Prospectus
John
Hancock
Fundamental All Cap Core Fund
Fundamental All Cap Core Fund
U.S.
equity
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A |
C |
I |
R2 |
R4 |
R6 |
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JFCAX |
JFCCX |
JFCIX |
JFACX |
JFARX |
JFAIX |
As with all
mutual funds, the Securities and Exchange Commission has not approved or
disapproved these securities or passed upon the adequacy of this prospectus. Any
representation to the contrary is a criminal offense.
Table of
contents
Fund
summary
The summary
section is a concise look at the investment objective, fees and expenses,
principal investment strategies, principal risks, past performance, and
investment management.
Fund
details
More about
topics covered in the summary section, including descriptions of the investment
strategies and various risk factors that investors should understand before
investing.
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13 |
Your
account
How to place
an order to buy, sell, or exchange shares, as well as information about the
business policies and any distributions that may be paid.
For more
information See
back cover
Fund
summary
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A |
C |
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R2 |
R4 |
R6 |
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Maximum
front-end sales charge (load) on purchases, as a % of purchase
price |
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Maximum
deferred sales charge (load) as a % of purchase or sale price,
whichever
is less |
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(on
certain
purchases,
including
those of
$1
million or more) |
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Small
account fee (for fund account balances under $1,000)
($) |
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A |
C |
I |
R2 |
R4 |
R6 |
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Management
fee |
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Distribution
and service (Rule 12b-1) fees |
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Other
expenses |
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Service
plan fee |
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1 |
1 |
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Additional
other expenses |
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Total
other expenses |
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Total
annual fund operating expenses |
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Contractual
expense reimbursement |
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2 |
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2 |
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2 |
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2 |
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2,3 |
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2 |
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Total
annual fund operating expenses after expense
reimbursements |
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1
2
3
1
Fund
summary
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Expenses
($) |
A |
C |
I |
R2 |
R4 |
R6 |
C |
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1
year |
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3
years |
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5
years |
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10
years |
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The fund’s
main risks are listed below in alphabetical order, not in order of importance.
Before
investing, be sure to read the additional descriptions of these risks beginning
on page 6 of the prospectus.
2
Fund
summary
3
Fund
summary
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1
year |
5
year |
10
year |
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Class
A (before
tax) |
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after
tax on distributions |
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after
tax on distributions, with sale |
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Class
C |
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Class
I |
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Class
R2 |
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Class
R4 |
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Class
R6 |
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Russell
3000 Index (reflects no deduction for fees, expenses, or
taxes) |
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4
Fund
summary
Investment
management
Investment
advisor
John Hancock
Investment Management LLC
Subadvisor
Manulife
Investment Management (US) LLC
Portfolio
management
The following
individuals are jointly and primarily responsible for the day-to-day management
of the fund’s portfolio.
|
Emory
W. (Sandy) Sanders, Jr., CFA |
Jonathan
T. White, CFA |
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Senior
Portfolio Manager
Managed
the fund since 2011 |
Senior
Portfolio Manager
Managed
the fund since 2015 |
Purchase
and sale of fund shares
The minimum
initial investment requirement for Class A and Class C shares is $1,000 ($250
for group investments), except that there is no minimum for certain group
retirement plans, certain fee-based or wrap accounts, or certain other eligible
investment product platforms. The minimum initial investment requirement for
Class I shares is $250,000, except that the fund may waive the minimum for any
category of investors at the fund’s sole discretion. There are no minimum
initial investment requirements for Class R2 or Class R4 shares. The minimum
initial investment requirement for Class R6 shares is $1 million, except that
there is no minimum for: qualified and nonqualified plan investors; certain
eligible qualifying investment product platforms; Trustees, employees of the
advisor or its affiliates, employees of the subadvisor, members of the fund’s
portfolio management team and the spouses and children (under age 21) of the
aforementioned. There are no subsequent minimum investment
requirements.
Class A, Class
C, Class I, and Class R6 shares may be redeemed on any business day by mail:
John Hancock Signature Services, Inc., P.O. Box 219909, Kansas City, MO
64121-9909; or for most account types through our website: jhinvestments.com; or
by telephone: 800-225-5291 (Class A and Class C); 888-972-8696 (Class I and
Class R6). Class R2 and Class R4 shares may be redeemed on any business day by
contacting your retirement plan administrator or
recordkeeper.
Taxes
The fund’s
distributions are taxable, and will be taxed as ordinary income and/or capital
gains, unless you are investing through a tax-deferred arrangement, such as a
401(k) plan or individual retirement account. Withdrawals from such tax-deferred
arrangements may be subject to tax at a later date.
Payments
to broker-dealers and other financial intermediaries
If you
purchase the fund through a broker-dealer or other financial intermediary (such
as a bank, registered investment advisor, financial planner, or retirement plan
administrator), the fund and its related companies may pay the broker-dealer or
other intermediary for the sale of fund shares and related services. These
payments may create a conflict of interest by influencing the broker-dealer or
other intermediary and your salesperson to recommend the fund over another
investment. These payments are not applicable to Class R6 shares. Ask your
salesperson or visit your financial intermediary’s website for more
information.
5
Fund
details
Principal
investment strategies
Investment
objective:
To seek
long-term capital appreciation.
The Board of
Trustees can change the fund’s investment objective and strategy without
shareholder approval. The fund will provide written notice to shareholders at
least 60 days prior to a change in its 80% investment policy.
Under normal
market conditions, the fund invests at least 80% of its net assets (plus any
borrowings for investment purposes) in equity securities. Market capitalizations
of these companies will span the capitalization spectrum. Equity securities
include common, convertible and preferred securities and their
equivalents.
In managing
the fund, the manager seeks to identify companies that are highly
differentiated, and demonstrate key growth drivers, sustainable cash flow
production, and high returns on capital, sustainable competitive advantages and
high barriers to entry, strong management, and a focus on creating value for
fund shareholders. Both growth and value opportunities are evaluated with an
approach that uses the present value of estimated future cash flows as the core
methodology for measuring intrinsic value. The fund may focus its investments in
a particular sector or sectors of the economy.
The manager
employs a disciplined fundamental research process, which produces bottom-up
company assessments using key assumptions that drive sales, margins, and asset
intensity. The manager seeks to purchase shares in companies that are selling at
a significant discount to intrinsic value. Sell decisions are similarly driven
by long-term fundamental analysis and the manager may sell a holding when it has
achieved its valuation target, if it believes there is structural or permanent
deterioration in the underlying fundamentals of the business, or if it
identifies what it believes is a more attractive investment opportunity. The
manager considers environmental, social, and/or governance (ESG) factors,
alongside other relevant factors, as part of its investment process. ESG factors
may include, but are not limited to, matters regarding board diversity, climate
change policies, and supply chain and human rights policies. The ESG
characteristics utilized in the fund’s investment process may change over time
and one or more characteristics may not be relevant with respect to all issuers
that are eligible fund investments.
The fund may
invest up to 20% of its net assets in equity securities of foreign issuers,
including American Depositary Receipts (ADRs) and similar investments. For
purposes of reducing risk and/or obtaining efficient investment exposure, the
fund may invest in exchange-traded funds (ETFs) and derivative instruments that
include options, futures contracts, and swaps (including interest-rate swaps).
The fund may also invest in U.S. government securities and other short-term
securities, such as money market instruments and repurchase
agreements.
The fund may
invest in cash or money market instruments for the purpose of meeting redemption
requests or making other anticipated cash payments.
The fund may
deviate from its principal investment strategies during transition periods,
which may include the reassignment of portfolio
management, a
change in investment objective or strategy, a reorganization or liquidation, or
the occurrence of large inflows or outflows.
Temporary
defensive investing
The fund may
invest up to 100% of its assets in cash, money market instruments, or other
investment-grade short-term securities for the purpose of protecting the fund in
the event the manager determines that market, economic, political, or other
conditions warrant a defensive posture.
To the extent
that the fund is in a defensive position, its ability to achieve its
investment objective will be limited.
Principal
risks of investing
An investment
in the fund is not a bank deposit and is not insured or guaranteed by the
Federal Deposit Insurance Corporation or any other government agency. The fund’s
shares will go up and down in price, meaning that you could lose money by
investing in the fund. Many factors influence a fund’s performance. The fund's
investment strategy may not produce the intended results.
Instability in
the financial markets has led many governments, including the U.S. government,
to take a number of unprecedented actions designed to support certain financial
institutions and segments of the financial markets that have experienced extreme
volatility and, in some cases, a lack of liquidity. Federal, state, and other
governments, and their regulatory agencies or self-regulatory organizations, may
take actions that affect the regulation of the instruments in which the fund
invests, or the issuers of such instruments, in ways that are unforeseeable.
Legislation or regulation may also change the way in which the fund itself is
regulated. Such legislation or regulation could limit or preclude the fund’s
ability to achieve its investment objective. In addition, political events
within the United States and abroad could negatively impact financial markets
and the fund’s performance.
Governments or
their agencies may also acquire distressed assets from financial institutions
and acquire ownership interests in those institutions. The implications of
government ownership and disposition of these assets are unclear, and such a
program may have positive or negative effects on the liquidity, valuation, and
performance of the fund’s portfolio holdings. Furthermore, volatile financial
markets can expose the fund to greater market and liquidity risk, increased
transaction costs, and potential difficulty in valuing portfolio instruments
held by the fund.
The principal
risks of investing in the fund are summarized in its fund summary above. Below
are descriptions of the main factors that may play a role in shaping the fund’s
overall risk profile. The descriptions appear in alphabetical order, not in
order of importance. For further details about fund risks, including additional
risk factors that are not discussed in this prospectus because they are not
considered primary factors, see the fund’s Statement of Additional Information
(SAI).
Cash
and cash equivalents risk
Under certain
market conditions, such as during a rising stock market, rising interest rate or
rising credit spread markets, the use of cash and/or cash equivalents, including
money market instruments, could have a negative effect on the fund’s ability to
achieve its investment
6
Fund
details
objective and
may negatively impact the fund’s performance. To the extent that the fund
invests in a money market fund, the fund will indirectly bear a proportionate
share of the money market fund’s expenses, in addition to the operating expenses
of the fund, which are borne directly by fund shareholders. In addition, while
money market funds seek to maintain a stable net asset value, the value of a
money market fund is not guaranteed and investors in money market funds can lose
money, which could detract from the fund’s performance.
Credit
and counterparty risk
This is the
risk that an issuer of a U.S. government security, the counterparty to an
over-the-counter (OTC) derivatives contract (see “Hedging, derivatives and other
strategic transactions risk”) or a borrower of a fund’s securities will be
unable or unwilling to make timely principal, interest or settlement payments or
to otherwise honor its obligations. U.S. government securities are subject to
varying degrees of credit risk depending upon whether the securities are
supported by the full faith and credit of the United States; supported by the
ability to borrow from the U.S. Treasury; supported only by the credit of the
issuing U.S. government agency, instrumentality, or corporation; or otherwise
supported by the United States. For example, issuers of many types of U.S.
government securities (e.g., the Federal Home Loan Mortgage Corporation (Freddie
Mac), Federal National Mortgage Association (Fannie Mae), and Federal Home Loan
Banks), although chartered or sponsored by Congress, are not funded by
congressional appropriations, and their fixed-income securities, including
asset-backed and mortgage-backed securities, are neither guaranteed nor insured
by the U.S. government. An agency of the U.S. government has placed Fannie Mae
and Freddie Mac into conservatorship, a statutory process with the objective of
returning the entities to normal business operations. It is unclear what effect
this conservatorship will have on the securities issued or guaranteed by Fannie
Mae or Freddie Mac. As a result, these securities are subject to more credit
risk than U.S. government securities that are supported by the full faith and
credit of the United States (e.g., U.S. Treasury bonds).
The fund is
exposed to credit risk to the extent it makes use of OTC derivatives (such as
forward foreign currency contracts and/or swap contracts) and engages to a
significant extent in the lending of fund securities or the use of repurchase
agreements. OTC derivatives transactions can be closed out with the other party
to the transaction. If the counterparty defaults, a fund will have contractual
remedies, but there is no assurance that the counterparty will be able to meet
its contractual obligations or that, in the event of default, a fund will
succeed in enforcing them. A fund, therefore, assumes the risk that it may be
unable to obtain payments owed to it under OTC derivatives contracts or that
those payments may be delayed or made only after the fund has incurred the costs
of litigation. While the manager intends to monitor the creditworthiness of
contract counterparties, there can be no assurance that the counterparty will be
in a position to meet its obligations, especially during unusually adverse
market conditions.
Economic
and market events risk
Events in
certain sectors historically have resulted, and may in the future result, in an
unusually high degree of volatility in the financial markets, both domestic and
foreign. These events have included, but are not
limited to: bankruptcies,
corporate restructurings, and other similar events; bank failures; governmental
efforts to limit short selling and high frequency trading; measures to address
U.S. federal and state budget deficits; social, political, and economic
instability in Europe; economic stimulus by the Japanese central bank; dramatic
changes in energy prices and currency exchange rates; and China’s economic
slowdown. Interconnected global economies and financial markets increase the
possibility that conditions in one country or region might adversely impact
issuers in a different country or region. Both domestic and foreign equity
markets have experienced increased volatility and turmoil, with issuers that
have exposure to the real estate, mortgage, and credit markets particularly
affected. Financial institutions could suffer losses as interest rates rise or
economic conditions deteriorate.
In addition,
relatively high market volatility and reduced liquidity in credit and
fixed-income markets may adversely affect many issuers worldwide. Actions taken
by the U.S. Federal Reserve (Fed) or foreign central banks to stimulate or
stabilize economic growth, such as interventions in currency markets, could
cause high volatility in the equity and fixed-income markets. Reduced liquidity
may result in less money being available to purchase raw materials, goods, and
services from emerging markets, which may, in turn, bring down the prices of
these economic staples. It may also result in emerging-market issuers having
more difficulty obtaining financing, which may, in turn, cause a decline in
their securities prices.
In response to certain
economic conditions, including periods of high inflation, governmental
authorities and regulators may respond with significant fiscal and monetary
policy changes such as raising interest rates. The fund may
be subject to
heightened interest rate risk when the Federal Reserve Board
(Fed) raises
interest rates.
Recent and
potential
future changes in
government monetary policy may affect interest rates.
It is difficult
to accurately predict the timing, frequency or magnitude of potential interest
rate increases
or decreases by
the Fed and the evaluation of macro-economic and other conditions that could
cause a change in approach in the future. If the Fed and other central banks
increase the federal funds rate and equivalent rates, such increases generally
will cause market interest rates to rise and could cause the value of a fund’s
investments, and the fund’s net asset value (NAV), to decline, potentially
suddenly and significantly. As a result, the fund may experience high
redemptions and, as a result, increased portfolio turnover, which could increase
the costs that the fund incurs and may negatively impact the fund’s
performance.
In addition,
as the Fed increases the target Fed funds rate, any such rate increases, among
other factors, could cause markets to experience continuing high volatility. A
significant increase in interest rates may cause a decline in the market for
equity securities. These events and the possible resulting market volatility may
have an adverse effect on the fund.
Political
turmoil within the United States and abroad may also impact the fund. Although
the U.S. government has honored its credit obligations, it remains possible that
the United States could default on its obligations. While it is impossible to
predict the consequences of such an unprecedented event, it is likely that a
default by the United States would be highly disruptive to the U.S. and global
securities markets and could
7
Fund
details
significantly
impair the value of the fund’s investments. Similarly, political events within
the United States at times have resulted, and may in the future result, in a
shutdown of government services, which could negatively affect the U.S. economy,
decrease the value of many fund investments, and increase uncertainty in or
impair the operation of the U.S. or other securities markets. In recent years,
the U.S. renegotiated many of its global trade relationships and imposed or
threatened to impose significant import tariffs. These actions could lead to
price volatility and overall declines in U.S. and global investment
markets.
Uncertainties
surrounding the sovereign debt of a number of European Union (EU) countries and
the viability of the EU have disrupted and may in the future disrupt markets in
the United States and around the world. If one or more countries leave the EU or
the EU dissolves, the global securities markets likely will be significantly
disrupted. On January 31, 2020, the United Kingdom (UK) left the EU, commonly
referred to as “Brexit,” the UK ceased to be a member of the EU, and the UK and
EU entered into a Trade and Cooperation Agreement. While the full impact of
Brexit is unknown, Brexit has already resulted in volatility in European and
global markets. There remains significant market uncertainty regarding Brexit’s
ramifications, and the range and potential implications of possible political,
regulatory, economic, and market outcomes are difficult to predict.
A widespread
health crisis such as a global pandemic could cause substantial market
volatility, exchange trading suspensions and closures, which may lead to less
liquidity in certain instruments, industries, sectors or the markets generally,
and may ultimately affect fund performance. For example, the coronavirus
(COVID-19) pandemic has resulted and may continue to result in significant
disruptions to global business activity and market volatility due to disruptions
in market access, resource availability, facilities operations, imposition of
tariffs, export controls and supply chain disruption, among others. While many
countries have lifted some or all restrictions related to the coronavirus
(COVID-19) and the United States ended the public health emergency and national
emergency declarations relating to the coronavirus (COVID-19) pandemic on May
11, 2023, the continued impact of coronavirus (COVID-19) and related variants is
uncertain. The impact of a health crisis and other epidemics and pandemics that
may arise in the future, could affect the global economy in ways that cannot
necessarily be foreseen at the present time. A health crisis may exacerbate
other pre-existing political, social and economic risks. Any such impact could
adversely affect the fund’s performance, resulting in losses to your
investment.
Political and
military events, including in Ukraine, North Korea, Russia, Venezuela, Iran,
Syria, and other areas of the Middle East, and nationalist unrest in Europe and
South America, also may cause market disruptions.
As a result of
continued political tensions and armed conflicts, including the Russian invasion
of Ukraine commencing in February of 2022, the extent and ultimate result of
which are unknown at this time, the United States and the EU, along with the
regulatory bodies of a number of countries, have imposed economic sanctions on
certain Russian corporate entities and individuals, and certain sectors of
Russia’s economy, which may result in, among other things, the continued
devaluation of Russian currency, a downgrade in the country’s credit
rating, and/or
a decline in the value and liquidity of Russian securities, property or
interests. These sanctions could also result in the immediate freeze of Russian
securities and/or funds invested in prohibited assets, impairing the ability of
a fund to buy, sell, receive or deliver those securities and/or assets. These
sanctions or the threat of additional sanctions could also result in Russia
taking counter measures or retaliatory actions, which may further impair the
value and liquidity of Russian securities. The United States and other nations
or international organizations may also impose additional economic sanctions or
take other actions that may adversely affect Russia-exposed issuers and
companies in various sectors of the Russian economy. Any or all of these
potential results could lead Russia’s economy into a recession. Economic
sanctions and other actions against Russian institutions, companies, and
individuals resulting from the ongoing conflict may also have a substantial
negative impact on other economies and securities markets both regionally and
globally, as well as on companies with operations in the conflict region, the
extent to which is unknown at this time. The United States and the EU have also
imposed similar sanctions on Belarus for its support of Russia’s invasion of
Ukraine. Additional sanctions may be imposed on Belarus and other countries that
support Russia. Any such sanctions could present substantially similar risks as
those resulting from the sanctions imposed on Russia, including substantial
negative impacts on the regional and global economies and securities
markets.
In addition,
there is a risk that the prices of goods and services in the United States and
many foreign economies may decline over time, known as deflation. Deflation may
have an adverse effect on stock prices and creditworthiness and may make
defaults on debt more likely. If a country’s economy slips into a deflationary
pattern, it could last for a prolonged period and may be difficult to reverse.
Further, there is a risk that the present value of assets or income from
investments will be less in the future, known as inflation. Inflation rates may
change frequently and drastically as a result of various factors, including
unexpected shifts in the domestic or global economy, and a fund’s investments
may be affected, which may reduce a fund’s performance. Further, inflation may
lead to the rise in interest rates, which may negatively affect the value of
debt instruments held by the fund, resulting in a negative impact on a fund’s
performance. Generally, securities issued in emerging markets are subject to a
greater risk of inflationary or deflationary forces, and more developed markets
are better able to use monetary policy to normalize markets.
Equity
securities risk
Common and
preferred stocks represent equity ownership in a company. Stock markets are
volatile. The price of equity securities will fluctuate, and can decline and
reduce the value of a fund investing in equities. The price of equity securities
fluctuates based on changes in a company’s financial condition and overall
market and economic conditions. The value of equity securities purchased by a
fund could decline if the financial condition of the companies in which the fund
is invested declines, or if overall market and economic conditions deteriorate.
An issuer’s financial condition could decline as a result of poor management
decisions, competitive pressures, technological obsolescence, undue reliance on
suppliers, labor issues, shortages, corporate restructurings, fraudulent
disclosures, irregular and/or unexpected trading activity
8
Fund
details
among retail
investors, or other factors. Changes in the financial condition of a single
issuer can impact the market as a whole.
Even a fund
that invests in high-quality, or blue chip, equity securities, or securities of
established companies with large market capitalizations (which generally have
strong financial characteristics), can be negatively impacted by poor overall
market and economic conditions. Companies with large market capitalizations may
also have less growth potential than smaller companies and may be less able to
react quickly to changes in the marketplace.
The fund
generally does not attempt to time the market. Because of its exposure to
equities, the possibility that stock market prices in general will decline over
short or extended periods subjects the fund to unpredictable declines in the
value of its investments, as well as periods of poor
performance.
Growth
investment style risk.
Certain equity
securities (generally referred to as growth securities) are purchased primarily
because a manager believes that these securities will experience relatively
rapid earnings growth. Growth securities typically trade at higher multiples of
current earnings than other securities. Growth securities are often more
sensitive to market fluctuations than other securities because their market
prices are highly sensitive to future earnings expectations. At times when it
appears that these expectations may not be met, growth stock prices typically
fall.
Value
investment style risk.
