Technicals — alpha / beta vs 2845.HK

Benchmark: Global X China EV & Battery ETF (2845.HK) · daily log returns, 6-month window (2026-02-13 → 2026-08-11) · Dimson = 1-lag sync-corrected beta · α = realized alpha (stock − β·benchmark), not annualized · benchmark returned -9.2% over the window.
Static one-time snapshot — not yet on a live datafeed.

namesector β rawβ Dimsonse(β) tot retα windowα 63d
6880 Momenta ⚠ 24d ADAS 1.361.40 0.38 0.36 -5%-6%n/a
3931 CALB Battery 1.151.22 0.14 0.36 -30%-25%-32%
3750 CATL Battery 1.010.78 0.14 0.32 +23%+30%+21%
9927 Seres OEM 0.770.98 0.13 0.24 -56%-74%-35%
9660 HorizonRobot ADAS 0.690.59 0.16 0.14 -44%-51%-15%
9863 Leapmotor OEM 0.640.78 0.16 0.13 -10%-5%-9%
1211 BYD OEM 0.620.62 0.12 0.19 -8%-2%+1%
2015 Li Auto OEM 0.580.53 0.14 0.13 -32%-33%-28%
9868 XPeng OEM 0.580.70 0.15 0.12 -34%-36%-19%
2238 GAC OEM 0.570.57 0.10 0.24 -42%-48%-8%
9866 NIO OEM 0.490.46 0.17 0.07 -8%-4%-15%
7489 Voyah ⚠ 96d OEM 0.480.72 0.19 0.07 -57%-80%-62%
2665 Seyond Lidar 0.430.68 0.31 0.02 -76%-139%-93%
2525 Hesai Lidar 0.420.65 0.18 0.04 -25%-26%-6%
2333 GWM OEM 0.420.28 0.10 0.12 -34%-37%-22%
1810 Xiaomi Diversified 0.410.06 0.14 0.07 -27%-27%-8%
0175 Geely OEM 0.410.75 0.14 0.07 +7%+10%-12%
9973 Chery OEM 0.210.21 0.13 0.02 -10%-8%-12%
7687 Eacon ⚠ 24d ADAS -0.020.57 0.21 0.00 -17%-19%n/a

What the data says

Caveats

  1. Three names are unreliable — treat as blank. Momenta & Eacon have only 24 returns (se 0.38 / β −0.02 is noise); Voyah 96. They need more history before any beta is meaningful (flagged ⚠ above).
  2. The extreme alphas are a low-beta artifact, not signal. Seyond's −139% window alpha comes from a genuine idiosyncratic collapse (−76%, ~7 → ~2.7) attributed almost entirely to alpha because its beta is near-zero and R² is 0.02 — the theme barely explains it. Read big alphas on low-R² names as "this stock did its own thing," not "great/terrible vs the theme."
  3. This window is one regime. Realized alpha here describes a specific down-tape; it's descriptive, not predictive. Prices are also unadjusted for dividends (minor).

Methodology & why

Benchmark — and why

2845.HK — Global X China EV & Battery ETF tracks the Solactive China EV & Battery Index, (capped) market-cap weighted with CATL a top holding — so it's battery-heavy, not equal-weight EV. Because the universe is China-EV names, this thematic ETF is the right single-ticker benchmark: β measures sensitivity to the EV/battery theme, and α is the stock-specific excess return over the theme — the stock-selection edge the signal is trying to capture.

How it's computed

Design decisions — and why

  1. Report horizon alpha, never annualized. Annualizing a daily intercept (×252) over a short, violent window explodes to a meaningless ±100%. The honest number is realized alpha over the holding period. For the 3-month horizon a tradeable signal should be scored on forward 63-day realized alpha — note this snapshot shows realized trailing alpha (descriptive), not the forward version.
  2. Use a sync-corrected beta. Thin trading biases the plain daily beta. Dimson moves several names materially, in both directions — up for laggy names (Geely 0.41→0.75, XPeng 0.58→0.70), down for a few (Xiaomi 0.41→0.06, GWM 0.42→0.28). It reduces sync bias but adds estimation variance, so part of those swings is noise; weekly returns are a lower-variance alternative for production.
  3. The benchmark is battery-heavy, so read β accordingly. Cap-weighted with CATL/materials dominant, OEMs land at β 0.2–0.8 with low R² (0.02–0.36) — single-name idiosyncratic vol dominates. Interpret β<1 as "less battery-exposed," not "defensive." 2845 stays the right single-ticker choice; blend toward a purer OEM benchmark only if that distinction ever matters.

Full write-up: docs/methodology-alphabeta.md in the repo.