- CUSIP
- 95790K109
- Issuer
- Franklin Templeton
- Inception Date
- Jun 24, 2021
- Category
- Multisector Bonds
- Min. Investment
- $0
- Distribution Policy
- Distributing
- Asset Class
- Bond
Share Price Chart
Loading charts...
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Performance
WDI Performance Chart
Western Asset Diversified Income Fund (WDI) is up 2.0% since the beginning of the year. WDI is currently trading at $13 per share.
Loading charts...
Returns By Period
Western Asset Diversified Income Fund (WDI) has returned 1.96% so far this year and 3.20% over the past 12 months.
Western Asset Diversified Income Fund
- 1D
- -0.52%
- 1M
- 0.30%
- YTD
- 1.96%
- 6M
- 2.46%
- 1Y
- 3.20%
- 3Y*
- 12.87%
- 5Y*
- —
- 10Y*
- —
Benchmark (S&P 500 Index)
- 1D
- -0.37%
- 1M
- -0.01%
- YTD
- 9.16%
- 6M
- 8.64%
- 1Y
- 25.22%
- 3Y*
- 19.78%
- 5Y*
- 11.99%
- 10Y*
- 13.88%
WDI Monthly Returns History
Based on dividend-adjusted daily data since Jun 25, 2021, WDI's average daily return is +0.02%, while the average monthly return is +0.33%. At this rate, an investment would double in approximately 17.5 years.
Historically, 48% of months were positive and 52% were negative. The best month was Jan 2023 with a return of +12.4%, while the worst month was Sep 2022 at -10.0%. The longest winning streak lasted 5 consecutive months, and the longest losing streak was 6 months.
On a daily basis, WDI closed higher 52% of trading days. The best single day was Nov 10, 2022 with a return of +4.0%, while the worst single day was Apr 4, 2025 at -6.0%.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 0.65% | 1.63% | -2.77% | 5.22% | -0.33% | -2.25% | 1.96% | ||||||
| 2025 | 6.46% | 0.85% | -2.68% | -1.42% | 5.41% | 1.98% | 1.54% | 1.87% | -1.30% | -0.69% | 0.48% | -1.92% | 10.64% |
| 2024 | 2.45% | 2.25% | 0.79% | -1.64% | 3.49% | 0.96% | 6.18% | 1.51% | 3.94% | -2.82% | -0.06% | -3.56% | 13.88% |
| 2023 | 12.44% | -0.30% | -3.93% | 1.27% | -1.50% | 4.57% | 3.46% | -0.54% | -1.57% | -5.13% | 7.81% | 7.50% | 25.11% |
| 2022 | -1.23% | -5.65% | -3.03% | -3.68% | -2.50% | -6.72% | 3.93% | -0.45% | -9.95% | -0.27% | 10.65% | -5.76% | -23.30% |
| 2021 | 0.05% | 0.70% | -0.06% | -3.43% | -0.76% | -2.56% | 0.37% | -5.61% |
Benchmark Metrics
Western Asset Diversified Income Fund has an annualized alpha of -1.28%, beta of 0.41, and R2 of 0.29 versus S&P 500 Index. Calculated based on daily prices since June 25, 2021.
- This fund participated in 78.62% of S&P 500 Index downside but only 50.32% of its upside - more exposed to losses than it benefited from rallies.
- Beta of 0.41 may look defensive, but with R2 of 0.29 this fund is largely uncorrelated with S&P 500 Index - low beta reflects independence, not downside protection. See the Volatility section for a true picture of this fund's risk.
- R2 of 0.29 means this fund moves largely independently of S&P 500 Index - capture ratios reflect limited market correlation rather than active downside protection. Consider using a more representative benchmark.
- Alpha
- -1.28%
- Beta
- 0.41
- R²
- 0.29
- Upside Capture
- 50.32%
- Downside Capture
- 78.62%
Expense Ratio
WDI has a high expense ratio of 1.73%, indicating above-average management fees.
Return for Risk
Risk / Return Rank
WDI ranks 5 for risk / return — in the bottom 5% of mutual funds on our site. This means you're taking on significantly more risk than the returns justify. Consider whether the potential upside is worth the volatility, or explore alternatives with better risk / return profiles.
