This study reports focused, high-resolution, distortion-free diffusion imaging using a combination of DIADEM (Distortion-free Imaging: A Double Encoding Method) and reduced field-of-view (rFOV) imaging. DIADEM is a hybrid, multi-shot approach inspired by the point-spread-function mapping technique for distortion-free imaging. The multiple-shots effectively signal average and compensate for the reduced image SNR resulting from the rFOV. The rFOV reduces the number of phase-encoding steps, which shortens the scan time, making it more clinically feasible. The results demonstrate focused distortion-free diffusion images with a high in-plane resolution (0.86 mm2), which could provide improved anatomic depiction of local brain tissue structures.