Question: Question 1 below is based on the following information and assumptions: Q1. What position and number of Index Futures contracts are needed to reduce the

Question 1 below is based on the following information and assumptions: Q1. What position and number of Index Futures contracts are needed to reduce the Beta of the above portfolio from 2.3 to 1.1 ? (A) Short 460 Index Futures contracts (B) Short 240 Index Futures contracts (C) Long 460 Index Futures contracts (D) Long 240 Index Futures contracts Answer: Q2. The following question applies to Futures trading in the StockTrak simulation

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