{
    "type": "ETC",
    "leverage": true,
    "derivatives": true,
    "swaps": true,
    "inverse": false,
    "replication_method": "synthetic",
    "ucits": false,
    "complex_factors": [
        "Leverage",
        "Swaps",
        "Complex Indices",
        "Counterparty Risk",
        "Daily Compounding Effect"
    ],
    "classification": "complex",
    "supporting_data": "The WisdomTree Wheat 3x Daily Leveraged ETC exhibits multiple complexity indicators under MiFID II. It uses synthetic replication via fully funded swaps to achieve 3x daily leveraged exposure to the Bloomberg Wheat Sub Excess Return Index. The product's leverage factor (3x) and daily reset mechanism create compounding effects that make performance difficult to predict over longer periods. The KIID explicitly states this is not a simple product and may be difficult to understand, with a maximum risk rating of 7/7. The presence of counterparty risk from swap agreements and the potential for significant tracking error due to futures rolling costs further contribute to its complexity. The product is not UCITS compliant and is only suitable for sophisticated investors who understand leverage and daily rebalancing.",
    "confidence": 95,
    "risk_level": 7,
    "counterparty_risk": true,
    "compounding_effect": true,
    "frequent_disposal_opportunity": true,
    "public_information_availability": true,
    "unlimited_loss_potential": false,
    "comprehension_warning": true,
    "regulatory_notes": "The product carries explicit warnings about its complexity and suitability only for informed investors. The PRIIPs KID reinforces this with a maximum risk rating and stress scenarios showing potential 100% loss. The monthly factsheet confirms the synthetic replication method using fully funded swaps and highlights the risks associated with leverage and counterparty exposure."
}