Correlation Between Auburn National and Siebert Financial

Can any of the company-specific risk be diversified away by investing in both Auburn National and Siebert Financial 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 Auburn National and Siebert Financial into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Auburn National Bancorporation and Siebert Financial Corp, you can compare the effects of market volatilities on Auburn National and Siebert Financial 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 Auburn National with a short position of Siebert Financial. Check out your portfolio center. Please also check ongoing floating volatility patterns of Auburn National and Siebert Financial.

Diversification Opportunities for Auburn National and Siebert Financial

0.43

Correlation Coefficient

Auburn National  Siebert Financial

Very weak diversification

The 3 months correlation between Auburn and Siebert is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding Auburn National Bancorp. and Siebert Financial Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Siebert Financial Corp and Auburn National 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 Auburn National Bancorporation are associated (or correlated) with Siebert Financial. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Siebert Financial Corp has no effect on the direction of Auburn National i.e., Auburn National and Siebert Financial go up and down completely randomly.

Pair Corralation between Auburn National and Siebert Financial

Given the investment horizon of 90 days Auburn National is expected to generate 8.17 times less return on investment than Siebert Financial. But when comparing it to its historical volatility, Auburn National Bancorporation is 1.31 times less risky than Siebert Financial. It trades about 0.02 of its potential returns per unit of risk. Siebert Financial Corp is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest  287.00  in Siebert Financial Corp on October 6, 2025 and sell it today you would earn a total of  72.00  from holding Siebert Financial Corp or generate 25.09% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	74.6%
Values	Daily Returns

Auburn National Bancorp.  vs.  Siebert Financial Corp

Auburn National Banc

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Auburn National Bancorporation are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy fundamental drivers, Auburn National is not utilizing all of its potentials. The latest stock price disarray, may contribute to short-term losses for the investors.

Siebert Financial Corp

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Siebert Financial Corp are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite somewhat weak technical and fundamental indicators, Siebert Financial sustained solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Auburn National and Siebert Financial

The main advantage of trading using opposite Auburn National and Siebert Financial positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Auburn National position performs unexpectedly, Siebert Financial 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 Siebert Financial will offset losses from the drop in Siebert Financial's long position.

The idea behind Auburn National Bancorporation and Siebert Financial Corp 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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.