Alex is managing a portfolio worth $4,000,000. The portfolio has a beta of 1 relative to the S&P500 index. Alex is worried about a drop in the value of the portfolio in the next three months and decides to use a 3-month put options on the S&P500 with a strike rate of 3600. The current value of the S&P500 is 4000. Contract size of each option is 100 times the index. The cost of the put