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6. A company has a $15 million portfolio with a beta of 1.1. It would like to use forward contracts on a stock index to

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6. A company has a $15 million portfolio with a beta of 1.1. It would like to use forward contracts on a stock index to hedge its risk. The index forward is currently standing at 1050, and each contract is for delivery of $240 times the index. What is the hedge that minimizes risk? What should the company do if it wants to reduce the beta of the portfolio to 0.6

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