John Hancock
Premium Dividend Fund
Quarterly portfolio holdings 1/31/2024
| Fund’s investments |
As of 1-31-24
(unaudited)
| Shares | Value | ||||
| Common stocks 67.8% (41.6% of Total investments) | $391,890,323 | ||||
| (Cost $373,751,372) | |||||
| Communication services 7.6% | 43,854,355 | ||||
| Diversified telecommunication services 7.6% | |||||
| AT&T, Inc. (A) | 1,091,919 | 19,316,047 | |||
| Verizon Communications, Inc. (A) | 579,417 | 24,538,308 | |||
| Consumer staples 1.4% | 8,358,200 | ||||
| Tobacco 1.4% | |||||
| Philip Morris International, Inc. (A) | 92,000 | 8,358,200 | |||
| Energy 10.8% | 62,363,592 | ||||
| Oil, gas and consumable fuels 10.8% | |||||
| BP PLC, ADR (A)(B) | 590,950 | 20,742,345 | |||
| Enbridge, Inc. (A) | 281,200 | 9,982,600 | |||
| Kinder Morgan, Inc. (A) | 1,164,001 | 19,694,897 | |||
| ONEOK, Inc. (A) | 175,000 | 11,943,750 | |||
| Financials 1.1% | 6,065,721 | ||||
| Banks 1.1% | |||||
| Columbia Banking System, Inc. (A) | 300,879 | 6,065,721 | |||
| Real estate 1.9% | 11,240,031 | ||||
| Specialized REITs 1.9% | |||||
| Crown Castle, Inc. (A) | 103,834 | 11,240,031 | |||
| Utilities 45.0% | 260,008,424 | ||||
| Electric utilities 24.8% | |||||
| American Electric Power Company, Inc. (A) | 160,000 | 12,502,400 | |||
| Duke Energy Corp. (A)(B) | 185,000 | 17,728,550 | |||
| Entergy Corp. (A) | 110,000 | 10,973,600 | |||
| Evergy, Inc. (A) | 245,000 | 12,438,650 | |||
| Eversource Energy (A)(B) | 234,033 | 12,689,269 | |||
| Exelon Corp. (A) | 230,000 | 8,006,300 | |||
| FirstEnergy Corp. (A) | 435,000 | 15,955,800 | |||
| NextEra Energy, Inc. (A) | 88,081 | 5,164,189 | |||
| OGE Energy Corp. (A)(B) | 530,000 | 17,617,200 | |||
| Pinnacle West Capital Corp. (A) | 50,000 | 3,445,000 | |||
| PPL Corp. (A)(B) | 660,000 | 17,292,000 | |||
| The Southern Company (A) | 135,000 | 9,385,200 | |||
| Gas utilities 3.5% | |||||
| Spire, Inc. (A) | 200,000 | 11,354,000 | |||
| UGI Corp. (A)(B) | 395,000 | 8,745,300 | |||
| Multi-utilities 16.7% | |||||
| Algonquin Power & Utilities Corp. | 386,550 | 8,179,398 | |||
| Black Hills Corp. (A) | 250,000 | 12,940,000 | |||
| CenterPoint Energy, Inc. (A) | 380,181 | 10,622,257 | |||
| Dominion Energy, Inc. (A) | 268,800 | 12,289,536 | |||
| DTE Energy Company (A) | 105,000 | 11,069,100 | |||
| National Grid PLC, ADR (A)(B) | 164,166 | 11,086,130 | |||
| NiSource, Inc. (A) | 250,000 | 6,492,500 | |||
| Public Service Enterprise Group, Inc. (A)(B) | 235,000 | 13,627,650 | |||
| Sempra (A) | 145,394 | 10,404,395 | |||
| 2 | JOHN HANCOCK PREMIUM DIVIDEND FUND | QUARTERLY REPORT | SEE NOTES TO FUND’S INVESTMENTS |
| Shares | Value | ||||
| Preferred securities (C) 40.4% (24.8% of Total investments) | $233,074,168 | ||||
| (Cost $253,254,477) | |||||
| Communication services 0.3% | 1,756,440 | ||||
| Media 0.3% | |||||
| Paramount Global, 5.750% | 95,200 | 1,756,440 | |||
| Consumer discretionary 0.7% | 3,969,900 | ||||