Certain equity
securities (generally referred to as value securities) are purchased primarily
because they are selling at prices below what the manager believes to be their
fundamental value and not necessarily because the issuing companies are expected
to experience significant earnings growth. The fund bears the risk that the
companies that issued these securities may not overcome the adverse business
developments or other factors causing their securities to be perceived by the
manager to be underpriced or that the market may never come to recognize their
fundamental value. A value security may not increase in price, as anticipated by
the manager investing in such securities, if other investors fail to recognize
the company’s value and bid up the price or invest in markets favoring faster
growing companies. The fund’s strategy of investing in value securities also
carries the risk that in certain markets, value securities will underperform
growth securities. In addition, securities issued by U.S. entities with
substantial foreign operations may involve risks relating to economic, political
or regulatory conditions in foreign countries.
ESG
integration risk
The manager
considers ESG factors that it deems relevant or additive, along with other
material factors and analysis, when managing the fund. The manager may consider
these ESG factors on all or a meaningful portion of the fund's investments. In
certain situations, the extent to which these ESG factors may be applied
according to the manager’s integrated investment process may not include U.S.
Treasuries, government securities, or other asset classes. ESG factors may
include, but are not limited to, matters regarding board diversity, climate
change policies, and supply chain and human rights policies. Incorporating ESG
criteria and making investment decisions based on certain ESG characteristics,
as determined by the manager, carries the risk that the
fund may
perform differently, including underperforming, funds that do not utilize ESG
criteria, or funds that utilize different ESG criteria. Integration of ESG
factors into the fund’s investment process may result in a manager making
different investments for the fund than for a fund with a similar investment
universe and/or investment style that does not incorporate such considerations
in its investment strategy or processes, and the fund’s investment performance
may be affected. Because ESG factors are one of many considerations for the
fund, the manager may nonetheless include companies with low ESG characteristics
or exclude companies with high ESG characteristics in the fund’s
investments.
The ESG
characteristics utilized in the fund’s investment process may change over time,
and different ESG characteristics may be relevant to different investments.
Although the manager has established its own structure to oversee ESG
integration in accordance with the fund’s investment objective and strategies,
successful integration of ESG factors will depend on the manager’s skill in
researching, identifying, and applying these factors, as well as on the
availability of relevant data. The method of evaluating ESG factors and
subsequent impact on portfolio composition, performance, proxy voting decisions
and other factors, is subject to the interpretation of the manager in accordance
with the fund’s investment objective and strategies. ESG factors may be
evaluated differently by different managers, and may not carry the same meaning
to all investors and managers. The manager may employ active shareowner
engagement to raise ESG issues with the management of select portfolio
companies. The regulatory landscape with respect to ESG investing in the United
States is evolving and any future rules or regulations may require the fund to
change its investment process with respect to ESG
integration.
Exchange-traded
funds (ETFs) risk
ETFs are a
type of investment company bought and sold on a securities exchange. A fund
could purchase shares of an ETF to gain exposure to a portion of the U.S. or a
foreign market. The risks of owning shares of an ETF include the risks of
directly owning the underlying securities and other instruments the ETF holds. A
lack of liquidity in an ETF (e.g., absence of an active trading market) could
result in the ETF being more volatile than its underlying securities. The
existence of extreme market volatility or potential lack of an active trading
market for an ETF’s shares could result in the ETF’s shares trading at a
significant premium or discount to its net asset value (NAV). An ETF has its own
fees and expenses, which are indirectly borne by the fund. A fund may also incur
brokerage and other related costs when it purchases and sells ETFs. Also, in the
case of passively-managed ETFs, there is a risk that an ETF may fail to closely
track the index or market segment that it is designed to track due to delays in
the ETF’s implementation of changes to the composition of the index or other
factors.
Foreign
securities risk
Funds that
invest in securities traded principally in securities markets outside the United
States are subject to additional and more varied risks, as the value of foreign
securities may change more rapidly and extremely than the value of U.S.
securities. Less information may be publicly available regarding foreign
issuers, including foreign government issuers. Foreign securities may be subject
to foreign taxes and may be more volatile than U.S. securities. Currency
fluctuations and political and
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Fund
details
economic
developments may adversely impact the value of foreign securities. The
securities markets of many foreign countries are relatively small, with a
limited number of companies representing a small number of industries.
Additionally, issuers of foreign securities may not be subject to the same
degree of regulation as U.S. issuers. Reporting, accounting, and auditing
standards of foreign countries differ, in some cases significantly, from U.S.
standards. There are generally higher commission rates on foreign portfolio
transactions, transfer taxes, higher custodial costs, and the possibility that
foreign taxes will be charged on dividends and interest payable on foreign
securities, some or all of which may not be reclaimable. Also, adverse changes
in investment or exchange control regulations (which may include suspension of
the ability to transfer currency or assets from a country); political changes;
or diplomatic developments could adversely affect a fund’s investments. In the
event of nationalization, expropriation, confiscatory taxation, or other
confiscation, the fund could lose a substantial portion of, or its entire
investment in, a foreign security. Some of the foreign securities risks are also
applicable to funds that invest a material portion of their assets in securities
of foreign issuers traded in the United States.
Depositary receipts are
subject to most of the risks associated with investing in foreign securities
directly because the value of a depositary receipt is dependent upon the market
price of the underlying foreign equity security. Depositary receipts are also
subject to liquidity risk. Additionally, the Holding Foreign Companies
Accountable Act (HFCAA) could cause securities of foreign companies, including
American depositary receipts, to be delisted from U.S. stock exchanges if the
companies do not allow the U.S. government to oversee the auditing of their
financial information. Although the requirements of the HFCAA apply to
securities of all foreign issuers, the SEC has thus far limited its enforcement
efforts to securities of Chinese companies. If securities are delisted, a fund’s
ability to transact in such securities will be impaired, and the liquidity and
market price of the securities may decline. The fund may also need to seek other
markets in which to transact in such securities, which could increase the fund’s
costs.
Currency
risk.
Currency risk
is the risk that fluctuations in exchange rates may adversely affect the U.S.
dollar value of a fund’s investments. Currency risk includes both the risk that
currencies in which a fund’s investments are traded, or currencies in which a
fund has taken an active investment position, will decline in value relative to
the U.S. dollar and, in the case of hedging positions, that the U.S. dollar will
decline in value relative to the currency being hedged. Currency rates in
foreign countries may fluctuate significantly for a number of reasons, including
the forces of supply and demand in the foreign exchange markets, actual or
perceived changes in interest rates, intervention (or the failure to intervene)
by U.S. or foreign governments or central banks, or currency controls or
political developments in the United States or abroad. Certain funds may engage
in proxy hedging of currencies by entering into derivative transactions with
respect to a currency whose value is expected to correlate to the value of a
currency the fund owns or wants to own. This presents the risk that the two
currencies may not move in relation to one another as expected. In that case,
the fund could lose money on its investment and also lose money on the position
designed to act as a proxy hedge. Certain funds may also take active currency
positions and may cross-hedge currency exposure represented by
their
securities into another foreign currency. This may result in a fund’s currency
exposure being substantially different than that suggested by its securities
investments. All funds with foreign currency holdings and/or that invest or
trade in securities denominated in foreign currencies or related derivative
instruments may be adversely affected by changes in foreign currency exchange
rates. Derivative foreign currency transactions (such as futures, forwards, and
swaps) may also involve leveraging risk, in addition to currency risk. Leverage
may disproportionately increase a fund’s portfolio losses and reduce
opportunities for gain when interest rates, stock prices, or currency rates are
changing.
Hedging,
derivatives, and other strategic transactions risk
The ability of
a fund to utilize hedging, derivatives, and other strategic transactions to
benefit the fund will depend in part on its manager’s ability to predict
pertinent market movements and market risk, counterparty risk, credit risk,
interest-rate risk, and other risk factors, none of which can be assured. The
skills required to utilize hedging and other strategic transactions are
different from those needed to select a fund’s securities. Even if the manager
only uses hedging and other strategic transactions in a fund primarily for
hedging purposes or to gain exposure to a particular securities market, if the
transaction does not have the desired outcome, it could result in a significant
loss to a fund. The amount of loss could be more than the principal amount
invested. These transactions may also increase the volatility of a fund and may
involve a small investment of cash relative to the magnitude of the risks
assumed, thereby magnifying the impact of any resulting gain or loss. For
example, the potential loss from the use of futures can exceed a fund’s initial
investment in such contracts. In addition, these transactions could result in a
loss to a fund if the counterparty to the transaction does not perform as
promised.
A fund may
invest in derivatives, which are financial contracts with a value that depends
on, or is derived from, the value of underlying assets, reference rates, or
indexes. Derivatives may relate to stocks, bonds, interest rates, currencies or
currency exchange rates, and related indexes. A fund may use derivatives for
many purposes, including for hedging and as a substitute for direct investment
in securities or other assets. Derivatives may be used in a way to efficiently
adjust the exposure of a fund to various securities, markets, and currencies
without a fund actually having to sell existing investments and make new
investments. This generally will be done when the adjustment is expected to be
relatively temporary or in anticipation of effecting the sale of fund assets and
making new investments over time. Further, since many derivatives have a
leverage component, adverse changes in the value or level of the underlying
asset, reference rate, or index can result in a loss substantially greater than
the amount invested in the derivative itself. Certain derivatives have the
potential for unlimited loss, regardless of the size of the initial investment.
When a fund uses derivatives for leverage, investments in that fund will tend to
be more volatile, resulting in larger gains or losses in response to market
changes. To limit risks associated with leverage, a fund is required to comply
with Rule 18f-4 under the Investment Company Act of 1940, as amended (the
Derivatives Rule) as outlined below. For a description of the various derivative
instruments the fund may utilize, refer to the SAI.
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Fund
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The regulation
of the U.S. and non-U.S. derivatives markets has undergone substantial change in
recent years and such change may continue. In particular, the Dodd-Frank Wall
Street Reform and Consumer Protection Act, and regulations promulgated or
proposed thereunder require many derivatives to be cleared and traded on an
exchange, expand entity registration requirements, impose business conduct
requirements on dealers that enter into swaps with a pension plan, endowment,
retirement plan or government entity, and required banks to move some
derivatives trading units to a non-guaranteed affiliate separate from the
deposit-taking bank or divest them altogether. Although the Commodity Futures
Trading Commission (CFTC) has released final rules relating to clearing,
reporting, recordkeeping and registration requirements under the legislation,
many of the provisions are subject to further final rule making, and thus its
ultimate impact remains unclear. New regulations could, among other things,
restrict the fund’s ability to engage in derivatives transactions (for example,
by making certain types of derivatives transactions no longer available to the
fund) and/or increase the costs of such derivatives transactions (for example,
by increasing margin or capital requirements), and the fund may be unable to
fully execute its investment strategies as a result. Limits or restrictions
applicable to the counterparties with which the fund engages in derivative
transactions also could prevent the fund from using these instruments or affect
the pricing or other factors relating to these instruments, or may change the
availability of certain investments.
The
Derivatives Rule mandates that a fund adopt and/or implement: (i) value-at-risk
limitations (VaR); (ii) a written derivatives risk management program; (iii) new
Board oversight responsibilities; and (iv) new reporting and recordkeeping
requirements. In the event that a fund’s derivative exposure is 10% or less of
its net assets, excluding certain currency and interest rate hedging
transactions, it can elect to be classified as a limited derivatives user
(Limited Derivatives User) under the Derivatives Rule, in which case the fund is
not subject to the full requirements of the Derivatives Rule. Limited
Derivatives Users are excepted from VaR testing, implementing a derivatives risk
management program, and certain Board oversight and reporting requirements
mandated by the Derivatives Rule. However, a Limited Derivatives User is still
required to implement written compliance policies and procedures reasonably
designed to manage its derivatives risks.
The
Derivatives Rule also provides special treatment for reverse repurchase
agreements, similar financing transactions and unfunded commitment agreements.
Specifically, a fund may elect whether to treat reverse repurchase agreements
and similar financing transactions as “derivatives transactions” subject to the
requirements of the Derivatives Rule or as senior securities equivalent to bank
borrowings for purposes of Section 18 of the Investment Company Act of 1940. In
addition, when-issued or forward settling securities transactions that
physically settle within 35-days are deemed not to involve a senior
security.
At any time
after the date of this prospectus, legislation may be enacted that could
negatively affect the assets of the fund. Legislation or regulation may change
the way in which the fund itself is regulated. The advisor cannot predict the
effects of any new governmental regulation that may be implemented, and there
can be no assurance that any new governmental regulation will not adversely
affect the fund’s ability to achieve its investment objectives.
The use of
derivative instruments may involve risks different from, or potentially greater
than, the risks associated with investing directly in securities and other, more
traditional assets. In particular, the use of derivative instruments exposes a
fund to the risk that the counterparty to an OTC derivatives contract will be
unable or unwilling to make timely settlement payments or otherwise honor its
obligations. OTC derivatives transactions typically can only be closed out with
the other party to the transaction, although either party may engage in an
offsetting transaction that puts that party in the same economic position as if
it had closed out the transaction with the counterparty or may obtain the other
party’s consent to assign the transaction to a third party. If the counterparty
defaults, the fund will have contractual remedies, but there is no assurance
that the counterparty will meet its contractual obligations or that, in the
event of default, the fund will succeed in enforcing them. For example, because
the contract for each OTC derivatives transaction is individually negotiated
with a specific counterparty, a fund is subject to the risk that a counterparty
may interpret contractual terms (e.g., the definition of default) differently
than the fund when the fund seeks to enforce its contractual rights. If that
occurs, the cost and unpredictability of the legal proceedings required for the
fund to enforce its contractual rights may lead it to decide not to pursue its
claims against the counterparty. The fund, therefore, assumes the risk that it
may be unable to obtain payments owed to it under OTC derivatives contracts or
that those payments may be delayed or made only after the fund has incurred the
costs of litigation. While a manager intends to monitor the creditworthiness of
counterparties, there can be no assurance that a counterparty will meet its
obligations, especially during unusually adverse market conditions. To the
extent a fund contracts with a limited number of counterparties, the fund’s risk
will be concentrated and events that affect the creditworthiness of any of those
counterparties may have a pronounced effect on the fund. Derivatives are also
subject to a number of other risks, including market risk, liquidity risk and
operational risk. Since the value of derivatives is calculated and derived from
the value of other assets, instruments, or references, there is a risk that they
will be improperly valued. Derivatives also involve the risk that changes in
their value may not correlate perfectly with the assets, rates, or indexes they
are designed to hedge or closely track. Suitable derivatives transactions may
not be available in all circumstances. The fund is also subject to the risk that
the counterparty closes out the derivatives transactions upon the occurrence of
certain triggering events. In addition, a manager may determine not to use
derivatives to hedge or otherwise reduce risk exposure. Government legislation
or regulation could affect the use of derivatives transactions and could limit a
fund’s ability to pursue its investment strategies.
A detailed
discussion of various hedging and other strategic transactions appears in the
SAI. To the extent that the fund utilizes the following list of certain
derivatives and other strategic transactions, it will be subject to associated
risks. The main risks of each appear below.
Futures
contracts.
Counterparty
risk, liquidity risk (i.e., the inability to enter into closing transactions),
and risk of disproportionate loss are the principal risks of engaging in
transactions involving futures contracts.
Interest-rate
swaps.
Counterparty
risk, liquidity risk (i.e., the inability to enter into closing transactions),
interest-rate risk, and risk
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Fund
details
of
disproportionate loss are the principal risks of engaging in transactions
involving interest-rate swaps.
Options.
Counterparty
risk, liquidity risk (i.e., the inability to enter into closing transactions),
and risk of disproportionate loss are the principal risks of engaging in
transactions involving options. Counterparty risk does not apply to
exchange-traded options.
Swaps.
Counterparty
risk, liquidity risk (i.e., the inability to enter into closing transactions),
interest-rate risk, settlement risk, risk of default of the underlying reference
obligation, and risk of disproportionate loss are the principal risks of
engaging in transactions involving swaps.
Investment
company securities risk
Fund
shareholders indirectly bear their proportionate share of the expenses of any
investment company in which the fund invests. The total return on such
investments will be reduced by the operating expenses and fees of such other
investment companies, including advisory fees. Investments in closed-end funds
may involve the payment of substantial premiums above the value of such
investment companies’ portfolio securities.
Large
company risk
Larger, more
established companies may be unable to respond quickly to new competitive
challenges such as changes in technology and consumer tastes. Many larger
companies also may not be able to attain the high growth rate of successful
smaller companies, especially during extended periods of economic expansion. For
purposes of the fund’s investment policies, the market capitalization of a
company is based on its capitalization at the time the fund purchases the
company’s securities. Market capitalizations of companies change over time. The
fund is not obligated to sell a company’s security simply because, subsequent to
its purchase, the company’s market capitalization has changed to be outside the
capitalization range, if any, in effect for the fund.
Liquidity
risk
The extent (if
at all) to which a security may be sold or a derivative position closed without
negatively impacting its market value may be impaired by reduced market activity
or participation, legal restrictions, or other economic and market impediments.
Funds with principal investment strategies that involve investments in
securities of companies with smaller market capitalizations, foreign securities,
derivatives, or securities with substantial market and/or credit risk tend to
have the greatest exposure to liquidity risk. Exposure to liquidity risk may be
heightened for funds that invest in securities of emerging markets and related
derivatives that are not widely traded, and that may be subject to purchase and
sale restrictions.
Operational
and cybersecurity risk
With the
increased use of technologies, such as mobile devices and “cloud”-based service
offerings and the dependence on the internet and computer systems to perform
necessary business functions, the fund’s service providers are susceptible to
operational and information or cybersecurity risks that could result in losses
to the fund and its shareholders. Intentional cybersecurity breaches include
unauthorized access to systems, networks, or devices (such as through “hacking”
activity or
“phishing”); infection from computer viruses or other malicious software code;
and attacks that shut down, disable, slow, or otherwise disrupt operations,
business processes, or website access or functionality. Cyber-attacks can also
be carried out in a manner that does not require gaining unauthorized access,
such as causing denial-of-service attacks on the service providers’ systems or
websites rendering them unavailable to intended users or via “ransomware” that
renders the systems inoperable until appropriate actions are taken. In addition,
unintentional incidents can occur, such as the inadvertent release of
confidential information (possibly resulting in the violation of applicable
privacy laws).
A
cybersecurity breach could result in the loss or theft of customer data or
funds, loss or theft of proprietary information or corporate data, physical
damage to a computer or network system, or costs associated with system repairs.
Such incidents could cause a fund, the advisor, a manager, or other service
providers to incur regulatory penalties, reputational damage, additional
compliance costs, litigation costs or financial loss. In addition, such
incidents could affect issuers in which a fund invests, and thereby cause the
fund’s investments to lose value.
Cyber-events
have the potential to materially affect the fund and the advisor’s relationships
with accounts, shareholders, clients, customers, employees, products, and
service providers. The fund has established risk management systems reasonably
designed to seek to reduce the risks associated with cyber-events. There is no
guarantee that the fund will be able to prevent or mitigate the impact of any or
all cyber-events.
The fund is
exposed to operational risk arising from a number of factors, including, but not
limited to, human error, processing and communication errors, errors of the
fund’s service providers, counterparties, or other third parties, failed or
inadequate processes and technology or system failures.
In addition,
other disruptive events, including (but not limited to) natural disasters and
public health crises may adversely affect the fund’s ability to conduct
business, in particular if the fund’s employees or the employees of its service
providers are unable or unwilling to perform their responsibilities as a result
of any such event. Even if the fund’s employees and the employees of its service
providers are able to work remotely, those remote work arrangements could result
in the fund’s business operations being less efficient than under normal
circumstances, could lead to delays in its processing of transactions, and could
increase the risk of cyber-events.
Preferred
and convertible securities risk
Unlike
interest on debt securities, preferred stock dividends are payable only if
declared by the issuer’s board. Also, preferred stock may be subject to optional
or mandatory redemption provisions. The market values of convertible securities
tend to fall as interest rates rise and rise as interest rates fall. The value
of convertible preferred stock can depend heavily upon the value of the security
into which such convertible preferred stock is converted, depending on whether
the market price of the underlying security exceeds the conversion
price.
Repurchase
agreements risk
The risk of a
repurchase agreement transaction is limited to the ability of the seller to pay
the agreed-upon sum on the delivery date. In the event of
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Fund
details
bankruptcy or
other default by the seller, the instrument purchased may decline in value,
interest payable on the instrument may be lost and there may be possible
difficulties and delays in obtaining collateral and delays and expense in
liquidating the instrument. If an issuer of a repurchase agreement fails to
repurchase the underlying obligation, the loss, if any, would be the difference
between the repurchase price and the underlying obligation’s market value. The
fund might also incur certain costs in liquidating the underlying obligation.
Moreover, if bankruptcy or other insolvency proceedings are commenced with
respect to the seller, realization upon the underlying obligation might be
delayed or limited.
Sector
risk
When a fund’s
investments are focused in one or more sectors of the economy, they are less
broadly invested across industries or sectors than other funds. This means that
focused funds tend to be more volatile than other funds, and the values of their
investments tend to go up and down more rapidly. In addition, a fund that
invests in particular sectors is particularly susceptible to the impact of
market, economic, political, regulatory, and other conditions and risks
affecting those sectors. From time to time, a small number of companies may
represent a large portion of a single sector or a group of related sectors as a
whole.
Small
and mid-sized company risk
Market risk
and liquidity risk may be pronounced for securities of companies with
medium-sized market capitalizations and are particularly pronounced for
securities of companies with smaller market capitalizations. These companies may
have limited product lines, markets, or financial resources, or they may depend
on a few key employees. The securities of companies with medium and smaller
market capitalizations may trade less frequently and in lesser volume than more
widely held securities, and their value may fluctuate more sharply than those
securities. They may also trade in the OTC market or on a regional exchange, or
may otherwise have limited liquidity. Investments in less-seasoned companies
with medium and smaller market capitalizations may present greater opportunities
for growth and capital appreciation, but also involve greater risks than are
customarily associated with more established companies with larger market
capitalizations. These risks apply to all funds that invest in the securities of
companies with smaller- or medium-sized market capitalizations. For purposes of
the fund’s investment policies, the market capitalization of a company is based
on its capitalization at the time the fund purchases the company’s securities.
