Correlation Between PT Hanjaya and Stephan

Can any of the company-specific risk be diversified away by investing in both PT Hanjaya and Stephan at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining PT Hanjaya and Stephan into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between PT Hanjaya Mandala and The Stephan Co, you can compare the effects of market volatilities on PT Hanjaya and Stephan and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in PT Hanjaya with a short position of Stephan. Check out your portfolio center. Please also check ongoing floating volatility patterns of PT Hanjaya and Stephan.

Diversification Opportunities for PT Hanjaya and Stephan

0.0

Correlation Coefficient

PT Hanjaya  Stephan

Pay attention - limited upside

The 3 months correlation between PHJMF and Stephan is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding PT Hanjaya Mandala and The Stephan Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on The Stephan and PT Hanjaya is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on PT Hanjaya Mandala are associated (or correlated) with Stephan. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of The Stephan has no effect on the direction of PT Hanjaya i.e., PT Hanjaya and Stephan go up and down completely randomly.

Pair Corralation between PT Hanjaya and Stephan

If you would invest  2.00  in PT Hanjaya Mandala on May 3, 2025 and sell it today you would earn a total of  3.00  from holding PT Hanjaya Mandala or generate 150.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

PT Hanjaya Mandala  vs.  The Stephan Co

PT Hanjaya Mandala

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in PT Hanjaya Mandala are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. Despite nearly unsteady primary indicators, PT Hanjaya reported solid returns over the last few months and may actually be approaching a breakup point.

The Stephan

Risk-Adjusted Performance

Very Weak

Over the last 90 days The Stephan Co has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy fundamental indicators, Stephan is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with PT Hanjaya and Stephan

The main advantage of trading using opposite PT Hanjaya and Stephan positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PT Hanjaya position performs unexpectedly, Stephan can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Stephan will offset losses from the drop in Stephan's long position.

The idea behind PT Hanjaya Mandala and The Stephan Co pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Commodity Directory module to find actively traded commodities issued by global exchanges.