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The S&P 500 futures price for March delivery is 3,087 and the margin requirement is 10% of the futures price times the multiplier of $250.
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The S&P 500 futures price for March delivery is 3,087 and the margin requirement is 10% of the futures price times the multiplier of $250.
a. How much must you deposit with your broker to trade the contract? b. If price were to increase to 3,100, what would be the percentage return to the long side of the contract? c. If the futures price falls by 1%, what is your return?
The S&P 500 futures price for March delivery is 3,087 and the margin requirement is 10% of the futures price times the multiplier of $250.
a. How much must you deposit with your broker to trade the contract? b. If price were to increase to 3,100, what would be the percentage return to the long side of the contract? c. If the futures price falls by 1%, what is your return?Step by Step Solution
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