Market capitalizations of companies change over time. The fund is not obligated
to sell a company’s security simply because, subsequent to its purchase, the
company’s market capitalization has changed to be outside the capitalization
range, if any, in effect for the fund.
U.S.
Government Securities
The fund may
invest in U.S. government securities issued or guaranteed by the U.S. government
or by an agency or instrumentality of the U.S. government. Not all U.S.
government securities are backed by the full faith and credit of the United
States. Some are supported only by the credit of the issuing agency or
instrumentality, which depends entirely on its own resources to repay the debt.
U.S. government securities that are backed by the full faith and credit of the
United States include U.S. Treasuries and mortgage-backed securities guaranteed
by the
Government
National Mortgage Association. Securities that are only supported by the credit
of the issuing agency or instrumentality include Fannie Mae, FHLBs and Freddie
Mac. See “Credit and counterparty risk” for additional information on Fannie Mae
and Freddie Mac securities.
Who’s
who
The following
are the names of the various entities involved with the fund’s investment and
business operations, along with brief descriptions of the role each entity
performs.
Board
of Trustees
The Trustees
oversee the fund’s business activities and retain the services of the various
firms that carry out the fund’s operations.
Investment
advisor
The investment
advisor manages the fund’s business and investment activities.
John
Hancock Investment Management LLC
200 Berkeley Street
Boston, MA 02116
200 Berkeley Street
Boston, MA 02116
Founded in
1968, the advisor is an indirect principally owned subsidiary of John Hancock
Life Insurance Company (U.S.A.), which in turn is a subsidiary of Manulife
Financial Corporation.
The advisor’s parent company
has been helping individuals and institutions work toward their financial goals
since 1862. The advisor offers investment solutions managed by leading
institutional money managers, taking a disciplined team approach to portfolio
management and research, leveraging the expertise of seasoned investment
professionals. As of September 30, 2024, the advisor had total assets under
management of approximately $169.5 billion.
Subject to
general oversight by the Board of Trustees, the advisor manages and supervises
the investment operations and business affairs of the fund. The advisor selects,
contracts with and compensates one or more subadvisors to manage all or a
portion of the fund’s portfolio assets, subject to oversight by the advisor. In
this role, the advisor has supervisory responsibility for managing the
investment and reinvestment of the fund’s portfolio assets through proactive
oversight and monitoring of the subadvisor and the fund, as described in further
detail below. The advisor is responsible for developing overall investment
strategies for the fund and overseeing and implementing the fund’s continuous
investment programs and provides a variety of advisory oversight and investment
research services. The advisor also provides management and transition services
associated with certain fund events (e.g., strategy, portfolio manager, or
subadvisor changes) and coordinates and oversees services provided under other
agreements.
The advisor
has ultimate responsibility to oversee a subadvisor and recommend to the Board
of Trustees its hiring, termination, and replacement. In this capacity, the
advisor, among other things: (i) monitors on a daily basis the compliance of the
subadvisor with the investment objectives and related policies of the fund; (ii)
monitors significant changes that may impact the subadvisor's overall business
and regularly performs due diligence reviews of the subadvisor; (iii) reviews
the performance of the subadvisor; and (iv) reports periodically
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Fund
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on such
performance to the Board of Trustees. The advisor employs a team of investment
professionals who provide these ongoing research and monitoring
services.
The fund
relies on an order from the Securities and Exchange Commission (SEC) permitting
the advisor, subject to approval by the Board of Trustees, to appoint a
subadvisor or change the terms of a subadvisory agreement without obtaining
shareholder approval. The fund, therefore, is able to change subadvisors or the
fees paid to a subadvisor, from time to time, without the expense and delays
associated with obtaining shareholder approval of the change. This order does
not, however, permit the advisor to appoint a subadvisor that is an affiliate of
the advisor or the fund (other than by reason of serving as a subadvisor to the
fund), or to increase the subadvisory fee of an affiliated subadvisor, without
the approval of the shareholders.
Management
fee
The fund pays
the advisor a management fee for its services to the fund. The advisor in turn
pays the fees of the subadvisor. The management fee is stated as an annual
percentage of the aggregate net assets of the fund (together with the assets of
any other applicable fund identified in the advisory agreement) determined in
accordance with the following schedule, and that rate is applied to the average
daily net assets of the fund.
|
Average
daily aggregate net assets ($) |
Annual
rate (%) |
|
First
2.5 billion |
0.675 |
|
Excess
over 2.5 billion |
0.650 |
During its most recent fiscal
period, the fund paid the advisor a management fee equal to 0.60% of average
daily net assets (including any waivers and/or
reimbursements).
The basis for the Board of
Trustees’ approval of the advisory fees, and of the investment advisory
agreement overall, including the subadvisory agreement, is discussed in the
fund’s most recent Form N-CSR filing for the period ended July
31.
Additional
information about fund expenses
The fund’s
annual operating expenses will likely vary throughout the period and from year
to year. The fund’s expenses for the current fiscal year may be higher than the
expenses listed in the fund’s “Annual fund operating expenses” table, for some
of the following reasons: (i) a significant decrease in average net assets may
result in a higher advisory fee rate if any advisory fee breakpoints are not
achieved; (ii) a significant decrease in average net assets may result in an
increase in the expense ratio because certain fund expenses do not decrease as
asset levels decrease; or (iii) fees may be incurred for extraordinary events
such as fund tax expenses.
The advisor
voluntarily agrees to reduce its management fee for the fund, or if necessary
make payment to the fund, in an amount equal to the amount by which the “other
expenses” of the fund exceed 0.20% of the average daily net assets of the fund.
For purposes of this agreement, “other expenses” means all the expenses of the
fund, excluding (a) taxes, (b) brokerage commissions, (c) interest expense, (d)
litigation and indemnification expenses and other extraordinary expenses not
incurred in the ordinary course of the fund’s business, (e) investment
management
fees, (f)
class-specific expenses, (g) borrowing costs, (h) prime brokerage fees, (i)
acquired fund fees and expenses paid indirectly, and (j) short dividend expense.
The advisor may terminate this voluntary waiver at any time upon notice to the
fund.
Subadvisor
The subadvisor
handles the fund’s portfolio management activities, subject to oversight by the
advisor.
Manulife
Investment Management (US) LLC
197 Clarendon Street
Boston, MA 02116
197 Clarendon Street
Boston, MA 02116
Manulife Investment Management
(US) LLC (Manulife IM (US)) provides investment advisory services to individual
and institutional investors. Manulife IM (US) is a wholly owned subsidiary of
John Hancock Life Insurance Company (U.S.A.) (a subsidiary of Manulife Financial
Corporation) and, as of September 30, 2024, had total assets under management of
approximately $220.49 billion.
The following
are brief biographical profiles of the leaders of the fund’s investment
management team, in alphabetical order. These managers are jointly and primarily
responsible for the day-to-day management of the fund’s portfolio. These
managers are employed by Manulife IM (US). For more details about these
individuals, including information about their compensation, other accounts they
manage, and any investments they may have in the fund, see the
SAI.
Emory
W. (Sandy) Sanders, Jr., CFA
●
Senior
Portfolio Manager
●
Managed the
fund since 2011
●
Joined
Manulife IM (US) in 2010
Jonathan
T. White, CFA
●
Senior
Portfolio Manager
●
Managed the
fund since 2015
●
Joined
Manulife IM (US) in 2011
Custodian
The custodian
holds the fund’s assets, settles all portfolio trades, and collects most of the
valuation data required for calculating the fund’s net asset
value.
State
Street Bank and Trust Company
One Congress Street, Suite 1
Boston, MA 02114
One Congress Street, Suite 1
Boston, MA 02114
Principal
distributor
The principal
distributor markets the fund and distributes shares through selling brokers,
financial planners, and other financial professionals.
John
Hancock Investment Management Distributors LLC
200 Berkeley Street
Boston, MA 02116
200 Berkeley Street
Boston, MA 02116
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Fund
details
Transfer
agent
The transfer
agent handles shareholder services, including recordkeeping and statements,
distribution of dividends, and processing of buy-and-sell requests.
John
Hancock Signature Services, Inc.
P.O. Box 219909
Kansas City, MO 64121-9909
P.O. Box 219909
Kansas City, MO 64121-9909
Additional
information
The fund has
entered into contractual arrangements with various parties that provide services
to the fund, which may include, among others, the advisor, subadvisor,
custodian, principal distributor, and transfer agent, as described above and in
the SAI. Fund shareholders are not parties to, or intended or “third-party”
beneficiaries of, any of these contractual arrangements. These contractual
arrangements are not intended to, nor do they, create in any individual
shareholder or group of shareholders any right, either directly or on behalf of
the fund, to either: (a) enforce such contracts against the service providers;
or (b) seek any remedy under such contracts against the service
providers.
The advisor
internally credits a portion of its profits to an affiliated business, John
Hancock Retirement (JHR), which is the record keeper for certain 401(k) plans
that invest in Class R6 shares. JHR may reduce the record keeping fees paid to
it by such 401(k) plans by a commensurate amount. JHR may discontinue this
practice with adequate notice to plan sponsors.
This
prospectus provides information concerning the fund that you should consider in
determining whether to purchase shares of the fund. Each of this prospectus, the
SAI, or any contract that is an exhibit to the fund’s registration statement, is
not intended to, nor does it, give rise to an agreement or contract between the
fund and any investor. Each such document also does not give rise to any
contract or create rights in any individual shareholder, group of shareholders,
or other person. The foregoing disclosure should not be read to suggest any
waiver of any rights conferred by federal or state securities laws.
15
Fund
details
Financial
highlights
These tables
detail the financial performance of each share class described in this
prospectus, including total return information showing how much an investment in
the fund has increased or decreased for the periods shown below (assuming
reinvestment of all dividends and distributions). Certain information reflects
financial results for a single fund share.
The financial statements of
the fund as of July 31, 2024, have been audited by PricewaterhouseCoopers LLP
(PwC), the fund’s independent registered public accounting firm. The report of
PwC, along with the fund’s financial statements in the fund’s Form N-CSR filing
for the fiscal period ended July 31, 2024, has been incorporated by reference
into the SAI. Copies of the fund’s most recent Form N-CSR filing are available
upon request.
|
Fundamental
All Cap Core Fund Class A Shares | |||||
|
Per
share operating performance Period
ended |
7-31-24 |
7-31-23 |
7-31-22 |
7-31-21 |
7-31-20 |
|
Net
asset value, beginning of period |
$28.42 |
$26.23 |
$29.93 |
$21.48 |
$18.51 |
|
Net
investment income (loss)1 |
0.05 |
—
2 |
(0.06
) |
(0.10
) |
(0.02
) |
|
Net
realized and unrealized gain (loss) on investments |
6.93 |
3.36 |
(2.58
) |
9.29 |
2.99 |
|
Total
from investment operations |
6.98 |
3.36 |
(2.64
) |
9.19 |
2.97 |
|
Less
distributions |
|
|
|
|
|
|
From
net investment income |
(0.04
) |
— |
— |
— |
—
2 |
|
From
net realized gain |
— |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Total
distributions |
(0.04
) |
(1.17
) |
(1.06
) |
(0.74
) |
—
2 |
|
Net
asset value, end of period |
$35.36 |
$28.42 |
$26.23 |
$29.93 |
$21.48 |
|
Total
return (%)3,4 |
24.58 |
14.00 |
(9.29
) |
43.58 |
16.05 |
|
Ratios
and supplemental data |
|
|
|
|
|
|
Net
assets, end of period (in millions) |
$165 |
$112 |
$91 |
$74 |
$53 |
|
Ratios
(as a percentage of average net assets): |
|
|
|
|
|
|
Expenses
before reductions |
1.20 |
1.24 |
1.23 |
1.31 |
1.40 |
|
Expenses
including reductions |
1.13 |
1.13 |
1.12 |
1.24 |
1.27 |
|
Net
investment income (loss) |
0.16 |
—
5 |
(0.21
) |
(0.39
) |
(0.11
) |
|
Portfolio
turnover (%) |
12 |
36 |
25 |
18 |
22 |
|
1 |
Based
on average daily shares outstanding. |
|
2 |
Less
than $0.005 per share. |
|
3 |
Total
returns would have been lower had certain expenses not been reduced during
the applicable periods. |
|
4 |
Does
not reflect the effect of sales charges, if any. |
|
5 |
Less
than 0.005%. |
16
Fund
details
|
Fundamental
All Cap Core Fund Class C Shares | |||||
|
Per
share operating performance Period
ended |
7-31-24 |
7-31-23 |
7-31-22 |
7-31-21 |
7-31-20 |
|
Net
asset value, beginning of period |
$26.54 |
$24.75 |
$28.48 |
$20.62 |
$17.89 |
|
Net
investment loss1 |
(0.14
) |
(0.17
) |
(0.24
) |
(0.27
) |
(0.15
) |
|
Net
realized and unrealized gain (loss) on investments |
6.43 |
3.13 |
(2.43
) |
8.87 |
2.88 |
|
Total
from investment operations |
6.29 |
2.96 |
(2.67
) |
8.60 |
2.73 |
|
Less
distributions |
|
|
|
|
|
|
From
net realized gain |
— |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Net
asset value, end of period |
$32.83 |
$26.54 |
$24.75 |
$28.48 |
$20.62 |
|
Total
return (%)2,3 |
23.70 |
13.19 |
(9.88
) |
42.51 |
15.26 |
|
Ratios
and supplemental data |
|
|
|
|
|
|
Net
assets, end of period (in millions) |
$21 |
$12 |
$10 |
$8 |
$6 |
|
Ratios
(as a percentage of average net assets): |
|
|
|
|
|
|
Expenses
before reductions |
1.90 |
1.94 |
1.93 |
2.01 |
2.10 |
|
Expenses
including reductions |
1.83 |
1.83 |
1.82 |
1.94 |
1.97 |
|
Net
investment loss |
(0.54
) |
(0.71
) |
(0.91
) |
(1.09
) |
(0.81
) |
|
Portfolio
turnover (%) |
12 |
36 |
25 |
18 |
22 |
|
1 |
Based
on average daily shares outstanding. |
|
2 |
Total
returns would have been lower had certain expenses not been reduced during
the applicable periods. |
|
3 |
Does
not reflect the effect of sales charges, if
any. |
|
Fundamental
All Cap Core Fund Class I Shares | |||||
|
Per
share operating performance Period
ended |
7-31-24 |
7-31-23 |
7-31-22 |
7-31-21 |
7-31-20 |
|
Net
asset value, beginning of period |
$29.26 |
$26.89 |
$30.56 |
$21.86 |
$18.82 |
|
Net
investment income (loss)1 |
0.13 |
0.08 |
0.03 |
(0.03
) |
0.04 |
|
Net
realized and unrealized gain (loss) on investments |
7.15 |
3.46 |
(2.64
) |
9.47 |
3.03 |
|
Total
from investment operations |
7.28 |
3.54 |
(2.61
) |
9.44 |
3.07 |
|
Less
distributions |
|
|
|
|
|
|
From
net investment income |
(0.11
) |
— |
— |
— |
(0.03
) |
|
From
net realized gain |
— |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Total
distributions |
(0.11
) |
(1.17
) |
(1.06
) |
(0.74
) |
(0.03
) |
|
Net
asset value, end of period |
$36.43 |
$29.26 |
$26.89 |
$30.56 |
$21.86 |
|
Total
return (%)2 |
24.95 |
14.33 |
(9.00
) |
43.97 |
16.34 |
|
Ratios
and supplemental data |
|
|
|
|
|
|
Net
assets, end of period (in millions) |
$252 |
$123 |
$120 |
$38 |
$18 |
|
Ratios
(as a percentage of average net assets): |
|
|
|
|
|
|
Expenses
before reductions |
0.90 |
0.94 |
0.93 |
1.01 |
1.10 |
|
Expenses
including reductions |
0.83 |
0.83 |
0.83 |
0.94 |
0.97 |
|
Net
investment income (loss) |
0.45 |
0.31 |
0.10 |
(0.10
) |
0.19 |
|
Portfolio
turnover (%) |
12 |
36 |
25 |
18 |
22 |
|
1 |
Based
on average daily shares outstanding. |
|
2 |
Total
returns would have been lower had certain expenses not been reduced during
the applicable periods. |
17
Fund
details
|
Fundamental
All Cap Core Fund Class R2 Shares | |||||
|
Per
share operating performancePeriod
ended |
7-31-24 |
7-31-23 |
7-31-22 |
7-31-21 |
7-31-20 |
|
Net
asset value, beginning of period |
$28.52 |
$26.34 |
$30.07 |
$21.61 |
$18.64 |
|
Net
investment income (loss)1 |
0.02 |
(0.02
) |
(0.09
) |
(0.13
) |
(0.04
) |
|
Net
realized and unrealized gain (loss) on investments |
6.96 |
3.37 |
(2.58
) |
9.33 |
3.01 |
|
Total
from investment operations |
6.98 |
3.35 |
(2.67
) |
9.20 |
2.97 |
|
Less
distributions |
|
|
|
|
|
|
From
net investment income |
(0.01
) |
— |
— |
— |
— |
|
From
net realized gain |
— |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Total
distributions |
(0.01
) |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Net
asset value, end of period |
$35.49 |
$28.52 |
$26.34 |
$30.07 |
$21.61 |
|
Total
return (%)2 |
24.49 |
13.89 |
(9.35
) |
43.35 |
15.93 |
|
Ratios
and supplemental data |
|
|
|
|
|
|
Net
assets, end of period (in millions) |
$—
3 |
$—
3 |
$—
3 |
$—
3 |
$—
3 |
|
Ratios
(as a percentage of average net assets): |
|
|
|
|
|
|
Expenses
before reductions |
1.29 |
1.33 |
1.32 |
1.40 |
1.49 |
|
Expenses
including reductions |
1.21 |
1.21 |
1.21 |
1.34 |
1.36 |
|
Net
investment income (loss) |
0.07 |
(0.09
) |
(0.30
) |
(0.49
) |
(0.21
) |
|
Portfolio
turnover (%) |
12 |
36 |
25 |
18 |
22 |
|
1 |
Based
on average daily shares outstanding. |
|
2 |
Total
returns would have been lower had certain expenses not been reduced during
the applicable periods. |
|
3 |
Less
than $500,000. |
|
Fundamental
All Cap Core Fund Class R4 Shares | |||||
|
Per
share operating performancePeriod
ended |
7-31-24 |
7-31-23 |
7-31-22 |
7-31-21 |
7-31-20 |
|
Net
asset value, beginning of period |
$29.11 |
$26.77 |
$30.45 |
$21.79 |
$18.75 |
|
Net
investment income (loss)1 |
0.13 |
0.06 |
0.01 |
(0.03
) |
0.01 |
|
Net
realized and unrealized gain (loss) on investments |
7.09 |
3.45 |
(2.63
) |
9.43 |
3.05 |
|
Total
from investment operations |
7.22 |
3.51 |
(2.62
) |
9.40 |
3.06 |
|
Less
distributions |
|
|
|
|
|
|
From
net investment income |
(0.10
) |
— |
— |
— |
(0.02
) |
|
From
net realized gain |
— |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Total
distributions |
(0.10
) |
(1.17
) |
(1.06
) |
(0.74
) |
(0.02
) |
|
Net
asset value, end of period |
$36.23 |
$29.11 |
$26.77 |
$30.45 |
$21.79 |
|
Total
return (%)2 |
24.85 |
14.28 |
(9.06
) |
43.92 |
16.32 |
|
Ratios
and supplemental data |
|
|
|
|
|
|
Net
assets, end of period (in millions) |
$—
3 |
$—
3 |
$—
3 |
$—
3 |
$—
3 |
|
Ratios
(as a percentage of average net assets): |
|
|
|
|
|
|
Expenses
before reductions |
1.06 |
1.11 |
1.08 |
1.15 |
1.24 |
|
Expenses
including reductions |
0.89 |
0.89 |
0.87 |
0.99 |
1.00 |
|
Net
investment income (loss) |
0.40 |
0.23 |
0.04 |
(0.13
) |
0.06 |
|
Portfolio
turnover (%) |
12 |
36 |
25 |
18 |
22 |
|
1 |
Based
on average daily shares outstanding. |
|
2 |
Total
returns would have been lower had certain expenses not been reduced during
the applicable periods. |
|
3 |
Less
than $500,000. |
18
Fund
details
|
Fundamental
All Cap Core Fund Class R6 Shares | |||||
|
Per
share operating performance Period
ended |
7-31-24 |
7-31-23 |
7-31-22 |
7-31-21 |
7-31-20 |
|
Net
asset value, beginning of period |
$29.45 |
$27.03 |
$30.68 |
$21.92 |
$18.86 |
|
Net
investment income1 |
0.17 |
0.10 |
0.06 |
—
2 |
0.06 |
|
Net
realized and unrealized gain (loss) on investments |
7.20 |
3.49 |
(2.65
) |
9.50 |
3.05 |
|
Total
from investment operations |
7.37 |
3.59 |
(2.59
) |
9.50 |
3.11 |
|
Less
distributions |
|
|
|
|
|
|
From
net investment income |
(0.14
) |
— |
— |
— |
(0.05
) |
|
From
net realized gain |
— |
(1.17
) |
(1.06
) |
(0.74
) |
— |
|
Total
distributions |
(0.14
) |
(1.17
) |
(1.06
) |
(0.74
) |
(0.05
) |
|
Net
asset value, end of period |
$36.68 |
$29.45 |
$27.03 |
$30.68 |
$21.92 |
|
Total
return (%)3 |
25.10 |
14.44 |
(8.90
) |
44.12 |
16.49 |
|
Ratios
and supplemental data |
|
|
|
|
|
|
Net
assets, end of period (in millions) |
$103 |
$72 |
$61 |
$24 |
$16 |
|
Ratios
(as a percentage of average net assets): |
|
|
|
|
|
|
Expenses
before reductions |
0.79 |
0.83 |
0.82 |
0.90 |
0.99 |
|
Expenses
including reductions |
0.72 |
0.72 |
0.72 |
0.84 |
0.85 |
|
Net
investment income |
0.57 |
0.40 |
0.20 |
0.01 |
0.30 |
|
Portfolio
turnover (%) |
12 |
36 |
25 |
18 |
22 |
|
1 |
Based
on average daily shares outstanding. |
|
2 |
Less
than $0.005 per share. |
|
3 |
Total
returns would have been lower had certain expenses not been reduced during
the applicable periods. |
19
Your
account
Choosing
an eligible share class
Class A, Class
C, Class R2, and Class R4 shares have a Rule 12b-1 plan that allows the class to
pay fees for the sale, distribution, and service of its shares. Class I and
Class R6 shares do not have a Rule 12b-1 plan. Your financial professional can
help you decide which share class you are eligible to buy and is best for you.
