A manager is holding a $1 million stock portfolio with a beta of 1. She would like to hedge the risk of the portfolio using the Samp;P 500 stock...

A manager is holding a $1 million stock portfolio with a beta of 1.25. She would like to hedge the risk of the portfolio using the S&P 500 stock index futures contract. How many dollars’ worth of the index should she sell in the futures market to minimize the volatility of her position?