VGI vs WDI: Correlation
How closely do Virtus Global Multi-Sector Income Fund (VGI) 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 VGI and WDI?
Over the past 3 years, VGI and WDI moved with a correlation of 0.75, which is strong. Recent behaviour matches the longer record: 0.71 over 1 year against 0.75 over 3. Over 5 years the correlation is 0.71, and the annualized covariance of weekly returns is 90.0 %².
By 3-year correlation, WDI places #11 of the 42 assets tracked against VGI. The trailing year gives VGI the advantage: +3.8% versus -2.3%, a 6.1-point spread.
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.
VGI vs WDI: side by side
| VGI (Virtus Global Multi-Sector Income Fund) | WDI (Western Asset Diversified Income Fund) | |
|---|---|---|
| 1-year return | +3.8% | -2.3% |
| 5-year return | +11.9% | +14.7% |
| Volatility (ann.) | 10.3% | 11.7% |
| Beta vs S&P 500 | 0.38 | 0.46 |
| Max drawdown (3Y) | -11.3% | -14.1% |
| Market cap | $0.1B | $0.7B |
| P/E (trailing) | 7.8 | 9.3 |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | VGI | WDI |
|---|---|---|
| 2022 | -22.3% | -23.3% |
| 2023 | +13.4% | +25.1% |
| 2024 | +10.4% | +13.9% |
| 2025 | +16.1% | +10.7% |
| 2026 | +1.6% | +0.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are VGI 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 VGI and WDI?
As of 2026-08-27, the correlation of weekly returns between VGI and WDI is 0.75 over 3 years, 0.71 over 1 year and 0.71 over 5 years.
Is WDI a good diversifier for VGI?
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?
A reading of 0.75 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/vgi-vs-wdi.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/vgi-vs-wdi/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: VGI correlations · WDI correlations
