# EDGAR Filing Document

**Accession Number:** 0000743861
**File Stem:** 0001193125-26-071217
**Filing Date:** 2026-2
**Character Count:** 2681895
**Document Hash:** 0bbb4aed4365913c967e416ba9a31967
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-26-071217.hdr.sgml**: 20260225

**ACCESSION NUMBER**: 0001193125-26-071217

**CONFORMED SUBMISSION TYPE**: 485BPOS

**PUBLIC DOCUMENT COUNT**: 91

**FILED AS OF DATE**: 20260225

**DATE AS OF CHANGE**: 20260225

**EFFECTIVENESS DATE**: 20260301

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** JOHN HANCOCK INVESTMENT TRUST II
- **CENTRAL INDEX KEY:** 0000743861

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** MA
- **FISCAL YEAR END:** 1031

**FILING VALUES:**
- **FORM TYPE:** 485BPOS
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-03999
- **FILM NUMBER:** 26678004

**BUSINESS ADDRESS:**
- **STREET 1:** C/O JOHN HANCOCK FUNDS
- **STREET 2:** 200 BERKELEY STREET
- **CITY:** BOSTON
- **STATE:** MA
- **ZIP:** 02116
- **BUSINESS PHONE:** 617-663-3000

**MAIL ADDRESS:**
- **STREET 1:** C/O JOHN HANCOCK FUNDS
- **STREET 2:** 200 BERKELEY STREET
- **CITY:** BOSTON
- **STATE:** MA
- **ZIP:** 02116

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FREEDOM INVESTMENT TRUST
- **DATE OF NAME CHANGE:** 19920703

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FREEDOM GOLD & GOVERNMENT TRUST
- **DATE OF NAME CHANGE:** 19850530
**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** JOHN HANCOCK INVESTMENT TRUST II
- **CENTRAL INDEX KEY:** 0000743861

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** MA
- **FISCAL YEAR END:** 1031

**FILING VALUES:**
- **FORM TYPE:** 485BPOS
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 002-90305
- **FILM NUMBER:** 26678003

**BUSINESS ADDRESS:**
- **STREET 1:** C/O JOHN HANCOCK FUNDS
- **STREET 2:** 200 BERKELEY STREET
- **CITY:** BOSTON
- **STATE:** MA
- **ZIP:** 02116
- **BUSINESS PHONE:** 617-663-3000

**MAIL ADDRESS:**
- **STREET 1:** C/O JOHN HANCOCK FUNDS
- **STREET 2:** 200 BERKELEY STREET
- **CITY:** BOSTON
- **STATE:** MA
- **ZIP:** 02116

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FREEDOM INVESTMENT TRUST
- **DATE OF NAME CHANGE:** 19920703

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FREEDOM GOLD & GOVERNMENT TRUST
- **DATE OF NAME CHANGE:** 19850530

## Series and Classes Contracts Data

### Financial Industries Fund (Series ID: S000000634)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000001809 | Class A      | FIDAX           |
| C000001811 | Class C      | FIDCX           |
| C000128459 | Class NAV    |  |
| C000173131 | Class I      | JFIFX           |
| C000178763 | Class R6     | JFDRX           |

### Regional Bank Fund (Series ID: S000000635)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000001813 | Class A      | FRBAX           |
| C000001815 | Class C      | FRBCX           |
| C000173132 | Class I      | JRBFX           |
| C000178764 | Class R6     | JRGRX           |

?xml version='1.0' encoding='ASCII'? JOHN HANCOCK INVESTMENT TRUST II

As filed with the Securities and Exchange

Commission on February 25, 2026

1933 Act File No. 002-90305

1940 Act File No. 811-03999

U.S. SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-1A

REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 [X]

PRE-EFFECTIVE AMENDMENT NO. [ ]

POST-EFFECTIVE AMENDMENT NO. 98

and/or

REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 [X]

AMENDMENT NO. 98

(CHECK APPROPRIATE BOX OR BOXES)

**JOHN HANCOCK INVESTMENT TRUST II**

(EXACT NAME OF REGISTRANT AS SPECIFIED IN CHARTER)

200 BERKELEY STREET

BOSTON, MASSACHUSETTS 02116

(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE)

REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE

(800) 225-5291

CHRISTOPHER SECHLER, ESQ.

200 BERKELEY STREET

BOSTON, MASSACHUSETTS 02116

(NAME AND ADDRESS OF AGENT FOR SERVICE)

COPIES OF COMMUNICATIONS TO:

MARK P. GOSHKO, ESQ.

K&L GATES LLP

ONE CONGRESS STREET, SUITE 2900

BOSTON, MASSACHUSETTS 02114

TITLE OF SECURITIES BEING REGISTERED: Shares of beneficial interest ($0.00) par value of the Registrant.

APPROXIMATE DATE OF PROPOSED PUBLIC OFFERING: As soon as practicable after the

effective date of this Registration Statement.

---

| | |
|:---|:---|
| It is proposed that this filing will become effective (check appropriate box):  | It is proposed that this filing will become effective (check appropriate box):  |
| [ ] | immediately upon filing pursuant to paragraph (b) of Rule 485 |
| [√] | on March 1, 2026 pursuant to paragraph (b) of Rule 485 |
| [ ] | 60 days after filing pursuant to paragraph (a)(1) of Rule 485 |
| [ ] | on (date) pursuant to paragraph (a)(1) of Rule 485 |
| [ ] | 75 days after filing pursuant to paragraph (a)(2) of Rule 485 |
| [ ] | on (date) pursuant to paragraph (a)(2) of Rule 485 |
| If appropriate, check the following box:  | If appropriate, check the following box:  |
| [ ] | this post-effective amendment designates a new effective date for a<br> previously filed post-effective amendment.<br>|

---

------

![](g29800leaf_3.jpg)

![](g29800jhim_blk.gif)

**Prospectus**

John Hancock

Financial Industries Fund

U.S. equity

March 1, 2026

---

| | | | |
|:---|:---|:---|:---|
| **A** | **C** | **I** | **R6** |
| FIDAX | FIDCX | JFIFX | JFDRX |

---

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.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

[John Hancock Financial Industries Fund](#xx_5d3df9b1-93cd-4a74-b5d0-9d3af4e9a1ac_1)<sub>1</sub>

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.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

[Principal investment strategies](#xx_f22eac9c-4ff8-4521-a75b-b7886c27e320_1)<sub>6</sub>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

[Principal risks of investing](#xx_f22eac9c-4ff8-4521-a75b-b7886c27e320_1)<sub>6</sub>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Who's who](#xx_f22eac9c-4ff8-4521-a75b-b7886c27e320_11) | **16** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Financial highlights](#xx_a3dc6eae-b715-46a3-af3b-1e29d0a44b75_1) | **19** |

---

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**](#BC_1497f246-c1cd-47d3-b5d4-368a81855e3e)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Choosing an eligible share class](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_1) | **22** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Class cost structure](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_2) | **23** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [How sales charges for Class A and Class C shares are calculated](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_3) | **24** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Sales charge reductions and waivers](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_3) | **24** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Opening an account](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_5) | **26** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Information for plan participants](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_6) | **27** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Buying shares](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_7) | **28** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Selling shares](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_10) | **31** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Transaction policies](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_16) | **37** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Dividends and account policies](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_19) | **40** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Additional investor services](#xx_f3a66368-2f93-4277-8a2b-9041ce7a7f08_20) | **41** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Appendix 1 - Intermediary sales charge waivers](#xx_6dbcfe91-7d65-4dd3-aba1-3b65d387d30b_1) | **43** |

---

------

Fund summary

------

John Hancock Financial Industries Fund

**Investment objective**

------

To seek capital appreciation.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below**. You may qualify for sales charge discounts on Class A shares if you and your family invest, or agree to invest in the future, at least $50,000 in the John Hancock family of funds. Intermediaries may have different policies and procedures regarding the availability of front-end sales charge waivers or contingent deferred sales charge (CDSC) waivers (See Appendix 1 - Intermediary sales charge waivers, which includes information about specific sales charge waivers applicable to the intermediaries identified therein). More information about these and other discounts is available from your financial professional and beginning on page 24 of the prospectus under "Sales charge reductions and waivers" or page 116 of the fund's Statement of Additional Information under "Sales Charges on Class A and Class C Shares."

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **A** | **C** | **I** | **R6** |
| Maximum front-end sales charge (load) on purchases, as a % of purchase price | 5.00 |  |  |  |
| Maximum deferred sales charge (load) as a % of purchase or sale price, whichever is less | 1.00 | 1.00 |  |  |
| Maximum deferred sales charge (load) as a % of purchase or sale price, whichever is less | &nbsp;&nbsp; (on certain <br> purchases, <br> including those of <br> $1 million or more)<br>|  |  |  |
| Small account fee (for fund account balances under $1,000) ($) | 20 | 20 |  |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your <br> investment)<br>| **A** | **C** | **I** | **R6** |
| Management fee | 0.78 | 0.78 | 0.78 | 0.78 |
| Distribution and service (Rule 12b-1) fees | 0.30 <br><sup>1</sup><br>| 1.00 | 0.00 | 0.00 |
| Other expenses | 0.22 | 0.22 | 0.22 | 0.11 |
| **Total annual fund operating expenses** | **1.30** | **2.00** | **1.00** | **0.89** |
| Contractual expense reimbursement | -0.01 <br><sup>2</sup><br>| -0.01 <br><sup>2</sup><br>| -0.01 <br><sup>2</sup><br>| -0.01 <br><sup>2</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **1.29** | **1.99** | **0.99** | **0.88** |

---

**1**

"Distribution and service (Rule 12b-1) fees" have been restated to reflect maximum allowable fees.

**2**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then, except as shown below, assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

**1**

------

Fund summary

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Shares Sold** | **Shares Sold** | **Shares Sold** | **Shares Sold** | **Shares**<br> **Not Sold**<br>|
| **Expenses ($)** | **A** | **C** | **I** | **R6** | **C** |
| 1 year | 625 | 302 | 101 | 90 | 202 |
| 3 years | 891 | 626 | 317 | 283 | 626 |
| 5 years | 1176 | 1077 | 551 | 492 | 1077 |
| 10 years | 1989 | 2146 | 1224 | 1095 | 2146 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 63% of the average value of its portfolio.

**Principal investment strategies**

------

Under normal market conditions, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of U.S. and foreign financial services companies of any size. These companies include, but are not limited to, banks, thrifts, finance and financial technology companies, brokerage and advisory firms, real estate related firms, insurance companies, and financial holding companies. Equity securities include, but are not limited to, common and preferred stock and their equivalents, such as publicly traded limited partnerships, depositary receipts, rights, and warrants. The fund may invest in companies located in emerging-market countries. The fund may gain exposure to securities described in these strategies through investing in investment companies and pooled investment vehicles.

The manager focuses primarily on equity securities selection rather than industry allocation, using fundamental financial analysis to identify securities that appear comparatively undervalued.

The fund may invest in U.S. and foreign bonds, including up to 5% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CCC by S&P Global Ratings or Caa by Moody's Investors Service, Inc. and their unrated equivalents. It may also invest up to 15% of net assets in investment-grade short-term securities. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest in derivatives to a limited extent. Derivatives may be used to reduce risk, obtain efficient market exposure, and/or to enhance investment returns, and may include futures contracts, options, and foreign currency forward contracts.

The fund focuses its investments in securities of issuers in the financial services sector.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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*.

**Concentration risk.** Because the fund may focus on one or more industries or sectors of the economy, its performance depends in large part on the performance of those industries or sectors. As a result, the value of an investment may fluctuate more widely since it is more susceptible to market, economic, political, regulatory, and other conditions and risks affecting those industries or sectors than a fund that invests more broadly across industries and sectors.

**Credit and counterparty risk.** The issuer or guarantor of a fixed-income security, the counterparty to an over-the-counter derivatives contract, or a borrower of fund securities may not make timely payments or otherwise honor its obligations. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**2**

------

Fund summary

**Financial services sector risk.** A fund investing principally in securities of companies in the financial services sector is particularly vulnerable to events affecting that sector. Financial services companies can be significantly affected by economic, market, and business developments, borrowing costs, interest-rate fluctuations, competition, and government regulation, among other factors.

**Fixed-income securities risk.** A rise in interest rates typically causes bond prices to fall. The longer the average maturity or duration of the bonds held by a fund, the more sensitive it will likely be to interest-rate fluctuations. An issuer may not make all interest payments or repay all or any of the principal borrowed. Changes in a security's credit quality may adversely affect fund performance.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets. 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.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, and options. Foreign currency forward contracts, futures contracts, and options generally are subject to counterparty risk. Derivatives associated with foreign currency transactions are subject to currency risk.

**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.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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. Liquidity risk may be magnified in rising interest rate environments due to higher than normal redemption rates. Widespread selling of fixed-income securities to satisfy redemptions during periods of reduced demand may adversely impact the price or salability of such securities. Periods of heavy redemption could cause the fund to sell assets at a loss or depressed value, which could negatively affect performance. Redemption risk is heightened during periods of declining or illiquid markets.

**Lower-rated and high-yield fixed-income securities risk.** Lower-rated and high-yield fixed-income securities (junk bonds) are subject to greater credit quality risk, risk of default, and price volatility than higher-rated fixed-income securities, may be considered speculative, and can be difficult to resell.

**Master limited partnership (MLP) risk.** MLPs generally reflect the risks associated with their underlying assets and with pooled investment vehicles. MLPs with credit-related holdings are subject to interest-rate risk and risk of default.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**Real estate investment trust (REIT) risk.** REITs, pooled investment vehicles that typically invest in real estate directly or in loans collateralized by real estate, carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Real estate securities risk.** Securities of companies in the real estate industry carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**3**

------

Fund summary

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. The S&P 500 Financials Index shows how the fund's performance compares against the returns of similar investments. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained at our website, jhinvestments.com, or by calling 800-225-5291, Monday to Thursday, 8:00 a.m.—7:00 p.m., and Friday, 8:00 a.m.—6:00 p.m., Eastern time.

**A note on performance**

Class A, Class I, and Class R6 shares commenced operations on March 14, 1996, September 9, 2016, and August 30, 2017, respectively. Returns shown prior to a class's commencement date are those of Class A shares, except that they do not include sales charges and would be lower if they did. Returns for Class I and Class R6 shares would have been substantially similar to returns of Class A shares because each share class is invested in the same portfolio of securities and returns would differ only to the extent that expenses of the classes are different. To the extent expenses of a class would have been higher than expenses of Class A shares for the periods shown, performance would have been lower.

Please note that after-tax returns (shown for Class A shares only) reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan. After-tax returns for other share classes would vary.

**Calendar year total returns (%)—Class A** (sales charges are not reflected in the bar chart and returns would have been lower if they were)

![](g29800img95f38afb1.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q4 2016 | 22.33% |
| **Worst quarter:** | Q1 2020 | -30.10% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class A** (before tax) | 6.05 | &nbsp;&nbsp;&nbsp;&nbsp;9.95 | &nbsp;&nbsp;&nbsp;&nbsp;9.48 |
| after tax on distributions | &nbsp;&nbsp; -2.62 | &nbsp;&nbsp;&nbsp;&nbsp;5.87 | &nbsp;&nbsp;&nbsp;&nbsp;6.56 |
| after tax on distributions, with sale | 8.99 | &nbsp;&nbsp;&nbsp;&nbsp;7.27 | &nbsp;&nbsp;&nbsp;&nbsp;7.12 |
| **Class C** | 10.09 | &nbsp;&nbsp;&nbsp;&nbsp;10.26 | &nbsp;&nbsp;&nbsp;&nbsp;9.23 |
| **Class I** | 11.90 | &nbsp;&nbsp;&nbsp;&nbsp;11.37 | &nbsp;&nbsp;&nbsp;&nbsp;10.30 |
| **Class R6** | 12.06 | &nbsp;&nbsp;&nbsp;&nbsp;11.49 | &nbsp;&nbsp;&nbsp;&nbsp;10.38 |
| S&P 500 Index (reflects no deduction for fees, expenses, or taxes) | 17.88 | &nbsp;&nbsp;&nbsp;&nbsp;14.42 | &nbsp;&nbsp;&nbsp;&nbsp;14.82 |
| S&P 500 Financials Index (reflects no deduction for fees, expenses, or taxes) | 15.02 | &nbsp;&nbsp;&nbsp;&nbsp;15.27 | &nbsp;&nbsp;&nbsp;&nbsp;13.18 |

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**Investment management**

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**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Manulife Investment Management (US) LLC

**Portfolio management**

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The following individuals are jointly and primarily responsible for the day-to-day management of the fund's portfolio.

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| | |
|:---|:---|
| **Susan A. Curry** | **Ryan P. Lentell, CFA** |
| Senior Portfolio Manager<br> Managed the fund since 2008<br>| &nbsp;&nbsp; Portfolio Manager<br> Managed the fund since 2015<br>|

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Fund summary

**Purchase and sale of fund shares**

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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. 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.

**Taxes**

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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**

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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.

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Fund details

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**Principal investment strategies**

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**Investment Objective:** The fund seeks capital appreciation.

The Board of Trustees can change the fund's investment objective and strategies 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 of U.S. and foreign financial services companies of any size. These companies include, but are not limited to, banks, thrifts, finance and financial technology companies, brokerage and advisory firms, real estate related firms, insurance companies, and financial holding companies. Equity securities include, but are not limited to, common and preferred stock and their equivalents, such as publicly traded limited partnerships, depositary receipts, rights, and warrants. The fund may gain exposure to securities described in these strategies through investments in investment companies and pooled investment vehicles.

In managing the fund, the manager focuses primarily on equity securities selection rather than industry allocation. In choosing individual equity securities, the manager uses fundamental financial analysis to identify securities that appear comparatively undervalued. The manager generally gathers information about companies from interviews with company executives and company visits.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may invest in U.S. and foreign bonds, including up to 5% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CCC by S&P Global Ratings or Caa by Moody's Investors Service, Inc. and their unrated equivalents. It may also invest up to 15% of net assets in investment-grade short-term securities. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest in companies located in emerging-market countries.

The fund may, to a limited extent, engage in derivatives transactions that include futures contracts, options, and foreign currency forward contracts, in each case for the purpose of reducing risk, obtaining efficient market exposure, and/or enhancing investment returns.

The fund focuses its investments in securities of issuers in the financial services sector.

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 temporarily invest up to 80% of its assets in 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.

**Securities lending**

The fund may lend its securities so long as such loans do not represent more than 33⅓% of the fund's total assets. The borrower will provide collateral to the lending portfolio so that the value of the loaned security will be fully collateralized. The collateral may consist of cash, cash equivalents, or securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. The borrower must also agree to increase the collateral if the value of the loaned securities increases. As with other extensions of credit, there are risks of delay in recovery or even loss of rights in the collateral should the borrower of the securities fail financially.

**Principal risks of investing**

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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. Further, certain municipalities of the United States and its territories are financially strained and may face the possibility of default on their debt obligations, which could directly or indirectly detract from 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

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Fund details

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).

**Concentration risk**

When a fund's investments are focused in one or more industries or sectors of the economy, they are less broadly invested across industries or sectors than other funds. This means that concentrated 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 industries or sectors is particularly susceptible to the impact of market, economic, political, regulatory, and other conditions and risks affecting those industries or sectors. From time to time, a small number of companies may represent a large portion of a single industry or sector or a group of related industries or sectors as a whole.

**Credit and counterparty risk**

This is the risk that the issuer or guarantor of a fixed-income 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 otherwise honor its obligations. Credit risk associated with investments in fixed-income securities relates to the ability of the issuer to make scheduled payments of principal and interest on an obligation. A fund that invests in fixed-income securities is subject to varying degrees of risk that the issuers of the securities will have their credit ratings downgraded or will default, potentially reducing the fund's share price and income level. Nearly all fixed-income securities are subject to some credit risk, which may vary depending upon whether the issuers of the securities are corporations, domestic or foreign governments, or their subdivisions or instrumentalities. When a fixed-income security is not rated, a manager may have to assess the risk of the security itself. Asset-backed securities, whose principal and interest payments are supported by pools of other assets, such as credit card receivables and automobile loans, are subject to further risks, including the risk that the obligors of the underlying assets default on payment of those assets.

Funds that invest in below-investment-grade securities, also called junk bonds (e.g., fixed-income securities rated Ba or lower by Moody's Investors Service, Inc. or BB or lower by S&P Global Ratings or Fitch Ratings, as applicable, at the time of investment, or determined by a manager to be of comparable quality to securities so rated) are subject to increased credit risk. The sovereign debt of many foreign governments, including their subdivisions and instrumentalities, falls into this category. Below-investment-grade securities offer the potential for higher investment returns than higher-rated securities, but they carry greater credit risk: their issuers' continuing ability to meet principal and interest payments is considered speculative, they are more susceptible to real or

perceived adverse economic and competitive industry conditions, and they may be less liquid than higher-rated securities.

In addition, a fund is exposed to credit risk to the extent that 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

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Fund details

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, if 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 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. The imposition by the U.S. of import tariffs on goods from foreign countries and reciprocal tariffs levied on U.S. goods may lead to price volatility and instability in U.S. and global investment markets. Among other effects, tariffs may increase the cost of production for certain goods or reduce demand for products, which could affect the performance of the fund's investments. It is not known whether, or to what extent, any tariff or other trade protections may affect the fund or its investments.

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, as the United Kingdom (UK) did in January of 2020 (commonly referred to as "Brexit"), or the EU dissolves, the global securities markets likely will be significantly disrupted.

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 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. 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.

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Fund details

**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 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.

**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 portion of the fund's investments for which the manager considers these ESG factors may vary, and could increase or decrease over time. 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.

**Financial services sector risk**

A fund investing principally in securities of companies in the financial services sector is particularly vulnerable to events affecting that sector. Companies in the financial services sector may include, but are not limited to, commercial and industrial banks, savings and loan associations and their holding companies, consumer and industrial finance companies, diversified financial services companies, investment banking, securities brokerage and investment advisory companies, leasing companies, and insurance companies. The types of companies that compose the financial services sector may change over time. These companies are all subject to extensive regulation, rapid business changes, volatile performance dependent upon the availability and cost of capital, prevailing interest rates, and significant competition. General economic conditions significantly affect these companies. Credit and other losses resulting from the financial difficulty of borrowers or other third parties have a potentially adverse effect on companies in this sector. Investment banking, securities brokerage, and investment advisory companies are particularly subject to government regulation and the risks inherent in securities trading and underwriting activities. In addition, certain financial services companies face shrinking profit

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Fund details

margins due to new competitors, the cost of new technology, and the pressure to compete globally.

**Fixed-income securities risk**

Fixed-income securities are generally subject to two principal types of risk, as well as other risks described below: (1) interest-rate risk and (2) credit quality risk.

**Credit quality risk.** Fixed-income securities are subject to the risk that the issuer of the security will not repay all or a portion of the principal borrowed and will not make all interest payments. If the credit quality of a fixed-income security deteriorates after a fund has purchased the security, the market value of the security may decrease and lead to a decrease in the value of the fund's investments. An issuer's credit quality could deteriorate as a result of poor management decisions, competitive pressures, technological obsolescence, undue reliance on suppliers, labor issues, shortages, corporate restructurings, fraudulent disclosures, or other factors. Funds that may invest in lower-rated fixed-income securities, commonly referred to as junk securities, are riskier than funds that may invest in higher-rated fixed-income securities.

**Interest-rate risk.** Fixed-income securities are affected by changes in interest rates. When interest rates decline, the market value of fixed-income securities generally can be expected to rise. Conversely, when interest rates rise, the market value of fixed-income securities generally can be expected to decline. The longer the duration or maturity of a fixed-income security, the more susceptible it is to interest-rate risk. Duration is a measure of the price sensitivity of a debt security, or a fund that invests in a portfolio of debt securities, to changes in interest rates, whereas the maturity of a security measures the time until final payment is due. Duration measures sensitivity more accurately than maturity because it takes into account the time value of cash flows generated over the life of a debt security.

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 certain market conditions, governmental authorities and regulators may considerably lower interest rates, which, in some cases could result in negative interest rates. These actions, including their reversal or potential ineffectiveness, could further increase volatility in securities and other financial markets and reduce market liquidity.

To the extent the fund has a bank deposit or holds a debt instrument with a negative interest rate to maturity, the fund would generate a negative return on that investment. Similarly, negative rates on investments by money market funds and similar cash management products could lead to losses on investments, including on investments of the fund's uninvested cash.

**Investment-grade fixed-income securities in the lowest rating category risk.** Investment-grade fixed-income securities in the lowest rating category (such as Baa by Moody's Investors Service, Inc. or BBB by S&P Global Ratings or Fitch Ratings, as applicable, and comparable unrated securities) involve a higher degree of risk than fixed-income securities in the higher rating categories. While such securities are considered investment-grade quality and are deemed to have adequate capacity for payment of principal and interest, such securities lack outstanding investment characteristics and have speculative characteristics as well. For example, changes in economic conditions or other circumstances are more likely to lead to a weakened capacity to make principal and interest payments than is the case with higher-grade securities.

**Prepayment of principal risk.** Many types of debt securities, including floating-rate loans, are subject to prepayment risk. Prepayment risk is the risk that, when interest rates fall, certain types of obligations will be paid off by the borrower more quickly than originally anticipated and the fund may have to invest the proceeds in securities with lower yields. Securities subject to prepayment risk can offer less potential for gains when the credit quality of the issuer improves.

**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 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.

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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.

**Emerging-market risk.** Investments in the securities of issuers based in countries with emerging-market economies are subject to greater levels of risk and uncertainty than investments in more-developed foreign markets, since emerging-market securities may present market, credit, currency, liquidity, legal, political, and other risks greater than, or in addition to, the risks of investing in developed foreign countries. These risks include high currency exchange-rate fluctuations; increased risk of default (including both government and private issuers); greater social, economic, and political uncertainty and instability (including the risk of war); more substantial governmental involvement in the economy; less governmental supervision and regulation of the securities markets and participants in those markets; controls on foreign investment and limitations on repatriation of invested capital and on a fund's ability to exchange local currencies for U.S. dollars; unavailability of currency hedging techniques in certain emerging-market countries; the fact that companies in emerging-market countries may be newly organized, smaller, and less seasoned; the difference in, or lack of, auditing and financial reporting requirements or standards, which may result in the unavailability of material information about issuers; different clearance and settlement procedures, which may be unable to keep pace with the volume of securities transactions or otherwise make it difficult to engage in such transactions; difficulties in obtaining and/or enforcing legal judgments against non-U.S. companies and non-U.S. persons, including company directors and officers, in foreign jurisdictions; and significantly smaller market capitalizations of emerging-market issuers. In addition, shareholders of emerging market issuers, such as the fund, often have limited rights and few practical remedies in emerging markets. Finally, the risks associated with investments in emerging markets often are significant, and vary from jurisdiction to jurisdiction and company to company.

**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

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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.

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

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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.

**Foreign currency forward contracts.** Counterparty risk, liquidity risk (i.e., the inability to enter into closing transactions), foreign currency risk, and risk of disproportionate loss are the principal risks of engaging in transactions involving foreign currency forward contracts.

