Kim Long Resources Berhad (KLRB)s forecast monthly crude palm oil production for the June and September quarters as the following table.

Month	Crude Palm Oil (metric tons)
November 2019	8,660
December 2019	8,500
January 2020	9,500
February 2020	10,000
March 2020	7,500
April 2020	15,000

Part of Kim Long Resources Berhad (KLRB) investment portfolio as at 10 October 2019 includes the following:

Investment Type	Amount	Portfolio Beta	Representative Index / Security
US Shares (equities)	US$50m	1.5	S&P 500
Short-term interest-bearing securities (ave. maturity 90 days)	US$40m	0	Euro Dollars

Propose TWO option combination strategies that involve more than one option contract for the US Equities (US$ 50m), for all relevant risks faced by this portfolio. KLRBs management has expressed a desire to retain some of the upside benefits that hedging with options can permit but without paying a lot of money in option premiums. That is, your recommended strategies should provide a reasonably effective hedge but keep the option premium payment limited to a reasonable amount (it does not have to be zero!). As the strategist, it is up to you what you consider reasonable for this purpose. You must also describe the benefits and possible shortcomings of your proposed option strategies. You must use actual option data to illustrate your option strategies and to hypothetically demonstrate their benefits and shortcomings. Calculate the number of contracts required for each strategy and provide the strike prices and total premium costs.