| Broadline retail 0.7% | |||||
| QVC, Inc., 6.250% (A) | 330,000 | 3,969,900 | |||
| Financials 24.6% | 141,978,791 | ||||
| Banks 10.1% | |||||
| Bank of America Corp., 7.250% | 6,000 | 7,307,100 | |||
| Citigroup, Inc., 9.632% (3 month CME Term SOFR + 4.302%) (A)(D) | 139,324 | 3,632,177 | |||
| Fulton Financial Corp., 5.125% (A) | 197,400 | 3,503,850 | |||
| Huntington Bancshares, Inc., 6.875% (6.875% to 4-15-28, then 5 Year CMT + 2.704%) (A) | 261,075 | 6,349,344 | |||
| JPMorgan Chase & Co., 6.000% (A) | 92,200 | 2,315,142 | |||
| KeyCorp, 5.650% (A) | 98,925 | 2,106,113 | |||
| KeyCorp, 6.200% (6.200% to 12-15-27, then 5 Year CMT + 3.132%) (A) | 134,275 | 3,001,046 | |||
| Regions Financial Corp., 4.450% (A) | 293,250 | 5,299,028 | |||
| Synovus Financial Corp., 8.920% (3 month CME Term SOFR + 3.614%) (A)(D) | 188,000 | 4,626,680 | |||
| Truist Financial Corp., 4.750% (A) | 151,375 | 3,257,590 | |||
| Wells Fargo & Company, 7.500% | 14,000 | 16,940,000 | |||
| Capital markets 5.0% | |||||
| Brookfield Finance, Inc., 4.625% (A) | 170,000 | 2,993,700 | |||
| Carlyle Finance LLC, 4.625% (A) | 53,575 | 1,070,964 | |||
| Morgan Stanley, 6.375% (A) | 344,227 | 8,636,655 | |||
| Morgan Stanley, 6.500% (A) | 374,000 | 9,970,840 | |||
| Morgan Stanley, 7.125% (A) | 190,075 | 4,826,004 | |||
| State Street Corp., 5.350% | 38,175 | 924,217 | |||
| State Street Corp., 5.900% (5.900% to 3-15-24, then 9.008% thereafter) | 25,000 | 629,500 | |||
| Financial services 2.3% | |||||
| Apollo Global Management, Inc., 7.625% (7.625% to 12-15-28, then 5 Year CMT + 3.226%) (A) | 437,250 | 11,845,103 | |||
| Jackson Financial, Inc., 8.000% (8.000% to 3-30-28, then 5 Year CMT + 3.728%) (A) | 40,000 | 1,080,800 | |||
| KKR Group Finance Company IX LLC, 4.625% (A) | 3,375 | 66,825 | |||
| Insurance 7.2% | |||||
| American Equity Investment Life Holding Company, 6.625% (6.625% to 9-1-25, then 5 Year CMT + 6.297%) (A) | 211,825 | 5,335,872 | |||
| Athene Holding, Ltd., 6.350% (6.350% to 6-30-29, then 3 month LIBOR + 4.253%) (A) | 349,213 | 8,304,285 | |||
| Brighthouse Financial, Inc., 6.600% (A) | 125,485 | 3,115,793 | |||
| Enstar Group, Ltd., 7.000% (7.000% to 9-1-28, then 3 month LIBOR + 4.015%) (A) | 121,400 | 3,088,416 | |||
| F&G Annuities & Life, Inc., 7.950% (A) | 300,100 | 7,889,629 | |||
| Lincoln National Corp., 9.000% (A) | 330,275 | 9,317,058 | |||
| The Allstate Corp., 7.375% (A) | 166,975 | 4,545,060 | |||
| Utilities 14.8% | 85,369,037 | ||||
| Electric utilities 9.6% | |||||
| Duke Energy Corp., 5.750% (A) | 199,700 | 5,006,479 | |||
| NextEra Energy Capital Holdings, Inc., 5.650% (A) | 6,200 | 157,046 | |||
| NextEra Energy, Inc., 6.926% | 381,350 | 14,190,034 | |||
| NSTAR Electric Company, 4.250% (A) | 13,347 | 908,931 | |||
| SEE NOTES TO FUND’S INVESTMENTS | QUARTERLY REPORT | JOHN HANCOCK PREMIUM DIVIDEND FUND | 3 |
| Shares | Value | ||||
| Utilities (continued) | |||||