Return / Risk — by metrics
The table below present risk-adjusted performance metrics for Western Asset Diversified Income Fund (WDI) and compare them to S&P 500 Index.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| WDI | Benchmark | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.69 | ||
| Sortino ratioReturn per unit of downside risk | -2.21 | ||
| Omega ratioGain probability vs. loss probability | 1.07 | 1.37 | -0.30 |
| Calmar ratioReturn relative to maximum drawdown | 0.38 | 2.78 | -2.41 |
| Martin ratioReturn relative to average drawdown | 0.93 | 12.44 | -11.50 |
Dividends
Dividend History
Western Asset Diversified Income Fund provided a 13.22% dividend yield over the last twelve months, with an annual payout of $1.78 per share. The fund has been increasing its distributions for 4 consecutive years.
| Period | TTM | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|---|
| Dividend | $1.78 | $1.93 | $1.76 | $1.61 | $1.45 | $0.59 |
Dividend yield | 13.22% | 13.98% | 12.32% | 11.45% | 11.40% | 3.19% |
Monthly Dividends
The table displays the monthly dividend distributions for Western Asset Diversified Income Fund. The dividends shown in the table have been adjusted to account for any splits that may have occurred.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | $0.00 | $0.15 | $0.15 | $0.15 | $0.15 | $0.00 | $0.59 | ||||||
| 2025 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.30 | $1.93 |
| 2024 | $0.14 | $0.14 | $0.14 | $0.14 | $0.14 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $0.15 | $1.76 |
| 2023 | $0.13 | $0.13 | $0.13 | $0.13 | $0.13 | $0.14 | $0.14 | $0.14 | $0.14 | $0.14 | $0.14 | $0.14 | $1.61 |
| 2022 | $0.12 | $0.12 | $0.12 | $0.12 | $0.12 | $0.12 | $0.12 | $0.12 | $0.13 | $0.13 | $0.13 | $0.13 | $1.45 |
| 2021 | $0.12 | $0.12 | $0.12 | $0.12 | $0.12 | $0.59 |
Drawdowns
Drawdowns Chart
The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.
Loading charts...
Worst Drawdowns
The table below displays the maximum drawdowns of the Western Asset Diversified Income Fund. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.
The maximum drawdown for the Western Asset Diversified Income Fund was 32.45%, occurring on Oct 20, 2022. Recovery took 430 trading sessions.
The current Western Asset Diversified Income Fund drawdown is 3.13%.
Related event | Drawdown | Fall | Recovery | Underwater |
|---|---|---|---|---|
Bear market2022 | -32.45%Oct 2022 | 1y 2mo | 1y 8mo | 2y 11moAug 2021 - Jul 2024 |
2025 selloff2025 | -14.14%Apr 2025 | 1mo 9d | 1mo 23d | 3mo 2dFeb 2025 - May 2025 |
2026 pullback2026 | -8.47%Mar 2026 | 6mo 6d | 1mo 12d | 7mo 18dSep 2025 - May 2026 |
2024 pullback2024 | -6.71%Dec 2024 | 2mo 11d | 1mo 18d | 3mo 29dOct 2024 - Feb 2025 |
2026 pullback2026 | -5.35%Jun 2026 | 1mo 5d | — | 1mo 20dMay 2026 - now |
Drawdown Indicators
| WDI | Benchmark | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -32.45% | -56.78% | +24.33% |
Max Drawdown (1Y)Largest decline over 1 year | -8.47% | -9.10% | +0.63% |
Max Drawdown (3Y)Largest decline over 3 years | -14.14% | -18.90% | +4.76% |
Max Drawdown (5Y)Largest decline over 5 years | — | -25.43% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -33.92% | — |
Current DrawdownCurrent decline from peak | -3.13% | -1.80% | -1.33% |
Average DrawdownAverage peak-to-trough decline | -10.34% | -10.71% | +0.37% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.43% | 2.03% | +1.40% |
Volatility
Volatility Chart
The chart below shows the rolling one-month volatility.
Loading charts...
Build a portfolio with WDI
Add Western Asset Diversified Income Fund to a portfolio and analyze allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Analyzer with WDI