Each class’s eligibility guidelines are described below.
Class
A shares
Class A shares
are not available to group retirement plans that do not currently hold Class A
shares of the fund and that are eligible to invest in Class I shares or any of
the R share classes, except as provided below. Such group retirement plans
include defined benefit plans, 401(k) plans, 457 plans, 403(b)(7) plans, pension
and profit-sharing plans, and nonqualified deferred compensation plans.
Individual retirement accounts (IRAs), Roth IRAs, SIMPLE IRAs, individual
(“solo” or “single”) 401(k) plans, individual profit sharing plans, individual
403(b) plans, individual defined benefit plans, simplified employee pensions
(SEPs), SAR-SEPs, 529 tuition programs and Coverdell Educational Savings
Accounts are not considered group retirement plans and are not subject to this
restriction on the purchase of Class A shares.
Investment in
Class A shares by such group retirement plans will be permitted in the following
circumstances:
●
The plan
currently holds assets in Class A shares of the fund or any John Hancock
fund;
●
Class A shares
of the fund or any other John Hancock fund were established as an investment
option under the plan prior to January 1, 2013, and the fund’s representatives
have agreed that the plan may invest in Class A shares after that
date;
●
Class A shares
of the fund or any other John Hancock fund were established as a part of an
investment model prior to January 1, 2013, and the fund’s representatives have
agreed that plans utilizing such model may invest in Class A shares after that
date; and
●
Such group
retirement plans offered through an intermediary brokerage platform that does
not require payments relating to the provisions of services to the fund, such as
providing omnibus account services, transaction-processing services, or
effecting portfolio transactions for the fund, that are specific to assets held
in such group retirement plans and vary from such payments otherwise made for
such services with respect to assets held in non-group retirement plan
accounts.
Class
C shares
The maximum
amount you may invest in Class C shares with any single purchase is $999,999.99.
John Hancock Signature Services, Inc. (Signature Services), the transfer agent
for the fund, may accept a purchase request for Class C shares for $1,000,000 or
more when the purchase is pursuant to the reinstatement privilege (see “Sales
charge reductions and waivers”). Class C shares automatically convert to Class A
shares after eight years, provided that the fund or the financial intermediary
through which a shareholder purchased or holds Class C shares has records
verifying that the Class C shares have been held for at least eight years. Group
retirement plan recordkeeping platforms of certain intermediaries that hold
Class C shares with the fund in an
omnibus
account do not track participant level share lot aging and, as such, these Class
C shares would not satisfy the conditions for the automatic Class C to Class A
conversion.
Class
I shares
Class I shares
are offered without any sales charge to the following types of investors if they
also meet the minimum initial investment requirement for purchases of Class I
shares (see “Opening an account”):
●
Clients of
financial intermediaries who: (i) charge such clients a fee for advisory,
investment, consulting, or similar services; (ii) have entered into an agreement
with the distributor to offer Class I shares through a no-load program or
investment platform; or (iii) have entered into an agreement with the
distributor to offer Class I shares to clients on certain brokerage platforms
where the intermediary is acting solely as an agent for the investor who may be
required to pay a commission and/or other forms of compensation to the
intermediary. Other share classes of the fund have different fees and
expenses.
●
Retirement and
other benefit plans
●
Endowment
funds, foundations, donor advised funds, and other charitable
entities
●
Any state,
county, or city, or its instrumentality, department, authority, or
agency
●
Accounts
registered to insurance companies, trust companies, and bank trust
departments
●
Any entity
that is considered a corporation for tax purposes
●
Investment
companies, both affiliated and not affiliated with the advisor
●
Trustees,
employees of the advisor or its affiliates, employees of the subadvisor, members
of the fund’s portfolio management team and the spouses and children (under age
21) of the aforementioned
Class
R2 and Class R4 shares
Class R2 and
Class R4 shares are available to certain types of investors, as noted
below:
●
Qualified
tuition programs under Section 529 (529 plans) of the Internal Revenue Code of
1986, as amended (the Code), distributed by John Hancock or one of its
affiliates
●
Retirement
plans, including pension, profit-sharing, and other plans qualified under
Section 401(a) or described in Section 403(b) or 457 of the Code, and
nonqualified deferred compensation plans
●
Retirement
plans where the shares are held on the books of the fund through investment-only
omnibus accounts (either at the plan level or at the level of the financial
service firm) that trade through the National Securities Clearing Corporation
(NSCC)
Class R2 and
Class R4 shares are not available to retail or institutional non-retirement
accounts, Traditional and Roth IRAs, Coverdell Education Savings Accounts, SEPs,
SARSEPs, SIMPLE IRAs, individual 403(b) plans, or other individual retirement
accounts, except that investors in these accounts prior to November 1, 2023 may
continue to invest in Class R2 and/or Class R4 within these
accounts.
Class
R6 shares
Class R6
shares are offered without any sales charge and are generally made available to
the following types of investors if they also meet the
20
Your
account
minimum
initial investment requirement for purchases of Class R6 shares. (See “Opening
an account.”)
●
Qualified
401(a) plans (including 401(k) plans, Keogh plans, profit-sharing pension plans,
money purchase pension plans, target benefit plans, defined benefit pension
plans, and Taft-Hartley multi-employer pension plans) (collectively, qualified
plans)
●
Endowment funds,
foundations,
donor advised funds, and other charitable entities
●
Any state,
county, or city, or its instrumentality, department, authority, or
agency
●
403(b) plans
and 457 plans, including 457(a) governmental entity plans and tax-exempt
plans
●
Accounts
registered to insurance companies, trust companies, and bank trust
departments
●
Investment
companies, both affiliated and not affiliated with the advisor
●
Any entity
that is considered a corporation for tax purposes, including corporate
nonqualified deferred compensation plans of such corporations
●
Trustees,
employees of the advisor or its affiliates, employees of the subadvisor, members
of the fund’s portfolio management team and the spouses and children (under age
21) of the aforementioned
●
Financial
intermediaries utilizing fund shares in certain eligible qualifying investment
product platforms under a signed agreement with the distributor
Class R6
shares may not be available through certain investment dealers.
The
availability of Class R6 shares for qualified plan investors will depend upon
the policies of your financial intermediary and/or the recordkeeper for your
qualified plan.
Class R6
shares also are generally available only to qualified plan investors where plan
level or omnibus accounts are held on the books of the fund.
Class R6
shares are not available to retail non-retirement accounts, Traditional and Roth
individual retirement accounts (IRAs), Coverdell Education Savings Accounts,
SEPs, SARSEPs, SIMPLE IRAs, and 529 college savings plans.
Class
cost structure
Class
A shares
●
A front-end
sales charge, as described in the section “How sales charges for Class A and
Class C shares are calculated”
●
Distribution
and service (Rule 12b-1) fees of 0.30%
●
A 1.00% CDSC
on certain shares sold within one year of purchase
Class
C shares
●
No front-end
sales charge; all your money goes to work for you right away
●
Rule 12b-1
fees of 1.00%
●
A 1.00% CDSC
on shares sold within one year of purchase
●
Automatic
conversion to Class A shares after eight years, thus reducing future annual
expenses (certain exclusions may apply)
Class
I shares
●
No front-end
or deferred sales charges; however, if you purchase Class I shares through a
broker acting solely as an agent on behalf of its customers, you may be required
to pay a commission to the broker
●
No Rule 12b-1
fees
Class
R2 shares
●
No front-end
or deferred sales charges; all your money goes to work for you right
away
●
Rule 12b-1
fees of 0.25%
Class
R4 shares
●
No front-end
or deferred sales charges; all your money goes to work for you right
away
●
Rule 12b-1 fees of 0.15%
(under the Rule 12b-1 plan, the distributor has the ability to collect 0.25%;
however, the distributor has contractually agreed to waive 0.10% of these fees
through December 31, 2025)
Class
R6 shares
●
No front-end
or deferred sales charges; all your money goes to work for you right
away
●
No Rule 12b-1
fees
Rule
12b-1 fees
Rule 12b-1
fees will be paid to the fund’s distributor, John Hancock Investment Management
Distributors LLC, and may be used by the distributor for expenses relating to
the sale, distribution of, and shareholder or administrative services for
holders of the shares of the class, and for the payment of service fees that
come within Rule 2341 of the Conduct Rules of the Financial Industry Regulatory
Authority (FINRA).
Because
Rule 12b-1 fees are paid out of the fund’s assets on an ongoing basis, over time
they will increase the cost of your investment and may cost shareholders more
than other types of sales charges.
Your
broker-dealer or agent may charge you a fee to effect transactions in fund
shares. Other share classes of the fund, which have their own expense structure,
may be offered in separate prospectuses.
Class
R service plan
In addition to
the Rule 12b-1 plans, the fund has adopted service plans for Class R2 and Class
R4 shares that authorize the fund to pay affiliated and unaffiliated entities a
service fee for providing certain recordkeeping and other administrative
services in connection with investments in the fund by retirement plans. The
service fee is a specified percentage of the average daily net assets of the
fund’s share class held by plan participants and is up to 0.25% for Class R2
shares and 0.10% for Class R4 shares.
The
performance and expense information included in this prospectus does not reflect
fees and expenses of any plan that may use a fund as its underlying investment
option. If such fees and expenses had been reflected, performance would be
lower.
Additional
payments to financial intermediaries
Class A, Class
C, Class R2, and Class R4 shares of the fund are primarily sold through
financial intermediaries, such as brokers, banks, registered
21
Your
account
investment
advisors, financial planners, and retirement plan administrators. These firms
may be compensated for selling shares of the fund in two principal
ways:
●
directly, by
the payment of sales commissions, if any; and
●
indirectly, as
a result of the fund paying Rule 12b-1 fees.
Class I shares
do not carry sales commissions or pay Rule 12b-1 fees. However, if you purchase
Class I shares through a broker acting solely as an agent on behalf of its
customers, you may be required to pay a commission to the
broker.
No dealer
compensation is paid from fund assets on sales of Class R6 shares. Class R6
shares do not carry sales commissions, pay Rule 12b-1 fees, or make payments to
financial intermediaries to assist in the distributor’s efforts to promote the
sale of the fund’s shares. Neither the fund nor its affiliates make any type of
administrative or service payments in connection with investments in Class R6
shares.
Except with
respect to Class R6 shares, certain firms may request, and the distributor may
agree to make, payments in addition to sales commissions and Rule 12b-1 fees, if
applicable, out of the distributor’s own resources.
These
additional payments are sometimes referred to as revenue sharing. These payments
assist in the distributor’s efforts to promote the sale of the fund’s shares.
The distributor agrees with the firm on the methods for calculating any
additional compensation, which may include the level of sales or assets
attributable to the firm. Not all firms receive additional compensation, and the
amount of compensation varies. These payments could be significant to a firm.
The distributor determines which firms to support and the extent of the payments
it is willing to make. The distributor generally chooses to compensate firms
that have a strong capability to distribute shares of the fund and that are
willing to cooperate with the distributor’s promotional
efforts.
The
distributor hopes to benefit from revenue sharing by increasing the fund’s net
assets, which, as well as benefiting the fund, would result in additional
management and other fees for the advisor and its affiliates. In consideration
for revenue sharing, a firm may feature the fund in its sales system or give
preferential access to members of its sales force or management. In addition,
the firm may agree to participate in the distributor’s marketing efforts by
allowing the distributor or its affiliates to participate in conferences,
seminars, or other programs attended by the intermediary’s sales force. Although
an intermediary may seek revenue-sharing payments to offset costs incurred by
the firm in servicing its clients who have invested in the fund, the
intermediary may earn a profit on these payments. Revenue-sharing payments may
provide your firm with an incentive to favor the fund.
The SAI
discusses the distributor’s revenue-sharing arrangements in more detail. Your
intermediary may charge you additional fees other than those disclosed in this
prospectus. You can ask your firm about any payments it receives from the
distributor or the fund, as well as about fees and/or commissions it
charges.
The
distributor, advisor, and their affiliates may have other relationships with
your firm relating to the provisions of services to the fund, such as providing
omnibus account services, transaction-processing services, or
effecting
portfolio transactions for the fund. If your intermediary provides these
services, the advisor or the fund may compensate the intermediary for these
services. In addition, your intermediary may have other compensated
relationships with the advisor or its affiliates that are not related to the
fund.
How
sales charges for Class A and Class C shares are calculated
Class
A sales charges are as follows:
|
Your
investment ($) |
As
a % of
offering
price* |
As
a % of
your
investment |
|
Up
to 49,999 |
5.00 |
5.26 |
|
50,000–99,999 |
4.50 |
4.71 |
|
100,000–249,999 |
3.50 |
3.63 |
|
250,000–499,999 |
2.50 |
2.56 |
|
500,000–999,999 |
2.00 |
2.04 |
|
1,000,000
and over |
See
below |
|
*
Offering
price is the net asset value per share plus any initial sales
charge.
You may
qualify for a reduced Class A sales charge if you own or are purchasing Class A,
Class C, Class I, Class R2, Class R4, Class R5, or Class R6 shares of a John
Hancock open-end mutual fund. To
receive the reduced sales charge, you must tell your broker or financial
professional at the time you purchase the fund’s Class A shares about any other
John Hancock mutual funds held by you, your spouse, or your children under the
age of 21. This
includes investments held in an individual retirement account, in an employee
benefit plan, or with a broker or financial professional other than the one
handling your current purchase. John Hancock will credit the combined value, at
the current offering price, of all eligible accounts to determine whether you
qualify for a reduced sales charge on your current purchase. You may need to
provide documentation for these accounts, such as an account statement. For more
information about sales charges, reductions, and waivers, you may visit the
fund’s website at jhinvestments.com, which includes hyperlinks to facilitate
access to this information. You may also consult your broker or financial
professional, or refer to the section entitled “Sales Charges on Class A and
Class C Shares” in the fund’s SAI. You may request an SAI from your broker or
financial professional by accessing the fund’s website at jhinvestments.com or
by calling Signature Services at 800-225-5291.
Investments
of $1 million or more
Class A shares
are available with no front-end sales charge on investments of $1 million or
more. There is a CDSC on any Class A shares upon which a commission or finder’s
fee was paid that are sold within one year of purchase, as
follows:
Class
A deferred charges on investments of $1 million or more
|
Years
after purchase |
CDSC
(%) |
|
1st
year |
1.00 |
|
After
1st
year |
None |
For
purposes of this CDSC, all purchases made during a calendar month are counted as
having been made on the first day of that month.
22
Your
account
The CDSC is
based on the lesser of the original purchase cost or the current market value of
the shares being sold, and is not charged on shares you acquired by reinvesting
your dividends. To keep your CDSC as low as possible, each time you place a
request to sell shares, we will first sell any shares in your account that are
not subject to a CDSC.
Class
C shares
Shares are
offered at their net asset value per share, without any initial sales
charge.
A CDSC may be
charged if a commission has been paid and you sell Class C shares within a
certain time after you bought them, as described in the table below. There is no
CDSC on shares acquired through reinvestment of dividends. The CDSC is based on
the original purchase cost or the current market value of the shares being sold,
whichever is less. The CDSC is as follows:
Class
C deferred charges
|
Years
after purchase |
CDSC
(%) |
|
1st
year |
1.00 |
|
After
1st
year |
None |
For
purposes of this CDSC, all purchases made during a calendar month are counted as
having been made on the first day of that month.
To
keep your CDSC as low as possible, each time you place a request to sell shares,
we will first sell any shares in your account that carry no
CDSC.
Sales
charge reductions and waivers
The
availability of certain sales charge waivers and discounts will depend on
whether you purchase your shares directly from the fund or through a financial
intermediary. Intermediaries may have different policies and procedures
regarding the availability of front-end sales charge waivers or CDSC waivers
(See Appendix 1 - Intermediary sales charge waivers, which includes information
about specific sales charge waivers applicable to the intermediaries identified
therein).
Reducing
your Class A sales charges
There are
several ways you can combine multiple purchases of shares of John Hancock funds
to take advantage of the breakpoints in the sales charge schedule. The first
three ways can be combined in any manner.
●
Accumulation
privilege—lets you add the value of any class of shares of any John Hancock
open-end fund you already own to the amount of your next Class A investment for
purposes of calculating the sales charge. However, Class A shares of money
market funds will not qualify unless you have already paid a sales charge on
those shares.
●
Letter of
intention—lets you purchase Class A shares of a fund over a 13-month period and
receive the same sales charge as if all shares had been purchased at once. You
can use a letter of intention to qualify for reduced sales charges if you plan
to invest at least to the first breakpoint level (generally $50,000 or $100,000
depending on the specific fund) in a John Hancock fund’s Class A shares during
the next 13 months. Completing a letter of intention does not obligate you to
purchase additional shares. However, if you do not buy enough shares to qualify
for the lower sales charges by the earlier of the end of the 13-month period or
when you sell your shares, your sales charges will
be
recalculated to reflect your actual amount purchased. It is your responsibility
to tell John Hancock Signature Services Inc. or your financial professional when
you believe you have purchased shares totaling an amount eligible for reduced
sales charges, as stated in your letter of intention. Further information is
provided in the SAI.
●
Combination
privilege—lets you combine shares of all funds for purposes of calculating the
Class A sales charge.
To
utilize any reduction, you must complete the appropriate section of your
application, or contact your financial professional or Signature Services.
Consult the SAI for additional details (see the back cover of this
prospectus).
Group
investment program
A group may be
treated as a single purchaser under the accumulation and combination privileges.
Each investor has an individual account, but the group’s investments are lumped
together for sales charge purposes, making the investors potentially eligible
for reduced sales charges. There is no charge or obligation to invest (although
initial investments per account opened must satisfy minimum initial investment
requirements specified in the section entitled “Opening an account”), and
individual investors may close their accounts at any time.
To
utilize this program, you must contact your financial professional or Signature
Services to find out how to qualify. Consult the SAI for additional details (see
the back cover of this prospectus).
CDSC
waivers
As long as
Signature Services is notified at the time you sell, any CDSC for Class A or
Class C shares will be waived in the following cases, as applicable:
●
to make
payments through certain systematic withdrawal plans
●
redemptions
pursuant to the fund’s right to liquidate an account that is below the minimum
account value stated below in “Dividends and account policies,” under the
subsection “Small accounts”
●
redemptions of
Class A shares by a group retirement plan that continues to offer the same or
another John Hancock mutual fund as an investment to its
participants
●
redemptions
made under certain liquidation, merger or acquisition transactions involving
other investment companies or personal holding companies
●
to make
certain distributions from a retirement plan
●
because of
shareholder death or disability
●
rollovers,
contract exchanges, or transfers of John Hancock custodial 403(b)(7) account
assets required by John Hancock as a result of its decision to discontinue
maintaining and administering 403(b)(7) accounts
To
utilize a waiver, you must contact your financial professional or Signature
Services. Consult the SAI for additional details (see the back cover of this
prospectus). Please note, these waivers are distinct from those described in
Appendix 1, “Intermediary sales charge waivers.”
23
Your
account
Reinstatement
privilege
If you sell
shares of a John Hancock fund, you may reinvest some or all of the proceeds back
into the same share class of the same fund and account from which it was
removed, within 120 days without a sales charge, subject to fund minimums, as
long as Signature Services or your financial professional is notified before you
reinvest. If you paid a CDSC when you sold your shares, you will be credited
with the amount of the CDSC. Consult the SAI for additional details.
To
utilize this privilege, you must contact your financial professional or
Signature Services. Consult the SAI for additional details (see the back cover
of this prospectus).
Waivers
for certain investors
Class A shares
may be offered without front-end sales charges or CDSCs to the following
individuals and institutions:
●
Selling
brokers and their employees and sales representatives (and their Immediate
Family, as defined in the SAI)
●
Financial
intermediaries utilizing fund shares in eligible retirement platforms,
fee-based, or wrap investment products
●
Financial
intermediaries who offer shares to self-directed investment brokerage accounts
that may or may not charge a transaction fee to their customers
●
Fund Trustees
and other individuals who are affiliated with these or other John Hancock funds,
including employees of John Hancock companies or Manulife Financial Corporation
(and their Immediate Family, as defined in the SAI)
●
Individuals
exchanging shares held in an eligible fee-based program for Class A shares,
provided however, subsequent purchases in Class A shares will be subject to
applicable sales charges
●
Individuals
transferring assets held in a SIMPLE IRA, SEP, or SARSEP invested in John
Hancock funds directly to an IRA
●
Individuals
converting assets held in an IRA, SIMPLE IRA, SEP, or SARSEP invested in John
Hancock funds directly to a Roth IRA
●
Individuals
recharacterizing assets from an IRA, Roth IRA, SEP, SARSEP, or SIMPLE IRA
invested in John Hancock funds back to the original account type from which they
were converted
●
Participants
in group retirement plans that are eligible and permitted to purchase Class A
shares as described in the “Choosing an eligible share class” section above.
This waiver is contingent upon the group retirement plan being in a
recordkeeping arrangement and does not apply to group retirement plans
transacting business with the fund through a brokerage relationship in which
sales charges are customarily imposed, unless such brokerage relationship
qualifies for a sales charge waiver as described. In addition, this waiver does
not apply to a group retirement plan that leaves its current recordkeeping
arrangement and subsequently transacts business with the fund through a
brokerage relationship in which sales charges are customarily imposed. Whether a
sales charge waiver is available to your group retirement plan through its
record keeper depends upon the policies and procedures of your intermediary.
