{
    "ucits": true,
    "type": "ETF",
    "leverage": true,
    "derivatives": true,
    "swaps": true,
    "inverse": false,
    "replication_method": "synthetic",
    "complex_factors": "Leverage, Synthetic replication, Derivatives, Compounding effect, Structured exposure",
    "classification": "complex",
    "supporting_data": "The product is a Leverage Shares 3x Long India ETP Securities, which is a collateralised exchange traded security (ETP), not a UCITS ETF. It provides 3 times the daily performance of the iShares MSCI India ETF, implying significant leverage (3x) and daily rebalancing, which introduces a compounding effect that can cause returns to deviate significantly from the underlying index over longer holding periods. The product uses derivatives integral to its investment objective to achieve leveraged exposure, including swaps or similar instruments, which introduces counterparty and collateral risks. The product is explicitly described as non-interest bearing and not principal protected, with a very high risk rating (7/7), and is intended for sophisticated investors with a very short holding period (recommended 1 day). The structure is synthetic replication, relying on derivatives rather than physical holding of underlying securities. The complexity is further increased by the leverage and the compounding effect, which retail investors with basic knowledge are unlikely to fully understand. According to MiFID II Article 25(4)(a)(vi) and Article 57 of the Delegated Regulation, such leveraged, synthetic, derivative-based products are classified as complex. The product also carries a mandatory comprehension alert in its KID, confirming its complex status. Therefore, despite being an exchange traded product, it is not a UCITS ETF and is complex due to leverage, synthetic replication, derivative use, and the associated risks and payoff structure."
}