Stock index futures refer to financial futures contracts with the stock price composite index as the subject matter in the securities market. Investors take advantage of the same direction of stock price and stock index changes to take the opposite direction in the spot and futures markets to reduce and offset the unfavorable factors of price changes and hedging. The specific operation is:

(1) shares are long. In order to hedge, according to the principle of hedging, short contracts should be sold.

(2) Determine how many contracts are sold, multiply the beta coefficient of the stock portfolio by the ratio of the total market value of the stock portfolio to the value of each contract, and round off the calculated data processing value.