Please consult your financial professional for further information
●
Terminating
participants in a pension, profit-sharing, or other plan qualified under Section
401(a) of the Code, or described in Section 457(b) of the Code, (i) that is
funded by certain John Hancock group annuity contracts, (ii) for which John
Hancock Trust Company
serves as
trustee or custodian, or (iii) the trustee or custodian of which has retained
John Hancock Retirement Plan Services (“RPS”) as a service provider, rolling
over assets (directly or within 60 days after distribution) from such a plan (or
from a John Hancock Managed IRA or John Hancock Annuities IRA into which such
assets have already been rolled over) to a John Hancock custodial IRA or John
Hancock custodial Roth IRA or other John Hancock branded IRA offered through
Manulife | John Hancock Brokerage Services LLC that invests in John Hancock
funds, or the subsequent establishment of or any rollover into a new John
Hancock fund account by such terminating participants and/or their Immediate
Family (as defined in the SAI), including subsequent investments into such
accounts, and that are held directly at John Hancock funds or at the John
Hancock Personal Financial Services (“PFS”) Financial Center
●
Participants
in a terminating pension, profit-sharing, or other plan qualified under Section
401(a) of the Code, or described in Section 457(b) of the Code (the assets of
which, immediately prior to such plan's termination, were (a) held in certain
John Hancock group annuity contracts, (b) in trust or custody by John Hancock
Trust Company, or (c) by a trustee or custodian which has retained John Hancock
RPS as a service provider, but have been transferred from such contracts or
trust funds and are held either: (i) in trust by a distribution processing
organization; or (ii) in a custodial IRA or custodial Roth IRA sponsored by an
authorized third-party trust company and made available through John Hancock),
rolling over assets (directly or within 60 days after distribution) from such a
plan to a John Hancock custodial IRA or John Hancock custodial Roth IRA or other
John Hancock branded IRA offered through Manulife | John Hancock Brokerage
Services LLC that invests in John Hancock funds, or the subsequent establishment
of or any rollover into a new John Hancock fund account by such participants
and/or their Immediate Family (as defined in the SAI), including subsequent
investments into such accounts, and that are held directly at John Hancock funds
or at the PFS Financial Center
●
Participants
actively enrolled in a John Hancock RPS plan account (or an account the trustee
of which has retained John Hancock RPS as a service provider) rolling over or
transferring assets into a new John Hancock custodial IRA or John Hancock
custodial Roth IRA or other John Hancock branded IRA offered through Manulife |
John Hancock Brokerage Services LLC that invests in John Hancock funds through
John Hancock PFS (to the extent such assets are otherwise prohibited from
rolling over or transferring into such participant's John Hancock RPS plan
account), including subsequent investments into such accounts, and that are held
directly at John Hancock funds or at the John Hancock PFS Financial
Center
●
Individuals
rolling over assets held in a John Hancock custodial 403(b)(7) account into a
John Hancock custodial IRA account
●
Former
employees/associates of John Hancock, its affiliates, or agencies rolling over
(directly or indirectly within 60 days after distribution) to a new John Hancock
custodial IRA or John Hancock custodial Roth IRA from the John Hancock Employee
Investment-Incentive Plan (TIP), John Hancock Savings Investment Plan (SIP), or
the John Hancock Pension Plan, and such participants and their Immediate Family
(as defined in the SAI) subsequently establishing or rolling over assets into a
new John Hancock account through the John Hancock PFS Group, including
subsequent investments into such accounts, and that are held directly at John
Hancock funds or at the John Hancock PFS Financial Center
24
Your
account
●
A member of a
class action lawsuit against insurance companies who is investing settlement
proceeds
To
utilize a waiver, you must contact your financial professional or Signature
Services. Consult the SAI for additional details (see the back cover of this
prospectus). Please note, these waivers are distinct from those described in
Appendix 1, “Intermediary sales charge waivers.”
Other
waivers
Front-end
sales charges and CDSCs are not imposed in connection with the following
transactions:
●
Exchanges from
one John Hancock fund to the same class of any other John Hancock fund (see
“Transaction policies” in this prospectus for additional details)
●
Dividend
reinvestments (see “Dividends and account policies” in this prospectus for
additional details)
●
In addition,
the availability of certain sales charge waivers and discounts will depend on
whether you purchase your shares directly from the fund or through a financial
intermediary. Intermediaries may have different policies and procedures
regarding the availability of front-end sales charge waivers or CDSC waivers
(See Appendix 1 - Intermediary sales charge waivers, which includes information
about specific sales charge waivers applicable to the intermediaries identified
therein). In all instances, it is the purchaser’s responsibility to notify the
fund or the purchaser’s financial intermediary at the time of purchase of any
relationship or other facts qualifying the purchaser for sales charge waivers or
discounts. For
waivers and discounts not available through a particular intermediary,
shareholders will have to purchase fund shares directly from the fund or through
another intermediary to receive these waivers or discounts.
Opening
an account
1
Read this
prospectus carefully.
2
Determine if
you are eligible by referring to “Choosing an eligible share class.”
3
Determine how
much you want to invest. There is no minimum initial investment to purchase
Class R2 or Class R4 shares. The minimum initial investments for Class A, Class
C, Class I, and Class R6 shares are described below. There are no subsequent
minimum investment requirements for these share classes.
|
Share
Class |
Minimum
initial investment |
|
Class
A and Class C |
$1,000
($250 for group investments). However, there is
no
minimum initial investment for certain group
retirement
plans using salary deduction or similar group
methods
of payment, for fee-based or wrap accounts of
selling
firms that have executed a fee-based or wrap
agreement
with the distributor, or for certain other
eligible
investment product
platforms. |
|
Share
Class |
Minimum
initial investment |
|
Class
I |
$250,000.
However, the minimum initial investment
requirement
may be waived, at the fund’s sole discretion,
for
investors in certain fee-based, wrap, or other
investment
platform programs, or in certain brokerage
platforms
where the intermediary is acting solely as an
agent
for the investor. The fund also may waive the
minimum
initial investment for other categories of
investors
at its discretion, including for Trustees,
employees
of the advisor or its affiliates, employees of
the
subadvisor, members of the fund’s portfolio
management
team and the spouses and children (under
age
21) of the aforementioned. |
|
Class
R6 |
$1
million. However, there is no minimum initial
investment
requirement for: (i) qualified and
nonqualified
plan investors; (ii) certain eligible qualifying
investment
product platforms; or (iii) Trustees,
employees
of the advisor or its affiliates, employees of
the
subadvisor, members of the fund’s portfolio
management
team and the spouses and children (under
age
21) of the aforementioned. |
4
All Class A,
Class C, Class I, and Class R6 shareholders must complete the account
application, carefully following the instructions. If you have any questions,
please contact your financial professional or call Signature Services at
800-225-5291 for Class A and Class C shares or 888-972-8696 for Class I and
Class R6 shares.
5
Eligible
retirement plans generally may open an account and purchase Class R2 or Class R4
shares by contacting any broker-dealer or other financial service firm
authorized to sell Class R2 or Class R4 shares of the fund. Additional shares
may be purchased through a retirement plan’s administrator or
recordkeeper.
6
For Class A
and Class C shares, complete the appropriate parts of the account privileges
application. By applying for privileges now, you can avoid the delay and
inconvenience of having to file an additional application if you want to add
privileges later.
7
For Class A,
Class C, Class I, and Class R6 shares, make your initial investment using the
instructions under “Buying shares.” You and your financial professional can
initiate any purchase, exchange, or sale of shares.
Important
information about opening a new account
To help the
government fight the funding of terrorism and money laundering activities, the
Uniting and Strengthening America by Providing Appropriate Tools Required to
Intercept and Obstruct Terrorism Act of 2001 (USA PATRIOT Act) requires all
financial institutions to obtain, verify, and record information that identifies
each person or entity that opens an account.
For
individual investors opening an account.
When you open
an account, you will be asked for your name, residential address, date of birth,
and Social Security number.
For
investors other than individuals.
When you open
an account, you will be asked for the name of the entity, its principal place of
business, and taxpayer identification number (TIN), and you may be requested to
provide information on persons with authority or control over the account,
including, but not limited to, name, residential address, date of
25
Your
account
birth, and
Social Security number. You may also be asked to provide documents, such as
articles of incorporation, trust instruments, or partnership agreements, and
other information that will help Signature Services identify the entity. Please
see the mutual fund account application for more details.
Information
for plan participants
Plan
participants generally must contact their plan service provider to purchase,
redeem, or exchange shares. The administrator of a retirement plan or employee
benefits office can provide participants with detailed information on how to
participate in the plan, elect a fund as an investment option, elect different
investment options, alter the amounts contributed to the plan, or change
allocations among investment options. For questions about participant accounts,
participants should contact their employee benefits office, the plan
administrator, or the organization that provides recordkeeping services for the
plan.
Financial
service firms may provide some of the shareholder servicing and account
maintenance services required by retirement plan accounts and their plan
participants, including transfers of registration, dividend payee changes, and
generation of confirmation statements, and may arrange for plan administrators
to provide other investment or administrative services. Financial service firms
may charge retirement plans and plan participants transaction fees and/or other
additional amounts for such services. Similarly, retirement plans may charge
plan participants for certain expenses. These fees and additional amounts could
reduce an investment return in the fund.
26
Your
account
Buying
shares
Class
A and Class C shares
|
Opening
an account |
Adding
to an account |
|
By
check | |
|
●Make
out a check for the investment amount, payable to “John Hancock
Signature
Services, Inc.”
●Deliver
the check and your completed application to your financial
professional
or mail them to Signature Services (address below). |
●Make
out a check for the investment amount, payable to “John Hancock
Signature
Services, Inc.”
●Include
a note specifying the fund name, the share class, your account
number,
and the name(s) in which the account is registered.
●Deliver
the check and your investment slip or note to your financial
professional,
or mail them to Signature Services (address
below). |
|
By
exchange | |
|
●Call
your financial professional or Signature Services to request an
exchange. |
●Log
on to the website below to process exchanges between funds.
●Call
EASI-Line for automated service.
●Call
your financial professional or Signature Services to request an
exchange. |
|
By
wire | |
|
●Deliver
your completed application to your financial professional or
mail
it to Signature Services.
●Obtain
your account number by calling your financial professional or
Signature
Services.
●Obtain
wiring instructions by calling Signature Services.
●Instruct
your bank to wire the amount of your investment. Specify the
fund
name, the share class, your account number, and the name(s) in
which
the account is registered. Your bank may charge a fee to wire
funds. |
●Obtain
wiring instructions by calling Signature Services.
●Instruct
your bank to wire the amount of your investment. Specify the
fund
name, the share class, your account number, and the name(s) in
which
the account is registered. Your bank may charge a fee to wire
funds. |
|
By
internet | |
|
●See
“By exchange” and “By wire.” |
●Verify
that your bank or credit union is a member of the Automated
Clearing
House (ACH) system.
●Complete
the “Bank information” section on your account application.
●Log
on to the website below to initiate purchases using your authorized
bank
account. |
|
By
phone | |
|
●See
“By exchange” and “By wire.” |
●Verify
that your bank or credit union is a member of the ACH system.
●Complete
the “To purchase, exchange, or redeem shares via telephone”
and
“Bank information” sections on your account application.
●Call
EASI-Line for automated service.
●Call
your financial professional or call Signature Services between
8:00 a.m.
and 7:00 p.m.,
Monday–Thursday, and on Friday, between
8:00 a.m.
and 6:00 p.m.,
Eastern time. |
|
To
add to an account using the Monthly Automatic Accumulation Program,
see
“Additional investor
services.” | |
|
Regular
mail |
Express
delivery |
Website |
EASI-Line |
Signature
Services, Inc. |
|
John
Hancock Signature
Services,
Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature
Services,
Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
(24/7
automated service)
800-338-8080 |
800-225-5291 |
27
Your
account
Buying
shares
Class
I shares
|
Opening
an account |
Adding
to an account |
|
By
check | |
|
●Make
out a check for the investment amount, payable to “John Hancock
Signature
Services, Inc.”
●Deliver
the check and your completed application to your financial
professional
or mail them to Signature Services (address below). |
●Make
out a check for the investment amount, payable to “John Hancock
Signature
Services, Inc.”
●Include
a note specifying the fund name, the share class, your account
number,
and the name(s) in which the account is registered.
●Deliver
the check and your investment slip or note to your financial
professional,
or mail them to Signature Services (address
below). |
|
By
exchange | |
|
●Call
your financial professional or Signature Services to request an
exchange. |
●Log
on to the website below to process exchanges between funds.
●You
may exchange Class I shares for other Class I shares or John
Hancock
Money Market Fund Class A shares.
●Call
your financial professional or Signature Services to request an
exchange. |
|
By
wire | |
|
●Deliver
your completed application to your financial professional or
mail
it to Signature Services.
●Obtain
your account number by calling your financial professional or
Signature
Services.
●Obtain
wiring instructions by calling Signature Services.
●Instruct
your bank to wire the amount of your investment. Specify the
fund
name, the share class, your account number, and the name(s) in
which
the account is registered. Your bank may charge a fee to wire
funds. |
●Obtain
wiring instructions by calling Signature Services.
●Instruct
your bank to wire the amount of your investment. Specify the
fund
name, the share class, your account number, and the name(s) in
which
the account is registered. Your bank may charge a fee to wire
funds. |
|
By
internet | |
|
●See
“By exchange” and “By wire.” |
●Verify
that your bank or credit union is a member of the Automated
Clearing
House (ACH) system.
●Complete
the “Bank information” section on your account application.
●Log
on to the website below to initiate purchases using your authorized
bank
account. |
|
By
phone | |
|
●See
“By exchange” and “By wire.” |
●Verify
that your bank or credit union is a member of the ACH system.
●Complete
the “To purchase, exchange, or redeem shares via telephone”
and
“Bank information” sections on your account application.
●Call
your financial professional or call Signature Services between
8:30 a.m.
and 5:00 p.m.,
Eastern time, on most business
days. |
|
Regular
mail |
Express
delivery |
Website |
Signature
Services, Inc. |
|
John
Hancock Signature Services, Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature Services, Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
888-972-8696 |
28
Your
account
Buying
shares
Class
R6 shares
|
Opening
an account |
Adding
to an account |
|
By
check | |
|
●Make
out a check for the investment amount, payable to “John Hancock
Signature
Services, Inc.”
●Deliver
the check and your completed application to your financial
professional
or mail them to Signature Services (address below). |
●Make
out a check for the investment amount, payable to “John Hancock
Signature
Services, Inc.”
●Include
a note specifying the fund name, the share class, your account
number,
and the name(s) in which the account is registered.
●Deliver
the check and your investment slip or note to your financial
professional,
or mail them to Signature Services (address
below). |
|
By
exchange | |
|
●Call
your financial professional or Signature Services to request an
exchange. |
●Log
on to the website below to process exchanges between funds.
●You
may exchange Class R6 shares for other Class R6 shares or John
Hancock
Money Market Fund Class A shares.
●Call
your financial professional or Signature Services to request an
exchange. |
|
By
wire | |
|
●Deliver
your completed application to your financial professional or
mail
it to Signature Services.
●Obtain
your account number by calling your financial professional or
Signature
Services.
●Obtain
wiring instructions by calling Signature Services.
●Instruct
your bank to wire the amount of your investment. Specify the
fund
name, the share class, your account number, and the name(s) in
which
the account is registered. Your bank may charge a fee to wire
funds. |
●Obtain
wiring instructions by calling Signature Services.
●Instruct
your bank to wire the amount of your investment. Specify the
fund
name, the share class, your account number, and the name(s) in
which
the account is registered. Your bank may charge a fee to wire
funds. |
|
By
internet | |
|
●See
“By exchange” and “By wire.” |
●Verify
that your bank or credit union is a member of the Automated
Clearing
House (ACH) system.
●Complete
the “Bank information” section on your account application.
●Log
on to the website below to initiate purchases using your authorized
bank
account. |
|
By
phone | |
|
●See
“By exchange” and “By wire.” |
●Verify
that your bank or credit union is a member of the ACH system.
●Complete
the “To purchase, exchange, or redeem shares via telephone”
and
“Bank information” sections on your account application.
●Call
your financial professional or call Signature Services between
8:30 a.m.
and 5:00 p.m.,
Eastern time, on most business
days. |
|
Regular
mail |
Express
delivery |
Website |
Signature
Services, Inc. |
|
John
Hancock Signature Services, Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature Services, Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
888-972-8696 |
29
Your
account
Selling
shares
Class
A and Class C shares
|
|
To
sell some or all of your shares |
|
By
letter | |
|
●Accounts
of any type
●Sales
of any amount |
●Write
a letter of instruction or complete a stock power indicating the
fund
name, the share class, your account number, the name(s) in which
the
account is registered, and the dollar value or number of shares you
wish
to sell.
●Include
all signatures and any additional documents that may be
required
(see the next page).
●Mail
the materials to Signature Services (address below).
●A
check will be mailed to the name(s) and address in which the account
is
registered, or otherwise according to your letter of
instruction. |
|
By
internet | |
|
●Most
accounts
●Sales
of up to $100,000 |
●Log
on to the website below to initiate redemptions from your
fund. |
|
By
phone | |
|
●Most
accounts
●Sales
of up to $100,000 |
●Call
EASI-Line for automated service.
●Call
your financial professional or call Signature Services between
8:00 a.m. and
7:00 p.m.,
Monday–Thursday, and on Friday, between
8:00 a.m. and
6:00 p.m.,
Eastern time. |
|
By
wire or electronic funds transfer (EFT) | |
|
●Requests
by letter to sell any amount
●Requests
by internet or phone to sell up to $100,000 |
●To
verify that the internet or telephone redemption privilege is in place
on an
account, or to request the form to add it to an existing account,
call
Signature Services.
●Prior
to January 1, 2025, a $4 fee will be deducted from your account.
Effective
January 1, 2025, a $15 fee will be deducted from your
account.
Your bank may also charge a fee for this service. |
|
By
exchange | |
|
●Accounts
of any type
●Sales
of any amount |
●Obtain
a current prospectus for the fund into which you are exchanging
by
accessing the fund’s website or by calling your financial professional
or
Signature Services.
●Log
on to the website below to process exchanges between your
funds.
●Call
EASI-Line for automated service.
●Call
your financial professional or Signature Services to request an
exchange. |
|
To
sell shares through a systematic withdrawal plan, see “Additional
investor
services.” | |
|
Regular
mail |
Express
delivery |
Website |
EASI-Line |
Signature
Services, Inc. |
|
John
Hancock Signature
Services,
Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature
Services,
Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
(24/7
automated service)
800-338-8080 |
800-225-5291 |
30
Your
account
Selling
shares in writing
Class
A and Class C shares
In certain
circumstances, you will need to make your request to sell shares in writing. You
may need to include additional items with your request, unless they were
previously provided to Signature Services and are still accurate. These items
are shown in the table below. You may also need to include a signature
guarantee, which protects you against fraudulent orders. You will need a
signature guarantee if:
●
your address
has been changed within the past 30 days or bank of record has changed within
the past 15 days, and you would like the payment to be sent to your new address
or bank,
●
you are
selling more than $100,000 worth of shares (this requirement is waived for
certain entities operating under a signed fax trading agreement with John
Hancock), or
●
you are
requesting payment other than by a check mailed to the address/bank of record
and payable to the registered owner(s).
You will need
to obtain your signature guarantee from a member of the Medallion Signature
Guarantee Program. Most broker-dealers, banks, credit unions, and securities
exchanges are members of this program. A notary public CANNOT provide a
signature guarantee. Signature Services may make exceptions to any of the
signature guarantee requirements.
|
Seller |
Requirements
for written requests |
|
Owners
of individual, joint, or UGMA/UTMA accounts (custodial accounts
for
minors) |
●Letter
of instruction
●On
the letter, the signatures and titles of all persons authorized to sign
for
the account, exactly as the account is registered
●Medallion
signature guarantee, if applicable (see above) |
|
Owners
of corporate, sole proprietorship, general partner, or association
accounts |
●Letter
of instruction
●Corporate
business/organization resolution, certified within the past
12
months, or a John Hancock business/organization certification
form
●On
the letter and the resolution, the signature of the person(s)
authorized
to sign for the account
●Medallion
signature guarantee, if applicable (see above) |
|
Owners
or trustees of trust accounts |
●Letter
of instruction
●On
the letter, the signature(s) of the trustee(s)
●Copy
of the trust document, certified within the past 12 months, or a
John
Hancock trust certification form
●Medallion
signature guarantee, if applicable (see above) |
|
Joint
tenancy shareholders with rights of survivorship with deceased
co-tenant(s) |
●Letter
of instruction signed by surviving tenant(s)
●Copy
of the death certificate
●Medallion
signature guarantee, if applicable (see above)
●Inheritance
tax waiver, if applicable |
|
Executors
of shareholder estates |
●Letter
of instruction signed by the executor
●Copy
of the order appointing executor, certified within the past
12
months
●Medallion
signature guarantee, if applicable (see above)
●Inheritance
tax waiver, if applicable |
|
Administrators,
conservators, guardians, and other sellers, or account
types
not listed above |
●Call
Signature Services for
instructions |
|
Regular
mail |
Express
delivery |
Website |
EASI-Line |
Signature
Services, Inc. |
|
John
Hancock Signature
Services,
Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature
Services,
Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
(24/7
automated service)
800-338-8080 |
800-225-5291 |
31
Your
account
Selling
shares
Class
I shares
|
|
To
sell some or all of your shares |
|
By
letter | |
|
●Sales
of any amount |
●Write
a letter of instruction or complete a stock power indicating the
fund
name, the share class, your account number, the name(s) in which
the
account is registered, and the dollar value or number of shares you
wish
to sell.
●Include
all signatures and any additional documents that may be
required
(see the next page).
●Mail
the materials to Signature Services (address below).
●A
check will be mailed to the name(s) and address in which the account
is
registered, or otherwise according to your letter of
instruction.
●Certain
requests will require a Medallion signature guarantee. Please
refer
to “Selling shares in writing” on the next page. |
|
By
internet | |
|
●Most
accounts
●Sales
of up to $100,000 |
●Log
on to the website below to initiate redemptions from your
fund. |
|
By
phone | |
|
Amounts
up to $100,000: |
●Redemption
proceeds of up to $100,000 may be sent by wire or by
check.