| Electric utilities (continued) | |||||
| NSTAR Electric Company, 4.780% (A) | 100,000 | $7,525,000 | |||
| SCE Trust II, 5.100% (A) | 566,770 | 11,528,102 | |||
| SCE Trust VI, 5.000% (A) | 249,380 | 4,982,612 | |||
| SCE Trust VII, 7.500% (A) | 400,000 | 10,520,000 | |||
| Union Electric Company, 3.700% (A) | 12,262 | 732,655 | |||
| Gas utilities 0.8% | |||||
| Spire, Inc., 5.900% (A) | 183,775 | 4,502,488 | |||
| Independent power and renewable electricity producers 1.8% | |||||
| The AES Corp., 6.875% | 157,000 | 10,459,340 | |||
| Multi-utilities 2.6% | |||||
| Algonquin Power & Utilities Corp., 6.200% (6.200% to 7-1-24, then 3 month LIBOR + 4.010% to 7-1-29, then 3 month LIBOR + 4.260% to 7-1-49, then 3 month LIBOR + 5.010%) (A) | 300,000 | 7,431,000 | |||
| NiSource, Inc., 6.500% (6.500% to 3-15-24, then 5 Year CMT + 3.632% to 3-15-44, then 5 Year CMT + 4.632%) (A) | 250,000 | 6,312,500 | |||
| Sempra, 5.750% (A) | 45,000 | 1,112,850 | |||
| Rate (%) | Maturity date | Par value^ | Value | ||
| Corporate bonds 52.3% (32.0% of Total investments) | $301,827,836 | ||||
| (Cost $314,680,814) | |||||
| Communication services 1.4% | 8,037,585 | ||||
| Media 1.4% | |||||
| Paramount Global (6.375% to 3-30-27, then 5 Year CMT + 3.999% to 3-30-32, then 5 Year CMT + 4.249% to 3-30-47, then 5 Year CMT + 4.999%) | 6.375 | 03-30-62 | 9,000,000 | 8,037,585 | |
| Consumer discretionary 2.6% | 15,094,075 | ||||
| Automobiles 2.6% | |||||
| General Motors Financial Company, Inc. (5.700% to 9-30-30, then 5 Year CMT + 4.997%) (E) | 5.700 | 09-30-30 | 9,250,000 | 8,508,842 | |
| General Motors Financial Company, Inc. (6.500% to 9-30-28, then 3 month LIBOR + 3.436%) (E) | 6.500 | 09-30-28 | 7,046,000 | 6,585,233 | |
| Energy 2.8% | 16,186,315 | ||||
| Oil, gas and consumable fuels 2.8% | |||||
| Enbridge, Inc. (6.250% to 3-1-28, then 3 month CME Term SOFR + 3.903% to 3-1-48, then 3 month CME Term SOFR + 4.653%) (A)(B) | 6.250 | 03-01-78 | 10,000,000 | 9,542,392 | |
| Enbridge, Inc. (7.375% to 1-15-28, then 5 Year CMT + 3.708% to 1-15-33, then 5 Year CMT + 3.958% to 1-15-48, then 5 Year CMT + 4.708%) | 7.375 | 01-15-83 | 3,304,000 | 3,297,656 | |
| Enbridge, Inc. (8.500% to 1-15-34, then 5 Year CMT + 4.431% to 1-15-54, then 5 Year CMT + 5.181%) | 8.500 | 01-15-84 | 3,130,000 | 3,346,267 | |
| Financials 40.6% | 234,630,267 | ||||
| Banks 31.2% | |||||
| Bank of America Corp. (5.875% to 3-15-28, then 3 month CME Term SOFR + 3.193%) (E) | 5.875 | 03-15-28 | 7,000,000 | 6,790,000 | |
| Bank of America Corp. (6.125% to 4-27-27, then 5 Year CMT + 3.231%) (A)(B)(E) | 6.125 | 04-27-27 | 15,500,000 | 15,434,909 | |
| BNP Paribas SA (7.375% to 8-19-25, then 5 Year U.S. Swap Rate + 5.150%) (A)(B)(E) | 7.375 | 08-19-25 | 14,400,000 | 14,408,755 | |
| Citigroup, Inc. (7.375% to 5-15-28, then 5 Year CMT + 3.209%) (A)(B)(E) | 7.375 | 05-15-28 | 8,095,000 | 8,230,705 | |
