Information on your stock portfolio is given as Current portfolio value $1,000,000 Portfolio market beta 1 0 Current S P 500 index 2,500 What action is needed today to insure against your portfolio value dropping below $900,000 in 2 years Group of answer choices Buy 400 2 yr S P500 put options with...

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Information on your stock portfolio is given as: Current portfolio value $1,000,000 Portfolio market beta 1.0 Current

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Information on your stock portfolio is given as:

Current portfolio value	$1,000,000
Portfolio market beta	1.0
Current S&P 500 index	2,500

What action is needed today to insure against your portfolio value dropping below $900,000 in 2 years?

Group of answer choices

Buy 400 2-yr S&P500 put options with strike price of 2,000.

Buy 800 2-yr S&P500 put options with strike price of 2,000.

Buy 400 2-yr S&P500 put options with strike price of 2,250.

Buy 800 2-yr S&P500 put options with strike price of 2,250.

Related Book For answer-question

Fundamentals of Managerial Economics

ISBN: 978-0324584837

9th edition

Authors: Mark Hirschey

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Posted Date: Dec 20, 2022 11:39 PM

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Information on your stock portfolio is given as: Current portfolio value $1,000,000 Portfolio market beta 1.0 Current

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Fundamentals of Managerial Economics

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