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You are managing a pension fund with a value of $510 million and a beta of 1.30. You are concerned about a market decline and

You are managing a pension fund with a value of $510 million and a beta of 1.30. You are concerned about a market decline and wish to hedge the portfolio. You have decided to use SPX calls. How many contracts do you need if the delta of the call option is .65 and the S&P index is currently at 1,250?

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