Question 12 2 pts A fund manager has a $20 million equity portfolio with a...
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Question 12 2 pts A fund manager has a $20 million equity portfolio with a beta of 1.25. It would like to use futures contracts on a stock index to hedge its risk. The index futures is currently standing at 7580, and each contract is for delivery of $250 times the index. What should the company do if it wants to reduce the beta of the portfolio to 0.75? Rounding to the nearest integer. Short 5 contracts O Long 5 contracts O Long 11 contracts O Short 11 contracts
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