Page 1 of 1

You manage a $50 million stock portfolio with a beta of 1.2. Given a contract size of $99,000 for a stock index put opti

Posted: Thu Apr 28, 2022 1:54 pm
by answerhappygod
You manage a $50 million stock portfolio with a beta of 1.2.
Given a contract size of $99,000 for a stock index put option with
a delta of -0.68, calculate how many put option contracts you will
need to buy to hedge your position.