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Hedging Ansignment for Chopter 3 Download the daily prices of 4 stocks and a stock index which has a futures contract. Compure the daily returns,
Hedging Ansignment for Chopter 3 Download the daily prices of 4 stocks and a stock index which has a futures contract. Compure the daily returns, the individual beta and portfolio beta (i.e., the optimal hedge ratio) of the equally-weighted 4 -stock portfolio using Excel. Suppose you bave invested I million tuit of local currency each in the 4 stocks, compute number of stock index funres contract of that market you need to use in order to hedge your slock portfolio. Whe date: submit the 1xcel file to Ummondle by 21 March 2022. You can also monitor the performance of the hedged stock portfolia on a weekly basis. If the hedge works, the portfolio valve should be very stable. I asses (gains) in the stock portfolio will be offect by gains (losses) in the stock index futures. Hedging Ansignment for Chopter 3 Download the daily prices of 4 stocks and a stock index which has a futures contract. Compure the daily returns, the individual beta and portfolio beta (i.e., the optimal hedge ratio) of the equally-weighted 4 -stock portfolio using Excel. Suppose you bave invested I million tuit of local currency each in the 4 stocks, compute number of stock index funres contract of that market you need to use in order to hedge your slock portfolio. Whe date: submit the 1xcel file to Ummondle by 21 March 2022. You can also monitor the performance of the hedged stock portfolia on a weekly basis. If the hedge works, the portfolio valve should be very stable. I asses (gains) in the stock portfolio will be offect by gains (losses) in the stock index futures
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