| Citigroup, Inc. (7.625% to 11-15-28, then 5 Year CMT + 3.211%) (E) | 7.625 | 11-15-28 | 10,225,000 | 10,453,544 | |
| Citizens Financial Group, Inc. (6.375% to 4-6-24, then 3 month CME Term SOFR + 3.419%) (E) | 6.375 | 04-06-24 | 2,500,000 | 2,367,818 | |
| Citizens Financial Group, Inc. (3 month CME Term SOFR + 3.265%) (D)(E) | 8.594 | 04-06-24 | 18,000,000 | 17,075,270 | |
| CoBank ACB (6.450% to 10-1-27, then 5 Year CMT + 3.487%) (E) | 6.450 | 10-01-27 | 7,000,000 | 6,870,500 | |
| 4 | JOHN HANCOCK PREMIUM DIVIDEND FUND | QUARTERLY REPORT | SEE NOTES TO FUND’S INVESTMENTS |
| Rate (%) | Maturity date | Par value^ | Value | ||
| Financials (continued) | |||||
| Banks (continued) | |||||
| Comerica, Inc. (5.625% to 10-1-25, then 5 Year CMT + 5.291%) (E) | 5.625 | 07-01-25 | 11,250,000 | $10,864,128 | |
| HSBC Holdings PLC (6.500% to 3-23-28, then 5 Year ICE Swap Rate + 3.606%) (E) | 6.500 | 03-23-28 | 5,000,000 | 4,826,043 | |
| Huntington Bancshares, Inc. (5.625% to 7-15-30, then 10 Year CMT + 4.945%) (E) | 5.625 | 07-15-30 | 6,922,000 | 6,386,692 | |
| Huntington Bancshares, Inc. (3 month CME Term SOFR + 3.142%) (D)(E) | 8.456 | 04-15-24 | 3,000,000 | 2,917,213 | |
| JPMorgan Chase & Co. (6.750% to 2-1-24, then 3 month CME Term SOFR + 4.042%) (A)(B)(E) | 6.750 | 05-01-24 | 7,001,000 | 7,054,943 | |
| KeyCorp (5.000% to 9-15-26, then 3 month CME Term SOFR + 3.868%) (E) | 5.000 | 09-15-26 | 4,253,000 | 3,803,723 | |
| Lloyds Banking Group PLC (7.500% to 6-27-24, then 5 Year U.S. Swap Rate + 4.760%) (E) | 7.500 | 06-27-24 | 6,950,000 | 6,883,097 | |
| M&T Bank Corp. (3.500% to 9-1-26, then 5 Year CMT + 2.679%) (E) | 3.500 | 09-01-26 | 9,600,000 | 7,680,000 | |
| The PNC Financial Services Group, Inc. (3.400% to 9-15-26, then 5 Year CMT + 2.595%) (A)(E) | 3.400 | 09-15-26 | 4,900,000 | 4,217,955 | |
| The PNC Financial Services Group, Inc. (6.000% to 5-15-27, then 5 Year CMT + 3.000%) (A)(E) | 6.000 | 05-15-27 | 11,285,000 | 10,786,994 | |
| The PNC Financial Services Group, Inc. (6.200% to 9-15-27, then 5 Year CMT + 3.238%) (E) | 6.200 | 09-15-27 | 12,680,000 | 12,419,848 | |
| The PNC Financial Services Group, Inc. (6.250% to 3-15-30, then 7 Year CMT + 2.808%) (E) | 6.250 | 03-15-30 | 9,100,000 | 8,644,010 | |
| Wells Fargo & Company (7.625% to 9-15-28, then 5 Year CMT + 3.606%) (E) | 7.625 | 09-15-28 | 11,301,000 | 11,838,114 | |
| Capital markets 4.9% | |||||
| State Street Corp. (6.700% to 3-15-29, then 5 Year CMT + 2.613%) (E) | 6.700 | 03-15-29 | 4,332,000 | 4,321,164 | |
| The Charles Schwab Corp. (5.000% to 6-1-27, then 5 Year CMT + 3.256%) (A)(B)(E) | 5.000 | 06-01-27 | 4,389,000 | 4,079,389 | |
| The Charles Schwab Corp. (5.375% to 6-1-25, then 5 Year CMT + 4.971%) (A)(B)(E) | 5.375 | 06-01-25 | 2,800,000 | 2,760,415 | |
| The Goldman Sachs Group, Inc. (7.500% to 2-10-29, then 5 Year CMT + 3.156%) (E) | 7.500 | 02-10-29 | 12,857,000 | 13,504,595 | |
