Western Asset Diversified Income Fund — Cyborg Score 6/10

Solid
Closed-end fixed income funds

Strategic Profile

The Fund seeks to achieve its investment objectives by investing across fixed income sectors and securities in seeking to deliver a diversified portfolio. Western Asset Management Company, LLC seeks to dynamically rotate investments into sectors and securities that it believes to be undervalued from a fundamental perspective with an attractive return profile and away from investments that it believes to be overvalued.

Cyborg Score Rationale

The fund has a market capitalization of $721.6M with approximately 51.9M shares outstanding. Among dividend-paying stocks, WDI ranks #53 by dividend yield. For the six months ended June 30, 2024, Western Asset Diversified Income Fund returned 5.12% based on its net asset value and 8.50% based on its NYSE market price per share.

Top Insights

  • The Fund invests across multiple sectors including communication services, consumer discretionary, consumer staples, energy, financials, health care, industrials, information technology, materials, real estate, and utilities.
  • The Fund may invest in investment-grade and high-yield corporate debt securities, senior loans, agency and non-agency residential mortgage-backed securities, commercial mortgage-backed securities, government debt, floating rate securities, bank loans, collateralized loan obligations, asset-backed securities, private debt and mortgage whole loans.
  • WDI ranks #53 among dividend-paying stocks by dividend yield, making it attractive to income-focused investors
  • Over the past year, WDI stock has gained 1.8%, reflecting modest but steady performance

Named Competitors

  • DoubleLine Yield Opportunities Fund — Diversified fixed-income closed-end fund
  • Virtus AI & Tech Opp Fund — Technology and AI-focused closed-end fund
  • BlackRock Resources & Commdty — Resources and commodities closed-end fund
  • Tortoise Energy Infrastructure — Energy infrastructure closed-end fund
  • AllianceBernstein Glb High Inc — Global high-income closed-end fund

Recent Developments

  • (June 2024) Semi-annual report filed showing 5.12% NAV return and 8.50% market price return for the six-month period
  • (December 2024) Form 424B5 prospectus supplement filed for up to $75,000,000 of common shares

Open the full interactive Western Asset Diversified Income Fund report

Strategic research, analyst-debate audio, full Cyborg Score breakdown across 11 dimensions, and saved-company audio playlists.

Open report →