(1) A responsible person shall ensure that the following are included in the KIID:
(a) where a UCITS is established as an index-tracking UCITS, the KIID shall include, in summary form, information on how the index will be tracked and the implications of the chosen method for unit holders in terms of their exposure to the underlying index and counterparty risk;
(b) where a UCITS is established as an index-tracking leveraged UCITS, the KIID shall include, in summary form, the following information:
(i) a description of the leverage policy, how this is achieved (i.e. whether the leverage is at the level of the index or arises from the way in which the UCITS obtains exposure to the index), the cost of the leverage (where relevant) and the risks associated with this policy;
(ii) a description of the impact of any reverse leverage;
(iii) a description of how the performance of the UCITS may differ significantly from the multiple of the index performance over the medium to the long term.
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