{
    "fund_name": "Leverage Shares 3x Square ETP",
    "type": "ETP",
    "ucits": false,
    "replication_method": "physical",
    "leverage": true,
    "inverse": false,
    "derivatives": false,
    "swaps": false,
    "complex_factors": [
        "Leverage (3x)",
        "Daily rebalancing with compounding effect",
        "High risk profile (Risk level 7/7)",
        "Short-term holding recommendation (1 day)",
        "Potential for significant losses"
    ],
    "classification": "complex",
    "supporting_data": "The product is classified as complex primarily due to its 3x leverage, which magnifies both gains and losses, and the daily rebalancing mechanism that can lead to compounding effects over time. The KIID explicitly states that the product is not simple and may be difficult to understand, and it is intended for sophisticated investors who can monitor their investment frequently. The risk indicator is at the highest level (7/7), and the product carries significant risks including potential total loss of investment. The fact sheet confirms physical replication but with margin usage to achieve the 3x leverage, which introduces additional complexity. While derivatives are not explicitly mentioned, the leveraged structure and daily rebalancing create a complex risk profile that requires specialist knowledge to understand fully. The product's short-term holding recommendation (1 day) and the potential for returns to diverge significantly from the underlying asset's performance over longer periods further contribute to its complexity.",
    "confidence": 95
}