**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.

**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.

**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.

The capacity of traditional dealers to engage in fixed-income trading has not kept pace with the bond market's growth. As a result, dealer inventories of corporate bonds, which indicate the ability to "make markets," i.e., buy or sell a security at the quoted bid and ask price, respectively, are at or near historic lows relative to market size. Because market makers provide stability to fixed-income markets, the significant reduction in dealer inventories could lead to decreased liquidity and increased volatility, which may become exacerbated during periods of economic or political stress.

**Lower-rated and high-yield fixed-income securities risk**

Lower-rated fixed-income securities are defined as securities rated below investment grade (such as Ba and below by Moody's Investors Service, Inc. and BB and below by S&P Global Ratings and Fitch Ratings, as applicable) (also called junk bonds). The general risks of investing in these securities are as follows:

**Risk to principal and income.** Investing in lower-rated fixed-income securities is considered speculative. While these securities generally provide greater income potential than investments in higher-rated securities, there is a greater risk that principal and interest payments will not be made. Issuers of these securities may even go into default or become bankrupt.

**Price volatility.** The price of lower-rated fixed-income securities may be more volatile than securities in the higher-rated categories. This volatility may increase during periods of economic uncertainty or change. The price of these securities is affected more than higher-rated fixed-income securities by the market's perception of their credit quality, especially during times of adverse publicity. In the past, economic downturns or increases in interest rates have, at times, caused more defaults by issuers of these securities and may do so in the future. Economic downturns and increases in interest rates have an even greater effect on highly leveraged issuers of these securities.

**Liquidity.** The market for lower-rated fixed-income securities may have more limited trading than the market for investment-grade fixed-income securities. Therefore, it may be more difficult to sell these securities, and these securities may have to be sold at prices below their market value in order to meet redemption requests or to respond to changes in market conditions.

**Dependence on manager's own credit analysis.** While a manager may rely on ratings by established credit rating agencies, it will also supplement such ratings with its own independent review of the credit quality of the issuer. Therefore, the assessment of the credit risk of lower-rated fixed-income securities is more dependent on the manager's evaluation than the assessment of the credit risk of higher-rated securities.

**Additional risks regarding lower-rated corporate fixed-income securities.** Lower-rated corporate fixed-income securities (and comparable unrated securities) tend to be more sensitive to individual corporate developments and changes in economic conditions than higher-rated corporate fixed-income securities. Issuers of lower-rated corporate fixed-income securities may also be highly leveraged, increasing the risk that principal and income will not be repaid.

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**Additional risks regarding lower-rated foreign government fixed-income securities.** Lower-rated foreign government fixed-income securities are subject to the risks of investing in foreign countries described under "Foreign securities risk." In addition, the ability and willingness of a foreign government to make payments on debt when due may be affected by the prevailing economic and political conditions within the country. Emerging-market countries may experience high inflation, interest rates, and unemployment, as well as exchange-rate fluctuations which adversely affect trade and political uncertainty or instability. These factors increase the risk that a foreign government will not make payments when due.

**Master limited partnership (MLP) risk**

Investing in MLPs involves certain risks related to investing in the underlying assets of MLPs and risks associated with pooled investment vehicles. MLPs holding credit-related investments are subject to interest-rate risk and the risk of default on payment obligations by debt securities. In addition, investments in the debt and securities of MLPs involve certain other risks, including risks related to limited control and limited rights to vote on matters affecting MLPs, risks related to potential conflicts of interest between an MLP and the MLP's general partner, cash flow risks, dilution risks and risks related to the general partner's right to require unit-holders to sell their common units at an undesirable time or price. The fund's investments in MLPs may be subject to legal and other restrictions on resale or may be less liquid than publicly traded securities. Certain MLP securities may trade in lower volumes due to their smaller capitalizations, and may be subject to more abrupt or erratic price movements and may lack sufficient market liquidity to enable the fund to effect sales at an advantageous time or without a substantial drop in price. If the fund is one of the largest investors in an MLP, it may be more difficult for the fund to buy and sell significant amounts of such investments without an unfavorable impact on prevailing market prices. Larger purchases or sales of MLP investments by the fund in a short period of time may cause abnormal movements in the market price of these investments. As a result, these investments may be difficult to dispose of at an advantageous price when the fund desires to do so. During periods of interest rate volatility, these investments may not provide attractive returns, which may adversely impact the overall performance of the fund.

MLPs in which the fund may invest operate oil, natural gas, petroleum, or other facilities within the energy sector. As a result, the fund will be susceptible to adverse economic, environmental, or regulatory occurrences impacting the energy sector. MLPs and other companies operating in the energy sector are subject to specific risks, including, among others, fluctuations in commodity prices; reduced consumer demand for commodities such as oil, natural gas, or petroleum products; reduced availability of natural gas or other commodities for transporting, processing, storing, or delivering; slowdowns in new construction; extreme weather or other natural disasters; and threats of attack by terrorists on energy assets. Additionally, changes in the regulatory environment for energy companies may adversely impact their profitability. Over time, depletion of natural gas reserves and other energy reserves may also affect the profitability of energy companies.

Global oil prices declined significantly at the beginning of 2020 and have experienced significant price volatility, including a period where an

oil-price futures contract fell into negative territory for the first time in history, as demand for oil slowed and oil storage facilities reached their storage capacities. Varying levels of demand and production and continued oil price volatility may continue to adversely impact MLPs and energy infrastructure companies.

**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.

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**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.

**Real estate investment trust (REIT) risk**

REITs are subject to risks associated with the ownership of real estate. Some REITs experience market risk and liquidity risk due to investment in a limited number of properties, in a narrow geographic area, or in a single property type, which increases the risk that such REIT could be unfavorably affected by the poor performance of a single investment or investment type. These companies are also sensitive to factors such as changes in real estate values and property taxes, interest rates, cash flow of underlying real estate assets, supply and demand, and the management skill and creditworthiness of the issuer. Borrowers could default on or sell investments that a REIT holds, which could reduce the cash flow needed to make distributions to investors. In addition, REITs may also be affected by tax and regulatory requirements impacting the REITs' ability to qualify for preferential tax treatments or exemptions. REITs require specialized management and pay management expenses. REITs also are subject to physical risks to real property, including weather, natural disasters, terrorist attacks, war, or other events that destroy real property.

REITs include equity REITs and mortgage REITs. Equity REITs may be affected by changes in the value of the underlying property owned by the trusts, while mortgage REITs may be affected by the quality of any credit extended. Further, equity and mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and mortgage REITs are also subject to heavy cash flow dependency, defaults by borrowers or lessees, and self-liquidations. In addition, equity and mortgage REITs could possibly fail to qualify for tax-free pass-through of income under the Internal Revenue Code of 1986, as amended (the Code), or to maintain their exemptions from registration under the Investment Company Act of 1940, as amended. The above factors may also adversely affect a borrower's or a lessee's ability to meet its obligations to the REIT. In the event of a default by a borrower or lessee, the REIT may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments. In addition, even many of the larger REITs in the industry tend to be small to medium-sized companies in relation to the equity markets as a whole. Moreover, shares of REITs may trade less frequently and, therefore, are subject to more erratic price movements than securities of larger issuers.

**Real estate securities risk**

Investing in securities of companies in the real estate industry subjects a fund to the risks associated with the direct ownership of real estate.

These risks include:

● Declines in the value of real estate

● Risks related to general and local economic conditions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● Possible lack of availability of mortgage funds

● Overbuilding

● Extended vacancies of properties

● Increased competition

● Increases in property taxes and operating expenses

● Changes in zoning laws

● Losses due to costs resulting from the cleanup of environmental problems

● Liability to third parties for damages resulting from environmental problems

● Casualty or condemnation losses

● Limitations on rents

● Changes in neighborhood values and the appeal of properties to tenants

● Changes in interest rates and

● Liquidity risk

Therefore, for a fund investing a substantial amount of its assets in securities of companies in the real estate industry, the value of the fund's shares may change at different rates compared with the value of shares of a fund with investments in a mix of different industries.

Securities of companies in the real estate industry have been and may continue to be negatively affected by widespread health crises such as a global pandemic. Potential impacts on the real estate market may include lower occupancy rates, decreased lease payments, defaults and foreclosures, among other consequences. These impacts could adversely affect corporate borrowers and mortgage lenders, the value of mortgage-backed securities, the bonds of municipalities that depend on tax revenues and tourist dollars generated by such properties, and insurers of the property and/or of corporate, municipal or mortgage-backed securities. It is not known how long such impacts, or any future impacts of other significant events, will last.

Securities of companies in the real estate industry include equity REITs and mortgage REITs. Equity REITs may be affected by changes in the value of the underlying property owned by the REIT, while mortgage REITs may be affected by the quality of any credit extended. Further, equity and mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and mortgage REITs are also subject to heavy cash flow dependency, defaults by borrowers or lessees, and self-liquidations. In addition, equity and mortgage REITs could possibly fail to qualify for tax-free pass through of income under the Internal Revenue Code of 1986 (the Code) or to maintain their exemptions from registration under the Investment Company Act of 1940, as amended. The above factors may also adversely affect a borrower's or a lessee's ability to meet its obligations to a REIT. In the event of a default by a borrower or lessee, a REIT may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments.

In addition, even the larger REITs in the industry tend to be small to medium-sized companies in relation to the equity markets as a whole. Moreover, shares of REITs may trade less frequently and, therefore, are subject to more erratic price movements than securities of larger issuers.

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**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.

**Warrants risk**

Warrants are rights to purchase securities at specific prices and are valid for a specific period of time. Warrant prices do not necessarily move parallel to the prices of the underlying securities, and warrant holders receive no dividends and have no voting rights or rights with respect to the assets of an issuer. The price of a warrant may be more volatile than the price of its underlying security, and a warrant may offer greater potential for capital appreciation as well as capital loss. Warrants cease to have value if not exercised prior to the expiration date. These factors can make warrants more speculative than other types of investments.

**Who's who**

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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** 

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 December 31, 2025, the advisor had total assets under management of approximately $172.0 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 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.

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| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 250 million | 0.800 |
| Next 250 million | 0.775 |
| Next 500 million | 0.750 |
| Excess over 1 billion | 0.725 |

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During its most recent fiscal period, the fund paid the advisor a management fee equal to 0.78% 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 October 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** 

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 December 31, 2025, had total assets under management of approximately $250.64 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.

**Susan A. Curry**

● Senior Portfolio Manager

● Managed the fund since 2008

● Joined Manulife IM (US) in 1998

**Ryan P. Lentell, CFA**

● Portfolio Manager

● Managed the fund since 2015

● Joined Manulife IM (US) in 2008

**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**

**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**

**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**

**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

**17**

------

Fund details

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.

**18**

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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 October 31, 2025, 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 October 31, 2025, has been incorporated by reference into the SAI. Copies of the fund's most recent Form N-CSR filing are available upon request.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Financial Industries Fund Class A Shares** | **Financial Industries Fund Class A Shares** | **Financial Industries Fund Class A Shares** | **Financial Industries Fund Class A Shares** | **Financial Industries Fund Class A Shares** | **Financial Industries Fund Class A Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.03** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.35** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.14** | &nbsp;&nbsp;&nbsp;&nbsp; **$24.22** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.15** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.16 | &nbsp;&nbsp;&nbsp;&nbsp;0.16 | &nbsp;&nbsp;&nbsp;&nbsp;0.26 | &nbsp;&nbsp;&nbsp;&nbsp;0.18 | &nbsp;&nbsp;&nbsp;&nbsp;0.15 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;5.81 | &nbsp;&nbsp;&nbsp;&nbsp; (2.38)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.80)<br>| &nbsp;&nbsp;&nbsp;&nbsp;8.92 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.38** | &nbsp;&nbsp;&nbsp;&nbsp;**5.97** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.12)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.62)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**9.07** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.22)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.27)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.13)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.43)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.23)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (1.63)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.54)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (4.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.77)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.85)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.29)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.67)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(4.46)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.00)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.56** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.03** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.35** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.14** | &nbsp;&nbsp;&nbsp;&nbsp; **$24.22** |
| **Total return (%)**<sup>2,3</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**7.53** | &nbsp;&nbsp;&nbsp;&nbsp;**45.28** | &nbsp;&nbsp;&nbsp;&nbsp; **(13.17)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(12.33)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**58.18** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $242 | &nbsp;&nbsp;&nbsp;&nbsp; $247 | &nbsp;&nbsp;&nbsp;&nbsp; $194 | &nbsp;&nbsp;&nbsp;&nbsp; $256 | &nbsp;&nbsp;&nbsp;&nbsp; $318 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.26 | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.25 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.20 | &nbsp;&nbsp;&nbsp;&nbsp;1.20 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;0.87 | &nbsp;&nbsp;&nbsp;&nbsp;0.96 | &nbsp;&nbsp;&nbsp;&nbsp;1.79 | &nbsp;&nbsp;&nbsp;&nbsp;1.01 | &nbsp;&nbsp;&nbsp;&nbsp;0.70 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 63 | &nbsp;&nbsp;&nbsp;&nbsp; 61 | &nbsp;&nbsp;&nbsp;&nbsp; 72 | &nbsp;&nbsp;&nbsp;&nbsp; 45 | &nbsp;&nbsp;&nbsp;&nbsp; 64 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **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. |

---

**19**

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Fund details

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Financial Industries Fund Class C Shares** | **Financial Industries Fund Class C Shares** | **Financial Industries Fund Class C Shares** | **Financial Industries Fund Class C Shares** | **Financial Industries Fund Class C Shares** | **Financial Industries Fund Class C Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.06** | &nbsp;&nbsp;&nbsp;&nbsp; **$11.31** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.77** | &nbsp;&nbsp;&nbsp;&nbsp; **$21.45** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.39** |
| Net investment income (loss)<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.02 | &nbsp;&nbsp;&nbsp;&nbsp;0.03 | &nbsp;&nbsp;&nbsp;&nbsp;0.13 | &nbsp;&nbsp;&nbsp;&nbsp;0.04 | &nbsp;&nbsp;&nbsp;&nbsp; (0.01)<br>|
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.04 | &nbsp;&nbsp;&nbsp;&nbsp;4.91 | &nbsp;&nbsp;&nbsp;&nbsp; (2.05)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.44)<br>| &nbsp;&nbsp;&nbsp;&nbsp;7.95 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.06** | &nbsp;&nbsp;&nbsp;&nbsp;**4.94** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.92)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.40)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**7.94** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.17)<br>| &nbsp;&nbsp;&nbsp;&nbsp; —<br> <sup>2</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.25)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.11)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (1.63)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.54)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (4.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.77)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.72)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.19)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.54)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(4.28)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.88)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.40** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.06** | &nbsp;&nbsp;&nbsp;&nbsp; **$11.31** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.77** | &nbsp;&nbsp;&nbsp;&nbsp; **$21.45** |
| **Total return (%)**<sup>3,4</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**6.75** | &nbsp;&nbsp;&nbsp;&nbsp;**44.21** | &nbsp;&nbsp;&nbsp;&nbsp; **(13.90)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(12.88)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**57.01** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $4 | &nbsp;&nbsp;&nbsp;&nbsp; $5 | &nbsp;&nbsp;&nbsp;&nbsp; $6 | &nbsp;&nbsp;&nbsp;&nbsp; $10 | &nbsp;&nbsp;&nbsp;&nbsp; $15 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;2.00 | &nbsp;&nbsp;&nbsp;&nbsp;1.98 | &nbsp;&nbsp;&nbsp;&nbsp;1.98 | &nbsp;&nbsp;&nbsp;&nbsp;1.95 | &nbsp;&nbsp;&nbsp;&nbsp;1.95 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.99 | &nbsp;&nbsp;&nbsp;&nbsp;1.97 | &nbsp;&nbsp;&nbsp;&nbsp;1.97 | &nbsp;&nbsp;&nbsp;&nbsp;1.94 | &nbsp;&nbsp;&nbsp;&nbsp;1.94 |
| Net investment income (loss) | &nbsp;&nbsp;&nbsp;&nbsp;0.13 | &nbsp;&nbsp;&nbsp;&nbsp;0.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.03 | &nbsp;&nbsp;&nbsp;&nbsp;0.26 | &nbsp;&nbsp;&nbsp;&nbsp; (0.04)<br>|
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 63 | &nbsp;&nbsp;&nbsp;&nbsp; 61 | &nbsp;&nbsp;&nbsp;&nbsp; 72 | &nbsp;&nbsp;&nbsp;&nbsp; 45 | &nbsp;&nbsp;&nbsp;&nbsp; 64 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **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. |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Financial Industries Fund Class I Shares** | **Financial Industries Fund Class I Shares** | **Financial Industries Fund Class I Shares** | **Financial Industries Fund Class I Shares** | **Financial Industries Fund Class I Shares** | **Financial Industries Fund Class I Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.00** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.34** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.15** | &nbsp;&nbsp;&nbsp;&nbsp; **$24.21** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.13** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.21 | &nbsp;&nbsp;&nbsp;&nbsp;0.20 | &nbsp;&nbsp;&nbsp;&nbsp;0.29 | &nbsp;&nbsp;&nbsp;&nbsp;0.23 | &nbsp;&nbsp;&nbsp;&nbsp;0.21 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.23 | &nbsp;&nbsp;&nbsp;&nbsp;5.80 | &nbsp;&nbsp;&nbsp;&nbsp; (2.38)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.79)<br>| &nbsp;&nbsp;&nbsp;&nbsp;8.91 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.44** | &nbsp;&nbsp;&nbsp;&nbsp;**6.00** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.09)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.56)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**9.12** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.26)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.32)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.18)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.47)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.27)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (1.63)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.54)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (4.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.77)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.89)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.34)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.72)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(4.50)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.04)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.55** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.00** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.34** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.15** | &nbsp;&nbsp;&nbsp;&nbsp; **$24.21** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**7.89** | &nbsp;&nbsp;&nbsp;&nbsp;**45.56** | &nbsp;&nbsp;&nbsp;&nbsp; **(13.00)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(12.05)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**58.63** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $34 | &nbsp;&nbsp;&nbsp;&nbsp; $32 | &nbsp;&nbsp;&nbsp;&nbsp; $23 | &nbsp;&nbsp;&nbsp;&nbsp; $36 | &nbsp;&nbsp;&nbsp;&nbsp; $47 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.00 | &nbsp;&nbsp;&nbsp;&nbsp;0.98 | &nbsp;&nbsp;&nbsp;&nbsp;0.98 | &nbsp;&nbsp;&nbsp;&nbsp;0.95 | &nbsp;&nbsp;&nbsp;&nbsp;0.95 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.99 | &nbsp;&nbsp;&nbsp;&nbsp;0.97 | &nbsp;&nbsp;&nbsp;&nbsp;0.97 | &nbsp;&nbsp;&nbsp;&nbsp;0.94 | &nbsp;&nbsp;&nbsp;&nbsp;0.94 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;1.12 | &nbsp;&nbsp;&nbsp;&nbsp;1.20 | &nbsp;&nbsp;&nbsp;&nbsp;1.98 | &nbsp;&nbsp;&nbsp;&nbsp;1.27 | &nbsp;&nbsp;&nbsp;&nbsp;0.97 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 63 | &nbsp;&nbsp;&nbsp;&nbsp; 61 | &nbsp;&nbsp;&nbsp;&nbsp; 72 | &nbsp;&nbsp;&nbsp;&nbsp; 45 | &nbsp;&nbsp;&nbsp;&nbsp; 64 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |

---

**20**

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Fund details

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Financial Industries Fund Class R6 Shares** | **Financial Industries Fund Class R6 Shares** | **Financial Industries Fund Class R6 Shares** | **Financial Industries Fund Class R6 Shares** | **Financial Industries Fund Class R6 Shares** | **Financial Industries Fund Class R6 Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.02** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.35** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.16** | &nbsp;&nbsp;&nbsp;&nbsp; **$24.24** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.15** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.23 | &nbsp;&nbsp;&nbsp;&nbsp;0.21 | &nbsp;&nbsp;&nbsp;&nbsp;0.31 | &nbsp;&nbsp;&nbsp;&nbsp;0.25 | &nbsp;&nbsp;&nbsp;&nbsp;0.23 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.23 | &nbsp;&nbsp;&nbsp;&nbsp;5.81 | &nbsp;&nbsp;&nbsp;&nbsp; (2.38)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.80)<br>| &nbsp;&nbsp;&nbsp;&nbsp;8.92 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.46** | &nbsp;&nbsp;&nbsp;&nbsp;**6.02** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.07)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.55)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**9.15** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.28)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.33)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.20)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.50)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.29)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (1.63)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.54)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (4.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.77)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.91)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.35)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.74)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(4.53)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.06)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.57** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.02** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.35** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.16** | &nbsp;&nbsp;&nbsp;&nbsp; **$24.24** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**7.93** | &nbsp;&nbsp;&nbsp;&nbsp;**45.81** | &nbsp;&nbsp;&nbsp;&nbsp; **(12.90)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(11.97)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**58.71** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $5 | &nbsp;&nbsp;&nbsp;&nbsp; $4 | &nbsp;&nbsp;&nbsp;&nbsp; $2 | &nbsp;&nbsp;&nbsp;&nbsp; $2 | &nbsp;&nbsp;&nbsp;&nbsp; $2 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.89 | &nbsp;&nbsp;&nbsp;&nbsp;0.87 | &nbsp;&nbsp;&nbsp;&nbsp;0.87 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.89 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.30 | &nbsp;&nbsp;&nbsp;&nbsp;2.13 | &nbsp;&nbsp;&nbsp;&nbsp;1.39 | &nbsp;&nbsp;&nbsp;&nbsp;1.09 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 63 | &nbsp;&nbsp;&nbsp;&nbsp; 61 | &nbsp;&nbsp;&nbsp;&nbsp; 72 | &nbsp;&nbsp;&nbsp;&nbsp; 45 | &nbsp;&nbsp;&nbsp;&nbsp; 64 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |

---

**21**

------

Your account

------

**Choosing an eligible share class**

------

Class A and Class C 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:

&nbsp;&nbsp;&nbsp;&nbsp;● The plan currently holds assets in Class A shares of the fund or any John Hancock fund;

&nbsp;&nbsp;&nbsp;&nbsp;● 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;

&nbsp;&nbsp;&nbsp;&nbsp;● 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

&nbsp;&nbsp;&nbsp;&nbsp;● 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"):

&nbsp;&nbsp;&nbsp;&nbsp;● 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.

&nbsp;&nbsp;&nbsp;&nbsp;● Retirement and other benefit plans

&nbsp;&nbsp;&nbsp;&nbsp;● Endowment funds, foundations, donor advised funds, and other charitable entities

&nbsp;&nbsp;&nbsp;&nbsp;● Any state, county, or city, or its instrumentality, department, authority, or agency

&nbsp;&nbsp;&nbsp;&nbsp;● Accounts registered to insurance companies, trust companies, and bank trust departments

&nbsp;&nbsp;&nbsp;&nbsp;● Any entity that is considered a corporation for tax purposes

&nbsp;&nbsp;&nbsp;&nbsp;● Investment companies, both affiliated and not affiliated with the advisor

&nbsp;&nbsp;&nbsp;&nbsp;● 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 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 minimum initial investment requirement for purchases of Class R6 shares. (See "Opening an account.")

&nbsp;&nbsp;&nbsp;&nbsp;● 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)

&nbsp;&nbsp;&nbsp;&nbsp;● Endowment funds, foundations, donor advised funds, and other charitable entities

&nbsp;&nbsp;&nbsp;&nbsp;● Any state, county, or city, or its instrumentality, department, authority, or agency

&nbsp;&nbsp;&nbsp;&nbsp;● 403(b) plans and 457 plans, including 457(a) governmental entity plans and tax-exempt plans

&nbsp;&nbsp;&nbsp;&nbsp;● Accounts registered to insurance companies, trust companies, and bank trust departments

&nbsp;&nbsp;&nbsp;&nbsp;● Investment companies, both affiliated and not affiliated with the advisor

&nbsp;&nbsp;&nbsp;&nbsp;● Any entity that is considered a corporation for tax purposes, including corporate nonqualified deferred compensation plans of such corporations

&nbsp;&nbsp;&nbsp;&nbsp;● Trustees, employees of the advisor or its affiliates, employees of the

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subadvisor, members of the fund's portfolio management team and the spouses and children (under age 21) of the aforementioned

&nbsp;&nbsp;&nbsp;&nbsp;● 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 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.*

**Additional payments to financial intermediaries**

Class A and Class C shares of the fund are primarily sold through financial intermediaries, such as brokers, banks, registered 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

**23**

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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 ($)** | &nbsp;&nbsp;&nbsp;&nbsp; **As a % of**<br> **offering price\***<br>| &nbsp;&nbsp;&nbsp;&nbsp; **As a % of**<br> **your investment**<br>|
| Up to 49,999 | 5.00 | 5.26 |
| 50000–99999 | 4.50 | 4.71 |
| 100000–249999 | 3.50 | 3.63 |
| 250000–499999 | 2.50 | 2.56 |
| 500000–999999 | 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 (%)** |
| 1<sup>st</sup> year | 1.00 |
| After 1<sup>st</sup> year |  |

---

*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.*

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 (%)** |
| 1<sup>st</sup> year | 1.00 |
| After 1<sup>st</sup> year |  |

---

*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

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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

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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."**

**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

● 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

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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

● 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. 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 | &nbsp;&nbsp; $1,000 ($250 for group investments). However, there is <br> no minimum initial investment for certain group <br> retirement plans using salary deduction or similar group <br> methods of payment, for fee-based or wrap accounts of <br> selling firms that have executed a fee-based or wrap <br> agreement with the distributor, or for certain other <br> eligible investment product platforms. <br>|

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| | |
|:---|:---|
| **Share Class** | **Minimum initial investment** |
| Class I | &nbsp;&nbsp; $250,000. However, the minimum initial investment <br> requirement may be waived, at the fund's sole discretion, <br> for investors in certain fee-based, wrap, or other <br> investment platform programs, or in certain brokerage <br> platforms where the intermediary is acting solely as an <br> agent for the investor. The fund also may waive the <br> minimum initial investment for other categories of <br> investors at its discretion, including for Trustees, <br> employees of the advisor or its affiliates, employees of <br> the subadvisor, members of the fund's portfolio <br> management team and the spouses and children (under <br> age 21) of the aforementioned.<br>|
| Class R6 | &nbsp;&nbsp; $1 million. However, there is no minimum initial <br> investment requirement for: (i) qualified and <br> nonqualified plan investors; (ii) certain eligible qualifying <br> investment product platforms; or (iii) Trustees, <br> employees of the advisor or its affiliates, employees of <br> the subadvisor, members of the fund's portfolio <br> management team and the spouses and children (under <br> age 21) of the aforementioned.<br>|

---

**4**

All 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.

**5**

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.

**6**

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 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.

