Question: QUESTION 27 Using the information from the previous question:Let's suppose that we wish to hedge the portfolio using index futures. The quote for S&P 500

QUESTION 27

  1. Using the information from the previous question:Let's suppose that we wish to hedge the portfolio using index futures. The quote for S&P 500 e-minis is 3111.75.

    If the market increases 6% how much does our futures position decrease?

    What is our total profit or loss?

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