A check will be mailed to the exact name(s) and address on the
account.
●To
place your request with a representative at John Hancock, call
Signature
Services between 8:30 a.m.
and 5:00 p.m.,
Eastern time, on
most
business days, or contact your financial professional.
●Redemption
proceeds exceeding $100,000 will be wired to your
designated
bank account, unless a Medallion signature guaranteed
letter
is provided requesting payment by check. Please refer to “Selling
shares
in writing.” |
|
●Most
accounts | |
|
Amounts
up to $5 million: | |
|
●Available
to the following types of accounts: custodial accounts held by
banks,
trust companies, or broker-dealers; endowments and
foundations;
corporate accounts; group retirement plans; and pension
accounts
(excluding IRAs, 403(b) plans, and all John Hancock
custodial
retirement accounts) | |
|
By
wire or electronic funds transfer (EFT) | |
|
●Requests
by letter to sell any amount
●Qualified
requests by phone to sell to $5 million (accounts with
telephone
redemption privileges) |
●To
verify that the telephone redemption privilege is in place on an
account,
or to request the form to add it to an existing account, call
Signature
Services.
●Amounts
up to $100,000 may be sent by EFT or by check. Your bank
may
charge a fee for this service.
●Amounts
of $5 million or more will be sent by wire. |
|
By
exchange | |
|
●Sales
of any amount |
●Obtain
a current prospectus for the fund into which you are exchanging
by
accessing the fund’s website, or by calling your financial
professional
or Signature Services.
●You
may only exchange Class I shares for other Class I shares or John
Hancock
Money Market Fund Class A shares.
●Call
your financial professional or Signature Services to request an
exchange. |
|
Regular
mail |
Express
delivery |
Website |
Signature
Services, Inc. |
|
John
Hancock Signature Services, Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature Services, Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
888-972-8696 |
32
Your
account
Selling
shares in writing
Class
I shares
In certain
circumstances, you will need to make your request to sell shares in writing. You
may need to include additional items with your request, unless they were
previously provided to Signature Services and are still accurate. These items
are shown in the table below. You may also need to include a signature
guarantee, which protects you against fraudulent orders. You will need a
signature guarantee if:
●
your address
has been changed within the past 30 days or bank of record has changed within
the past 15 days, and you would like the payment to be sent to your new address
or bank;
●
you are
selling more than $100,000 worth of shares and are requesting payment by check
(this requirement is waived for certain entities operating under a signed fax
trading agreement with John Hancock);
●
you are
selling more than $5 million worth of shares from the following types of
accounts: custodial accounts held by banks, trust companies, or broker-dealers;
endowments and foundations; corporate accounts; group retirement plans; and
pension accounts (excluding IRAs, 403(b) plans, and all John Hancock custodial
retirement accounts); or
●
you are
requesting payment other than by a check mailed to the address/bank of record
and payable to the registered owner(s).
You will need
to obtain your signature guarantee from a member of the Medallion Signature
Guarantee Program. Most broker-dealers, banks, credit unions, and securities
exchanges are members of this program. A notary public CANNOT provide a
signature guarantee. Signature Services may make exceptions to any of the
signature guarantee requirements.
|
Seller |
Requirements
for written requests |
|
Owners
of individual, joint, or UGMA/UTMA accounts (custodial accounts
for
minors) |
●Letter
of instruction
●On
the letter, the signatures and titles of all persons authorized to sign
for
the account, exactly as the account is registered
●Medallion
signature guarantee, if applicable (see above) |
|
Owners
of corporate, sole proprietorship, general partner, or association
accounts |
●Letter
of instruction
●Corporate
business/organization resolution, certified within the past
12
months, or a John Hancock business/organization certification
form
●On
the letter and the resolution, the signature of the person(s)
authorized
to sign for the account
●Medallion
signature guarantee, if applicable (see above) |
|
Owners
or trustees of trust accounts |
●Letter
of instruction
●On
the letter, the signature(s) of the trustee(s)
●Copy
of the trust document, certified within the past 12 months, or a
John
Hancock trust certification form
●Medallion
signature guarantee, if applicable (see above) |
|
Joint
tenancy shareholders with rights of survivorship with deceased
co-tenant(s) |
●Letter
of instruction signed by surviving tenant(s)
●Copy
of the death certificate
●Medallion
signature guarantee, if applicable (see above)
●Inheritance
tax waiver, if applicable |
|
Executors
of shareholder estates |
●Letter
of instruction signed by the executor
●Copy
of the order appointing executor, certified within the past
12
months
●Medallion
signature guarantee, if applicable (see above)
●Inheritance
tax waiver, if applicable |
|
Administrators,
conservators, guardians, and other sellers, or account
types
not listed above |
●Call
Signature Services for
instructions |
|
Regular
mail |
Express
delivery |
Website |
Signature
Services, Inc. |
|
John
Hancock Signature Services, Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature Services, Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
888-972-8696 |
33
Your
account
Selling
shares
Class
R6 shares
|
|
To
sell some or all of your shares |
|
By
letter | |
|
●Sales
of any amount |
●Write
a letter of instruction or complete a stock power indicating the
fund
name, the share class, your account number, the name(s) in which
the
account is registered, and the dollar value or number of shares you
wish
to sell.
●Include
all signatures and any additional documents that may be
required
(see the next page).
●Mail
the materials to Signature Services (address below).
●A
check will be mailed to the name(s) and address in which the account
is
registered, or otherwise according to your letter of
instruction.
●Certain
requests will require a Medallion signature guarantee. Please
refer
to “Selling shares in writing” on the next page. |
|
By
internet | |
|
●Most
accounts
●Sales
of up to $100,000 |
●Log
on to the website below to initiate redemptions from your
fund. |
|
By
phone | |
|
Amounts
up to $5 million:
●Available
to the following types of accounts: custodial accounts held by
banks,
trust companies, or broker-dealers; endowments and
foundations;
corporate accounts; and group retirement plans |
●Redemption
proceeds of up to $100,000 may be sent by wire or by
check.
A check will be mailed to the exact name(s) and address on the
account.
●To
place your request with a representative at John Hancock, call
Signature
Services between 8:30 a.m.
and 5:00 p.m.,
Eastern time, on
most
business days, or your financial professional.
●Redemption
proceeds exceeding $100,000 will be wired to your
designated
bank account, unless a Medallion signature guaranteed
letter
is provided requesting payment by check. Please refer to “Selling
shares
in writing.” |
|
By
wire or electronic funds transfer (EFT) | |
|
●Requests
by letter to sell any amount
●Qualified
requests by phone to sell to $5 million (accounts with
telephone
redemption privileges) |
●To
verify that the telephone redemption privilege is in place on an
account,
or to request the form to add it to an existing account, call
Signature
Services.
●Amounts
of $5 million or more will be sent by wire.
●Amounts
up to $100,000 may be sent by EFT or by check. Your bank
may
charge a fee for this service. |
|
By
exchange | |
|
●Sales
of any amount |
●Obtain
a current prospectus for the fund into which you are exchanging
by
accessing the fund’s website, or by calling your financial
professional
or Signature Services.
●You
may only exchange Class R6 shares for other Class R6 shares or
John
Hancock Money Market Fund Class A shares.
●Call
your financial professional or Signature Services to request an
exchange. |
|
Regular
mail |
Express
delivery |
Website |
Signature
Services, Inc. |
|
John
Hancock Signature Services, Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature Services, Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
888-972-8696 |
34
Your
account
Selling
shares in writing
Class
R6 shares
In certain
circumstances, you will need to make your request to sell shares in writing. You
may need to include additional items with your request, unless they were
previously provided to Signature Services and are still accurate. These items
are shown in the table below. You may also need to include a signature
guarantee, which protects you against fraudulent orders. You will need a
signature guarantee if:
●
your address
has been changed within the past 30 days or bank of record has changed within
the past 15 days, and you would like the payment to be sent to your new address
or bank;
●
you are
selling more than $100,000 worth of shares and are requesting payment by check
(this requirement is waived for certain entities operating under a signed fax
trading agreement with John Hancock);
●
you are
selling more than $5 million worth of shares from the following types of
accounts: custodial accounts held by banks, trust companies, or broker-dealers;
endowments and foundations; corporate accounts; and group retirement plans;
or
●
you are
requesting payment other than by a check mailed to the address/bank of record
and payable to the registered owner(s).
You will need
to obtain your signature guarantee from a member of the Medallion Signature
Guarantee Program. Most broker-dealers, banks, credit unions, and securities
exchanges are members of this program. A notary public CANNOT provide a
signature guarantee. Signature Services may make exceptions to any of the
signature guarantee requirements.
|
Seller |
Requirements
for written requests |
|
Owners
of individual, joint, or UGMA/UTMA accounts (custodial accounts
for
minors) |
●Letter
of instruction
●On
the letter, the signatures and titles of all persons authorized to sign
for
the account, exactly as the account is registered
●Medallion
signature guarantee, if applicable (see above) |
|
Owners
of corporate, sole proprietorship, general partner, or association
accounts |
●Letter
of instruction
●Corporate
business/organization resolution, certified within the past
12
months, or a John Hancock business/organization certification
form
●On
the letter and the resolution, the signature of the person(s)
authorized
to sign for the account
●Medallion
signature guarantee, if applicable (see above) |
|
Owners
or trustees of trust accounts |
●Letter
of instruction
●On
the letter, the signature(s) of the trustee(s)
●Copy
of the trust document, certified within the past 12 months, or a
John
Hancock trust certification form
●Medallion
signature guarantee, if applicable (see above) |
|
Joint
tenancy shareholders with rights of survivorship with deceased
co-tenant(s) |
●Letter
of instruction signed by surviving tenant(s)
●Copy
of the death certificate
●Medallion
signature guarantee, if applicable (see above)
●Inheritance
tax waiver, if applicable |
|
Executors
of shareholder estates |
●Letter
of instruction signed by the executor
●Copy
of the order appointing executor, certified within the past
12
months
●Medallion
signature guarantee, if applicable (see above)
●Inheritance
tax waiver, if applicable |
|
Administrators,
conservators, guardians, and other sellers, or account
types
not listed above |
●Call
Signature Services for
instructions |
|
Regular
mail |
Express
delivery |
Website |
Signature
Services, Inc. |
|
John
Hancock Signature Services, Inc.
P.O.
Box 219909
Kansas
City, MO 64121-9909 |
John
Hancock Signature Services, Inc.
801
Pennsylvania Avenue
Suite
219909
Kansas
City, MO 64105-1307 |
jhinvestments.com |
888-972-8696 |
35
Your
account
Transaction
policies
Valuation
of shares
The net asset
value (NAV) for each class of shares of the fund is normally determined once
daily as of the close of regular trading on the New York Stock Exchange (NYSE)
(typically 4:00 p.m., Eastern
time, on each business day that the NYSE is open). In case of emergency or other
disruption resulting in the NYSE not opening for trading or the NYSE closing at
a time other than the regularly scheduled close, the NAV may be determined as of
the regularly scheduled close of the NYSE pursuant to the advisor’s Valuation
Policies and Procedures. The time at which shares and transactions are priced
and until which orders are accepted may vary to the extent permitted by the
Securities and Exchange Commission and applicable regulations. On holidays or
other days when the NYSE is closed, the NAV is not calculated and the fund does
not transact purchase or redemption requests. Trading of securities that are
primarily listed on foreign exchanges may take place on weekends and U.S.
business holidays on which the fund’s NAV is not calculated. Consequently, the
fund’s portfolio securities may trade and the NAV of the fund’s shares may be
significantly affected on days when a shareholder will not be able to purchase
or redeem shares of the fund.
Each class of
shares of the fund has its own NAV, which is computed by dividing the total
assets, minus liabilities, allocated to each share class by the number of fund
shares outstanding for that class. The current NAV of the fund is available on
our website at jhinvestments.com.
Valuation
of securities
The Board has
designated the fund’s advisor as the valuation designee to perform fair value
functions for the fund in accordance with the advisor’s valuation policies and
procedures. As valuation designee, the advisor will determine the fair value, in
good faith, of securities and other assets held by the fund for which market
quotations are not readily available and, among other things, will assess and
manage material risks associated with fair value determinations, select, apply
and test fair value methodologies, and oversee and evaluate pricing services and
other valuation agents used in valuing the fund’s investments. The advisor is
subject to Board oversight and reports to the Board information regarding the
fair valuation process and related material matters. The advisor carries out its
responsibilities as valuation designee through its Pricing
Committee.
Portfolio
securities are valued by various methods that are generally described below.
Portfolio securities also may be fair valued by the advisor’s Pricing Committee
in certain instances pursuant to procedures established by the advisor and
adopted by the Board of Trustees. Equity securities are generally valued at the
last sale price or, for certain markets, the official closing price as of the
close of the relevant exchange. Securities not traded on a particular day are
valued using last available bid prices. A security that is listed or traded on
more than one exchange is typically valued at the price on the exchange where
the security was acquired or most likely will be sold. In certain instances, the
Pricing Committee may determine to value equity securities using prices obtained
from another exchange or market if trading on the exchange or market on which
prices are typically obtained did not open for trading as scheduled, or if
trading closed earlier than scheduled, and trading
occurred as normal on another
exchange or market. Equity securities traded principally in foreign markets are
typically valued using the last sale price or official closing price in the
relevant exchange or market, as adjusted by an independent pricing vendor to
reflect fair value as of the close of the NYSE. On any day a foreign market is
closed and the NYSE is open, any foreign securities will typically be valued
using the last price or official closing price obtained from the relevant
exchange on the prior business day adjusted based on information provided by an
independent pricing vendor to reflect fair value as of the close of the NYSE.
Debt obligations are typically valued based on evaluated prices provided by an
independent pricing vendor. The value of securities denominated in foreign
currencies is converted into U.S. dollars at the exchange rate supplied by an
independent pricing vendor. Forward foreign currency contracts are valued at the
prevailing forward rates which are based on foreign currency exchange spot rates
and forward points supplied by an independent pricing vendor. Exchange-traded
options are valued at the mid-price of the last quoted bid and ask prices.
Futures contracts whose settlement prices are determined as of the close of the
NYSE are typically valued based on the settlement price, while other futures
contracts are typically valued at the last traded price on the exchange on which
they trade as of the close of the NYSE. Foreign equity index futures that trade
in the electronic trading market subsequent to the close of regular trading may
be valued at the last traded price in the electronic trading market as of the
close of the NYSE, or may be fair valued based on fair value adjustment factors
provided by an independent pricing vendor in order to adjust for events that may
occur between the close of foreign exchanges or markets and the close of the
NYSE. Swaps and unlisted options are generally valued using evaluated prices
obtained from an independent pricing vendor. Shares of other open-end investment
companies that are not exchange-traded funds (underlying funds) are valued based
on the NAVs of such underlying funds.
Pricing
vendors may use matrix pricing or valuation models that utilize certain inputs
and assumptions to derive values, including transaction data, broker-dealer
quotations, credit quality information, general market conditions, news, and
other factors and assumptions. The fund may receive different prices when it
sells odd-lot positions than it would receive for sales of institutional round
lot positions. Pricing vendors generally value securities assuming orderly
transactions of institutional round lot sizes, but a fund may hold or transact
in such securities in smaller, odd lot sizes.
The Pricing
Committee engages in oversight activities with respect to pricing vendors, which
includes, among other things, monitoring significant or unusual price
fluctuations above predetermined tolerance levels from the prior day,
back-testing of pricing vendor prices against actual trades, conducting periodic
due diligence meetings and reviews, and periodically reviewing the inputs,
assumptions and methodologies used by these vendors. Nevertheless, market
quotations, official closing prices, or information furnished by a pricing
vendor could be inaccurate, which could lead to a security being valued
incorrectly.
If market
quotations, official closing prices, or information furnished by a pricing
vendor are not readily available or are otherwise deemed unreliable or not
representative of the fair value of such security because of market- or
issuer-specific events, a security will be valued at its fair value as
determined in good faith by the Board’s valuation designee, the
36
Your
account
advisor. In
certain instances, therefore, the Pricing Committee may determine that a
reported valuation does not reflect fair value, based on additional information
available or other factors, and may accordingly determine in good faith the fair
value of the assets, which may differ from the reported valuation.
Fair value
pricing of securities is intended to help ensure that a fund’s NAV reflects the
fair market value of the fund’s portfolio securities as of the close of regular
trading on the NYSE (as opposed to a value that no longer reflects market value
as of such close), thus limiting the opportunity for aggressive traders or
market timers to purchase shares of the fund at deflated prices reflecting stale
security valuations and promptly sell such shares at a gain, thereby diluting
the interests of long-term shareholders. However, a security’s valuation may
differ depending on the method used for determining value, and no assurance can
be given that fair value pricing of securities will successfully eliminate all
potential opportunities for such trading gains.
The use of
fair value pricing has the effect of valuing a security based upon the price the
fund might reasonably expect to receive if it sold that security in an orderly
transaction between market participants, but does not guarantee that the
security can be sold at the fair value price. Further, because of the inherent
uncertainty and subjective nature of fair valuation, a fair valuation price may
differ significantly from the value that would have been used had a readily
available market price for the investment existed and these differences could be
material.
Regarding the
fund’s investment in an underlying fund that is not an ETF, which (as noted
above) is valued at such underlying fund’s NAV, the prospectus for such
underlying fund explains the circumstances and effects of fair value pricing for
that underlying fund.
Buy
and sell prices
When you buy
shares, you pay the NAV, plus any applicable sales charges, as described
earlier. When you sell shares, you receive the NAV, minus any applicable
deferred sales charges.
Execution
of requests
The fund is
open for business when the NYSE is open, typically 9:30 a.m. to
4:00 p.m. Eastern time,
Monday through Friday. A purchase or redemption order received in good order by
the fund prior to the close of regular trading on the NYSE, on a day the fund is
open for business, will be effected at that day’s NAV. An order received in good
order after the fund close will generally be effected at the NAV determined on
the next business day. In case of emergency or other disruption resulting in the
NYSE not opening for trading or the NYSE closing at a time other than the
regularly scheduled close, the time until which orders are accepted may vary to
the extent permitted by the Securities and Exchange Commission and applicable
regulations. This may result in the fund closing for business prior to the time
at which the fund’s NAV is determined. In this case, orders submitted after the
fund closing may receive the NAV determined on the next business
day.
At times of
peak activity, it may be difficult to place requests by telephone, if available
for your share class. During these times, consider using EASI-Line (if available
for your share class), accessing jhinvestments.com, or sending your request in
writing.
The fund
typically expects to mail or wire redemption proceeds between 1 and 3 business
days following the receipt of the shareholder’s redemption request. Processing
time is not dependent on the chosen delivery method. In unusual circumstances,
the fund may temporarily suspend the processing of sell requests or may postpone
payment of proceeds for up to three business days or longer, as allowed by
federal securities laws.
Under normal
market conditions, the fund typically expects to meet redemption requests
through holdings of cash or cash equivalents or through sales of portfolio
securities, and may access other available liquidity facilities. In unusual or
stressed market conditions, such as, for example, during a period of time in
which a foreign securities exchange is closed, in addition to the methods used
in normal market conditions, the fund may meet redemption requests through the
use of its line of credit, interfund lending facility, redemptions in kind, or
such other liquidity means or facilities as the fund may have in place from time
to time.
Telephone
transactions
For your protection, telephone
requests may be recorded in order to verify their accuracy. Also for your
protection, telephone redemption transactions are not permitted on accounts in
which (i)
the mailing
address
has changed
within the past 30 days
and you would
like the payment sent to your new address; or (ii) the bank of record has
changed within the past 15 days and you would like the payment sent to your new
bank.
Exchanges
and conversions
You may
exchange Class A or Class C shares of one John Hancock fund for shares of the
same class of any other John Hancock fund that is then offering that class,
generally without paying any sales charges, if applicable.
You may
exchange Class I or Class R6 shares of one John Hancock fund for shares of the
same class of any other John Hancock fund or for John Hancock Money Market Fund
Class A shares.
You may
exchange your Class R2 or Class R4 shares for shares of the same class of other
John Hancock funds that are available through your plan, or John Hancock Money
Market Fund Class A shares.
The
registration for both accounts involved in an exchange must be
identical.
Note: Once
exchanged into John Hancock Money Market Fund Class A shares, shares may only be
exchanged back into the original class from which the shares were
exchanged.
As applicable,
shares acquired in an exchange will be subject to the CDSC rate and holding
schedule of the fund in which such shares were originally purchased if and when
such shares are redeemed. For purposes of determining the holding period for
calculating the CDSC, shares will continue to age from their original purchase
date.
Provided the
fund’s eligibility requirements are met, and to the extent the referenced share
class is offered by the fund, an investor in the fund pursuant to a fee-based,
wrap, or other investment platform program of certain firms, as determined by
the fund, may be afforded an opportunity to make a conversion of (i) Class A
shares and/or Class C shares (not
37
Your
account
subject to a
CDSC) also owned by the investor in the same fund to Class I shares or Class R6
shares of that fund; or (ii) Class I shares also owned by the investor to Class
R6 shares of the same fund. Investors that no longer participate in a fee-based,
wrap, or other investment platform program of certain firms may be afforded an
opportunity to make a conversion to Class A shares of the same fund. Class C
shares may be converted to Class A at the request of the applicable financial
intermediary after the expiration of the CDSC period, provided that the
financial intermediary through which a shareholder purchased or holds Class C
shares has records verifying that the Class C share CDSC period has expired and
the position is held in an omnibus or dealer-controlled account. The fund may in
its sole discretion permit a conversion of one share class to another share
class of the same fund in certain circumstances other than those described
above.
In addition,
Trustees, employees of the advisor or its affiliates, employees of the
subadvisor, members of the fund’s portfolio management team and the spouses and
children (under age 21) of the aforementioned, may make a conversion of Class A
or Class I shares also owned by the investor in the same fund to Class R6
shares. If Class R6 shares are unavailable, such investors may make a conversion
of Class A shares in the same fund to Class I shares.