| UBS Group AG (9.250% to 11-13-33, then 5 Year CMT + 4.758%) (E)(F) | 9.250 | 11-13-33 | 3,270,000 | 3,562,374 | |
| Consumer finance 0.9% | |||||
| Discover Financial Services (6.125% to 9-23-25, then 5 Year CMT + 5.783%) (E) | 6.125 | 06-23-25 | 5,500,000 | 5,406,671 | |
| Insurance 3.6% | |||||
| Markel Group, Inc. (6.000% to 6-1-25, then 5 Year CMT + 5.662%) (E) | 6.000 | 06-01-25 | 7,000,000 | 6,920,267 | |
| SBL Holdings, Inc. (6.500% to 11-13-26, then 5 Year CMT + 5.620%) (E)(F) | 6.500 | 11-13-26 | 10,000,000 | 6,325,785 | |
| SBL Holdings, Inc. (7.000% to 5-13-25, then 5 Year CMT + 5.580%) (E)(F) | 7.000 | 05-13-25 | 11,549,000 | 7,795,346 | |
| Utilities 4.9% | 27,879,594 | ||||
| Electric utilities 3.8% | |||||
| Edison International (5.000% to 3-15-27, then 5 Year CMT + 3.901% to 3-15-32, then 5 Year CMT + 4.151% to 3-15-47, then 5 Year CMT + 4.901%) (E) | 5.000 | 12-15-26 | 4,650,000 | 4,418,639 | |
| Edison International (5.375% to 3-15-26, then 5 Year CMT + 4.698%) (E) | 5.375 | 03-15-26 | 8,000,000 | 7,697,074 | |
| NextEra Energy Capital Holdings, Inc. (3 month CME Term SOFR + 2.387%) (D) | 7.771 | 06-15-67 | 10,000,000 | 9,443,085 | |
| Multi-utilities 1.1% | |||||
| Dominion Energy, Inc. (4.350% to 4-15-27, then 5 Year CMT + 3.195%) (E) | 4.350 | 01-15-27 | 7,000,000 | 6,320,796 | |
| Capital preferred securities (G) 1.3% (0.8% of Total investments) | $7,549,522 | ||||
| (Cost $9,141,705) | |||||
| Financials 1.3% | 7,549,522 | ||||
| Insurance 1.3% | |||||
| MetLife Capital Trust IV (7.875% to 12-15-37, then 3 month LIBOR + 3.960%) (F) | 7.875 | 12-15-67 | 6,990,000 | 7,549,522 | |
| SEE NOTES TO FUND’S INVESTMENTS | QUARTERLY REPORT | JOHN HANCOCK PREMIUM DIVIDEND FUND | 5 |
| Yield (%) | Shares | Value | |||
| Short-term investments 1.3% (0.8% of Total investments) | $7,693,254 | ||||
| (Cost $7,693,669) | |||||
| Short-term funds 1.3% | 7,693,254 | ||||
| John Hancock Collateral Trust (H) | 5.3658(I) | 769,210 | 7,693,254 | ||
| Total investments (Cost $958,522,037) 163.1% | $942,035,103 | ||||
| Other assets and liabilities, net (63.1%) | (364,303,650) | ||||
| Total net assets 100.0% | $577,731,453 | ||||
| The percentage shown for each investment category is the total value of the category as a percentage of the net assets of the fund unless otherwise indicated. | |
| ^All par values are denominated in U.S. dollars unless otherwise indicated. | |
| Security Abbreviations and Legend | |
| ADR | American Depositary Receipt |
| CME | CME Group Published Rates |
| CMT | Constant Maturity Treasury |
| ICE | Intercontinental Exchange |
| LIBOR | London Interbank Offered Rate |
| SOFR | Secured Overnight Financing Rate |
| (A) | All or a portion of this security is pledged as collateral pursuant to the Liquidity Agreement. Total collateral value at 1-31-24 was $592,763,179. A portion of the securities pledged as collateral were loaned pursuant to the Liquidity Agreement. The value of securities on loan amounted to $138,697,525. |
