In engineering applications, such as automobile, marine, aerospace, and railway, lightweight alloys of aluminum (Al) and magnesium (Mg) ensure design fitness for fuel economy, better efficiency, and overall cost reduction. Friction stir welding (FSW) for joining dissimilar materials has been considered better than the conventional fusion welding process because of metallurgical concerns. In this study, dissimilar joints were made between the AA6061 (A), AZ31B (B), and AZ91D (C) combinations based on the varying advancing side (AS) and retreating side (RS). The dissimilar joints prepared by the FSW process were further characterized by tensile testing, impact testing, corrosion testing, fracture, and statistical and cost analysis. The results revealed a maximum tensile strength of 192.39 MPa in AZ91 and AZ31B, maximum yield strength of 134.38 MPa in a combination of AA6061 and AZ91, maximum hardness of 114 Hv in AA6061 and AZ31B, and lowest corrosion rate of 7.03 mV/A in AA6061 and AZ31B. The results of the properties were supported by photomicrographic fracture analysis by scanning electron microscopy (SEM) observations. Further, the performance of dissimilar joints was statistically analyzed and prioritized for preference by similarity to the ideal solution (TOPSIS) method.