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**Buying shares**

------

**Class A and Class C shares** 

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| | |
|:---|:---|
| **Opening an account** | **Adding to an account** |
| **By check** | **By check** |
| ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Deliver the check and your completed application to your financial <br> professional or mail them to Signature Services (address below).<br>| &nbsp;&nbsp; ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Include a note specifying the fund name, the share class, your account <br> number, and the name(s) in which the account is registered.<br> ●Deliver the check and your note to your financial professional, or mail <br> them to Signature Services (address below).<br>|
| **By exchange** | **By exchange** |
| ●Call your financial professional or Signature Services to request an <br> exchange.<br>| &nbsp;&nbsp; ●Log on to the website below to process exchanges between funds.<br> ●Call EASI-Line for automated service.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| **By wire** | **By wire** |
| ●Deliver your completed application to your financial professional or <br> mail it to Signature Services.<br> ●Obtain your account number by calling your financial professional or <br> Signature Services.<br> ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>| &nbsp;&nbsp; ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>|
| **By internet** | **By internet** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the Automated <br> Clearing House (ACH) system.<br> ●Complete the "Bank information" section on your account application.<br> ●Log on to the website below to initiate purchases using your authorized <br> bank account.<br>|
| **By phone** | **By phone** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the ACH system.<br> ●Complete the "To purchase, exchange, or redeem shares via telephone" <br> and "Bank information" sections on your account application.<br> ●Call EASI-Line for automated service.<br> ●Call your financial professional or call Signature Services between <br> 8:00 a.m. and 7:00 p.m., Monday–Thursday, and on Friday, between <br> 8:00 a.m. and 6:00 p.m., Eastern time.<br>|
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; *To add to an account using the Monthly Automatic Accumulation Program,* <br> *see "Additional investor services."*<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **EASI-Line** | **Signature Services, Inc.** |
| John Hancock Signature<br> Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp; John Hancock Signature<br> Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | &nbsp;&nbsp;&nbsp; **(24/7 automated service)**<br> 800-338-8080<br>| 800-225-5291 |

---

**28**

------

Your account

**Buying shares**

------

**Class I shares** 

---

| | |
|:---|:---|
| **Opening an account** | **Adding to an account** |
| **By check** | **By check** |
| ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Deliver the check and your completed application to your financial <br> professional or mail them to Signature Services (address below).<br>| &nbsp;&nbsp; ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Include a note specifying the fund name, the share class, your account <br> number, and the name(s) in which the account is registered.<br> ●Deliver the check and your note to your financial professional, or mail <br> them to Signature Services (address below).<br>|
| **By exchange** | **By exchange** |
| ●Call your financial professional or Signature Services to request an <br> exchange.<br>| &nbsp;&nbsp; ●Log on to the website below to process exchanges between funds.<br> ●You may exchange Class I shares for other Class I shares or John <br> Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| **By wire** | **By wire** |
| ●Deliver your completed application to your financial professional or <br> mail it to Signature Services.<br> ●Obtain your account number by calling your financial professional or <br> Signature Services.<br> ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>| &nbsp;&nbsp; ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>|
| **By internet** | **By internet** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the Automated <br> Clearing House (ACH) system.<br> ●Complete the "Bank information" section on your account application.<br> ●Log on to the website below to initiate purchases using your authorized <br> bank account.<br>|
| **By phone** | **By phone** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the ACH system.<br> ●Complete the "To purchase, exchange, or redeem shares via telephone" <br> and "Bank information" sections on your account application.<br> ●Call your financial professional or call Signature Services between <br> 8:30 a.m. and 5:00 p.m., Eastern time, on most business days.<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

---

**29**

------

Your account

**Buying shares**

------

**Class R6 shares** 

---

| | |
|:---|:---|
| **Opening an account** | **Adding to an account** |
| **By check** | **By check** |
| ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Deliver the check and your completed application to your financial <br> professional or mail them to Signature Services (address below).<br>| &nbsp;&nbsp; ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Include a note specifying the fund name, the share class, your account <br> number, and the name(s) in which the account is registered.<br> ●Deliver the check and your note to your financial professional, or mail <br> them to Signature Services (address below).<br>|
| **By exchange** | **By exchange** |
| ●Call your financial professional or Signature Services to request an <br> exchange.<br>| &nbsp;&nbsp; ●Log on to the website below to process exchanges between funds.<br> ●You may exchange Class R6 shares for other Class R6 shares or John <br> Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| **By wire** | **By wire** |
| ●Deliver your completed application to your financial professional or <br> mail it to Signature Services.<br> ●Obtain your account number by calling your financial professional or <br> Signature Services.<br> ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>| &nbsp;&nbsp; ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>|
| **By internet** | **By internet** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the Automated <br> Clearing House (ACH) system.<br> ●Complete the "Bank information" section on your account application.<br> ●Log on to the website below to initiate purchases using your authorized <br> bank account.<br>|
| **By phone** | **By phone** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the ACH system.<br> ●Complete the "To purchase, exchange, or redeem shares via telephone" <br> and "Bank information" sections on your account application.<br> ●Call your financial professional or call Signature Services between <br> 8:30 a.m. and 5:00 p.m., Eastern time, on most business days.<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

---

**30**

------

Your account

**Selling shares**

------

**Class A and Class C shares** 

---

| | |
|:---|:---|
|  | **To sell some or all of your shares** |
| **By letter** | **By letter** |
| ●Accounts of any type<br> ●Sales of any amount<br>| &nbsp;&nbsp; ●Write a letter of instruction or complete a stock power indicating the <br> fund name, the share class, your account number, the name(s) in which <br> the account is registered, and the dollar value or number of shares you <br> wish to sell.<br> ●Include all signatures and any additional documents that may be <br> required (see the next page).<br> ●Mail the materials to Signature Services (address below).<br> ●A check will be mailed to the name(s) and address in which the account <br> is registered, or otherwise according to your letter of instruction.<br>|
| **By internet** | **By internet** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| ●Log on to the website below to initiate redemptions from your fund. |
| **By phone** | **By phone** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| &nbsp;&nbsp; ●Call EASI-Line for automated service.<br> ●Call your financial professional or call Signature Services between <br> 8:00 a.m. and 7:00 p.m., Monday–Thursday, and on Friday, between <br> 8:00 a.m. and 6:00 p.m., Eastern time.<br>|
| **By wire or electronic funds transfer (EFT)** | **By wire or electronic funds transfer (EFT)** |
| ●Requests by letter to sell any amount<br> ●Requests by internet or phone to sell up to $100,000<br>| &nbsp;&nbsp; ●To verify that the internet or telephone redemption privilege is in place <br> on an account, or to request the form to add it to an existing account, <br> call Signature Services.<br> ●A $15 fee will be deducted from your account. Your bank may also <br> charge a fee for this service.<br>|
| **By exchange** | **By exchange** |
| ●Accounts of any type<br> ●Sales of any amount | &nbsp;&nbsp; ●Obtain a current prospectus for the fund into which you are exchanging <br> by accessing the fund's website or by calling your financial professional <br> or Signature Services.<br> ●Log on to the website below to process exchanges between your funds.<br> ●Call EASI-Line for automated service.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| ●Accounts of any type<br> ●Sales of any amount | &nbsp;&nbsp; *To sell shares through a systematic withdrawal plan, see "Additional* <br> *investor services."*<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **EASI-Line** | **Signature Services, Inc.** |
| John Hancock Signature<br> Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp; John Hancock Signature<br> Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | &nbsp;&nbsp;&nbsp; **(24/7 automated service)**<br> 800-338-8080<br>| 800-225-5291 |

---

**31**

------

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 <br> for minors)<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signatures and titles of all persons authorized to sign <br> for the account, exactly as the account is registered<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners of corporate, sole proprietorship, general partner, or association <br> accounts<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●Corporate business/organization resolution, certified within the past <br> 12 months, or a John Hancock business/organization certification <br> form<br> ●On the letter and the resolution, the signature of the person(s) <br> authorized to sign for the account<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners or trustees of trust accounts | &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signature(s) of the trustee(s)<br> ●Copy of the trust document, certified within the past 12 months, or a <br> John Hancock trust certification form<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Joint tenancy shareholders with rights of survivorship with deceased <br> co-tenant(s)<br>| ●Letter of instruction signed by surviving tenant(s)<br> ●Copy of the death certificate<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Executors of shareholder estates | &nbsp;&nbsp; ●Letter of instruction signed by the executor<br> ●Copy of the order appointing executor, certified within the past <br> 12 months<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Administrators, conservators, guardians, and other sellers, or account <br> types not listed above<br>| ●Call Signature Services for instructions |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **EASI-Line** | **Signature Services, Inc.** |
| John Hancock Signature<br> Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp; John Hancock Signature<br> Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | &nbsp;&nbsp;&nbsp; **(24/7 automated service)**<br> 800-338-8080<br>| 800-225-5291 |

---

**32**

------

Your account

**Selling shares**

------

**Class I shares** 

---

| | |
|:---|:---|
|  | **To sell some or all of your shares** |
| **By letter** | **By letter** |
| ●Sales of any amount | &nbsp;&nbsp; ●Write a letter of instruction or complete a stock power indicating the <br> fund name, the share class, your account number, the name(s) in which <br> the account is registered, and the dollar value or number of shares you <br> wish to sell.<br> ●Include all signatures and any additional documents that may be <br> required (see the next page).<br> ●Mail the materials to Signature Services (address below).<br> ●A check will be mailed to the name(s) and address in which the account <br> is registered, or otherwise according to your letter of instruction.<br> ●Certain requests will require a Medallion signature guarantee. Please <br> refer to "Selling shares in writing" on the next page.<br>|
| **By internet** | **By internet** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| ●Log on to the website below to initiate redemptions from your fund. |
| **By phone** | **By phone** |
| **Amounts up to $100,000:** | &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| ●Most accounts | &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| **Amounts up to $5 million:** | &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| ●Available to the following types of accounts: custodial accounts held by <br> banks, trust companies, or broker-dealers; endowments and <br> foundations; corporate accounts; group retirement plans; and pension <br> accounts (excluding IRAs, 403(b) plans, and all John Hancock <br> custodial retirement accounts)<br>| &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| **By wire or electronic funds transfer (EFT)** | **By wire or electronic funds transfer (EFT)** |
| ●Requests by letter to sell any amount<br> ●Qualified requests by phone to sell to $5 million (accounts with <br> telephone redemption privileges)<br>| &nbsp;&nbsp; ●To verify that the telephone redemption privilege is in place on an <br> account, or to request the form to add it to an existing account, call <br> Signature Services.<br> ●Amounts up to $100,000 may be sent by EFT or by check. Your bank <br> may charge a fee for this service.<br> ●Amounts of $5 million or more will be sent by wire.<br>|
| **By exchange** | **By exchange** |
| ●Sales of any amount | &nbsp;&nbsp; ●Obtain a current prospectus for the fund into which you are exchanging <br> by accessing the fund's website, or by calling your financial <br> professional or Signature Services.<br> ●You may only exchange Class I shares for other Class I shares or John <br> Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

---

**33**

------

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 <br> for minors)<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signatures and titles of all persons authorized to sign <br> for the account, exactly as the account is registered<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners of corporate, sole proprietorship, general partner, or association <br> accounts<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●Corporate business/organization resolution, certified within the past <br> 12 months, or a John Hancock business/organization certification <br> form<br> ●On the letter and the resolution, the signature of the person(s) <br> authorized to sign for the account<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners or trustees of trust accounts | &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signature(s) of the trustee(s)<br> ●Copy of the trust document, certified within the past 12 months, or a <br> John Hancock trust certification form<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Joint tenancy shareholders with rights of survivorship with deceased <br> co-tenant(s)<br>| ●Letter of instruction signed by surviving tenant(s)<br> ●Copy of the death certificate<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Executors of shareholder estates | &nbsp;&nbsp; ●Letter of instruction signed by the executor<br> ●Copy of the order appointing executor, certified within the past <br> 12 months<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Administrators, conservators, guardians, and other sellers, or account <br> types not listed above<br>| ●Call Signature Services for instructions |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

---

**34**

------

Your account

**Selling shares**

------

**Class R6 shares** 

---

| | |
|:---|:---|
|  | **To sell some or all of your shares** |
| **By letter** | **By letter** |
| ●Sales of any amount | &nbsp;&nbsp; ●Write a letter of instruction or complete a stock power indicating the <br> fund name, the share class, your account number, the name(s) in which <br> the account is registered, and the dollar value or number of shares you <br> wish to sell.<br> ●Include all signatures and any additional documents that may be <br> required (see the next page).<br> ●Mail the materials to Signature Services (address below).<br> ●A check will be mailed to the name(s) and address in which the account <br> is registered, or otherwise according to your letter of instruction.<br> ●Certain requests will require a Medallion signature guarantee. Please <br> refer to "Selling shares in writing" on the next page.<br>|
| **By internet** | **By internet** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| ●Log on to the website below to initiate redemptions from your fund. |
| **By phone** | **By phone** |
| **Amounts up to $5 million:**<br> ●Available to the following types of accounts: custodial accounts held by <br> banks, trust companies, or broker-dealers; endowments and <br> foundations; corporate accounts; and group retirement plans<br>| &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing."<br>|
| **By wire or electronic funds transfer (EFT)** | **By wire or electronic funds transfer (EFT)** |
| ●Requests by letter to sell any amount<br> ●Qualified requests by phone to sell to $5 million (accounts with <br> telephone redemption privileges)<br>| &nbsp;&nbsp; ●To verify that the telephone redemption privilege is in place on an <br> account, or to request the form to add it to an existing account, call <br> Signature Services.<br> ●Amounts of $5 million or more will be sent by wire.<br> ●Amounts up to $100,000 may be sent by EFT or by check. Your bank <br> may charge a fee for this service.<br>|
| **By exchange** | **By exchange** |
| ●Sales of any amount | &nbsp;&nbsp; ●Obtain a current prospectus for the fund into which you are exchanging <br> by accessing the fund's website, or by calling your financial <br> professional or Signature Services.<br> ●You may only exchange Class R6 shares for other Class R6 shares or <br> John Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**Selling shares in writing**

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**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.

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| | |
|:---|:---|
| **Seller** | **Requirements for written requests** |
| Owners of individual, joint, or UGMA/UTMA accounts (custodial accounts <br> for minors)<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signatures and titles of all persons authorized to sign <br> for the account, exactly as the account is registered<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners of corporate, sole proprietorship, general partner, or association <br> accounts<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●Corporate business/organization resolution, certified within the past <br> 12 months, or a John Hancock business/organization certification <br> form<br> ●On the letter and the resolution, the signature of the person(s) <br> authorized to sign for the account<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners or trustees of trust accounts | &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signature(s) of the trustee(s)<br> ●Copy of the trust document, certified within the past 12 months, or a <br> John Hancock trust certification form<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Joint tenancy shareholders with rights of survivorship with deceased <br> co-tenant(s)<br>| ●Letter of instruction signed by surviving tenant(s)<br> ●Copy of the death certificate<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Executors of shareholder estates | &nbsp;&nbsp; ●Letter of instruction signed by the executor<br> ●Copy of the order appointing executor, certified within the past <br> 12 months<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Administrators, conservators, guardians, and other sellers, or account <br> types not listed above<br>| ●Call Signature Services for instructions |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**Transaction policies**

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**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 (which may include realized and unrealized capital gain and income), 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 are typically valued based on daily published settlement prices. 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 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

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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.

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 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

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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 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

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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).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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.

**Dividends and account policies**

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**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:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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

Every year you should also receive, if applicable, a Form 1099 tax information statement, mailed by February 15.

**Dividends**

The fund typically declares and pays income dividends at least annually. Capital gains, if any, are typically distributed at least annually, typically after the end of the fund's fiscal year.

**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**

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**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.

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

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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.

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**Appendix 1 - Intermediary sales charge waivers**

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**Intermediary sales charge waivers**

**<u>Merrill Lynch, Pierce, Fenner & Smith Incorporated (Merrill)</u>** 

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

● 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

● 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

● On or about May 1, 2026, assets not held at Merrill will no longer be included in the ROA calculation. For more detail on the timing and calculation, please refer to the Merrill SLWD Supplement

● 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

● On or about May 1, 2026, Merrill will no longer accept new LOIs. For more detail on the timing, please refer to the Merrill SLWD Supplement

**<u>Ameriprise Financial Services, Inc. (Ameriprise Financial)</u>** 

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

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● Rights of accumulation (ROA), as described in this prospectus or the SAI

● Letter of intent, as described in this prospectus or the SAI

● 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

**<u>Morgan Stanley Smith Barney (Morgan Stanley)</u>** 

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

**<u>Raymond James & Associates, Inc., Raymond James Financial Services, Inc. and each entity's affiliates (Raymond James)</u>** 

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

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and the conversion is in line with the policies and procedures of Raymond James

**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

**<u>Edward D. Jones & Co., L.P. (Edward Jones)</u>** 

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.

**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,

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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):

&nbsp;&nbsp;&nbsp;&nbsp;● The redemption and repurchase occur in the same account.

&nbsp;&nbsp;&nbsp;&nbsp;● 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

**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.

**<u>Janney Montgomery Scott LLC (Janney)</u>** 

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

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● 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."

**<u>Robert W. Baird & Co. (Baird)</u>** 

Effective January 1, 2026, 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 within 90 days following a redemption from a John Hancock fund, provided (1) the redemption and purchase occur within the purchaser's Baird household and (2) the redeemed shares were subject to a front-end or deferred sales charge (known as rights of reinstatement)

● A shareholder in the fund's Class C shares will have their share 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

**<u>Stifel, Nicolaus & Company, Incorporated (Stifel)</u>** 

Effective May 1, 2025, shareholders purchasing or holding shares of John Hancock Funds, including existing fund shareholders, through a Stifel or affiliated platform that provides trade execution, clearance, and/or custody services, will be eligible for the following sales charge load waivers (including front-end sales charge waivers and contingent deferred, or back-end, (CDSC) sales charge waivers) and discounts, which may differ from those disclosed elsewhere in this prospectus or the fund's SAI.

**Rights of Accumulation** 

● Rights of accumulation (ROA) that entitle shareholders to breakpoint discounts on front-end sales charges will be calculated by Stifel based on the aggregated holding of eligible assets in John Hancock Investment Management held by accounts within the purchaser's household at Stifel. Ineligible assets include class A Money Market Funds not assessed a sales charge. Fund family assets not held at Stifel may be included in the calculation of ROA only if the shareholder notifies his or her financial advisor about such assets.

● 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.

**Class A Shares Front-End Sales Charge Waivers Available at Stifel** 

● Class C shares that have been held for more than seven (7) years may be converted to Class A shares or other front-end share class(es) of the same fund pursuant to Stifel's policies and procedures. To the extent that this prospectus elsewhere provides for a waiver with respect to the exchange or conversion of such shares following a shorter holding period, those provisions shall continue to apply.

● Shares purchased by employees and registered representatives of Stifel or its affiliates and their family members as designated by Stifel.

● Shares purchased in a Stifel fee-based advisory program, often referred to as a "wrap" program.

● Shares purchased through reinvestment of capital gains distributions

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and dividend reinvestment when purchasing shares of the same or other fund within John Hancock Investment Management.

● Shares purchased from the proceeds of redeemed shares of John Hancock Investment Management so long as the proceeds are from the sale of shares from an account with the same owner/beneficiary within 90 days of the purchase. For the absence of doubt, automated transactions (i.e. systematic purchases, including salary deferral transactions and withdrawals) and purchases made after shares are sold to cover Stifel Nicolaus' account maintenance fees are not eligible for rights of reinstatement.

● Shares from rollovers into Stifel from retirement plans to IRAs.

● 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 direction of Stifel. Stifel 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 this prospectus.

● 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.

● Charitable organizations and foundations, notably 501(c)(3) organizations.

**CDSC waivers on Class A and C shares purchased through Stifel** 

● Death or disability of the shareholder.

● Shares sold as part of a systematic withdrawal plan not to exceed 12% annually.

● 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.

● Shares acquired through a right of reinstatement.

● Shares sold to pay Stifel fees or costs in such cases where the transaction is initiated by Stifel.

● Shares exchanged or sold in a Stifel fee-based program.

**Share Class Conversions in Advisory Accounts** 

● Stifel continually looks to provide our clients with the lowest cost share class available based on account type. Stifel reserves the right to convert shares to the lowest cost share class available at Stifel upon transfer of shares into an advisory program.

**<u>J.P. MORGAN SECURITIES LLC</u>** 

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.

**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 the fund's prospectus or SAI still apply.

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**<u>WELLS FARGO CLEARING SERVICES, LLC AND WELLS FARGO ADVISORS FINANCIAL NETWORK, LLC (COLLECTIVELY, WELLS FARGO ADVISORS)</u>** 

**Wells Fargo Clearing Services, LLC operates a First Clearing business, but these rules are not intended to include First Clearing firms.** 

Effective April 1, 2026, clients of Wells Fargo Advisors purchasing fund shares through Wells Fargo Advisors are eligible for the following sales charge discounts (also referred to as "breakpoints") and waivers, which can differ from discounts and waivers described elsewhere in the prospectus or statement of additional information ("SAI"). In all instances, it is the investor's responsibility to inform Wells Fargo Advisors at the time of purchase of any relationship, holdings, or other facts qualifying the investor for discounts or waivers. Wells Fargo Advisors can ask for documentation supporting the qualification.

**Wells Fargo Advisors Class A share front-end sales charge waivers information** 

Wells Fargo Advisors clients purchasing or converting to Class A shares of the fund in a Wells Fargo Advisors brokerage account are entitled to a waiver of the front-end load in the following circumstances:

● Wells Fargo Advisors employee and employee-related accounts according to Wells Fargo Advisors' employee account linking rules. Legacy accounts and positions receiving affiliate discounts prior to the effective date will continue to receive discounts. Going forward employees of affiliate businesses will not be offered NAV

● Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

WellsTrade, the firm's online self-directed brokerage account, generally offers no-load share classes but there could be instances where a Class A share is offered without a front-end sales charge.

Unless specifically described above, other front-end load waivers are not available on mutual fund purchases through Wells Fargo Advisors.

**Wells Fargo Advisors Contingent Deferred Sales Charge information** 

● Contingent deferred sales charges (CDSC) imposed on fund redemptions will not be rebated based on future purchases

**Wells Fargo Advisors Class A front-end load discounts** 

Wells Fargo Advisors clients purchasing Class A shares of the fund through Wells Fargo Advisors brokerage accounts will follow the following aggregation rules for breakpoint discounts:

● Effective April 1, 2026, SEP or SIMPLE IRAs will not be aggregated as a group plan. They will aggregate with the client's personal accounts based on Social Security Number. Previously established SEP and SIMPLE IRAs may still be aggregated as a group plan

● Effective April 1, 2026, Employer-sponsored retirement plan (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans) accounts will aggregate with other plan accounts under the same Tax ID and will not be aggregated with other retirement plan accounts under a different Tax ID or personal accounts. For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, SIMPLE IRAs, SAR-SEPs or Keogh plans

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● Gift of shares will not be considered when determining breakpoint discounts

**49**

------

For more information

The following documents are available that offer further information on the fund:

**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

**By EASI-Line:** 800-338-8080 for Class A and Class C shares

**By phone:** 800-225-5291

**By TTY:** Use your preferred technology and relay service, including "711" to contact us at 800-225-5291 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

**By email (duplicating fee required):** publicinfo@sec.gov

![](g29800paperlesslogo_1.jpg)

![](g29800img2fb6f1032.jpg)© 2026 John Hancock Investment Management Distributors LLC, Member FINRA, SIPC

200 Berkeley Street, Boston, MA 02116

800-225-5291, jhinvestments.com

Manulife, Manulife Investments, Stylized M Design, and Manulife Investments & Stylized M Design are trademarks of The Manufacturers Life Insurance Company and John Hancock, and the Stylized John Hancock Design are trademarks of John Hancock Life Insurance Company (U.S.A.). Each are used by it and by its affiliates under license.

SEC file number: 811-03999

700PN 3/1/26

------

![](g29800leaf_3.jpg)

![](g29800jhim_blk.gif)

**Prospectus**

John Hancock

Regional Bank Fund

U.S. equity

March 1, 2026

---

| | | | |
|:---|:---|:---|:---|
| **A** | **C** | **I** | **R6** |
| FRBAX | FRBCX | JRBFX | JRGRX |

---

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.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

[John Hancock Regional Bank Fund](#xx_40608a12-2f75-409f-a9fc-97998e7715e6_1)<sub>1</sub>

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.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

[Principal investment strategies](#xx_343e669b-5fca-456a-905a-f50f296f64c0_1)<sub>6</sub>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

[Principal risks of investing](#xx_343e669b-5fca-456a-905a-f50f296f64c0_1)<sub>6</sub>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Who's who](#xx_343e669b-5fca-456a-905a-f50f296f64c0_10) | **15** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Financial highlights](#xx_daffd149-92fd-4da4-843b-b3ecdf607847_1) | **17** |

---

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**](#BC_d81e8b0e-fe81-4548-9502-f782aa3aa66a)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Choosing an eligible share class](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_1) | **20** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Class cost structure](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_2) | **21** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [How sales charges for Class A and Class C shares are calculated](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_3) | **22** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Sales charge reductions and waivers](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_3) | **22** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Opening an account](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_5) | **24** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Information for plan participants](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_6) | **25** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Buying shares](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_7) | **26** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Selling shares](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_10) | **29** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Transaction policies](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_16) | **35** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Dividends and account policies](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_19) | **38** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Additional investor services](#xx_45b4288d-824a-4bee-bc96-153f9ffe3080_20) | **39** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| [Appendix 1 - Intermediary sales charge waivers](#xx_714fbe33-3ff4-45e3-ac1f-5554ec1903b1_1) | **41** |

---

------

Fund summary

------

John Hancock Regional Bank Fund

**Investment objective**

------

To seek long-term capital appreciation. Moderate income is a secondary objective.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below**. You may qualify for sales charge discounts on Class A shares if you and your family invest, or agree to invest in the future, at least $50,000 in the John Hancock family of funds. Intermediaries may have different policies and procedures regarding the availability of front-end sales charge waivers or contingent deferred sales charge (CDSC) waivers (See Appendix 1 - Intermediary sales charge waivers, which includes information about specific sales charge waivers applicable to the intermediaries identified therein). More information about these and other discounts is available from your financial professional and beginning on page 22 of the prospectus under "Sales charge reductions and waivers" or page 116 of the fund's Statement of Additional Information under "Sales Charges on Class A and Class C Shares."

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **A** | **C** | **I** | **R6** |
| Maximum front-end sales charge (load) on purchases, as a % of purchase price | 5.00 |  |  |  |
| Maximum deferred sales charge (load) as a % of purchase or sale price, whichever is less | 1.00 | 1.00 |  |  |
| Maximum deferred sales charge (load) as a % of purchase or sale price, whichever is less | &nbsp;&nbsp; (on certain <br> purchases, <br> including those of <br> $1 million or more)<br>|  |  |  |
| Small account fee (for fund account balances under $1,000) ($) | 20 | 20 |  |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your <br> investment)<br>| **A** | **C** | **I** | **R6** |
| Management fee | 0.78 | 0.78 | 0.78 | 0.78 |
| Distribution and service (Rule 12b-1) fees | 0.30 <br><sup>1</sup><br>| 1.00 | 0.00 | 0.00 |
| Other expenses | 0.18 | 0.18 | 0.18 | 0.07 |
| **Total annual fund operating expenses** | **1.26** | **1.96** | **0.96** | **0.85** |
| Contractual expense reimbursement | -0.01 <br><sup>2</sup><br>| -0.01 <br><sup>2</sup><br>| -0.01 <br><sup>2</sup><br>| -0.01 <br><sup>2</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **1.25** | **1.95** | **0.95** | **0.84** |

---

**1**

"Distribution and service (Rule 12b-1) fees" have been restated to reflect maximum allowable fees.

