{
    "ucits": false,
    "type": "ETC",
    "leverage": true,
    "derivatives": true,
    "swaps": false,
    "inverse": false,
    "replication_method": "synthetic",
    "complex_factors": "Leverage, Derivatives, Complex Indices, Compounding Effects, Futures Roll Costs, High Risk Profile",
    "classification": "complex",
    "supporting_data": "The WisdomTree Gold 2x Daily Leveraged ETC is not a UCITS product, but a Jersey law governed, uncertificated, registered, collateralised debt security. It provides 2x daily leveraged exposure to gold via futures contracts, which are derivatives. The product's performance is linked to the Bloomberg Gold Sub Excess Return Index, and the leverage is reset daily, introducing compounding effects and futures roll costs that can significantly impact returns over periods longer than one day. The product is classified as the highest risk (7/7) and is intended for informed retail investors who can bear loss of capital and have specific knowledge or experience in similar products. The use of leverage and derivatives (futures) is central to the product's strategy, not merely for efficient portfolio management. The structure, risks (including market, currency, issuer, and liquidity risks), and the complexity of the underlying index and futures strategy make it difficult for a retail investor with basic knowledge to understand the product's payoff and risks. These featuresu2014leverage, derivative use, complex index, compounding, and roll costsu2014are all factors that, under MiFID II Article 57 and ESMA guidance, render the product complex, requiring an appropriateness assessment before sale to retail clients."
}