You own a stock portfolio valued at $100000000 where 80 percent of it is listed in the S&P 500 index
Assume that most indicators forecast a bearish market for the next 6 months selling your portfolio today and repurchase it 6 months from today is one alternative to escape a substantial loss but you will incur high commission costs.
Can you come up with another alternative to further reduce your losses given the following information?
S&P level is 1500
Futures S&P 500 contracts are valued at $250 times the index level.
Assuming that the index moves in tandom with your stock portfolio how do you proceed to limit as much as possible your exposure.
Round trip commissions to buy and sell stocks are valued at 1 %

Can anyone help me with this problem please