**2**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then, except as shown below, assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

**1**

------

Fund summary

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Shares Sold** | **Shares Sold** | **Shares Sold** | **Shares Sold** | **Shares**<br> **Not Sold**<br>|
| **Expenses ($)** | **A** | **C** | **I** | **R6** | **C** |
| 1 year | 621 | 298 | 97 | 86 | 198 |
| 3 years | 879 | 614 | 305 | 270 | 614 |
| 5 years | 1156 | 1056 | 530 | 470 | 1056 |
| 10 years | 1946 | 2103 | 1177 | 1048 | 2103 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 5% of the average value of its portfolio.

**Principal investment strategies**

------

Under normal market conditions, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of regional banks. Because the fund normally invests more than 25% of its assets in equity securities of regional banks, the fund is considered to be "concentrated" in the banking industry. A regional bank is a U.S.-based banking company that primarily operates in one or more regions of the country. Such regional banks may be of any size and may include, but are not limited to, commercial banks, industrial banks, savings and loan associations, and financial and bank holding companies. Typically, these companies provide full-service banking and have primarily domestic assets. Equity securities include, but are not limited to, common and preferred stocks and their equivalents, such as publicly-traded limited partnerships, depositary receipts, rights, and warrants of companies of any market capitalization.

The manager focuses primarily on equity securities selection, using fundamental financial analysis to identify securities that appear comparatively undervalued. Given the industrywide trend toward consolidation, the manager may invest in companies that appear to be positioned for a merger.

The fund may also invest in other U.S. and foreign financial services companies, such as money center banks. A money center bank is a bank located in a financial center, which deals in national and international financial markets. The fund may invest up to 5% of net assets in stocks of companies outside the financial services sector and up to 5% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CCC by S&P Global Ratings or Caa by Moody's Investors Service, Inc. and their unrated equivalents. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest in derivatives to a limited extent. Derivatives may be used to reduce risk, obtain efficient market exposure, and/or enhance investment returns, and may include futures contracts, options, and foreign currency forward contracts.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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*.

**Banking industry risk.** Commercial banks, savings and loan associations, and holding companies of the foregoing are especially subject to adverse effects of volatile interest rates, concentrations of loans in particular industries, and significant competition. Profitability of these businesses depends significantly upon the availability and cost of capital funds. Commercial banks and savings associations are subject to extensive state regulation.

**Concentration risk.** Because the fund focuses on a single industry or sector of the economy, its performance depends in large part on the performance of that industry or sector. As a result, the value of an investment may fluctuate more widely since it is more susceptible to market, economic, political, regulatory, and other conditions and risks affecting that industry or sector than a fund that invests more broadly across industries and sectors. Regional bank stocks could suffer losses if interest rates fall, the bank experiences financial difficulties or failures, or economic conditions deteriorate and as a result of state and federal regulation.

**Credit and counterparty risk.** The issuer or guarantor of a fixed-income security, the counterparty to an over-the-counter derivatives contract, or a borrower of fund securities may not make timely payments or otherwise honor its obligations. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact

**2**

------

Fund summary

performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**Fixed-income securities risk.** A rise in interest rates typically causes bond prices to fall. The longer the average maturity or duration of the bonds held by a fund, the more sensitive it will likely be to interest-rate fluctuations. An issuer may not make all interest payments or repay all or any of the principal borrowed. Changes in a security's credit quality may adversely affect fund performance.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. 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.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, and options. Foreign currency forward contracts, futures contracts, and options generally are subject to counterparty risk. Derivatives associated with foreign currency transactions are subject to currency risk.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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. Liquidity risk may be magnified in rising interest rate environments due to higher than normal redemption rates. Widespread selling of fixed-income securities to satisfy redemptions during periods of reduced demand may adversely impact the price or salability of such securities. Periods of heavy redemption could cause the fund to sell assets at a loss or depressed value, which could negatively affect performance. Redemption risk is heightened during periods of declining or illiquid markets.

**Lower-rated and high-yield fixed-income securities risk.** Lower-rated and high-yield fixed-income securities (junk bonds) are subject to greater credit quality risk, risk of default, and price volatility than higher-rated fixed-income securities, may be considered speculative, and can be difficult to resell.

**Master limited partnership (MLP) risk.** MLPs generally reflect the risks associated with their underlying assets and with pooled investment vehicles. MLPs with credit-related holdings are subject to interest-rate risk and risk of default.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**State/region risk.** Investing heavily in any one state or region increases exposure to losses in that state or region.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. The S&P Regional Banks Select Industry Index shows how the

**3**

------

Fund summary

fund's performance compares against the returns of similar investments. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained at our website, jhinvestments.com, or by calling 800-225-5291, Monday to Thursday, 8:00 a.m.—7:00 p.m., and Friday, 8:00 a.m.—6:00 p.m., Eastern time.

**A note on performance**

Class A, Class I, and Class R6 shares commenced operations on January 3, 1992, September 9, 2016, and August 30, 2017, respectively. Returns shown prior to a class's commencement date are those of Class A shares, except that they do not include sales charges and would be lower if they did. Returns for Class I and Class R6 shares would have been substantially similar to returns of Class A shares because each share class is invested in the same portfolio of securities and returns would differ only to the extent that expenses of the classes are different. To the extent expenses of a class would have been higher than expenses of Class A shares for the periods shown, performance would have been lower.

Please note that after-tax returns (shown for Class A shares only) reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan. After-tax returns for other share classes would vary.

**Calendar year total returns (%)—Class A** (sales charges are not reflected in the bar chart and returns would have been lower if they were)

![](g29800imgb99b14031.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q4 2020 | 43.22% |
| **Worst quarter:** | Q1 2020 | -41.98% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class A** (before tax) | 5.55 | &nbsp;&nbsp;&nbsp;&nbsp;9.35 | &nbsp;&nbsp;&nbsp;&nbsp;8.46 |
| after tax on distributions | 3.52 | &nbsp;&nbsp;&nbsp;&nbsp;7.72 | &nbsp;&nbsp;&nbsp;&nbsp;7.34 |
| after tax on distributions, with sale | 4.77 | &nbsp;&nbsp;&nbsp;&nbsp;7.21 | &nbsp;&nbsp;&nbsp;&nbsp;6.71 |
| **Class C** | 9.28 | &nbsp;&nbsp;&nbsp;&nbsp;9.66 | &nbsp;&nbsp;&nbsp;&nbsp;8.24 |
| **Class I** | 11.39 | &nbsp;&nbsp;&nbsp;&nbsp;10.77 | &nbsp;&nbsp;&nbsp;&nbsp;9.31 |
| **Class R6** | 11.51 | &nbsp;&nbsp;&nbsp;&nbsp;10.89 | &nbsp;&nbsp;&nbsp;&nbsp;9.37 |
| S&P 500 Index (reflects no deduction for fees, expenses, or taxes) | 17.88 | &nbsp;&nbsp;&nbsp;&nbsp;14.42 | &nbsp;&nbsp;&nbsp;&nbsp;14.82 |
| S&P Regional Banks Select Industry Index (reflects no deduction for fees, expenses, or taxes) | 10.63 | &nbsp;&nbsp;&nbsp;&nbsp;7.79 | &nbsp;&nbsp;&nbsp;&nbsp;7.43 |

---

**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.

---

| | |
|:---|:---|
| **Susan A. Curry** | **Ryan P. Lentell, CFA** |
| *Senior Portfolio Manager*<br> Managed the fund since 2006<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2015<br>|

---

**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. The minimum initial investment requirement for Class R6 shares is $1 million, except that there is no minimum for: qualified and

**4**

------

Fund summary

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.

**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:** The fund seeks long-term capital appreciation. Moderate income is a secondary objective.

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 of regional banks. Because the fund normally invests more than 25% of its assets in equity securities of regional banks, the fund is considered to be "concentrated" in the banking industry. A regional bank is a U.S.-based banking company that primarily operates in one or more regions of the country. Such regional banks include, but are not limited to, commercial banks, industrial banks, savings and loan associations, financial holding companies, and bank holding companies. These companies may be of any size. Typically, these companies provide full-service banking and have primarily domestic assets. Equity securities include, but are not limited to, common and preferred stocks and their equivalents, such as publicly traded limited partnerships, depositary receipts, rights, and warrants of companies of any market capitalization.

In managing the fund, the manager focuses primarily on equity securities selection. In choosing individual equity securities, the manager uses fundamental financial analysis to identify securities that appear comparatively undervalued. Given the industrywide trend toward consolidation, the manager may invest in companies that appear to be positioned for a merger. The manager generally gathers information about companies from interviews with company executives and company visits.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may also invest in other U.S. and foreign financial services companies, such as money center banks. A money center bank is a bank located in a financial center, which deals in national and international financial markets. The fund may invest up to 5% of net assets in stocks of companies outside the financial services sector. The fund may also invest up to 5% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CCC by S&P Global Ratings or Caa by Moody's Investors Service, Inc. and their unrated equivalents. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may, to a limited extent, engage in derivatives transactions that include futures contracts, options, and foreign currency forward contracts, in each case for the purpose of reducing risk, obtaining efficient market exposure, and/or enhancing investment returns.

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 temporarily invest up to 80% of its assets in 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**

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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. Further, certain municipalities of the United States and its territories are financially strained and may face the possibility of default on their debt obligations, which could directly or indirectly detract from 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

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prospectus because they are not considered primary factors, see the fund's Statement of Additional Information (SAI).

**Banking industry risk**

Commercial banks (including "money center" regional and community banks), savings and loan associations and holding companies of the foregoing are especially subject to adverse effects of volatile interest rates, concentrations of loans in particular industries (such as real estate or energy) and significant competition. The profitability of these businesses is to a significant degree dependent upon the availability and cost of capital funds. Economic conditions in the real estate market may have a particularly strong effect on certain banks and savings associations. Commercial banks and savings associations are subject to extensive federal and, in many instances, state regulation. Neither such extensive regulation nor the federal insurance of deposits ensures the solvency or profitability of companies in this industry, and there is no assurance against losses in securities issued by such companies.

**Concentration risk**

When a fund's investments are focused in a particular industry or sector of the economy, they are less broadly invested across industries or sectors than other funds. This means that concentrated 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 a particular industry or sector is particularly susceptible to the impact of market, economic, political, regulatory, and other conditions and risks affecting that industry or sector. From time to time, a small number of companies may represent a large portion of a single industry or sector or a group of related industries or sectors as a whole. Regional bank stocks could suffer losses if interest rates fall, the bank experiences financial difficulties or failures, or economic conditions deteriorate and as a result of state and federal regulation.

**Credit and counterparty risk**

This is the risk that the issuer or guarantor of a fixed-income 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 otherwise honor its obligations. Credit risk associated with investments in fixed-income securities relates to the ability of the issuer to make scheduled payments of principal and interest on an obligation. A fund that invests in fixed-income securities is subject to varying degrees of risk that the issuers of the securities will have their credit ratings downgraded or will default, potentially reducing the fund's share price and income level. Nearly all fixed-income securities are subject to some credit risk, which may vary depending upon whether the issuers of the securities are corporations, domestic or foreign governments, or their subdivisions or instrumentalities. When a fixed-income security is not rated, a manager may have to assess the risk of the security itself. Asset-backed securities, whose principal and interest payments are supported by pools of other assets, such as credit card receivables and automobile loans, are subject to further risks, including the risk that the obligors of the underlying assets default on payment of those assets.

Funds that invest in below-investment-grade securities, also called junk bonds (e.g., fixed-income securities rated Ba or lower by Moody's Investors Service, Inc. or BB or lower by S&P Global Ratings or Fitch Ratings, as applicable, at the time of investment, or determined by a manager to be of comparable quality to securities so rated) are subject to increased credit risk. The sovereign debt of many foreign governments, including their subdivisions and instrumentalities, falls into this category. Below-investment-grade securities offer the potential for higher investment returns than higher-rated securities, but they carry greater credit risk: their issuers' continuing ability to meet principal and interest payments is considered speculative, they are more susceptible to real or perceived adverse economic and competitive industry conditions, and they may be less liquid than higher-rated securities.

In addition, a fund is exposed to credit risk to the extent that 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

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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, if 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 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. The imposition by the U.S. of import tariffs on goods from foreign countries and reciprocal tariffs levied on U.S. goods may lead to price volatility and instability in U.S. and global investment markets. Among other effects, tariffs may increase the cost of production for certain goods or reduce demand for products, which could affect the performance of the fund's investments. It is not known whether, or to what extent, any tariff or other trade protections may affect the fund or its investments.

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, as the United Kingdom (UK) did in January of 2020 (commonly referred to as "Brexit"), or the EU dissolves, the global securities markets likely will be significantly disrupted.

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 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. 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

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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 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.

**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 portion of the fund's investments for which the manager considers these ESG factors may vary, and could increase or decrease over time. 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.

**Fixed-income securities risk**

Fixed-income securities are generally subject to two principal types of risk, as well as other risks described below: (1) interest-rate risk and (2) credit quality risk.

**Interest-rate risk.** Fixed-income securities are affected by changes in interest rates. When interest rates decline, the market value of fixed-income securities generally can be expected to rise. Conversely, when interest rates rise, the market value of fixed-income securities generally can be expected to decline. The longer the duration or maturity of a fixed-income security, the more susceptible it is to interest-rate risk. Duration is a measure of the price sensitivity of a debt security, or a fund that invests in a portfolio of debt securities, to changes in interest rates, whereas the maturity of a security measures

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the time until final payment is due. Duration measures sensitivity more accurately than maturity because it takes into account the time value of cash flows generated over the life of a debt security.

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 certain market conditions, governmental authorities and regulators may considerably lower interest rates, which, in some cases could result in negative interest rates. These actions, including their reversal or potential ineffectiveness, could further increase volatility in securities and other financial markets and reduce market liquidity. To the extent the fund has a bank deposit or holds a debt instrument with a negative interest rate to maturity, the fund would generate a negative return on that investment. Similarly, negative rates on investments by money market funds and similar cash management products could lead to losses on investments, including on investments of the fund's uninvested cash.

**Credit quality risk.** Fixed-income securities are subject to the risk that the issuer of the security will not repay all or a portion of the principal borrowed and will not make all interest payments. If the credit quality of a fixed-income security deteriorates after a fund has purchased the security, the market value of the security may decrease and lead to a decrease in the value of the fund's investments. An issuer's credit quality could deteriorate as a result of poor management decisions, competitive pressures, technological obsolescence, undue reliance on suppliers, labor issues, shortages, corporate restructurings, fraudulent disclosures, or other factors. Funds that may invest in lower-rated fixed-income securities, commonly referred to as junk securities, are riskier than funds that may invest in higher-rated fixed-income securities.

**Investment-grade fixed-income securities in the lowest rating category risk.** Investment-grade fixed-income securities in the lowest rating category (such as Baa by Moody's Investors Service, Inc. or BBB by S&P Global Ratings or Fitch Ratings, as applicable, and comparable unrated securities) involve a higher degree of risk than fixed-income securities in the higher rating categories. While such securities are considered investment-grade quality and are deemed to have adequate capacity for payment of principal and interest, such securities lack outstanding investment characteristics and have speculative characteristics as well. For example, changes in economic

conditions or other circumstances are more likely to lead to a weakened capacity to make principal and interest payments than is the case with higher-grade securities.

**Prepayment of principal risk.** Many types of debt securities, including floating-rate loans, are subject to prepayment risk. Prepayment risk is the risk that, when interest rates fall, certain types of obligations will be paid off by the borrower more quickly than originally anticipated and the fund may have to invest the proceeds in securities with lower yields. Securities subject to prepayment risk can offer less potential for gains when the credit quality of the issuer improves.

**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 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.

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**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.

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

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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.

**Foreign currency forward contracts.** Counterparty risk, liquidity risk (i.e., the inability to enter into closing transactions), foreign currency risk, and risk of disproportionate loss are the principal risks of engaging in transactions involving foreign currency forward contracts.

**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.

**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.

**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.

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The capacity of traditional dealers to engage in fixed-income trading has not kept pace with the bond market's growth. As a result, dealer inventories of corporate bonds, which indicate the ability to "make markets," i.e., buy or sell a security at the quoted bid and ask price, respectively, are at or near historic lows relative to market size. Because market makers provide stability to fixed-income markets, the significant reduction in dealer inventories could lead to decreased liquidity and increased volatility, which may become exacerbated during periods of economic or political stress.

**Lower-rated and high-yield fixed-income securities risk**

Lower-rated fixed-income securities are defined as securities rated below investment grade (such as Ba and below by Moody's Investors Service, Inc. and BB and below by S&P Global Ratings and Fitch Ratings, as applicable) (also called junk bonds). The general risks of investing in these securities are as follows:

**Risk to principal and income.** Investing in lower-rated fixed-income securities is considered speculative. While these securities generally provide greater income potential than investments in higher-rated securities, there is a greater risk that principal and interest payments will not be made. Issuers of these securities may even go into default or become bankrupt.

**Price volatility.** The price of lower-rated fixed-income securities may be more volatile than securities in the higher-rated categories. This volatility may increase during periods of economic uncertainty or change. The price of these securities is affected more than higher-rated fixed-income securities by the market's perception of their credit quality, especially during times of adverse publicity. In the past, economic downturns or increases in interest rates have, at times, caused more defaults by issuers of these securities and may do so in the future. Economic downturns and increases in interest rates have an even greater effect on highly leveraged issuers of these securities.

**Liquidity.** The market for lower-rated fixed-income securities may have more limited trading than the market for investment-grade fixed-income securities. Therefore, it may be more difficult to sell these securities, and these securities may have to be sold at prices below their market value in order to meet redemption requests or to respond to changes in market conditions.

**Dependence on manager's own credit analysis.** While a manager may rely on ratings by established credit rating agencies, it will also supplement such ratings with its own independent review of the credit quality of the issuer. Therefore, the assessment of the credit risk of lower-rated fixed-income securities is more dependent on the manager's evaluation than the assessment of the credit risk of higher-rated securities.

**Additional risks regarding lower-rated corporate fixed-income securities.** Lower-rated corporate fixed-income securities (and comparable unrated securities) tend to be more sensitive to individual corporate developments and changes in economic conditions than higher-rated corporate fixed-income securities. Issuers of lower-rated corporate fixed-income securities may also be highly leveraged, increasing the risk that principal and income will not be repaid.

**Additional risks regarding lower-rated foreign government fixed-income securities.** Lower-rated foreign government fixed-income securities are subject to the risks of investing in foreign countries described under "Foreign securities risk." In addition, the ability and willingness of a foreign government to make payments on debt when due may be affected by the prevailing economic and political conditions within the country. Emerging-market countries may experience high inflation, interest rates, and unemployment, as well as exchange-rate fluctuations which adversely affect trade and political uncertainty or instability. These factors increase the risk that a foreign government will not make payments when due.

**Master limited partnership (MLP) risk**

Investing in MLPs involves certain risks related to investing in the underlying assets of MLPs and risks associated with pooled investment vehicles. MLPs holding credit-related investments are subject to interest-rate risk and the risk of default on payment obligations by debt securities. In addition, investments in the debt and securities of MLPs involve certain other risks, including risks related to limited control and limited rights to vote on matters affecting MLPs, risks related to potential conflicts of interest between an MLP and the MLP's general partner, cash flow risks, dilution risks and risks related to the general partner's right to require unit-holders to sell their common units at an undesirable time or price. The fund's investments in MLPs may be subject to legal and other restrictions on resale or may be less liquid than publicly traded securities. Certain MLP securities may trade in lower volumes due to their smaller capitalizations, and may be subject to more abrupt or erratic price movements and may lack sufficient market liquidity to enable the fund to effect sales at an advantageous time or without a substantial drop in price. If the fund is one of the largest investors in an MLP, it may be more difficult for the fund to buy and sell significant amounts of such investments without an unfavorable impact on prevailing market prices. Larger purchases or sales of MLP investments by the fund in a short period of time may cause abnormal movements in the market price of these investments. As a result, these investments may be difficult to dispose of at an advantageous price when the fund desires to do so. During periods of interest rate volatility, these investments may not provide attractive returns, which may adversely impact the overall performance of the fund.

MLPs in which the fund may invest operate oil, natural gas, petroleum, or other facilities within the energy sector. As a result, the fund will be susceptible to adverse economic, environmental, or regulatory occurrences impacting the energy sector. MLPs and other companies operating in the energy sector are subject to specific risks, including, among others, fluctuations in commodity prices; reduced consumer demand for commodities such as oil, natural gas, or petroleum products; reduced availability of natural gas or other commodities for transporting, processing, storing, or delivering; slowdowns in new construction; extreme weather or other natural disasters; and threats of attack by terrorists on energy assets. Additionally, changes in the regulatory environment for energy companies may adversely impact their profitability. Over time, depletion of natural gas reserves and other energy reserves may also affect the profitability of energy companies.

Global oil prices declined significantly at the beginning of 2020 and have experienced significant price volatility, including a period where an

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oil-price futures contract fell into negative territory for the first time in history, as demand for oil slowed and oil storage facilities reached their storage capacities. Varying levels of demand and production and continued oil price volatility may continue to adversely impact MLPs and energy infrastructure companies.

**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.

**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.

**State/region risk**

To the extent that the fund invests heavily in bonds from any given state or region, its performance could be disproportionately affected by factors particular to that state or region. These may include economic or policy changes, erosion of the tax base, and state legislative changes (especially those regarding budgeting and taxes).

**Warrants risk**

Warrants are rights to purchase securities at specific prices and are valid for a specific period of time. Warrant prices do not necessarily move parallel to the prices of the underlying securities, and warrant holders receive no dividends and have no voting rights or rights with respect to the assets of an issuer. The price of a warrant may be more volatile than the price of its underlying security, and a warrant may offer greater potential for capital appreciation as well as capital loss. Warrants cease to have value if not exercised prior to the expiration date. These factors can make warrants more speculative than other types of investments.

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**Who's who**

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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** 

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 December 31, 2025, the advisor had total assets under management of approximately $172.0 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 on such performance to the Board of Trustees. The advisor employs a team of investment professionals who provide these ongoing research and monitoring services.

**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.

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| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 500 million | 0.800 |
| Next 500 million | 0.750 |
| Next 1 billion | 0.735 |
| Over 2 billion | 0.725 |

---

During its most recent fiscal period, the fund paid the advisor a management fee equal to 0.77% 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 October 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** 

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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 December 31, 2025, had total assets under management of approximately $250.64 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.

**Susan A. Curry**

● Senior Portfolio Manager

● Managed the fund since 2006

● Joined Manulife IM (US) in 1998

**Ryan P. Lentell, CFA**

● Portfolio Manager

● Managed the fund since 2015

● Joined Manulife IM (US) in 2008

**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**

**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**

**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**

**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.

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**Financial highlights**

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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 October 31, 2025, 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 October 31, 2025, has been incorporated by reference into the SAI. Copies of the fund's most recent Form N-CSR filing are available upon request.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Regional Bank Fund Class A Shares** | **Regional Bank Fund Class A Shares** | **Regional Bank Fund Class A Shares** | **Regional Bank Fund Class A Shares** | **Regional Bank Fund Class A Shares** | **Regional Bank Fund Class A Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.64** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.80** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.71** | &nbsp;&nbsp;&nbsp;&nbsp; **$34.06** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.47** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.50 | &nbsp;&nbsp;&nbsp;&nbsp;0.54 | &nbsp;&nbsp;&nbsp;&nbsp;0.57 | &nbsp;&nbsp;&nbsp;&nbsp;0.42 | &nbsp;&nbsp;&nbsp;&nbsp;0.42 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.17 | &nbsp;&nbsp;&nbsp;&nbsp;9.97 | &nbsp;&nbsp;&nbsp;&nbsp; (8.82)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (3.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp;14.66 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.67** | &nbsp;&nbsp;&nbsp;&nbsp;**10.51** | &nbsp;&nbsp;&nbsp;&nbsp; **(8.25)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.60)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**15.08** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.49)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.58)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.54)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.44)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.41)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (2.24)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.12)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.31)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.73)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.67)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.66)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.75)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.49)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$28.58** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.64** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.80** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.71** | &nbsp;&nbsp;&nbsp;&nbsp; **$34.06** |
| **Total return (%)**<sup>2,3</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**5.76** | &nbsp;&nbsp;&nbsp;&nbsp;**53.63** | &nbsp;&nbsp;&nbsp;&nbsp; **(28.79)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(7.79)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**78.08** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $566 | &nbsp;&nbsp;&nbsp;&nbsp; $593 | &nbsp;&nbsp;&nbsp;&nbsp; $449 | &nbsp;&nbsp;&nbsp;&nbsp; $724 | &nbsp;&nbsp;&nbsp;&nbsp; $839 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.23 | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.23 | &nbsp;&nbsp;&nbsp;&nbsp;1.22 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.20 | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.22 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;1.72 | &nbsp;&nbsp;&nbsp;&nbsp;2.15 | &nbsp;&nbsp;&nbsp;&nbsp;2.39 | &nbsp;&nbsp;&nbsp;&nbsp;1.36 | &nbsp;&nbsp;&nbsp;&nbsp;1.41 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 5 | &nbsp;&nbsp;&nbsp;&nbsp; 3 | &nbsp;&nbsp;&nbsp;&nbsp; 7 | &nbsp;&nbsp;&nbsp;&nbsp; 11 | &nbsp;&nbsp;&nbsp;&nbsp; 10 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | |
|:---|:---|
| **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. |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Regional Bank Fund Class C Shares** | **Regional Bank Fund Class C Shares** | **Regional Bank Fund Class C Shares** | **Regional Bank Fund Class C Shares** | **Regional Bank Fund Class C Shares** | **Regional Bank Fund Class C Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$27.89** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.67** | &nbsp;&nbsp;&nbsp;&nbsp; **$28.09** | &nbsp;&nbsp;&nbsp;&nbsp; **$32.28** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.46** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.27 | &nbsp;&nbsp;&nbsp;&nbsp;0.35 | &nbsp;&nbsp;&nbsp;&nbsp;0.37 | &nbsp;&nbsp;&nbsp;&nbsp;0.19 | &nbsp;&nbsp;&nbsp;&nbsp;0.20 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.11 | &nbsp;&nbsp;&nbsp;&nbsp;9.37 | &nbsp;&nbsp;&nbsp;&nbsp; (8.31)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.86)<br>| &nbsp;&nbsp;&nbsp;&nbsp;13.91 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.38** | &nbsp;&nbsp;&nbsp;&nbsp;**9.72** | &nbsp;&nbsp;&nbsp;&nbsp; **(7.94)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.67)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**14.11** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.28)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.41)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.36)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.21)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.21)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (2.24)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.12)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.31)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.52)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.50)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.48)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.52)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.29)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$26.75** | &nbsp;&nbsp;&nbsp;&nbsp; **$27.89** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.67** | &nbsp;&nbsp;&nbsp;&nbsp; **$28.09** | &nbsp;&nbsp;&nbsp;&nbsp; **$32.28** |
| **Total return (%)**<sup>2,3</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**4.99** | &nbsp;&nbsp;&nbsp;&nbsp;**52.46** | &nbsp;&nbsp;&nbsp;&nbsp; **(29.30)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(8.46)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**76.91** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $31 | &nbsp;&nbsp;&nbsp;&nbsp; $46 | &nbsp;&nbsp;&nbsp;&nbsp; $54 | &nbsp;&nbsp;&nbsp;&nbsp; $108 | &nbsp;&nbsp;&nbsp;&nbsp; $123 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.96 | &nbsp;&nbsp;&nbsp;&nbsp;1.97 | &nbsp;&nbsp;&nbsp;&nbsp;1.96 | &nbsp;&nbsp;&nbsp;&nbsp;1.94 | &nbsp;&nbsp;&nbsp;&nbsp;1.93 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.95 | &nbsp;&nbsp;&nbsp;&nbsp;1.96 | &nbsp;&nbsp;&nbsp;&nbsp;1.96 | &nbsp;&nbsp;&nbsp;&nbsp;1.93 | &nbsp;&nbsp;&nbsp;&nbsp;1.92 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;0.99 | &nbsp;&nbsp;&nbsp;&nbsp;1.48 | &nbsp;&nbsp;&nbsp;&nbsp;1.64 | &nbsp;&nbsp;&nbsp;&nbsp;0.66 | &nbsp;&nbsp;&nbsp;&nbsp;0.70 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 5 | &nbsp;&nbsp;&nbsp;&nbsp; 3 | &nbsp;&nbsp;&nbsp;&nbsp; 7 | &nbsp;&nbsp;&nbsp;&nbsp; 11 | &nbsp;&nbsp;&nbsp;&nbsp; 10 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **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. |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Regional Bank Fund Class I Shares** | **Regional Bank Fund Class I Shares** | **Regional Bank Fund Class I Shares** | **Regional Bank Fund Class I Shares** | **Regional Bank Fund Class I Shares** | **Regional Bank Fund Class I Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.60** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.78** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.70** | &nbsp;&nbsp;&nbsp;&nbsp; **$34.05** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.45** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.57 | &nbsp;&nbsp;&nbsp;&nbsp;0.61 | &nbsp;&nbsp;&nbsp;&nbsp;0.63 | &nbsp;&nbsp;&nbsp;&nbsp;0.51 | &nbsp;&nbsp;&nbsp;&nbsp;0.50 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.19 | &nbsp;&nbsp;&nbsp;&nbsp;9.95 | &nbsp;&nbsp;&nbsp;&nbsp; (8.82)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (3.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp;14.67 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.76** | &nbsp;&nbsp;&nbsp;&nbsp;**10.56** | &nbsp;&nbsp;&nbsp;&nbsp; **(8.19)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.51)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**15.17** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.57)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.65)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.61)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.53)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.49)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (2.24)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.12)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.31)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.81)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.74)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.73)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.84)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.57)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$28.55** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.60** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.78** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.70** | &nbsp;&nbsp;&nbsp;&nbsp; **$34.05** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**6.07** | &nbsp;&nbsp;&nbsp;&nbsp;**54.00** | &nbsp;&nbsp;&nbsp;&nbsp; **(28.61)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(7.52)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**78.68** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $185 | &nbsp;&nbsp;&nbsp;&nbsp; $198 | &nbsp;&nbsp;&nbsp;&nbsp; $178 | &nbsp;&nbsp;&nbsp;&nbsp; $360 | &nbsp;&nbsp;&nbsp;&nbsp; $345 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.96 | &nbsp;&nbsp;&nbsp;&nbsp;0.97 | &nbsp;&nbsp;&nbsp;&nbsp;0.96 | &nbsp;&nbsp;&nbsp;&nbsp;0.94 | &nbsp;&nbsp;&nbsp;&nbsp;0.93 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.95 | &nbsp;&nbsp;&nbsp;&nbsp;0.96 | &nbsp;&nbsp;&nbsp;&nbsp;0.96 | &nbsp;&nbsp;&nbsp;&nbsp;0.93 | &nbsp;&nbsp;&nbsp;&nbsp;0.92 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;1.97 | &nbsp;&nbsp;&nbsp;&nbsp;2.44 | &nbsp;&nbsp;&nbsp;&nbsp;2.63 | &nbsp;&nbsp;&nbsp;&nbsp;1.66 | &nbsp;&nbsp;&nbsp;&nbsp;1.68 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 5 | &nbsp;&nbsp;&nbsp;&nbsp; 3 | &nbsp;&nbsp;&nbsp;&nbsp; 7 | &nbsp;&nbsp;&nbsp;&nbsp; 11 | &nbsp;&nbsp;&nbsp;&nbsp; 10 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |

