{
    "fund_name": "WisdomTree STOXX Europe Aerospace & Defence 3x Daily Short",
    "type": "ETP",
    "ucits": false,
    "replication_method": "synthetic",
    "leverage": true,
    "inverse": true,
    "derivatives": true,
    "swaps": true,
    "complex_factors": [
        "3x daily leverage",
        "Inverse exposure",
        "Synthetic replication using swaps",
        "Daily reset compounding effect",
        "High risk profile (7/7)",
        "Short-term trading focus (1-day recommended holding period)",
        "Counterparty risk from swap agreements"
    ],
    "classification": "complex",
    "supporting_data": "The product is a leveraged inverse ETP with 3x daily exposure to the STOXX Europe Aerospace & Defence index. It uses synthetic replication via swap agreements, which introduces counterparty risk. The daily reset mechanism creates compounding effects that make performance unpredictable over longer periods. The product is explicitly stated to be 'not simple and may be difficult to understand,' and is classified as risk level 7/7. The PRIIPs KID warns that it is only suitable for sophisticated investors who understand leverage, daily rebalancing, and compounded returns. The fact sheet confirms the use of a 'fully collateralised swap' structure, which while mitigating some counterparty risk, still introduces complexity. The product's structure and risk profile clearly meet MiFID II criteria for complexity.",
    "confidence": 95
}