| (B) | All or a portion of this security is on loan as of 1-31-24, and is a component of the fund’s leverage under the Liquidity Agreement. |
| (C) | Includes preferred stocks and hybrid securities with characteristics of both equity and debt that pay dividends on a periodic basis. |
| (D) | Variable rate obligation. The coupon rate shown represents the rate at period end. |
| (E) | Perpetual bonds have no stated maturity date. Date shown as maturity date is next call date. |
| (F) | These securities are exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be resold, normally to qualified institutional buyers, in transactions exempt from registration. |
| (G) | Includes hybrid securities with characteristics of both equity and debt that trade with, and pay, interest income. |
| (H) | Investment is an affiliate of the fund, the advisor and/or subadvisor. |
| (I) | The rate shown is the annualized seven-day yield as of 1-31-24. |
The fund had the following country
composition as a percentage of total investments on 1-31-24:
| United States | 88.4% |
| Canada | 4.8% |
| United Kingdom | 4.6% |
| France | 1.5% |
| Other countries | 0.7% |
| TOTAL | 100.0% |
| 6 | JOHN HANCOCK PREMIUM DIVIDEND FUND | QUARTERLY REPORT | SEE NOTES TO FUND’S INVESTMENTS |
DERIVATIVES
SWAPS
| Interest rate swaps | ||||||||||
| Counterparty (OTC)/ Centrally cleared | Notional amount | Currency | Payments made | Payments received | Fixed payment frequency | Floating payment frequency | Maturity date | Unamortized upfront payment paid (received) | Unrealized appreciation (depreciation) | Value |
| Centrally cleared | 187,000,000 | USD | Fixed 3.662% | USD SOFR Compounded OIS(a) | Semi-Annual | Quarterly | May 2026 | — | $2,084,865 | $2,084,865 |
| Centrally cleared | 93,000,000 | USD | Fixed 3.473% | USD SOFR Compounded OIS(a) | Semi-Annual | Quarterly | May 2026 | — | 1,434,371 | 1,434,371 |
| Centrally cleared | 46,850,000 | USD | Fixed 3.817% | USD SOFR Compounded OIS(a) | Semi-Annual | Quarterly | Dec 2026 | — | 6,987 | 6,987 |
| — | $3,526,223 | $3,526,223 | ||||||||
| (a) | At 1-31-24, the overnight SOFR was 5.320%. |
| Derivatives Currency Abbreviations | |
| USD | U.S. Dollar |
| Derivatives Abbreviations | |
| OIS | Overnight Index Swap |
| OTC | Over-the-counter |
| SOFR | Secured Overnight Financing Rate |
| SEE NOTES TO FUND’S INVESTMENTS | QUARTERLY REPORT | JOHN HANCOCK PREMIUM DIVIDEND FUND | 7 |
| Notes to Fund’s investments (unaudited) |
Security valuation. Investments are stated at value as of the scheduled close of regular trading on the New York Stock Exchange (NYSE), normally at 4:00 P.M., Eastern Time. 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 net asset value (NAV) may be determined as of the regularly scheduled close of the
NYSE pursuant to the Valuation Policies and Procedures of the Advisor, John Hancock Investment Management LLC.