---

**18**

------

Fund details

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Regional Bank Fund Class R6 Shares** | **Regional Bank Fund Class R6 Shares** | **Regional Bank Fund Class R6 Shares** | **Regional Bank Fund Class R6 Shares** | **Regional Bank Fund Class R6 Shares** | **Regional Bank Fund Class R6 Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.61** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.78** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.70** | &nbsp;&nbsp;&nbsp;&nbsp; **$34.05** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.45** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.60 | &nbsp;&nbsp;&nbsp;&nbsp;0.64 | &nbsp;&nbsp;&nbsp;&nbsp;0.64 | &nbsp;&nbsp;&nbsp;&nbsp;0.57 | &nbsp;&nbsp;&nbsp;&nbsp;0.51 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.18 | &nbsp;&nbsp;&nbsp;&nbsp;9.95 | &nbsp;&nbsp;&nbsp;&nbsp; (8.81)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (3.05)<br>| &nbsp;&nbsp;&nbsp;&nbsp;14.69 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.78** | &nbsp;&nbsp;&nbsp;&nbsp;**10.59** | &nbsp;&nbsp;&nbsp;&nbsp; **(8.17)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.48)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**15.20** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.60)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.67)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.63)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.56)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.52)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (2.24)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.12)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.31)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.84)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.76)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.75)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.87)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.60)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$28.55** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.61** | &nbsp;&nbsp;&nbsp;&nbsp; **$19.78** | &nbsp;&nbsp;&nbsp;&nbsp; **$29.70** | &nbsp;&nbsp;&nbsp;&nbsp; **$34.05** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**6.15** | &nbsp;&nbsp;&nbsp;&nbsp;**54.21** | &nbsp;&nbsp;&nbsp;&nbsp; **(28.53)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(7.43)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**78.86** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $7 | &nbsp;&nbsp;&nbsp;&nbsp; $8 | &nbsp;&nbsp;&nbsp;&nbsp; $7 | &nbsp;&nbsp;&nbsp;&nbsp; $7 | &nbsp;&nbsp;&nbsp;&nbsp; $20 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.84 | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.82 | &nbsp;&nbsp;&nbsp;&nbsp;0.82 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;2.06 | &nbsp;&nbsp;&nbsp;&nbsp;2.53 | &nbsp;&nbsp;&nbsp;&nbsp;2.74 | &nbsp;&nbsp;&nbsp;&nbsp;1.85 | &nbsp;&nbsp;&nbsp;&nbsp;1.69 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 5 | &nbsp;&nbsp;&nbsp;&nbsp; 3 | &nbsp;&nbsp;&nbsp;&nbsp; 7 | &nbsp;&nbsp;&nbsp;&nbsp; 11 | &nbsp;&nbsp;&nbsp;&nbsp; 10 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | 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 and Class C 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:

&nbsp;&nbsp;&nbsp;&nbsp;● The plan currently holds assets in Class A shares of the fund or any John Hancock fund;

&nbsp;&nbsp;&nbsp;&nbsp;● 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;

&nbsp;&nbsp;&nbsp;&nbsp;● 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

&nbsp;&nbsp;&nbsp;&nbsp;● 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"):

&nbsp;&nbsp;&nbsp;&nbsp;● 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.

&nbsp;&nbsp;&nbsp;&nbsp;● Retirement and other benefit plans

&nbsp;&nbsp;&nbsp;&nbsp;● Endowment funds, foundations, donor advised funds, and other charitable entities

&nbsp;&nbsp;&nbsp;&nbsp;● Any state, county, or city, or its instrumentality, department, authority, or agency

&nbsp;&nbsp;&nbsp;&nbsp;● Accounts registered to insurance companies, trust companies, and bank trust departments

&nbsp;&nbsp;&nbsp;&nbsp;● Any entity that is considered a corporation for tax purposes

&nbsp;&nbsp;&nbsp;&nbsp;● Investment companies, both affiliated and not affiliated with the advisor

&nbsp;&nbsp;&nbsp;&nbsp;● 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 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 minimum initial investment requirement for purchases of Class R6 shares. (See "Opening an account.")

&nbsp;&nbsp;&nbsp;&nbsp;● 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)

&nbsp;&nbsp;&nbsp;&nbsp;● Endowment funds, foundations, donor advised funds, and other charitable entities

&nbsp;&nbsp;&nbsp;&nbsp;● Any state, county, or city, or its instrumentality, department, authority, or agency

&nbsp;&nbsp;&nbsp;&nbsp;● 403(b) plans and 457 plans, including 457(a) governmental entity plans and tax-exempt plans

&nbsp;&nbsp;&nbsp;&nbsp;● Accounts registered to insurance companies, trust companies, and bank trust departments

&nbsp;&nbsp;&nbsp;&nbsp;● Investment companies, both affiliated and not affiliated with the advisor

&nbsp;&nbsp;&nbsp;&nbsp;● Any entity that is considered a corporation for tax purposes, including corporate nonqualified deferred compensation plans of such corporations

&nbsp;&nbsp;&nbsp;&nbsp;● Trustees, employees of the advisor or its affiliates, employees of the

**20**

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Your account

subadvisor, members of the fund's portfolio management team and the spouses and children (under age 21) of the aforementioned

&nbsp;&nbsp;&nbsp;&nbsp;● 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 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.*

**Additional payments to financial intermediaries**

Class A and Class C shares of the fund are primarily sold through financial intermediaries, such as brokers, banks, registered 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

**21**

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Your account

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 ($)** | &nbsp;&nbsp;&nbsp;&nbsp; **As a % of**<br> **offering price\***<br>| &nbsp;&nbsp;&nbsp;&nbsp; **As a % of**<br> **your investment**<br>|
| Up to 49,999 | 5.00 | 5.26 |
| 50000–99999 | 4.50 | 4.71 |
| 100000–249999 | 3.50 | 3.63 |
| 250000–499999 | 2.50 | 2.56 |
| 500000–999999 | 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 (%)** |
| 1<sup>st</sup> year | 1.00 |
| After 1<sup>st</sup> year |  |

---

*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.*

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 (%)** |
| 1<sup>st</sup> year | 1.00 |
| After 1<sup>st</sup> year |  |

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*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

**22**

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Your account

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

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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."**

**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

● 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

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Your account

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

● 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. 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 | &nbsp;&nbsp; $1,000 ($250 for group investments). However, there is <br> no minimum initial investment for certain group <br> retirement plans using salary deduction or similar group <br> methods of payment, for fee-based or wrap accounts of <br> selling firms that have executed a fee-based or wrap <br> agreement with the distributor, or for certain other <br> eligible investment product platforms. <br>|

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Your account

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| | |
|:---|:---|
| **Share Class** | **Minimum initial investment** |
| Class I | &nbsp;&nbsp; $250,000. However, the minimum initial investment <br> requirement may be waived, at the fund's sole discretion, <br> for investors in certain fee-based, wrap, or other <br> investment platform programs, or in certain brokerage <br> platforms where the intermediary is acting solely as an <br> agent for the investor. The fund also may waive the <br> minimum initial investment for other categories of <br> investors at its discretion, including for Trustees, <br> employees of the advisor or its affiliates, employees of <br> the subadvisor, members of the fund's portfolio <br> management team and the spouses and children (under <br> age 21) of the aforementioned.<br>|
| Class R6 | &nbsp;&nbsp; $1 million. However, there is no minimum initial <br> investment requirement for: (i) qualified and <br> nonqualified plan investors; (ii) certain eligible qualifying <br> investment product platforms; or (iii) Trustees, <br> employees of the advisor or its affiliates, employees of <br> the subadvisor, members of the fund's portfolio <br> management team and the spouses and children (under <br> age 21) of the aforementioned.<br>|

---

**4**

All 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.

**5**

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.

**6**

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 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.

**25**

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**Buying shares**

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**Class A and Class C shares** 

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| | |
|:---|:---|
| **Opening an account** | **Adding to an account** |
| **By check** | **By check** |
| ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Deliver the check and your completed application to your financial <br> professional or mail them to Signature Services (address below).<br>| &nbsp;&nbsp; ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Include a note specifying the fund name, the share class, your account <br> number, and the name(s) in which the account is registered.<br> ●Deliver the check and your note to your financial professional, or mail <br> them to Signature Services (address below).<br>|
| **By exchange** | **By exchange** |
| ●Call your financial professional or Signature Services to request an <br> exchange.<br>| &nbsp;&nbsp; ●Log on to the website below to process exchanges between funds.<br> ●Call EASI-Line for automated service.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| **By wire** | **By wire** |
| ●Deliver your completed application to your financial professional or <br> mail it to Signature Services.<br> ●Obtain your account number by calling your financial professional or <br> Signature Services.<br> ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>| &nbsp;&nbsp; ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>|
| **By internet** | **By internet** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the Automated <br> Clearing House (ACH) system.<br> ●Complete the "Bank information" section on your account application.<br> ●Log on to the website below to initiate purchases using your authorized <br> bank account.<br>|
| **By phone** | **By phone** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the ACH system.<br> ●Complete the "To purchase, exchange, or redeem shares via telephone" <br> and "Bank information" sections on your account application.<br> ●Call EASI-Line for automated service.<br> ●Call your financial professional or call Signature Services between <br> 8:00 a.m. and 7:00 p.m., Monday–Thursday, and on Friday, between <br> 8:00 a.m. and 6:00 p.m., Eastern time.<br>|
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; *To add to an account using the Monthly Automatic Accumulation Program,* <br> *see "Additional investor services."*<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | | |
|:---|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **EASI-Line** | **Signature Services, Inc.** |
| John Hancock Signature<br> Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp; John Hancock Signature<br> Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | &nbsp;&nbsp;&nbsp; **(24/7 automated service)**<br> 800-338-8080<br>| 800-225-5291 |

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**26**

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Your account

**Buying shares**

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**Class I shares** 

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| | |
|:---|:---|
| **Opening an account** | **Adding to an account** |
| **By check** | **By check** |
| ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Deliver the check and your completed application to your financial <br> professional or mail them to Signature Services (address below).<br>| &nbsp;&nbsp; ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Include a note specifying the fund name, the share class, your account <br> number, and the name(s) in which the account is registered.<br> ●Deliver the check and your note to your financial professional, or mail <br> them to Signature Services (address below).<br>|
| **By exchange** | **By exchange** |
| ●Call your financial professional or Signature Services to request an <br> exchange.<br>| &nbsp;&nbsp; ●Log on to the website below to process exchanges between funds.<br> ●You may exchange Class I shares for other Class I shares or John <br> Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| **By wire** | **By wire** |
| ●Deliver your completed application to your financial professional or <br> mail it to Signature Services.<br> ●Obtain your account number by calling your financial professional or <br> Signature Services.<br> ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>| &nbsp;&nbsp; ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>|
| **By internet** | **By internet** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the Automated <br> Clearing House (ACH) system.<br> ●Complete the "Bank information" section on your account application.<br> ●Log on to the website below to initiate purchases using your authorized <br> bank account.<br>|
| **By phone** | **By phone** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the ACH system.<br> ●Complete the "To purchase, exchange, or redeem shares via telephone" <br> and "Bank information" sections on your account application.<br> ●Call your financial professional or call Signature Services between <br> 8:30 a.m. and 5:00 p.m., Eastern time, on most business days.<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**27**

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Your account

**Buying shares**

------

**Class R6 shares** 

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| | |
|:---|:---|
| **Opening an account** | **Adding to an account** |
| **By check** | **By check** |
| ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Deliver the check and your completed application to your financial <br> professional or mail them to Signature Services (address below).<br>| &nbsp;&nbsp; ●Make out a check for the investment amount, payable to "John Hancock <br> Signature Services, Inc."<br> ●Include a note specifying the fund name, the share class, your account <br> number, and the name(s) in which the account is registered.<br> ●Deliver the check and your note to your financial professional, or mail <br> them to Signature Services (address below).<br>|
| **By exchange** | **By exchange** |
| ●Call your financial professional or Signature Services to request an <br> exchange.<br>| &nbsp;&nbsp; ●Log on to the website below to process exchanges between funds.<br> ●You may exchange Class R6 shares for other Class R6 shares or John <br> Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| **By wire** | **By wire** |
| ●Deliver your completed application to your financial professional or <br> mail it to Signature Services.<br> ●Obtain your account number by calling your financial professional or <br> Signature Services.<br> ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>| &nbsp;&nbsp; ●Obtain wiring instructions by calling Signature Services.<br> ●Instruct your bank to wire the amount of your investment. Specify the <br> fund name, the share class, your account number, and the name(s) in <br> which the account is registered. Your bank may charge a fee to wire <br> funds.<br>|
| **By internet** | **By internet** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the Automated <br> Clearing House (ACH) system.<br> ●Complete the "Bank information" section on your account application.<br> ●Log on to the website below to initiate purchases using your authorized <br> bank account.<br>|
| **By phone** | **By phone** |
| ●See "By exchange" and "By wire." | &nbsp;&nbsp; ●Verify that your bank or credit union is a member of the ACH system.<br> ●Complete the "To purchase, exchange, or redeem shares via telephone" <br> and "Bank information" sections on your account application.<br> ●Call your financial professional or call Signature Services between <br> 8:30 a.m. and 5:00 p.m., Eastern time, on most business days.<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**28**

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Your account

**Selling shares**

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**Class A and Class C shares** 

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| | |
|:---|:---|
|  | **To sell some or all of your shares** |
| **By letter** | **By letter** |
| ●Accounts of any type<br> ●Sales of any amount<br>| &nbsp;&nbsp; ●Write a letter of instruction or complete a stock power indicating the <br> fund name, the share class, your account number, the name(s) in which <br> the account is registered, and the dollar value or number of shares you <br> wish to sell.<br> ●Include all signatures and any additional documents that may be <br> required (see the next page).<br> ●Mail the materials to Signature Services (address below).<br> ●A check will be mailed to the name(s) and address in which the account <br> is registered, or otherwise according to your letter of instruction.<br>|
| **By internet** | **By internet** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| ●Log on to the website below to initiate redemptions from your fund. |
| **By phone** | **By phone** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| &nbsp;&nbsp; ●Call EASI-Line for automated service.<br> ●Call your financial professional or call Signature Services between <br> 8:00 a.m. and 7:00 p.m., Monday–Thursday, and on Friday, between <br> 8:00 a.m. and 6:00 p.m., Eastern time.<br>|
| **By wire or electronic funds transfer (EFT)** | **By wire or electronic funds transfer (EFT)** |
| ●Requests by letter to sell any amount<br> ●Requests by internet or phone to sell up to $100,000<br>| &nbsp;&nbsp; ●To verify that the internet or telephone redemption privilege is in place <br> on an account, or to request the form to add it to an existing account, <br> call Signature Services.<br> ●A $15 fee will be deducted from your account. Your bank may also <br> charge a fee for this service.<br>|
| **By exchange** | **By exchange** |
| ●Accounts of any type<br> ●Sales of any amount | &nbsp;&nbsp; ●Obtain a current prospectus for the fund into which you are exchanging <br> by accessing the fund's website or by calling your financial professional <br> or Signature Services.<br> ●Log on to the website below to process exchanges between your funds.<br> ●Call EASI-Line for automated service.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|
| ●Accounts of any type<br> ●Sales of any amount | &nbsp;&nbsp; *To sell shares through a systematic withdrawal plan, see "Additional* <br> *investor services."*<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **EASI-Line** | **Signature Services, Inc.** |
| John Hancock Signature<br> Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp; John Hancock Signature<br> Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | &nbsp;&nbsp;&nbsp; **(24/7 automated service)**<br> 800-338-8080<br>| 800-225-5291 |

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**29**

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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 <br> for minors)<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signatures and titles of all persons authorized to sign <br> for the account, exactly as the account is registered<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners of corporate, sole proprietorship, general partner, or association <br> accounts<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●Corporate business/organization resolution, certified within the past <br> 12 months, or a John Hancock business/organization certification <br> form<br> ●On the letter and the resolution, the signature of the person(s) <br> authorized to sign for the account<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners or trustees of trust accounts | &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signature(s) of the trustee(s)<br> ●Copy of the trust document, certified within the past 12 months, or a <br> John Hancock trust certification form<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Joint tenancy shareholders with rights of survivorship with deceased <br> co-tenant(s)<br>| ●Letter of instruction signed by surviving tenant(s)<br> ●Copy of the death certificate<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Executors of shareholder estates | &nbsp;&nbsp; ●Letter of instruction signed by the executor<br> ●Copy of the order appointing executor, certified within the past <br> 12 months<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Administrators, conservators, guardians, and other sellers, or account <br> types not listed above<br>| ●Call Signature Services for instructions |

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| | | | | |
|:---|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **EASI-Line** | **Signature Services, Inc.** |
| John Hancock Signature<br> Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp; John Hancock Signature<br> Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | &nbsp;&nbsp;&nbsp; **(24/7 automated service)**<br> 800-338-8080<br>| 800-225-5291 |

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**Selling shares**

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**Class I shares** 

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| | |
|:---|:---|
|  | **To sell some or all of your shares** |
| **By letter** | **By letter** |
| ●Sales of any amount | &nbsp;&nbsp; ●Write a letter of instruction or complete a stock power indicating the <br> fund name, the share class, your account number, the name(s) in which <br> the account is registered, and the dollar value or number of shares you <br> wish to sell.<br> ●Include all signatures and any additional documents that may be <br> required (see the next page).<br> ●Mail the materials to Signature Services (address below).<br> ●A check will be mailed to the name(s) and address in which the account <br> is registered, or otherwise according to your letter of instruction.<br> ●Certain requests will require a Medallion signature guarantee. Please <br> refer to "Selling shares in writing" on the next page.<br>|
| **By internet** | **By internet** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| ●Log on to the website below to initiate redemptions from your fund. |
| **By phone** | **By phone** |
| **Amounts up to $100,000:** | &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| ●Most accounts | &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| **Amounts up to $5 million:** | &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| ●Available to the following types of accounts: custodial accounts held by <br> banks, trust companies, or broker-dealers; endowments and <br> foundations; corporate accounts; group retirement plans; and pension <br> accounts (excluding IRAs, 403(b) plans, and all John Hancock <br> custodial retirement accounts)<br>| &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or contact your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing." |
| **By wire or electronic funds transfer (EFT)** | **By wire or electronic funds transfer (EFT)** |
| ●Requests by letter to sell any amount<br> ●Qualified requests by phone to sell to $5 million (accounts with <br> telephone redemption privileges)<br>| &nbsp;&nbsp; ●To verify that the telephone redemption privilege is in place on an <br> account, or to request the form to add it to an existing account, call <br> Signature Services.<br> ●Amounts up to $100,000 may be sent by EFT or by check. Your bank <br> may charge a fee for this service.<br> ●Amounts of $5 million or more will be sent by wire.<br>|
| **By exchange** | **By exchange** |
| ●Sales of any amount | &nbsp;&nbsp; ●Obtain a current prospectus for the fund into which you are exchanging <br> by accessing the fund's website, or by calling your financial <br> professional or Signature Services.<br> ●You may only exchange Class I shares for other Class I shares or John <br> Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**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.

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| | |
|:---|:---|
| **Seller** | **Requirements for written requests** |
| Owners of individual, joint, or UGMA/UTMA accounts (custodial accounts <br> for minors)<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signatures and titles of all persons authorized to sign <br> for the account, exactly as the account is registered<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners of corporate, sole proprietorship, general partner, or association <br> accounts<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●Corporate business/organization resolution, certified within the past <br> 12 months, or a John Hancock business/organization certification <br> form<br> ●On the letter and the resolution, the signature of the person(s) <br> authorized to sign for the account<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners or trustees of trust accounts | &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signature(s) of the trustee(s)<br> ●Copy of the trust document, certified within the past 12 months, or a <br> John Hancock trust certification form<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Joint tenancy shareholders with rights of survivorship with deceased <br> co-tenant(s)<br>| ●Letter of instruction signed by surviving tenant(s)<br> ●Copy of the death certificate<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Executors of shareholder estates | &nbsp;&nbsp; ●Letter of instruction signed by the executor<br> ●Copy of the order appointing executor, certified within the past <br> 12 months<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Administrators, conservators, guardians, and other sellers, or account <br> types not listed above<br>| ●Call Signature Services for instructions |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**32**

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Your account

**Selling shares**

------

**Class R6 shares** 

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| | |
|:---|:---|
|  | **To sell some or all of your shares** |
| **By letter** | **By letter** |
| ●Sales of any amount | &nbsp;&nbsp; ●Write a letter of instruction or complete a stock power indicating the <br> fund name, the share class, your account number, the name(s) in which <br> the account is registered, and the dollar value or number of shares you <br> wish to sell.<br> ●Include all signatures and any additional documents that may be <br> required (see the next page).<br> ●Mail the materials to Signature Services (address below).<br> ●A check will be mailed to the name(s) and address in which the account <br> is registered, or otherwise according to your letter of instruction.<br> ●Certain requests will require a Medallion signature guarantee. Please <br> refer to "Selling shares in writing" on the next page.<br>|
| **By internet** | **By internet** |
| ●Most accounts<br> ●Sales of up to $100,000<br>| ●Log on to the website below to initiate redemptions from your fund. |
| **By phone** | **By phone** |
| **Amounts up to $5 million:**<br> ●Available to the following types of accounts: custodial accounts held by <br> banks, trust companies, or broker-dealers; endowments and <br> foundations; corporate accounts; and group retirement plans<br>| &nbsp;&nbsp; ●Redemption proceeds of up to $100,000 may be sent by wire or by <br> check. A check will be mailed to the exact name(s) and address on the <br> account.<br> ●To place your request with a representative at John Hancock, call <br> Signature Services between 8:30 a.m. and 5:00 p.m., Eastern time, on <br> most business days, or your financial professional.<br> ●Redemption proceeds exceeding $100,000 will be wired to your <br> designated bank account, unless a Medallion signature guaranteed <br> letter is provided requesting payment by check. Please refer to "Selling <br> shares in writing."<br>|
| **By wire or electronic funds transfer (EFT)** | **By wire or electronic funds transfer (EFT)** |
| ●Requests by letter to sell any amount<br> ●Qualified requests by phone to sell to $5 million (accounts with <br> telephone redemption privileges)<br>| &nbsp;&nbsp; ●To verify that the telephone redemption privilege is in place on an <br> account, or to request the form to add it to an existing account, call <br> Signature Services.<br> ●Amounts of $5 million or more will be sent by wire.<br> ●Amounts up to $100,000 may be sent by EFT or by check. Your bank <br> may charge a fee for this service.<br>|
| **By exchange** | **By exchange** |
| ●Sales of any amount | &nbsp;&nbsp; ●Obtain a current prospectus for the fund into which you are exchanging <br> by accessing the fund's website, or by calling your financial <br> professional or Signature Services.<br> ●You may only exchange Class R6 shares for other Class R6 shares or <br> John Hancock Money Market Fund Class A shares.<br> ●Call your financial professional or Signature Services to request an <br> exchange.<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**33**

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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 <br> for minors)<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signatures and titles of all persons authorized to sign <br> for the account, exactly as the account is registered<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners of corporate, sole proprietorship, general partner, or association <br> accounts<br>| &nbsp;&nbsp; ●Letter of instruction<br> ●Corporate business/organization resolution, certified within the past <br> 12 months, or a John Hancock business/organization certification <br> form<br> ●On the letter and the resolution, the signature of the person(s) <br> authorized to sign for the account<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Owners or trustees of trust accounts | &nbsp;&nbsp; ●Letter of instruction<br> ●On the letter, the signature(s) of the trustee(s)<br> ●Copy of the trust document, certified within the past 12 months, or a <br> John Hancock trust certification form<br> ●Medallion signature guarantee, if applicable (see above)<br>|
| Joint tenancy shareholders with rights of survivorship with deceased <br> co-tenant(s)<br>| ●Letter of instruction signed by surviving tenant(s)<br> ●Copy of the death certificate<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Executors of shareholder estates | &nbsp;&nbsp; ●Letter of instruction signed by the executor<br> ●Copy of the order appointing executor, certified within the past <br> 12 months<br> ●Medallion signature guarantee, if applicable (see above)<br> ●Inheritance tax waiver, if applicable<br>|
| Administrators, conservators, guardians, and other sellers, or account <br> types not listed above<br>| ●Call Signature Services for instructions |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Regular mail** | **Express delivery** | **Website** | **Signature Services, Inc.** |
| John Hancock Signature Services, Inc.<br> P.O. Box 219909<br> Kansas City, MO 64121-9909<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Hancock Signature Services, Inc.<br> 801 Pennsylvania Avenue<br> Suite 219909<br> Kansas City, MO 64105-1307<br>| jhinvestments.com | 800-225-5291 |

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**34**

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**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 (which may include realized and unrealized capital gain and income), 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 are typically valued based on daily published settlement prices. 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 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

**35**

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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.

