Financial Risk Management (FRM): Excel & Python Course - Equity Futures Explained: Financial Risk Management & Portfolio Hedging

Join Ryan O'Connell, CFA, FRM, as he explains how equity futures contracts can be powerful tools for financial risk management and portfolio hedging. Discover the fundamental concepts of equity futures, including their key uses in adjusting portfolio beta and managing investment risk. Learn the essential formula for calculating the optimal number of futures contracts needed to achieve your desired market exposure. Through a detailed portfolio hedging example, see how to effectively implement equity futures strategies to increase or decrease your portfolio's beta, making this complex topic accessible for finance professionals and students alike. 🎓 *Get 25% Off CFA® Courses (Featuring My Videos!) — Use code RYAN25 here:* 👉 https://ryano.finance/cfa Chapters: 0:00 - Equity Futures Contracts Defined 0:45 - Uses for Equity Futures Contracts 3:02 - # of Futures Contracts Formula 4:54 - Portfolio Hedging Calculation Example *Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.