The conversion
of one share class to another share class of the same fund in these particular
circumstances should not cause the investor to realize taxable gain or loss. For
further details, see “Additional information concerning taxes” in the SAI for
information regarding taxation upon the redemption or exchange of shares of the
fund (see the back cover of this prospectus).
The fund may
change or cancel its exchange policies at any time, upon 60 days’ written notice
to its shareholders. For further details, see “Additional services and programs”
in the SAI (see the back cover of this prospectus).
Excessive
trading
The fund is
intended for long-term investment purposes only and does not knowingly accept
shareholders who engage in market timing or other types of excessive short-term
trading. Short-term trading into and out of the fund can disrupt portfolio
investment strategies and may increase fund expenses for all shareholders,
including long-term shareholders who do not generate these
costs.
Right
to reject or restrict purchase and exchange orders
Purchases and
exchanges should be made primarily for investment purposes. The fund reserves
the right to restrict, reject, or cancel (with respect to cancellations within
one day of the order), for any reason and without any prior notice, any purchase
or exchange order, including transactions representing excessive trading and
transactions accepted by any shareholder’s financial intermediary. For example,
the fund may, in its discretion, restrict, reject, or cancel a purchase or
exchange order even if the transaction is not subject to a specific limitation
on exchange activity, as described below, if the fund or its agent determines
that accepting the order could interfere with the efficient management of the
fund’s portfolio, or otherwise not be in the fund’s best interest in light of
unusual trading activity related to your account. In the event that the fund
rejects or cancels an exchange request, neither the redemption nor the
purchase side
of the exchange will be processed. If you would like the redemption request to
be processed even if the purchase order is rejected, you should submit separate
redemption and purchase orders rather than placing an exchange order. The fund
reserves the right to delay for up to one business day, consistent with
applicable law, the processing of exchange requests in the event that, in the
fund’s judgment, such delay would be in the fund’s best interest, in which case
both the redemption and purchase side of the exchange will receive the fund’s
NAV at the conclusion of the delay period. The fund, through its agents in their
sole discretion, may impose these remedial actions at the account holder level
or the underlying shareholder level.
Exchange
limitation policies
The Board of
Trustees has adopted the following policies and procedures by which the fund,
subject to the limitations described below, takes steps reasonably designed to
curtail excessive trading practices.
Limitation
on exchange activity
The fund or
its agent may reject or cancel a purchase order, suspend or terminate the
exchange privilege, or terminate the ability of an investor to invest in John
Hancock funds if the fund or its agent determines that a proposed transaction
involves market timing or disruptive trading that it believes is likely to be
detrimental to the fund. The fund or its agent cannot ensure that it will be
able to identify all cases of market timing or disruptive trading, although it
attempts to have adequate procedures in place to do so. The fund or its agent
may also reject or cancel any purchase order (including an exchange) from an
investor or group of investors for any other reason. Decisions to reject or
cancel purchase orders (including exchanges) in the fund are inherently
subjective and will be made in a manner believed to be in the best interest of
the fund’s shareholders. The fund does not have any arrangement to permit market
timing or disruptive trading.
Exchanges made
on the same day in the same account are aggregated for purposes of counting the
number and dollar amount of exchanges made by the account holder. The exchange
limits referenced above will not be imposed or may be modified under certain
circumstances. For example, these exchange limits may be modified for accounts
held by certain retirement plans to conform to plan exchange limits, ERISA
considerations, or U.S. Department of Labor regulations. Certain automated or
preestablished exchange, asset allocation, and dollar-cost-averaging programs
are not subject to these exchange limits. These programs are excluded from the
exchange limitation since the fund believes that they are advantageous to
shareholders and do not offer an effective means for market timing or excessive
trading strategies. These investment tools involve regular and predetermined
purchase or redemption requests made well in advance of any knowledge of events
affecting the market on the date of the purchase or redemption.
These exchange
limits are subject to the fund’s ability to monitor exchange activity, as
discussed under “Limitation on the ability to detect and curtail excessive
trading practices” below. Depending upon the composition of the fund’s
shareholder accounts, and in light of the limitations on the ability of the fund
to detect and curtail excessive trading practices, a significant percentage of
the fund’s shareholders may not be subject to the exchange limitation policy
described above. In applying the exchange limitation policy, the fund considers
information
38
Your
account
available to
it at the time and reserves the right to consider trading activity in a single
account or multiple accounts under common ownership, control, or
influence.
Limitation
on the ability to detect and curtail excessive trading
practices
Shareholders
seeking to engage in excessive trading practices sometimes deploy a variety of
strategies to avoid detection and, despite the efforts of the fund to prevent
excessive trading, there is no guarantee that the fund or its agent will be able
to identify such shareholders or curtail their trading practices. The ability of
the fund and its agent to detect and curtail excessive trading practices may
also be limited by operational systems and technological limitations. Because
the fund will not always be able to detect frequent trading activity, investors
should not assume that the fund will be able to detect or prevent all frequent
trading or other practices that disadvantage the fund. For example, the ability
of the fund to monitor trades that are placed by omnibus or other nominee
accounts is severely limited in those instances in which the financial
intermediary, including a financial advisor, broker, retirement plan
administrator, or fee-based program sponsor, maintains the records of the fund’s
underlying beneficial owners. Omnibus or other nominee account arrangements are
common forms of holding shares of the fund, particularly among certain financial
intermediaries, such as financial advisors, brokers, retirement plan
administrators, or fee-based program sponsors. These arrangements often permit
the financial intermediary to aggregate its clients’ transactions and ownership
positions and do not identify the particular underlying shareholder(s) to the
fund. However, the fund will work with financial intermediaries as necessary to
discourage shareholders from engaging in abusive trading practices and to impose
restrictions on excessive trades. In this regard, the fund has entered into
information-sharing agreements with financial intermediaries pursuant to which
these intermediaries are required to provide to the fund, at the fund’s request,
certain information relating to their customers investing in the fund through
omnibus or other nominee accounts. The fund will use this information to attempt
to identify excessive trading practices. Financial intermediaries are
contractually required to follow any instructions from the fund to restrict or
prohibit future purchases from shareholders that are found to have engaged in
excessive trading in violation of the fund’s policies. The fund cannot guarantee
the accuracy of the information provided to it from financial intermediaries and
so cannot ensure that it will be able to detect abusive trading practices that
occur through omnibus or other nominee accounts. As a consequence, the fund’s
ability to monitor and discourage excessive trading practices in these types of
accounts may be limited.
Excessive
trading risk
To the extent
that the fund or its agent is unable to curtail excessive trading practices in
the fund, these practices may interfere with the efficient management of the
fund’s portfolio and may result in the fund engaging in certain activities to a
greater extent than it otherwise would, such as maintaining higher cash
balances, using its line of credit, and engaging in increased portfolio
transactions. Increased portfolio transactions and use of the line of credit
would correspondingly increase the fund’s operating costs and decrease the
fund’s investment performance. Maintenance of higher levels of cash balances
would
likewise
result in lower fund investment performance during periods of rising
markets.
While
excessive trading can potentially occur in the fund, certain types of funds are
more likely than others to be targets of excessive trading. For
example:
●
A fund that
invests a significant portion of its assets in small- or mid-capitalization
stocks or securities in particular industries that may trade infrequently or are
fair valued as discussed under “Valuation of securities” entails a greater risk
of excessive trading, as investors may seek to trade fund shares in an effort to
benefit from their understanding of the value of those types of securities
(referred to as price arbitrage).
●
A fund that
invests a material portion of its assets in securities of foreign issuers may be
a potential target for excessive trading if investors seek to engage in price
arbitrage based upon general trends in the securities markets that occur
subsequent to the close of the primary market for such securities.
●
A fund that
invests a significant portion of its assets in below-investment-grade (junk)
bonds that may trade infrequently or are fair valued as discussed under
“Valuation of securities” incurs a greater risk of excessive trading, as
investors may seek to trade fund shares in an effort to benefit from their
understanding of the value of those types of securities (referred to as price
arbitrage).
Any frequent
trading strategies may interfere with efficient management of a fund’s portfolio
and raise costs. A fund that invests in the types of securities discussed above
may be exposed to this risk to a greater degree than a fund that invests in
highly liquid securities. These risks would be less significant, for example, in
a fund that primarily invests in U.S. government securities, money market
instruments, investment-grade corporate issuers, or large-capitalization U.S.
equity securities. Any successful price arbitrage may cause dilution in the
value of the fund shares held by other shareholders.
Account
information
The fund is
required by law to obtain information for verifying an account holder’s
identity. For example, an individual will be required to supply his or her name,
residential address, date of birth, and Social Security number. If you do not
provide the required information, we may not be able to open your account. If
verification is unsuccessful, the fund may close your account, redeem your
shares at the next NAV, minus any applicable sales charges, and take any other
steps that it deems reasonable.
Certificated
shares
The fund does
not issue share certificates. Shares are electronically
recorded.
Sales
in advance of purchase payments
When you place
a request to sell shares for which the purchase money has not yet been
collected, the request will be executed in a timely fashion, but the fund will
not release the proceeds to you until your purchase payment clears. This may
take up to 10 business days after the purchase.
39
Your
account
Dividends
and account policies
Account
statements
For Class A
and Class C shares, in general, you will receive account statements as
follows:
●
after every
transaction (except a dividend reinvestment, automatic investment, or systematic
withdrawal) that affects your account balance
●
after any
changes of name or address of the registered owner(s)
●
in all other
circumstances, every quarter
For Class I
and Class R6 shares, in general, you will receive account statements as
follows:
●
after every
transaction (except a dividend reinvestment) that affects your account
balance
●
after any
changes of name or address of the registered owner(s)
●
in all other
circumstances, every quarter
For Class R2
and Class R4 shares, you will receive account statements from your plan’s
recordkeeper.
Every year you
should also receive, if applicable, a Form 1099 tax information statement,
mailed by February 15. For Class R2 and Class R4 shares, this information
statement will be mailed by your plan’s recordkeeper.
Dividends
The fund
typically declares and pays income dividends and capital gains, if any, at least
annually.
Dividend
reinvestments
Most investors
have their dividends reinvested in additional shares of the same class of the
same fund. If you choose this option, or if you do not indicate any choice, your
dividends will be reinvested. Alternatively, you may choose to have your
dividends and capital gains sent directly to your bank account or a check may be
mailed if your combined dividend and capital gains amount is $10 or more.
However, if the check is not deliverable or the combined dividend and capital
gains amount is less than $10, your proceeds will be reinvested. If five or more
of your dividend or capital gains checks remain uncashed after 180 days, all
subsequent dividends and capital gains will be reinvested. No front-end sales
charge or CDSC will be imposed on shares derived from reinvestment of dividends
or capital gains distributions.
Taxability
of dividends
For investors
who are not exempt from federal income taxes, dividends you receive from the
fund, whether reinvested or taken as cash, are generally considered taxable.
Dividends from the fund’s short-term capital gains are taxable as ordinary
income. Dividends from the fund’s long-term capital gains are taxable at a lower
rate. Whether gains are short-term or long-term depends on the fund’s holding
period. Some dividends paid in January may be taxable as if they had been paid
the previous December.
The Form 1099
that is mailed to you every February, if applicable, details your dividends and
their federal tax category, although you should verify your tax liability with
your tax professional.
Returns
of capital
If the fund’s
distributions exceed its taxable income and capital gains realized during a
taxable year, all or a portion of the distributions made in the same taxable
year may be recharacterized as a return of capital to shareholders. A return of
capital distribution will generally not be taxable, but will reduce each
shareholder’s cost basis in the fund and result in a higher reported capital
gain or lower reported capital loss when those shares on which the distribution
was received are sold.
Taxability
of transactions
Any time you
sell or exchange shares, it is considered a taxable event for you if you are not
exempt from federal income taxes. Depending on the purchase price and the sale
price of the shares you sell or exchange, you may have a gain or a loss on the
transaction. You are responsible for any tax liabilities generated by your
transactions.
Small
accounts
If the value
of your account of Class A or Class C shares is less than $1,000, you may be
asked to purchase more shares within 30 days. If you do not take action, the
fund may close out your account and mail you the proceeds. Alternatively, the
fund may charge you $20 a year to maintain your account. You will not be charged
a CDSC if your account is closed for this reason.
Additional
investor services
Monthly
Automatic Accumulation Program (MAAP)
MAAP lets you
set up regular investments from paychecks or bank accounts to the John Hancock
fund(s) to purchase Class A and Class C shares. Investors determine the
frequency and amount of investments ($25 minimum per month), and they can
terminate the program at any time. To establish, you must satisfy the minimum
initial investment requirements specified in the section “Opening an account”
and complete the appropriate parts of the account
application.
Systematic
withdrawal plan
This plan may
be used for routine bill payments or periodic withdrawals from your account of
Class A and Class C shares. To establish:
●
Make sure you
have at least $5,000 worth of shares in your account.
●
Make sure you
are not planning to invest more money in this account (buying shares during a
period when you are also selling shares of the same fund is not advantageous to
you because of sales charges).
●
Specify the
payee(s). The payee may be yourself or any other party, and there is no limit to
the number of payees you may have, as long as they are all on the same payment
schedule.
●
Determine the
schedule: monthly, quarterly, semiannually, annually, or in certain selected
months.
●
Fill out the
relevant part of the account application. To add a systematic withdrawal plan to
an existing account, contact your financial professional or Signature
Services.
Retirement
plans
John Hancock
funds offer a range of retirement plans, including Traditional and Roth IRAs,
Coverdell ESAs, SIMPLE plans, and SEPs. Using these plans, you can invest in any
John Hancock fund. To find out more, call Signature Services at
800-225-5291.
40
Your
account
John Hancock
does not accept requests to establish new John Hancock custodial 403(b)(7)
accounts, does not accept requests for exchanges or transfers into your existing
John Hancock custodial 403(b)(7) accounts, and requires additional disclosure
documentation if you direct John Hancock to exchange or transfer some or all of
your John Hancock custodial 403(b)(7) account assets to another 403(b)(7)
contract or account. In addition, the fund no longer accepts salary deferrals
into 403(b)(7) accounts. Please refer to the SAI for more information regarding
these restrictions.
Disclosure
of fund holdings
The following
information for the fund is posted on the website, jhinvestments.com, generally
on the fifth business day after month end: top 10 holdings; top 10 sector
analysis; total return/yield; top 10 countries; average quality/maturity;
beta/alpha; and top 10 portfolio composition. All of the holdings of the fund
will be posted to the website no earlier than 15 days after each calendar month
end, and will remain posted on the website for six months. All of the fund’s
holdings as of the end of the third month of every fiscal quarter will be
disclosed on Form N-PORT within 60 days of the end of the fiscal quarter. All of
the fund’s holdings as of the end of the second and fourth fiscal quarters will
be disclosed on Form N-CSR within 70 days of the end of such fiscal quarters. A
description of the fund’s policies and procedures with respect to the disclosure
of its portfolio securities is available in the SAI.
41
Your
account
Appendix
1 - Intermediary sales charge waivers
Intermediary
sales charge waivers
Merrill
Lynch, Pierce, Fenner & Smith Incorporated (Merrill)
Effective March
1, 2024,
purchases or sales of front-end (i.e., Class A) or level-load (i.e., Class C)
mutual fund shares through a Merrill platform or account will be eligible only
for the following sales load waivers (front-end,
contingent
deferred, or back-end
waivers) and
discounts, which differ from those disclosed elsewhere in this fund’s
prospectus.
Purchasers will
have to buy mutual fund shares directly from the mutual fund company or through
another intermediary to be eligible for waivers or discounts not listed
below.
It is the client’s
responsibility to notify Merrill at the time of purchase or sale of any
relationship or other facts that qualify the transaction for a waiver or
discount. A Merrill representative may ask for reasonable documentation of such
facts and Merrill may condition the granting of a waiver or discount on the
timely receipt of such documentation.
Additional information on
waivers and discounts is available in the Merrill Sales Load Waiver and
Discounts Supplement (the “Merrill SLWD Supplement“) and in the Mutual Fund
Investing at Merrill pamphlet at ml.com/funds. Clients are encouraged to review
these documents and speak with their financial advisor to determine whether a
transaction is eligible for a waiver or discount.
Front-end
Load Waivers Available at Merrill
●
Shares of mutual funds
available for purchase by employer-sponsored retirement, deferred compensation,
and employee benefit plans (including health savings accounts) and trusts used
to fund those plans provided the shares are not held in a commission-based
brokerage account and shares are held for the benefit of the plan. For purposes
of this provision, employer-sponsored retirement plans do not include SEP IRAs,
Simple IRAs, SAR-SEPs or Keogh plans
●
Shares purchased through a
Merrill investment advisory program
●
Brokerage class shares
exchanged from advisory class shares due to the holdings moving from a Merrill
investment advisory program to a Merrill brokerage account
●
Shares purchased through the
Merrill Edge Self-Directed platform
●
Shares purchased through the
systematic reinvestment of capital gains distributions and dividend reinvestment
when purchasing shares of the same mutual
fund in the same
account
●
Shares exchanged from
level-load
shares to
front-end load shares of the same mutual fund in accordance with the description
in the Merrill SLWD Supplement
●
Shares purchased by eligible
employees of Merrill or its affiliates and their family members who purchase
shares in accounts within the employee’s Merrill Household (as defined in the
Merrill SLWD Supplement)
●
Shares purchased by eligible
persons associated with the fund
as defined in
this prospectus
(e.g. the fund’s
officers or trustees)
●
Shares purchased from the
proceeds of a mutual fund redemption in front-end load shares provided (1) the
repurchase is in a mutual fund within the same fund family;
(2) the
repurchase occurs within 90 calendar days from the redemption trade date, and
(3) the
redemption and purchase occur
in the same account
(known as Rights
of Reinstatement). Automated transactions (i.e. systematic purchases and
withdrawals) and purchases made after shares are automatically sold to pay
Merrill’s account maintenance fees are not eligible for Rights of
Reinstatement
CDSC
Waivers on Front-end,
Back-end,
and Level
Load Shares
Available at Merrill
●
Shares sold due to the
client’s death or disability (as defined by Internal Revenue Code Section
22(e)(3))
●
Shares sold pursuant to a
systematic withdrawal program subject to Merrill’s maximum systematic withdrawal
limits as described in the Merrill SLWD Supplement Return of excess
contributions from an Individual Retirement Account (IRA)
●
Shares sold due to return of
excess contributions from an IRA account
●
Shares sold as part of a
required minimum distribution for IRA and retirement accounts due to the
investor reaching the qualified age based on applicable IRS regulation Shares
acquired through NAV reinstatement
●
Front-end or level-load shares
held in commission-based, non-taxable retirement brokerage accounts (e.g.
traditional, Roth, rollover, SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans)
that are transferred to fee-based accounts or platforms and exchanged for a
lower cost share class of the same mutual fund
Front-end
Load Discounts Available at Merrill:
Breakpoints,
Rights of Accumulation & Letters of Intent
●
Breakpoint discounts, as
described in this prospectus, where the sales
load is at or
below the maximum sales load that Merrill permits to be assessed to a front-end
load purchase, as described in the Merrill SLWD Supplement
●
Rights of Accumulation
(ROA),
as described in
the Merrill SLWD Supplement,
which entitle
clients to breakpoint discounts based on the aggregated holdings of mutual fund
family assets held in accounts in their Merrill Household
●
Letters of Intent (LOI), which
allow for breakpoint discounts on eligible new purchases based on anticipated
future eligible purchases within a fund family
at Merrill, in
accounts within your Merrill Household,
as further
described in the Merrill SLWD Supplement
Ameriprise
Financial Services, Inc. (Ameriprise Financial)
Effective November
1, 2024,
shareholders purchasing Class
A shares of the
fund through an Ameriprise Financial platform or account are eligible only for
the following sales charge reductions, which may differ from those disclosed
elsewhere in this prospectus or the SAI. Such shareholders can reduce their
initial sales charge on the purchase of Class A shares as follows:
Class
A Shares Front-End Sales Charge Waivers Available at Ameriprise
Financial
●
Transaction size breakpoints,
as described in this prospectus or the SAI
●
Rights of accumulation (ROA),
as described in this prospectus or the SAI
●
Letter of intent, as described
in this prospectus or the SAI
42
Your
account
●
Employer-sponsored
retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b)
plans, profit sharing and money purchase pension plans and defined benefit
plans). For purposes of this provision, employer-sponsored retirement plans do
not include SEP IRAs, Simple IRAs or SAR-SEPs
●
Shares
purchased through reinvestment of capital gains distributions and dividend
reinvestment when purchasing shares of the same fund (but not any other fund
within the same fund family)
●
Shares exchanged from Class C
shares of the same fund in the month of or following the 7-year anniversary of
the purchase date. To the extent that this prospectus elsewhere provides for a
waiver with respect to exchanges of Class C shares or conversion of Class C
shares following a shorter holding period, that waiver will apply to exchanges
following such shorter period. To the extent that this prospectus elsewhere
provides for a waiver with respect to exchanges of Class C shares for load
waived shares, that waiver will also apply to such exchanges
●
Employees and
registered representatives of Ameriprise Financial or its affiliates and their
immediate family members
●
Shares
purchased by or through qualified accounts (including IRAs, Coverdell Education
Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit
plans) that are held by a covered family member, defined as an Ameriprise
financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant
(mother, father, grandmother, grandfather, great grandmother, great
grandfather), advisor’s lineal descendant (son, step-son, daughter,
step-daughter, grandson, granddaughter, great grandson, great granddaughter) or
any spouse of a covered family member who is a lineal descendant
●
Shares
purchased from the proceeds of redemptions within the same fund family, provided
(1) the repurchase occurs within 90 days following the redemption, (2) the
redemption and purchase occur in the same account, and (3) redeemed shares were
subject to a front-end or deferred sales load (i.e. Rights of
Reinstatement)
CDSC
Waivers on Class A and C Shares Purchased through Ameriprise
Financial
Fund shares purchased through
an Ameriprise Financial platform or
account are
eligible only for the following CDSC waivers, which may differ from those
disclosed elsewhere in this prospectus or the SAI:
●
Redemptions due to death or
disability of the shareholder
●
Shares sold as part of a
systematic withdrawal plan as described in this prospectus or the
SAI
●
Redemptions made in connection
with a return of excess contributions from an IRA account
●
Shares purchased through a
Right of Reinstatement (as defined above)
●
Redemptions made as part of a
required minimum distribution for IRA and retirement accounts pursuant to the
Internal Revenue Code
Morgan
Stanley Smith Barney (Morgan Stanley)
Effective July
1, 2018, shareholders purchasing fund shares through a Morgan Stanley Wealth
Management transactional brokerage account which is not held directly at the
fund are eligible only for the following front-end sales charge waivers with
respect to Class A shares, which may differ from and may be more limited than
those disclosed elsewhere in this fund’s Prospectus or SAI:
Front-end
Sales Charge Waivers on Class A Shares available at Morgan Stanley Wealth
Management
●
Employer-sponsored
retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b)
plans, profit sharing and money purchase pension plans and defined benefit
plans). For purposes of this provision, employer-sponsored retirement plans do
not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans
●
Morgan Stanley
employee and employee-related accounts according to Morgan Stanley’s account
linking rules
●
Shares
purchased through reinvestment of dividends and capital gains distributions when
purchasing shares of the same fund
●
Shares
purchased through a Morgan Stanley self-directed brokerage account
●
Class C (i.e.,
level-load) shares that are no longer subject to a contingent deferred sales
charge and are converted to Class A shares of the same fund by Morgan Stanley
Wealth Management pursuant to its share class conversion program
●
Shares
purchased from the proceeds of redemptions within the same fund family, provided
(i) the repurchase occurs within 90 days following the redemption, (ii) the
redemption and purchase occur in the same account, and (iii) redeemed shares
were subject to a front-end or deferred sales charge
Raymond
James & Associates, Inc., Raymond James Financial Services, Inc. and each
entity’s affiliates (Raymond James)
Effective
March 1, 2019, shareholders purchasing fund shares through a Raymond James
platform or account, or through an introducing broker-dealer or independent
registered investment adviser for which Raymond James provides trade execution,
clearance, and/or custody services, are eligible only for the following load
waivers (front-end sales charge waivers and contingent deferred, or back-end,
sales charge waivers) and discounts, which may differ from those disclosed
elsewhere in this fund’s prospectus or SAI.
