QUESTION: How you used the Futures contract to hedge your initial equity portfolio position against a possible market decline. Provide calculations as necessary.

Note:

Please use the Futures contract price on the E$-$Mini S&P $500$ Future Continuous Contract.

I bought the future contract of SPTN $($on Nasdaq$)$ from $7$ May $2024$ to $10$ May $2024($starting on $7$ May $2024).$ Calculate and explain how I used the Futures contract to hedge our initial equity portfolio position against a possible market decline. Provide calculations as necessary.

Give you more data if you need to calculate for Future contract in my case:

At the beginning, we have $$1,000,000$ to invest including initial portfolio $($passive$)$ and additional portfolio $($active$).$ SPTN stock price when I purchased future contract $$19\mathrm{.}73$ on $7$ May $2024,$ closing price of SPTN on $7$ May $2024$ was $$19\mathrm{.}59,$ closing price of SPTN on $10$ May $2024$ was $$20\mathrm{.}35$

My initial equity portfolio $($starting on $7$ May $2024)$ includes $5$ stocks: AZN, CSCO, EBAY, NVEC, SPTN $($I want to hedge for SPTN$).$ Weight of each stock in initial portfolio on $7$ May $2024$: AZN: $36,5\%,$ CSCO: $29,2\%,$ EBAY: $22,11\%,$ NVEC: $7,39\%$ and SPTN: $4,80\%,$ and return of each stock on $10$ May $2024$ compared to $7$ May $2024$: AZN: $1\mathrm{.}52\%,$ CSCO: $1\mathrm{.}71\%,$ EBAY: $2\mathrm{.}94\%,$ NVEC: $-1\mathrm{.}69\%$ and SPTN: $1\mathrm{.}57\%.$

I need you to calculate specifically to hedge our initial equity portfolio position against a possible market decline and also the premium cost $($cost of future$)$ because after that I have to calculate the net portfolio return taking into account the hedging transactions. So calculate all the calculations you can relate to Future Contract $($such as margin requirement, etc$)$ in my case in numbers and give me the specific answer, please.

This case means you imagine you bought Future contract on May $72024($e$.$g$.$ my first trading day$),$ and you do not know anything about the result after May $72024,$ you just know the expiration date was on $10$ May $2024.$ As all information above, Calculate all calculations in numbers. You can find more relevant data on $7$ May $2024$ if you need more to calculate Future contract, please