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 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

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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 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

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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).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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.

**Dividends and account policies**

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**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:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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

Every year you should also receive, if applicable, a Form 1099 tax information statement, mailed by February 15.

**Dividends**

The fund typically declares and pays income dividends quarterly. Capital gains, if any, are typically distributed at least annually, typically after the end of the fund's fiscal year.

**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**

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**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.

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

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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.

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**Appendix 1 - Intermediary sales charge waivers**

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**Intermediary sales charge waivers**

**<u>Merrill Lynch, Pierce, Fenner & Smith Incorporated (Merrill)</u>** 

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

● 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

● 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

● On or about May 1, 2026, assets not held at Merrill will no longer be included in the ROA calculation. For more detail on the timing and calculation, please refer to the Merrill SLWD Supplement

● 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

● On or about May 1, 2026, Merrill will no longer accept new LOIs. For more detail on the timing, please refer to the Merrill SLWD Supplement

**<u>Ameriprise Financial Services, Inc. (Ameriprise Financial)</u>** 

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

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● Rights of accumulation (ROA), as described in this prospectus or the SAI

● Letter of intent, as described in this prospectus or the SAI

● 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

**<u>Morgan Stanley Smith Barney (Morgan Stanley)</u>** 

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

**<u>Raymond James & Associates, Inc., Raymond James Financial Services, Inc. and each entity's affiliates (Raymond James)</u>** 

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

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and the conversion is in line with the policies and procedures of Raymond James

**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

**<u>Edward D. Jones & Co., L.P. (Edward Jones)</u>** 

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.

**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,

**43**

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Your account

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):

&nbsp;&nbsp;&nbsp;&nbsp;● The redemption and repurchase occur in the same account.

&nbsp;&nbsp;&nbsp;&nbsp;● 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

**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.

**<u>Janney Montgomery Scott LLC (Janney)</u>** 

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

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● 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."

**<u>Robert W. Baird & Co. (Baird)</u>** 

Effective January 1, 2026, 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 within 90 days following a redemption from a John Hancock fund, provided (1) the redemption and purchase occur within the purchaser's Baird household and (2) the redeemed shares were subject to a front-end or deferred sales charge (known as rights of reinstatement)

● A shareholder in the fund's Class C shares will have their share 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

**<u>Stifel, Nicolaus & Company, Incorporated (Stifel)</u>** 

Effective May 1, 2025, shareholders purchasing or holding shares of John Hancock Funds, including existing fund shareholders, through a Stifel or affiliated platform that provides trade execution, clearance, and/or custody services, will be eligible for the following sales charge load waivers (including front-end sales charge waivers and contingent deferred, or back-end, (CDSC) sales charge waivers) and discounts, which may differ from those disclosed elsewhere in this prospectus or the fund's SAI.

**Rights of Accumulation** 

● Rights of accumulation (ROA) that entitle shareholders to breakpoint discounts on front-end sales charges will be calculated by Stifel based on the aggregated holding of eligible assets in John Hancock Investment Management held by accounts within the purchaser's household at Stifel. Ineligible assets include class A Money Market Funds not assessed a sales charge. Fund family assets not held at Stifel may be included in the calculation of ROA only if the shareholder notifies his or her financial advisor about such assets.

● 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.

**Class A Shares Front-End Sales Charge Waivers Available at Stifel** 

● Class C shares that have been held for more than seven (7) years may be converted to Class A shares or other front-end share class(es) of the same fund pursuant to Stifel's policies and procedures. To the extent that this prospectus elsewhere provides for a waiver with respect to the exchange or conversion of such shares following a shorter holding period, those provisions shall continue to apply.

● Shares purchased by employees and registered representatives of Stifel or its affiliates and their family members as designated by Stifel.

● Shares purchased in a Stifel fee-based advisory program, often referred to as a "wrap" program.

● Shares purchased through reinvestment of capital gains distributions

**45**

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Your account

and dividend reinvestment when purchasing shares of the same or other fund within John Hancock Investment Management.

● Shares purchased from the proceeds of redeemed shares of John Hancock Investment Management so long as the proceeds are from the sale of shares from an account with the same owner/beneficiary within 90 days of the purchase. For the absence of doubt, automated transactions (i.e. systematic purchases, including salary deferral transactions and withdrawals) and purchases made after shares are sold to cover Stifel Nicolaus' account maintenance fees are not eligible for rights of reinstatement.

● Shares from rollovers into Stifel from retirement plans to IRAs.

● 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 direction of Stifel. Stifel 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 this prospectus.

● 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.

● Charitable organizations and foundations, notably 501(c)(3) organizations.

**CDSC waivers on Class A and C shares purchased through Stifel** 

● Death or disability of the shareholder.

● Shares sold as part of a systematic withdrawal plan not to exceed 12% annually.

● 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.

● Shares acquired through a right of reinstatement.

● Shares sold to pay Stifel fees or costs in such cases where the transaction is initiated by Stifel.

● Shares exchanged or sold in a Stifel fee-based program.

**Share Class Conversions in Advisory Accounts** 

● Stifel continually looks to provide our clients with the lowest cost share class available based on account type. Stifel reserves the right to convert shares to the lowest cost share class available at Stifel upon transfer of shares into an advisory program.

**<u>J.P. MORGAN SECURITIES LLC</u>** 

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.

**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 the fund's prospectus or SAI still apply.

**46**

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Your account

**<u>WELLS FARGO CLEARING SERVICES, LLC AND WELLS FARGO ADVISORS FINANCIAL NETWORK, LLC (COLLECTIVELY, WELLS FARGO ADVISORS)</u>** 

**Wells Fargo Clearing Services, LLC operates a First Clearing business, but these rules are not intended to include First Clearing firms.** 

Effective April 1, 2026, clients of Wells Fargo Advisors purchasing fund shares through Wells Fargo Advisors are eligible for the following sales charge discounts (also referred to as "breakpoints") and waivers, which can differ from discounts and waivers described elsewhere in the prospectus or statement of additional information ("SAI"). In all instances, it is the investor's responsibility to inform Wells Fargo Advisors at the time of purchase of any relationship, holdings, or other facts qualifying the investor for discounts or waivers. Wells Fargo Advisors can ask for documentation supporting the qualification.

**Wells Fargo Advisors Class A share front-end sales charge waivers information** 

Wells Fargo Advisors clients purchasing or converting to Class A shares of the fund in a Wells Fargo Advisors brokerage account are entitled to a waiver of the front-end load in the following circumstances:

● Wells Fargo Advisors employee and employee-related accounts according to Wells Fargo Advisors' employee account linking rules. Legacy accounts and positions receiving affiliate discounts prior to the effective date will continue to receive discounts. Going forward employees of affiliate businesses will not be offered NAV

● Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

WellsTrade, the firm's online self-directed brokerage account, generally offers no-load share classes but there could be instances where a Class A share is offered without a front-end sales charge.

Unless specifically described above, other front-end load waivers are not available on mutual fund purchases through Wells Fargo Advisors.

**Wells Fargo Advisors Contingent Deferred Sales Charge information** 

● Contingent deferred sales charges (CDSC) imposed on fund redemptions will not be rebated based on future purchases

**Wells Fargo Advisors Class A front-end load discounts** 

Wells Fargo Advisors clients purchasing Class A shares of the fund through Wells Fargo Advisors brokerage accounts will follow the following aggregation rules for breakpoint discounts:

● Effective April 1, 2026, SEP or SIMPLE IRAs will not be aggregated as a group plan. They will aggregate with the client's personal accounts based on Social Security Number. Previously established SEP and SIMPLE IRAs may still be aggregated as a group plan

● Effective April 1, 2026, Employer-sponsored retirement plan (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans) accounts will aggregate with other plan accounts under the same Tax ID and will not be aggregated with other retirement plan accounts under a different Tax ID or personal accounts. For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, SIMPLE IRAs, SAR-SEPs or Keogh plans

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● Gift of shares will not be considered when determining breakpoint discounts

**47**

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For more information

The following documents are available that offer further information on the fund:

**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

**By EASI-Line:** 800-338-8080 for Class A and Class C shares

**By phone:** 800-225-5291

**By TTY:** Use your preferred technology and relay service, including "711" to contact us at 800-225-5291 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

**By email (duplicating fee required):** publicinfo@sec.gov

![](g29800paperlesslogo_1.jpg)

![](g29800imgcf7488d62.jpg)© 2026 John Hancock Investment Management Distributors LLC, Member FINRA, SIPC

200 Berkeley Street, Boston, MA 02116

800-225-5291, jhinvestments.com

Manulife, Manulife Investments, Stylized M Design, and Manulife Investments & Stylized M Design are trademarks of The Manufacturers Life Insurance Company and John Hancock, and the Stylized John Hancock Design are trademarks of John Hancock Life Insurance Company (U.S.A.). Each are used by it and by its affiliates under license.

SEC file number: 811-03999

010PN 3/1/26

------

![](g29800jhim_blk.gif)

**Prospectus**

John Hancock Investment Trust and

John Hancock Investment Trust II

Class NAV

March 1, 2026

---

| | |
|:---|:---|
|  | **Ticker** |
| **John Hancock Investment Trust** |  |
| John Hancock Disciplined Value International Fund | JDIVX |
| John Hancock Diversified Macro Fund |  |
| John Hancock Emerging Markets Equity Fund |  |
| John Hancock Fundamental Large Cap Core Fund | JLCNX |
| John Hancock Global Environmental Opportunities Fund |  |
| John Hancock Infrastructure Fund |  |
| John Hancock International Dynamic Growth Fund |  |
| John Hancock Small Cap Core Fund |  |
| **John Hancock Investment Trust II** |  |
| John Hancock Financial Industries Fund |  |

---

As with all mutual funds, the Securities and Exchange Commission and Commodity Futures Trading Commission have 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](#xx_9ad3036c-fc66-417f-a9d4-244d23273b1a__0)

------

---

| | |
|:---|:---|
| **[Fund summary](#xx_087fd168-4a35-4184-b2c7-ecbf57501eae_1)** |  |
| [John Hancock Disciplined Value International Fund](#xx_087fd168-4a35-4184-b2c7-ecbf57501eae_1) | **1** |
| [John Hancock Diversified Macro Fund](#xx_98b41a29-cb6a-487c-be5b-adff3e1d9bc7_1) | **5** |
| [John Hancock Emerging Markets Equity Fund](#xx_1d6e7b8f-bdf1-4576-ac8c-3e45c4dc2048_1) | **10** |
| [John Hancock Financial Industries Fund](#xx_efc3a6fc-e295-49fe-a012-be3240ce61d7_1) | **15** |
| [John Hancock Fundamental Large Cap Core Fund](#xx_409038c7-489b-4f1a-a662-de26fa75a81b_1) | **19** |
| [John Hancock Global Environmental Opportunities Fund](#xx_06771ef1-66f2-4bba-ad3c-b2abb0bcf9fd_1) | **23** |
| [John Hancock Infrastructure Fund](#xx_a9704d1f-1307-40d5-bca0-bb6b9759fa08_1) | **28** |
| [John Hancock International Dynamic Growth Fund](#xx_8075cdd2-9964-44bd-88c8-911790585ba3_1) | **33** |
| [John Hancock Small Cap Core Fund](#xx_81d30abc-ab1e-4b3d-a03a-6f843e07a44b_1) | **37** |
| [Principal investment strategies](#xx_119b0ebe-5a93-4c50-919e-64041fe8b18b_1) | **41** |
| [Principal risks of investing](#xx_119b0ebe-5a93-4c50-919e-64041fe8b18b_10) | **50** |
| [Who's who](#xx_119b0ebe-5a93-4c50-919e-64041fe8b18b_25) | **65** |
| [Financial highlights](#xx_d8c09645-0de8-4eee-9e1f-e3137048beb0_1) | **72** |
| [Who can buy shares](#xx_f058cae1-155e-476a-9091-98dfdbded760_1) | **79** |
| [Class cost structure](#xx_f058cae1-155e-476a-9091-98dfdbded760_1) | **79** |
| [Opening an account](#xx_f058cae1-155e-476a-9091-98dfdbded760_1) | **79** |
| [Transaction policies](#xx_f058cae1-155e-476a-9091-98dfdbded760_1) | **79** |
| [Dividends and account policies](#xx_f058cae1-155e-476a-9091-98dfdbded760_4) | **82** |
| [Additional investor services](#xx_f058cae1-155e-476a-9091-98dfdbded760_5) | **83** |
| **[For more information](#xx_8635c020-852b-40f1-a739-637548499882_3)** | **See back cover** |

---

------

Fund summary

------

John Hancock Disciplined Value International Fund

**Investment objective**

------

To seek long-term capital growth.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.67 |
| Other expenses | 0.07 |
| **Total annual fund operating expenses** | **0.74** |
| Contractual expense reimbursement | -0.01<br> <sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.73** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 75 |
| 3 years | 236 |
| 5 years | 410 |
| 10 years | 917 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 81% of the average value of its portfolio.

**Principal investment strategies**

------

The fund pursues its investment objective by investing, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in a portfolio of equity and equity-related securities issued by non-U.S. companies of any capitalization size. The fund may invest in all types of equity and equity-related securities, including, without limitation, exchange-traded and over-the-counter common and preferred stocks, warrants, options, rights, convertible securities, sponsored and unsponsored depositary receipts and shares, trust certificates, participatory notes, limited

**1**

------

Fund summary

partnership interests, shares of other investment companies (including exchange-traded funds (ETFs)), real estate investment trusts (REITs), and equity participations. Equity participations are loans that give the lender a portion of equity ownership in a property, in addition to principal and interest payments. A convertible security is a bond, debenture, note, preferred stock, or other security that may be converted into or exchanged for a prescribed amount of common stock of the same or a different issuer within a particular period of time at a specified price or formula.

The fund defines non-U.S. companies as companies: (i) that are organized under the laws of a foreign country; (ii) whose principal trading market is in a foreign country; or (iii) that have a majority of their assets, or that derive a significant portion of their revenue or profits, from businesses, investments, or sales outside of the United States. The fund's non-U.S. investments, which may be denominated in U.S. or foreign currencies, primarily focus on developed markets, but may include emerging- and frontier-market investments.

The fund generally invests in the equity securities of issuers the manager believes are undervalued. The manager applies a bottom-up stock selection process using a combination of fundamental and quantitative analysis of issuer-specific factors such as price-to-book value, price-to-sales and earnings ratios, dividend yields, strength of management, and cash flow.

The fund may invest in derivatives. Derivatives may be used to reduce risk, obtain efficient market exposure, and/or enhance investment returns, and may include put and call options, futures, forward contracts, and swaps. The fund may invest up to 15% of its net assets in illiquid securities and may participate as a purchaser in Initial Public Offerings (IPOs). The fund may also seek to increase its income by lending portfolio securities.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Credit and counterparty risk.** The counterparty to an over-the-counter derivatives contract or a borrower of fund securities may not make timely payments or otherwise honor its obligations.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**Exchange-traded funds (ETFs) risk.** The risks of owning shares of an ETF include the risks of owning the underlying securities the ETF holds. Lack of liquidity in an ETF could result in the ETF being more volatile than its underlying securities. An ETF's shares could trade at a significant premium or discount to its net asset value (NAV). A fund bears ETF fees and expenses indirectly.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets. 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.

**Frontier-market risk.** Frontier-market countries generally have smaller economies and less-developed capital markets and political systems than traditional emerging-market countries, which magnifies emerging-market risks.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, options, and swaps. Foreign currency forward contracts, futures contracts, options, and swaps generally are subject to counterparty risk. In addition, swaps may be subject to interest-rate and settlement risk, and the risk of default of the underlying reference obligation. Derivatives associated with foreign currency transactions are subject to currency risk.

**Illiquid and restricted securities risk.** Illiquid and restricted securities may be difficult to value and may involve greater risks than liquid securities. Illiquidity may have an adverse impact on a particular security's market price and the fund's ability to sell the security.

**2**

------

Fund summary

**Initial public offerings (IPOs) risk.** IPO share prices are frequently volatile and may significantly impact fund performance.

**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.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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.

**Master limited partnership (MLP) risk.** MLPs generally reflect the risks associated with their underlying assets and with pooled investment vehicles. MLPs with credit-related holdings are subject to interest-rate risk and risk of default.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Participatory notes risk.** Participatory notes (p-notes) represent interests in securities listed on certain foreign exchanges. Due to transaction costs and other expenses, p-notes will not replicate exactly the performance of their underlying securities. P-notes are general unsecured contractual obligations of the financial institutions issuing the notes and are subject to liquidity risk and a high degree of counterparty risk.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**Real estate investment trust (REIT) risk.** REITs, pooled investment vehicles that typically invest in real estate directly or in loans collateralized by real estate, carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Securities lending risk.** Securities lending involves a possible delay in recovery of the loaned securities or a possible loss of rights in the collateral if the borrower fails financially. The fund could also lose money if the value of the collateral decreases.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Value investment style risk.** Value securities may underperform the market as a whole, which may cause value-oriented funds to underperform equity funds with other investment strategies. Securities the manager believes are undervalued may never perform as expected.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**3**

------

Fund summary

**Calendar year total returns (%)—Class NAV**

![](g29800imgbf33119d1.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q4 2022 | 20.59% |
| **Worst quarter:** | Q1 2020 | -26.78% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class NAV** (before tax) | 40.50 | &nbsp;&nbsp;&nbsp;&nbsp;12.44 | &nbsp;&nbsp;&nbsp;&nbsp;8.31 |
| after tax on distributions | 37.08 | &nbsp;&nbsp;&nbsp;&nbsp;10.19 | &nbsp;&nbsp;&nbsp;&nbsp;6.73 |
| after tax on distributions, with sale | 25.28 | &nbsp;&nbsp;&nbsp;&nbsp;9.07 | &nbsp;&nbsp;&nbsp;&nbsp;6.06 |
| MSCI EAFE Index (reflects no deduction for fees, expenses, or taxes, except foreign withholding taxes on dividends) | 31.22 | &nbsp;&nbsp;&nbsp;&nbsp;8.92 | &nbsp;&nbsp;&nbsp;&nbsp;8.18 |

---

**Investment management**

------

**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Boston Partners Global Investors, Inc.

**Portfolio management**

------

The following individuals are jointly and primarily responsible for the day-to-day management of the fund's portfolio.

---

| | | |
|:---|:---|:---|
| **Christopher K. Hart, CFA** | **Joshua M. Jones, CFA** | **Soyoun Song** |
| *Portfolio Manager*<br> Managed the fund and the<br> predecessor fund since 2011<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund and the<br> predecessor fund since 2013<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2024<br>|

---

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**4**

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Fund summary

John Hancock Diversified Macro Fund

**Investment objective**

------

To seek long-term capital appreciation.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 1.18 |
| Other expenses | 0.08 |
| **Total annual fund operating expenses** | **1.26** |
| Contractual expense reimbursement | -0.01 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **1.25** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 127 |
| 3 years | 399 |
| 5 years | 691 |
| 10 years | 1522 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 0% of the average value of its portfolio.

**Principal investment strategies**

------

The fund pursues its investment objective by utilizing a multi-asset, quantitatively driven investment strategy that seeks to provide exposure to diversified sources of return. The fund's investment strategy is an active, long and short strategy that utilizes fundamental and price-based indicators to establish return forecasts across a broad range of asset classes globally. The investment strategy is expected to incorporate a variety of directional

**5**

------

Fund summary

(market specific) and cross sectional (multiple market) sub-models, currently including models that generate macro fundamental forecasts, assess yield and earnings differentials, compare current valuations relative to historic fair value, and analyze directional price trends across markets.

The investment strategy utilizes multiple alpha sources adapted to different market regimes and price behavior. The manager will allocate the fund's assets across a range of asset classes comprising equities, fixed income, foreign currencies, and commodities. Exposure to these asset classes will be implemented by investing in derivative instruments, including futures (including equity index futures, interest rate futures, bond futures and commodity futures) and foreign currency forward contracts. Assets classes, markets and contracts included in the investment strategy will be added, removed or modified as new and existing sub-models and alpha sources are updated from time to time.

Quantitative risk management and portfolio construction techniques will be employed to control exposure across individual markets and sectors in an effort to enhance returns as well as to maintain the fund's diversification and volatility objectives. The fund is actively managed and the fund's asset class exposures will vary over time based on the manager's proprietary investment models and, in part, on maintaining portfolio diversification. The fund, on average, will target a long-term (i.e., a variable multi-year period) annualized volatility of approximately 8%. Volatility is a statistical measurement of the dispersion of returns of a security or fund or index. The fund's actual or realized volatility level for longer or shorter periods of time may be materially higher or lower depending on market conditions.

The fund is generally intended to have a low correlation to the equity and bond markets. The fund is not designed to match the performance of any hedge fund index or benchmark and may be characterized as "macro" or "multi-asset" in nature.

The fund's use of derivatives will have the economic effect of financial leverage. Financial leverage magnifies exposure to the swings in prices of an asset class underlying an instrument and results in increased volatility, which means the fund will have the potential for greater gains as well as the potential for greater losses than if the fund does not use instruments that have a leveraging effect.

Due to the fund's use of derivative instruments such as futures, foreign currency futures and forward contracts, a significant portion of the fund's assets will be invested directly or indirectly in money market instruments, which may include U.S. Government securities, U.S. Government agency securities, overnight and/or fixed-term repurchase agreements, money market mutual fund shares and cash and cash equivalents for use as margin or collateral for these derivative instruments. Such investments may generate income for the fund.

*Investment in the Subsidiary*. The fund may gain exposure to the commodities markets by investing up to 25% of its total assets in a wholly-owned subsidiary of the fund organized as a company under the laws of the Cayman Islands: John Hancock Diversified Macro Offshore Subsidiary Fund, Ltd. (the Subsidiary). The Subsidiary is advised by the subadvisor, under the supervision of the advisor, and seeks to gain commodities exposure.

The Subsidiary primarily obtains its commodity exposure by investing in commodity-linked derivative instruments, which may include but are not limited to total return swaps, commodity (U.S. or foreign) futures and commodity-linked notes. Neither the fund nor the Subsidiary intends to invest directly in physical commodities. The Subsidiary may also invest in other instruments, including fixed-income securities, either as investments or to serve as margin or collateral for its swap positions, and foreign currency transactions (including forward contracts).

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Asset allocation risk.** Although allocation among asset categories generally limits exposure to any one category, the management team may favor a category that performs poorly relative to the others.

**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 objective and may negatively impact the fund's performance.

**Commodity risk.** Commodity prices may be volatile due to fluctuating demand, supply disruption, speculation, and other factors. Certain commodity investments may have no active trading market at times.

**Credit and counterparty risk.** The issuer or guarantor of a fixed-income security, the counterparty to an over-the-counter derivatives contract, or a borrower of fund securities may not make timely payments or otherwise honor its obligations. U.S. government securities are subject to varying degrees of credit risk depending upon the nature of their support. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact

**6**

------

Fund summary

performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**Fixed-income securities risk.** A rise in interest rates typically causes bond prices to fall. The longer the average maturity or duration of the bonds held by a fund, the more sensitive it will likely be to interest-rate fluctuations. An issuer may not make all interest payments or repay all or any of the principal borrowed. Changes in a security's credit quality may adversely affect fund performance.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, and total return swaps. Foreign currency forward contracts, futures contracts, and swaps generally are subject to counterparty risk. In addition, swaps may be subject to interest-rate and settlement risk, and the risk of default of the underlying reference obligation. Derivatives associated with foreign currency transactions are subject to currency risk.

**High portfolio turnover risk.** Trading securities actively and frequently can increase transaction costs (thus lowering performance) and taxable distributions.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**Leveraging risk.** Using derivatives may result in a leveraged portfolio. Leveraging tends to magnify, sometimes significantly, the effect of any increase or decrease in the fund's exposure to an asset class and may cause the fund's net asset value per share (NAV) to experience greater volatility. Leveraging long exposures increases a fund's losses when the value of its investments declines. Some derivatives have the potential for unlimited loss, regardless of the size of the initial investment.

**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. Liquidity risk may be magnified in rising interest rate environments due to higher than normal redemption rates. Widespread selling of fixed-income securities to satisfy redemptions during periods of reduced demand may adversely impact the price or salability of such securities. Periods of heavy redemption could cause the fund to sell assets at a loss or depressed value, which could negatively affect performance. Redemption risk is heightened during periods of declining or illiquid markets.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Quantitative modeling risk.** Quantitative models may not accurately predict future market movements or characteristics, which may negatively impact performance. Models also may perform differently than expected due to implementation problems, technological malfunction, or programming or data inaccuracies, among other possible issues.

**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 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.

**Short sales risk.** In a short sale, a fund pays interest on a borrowed security. The fund will lose money if the price of the borrowed security increases between the short sale and the replacement date.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Subsidiary investment risk.** By investing in the Subsidiary, the fund is indirectly exposed to the risks associated with the Subsidiary's investments and operations. The Subsidiary is not subject to U.S. laws, including securities laws and their protections. Because the Subsidiary is not registered

**7**

------

Fund summary

under U.S. law, it may not be able to negotiate terms with its counterparties equivalent to those negotiated by a registered fund. Changes in applicable law could result in the inability of the Subsidiary to operate as described, and could adversely affect the fund's investment approach.

