex_factors": [
            "Synthetic replication using derivatives (Carbon futures contracts) to track the Solactive Carbon Emission Allowances Rolling Futures Total Return Index.",
            "Complexity of the underlying index (Solactive Carbon Emission Allowances Rolling Futures Total Return Index) due to the rolling of futures contracts and the potential for price changes not correlating with the benchmark.",
            "Potential for loss of entire investment in adverse market conditions.",
            "The product's  collateralized structure is likely complex and the description of the product's exposure to the benchmark may not be transparent, given the product does not directly own the underlying securities."
        ],
        "classification": "complex",
        "supporting_data": "The WisdomTree Carbon ETC is designed to replicate the Solactive Carbon Emission Allowances Rolling Futures Total Return Index.  Crucially, the replication method is synthetic, meaning it relies on derivatives (futures contracts) to track the index's performance.  This introduces complexity because the product's assets don't directly match the index's holdings. The use of derivatives for replication introduces counterparty risk (if the derivative provider defaults) and collateral risk (if collateral is insufficient), which are not easily understood by retail investors.  The frequent rolling of futures contracts, and the nature of the underlying index, increases complexity, making its structure difficult for retail investors with basic financial knowledge to understand. The description in the KID explicitly states that the product is not simple and may be difficult to understand."
    }
}