In order to value the securities,
the fund uses the following valuation techniques: Equity securities, including exchange-traded or closed-end funds, are typically valued at the last sale price or official closing price on the exchange or principal
market where the security trades. In the event there were no sales during the day or closing prices are not available, the securities are valued using the last available bid price. Investments by the fund in open-end
mutual funds, including John Hancock Collateral Trust (JHCT), are valued at their respective NAVs each business day. Debt obligations are typically valued based on evaluated prices provided by an independent pricing
vendor. Independent pricing vendors utilize matrix pricing, which takes into account factors such as institutional-size trading in similar groups of securities, yield, quality, coupon rate, maturity, type of issue,
trading characteristics and other market data, as well as broker supplied prices. Swaps are generally valued using evaluated prices obtained from an independent pricing vendor. Foreign securities and currencies are
valued in U.S. dollars based on foreign currency exchange rates supplied by an independent pricing vendor.
In certain instances, the Pricing
Committee of the Advisor 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.
Other portfolio securities and
assets, for which reliable market quotations are not readily available, are valued at fair value as determined in good faith by the Pricing Committee following procedures established by the Advisor and adopted by the
Board of Trustees. The frequency with which these fair valuation procedures are used cannot be predicted and fair value of securities may differ significantly from the value that would have been used had a ready
market for such securities existed.
The fund uses a three tier hierarchy
to prioritize the pricing assumptions, referred to as inputs, used in valuation techniques to measure fair value. Level 1 includes securities valued using quoted prices in active markets for identical securities,
including registered investment companies. Level 2 includes securities valued using other significant observable inputs. Observable inputs may include quoted prices for similar securities, interest rates, prepayment
speeds and credit risk. Prices for securities valued using these inputs are received from independent pricing vendors and brokers and are based on an evaluation of the inputs described. Level 3 includes securities
valued using significant unobservable inputs when market prices are not readily available or reliable, including the Advisor’s assumptions in determining the fair value of investments. Factors used in
determining value may include market or issuer specific events or trends, changes in interest rates and credit quality. The inputs or methodology used for valuing securities are not necessarily an indication of the
risks associated with investing in those securities. Changes in valuation techniques and related inputs may result in transfers into or out of an assigned level within the disclosure hierarchy.
The following is a summary of the
values by input classification of the fund’s investments as of January 31, 2024, by major security category or type:
| Total value at 1-31-24 | Level 1 quoted price | Level 2 significant observable inputs | Level 3 significant unobservable inputs | |
| Investments in securities: | ||||
| Assets | ||||
| Common stocks | $391,890,323 | $391,890,323 | — | — |
| Preferred securities | ||||
| Communication services | 1,756,440 | 1,756,440 | — | — |
| Consumer discretionary | 3,969,900 | 3,969,900 | — | — |
| Financials | 141,978,791 | 141,978,791 | — | — |
| Utilities | 85,369,037 | 77,111,382 | $8,257,655 | — |
| Corporate bonds | 301,827,836 | — | 301,827,836 | — |
| Capital preferred securities | 7,549,522 | — | 7,549,522 | — |
| Short-term investments | 7,693,254 | 7,693,254 | — | — |
| Total investments in securities | $942,035,103 | $624,400,090 | $317,635,013 | — |
| Derivatives: | ||||
| Assets | ||||
| Swap contracts | $3,526,223 | — | $3,526,223 | — |
Investment in affiliated underlying
funds. The fund may invest in affiliated underlying funds that are managed by the Advisor and its affiliates. Information regarding the fund’s fiscal year to date purchases and sales of the
affiliated underlying funds as well as income and capital gains earned by the fund, if any, is as follows:
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| Dividends and distributions | |||||||||
| Affiliate | Ending share amount | Beginning value | Cost of purchases | Proceeds from shares sold | Realized gain (loss) | Change in unrealized appreciation (depreciation) | Income distributions received | Capital gain distributions received | Ending value |
| John Hancock Collateral Trust | 769,210 | $29,154,284 | $36,587,709 | $(58,058,788) | $9,232 | $817 | $226,608 | — | $7,693,254 |
For additional information on the
fund’s significant accounting policies and risks, please refer to the fund’s most recent semiannual or annual shareholder report and prospectus.
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