{
    "leverage": true,
    "derivatives": true,
    "swaps": false,
    "inverse": false,
    "replication_method": "physical",
    "ucits": false,
    "type": "ETP",
    "complex_factors": "Leverage, Derivatives, Compounding Effect, High Risk Profile, No Capital Protection, Not UCITS Compliant",
    "classification": "complex",
    "supporting_data": "The Leverage Shares 2x Microsoft ETP Securities are not UCITS-compliant and are explicitly described as intended for sophisticated investors due to their leveraged structure, which provides 2 times the daily performance of the underlying asset. This leverage introduces a compounding effect that can significantly alter returns over time, especially in volatile markets, and is not easily understood by retail investors. The product uses derivatives (implied by the leveraged structure) to achieve its objective, and while the replication method is physical (holding the underlying asset and cash), the use of leverage through daily rebalancing is central to the strategy. The product carries a high risk indicator (6 out of 7), offers no capital protection, and is not covered by any investor compensation scheme. The KID includes a comprehension alert, indicating the product is not simple and may be difficult to understand. These featuresu2014significant leverage, derivative use for the core strategy (not just risk management), high risk, lack of capital protection, and targeting sophisticated investorsu2014collectively make this ETP complex under MiFID II, as it fails the criteria for non-complex instruments (Article 57 of Delegated Regulation (EU) 2017/565) and is not eligible for the UCITS presumption of non-complexity."
}