BFMSX vs. BDJ

Last updated Jun 4, 2026

BFMSX (BlackRock Low Duration Bond Portfolio) and BDJ (BlackRock Enhanced Equity Dividend Fund) are both mutual funds - BFMSX is a Short-Term Bond fund managed by BlackRock, while BDJ is a Derivative Income fund managed by BlackRock. Over the past 10 years, BFMSX returned 2.30%/yr vs 10.11%/yr for BDJ. At a 0.00 correlation, their price movements are largely independent. BFMSX charges 0.41%/yr vs 0.86%/yr for BDJ.

Performance

BFMSX vs. BDJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in BlackRock Low Duration Bond Portfolio (BFMSX) and BlackRock Enhanced Equity Dividend Fund (BDJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BFMSX achieves a 0.92% return, which is significantly higher than BDJ's 0.25% return. Over the past 10 years, BFMSX has underperformed BDJ with an annualized return of 2.30%, while BDJ has yielded a comparatively higher 10.11% annualized return.

BFMSX

• 1D: 0.00%
• 1M: 0.39%
• YTD: 0.92%
• 6M: 1.32%
• 1Y: 4.64%
• 3Y*: 5.06%
• 5Y*: 2.07%
• 10Y*: 2.30%

BDJ

• 1D: 0.22%
• 1M: 1.45%
• YTD: 0.25%
• 6M: 6.07%
• 1Y: 17.25%
• 3Y*: 13.78%
• 5Y*: 6.76%
• 10Y*: 10.11%

*Multi-year figures are annualized to reflect compound growth (CAGR)

BFMSX vs. BDJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BFMSX BlackRock Low Duration Bond Portfolio	0.92%	6.20%	4.94%	4.96%	-5.34%	-0.33%	3.47%	4.75%	1.15%	1.98%
BDJ BlackRock Enhanced Equity Dividend Fund	0.25%	26.12%	16.87%	-6.67%	0.83%	26.56%	-7.58%	37.43%	-10.42%	20.78%

Correlation

The correlation between BFMSX and BDJ is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.26
Correlation (3Y) Calculated over the trailing 3-year period	0.17
Correlation (5Y) Calculated over the trailing 5-year period	0.17
Correlation (10Y) Calculated over the trailing 10-year period	0.12
Correlation (All Time) Calculated using the full available price history since Aug 30, 2005	0.00

Over the past year, BFMSX and BDJ have become more correlated (0.26) than their long-term average of 0.00, meaning their price movements have been converging.

Return for Risk

BFMSX vs. BDJ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

BFMSX

BFMSX Risk / Return Rank: 73
BFMSX Sharpe Ratio Rank: 55
BFMSX Sortino Ratio Rank: 85
BFMSX Omega Ratio Rank: 86
BFMSX Calmar Ratio Rank: 63
BFMSX Martin Ratio Rank: 73

BDJ

BDJ Risk / Return Rank: 22
BDJ Sharpe Ratio Rank: 26
BDJ Sortino Ratio Rank: 25
BDJ Omega Ratio Rank: 24
BDJ Calmar Ratio Rank: 16
BDJ Martin Ratio Rank: 19

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

BFMSX vs. BDJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BlackRock Low Duration Bond Portfolio (BFMSX) and BlackRock Enhanced Equity Dividend Fund (BDJ). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	BFMSX	BDJ	Difference
Sharpe ratio: Return per unit of total volatility	2.20	1.45	+0.74
Sortino ratio: Return per unit of downside risk	4.05	2.09	+1.97
Omega ratio: Gain probability vs. loss probability	1.60	1.25	+0.34
Calmar ratio: Return relative to maximum drawdown	3.06	1.41	+1.65
Martin ratio: Return relative to average drawdown	13.92	5.21	+8.72
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BFMSX vs. BDJ - Sharpe Ratio Comparison

The current BFMSX Sharpe Ratio is 2.20, which is higher than the BDJ Sharpe Ratio of 1.45. The chart below compares the historical Sharpe Ratios of BFMSX and BDJ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	BFMSX	BDJ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.20	1.45	+0.74
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.89	0.42	+0.47
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.09	0.55	+0.54
Sharpe Ratio (All Time) Calculated using the full available price history	1.60	0.31	+1.29

Drawdowns

BFMSX vs. BDJ - Drawdown Comparison

The maximum BFMSX drawdown since its inception was -12.70%, smaller than the maximum BDJ drawdown of -59.46%. Use the drawdown chart below to compare losses from any high point for BFMSX and BDJ.

Drawdown Indicators

	BFMSX	BDJ	Difference
Max Drawdown Largest peak-to-trough decline	-12.70%	-59.46%	+46.76%
Max Drawdown (1Y) Largest decline over 1 year	-1.52%	-12.28%	+10.76%
Max Drawdown (3Y) Largest decline over 3 years	-1.52%	-15.70%	+14.18%
Max Drawdown (5Y) Largest decline over 5 years	-7.96%	-21.39%	+13.43%
Max Drawdown (10Y) Largest decline over 10 years	-7.96%	-48.14%	+40.18%
Current Drawdown Current decline from peak	0.00%	-3.29%	+3.29%
Average Drawdown Average peak-to-trough decline	-0.82%	-8.96%	+8.14%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.33%	3.32%	-2.99%

Volatility

BFMSX vs. BDJ - Volatility Comparison

The current volatility for BlackRock Low Duration Bond Portfolio (BFMSX) is 0.68%, while BlackRock Enhanced Equity Dividend Fund (BDJ) has a volatility of 3.38%. This indicates that BFMSX experiences smaller price fluctuations and is considered to be less risky than BDJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BFMSX	BDJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.68%	3.38%	-2.70%
Volatility (6M) Calculated over the trailing 6-month period	1.65%	9.32%	-7.67%
Volatility (1Y) Calculated over the trailing 1-year period	2.12%	11.92%	-9.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.35%	16.17%	-13.82%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.11%	18.41%	-16.30%

BFMSX vs. BDJ - Expense Ratio Comparison

BFMSX has a 0.41% expense ratio, which is lower than BDJ's 0.86% expense ratio.

Dividends

BFMSX vs. BDJ - Dividend Comparison

BFMSX's dividend yield for the trailing twelve months is around 4.66%, less than BDJ's 9.31% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BDJ BlackRock Enhanced Equity Dividend Fund	9.31%	9.03%	8.21%	9.49%	12.18%	5.95%	7.08%	6.66%	7.21%	6.07%	6.88%	7.36%
BFMSX BlackRock Low Duration Bond Portfolio	4.66%	4.56%	4.14%	3.34%	2.67%	1.23%	2.04%	2.63%	2.51%	2.17%	1.76%	1.87%

Frequently Asked Questions

Can I hold both BFMSX and BDJ in my portfolio?

BFMSX and BDJ have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BFMSX or BDJ?

BDJ has higher volatility (3.38%) compared to BFMSX (0.68%). In terms of maximum drawdown, BFMSX dropped -12.70% vs BDJ's -59.46%.

Which has better risk-adjusted returns?

BFMSX currently has the higher Sharpe Ratio (2.20 vs 1.45), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.