**Tax risk.** The tax treatment of commodity-related investments and income from the Subsidiary may be adversely affected by future U.S. tax legislation, regulation, or guidance.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. The ICE BofA 0-3 Month U.S. Treasury Bill Index shows how the fund's performance compares against the returns of similar investments. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**Calendar year total returns (%)—Class NAV**

![](g29800img83e188552.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q1 2024 | 14.37% |
| **Worst quarter:** | Q1 2020 | -8.98% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
|  |  |  | &nbsp;&nbsp; **Since** <br> **inception**<br>|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **07/29/2019** |
| **Class NAV** (before tax) | &nbsp;&nbsp; -7.57 | &nbsp;&nbsp;&nbsp;&nbsp;1.44 | &nbsp;&nbsp;&nbsp;&nbsp;1.02 |
| after tax on distributions | &nbsp;&nbsp; -7.74 | &nbsp;&nbsp;&nbsp; -0.08 | &nbsp;&nbsp;&nbsp; -0.46 |
| after tax on distributions, with sale | &nbsp;&nbsp; -4.48 | &nbsp;&nbsp;&nbsp;&nbsp;0.50 | &nbsp;&nbsp;&nbsp;&nbsp;0.22 |
| Bloomberg U.S. Aggregate Bond Index (reflects no deduction for fees, expenses, or taxes) | 7.30 | &nbsp;&nbsp;&nbsp; -0.36 | &nbsp;&nbsp;&nbsp;&nbsp;1.23 |
| ICE BofA 0-3 Month U.S. Treasury Bill Index (reflects no deduction for fees, expenses, or taxes) | 4.28 | &nbsp;&nbsp;&nbsp;&nbsp;3.23 | &nbsp;&nbsp;&nbsp;&nbsp;2.72 |

---

**Investment management**

------

**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Graham Capital Management, L.P.

**Portfolio management**

------

The following individuals are jointly and primarily responsible for the day-to-day management of the fund's portfolio.

---

| | | |
|:---|:---|:---|
| **Thomas Feng, Ph.D.** | **Jens Foehrenbach** | **Kenneth G. Tropin** |
| *Co-Portfolio Manager, Chief Investment Officer –* <br> *Quant Strategies*<br> Managed the fund since 2025<br>| &nbsp;&nbsp; *Co-Portfolio Manager, President and Chief* <br> *Investment Officer*<br> Managed the fund since 2026<br>| &nbsp;&nbsp; *Co-Portfolio Manager and Chairman*<br> Managed the fund since 2019<br>|

---

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**8**

------

Fund summary

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**9**

------

Fund summary

John Hancock Emerging Markets Equity Fund

**Investment objective**

------

To seek long-term capital growth.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.95 |
| Other expenses | 0.10 |
| **Total annual fund operating expenses** | **1.05** |
| Contractual expense reimbursement | -0.16 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.89** |

---

**1**

The advisor contractually agrees to reduce its management fee by an annual rate of 0.15% of the fund's average daily net assets. This agreement expires on February 28, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time. The advisor also contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

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This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

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| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 91 |
| 3 years | 318 |
| 5 years | 564 |
| 10 years | 1268 |

---

**Portfolio turnover**

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The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 33% of the average value of its portfolio.

**Principal investment strategies**

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Under normal market conditions, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity and equity-related securities of emerging-market issuers. The manager may consider, but is not limited to, the classifications by the World Bank, the

**10**

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Fund summary

International Finance Corporation, or the United Nations and its agencies in determining whether a country is an emerging- or a developed-market country. The fund seeks to invest in securities that the manager considers to be undervalued or otherwise offer good prospects for capital growth.

The fund intends to invest in equity securities listed on bona fide securities exchanges or actively traded on over-the-counter markets. Equity and equity-related securities include common stocks, preferred stocks, convertible securities, warrants, and other similar securities. The fund may also invest in other investment companies (including closed-end funds) and other pooled investment vehicles that are themselves dedicated to investment in developing or emerging market economies.

Disciplined, fundamental-based, bottom-up stock selection lies at the heart of the manager's investment process, which focuses on high quality companies within a diverse range of dynamic emerging economies. The manager seeks to invest in companies with strong assets that exhibit balance sheet strength, superior management, and high levels of free cash-flow to support a sustainable dividend payout. Although, there is no sector or geographical bias, the fund may focus its investments in a particular sector or sectors of the economy. The fund may invest in companies of any market capitalization.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

Due to volatile conditions in emerging markets, the fund's investment process may result in a higher-than-average portfolio turnover ratio, which could increase transaction costs.

The fund may attempt to mitigate the risk of unintended currency fluctuations through the use of exchange-listed or over-the-counter financial derivatives instruments, including currency forwards, non-deliverable forwards, currency options, and index options. The fund may also enter into forward currency contracts to facilitate the settlement of foreign securities purchases, repatriation of foreign currency balances, or exchange of one currency to another. The fund may use derivatives such as futures contracts and options on futures contracts to gain market exposure on uninvested cash, pending investment in securities, or to maintain liquidity to pay redemptions.

**Principal risks**

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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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Credit and counterparty risk.** The counterparty to an over-the-counter derivatives contract or a borrower of fund securities may not make timely payments or otherwise honor its obligations.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Emerging-market risk.** The risks of investing in foreign securities are magnified in emerging markets. Emerging-market countries may experience higher inflation, interest rates, and unemployment and greater social, economic, and political uncertainties than more developed countries.

**Greater China risk.** Investments in the Greater China region may be subject to less developed trading markets, acute political risks such as possible negative repercussions resulting from China's relationship with Taiwan or Hong Kong, and restrictions on monetary repatriation or other adverse government actions. For example, a government may restrict investment in companies or industries considered important to national interests, intervene in contractual arrangements, or intervene in the financial markets, such as by imposing trading restrictions, or banning or curtailing short selling. A small number of companies and industries may generally represent a relatively large portion of the Greater China market as a whole.

**Hong Kong Stock Connect Program (Stock Connect) risk.** Trading in China A-Shares through Stock Connect, a mutual market access program that enables foreign investment in the People's Republic of China (PRC), is subject to certain restrictions and risks. Securities listed on Stock Connect may lose purchase eligibility, which could adversely affect the fund's performance. Trading through Stock Connect is subject to trading, clearance, and settlement procedures that may continue to develop as the program matures. Any changes in laws, regulations and policies applicable to Stock Connect may affect China A-Share prices. These risks are heightened by the underdeveloped state of the PRC's investment and banking systems in general.

**11**

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Fund summary

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Growth company securities may fluctuate more in price than other securities because of the greater emphasis on earnings expectations. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**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. ESG factors may include, but are not limited to, matters regarding board diversity, climate change policies, and supply chain and human rights policies. The manager may consider these ESG factors on all or a meaningful portion of the fund's investments. Integration of ESG factors into the fund's investment process does not preclude the fund from including companies with low ESG characteristics or excluding companies with high ESG characteristics in the fund's investments. 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.

**Financial services sector risk.** Financial services companies can be significantly affected by economic, market, and business developments, borrowing costs, interest-rate fluctuations, competition, and government regulation, among other factors.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, options, options on futures, and currency options. Foreign currency forward contracts, futures contracts, and options generally are subject to counterparty risk. Derivatives associated with foreign currency transactions are subject to currency risk.

**High portfolio turnover risk.** Trading securities actively and frequently can increase transaction costs (thus lowering performance) and taxable distributions.

**Information technology companies risk.** Information technology companies can be significantly affected by rapid obsolescence, short product cycles, competition from new market entrants, and heightened cybersecurity risk, among other factors.

**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.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**Sector risk.** When a fund focuses its investments in certain sectors of the economy, its performance may be driven largely by sector performance and could fluctuate more widely than if the fund were invested more evenly across sectors.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**12**

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Fund summary

**Past performance**

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The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**Calendar year total returns (%)—Class NAV**

![](g29800img1de56b3d3.jpg)

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| | | |
|:---|:---|:---|
| **Best quarter:** | Q2 2020 | 28.40% |
| **Worst quarter:** | Q1 2020 | -22.79% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class NAV** (before tax) | 20.18 | &nbsp;&nbsp;&nbsp; -2.20 | &nbsp;&nbsp;&nbsp;&nbsp;6.23 |
| after tax on distributions | 19.13 | &nbsp;&nbsp;&nbsp; -3.17 | &nbsp;&nbsp;&nbsp;&nbsp;5.19 |
| after tax on distributions, with sale | 11.94 | &nbsp;&nbsp;&nbsp; -1.88 | &nbsp;&nbsp;&nbsp;&nbsp;4.71 |
| MSCI Emerging Markets Index (reflects no deduction for fees, expenses, or taxes, except foreign withholding taxes on dividends) | 33.57 | &nbsp;&nbsp;&nbsp;&nbsp;4.20 | &nbsp;&nbsp;&nbsp;&nbsp;8.42 |

---

**Investment management**

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**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Manulife Investment Management (US) LLC

**Portfolio management**

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The following individuals are jointly and primarily responsible for the day-to-day management of the fund's portfolio.

---

| | | |
|:---|:---|:---|
| **Bryony Deuchars, CFA, FCA** | **David Dugdale, PhD, CFA** | **Charlie Dutton** |
| *Portfolio Manager*<br> Managed the fund since 2023<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2023<br>| &nbsp;&nbsp; *Senior Portfolio Manager*<br> Managed the fund since 2024<br>|

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | |
|:---|:---|
| **Bhupinder Sachdev, CFA** | **Talib Saifee** |
| *Portfolio Manager*<br> Managed the fund since 2023<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2021<br>|

---

**Purchase and sale of fund shares**

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There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**Taxes**

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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.

**13**

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Fund summary

**Payments to broker-dealers and other financial intermediaries**

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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. Ask your salesperson or visit your financial intermediary's website for more information.

**14**

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Fund summary

John Hancock Financial Industries Fund

**Investment objective**

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To seek capital appreciation.

**Fees and expenses**

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This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

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| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.78 |
| Other expenses | 0.10 |
| **Total annual fund operating expenses** | **0.88** |
| Contractual expense reimbursement | -0.01 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.87** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 89 |
| 3 years | 280 |
| 5 years | 487 |
| 10 years | 1083 |

---

**Portfolio turnover**

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The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 63% of the average value of its portfolio.

**Principal investment strategies**

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Under normal market conditions, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of U.S. and foreign financial services companies of any size. These companies include, but are not limited to, banks, thrifts, finance and financial technology companies, brokerage and advisory firms, real estate related firms, insurance companies, and financial holding companies. Equity securities include, but are not limited to, common and preferred stock and their equivalents, such as publicly traded limited partnerships, depositary

**15**

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Fund summary

receipts, rights, and warrants. The fund may invest in companies located in emerging-market countries. The fund may gain exposure to securities described in these strategies through investing in investment companies and pooled investment vehicles.

The manager focuses primarily on equity securities selection rather than industry allocation, using fundamental financial analysis to identify securities that appear comparatively undervalued.

The fund may invest in U.S. and foreign bonds, including up to 5% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CCC by S&P Global Ratings or Caa by Moody's Investors Service, Inc. and their unrated equivalents. It may also invest up to 15% of net assets in investment-grade short-term securities. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest in derivatives to a limited extent. Derivatives may be used to reduce risk, obtain efficient market exposure, and/or to enhance investment returns, and may include futures contracts, options, and foreign currency forward contracts.

The fund focuses its investments in securities of issuers in the financial services sector.

**Principal risks**

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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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Concentration risk.** Because the fund may focus on one or more industries or sectors of the economy, its performance depends in large part on the performance of those industries or sectors. As a result, the value of an investment may fluctuate more widely since it is more susceptible to market, economic, political, regulatory, and other conditions and risks affecting those industries or sectors than a fund that invests more broadly across industries and sectors.

**Credit and counterparty risk.** The issuer or guarantor of a fixed-income security, the counterparty to an over-the-counter derivatives contract, or a borrower of fund securities may not make timely payments or otherwise honor its obligations. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**Financial services sector risk.** A fund investing principally in securities of companies in the financial services sector is particularly vulnerable to events affecting that sector. Financial services companies can be significantly affected by economic, market, and business developments, borrowing costs, interest-rate fluctuations, competition, and government regulation, among other factors.

**Fixed-income securities risk.** A rise in interest rates typically causes bond prices to fall. The longer the average maturity or duration of the bonds held by a fund, the more sensitive it will likely be to interest-rate fluctuations. An issuer may not make all interest payments or repay all or any of the principal borrowed. Changes in a security's credit quality may adversely affect fund performance.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets. 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.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, and options. Foreign currency forward contracts, futures contracts, and options generally are subject to counterparty risk. Derivatives associated with foreign currency transactions are subject to currency risk.

**16**

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Fund summary

**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.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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. Liquidity risk may be magnified in rising interest rate environments due to higher than normal redemption rates. Widespread selling of fixed-income securities to satisfy redemptions during periods of reduced demand may adversely impact the price or salability of such securities. Periods of heavy redemption could cause the fund to sell assets at a loss or depressed value, which could negatively affect performance. Redemption risk is heightened during periods of declining or illiquid markets.

**Lower-rated and high-yield fixed-income securities risk.** Lower-rated and high-yield fixed-income securities (junk bonds) are subject to greater credit quality risk, risk of default, and price volatility than higher-rated fixed-income securities, may be considered speculative, and can be difficult to resell.

**Master limited partnership (MLP) risk.** MLPs generally reflect the risks associated with their underlying assets and with pooled investment vehicles. MLPs with credit-related holdings are subject to interest-rate risk and risk of default.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**Real estate investment trust (REIT) risk.** REITs, pooled investment vehicles that typically invest in real estate directly or in loans collateralized by real estate, carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Real estate securities risk.** Securities of companies in the real estate industry carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. The S&P 500 Financials Index shows how the fund's performance compares against the returns of similar investments. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**A note on performance**

Class NAV shares ceased operations on March 28, 2025. Returns shown after that date are those of Class A shares, except that they do not include Class A sales charges and would be lower if they did. Returns for Class NAV shares would have been substantially similar to returns of Class A shares because each share class is invested in the same portfolio of securities and returns would differ only to the extent that expenses of the classes are different. To the extent expenses of a class would have been higher than expenses of Class A shares for the periods shown, performance would have been lower.

**17**

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Fund summary

**Calendar year total returns (%)—Class NAV**

![](g29800imgafcb41754.jpg)

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| | | |
|:---|:---|:---|
| **Best quarter:** | Q4 2016 | 22.51% |
| **Worst quarter:** | Q1 2020 | -30.04% |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class NAV** (before tax) | 11.68 | &nbsp;&nbsp;&nbsp;&nbsp;11.41 | &nbsp;&nbsp;&nbsp;&nbsp;10.41 |
| after tax on distributions | 2.13 | &nbsp;&nbsp;&nbsp;&nbsp;6.85 | &nbsp;&nbsp;&nbsp;&nbsp;7.05 |
| after tax on distributions, with sale | 12.19 | &nbsp;&nbsp;&nbsp;&nbsp;8.08 | &nbsp;&nbsp;&nbsp;&nbsp;7.55 |
| S&P 500 Index (reflects no deduction for fees, expenses, or taxes) | 17.88 | &nbsp;&nbsp;&nbsp;&nbsp;14.42 | &nbsp;&nbsp;&nbsp;&nbsp;14.82 |
| S&P 500 Financials Index (reflects no deduction for fees, expenses, or taxes) | 15.02 | &nbsp;&nbsp;&nbsp;&nbsp;15.27 | &nbsp;&nbsp;&nbsp;&nbsp;13.18 |

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**Investment management**

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**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.

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| | |
|:---|:---|
| **Susan A. Curry** | **Ryan P. Lentell, CFA** |
| Senior Portfolio Manager<br> Managed the fund since 2008<br>| &nbsp;&nbsp; Portfolio Manager<br> Managed the fund since 2015<br>|

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**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**18**

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Fund summary

John Hancock Fundamental Large Cap Core Fund

**Investment objective**

------

To seek long-term capital appreciation.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.61 |
| Other expenses | 0.05 |
| **Total annual fund operating expenses** | **0.66** |
| Contractual expense reimbursement | -0.01 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.65** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 66 |
| 3 years | 210 |
| 5 years | 367 |
| 10 years | 822 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 49% of the average value of its portfolio.

**Principal investment strategies**

------

Under normal market conditions, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of large-capitalization companies. The fund considers large-capitalization companies to be those in the capitalization range of the S&P 500 Index, which was approximately $5.54 billion to $4,531 billion as of December 31, 2025. Equity securities include common and preferred stocks and their equivalents.

**19**

------

Fund summary

The manager looks to invest in companies that are undervalued and/or offer the potential for above-average earnings growth, using a combination of proprietary financial models and bottom-up, fundamental financial research to identify companies with substantial cash flows, reliable revenue streams, superior competitive positions, and strong management.

The fund manages risk by typically holding between 45 and 65 large companies in a broad range of industries. The fund may focus its investments in a particular sector or sectors of the economy. The fund may attempt to take advantage of short-term market volatility by investing in corporate restructurings or pending acquisitions. The fund may invest up to 35% of its assets in foreign securities and may trade securities actively.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may invest up to 20% of its assets in bonds of any maturity, including up to 15% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CC by S&P Global Ratings or Ca by Moody's Investors Service, Inc. and their unrated equivalents. The manager looks for bonds with the most favorable risk/return ratios. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest in derivatives to a limited extent. Derivatives may be used to reduce risk and/or obtain efficient market exposure, and may include futures contracts, options, and foreign currency forward contracts.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Credit and counterparty risk.** The issuer or guarantor of a fixed-income security, the counterparty to an over-the-counter derivatives contract, or a borrower of fund securities may not make timely payments or otherwise honor its obligations. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Growth company securities may fluctuate more in price than other securities because of the greater emphasis on earnings expectations. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**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. ESG factors may include, but are not limited to, matters regarding board diversity, climate change policies, and supply chain and human rights policies. The manager may consider these ESG factors on all or a meaningful portion of the fund's investments. Integration of ESG factors into the fund's investment process does not preclude the fund from including companies with low ESG characteristics or excluding companies with high ESG characteristics in the fund's investments. 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.

**Fixed-income securities risk.** A rise in interest rates typically causes bond prices to fall. The longer the average maturity or duration of the bonds held by a fund, the more sensitive it will likely be to interest-rate fluctuations. An issuer may not make all interest payments or repay all or any of the principal borrowed. Changes in a security's credit quality may adversely affect fund performance.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could

**20**

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Fund summary

become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, and options. Foreign currency forward contracts, futures contracts, and options generally are subject to counterparty risk. Derivatives associated with foreign currency transactions are subject to currency risk.

**High portfolio turnover risk.** Trading securities actively and frequently can increase transaction costs (thus lowering performance) and taxable distributions.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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. Liquidity risk may be magnified in rising interest rate environments due to higher than normal redemption rates. Widespread selling of fixed-income securities to satisfy redemptions during periods of reduced demand may adversely impact the price or salability of such securities. Periods of heavy redemption could cause the fund to sell assets at a loss or depressed value, which could negatively affect performance. Redemption risk is heightened during periods of declining or illiquid markets.

**Lower-rated and high-yield fixed-income securities risk.** Lower-rated and high-yield fixed-income securities (junk bonds) are subject to greater credit quality risk, risk of default, and price volatility than higher-rated fixed-income securities, may be considered speculative, and can be difficult to resell.

**Merger and restructuring investment risk.** A merger or other restructuring, tender offer, or exchange offer proposed or pending at the time of investment in a merger arbitrage transaction may not be completed on the terms contemplated, resulting in losses.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred stock risk.** Preferred stock generally ranks senior to common stock with respect to dividends and liquidation but ranks junior to debt securities. Unlike interest payments on debt securities, preferred stock dividends are payable only if declared by the issuer's board of directors. Preferred stock may be subject to optional or mandatory redemption provisions.

**Sector risk.** When a fund focuses its investments in certain sectors of the economy, its performance may be driven largely by sector performance and could fluctuate more widely than if the fund were invested more evenly across sectors.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

**A note on performance**

Class A and Class NAV shares commenced operations on September 30, 1984 and February 8, 2017, respectively. Returns shown prior to Class NAV shares' commencement date are those of Class A shares, except that they do not include sales charges and would be lower if they did. Returns for Class NAV shares would have been substantially similar to returns of Class A shares because each share class is invested in the same portfolio of securities and returns would differ only to the extent that expenses of the classes are different. To the extent expenses of a class would have been higher than expenses of Class A shares for the periods shown, performance would have been lower.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**21**

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Fund summary

**Calendar year total returns (%)—Class NAV**

![](g29800imgadc35e6b5.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q2 2020 | 29.59% |
| **Worst quarter:** | Q1 2020 | -24.62% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class NAV** (before tax) | 10.32 | &nbsp;&nbsp;&nbsp;&nbsp;11.71 | &nbsp;&nbsp;&nbsp;&nbsp;12.59 |
| after tax on distributions | 7.50 | &nbsp;&nbsp;&nbsp;&nbsp;9.41 | &nbsp;&nbsp;&nbsp;&nbsp;10.66 |
| after tax on distributions, with sale | 7.94 | &nbsp;&nbsp;&nbsp;&nbsp;8.92 | &nbsp;&nbsp;&nbsp;&nbsp;9.87 |
| S&P 500 Index (reflects no deduction for fees, expenses, or taxes) | 17.88 | &nbsp;&nbsp;&nbsp;&nbsp;14.42 | &nbsp;&nbsp;&nbsp;&nbsp;14.82 |

---

**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.

---

| | | |
|:---|:---|:---|
| **Michael J. Mattioli, CFA** | **Nicholas P. Renart** | **Jonathan T. White, CFA** |
| *Portfolio Manager and Senior Investment* <br> *Analyst*<br> Managed the fund since 2025<br>| &nbsp;&nbsp; *Portfolio Manager and Senior Investment* <br> *Analyst*<br> Managed the fund since 2025<br>| &nbsp;&nbsp; *Senior Portfolio Manager*<br> Managed the fund since 2015<br>|

---

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**22**

------

Fund summary

John Hancock Global Environmental Opportunities Fund

**Investment objective**

------

To seek growth through capital appreciation by investing primarily in Environmental Companies (as defined below).

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.84 |
| Other expenses | 0.39 |
| **Total annual fund operating expenses** | **1.23** |
| Contractual expense reimbursement | -0.39 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.84** |

---

**1**

The advisor contractually agrees to reduce its management fee or, if necessary, make payment to the fund in an amount equal to the amount by which expenses of the fund exceed 0.84% of average daily net assets of the fund. For purposes of this agreement, "expenses of the fund" means all fund expenses, 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) class-specific expenses, (f) borrowing costs, (g) prime brokerage fees, (h) acquired fund fees and expenses paid indirectly, and (i) short dividend expense. This agreement expires on February 28, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time. The advisor also contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 86 |
| 3 years | 352 |
| 5 years | 638 |
| 10 years | 1454 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 56% of the average value of its portfolio.

**23**

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Fund summary

**Principal investment strategies**

------

Under normal circumstances, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in securities of Environmental Companies.

**The Planetary Boundaries** 

The Planetary Boundaries (PB) is the scientific environmental framework which the manager uses to identify Environmental Companies. The PB framework was developed by a group of universities across the world. The PB framework identifies a set of nine boundaries considered most crucial for maintaining the stability of the earth's ecosystems on which human society depends. Remaining within these nine boundaries is considered the "Safe Operating Space," within which human society and the planet can continue to thrive. Exceeding those boundaries (i.e., being outside the Safe Operating Space) will increase the risk of large-scale adverse or irreversible environmental changes that will negatively impact the future of human society and development.

The nine environmental boundaries as originally identified in 2009 are: climate change; rate of biodiversity loss (terrestrial and marine); interference with the nitrogen and phosphorus cycles (i.e., biogeochemical flows); stratospheric ozone depletion; ocean acidification; global freshwater use; change in land use; chemical pollution; and atmospheric aerosol loading. Further information on each of the boundaries is set forth below under "Information Regarding the Planetary Boundaries."

As of January 2026, the following boundaries have been crossed: climate change, rate of biodiversity loss, land-system change, biogeochemical flows, novel entities (chemical pollution), ocean acidification, and freshwater change. This does not impact the manager's investment process, as a boundary that has been crossed simply implies a greater need to reduce stress on that boundary to reverse the trend. The PB framework is not a static framework but subject to change based on evolving scientific research. The following is a graphic representation of the boundaries as of January 2026, this is used for illustrative purposes to demonstrate the PB framework and may change.

![](g29800imgb9a3350b6.jpg)

Source: Stockholm Resilience Centre, Pictet Asset Management, January 2026

**Defining Environmental Companies** 

The manager defines Environmental Companies as:

**1**

Companies that operate within the Safe Operating Space of the Planetary Boundaries, and

**2**

Companies, all or a portion of whose business activities reduce stress in at least one of the boundaries in the PB framework.

The two-step process to identify investable Environmental Companies applied by the manager is detailed below.

***Step One:*** The manager screens the global universe of equity companies (approximately 40,000 companies) for those that have environmental footprints within the Safe Operating Space of the PB framework. Environmental footprint is defined as the effect that a person, company, and/or activity has on the environment, such as the amount of natural resources that they use and the amount of harmful gases that they produce.

This first step is achieved by a screening process that includes a Life Cycle Assessment (LCA) analysis to identify companies whose activities, operations and products across their whole life cycle are within the Safe Operating Space of the PB framework. The LCA analysis assesses the impact on the nine boundaries associated with all the stages of the life of a company's products, services or activities. To facilitate this analysis, the manager has developed a proprietary LCA model using their own data as well as inputs from various external databases. The underlying data used as inputs for the manager's proprietary LCA model include over 30 different types of environmental impact measures (for example, Methane emission, CFC (Chlorofluorocarbon) emissions, Water consumption, and CO2 emissions). External databases used to develop the LCA model include those from universities, other third-party providers and other proprietary LCA databases. The LCA analysis may be complemented by input from environmental consulting companies that specialize in Life Cycle Assessments and have partnered exclusively with the manager. The inputs the manager uses for the LCA model, and any current partnerships with external environmental consultants, are subject to change.

**24**

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Fund summary

If a company is operating beyond the Safe Operating Space of one boundary, but is within the Safe Operating Space of another boundary, the manager would consider the average impact of the company across all boundaries and the company would not be prohibited from passing the screen. Typically, 4,000 companies pass through the screen at this part of the process.

***Step Two:*** After screening for companies that are within the Safe Operating Space defined by the Planetary Boundaries in Step One, the manager then narrows this investable universe to identify Environmental Companies. To be eligible as an Environmental Company, all or a portion of a company's business activities must reduce stress in at least one or more of the planetary boundaries and potentially help adapt to the impacts of such stress. Specifically, the company must reduce the impact of human activity on such boundary so that the boundary is not exceeded or further exceeded and potentially help the economy to adapt to adverse environmental impacts.

Business activities are defined as selling and/or creating products, technologies and/or services, including the provision of related support services. These business activities include those related to water usage, energy efficiency, renewable energy, sustainable forestry, organic agriculture, pollution control, dematerialized economy, waste management and recycling, as well as any the manager identifies as reducing stress on one or more Planetary Boundaries and potentially help adapt to the impacts of such stress.

To measure whether a business activity reduces stress in any boundary, the manager uses quantitative inputs from the proprietary LCA analysis and database referred to above. The manager is able to complement this with qualitative judgement based on its knowledge of the company and experience with environmental business activities to determine whether an Environmental Company reduces stress on one or more boundaries. Typically, 400 stocks are identified and defined as Environmental Companies after Step One and Step Two.

**Portfolio Construction** 

Once the universe of Environmental Companies is identified, the manager applies in-depth fundamental research to select the companies that the manager believes present the most attractive risk-return characteristics. In this analysis, the manager considers fundamental characteristics such as the company's competitiveness, management quality, valuation and industry risk factors. The analysis also systematically integrates Social and Governance ESG factors at this stage of the portfolio construction process. Environmental and Social factors are evaluated as part of a company's competitiveness and business franchise characteristics. The manager forms its own view based on primary research but is also supported by external data from third-party providers. The manager's view on a company's Governance is also integrated as part of the analysis on management quality, where the manager's primary research and views are complemented by third-party data providers. A low ESG score would affect the overall score assigned to the security by the manager and, therefore, whether the security is chosen for the fund and, if chosen, the weight of that security in the portfolio. The ESG factors utilized during this stage of the portfolio construction process may change over time. The final result is a high conviction portfolio of Environmental Companies.