Front-end
sales load waivers on Class A shares available at Raymond James
●
Shares
purchased in an investment advisory program
●
Shares
purchased within the same fund family through a systematic reinvestment of
capital gains distributions and dividend reinvestment when purchasing shares of
the same fund
●
Employees and
registered representatives of Raymond James or its affiliates and their family
members as designated by Raymond James
●
Shares
purchased from the proceeds of redemptions within the same fund family, provided
(1) the repurchase occurs within 90 days following the redemption, (2) the
redemption and purchase occur in the same account, and (3) redeemed shares were
subject to a front-end or deferred sales load (known as Rights of
Reinstatement)
●
A shareholder
in the fund’s Class C shares will have their shares converted at net asset value
to Class A shares (or the appropriate share class) of the fund if the shares are
no longer subject to a CDSC and the conversion is in line with the policies and
procedures of Raymond James
43
Your
account
CDSC
Waivers on Class A and Class C shares available at Raymond James
●
Death or
disability of the shareholder
●
Shares sold as
part of a systematic withdrawal plan as described in the fund’s
prospectus
●
Return of
excess contributions from an IRA Account
●
Shares sold as
part of a required minimum distribution for IRA and retirement accounts due to
the shareholder reaching the qualified age based on applicable IRS regulations
as described in the fund’s prospectus
●
Shares sold to
pay Raymond James fees but only if the transaction is initiated by Raymond
James
●
Shares
acquired through a right of reinstatement
Front-end
load discounts available at Raymond James: breakpoints, and/or rights of
accumulation, and/or letters of intent
●
Breakpoints as
described in the fund’s prospectus
●
Rights of
accumulation which entitle shareholders to breakpoint discounts will be
automatically calculated based on the aggregated holding of fund family assets
held by accounts within the purchaser’s household at Raymond James. Eligible
fund family assets not held at Raymond James may be included in the calculation
of rights of accumulation only if the shareholder notifies his or her financial
professional about such assets
●
Letters of
intent which allow for breakpoint discounts based on anticipated purchases
within a fund family, over a 13-month time period. Eligible fund family assets
not held at Raymond James may be included in the calculation of letters of
intent only if the shareholder notifies his or her financial professional about
such assets
Janney
Montgomery Scott LLC (Janney)
Effective May
1, 2020, if you purchase fund shares through a Janney brokerage account, you
will be eligible for the following load waivers (front-end sales charge waivers
and contingent deferred sales charge (CDSC), or back-end sales charge, waivers)
and discounts, which may differ from those disclosed elsewhere in this fund’s
prospectus or SAI.
Front-end
sales charge* waivers on Class A shares available at Janney
●
Shares
purchased through reinvestment of capital gains distributions and dividend
reinvestment when purchasing shares of the same fund (but not any other fund
within the fund family)
●
Shares
purchased by employees and registered representatives of Janney or its
affiliates and their family members as designated by Janney
●
Shares
purchased from the proceeds of redemptions within the same fund family, provided
(1) the repurchase occurs within ninety (90) days following the redemption, (2)
the redemption and purchase occur in the same account, and (3) redeemed shares
were subject to a front-end or deferred sales load (i.e., right of
reinstatement)
●
Employer-sponsored
retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b)
plans, profit sharing and money purchase pension plans and defined benefit
plans). For purposes of this provision, employer-sponsored retirement plans do
not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans
●
Shares
acquired through a right of reinstatement
●
Class C shares
that are no longer subject to a contingent deferred sales charge and are
converted to Class A shares of the same fund pursuant to Janney’s policies and
procedures
CDSC
waivers on Class A and Class C shares available at Janney
●
Shares sold
upon the death or disability of the shareholder
●
Shares sold as
part of a systematic withdrawal plan as described in the fund’s
prospectus
●
Shares
purchased in connection with a return of excess contributions from an IRA
account
●
Shares sold as
part of a required minimum distribution for IRA and retirement accounts if the
redemption is taken in or after the year the shareholder reaches qualified age
based on applicable IRS regulations
●
Shares sold to
pay Janney fees but only if the transaction is initiated by Janney
●
Shares
acquired through a right of reinstatement
●
Shares
exchanged into the same share class of a different fund
Front-end
sales charge* discounts available at Janney: breakpoints, rights of
accumulation, and/or letters of intent
●
Breakpoints as
described in the fund’s prospectus
●
Rights of
accumulation (ROA), which entitle shareholders to breakpoint discounts, will be
automatically calculated based on the aggregated holding of fund family assets
held by accounts within the purchaser’s household at Janney. Eligible fund
family assets not held at Janney may be included in the ROA calculation only if
the shareholder notifies his or her financial professional about such
assets
●
Letters of
intent which allow for breakpoint discounts based on anticipated purchases
within a fund family, over a 13-month time period. Eligible fund family assets
not held at Janney may be included in the calculation of letters of intent only
if the shareholder notifies his or her financial professional about such
assets
*Also referred
to as an “initial sales charge.”
Edward
D. Jones & Co., L.P. (Edward Jones)
Effective on or after
September
3, 2024, the
following information supersedes prior information with respect to transactions
and positions held in fund shares through an Edward Jones system. Clients of
Edward Jones
(also referred to
as “shareholders”) purchasing fund shares on the Edward Jones commission and
fee-based platforms are eligible only for the following sales charge
discounts
(also referred to
as “breakpoints”) and waivers, which can differ from discounts and waivers
described elsewhere in the mutual fund prospectus or statement of additional
information (SAI) or through another broker-dealer. In all instances, it is the
shareholder's responsibility to inform Edward Jones at the time of purchase of
any relationship, holdings of John Hancock Investment Management, or other facts
qualifying the purchaser for discounts or waivers. Edward Jones can ask for
documentation of such circumstance. Shareholders should contact Edward Jones if
they have questions regarding their eligibility for these discounts and
waivers.
Breakpoints
●
Breakpoint pricing, otherwise
known as volume pricing, at dollar thresholds as described in the
prospectus.
44
Your
account
Rights of
Accumulation (ROA)
●
The applicable sales charge on
a purchase of Class A shares is determined by taking into account all share
classes
(except certain
money market funds and any assets held in group retirement plans) of John
Hancock Investment Management held by the shareholder or in an account grouped
by Edward Jones with other accounts for the purpose of providing certain pricing
considerations (”pricing groups“). If grouping assets as a shareholder, this
includes all share classes held on the Edward Jones platform and/or held on
another platform. The inclusion of eligible fund family assets in the ROA
calculation is dependent on the shareholder notifying Edward Jones of such
assets at the time of calculation. Money market funds are included only if such
shares were sold with a sales charge at the time of purchase or acquired in
exchange for shares purchased with a sales charge.
●
The employer maintaining a SEP
IRA plan and/or SIMPLE IRA plan may elect to establish or change ROA for the IRA
accounts associated with the plan to a plan-level grouping as opposed to
including all share classes at a shareholder or pricing group level.
●
ROA is determined by
calculating the higher of cost minus redemptions or market value (current shares
x NAV).
Letter of
Intent (LOI)
●
Through a LOI, shareholders
can receive the sales charge and breakpoint discounts for purchases shareholders
intend to make over a 13-month period from the date Edward Jones receives the
LOI. The LOI is determined by calculating the higher of cost or market value of
qualifying holdings at LOI initiation in combination with the value that the
shareholder intends to buy over a 13-month period to calculate the front-end
sales charge and any breakpoint discounts. Each purchase the shareholder makes
during that 13-month period will receive the sales charge and breakpoint
discount that applies to the total amount. The inclusion of eligible fund family
assets in the LOI calculation is dependent on the shareholder notifying Edward
Jones of such assets at the time of calculation. Purchases made before the LOI
is received by Edward Jones are not adjusted under the LOI and will not reduce
the sales charge previously paid. Sales charges will be adjusted if LOI is not
met.
If the employer maintaining a
SEP IRA plan and/or SIMPLE IRA plan has elected to establish or change ROA for
the IRA accounts associated with the plan to a plan-level grouping, LOIs will
also be at the plan-level and may only be established by the
employer.
Sales
Charge Waivers
Sales charges
are waived for the following shareholders and in the following
situations:
●
Associates of Edward Jones and
its affiliates and other accounts in the same pricing group (as determined by
Edward Jones under its policies and procedures) as the associate. This waiver
will continue for the remainder of the associate’s life if the associate retires
from Edward Jones in good-standing and remains in good standing pursuant to
Edward Jones’ policies and procedures.
●
Shares purchased in an Edward
Jones fee-based program.
●
Shares purchased through
reinvestment of capital gains distributions and dividend
reinvestment.
●
Shares
purchased from the proceeds of redeemed shares of the same fund family so long
as the following conditions are met: 1) the proceeds are from the sale of shares
within 60 days of the purchase,
and 2) the sale and purchase
are made from a share class that charges a front load and one of the
following
(Right of
Reinstatement):
●
The redemption and repurchase
occur in the same account.
●
The redemption proceeds are
used to process an: IRA contribution, excess contributions, conversion,
recharacterizing of contributions, or distribution, and the repurchase is done
in an account within the same Edward Jones grouping for ROA.
The Right of Reinstatement
excludes systematic or automatic transactions including, but not limited to,
purchases made through payroll deductions, liquidations to cover account fees,
and reinvestments from non-mutual fund products.
●
Shares exchanged into Class A
shares from another share class so long as the exchange is into the same fund
and was initiated at the discretion of Edward Jones. Edward Jones is responsible
for any remaining CDSC due to the fund company, if applicable. Any future
purchases are subject to the applicable sales charge as disclosed in the
prospectus.
●
Exchanges from Class C shares
to Class A shares of the same fund, generally, in the 84th month following the
anniversary of the purchase date or earlier at the discretion of Edward
Jones.
●
Purchases of Class 529-A
shares through a rollover from either another education savings plan or a
security used for qualified distributions.
●
Purchases of Class 529-A
shares made for recontribution of refunded amounts.
CDSC
Waivers on Class A and Class C shares available at Edward Jones
If the
shareholder purchases shares that are subject to a CDSC and those shares are
redeemed before the CDSC is expired, the shareholder is responsible to pay the
CDSC except in the following conditions:
●
The death or disability of the
shareholder.
●
Systematic withdrawals
with
up to 10% per
year of the account value.
●
Return of excess contributions
from an Individual Retirement Account (IRA).
●
Shares redeemed as part of a
required minimum distribution for IRA and retirement accounts if the redemption
is taken in or after the year the shareholder reaches qualified age based on
applicable IRS regulations.
●
Shares redeemed to pay Edward
Jones fees or costs in such cases where the transaction is initiated by Edward
Jones.
●
Shares exchanged in an Edward
Jones fee-based program.
●
Shares acquired through NAV
reinstatement.
●
Shares redeemed at the
discretion of Edward Jones for Minimum Balances, as described
below.
Other
Important Information Regarding Transactions Through Edward Jones
Minimum
Purchase Amounts
●
Initial
purchase minimum: $250
●
Subsequent
purchase minimum: none
45
Your
account
Minimum
Balances
●
Edward Jones
has the right to redeem at its discretion fund holdings with a balance of $250
or less. The following are examples of accounts that are not included in this
policy:
●
A fee-based
account held on an Edward Jones platform
●
A 529 account
held on an Edward Jones platform
●
An account
with an active systematic investment plan or LOI
Exchanging
Share Classes
●
At any time it deems
necessary, Edward Jones has the authority to exchange at NAV a shareholder’s
holdings in a fund to Class A shares of the same fund.
Robert
W. Baird & Co. (Baird)
Effective June
15, 2020, shareholders purchasing fund shares through a Baird platform or
account will only be eligible for the following sales charge waivers (front-end
sales charge waivers and contingent deferred sales charge (CDSC) waivers) and
discounts, which may differ from those disclosed elsewhere in this prospectus or
the SAI.
Front-End
Sales Charge Waivers on Class A shares Available at Baird
●
Shares
purchased through reinvestment of capital gains distributions and dividend
reinvestment when purchasing shares of the same fund
●
Shares
purchased by employees and registered representatives of Baird or its affiliates
and their family members as designated by Baird
●
Shares
purchased from the proceeds of redemptions within the same fund family, provided
(1) the repurchase occurs within 90 days following the redemption, (2) the
redemption and purchase occur in the same account, and (3) redeemed shares were
subject to a front-end or deferred sales charge (known as rights of
reinstatement)
●
Class C shares
will be converted at net asset value to Class A shares of the same fund if the
shares are no longer subject to CDSC and the conversion is in line with the
policies and procedures of Baird
●
Employer-sponsored
retirement plans or charitable accounts in a transactional brokerage account at
Baird, including 401(k) plans, 457 plans, employer-sponsored 403(b) plans,
profit sharing and money purchase pension plans and defined benefit plans. For
purposes of this provision, employer-sponsored retirement plans do not include
SEP IRAs, Simple IRAs or SAR-SEPs
CDSC
Waivers on Class A and Class C shares Available at Baird
●
Shares sold
due to death or disability of the shareholder
●
Shares sold as
part of a systematic withdrawal plan as described in the fund’s
prospectus
●
Shares bought
due to returns of excess contributions from an IRA Account
●
Shares sold as
part of a required minimum distribution for IRA and retirement accounts due to
the shareholder reaching the qualified age based on applicable IRS regulations
as described in the fund’s prospectus
●
Shares sold to
pay Baird fees but only if the transaction is initiated by Baird
●
Shares
acquired through a right of reinstatement
Front-End
Sales Charge Discounts Available at Baird: Breakpoints and/or Rights of
Accumulations
●
Breakpoints as
described in this prospectus
●
Rights of
accumulations which entitle shareholders to breakpoint discounts will be
automatically calculated based on the aggregated holdings of fund family assets
held by accounts within the purchaser’s household at Baird. Eligible fund family
assets not held at Baird may be included in the rights of accumulations
calculation only if the shareholder notifies his or her financial advisor about
such assets
●
Letters of
Intent (LOI) allow for breakpoint discounts based on anticipated purchases
within the fund family through Baird, over a 13-month period of
time
Stifel,
Nicolaus & Company, Incorporated (Stifel)
Effective July
1, 2020, shareholders purchasing fund shares through a Stifel platform or
account or who own shares for which Stifel or an affiliate is the broker-dealer
of record are eligible for the following additional sales charge
waiver.
Front-end
Sales Load Waiver on Class A Shares
●
Class C shares
that have been held for more than seven (7) years converted to Class A shares of
the same fund pursuant to Stifel’s policies and procedures.
All other
sales charge waivers and reductions described elsewhere in the fund’s prospectus
or SAI still apply.
J.P.
MORGAN SECURITIES LLC
Effective
October 1, 2023, if you purchase or hold fund shares through an applicable J.P.
Morgan Securities LLC brokerage account, you will be eligible for the following
sales charge waivers (front-end sales charge waivers and contingent deferred
sales charge (CDSC), or back-end sales charge, waivers), share class conversion
policy and discounts, which may differ from those disclosed elsewhere in this
fund’s prospectus or Statement of Additional Information (SAI).
Front-end
sales charge waivers on Class A shares available at J.P. Morgan Securities
LLC
●
Shares
exchanged from Class C (i.e., level-load) shares that are no longer subject to a
CDSC and are exchanged into Class A shares of the same fund pursuant to J.P.
Morgan Securities LLC’s share class exchange policy.
●
Qualified
employer-sponsored defined contribution and defined benefit retirement plans,
nonqualified deferred compensation plans, other employee benefit plans and
trusts used to fund those plans. For purposes of this provision, such plans do
not include SEP IRAs, SIMPLE IRAs, SAR-SEPs or 501(c)(3) accounts.
●
Shares of
funds purchased through J.P. Morgan Securities LLC Self-Directed Investing
accounts.
●
Shares
purchased through rights of reinstatement.
●
Shares
purchased through reinvestment of capital gains distributions and dividend
reinvestment when purchasing shares of the same fund (but not any other fund
within the fund family).
●
Shares
purchased by employees and registered representatives of J.P. Morgan Securities
LLC or its affiliates and their spouse or financial dependent as defined by J.P.
Morgan Securities LLC.
46
Your
account
Class
C to Class A share conversion
●
A shareholder
in the fund’s Class C shares will have their shares converted by J.P. Morgan
Securities LLC to Class A shares (or the appropriate share class) of the same
fund if the shares are no longer subject to a CDSC and the conversion is
consistent with J.P. Morgan Securities LLC’s policies and
procedures.
CDSC
waivers on Class A and C shares available at J.P. Morgan Securities
LLC
●
Shares sold
upon the death or disability of the shareholder.
●
Shares sold as
part of a systematic withdrawal plan as described in the fund’s
prospectus.
●
Shares
purchased in connection with a return of excess contributions from an IRA
account.
●
Shares sold as
part of a required minimum distribution for IRA and retirement accounts pursuant
to the Internal Revenue Code.
●
Shares
acquired through a right of reinstatement.
Front-end
load discounts available at J.P. Morgan Securities LLC: breakpoints, rights of
accumulation & letters of intent
●
Breakpoints as
described in the prospectus.
●
Rights of
Accumulation (ROA) which entitle shareholders to breakpoint discounts as
described in the fund’s prospectus will be automatically calculated based on the
aggregated holding of fund family assets held by accounts within the purchaser’s
household at J.P. Morgan Securities LLC. Eligible fund family assets not held at
J.P. Morgan Securities LLC may be included in the ROA calculation only if the
shareholder notifies their financial advisor about such assets.
●
Letters of
Intent (LOI) which allow for breakpoint discounts based on anticipated purchases
within a fund family, through J.P. Morgan Securities LLC, over a 13-month period
of time (if applicable).
All other
sales charge waivers and reductions described elsewhere in each fund’s
prospectus or SAI still apply.
47
For
more information
Annual/semiannual
reports to shareholders
Additional information about
the fund’s investments is available in the fund’s annual and semiannual reports
to shareholders and in Form N-CSR. In the fund’s annual report, you will find a
discussion of the market conditions and investment strategies that significantly
affected the fund’s performance during its last fiscal year. In Form N-CSR, you
will find the fund's annual and semiannual financial
statements.
Statement
of Additional Information (SAI)
The SAI
contains more detailed information on all aspects of the fund and includes a
summary of the fund’s policy regarding disclosure of its portfolio holdings, as
well as legal and regulatory matters. A current SAI has been filed with the SEC
and is incorporated by reference into (and is legally a part of) this
prospectus.
To
obtain a free copy of these documents or request other
information
There are several ways you can
get a current annual/semiannual report, Form N-CSR, other information such as
fund financial statements that the fund files on Form N-CSR, prospectus, or SAI
from John Hancock, request other information, or make
inquiries:
Online:
jhinvestments.com
By
mail:
John Hancock
Signature Services, Inc.
P.O. Box 219909
Kansas City, MO 64121-9909
P.O. Box 219909
Kansas City, MO 64121-9909
By
EASI-Line:
800-338-8080
for Class A and Class C shares
By
phone:
800-225-5291
for Class A and Class C shares; 888-972-8696 for Class I, Class R2, Class R4,
and Class R6 shares
By
TTY:
888-999-4721
for Class A, Class C, Class I, and Class R6 shares
You can also
view or obtain copies of these documents through the SEC:
Online:
sec.gov
© 2024 John Hancock Investment
Management Distributors LLC, Member FINRA, SIPC
200 Berkeley Street, Boston, MA 02116
800-225-5291, jhinvestments.com
200 Berkeley Street, Boston, MA 02116
800-225-5291, jhinvestments.com
Manulife,
Manulife Investment Management, Stylized M Design, and Manulife Investment
Management & Stylized M Design are trademarks of The Manufacturers Life
Insurance Company and are used by its affiliates under license.
SEC file number:
811-21779
3760PN 12/1/24
3760PN 12/1/24