You have a share portfolio currently worth $100 million. The beta of this portfolio is 0.9. The S&P/ASX200 market index is 7000 and SPI200 futures contracts are quoted at 7150. How many SPI200 futures contracts must be entered to fully hedge your share portfolio?

Note that SPI200 futures contracts have a standard multiplier of $A25. Round your answer to the nearestwholenumber.

Select one:

503 contracts

514 contracts

559 contracts

571 contracts

12587 contracts

12857 contracts