A client wants to hedge a $$5$ million investment they intend to make in money market securities using $90$ day bank bill futures.

Which of the following regarding statements regarding this transaction is correct?

Select one:

The client will need to purchase $50$ contracts to hedge the interest rate risk

The client will need to purchase five contracts to hedge the interest rate risk

The client should sell $50$ contracts to hedge their interest rate risk

The bank bill futures contracts the client trades must be cash settled at maturity

Fyi the answer is not $1)$ pirchase $50$ contracts to hedge the jnterest rate risk and i dont know why