What was the total value represented by one e-mini

Assignment Help Finance Basics
Reference no: EM13543889

The "big" S&P stock index futures contract trades only "in the pit," whereas the "E-mini" S&P contract trades only electronically. The E-mini contract is worth 1/5 of the value of the "big" contract.

a. Recently, the E-mini contract closed at 2065. What was the total value represented by one E-mini S&P contract as of the day of that close?

b. If you think the S&P index is likely to go up in the near future, would you buy or sell an E-mini futures contract?

c. Based on the margin requirements given at:

https://insigniafutures.com/futures-education-resources/margins.html

how much initial margin would you have to put up to buy or sell 1 contract?

d. Assume that in two weeks, the contract closes at 2000. What would be your profit or loss, given the action you answered for part b?

e. Assume now that the trade went against you, i.e., the price of the contract goes down instead of up. At what contract price would you have gotten a margin call? How much additional margin will you need to deposit in your account?

Reference no: EM13543889

Questions Cloud

What was the spacecrafts speed at this point in its orbit : The 1st man to orbit the Earth was Soviet cosmonaut Yuri Gagarin, on April 12, 1961. What was the spacecraft's speed at this point in its orbit
Prepare a full fledge internet marketing plan : Please write Your Project Executive Summary and Letter of Transmittal behalf on this proposal - Prepare a full fledge internet marketing plan for the company in order to enlarge the company using internet. There are several benefits of making the b..
How far from the bottom of hill does the box come to rest : A box slides down a frictionless 6.02 m high hill, starting from rest. How far from the bottom of the hill does the box come to rest
Evaluate the concentration of a noncompetitive inhibitor : Calculate the concentration of a noncompetitive inhibitor (Ki=2.9 x 10^(-4) M) needed to yield 90% inhibition of an enzyme-catalyzed reaction.
What was the total value represented by one e-mini : a. Recently, the E-mini contract closed at 2065. What was the total value represented by one E-mini S&P contract as of the day of that close?
Calculate what is the force on the wire : What is the angle between a wire carrying 8.30 A and the 1.20 T field it is in, if 50.0 cm of the wire experiences a magnetic force of 2.80 N, What is the force on the wire
State two net ion chemical reactions : There are six samples without label. Write two net ion chemical reactions that you can use to identify each compound
Find the speed of package just before it reaches the ground : An airplane, flying horizontally at an altitude of 1.83 km at a speed of 346 m/s, releases a package. find the speed of the package just before it reaches the ground
Define the heat of fusion of ice : The heat of fusion of ice is 335 j/g. When 50 gram of ice at 0 degree C is added to 50 gramm of water at 25 degree C, what is the final temperature

Reviews

Write a Review

Finance Basics Questions & Answers

  How much would you have in 15yrs

If you can earn 8% each year,how much would you have to save each year if you want to retire in 35yrs with $2million?

  Determine the price expressed as a percentage of the face

the following table summarizes the yields to maturity on several one-year zero-coupon securities securityyield

  Calculate the dollar cost of each of the proposed plans

Calculate the dollar cost of each of the proposed plans for obtaining an initial loan amount of $100,000.

  Find discounted payback period for the cash flows if

an investment project has annual cash inflows of 3600 4500 5700 and 4900 and a discount rate of 15 percent.what is the

  What are the advantages and disadvantages of a call

a. starting with your current situation what must you do to ensure an annual retirement income of 60000 starting at age

  Stewart incs latest eps was 350 its book value per share

stewart inc.s latest eps was 3.50 its book value per share was 22.75 it had 215000 shares outstanding and its debt

  Explain how an irrevocable l/c would normally facilitate

Can you think of any alternative strategy that the U.S. exporter could have used to protect itself better when dealing with a Russian importer?

  What rate of return is he expecting

Knut owns NKr27,000 worth of XYZ's shares. What rate of return is he expecting? (Do not include the percent sign (%). Round your answer to 2 decimal places (e.g., 32.16).)

  The current exchange rate today is 130 per euro1 meaning

factsa united states company x has contracted to provide a service to a european company z european company uses the

  What is your estimate of carpetto cost of common equity

Assuming you have equal confidence in the inputs used for the three approaches, what is your estimate of Carpetto's cost of common equity? Round your answer to two decimal places.

  Describe three techniques that build trust and a lasting

1.describe three techniques that build trust and a lasting partnership. give an example for each technique and how it

  Compute depreciation charge

Pemberton Corporation bought a machine costing $300,000 that had an estimate useful life of 6-years and residual value of $18,000. The machine is expected to produce 3,525,000 units during its useful life;

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd