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(Stock Hedging) A company has a $ 5 million portfolio with a Beta of 0.9 , and it will hedge with S&P 500 futures. The

(Stock Hedging) A company has a $ 5 million portfolio with a Beta of 0.9 , and it will hedge with S&P 500 futures. The index Futures is currently at 4000, and each contract is for delivery of 250 index units.

What is the optimal # of Contracts to fully hedge risk AND say LONG or SHORT

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