EVV vs WDI: Correlation
How closely do Eaton Vance Limited Duration Income Fund (EVV) and Western Asset Diversified Income Fund (WDI) trade together? Their weekly returns over three years give a correlation of 0.75, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EVV and WDI?
On 3 years of weekly data the EVV/WDI correlation comes out at 0.75, strong. The relationship has been stable: the 1-year correlation (0.68) sits close to the 3-year figure. The 5-year figure is 0.68, and annualized covariance runs at 89.6 %².
By 3-year correlation, WDI places #7 of the 23 assets tracked against EVV. Twelve-month performance is nearly a tie, at -3.5% for EVV and -2.3% for WDI.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
EVV vs WDI: side by side
| EVV (Eaton Vance Limited Duration Income Fund) | WDI (Western Asset Diversified Income Fund) | |
|---|---|---|
| 1-year return | -3.5% | -2.3% |
| 5-year return | +11.4% | +14.7% |
| Volatility (ann.) | 10.2% | 11.7% |
| Beta vs S&P 500 | 0.41 | 0.46 |
| Max drawdown (3Y) | -9.5% | -14.1% |
| Market cap | – | $0.7B |
| P/E (trailing) | 14.7 | 9.3 |
| Dividend yield | 9.65% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | EVV | WDI |
|---|---|---|
| 2022 | -19.9% | -23.3% |
| 2023 | +13.3% | +25.1% |
| 2024 | +12.2% | +13.9% |
| 2025 | +10.7% | +10.7% |
| 2026 | -2.5% | +0.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EVV and WDI good diversifiers for each other?
To a limited degree. At 0.75 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between EVV and WDI?
Using weekly returns as of 2026-08-27: 0.75 over 3 years, with 0.68 over the last year and 0.68 over 5 years.
Is WDI a good diversifier for EVV?
To a limited degree. At 0.75 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.75 mean?
On the −1 to +1 scale, 0.75 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/evv-vs-wdi.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/evv-vs-wdi/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: EVV correlations · WDI correlations