The fund may invest in equity and equity-related securities issued by U.S. and non-U.S. companies, including common, convertible and preferred stock, warrants and depositary receipts. The fund does not limit its investments to companies in a particular market capitalization range and, at times, may invest a substantial portion of its assets in one or more particular market capitalization ranges.

The fund seeks investment exposure to a number of countries throughout the world. Under normal circumstances, the fund will invest in companies domiciled, incorporated, organized or headquartered in at least three countries outside the U.S., including developing and emerging market countries (Foreign Companies). The manager will consider, but is not limited to, the MSCI market classifications in determining whether a country is a developed or emerging market country. Although the fund can invest up to 100% of its assets in the securities of Foreign Companies, under normal circumstances it generally expects to invest at least 40% of its assets in the securities of such companies. However, if the manager determines, in its sole discretion, that market conditions are not favorable, the fund may invest less than 40% of its assets in Foreign Companies, but will not invest less than 30% of its assets in Foreign Companies.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Environmentally focused investing risk.** The fund's environmental criteria limit the available investments compared to funds with no such criteria. The fund's incorporation of environmental criteria may affect the fund's exposure to certain sectors and/or types of investments, and under certain

**25**

------

Fund summary

economic conditions, this could cause the fund to underperform funds that invest in a broader array of investments depending on whether such sectors or investments are in or out of favor in the market. The data provided by third parties may be incomplete, inaccurate or unavailable, which could cause the manager to incorrectly assess environmental data related to a particular company.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions.

**ESG investing risk.** Incorporating ESG criteria and investing primarily in instruments that have certain ESG characteristics, as determined by the manager, carries the risk that the fund may perform differently, including underperforming, funds that do not utilize an ESG investment strategy, or funds that utilize different ESG criteria.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets. 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.

**Geographic focus risk.** The fund's performance will be closely tied to the market, currency, economic, political, regulatory, geopolitical, and other conditions in the countries or regions in which the fund's assets are invested and may be more volatile than the performance of more geographically-diversified funds.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**Liquidity risk.** The extent (if at all) to which a security may be sold without negatively impacting its market value may be impaired by reduced market activity or participation, legal restrictions, or other economic and market impediments.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**Sector risk.** When a fund focuses its investments in certain sectors of the economy, its performance may be driven largely by sector performance and could fluctuate more widely than if the fund were invested more evenly across sectors. The industrials sector may be affected by general economic conditions, commodity production and pricing, supply and demand fluctuations, environmental and other government regulations, and technological developments, among other factors.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

**A note on performance**

Class C shares commenced operations on July 21, 2021. Because Class NAV shares had not commenced operations as of the date of this prospectus, the returns shown are those of Class C shares, except that they do not include sales charges and would be lower if they did. Returns for Class NAV shares would have been substantially similar to returns of Class C shares because each share class is invested in the same portfolio of securities and returns would differ only to the extent that expenses of the classes are different. To the extent expenses of a class would have been higher than expenses of Class C shares for the periods shown, performance would have been lower.

**26**

------

Fund summary

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**Calendar year total returns (%)—Class NAV**

![](g29800imga580b37c7.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q4 2023 | 13.46% |
| **Worst quarter:** | Q2 2022 | -16.15% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | |
|:---|:---|:---|
|  |  | &nbsp;&nbsp; **Since** <br> **inception**<br>|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **07/21/2021** |
| **Class NAV** (before tax) | 5.45 | &nbsp;&nbsp;&nbsp;&nbsp;1.41 |
| after tax on distributions | 3.70 | &nbsp;&nbsp;&nbsp;&nbsp;0.68 |
| after tax on distributions, with sale | 4.47 | &nbsp;&nbsp;&nbsp;&nbsp;1.07 |
| MSCI ACWI (reflects no deduction for fees, expenses, or taxes, except foreign withholding taxes on dividends) | 22.34 | &nbsp;&nbsp;&nbsp;&nbsp;9.97 |

---

**Investment management**

------

**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Pictet Asset Management SA

**Portfolio management**

------

The following individuals are jointly and primarily responsible for the day-to-day management of the fund's portfolio.

---

| | | | |
|:---|:---|:---|:---|
| **Luciano Diana** | **Chris Elias** | **Nadine Hayderi** | **Katie Self, PhD** |
| *Portfolio Manager*<br> Managed the fund since 2021<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2025<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2025<br>| &nbsp;&nbsp; *Portfolio Manager*<br> Managed the fund since 2023<br>|

---

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**27**

------

Fund summary

John Hancock Infrastructure Fund

**Investment objective**

------

To seek total return from capital appreciation and income, with an emphasis on absolute returns over a full market cycle.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.77 |
| Other expenses | 0.09 |
| **Total annual fund operating expenses** | **0.86** |
| Contractual expense reimbursement | -0.01 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.85** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 87 |
| 3 years | 273 |
| 5 years | 476 |
| 10 years | 1060 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 35% of the average value of its portfolio.

**Principal investment strategies**

------

The fund pursues its objective by investing, under normal circumstances, at least 80% of its net assets (plus borrowings for investment purposes) in global securities of companies with infrastructure-related assets. Because the fund normally invests more than 25% of its assets in global securities of infrastructure-related assets, the fund is considered to be "concentrated" in industries represented by infrastructure companies. For purposes of this policy, global securities include: common stock, depositary receipts, real estate securities (including real estate investment trusts (REITs)), master

**28**

------

Fund summary

limited partnerships (MLPs) (up to a maximum of 25% of the fund's net assets), preferred stock, rights, warrants, exchange-traded funds (ETFs), and debt securities (up to a maximum of 20% of the fund's net assets). Also for purposes of this policy, infrastructure-related assets are long-lived physical assets that are held by companies, including financial holding companies, that engage in the ownership, management, construction, development, renovation, operation, use or financing of infrastructure assets, or that provide the services and raw materials necessary for the construction and maintenance of infrastructure assets. Infrastructure assets are the physical structures, networks and systems which provide necessary services for the function, growth and development of society, including but not limited to utilities, pipelines, toll roads, airports, railroads, ports, telecommunications and other infrastructure companies.

Companies with long-lived physical assets are those that the manager believes possess an advantageous competitive position due to factors such as a long track record, resilience in the face of technological advances, rising replacement costs, and limited substitution risk. The manager believes investment in these types of companies can contribute to attractive, long-term absolute returns. The fund also seeks to mitigate losses during periods of unfavorable equity market conditions by attempting to limit volatility relative to the wider market. While not managed explicitly for yield, the securities in which the fund invests may often provide higher dividend yields than the broader equity market. The fund is not managed to track a benchmark index.

The fund may invest in debt securities, including convertible bonds, without any maturity limit and of any credit quality, including high-yield securities (i.e., junk bonds). The fund may also invest in cash, cash equivalents, and derivative instruments. Derivatives may be used to reduce risk, obtain efficient market exposure, and/or enhance investment returns, and may include swaps, forward contracts, options, currency derivatives (including currency forwards, futures, options, and spot transactions), and similar instruments or combinations thereof. Country and regional weights are driven by bottom-up security selection and are typically unconstrained; however, the fund will generally be diversified regionally across global equity markets, including emerging markets. The fund invests in companies across the market-capitalization spectrum.

The fund seeks to outperform global equity markets during periods of flat or negative market performance and may underperform during periods of strong market performance. The fund's investment returns may be volatile over short periods of time and returns over any period of time may not be positive. The maximum position in any individual security will typically be less than 10% of the fund's net assets. Generally, less than 10% of the fund's net assets will be invested in cash and cash equivalents, but can be as high as 20%.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**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 objective and may negatively impact the fund's performance.

**Commodity risk.** Commodity prices may be volatile due to fluctuating demand, supply disruption, speculation, and other factors. Certain commodity investments may have no active trading market at times.

**Concentration risk.** Because the fund may focus on one or more industries or sectors of the economy, its performance depends in large part on the performance of those industries or sectors. As a result, the value of an investment may fluctuate more widely since it is more susceptible to market, economic, political, regulatory, and other conditions and risks affecting those industries or sectors than a fund that invests more broadly across industries and sectors.

**Credit and counterparty risk.** The issuer or guarantor of a fixed-income security, the counterparty to an over-the-counter derivatives contract, or a borrower of fund securities may not make timely payments or otherwise honor its obligations. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions.

**Exchange-traded funds (ETFs) risk.** The risks of owning shares of an ETF include the risks of owning the underlying securities the ETF holds. Lack of liquidity in an ETF could result in the ETF being more volatile than its underlying securities. An ETF's shares could trade at a significant premium or discount to its net asset value (NAV). A fund bears ETF fees and expenses indirectly.

**29**

------

Fund summary

**Financial services sector risk.** Financial services companies can be significantly affected by economic, market, and business developments, borrowing costs, interest-rate fluctuations, competition, and government regulation, among other factors.

**Fixed-income securities risk.** A rise in interest rates typically causes bond prices to fall. The longer the average maturity or duration of the bonds held by a fund, the more sensitive it will likely be to interest-rate fluctuations. An issuer may not make all interest payments or repay all or any of the principal borrowed. Changes in a security's credit quality may adversely affect fund performance.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets. 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.

**Greater China risk.** Investments in the Greater China region may be subject to less developed trading markets, acute political risks such as possible negative repercussions resulting from China's relationship with Taiwan or Hong Kong, and restrictions on monetary repatriation or other adverse government actions. For example, a government may restrict investment in companies or industries considered important to national interests, intervene in contractual arrangements, or intervene in the financial markets, such as by imposing trading restrictions, or banning or curtailing short selling. A small number of companies and industries may generally represent a relatively large portion of the Greater China market as a whole.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts, futures contracts, options, and swaps. Foreign currency forward contracts, futures contracts, options, and swaps generally are subject to counterparty risk. In addition, swaps may be subject to interest-rate and settlement risk, and the risk of default of the underlying reference obligation. Derivatives associated with foreign currency transactions are subject to currency risk.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**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. Liquidity risk may be magnified in rising interest rate environments due to higher than normal redemption rates. Widespread selling of fixed-income securities to satisfy redemptions during periods of reduced demand may adversely impact the price or salability of such securities. Periods of heavy redemption could cause the fund to sell assets at a loss or depressed value, which could negatively affect performance. Redemption risk is heightened during periods of declining or illiquid markets.

**Lower-rated and high-yield fixed-income securities risk.** Lower-rated and high-yield fixed-income securities (junk bonds) are subject to greater credit quality risk, risk of default, and price volatility than higher-rated fixed-income securities, may be considered speculative, and can be difficult to resell.

**Master limited partnership (MLP) risk.** MLPs generally reflect the risks associated with their underlying assets and with pooled investment vehicles. MLPs with credit-related holdings are subject to interest-rate risk and risk of default.

**Midstream energy infrastructure sector risk.** Midstream energy infrastructure companies, such as companies that provide crude oil, refined product, and natural gas services, are subject to supply-and-demand fluctuations in the markets they serve, which may be impacted by a wide range of factors.

**Natural resources industry risk.** The natural resources industry can be significantly affected by international political and economic developments, energy conservation and exploration efforts, natural disasters or other extreme weather conditions, commodity prices, and taxes and other governmental regulations, among other factors.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred and convertible securities risk.** Preferred stock dividends are payable only if declared by the issuer's board. Preferred stock may be subject to redemption provisions. The market values of convertible securities tend to fall as interest rates rise and rise as interest rates fall. Convertible preferred stock's value can depend heavily upon the underlying common stock's value.

**30**

------

Fund summary

**Real estate investment trust (REIT) risk.** REITs, pooled investment vehicles that typically invest in real estate directly or in loans collateralized by real estate, carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Real estate securities risk.** Securities of companies in the real estate industry carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Telecommunications sector risk.** Telecommunication services companies are subject to government regulation of services and rates of return and can be significantly affected by intense competition, among other factors.

**Transportation sector risk.** Transportation companies can be significantly affected by economic changes, fuel, maintenance, and insurance costs, labor relations, and government regulation, among other factors.

**Utilities sector risk.** Utilities companies' performance may be volatile due to variable fuel, service, and financing costs, conservation efforts, government regulation, and other factors.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**Calendar year total returns (%)—Class NAV**

![](g29800img7dce08408.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q3 2024 | 14.40% |
| **Worst quarter:** | Q1 2020 | -15.70% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class NAV** (before tax) | 25.66 | &nbsp;&nbsp;&nbsp;&nbsp;9.34 | &nbsp;&nbsp;&nbsp;&nbsp;9.17 |
| after tax on distributions | 24.37 | &nbsp;&nbsp;&nbsp;&nbsp;8.02 | &nbsp;&nbsp;&nbsp;&nbsp;7.88 |
| after tax on distributions, with sale | 15.18 | &nbsp;&nbsp;&nbsp;&nbsp;6.75 | &nbsp;&nbsp;&nbsp;&nbsp;6.83 |
| MSCI ACWI (reflects no deduction for fees, expenses, or taxes, except foreign withholding taxes on dividends) | 22.34 | &nbsp;&nbsp;&nbsp;&nbsp;11.19 | &nbsp;&nbsp;&nbsp;&nbsp;11.72 |

---

**Investment management**

------

**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Wellington Management Company LLP

**31**

------

Fund summary

**Portfolio management**

------

The following individual is primarily responsible for the day-to-day management of the fund's portfolio.

---

| |
|:---|
| **G. Thomas Levering** |
| *Senior Managing Director and Global Industry Analyst*<br> Managed the fund since 2013<br>|

---

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**32**

------

Fund summary

John Hancock International Dynamic Growth Fund

**Investment objective**

------

To seek capital appreciation.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.75 |
| Other expenses | 0.07 |
| **Total annual fund operating expenses** | **0.82** |
| Contractual expense reimbursement | -0.01<br> <sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.81** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 83 |
| 3 years | 261 |
| 5 years | 454 |
| 10 years | 1013 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 135% of the average value of its portfolio.

**Principal investment strategies**

------

The manager seeks to achieve the fund's investment objective by investing in equity investments that the manager believes will provide higher returns than the MSCI ACWI ex USA Growth Index.

**33**

------

Fund summary

The fund primarily invests in a diversified portfolio of equity securities of foreign companies in a number of developed and emerging markets. The fund defines foreign companies as companies: (i) that are organized under the laws of a foreign country; (ii) whose principal trading market is in a foreign country; or (iii) that have a majority of their assets, or that derive a majority of their revenue or profit growth, from businesses, investments or sales outside of the United States. The manager will consider, but is not limited to, MSCI market classifications in determining whether a country is a developed or emerging market country. Although the fund may invest in companies of any market-capitalization, the fund typically invests in companies with a market capitalization over $250 million. The fund may focus its investments in a particular sector or sectors of the economy. The fund invests primarily in common stocks, but may also invest in participatory notes.

The manager's growth philosophy and process is focused on fundamental, bottom-up stock selection and includes three key elements: (i) positive fundamental changes, (ii) sustainable earnings growth, and (iii) an attractive valuation. The manager's investment process generally begins with the broad universe of securities included in international equity indices, including China A-shares. The manager then focuses its fundamental research by collecting, scoring and monitoring forward-looking operational data related to specific companies, industries, and sectors. It then seeks to identify quantifiable changes by consistently tracking these data points. Once the manager has identified a positive change, it holistically assesses the key company, industry, secular, macro and country stock drivers and compares them to consensus expectations. The manager then determines a risk/return rating for each company it has identified. This ranking is utilized by the portfolio management team to build a portfolio with consistent and balanced risk/return characteristics.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The operational metrics and investment thesis of the portfolio's holdings are continuously monitored to ensure the ranking and weighting of each security in the portfolio is appropriate given the level of risk/return. The fund may trade securities actively as the investment thesis improves or deteriorates.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**Credit and counterparty risk.** A borrower of fund securities may not make timely payments or otherwise honor its obligations.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Growth company securities may fluctuate more in price than other securities because of the greater emphasis on earnings expectations. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**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. ESG factors may include, but are not limited to, matters regarding board diversity, climate change policies, and supply chain and human rights policies. The manager may consider these ESG factors on all or a meaningful portion of the fund's investments. Integration of ESG factors into the fund's investment process does not preclude the fund from including companies with low ESG characteristics or excluding companies with high ESG characteristics in the fund's investments. 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.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets.

**Hong Kong Stock Connect Program (Stock Connect) risk.** Trading in China A-Shares through Stock Connect, a mutual market access program that enables foreign investment in the People's Republic of China (PRC), is subject to certain restrictions and risks. Securities listed on Stock

**34**

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Fund summary

Connect may lose purchase eligibility, which could adversely affect the fund's performance. Trading through Stock Connect is subject to trading, clearance, and settlement procedures that may continue to develop as the program matures. Any changes in laws, regulations and policies applicable to Stock Connect may affect China A-Share prices. These risks are heightened by the underdeveloped state of the PRC's investment and banking systems in general.

**Geographic focus risk.** The fund's performance will be closely tied to the market, currency, economic, political, regulatory, geopolitical, and other conditions in the countries or regions in which the fund's assets are invested and may be more volatile than the performance of more geographically-diversified funds.

**High portfolio turnover risk.** Trading securities actively and frequently can increase transaction costs (thus lowering performance) and taxable distributions.

**Industry or sector investing risk.** The performance of a fund that focuses on a single industry or sector of the economy depends in large part on the performance of that industry or sector. As a result, the value of an investment may fluctuate more widely since it is more susceptible to market, economic, political, regulatory, and other conditions and risks affecting that industry or sector than a fund that invests more broadly across industries and sectors.

**Information technology companies risk.** Information technology companies can be significantly affected by rapid obsolescence, short product cycles, competition from new market entrants, and heightened cybersecurity risk, among other factors.

**Large company risk.** Larger companies may grow more slowly than smaller companies or be slower to respond to business developments. Large-capitalization securities may underperform the market as a whole.

**Liquidity risk.** The extent (if at all) to which a security may be sold without negatively impacting its market value may be impaired by reduced market activity or participation, legal restrictions, or other economic and market impediments.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Participatory notes risk.** Participatory notes (p-notes) represent interests in securities listed on certain foreign exchanges. Due to transaction costs and other expenses, p-notes will not replicate exactly the performance of their underlying securities. P-notes are general unsecured contractual obligations of the financial institutions issuing the notes and are subject to liquidity risk and a high degree of counterparty risk.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. The MSCI ACWI ex USA Growth Index shows how the fund's performance compares against the returns of similar investments. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**35**

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Fund summary

**Calendar year total returns (%)—Class NAV**

![](g29800imgd74ac9589.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q2 2020 | 26.92% |
| **Worst quarter:** | Q2 2022 | -16.97% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | |
|:---|:---|:---|:---|
|  |  |  | &nbsp;&nbsp; **Since** <br> **inception**<br>|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **04/17/2019** |
| **Class NAV** (before tax) | 23.13 | &nbsp;&nbsp;&nbsp;&nbsp;8.33 | &nbsp;&nbsp;&nbsp;&nbsp;13.22 |
| after tax on distributions | 22.08 | &nbsp;&nbsp;&nbsp;&nbsp;6.53 | &nbsp;&nbsp;&nbsp;&nbsp;11.57 |
| after tax on distributions, with sale | 14.13 | &nbsp;&nbsp;&nbsp;&nbsp;6.00 | &nbsp;&nbsp;&nbsp;&nbsp;10.26 |
| MSCI ACWI ex USA Index (reflects no deduction for fees, expenses, or taxes, except foreign withholding taxes on dividends) | 32.39 | &nbsp;&nbsp;&nbsp;&nbsp;7.91 | &nbsp;&nbsp;&nbsp;&nbsp;8.52 |
| MSCI ACWI ex USA Growth Index (reflects no deduction for fees, expenses, or taxes, except foreign withholding taxes on <br> dividends)<br>| 25.65 | &nbsp;&nbsp;&nbsp;&nbsp;4.01 | &nbsp;&nbsp;&nbsp;&nbsp;7.66 |

---

**Investment management**

------

**Investment advisor** John Hancock Investment Management LLC

**Subadvisor** Axiom Investors LLC

**Portfolio management**

------

The following individuals are jointly and primarily responsible for the day-to-day management of the fund's portfolio.

---

| | | |
|:---|:---|:---|
| **Bradley Amoils** | **Dean Bumbaca, CFA** | **Andrew Jacobson, CFA** |
| *Managing Director and Portfolio Manager*<br> Managed fund since 2019<br>| &nbsp;&nbsp; *Associate Portfolio Manager*<br> Managed the fund since 2022<br>| &nbsp;&nbsp; *CEO and Chief Investment Officer*<br> Managed the fund since 2019<br>|

---

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**36**

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Fund summary

John Hancock Small Cap Core Fund

**Investment objective**

------

To seek long-term capital appreciation.

**Fees and expenses**

------

This table describes the fees and expenses you may pay if you buy, hold, and sell shares of the fund. **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below.** 

---

| | |
|:---|:---|
| **Shareholder fees (%)** (fees paid directly from your investment) | **NAV** |
| Maximum front-end sales charge (load) |  |
| Maximum deferred sales charge (load) |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **Annual fund operating expenses (%)** (expenses that you pay each year as a percentage of the value of your investment) | **NAV** |
| Management fee | 0.82 |
| Other expenses | 0.05 |
| **Total annual fund operating expenses** | **0.87** |
| Contractual expense reimbursement | -0.01 <br><sup>1</sup><br>|
| **Total annual fund operating expenses after expense reimbursements** | **0.86** |

---

**1**

The advisor contractually agrees to waive a portion of its management fee and/or reimburse expenses for the fund and certain other John Hancock funds according to an asset level breakpoint schedule that is based on the aggregate net assets of all the funds participating in the waiver or reimbursement, including the fund (the participating portfolios). This waiver equals, on an annualized basis, 0.0100% of that portion of the aggregate net assets of all the participating portfolios that exceeds $75 billion but is less than or equal to $125 billion; 0.0125% of that portion of the aggregate net assets of all the participating portfolios that exceeds $125 billion but is less than or equal to $150 billion; 0.0150% of that portion of the aggregate net assets of all the participating portfolios that exceeds $150 billion but is less than or equal to $175 billion; 0.0175% of that portion of the aggregate net assets of all the participating portfolios that exceeds $175 billion but is less than or equal to $200 billion; 0.0200% of that portion of the aggregate net assets of all the participating portfolios that exceeds $200 billion but is less than or equal to $225 billion; and 0.0225% of that portion of the aggregate net assets of all the participating portfolios that exceeds $225 billion. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each participating portfolio. During its most recent fiscal year, the fund's reimbursement amounted to 0.01% of the fund's average daily net assets. This agreement expires on July 31, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

**Expense example**

------

This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. Please see below a hypothetical example showing the expenses of a $10,000 investment for the time periods indicated and then assuming you sell all of your shares at the end of those periods. The example assumes a 5% average annual return and that fund expenses will not change over the periods. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

---

| | |
|:---|:---|
| **Expenses ($)** | **NAV** |
| 1 year | 88 |
| 3 years | 277 |
| 5 years | 481 |
| 10 years | 1072 |

---

**Portfolio turnover**

------

The fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund's performance. During its most recent fiscal year, the fund's portfolio turnover rate was 63% of the average value of its portfolio.

**Principal investment strategies**

------

Under normal market conditions, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of small-capitalization companies. The fund considers small-capitalization companies to be those that, at the time of investment, are in the capitalization range of the Russell 2000 Index, with a maximum market capitalization of $31.44 billion as of December 31, 2025. The fund generally will not invest in

**37**

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Fund summary

companies that, at the time of purchase, have market capitalizations of $5 billion or more. Equity securities include common and preferred stocks, rights, warrants, and depositary receipts.

The manager emphasizes a fundamental, bottom-up approach to individual stock selection, looking for companies with durable, niche business models with the potential for high returns on capital and that the manager believes are undervalued. Companies are screened based on a number of factors, including balance sheet quality, profitability, liquidity, size, and risk profile.

The fund intends to invest in a number of different sectors based on stock selection and sector weightings may vary significantly from its benchmark. The fund may focus its investments in a particular sector or sectors. The fund may invest up to 10% of its total assets in foreign securities including emerging-market securities and securities of non-U.S. companies traded on a U.S. exchange.

The fund may invest in initial public offerings (IPOs), real estate investment trusts (REITs) or other real estate-related equity securities, and certain exchange-traded funds (ETFs).

The fund normally will invest 10% or less of its total assets in cash and cash equivalents, including repurchase agreements, money market securities, U.S. government securities, and other short-term investments. The fund may invest in derivatives to a limited extent. Derivatives may be used to reduce risk and/or obtain efficient market exposure, and may include futures contracts and foreign currency forward contracts.

**Principal risks**

------

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. Many factors affect performance, and fund shares will fluctuate in price, meaning you could lose money. The fund's investment strategy may not produce the intended results.

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 50 of the prospectus*.

**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 objective and may negatively impact the fund's performance.

**Credit and counterparty risk.** The counterparty to an over-the-counter derivatives contract or a borrower of fund securities may not make timely payments or otherwise honor its obligations. U.S. government securities are subject to varying degrees of credit risk depending upon the nature of their support. A downgrade or default affecting any of the fund's securities could affect the fund's performance.

**Economic and market events risk.** Events in the U.S. and global financial markets, including actions taken by the U.S. Federal Reserve or foreign central banks to stimulate or stabilize economic growth, may at times result in unusually high market volatility, which could negatively impact performance. Reduced liquidity in credit and fixed-income markets could adversely affect issuers worldwide. Banks and financial services companies could suffer losses if interest rates rise or economic conditions deteriorate.

**Equity securities risk.** The price of equity securities may decline due to changes in a company's financial condition or overall market conditions. Securities the manager believes are undervalued may never realize their full potential value, and in certain markets value stocks may underperform the market as a whole.

**Exchange-traded funds (ETFs) risk.** The risks of owning shares of an ETF include the risks of owning the underlying securities the ETF holds. Lack of liquidity in an ETF could result in the ETF being more volatile than its underlying securities. An ETF's shares could trade at a significant premium or discount to its net asset value (NAV). A fund bears ETF fees and expenses indirectly.

**Foreign securities risk.** 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 economic developments may adversely impact the value of foreign securities. The risks of investing in foreign securities are magnified in emerging markets. 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.

**Hedging, derivatives, and other strategic transactions risk.** Hedging, derivatives, and other strategic transactions may increase a fund's volatility and could produce disproportionate losses, potentially more than the fund's principal investment. Risks of these transactions are different from and possibly greater than risks of investing directly in securities and other traditional instruments. Under certain market conditions, derivatives could become harder to value or sell and may become subject to liquidity risk (i.e., the inability to enter into closing transactions). Derivatives and other strategic transactions that the fund intends to utilize include: foreign currency forward contracts and futures contracts. Foreign currency forward contracts and futures contracts generally are subject to counterparty risk. Derivatives associated with foreign currency transactions are subject to currency risk.

**38**

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Fund summary

**Information technology companies risk.** Information technology companies can be significantly affected by rapid obsolescence, short product cycles, competition from new market entrants, and heightened cybersecurity risk, among other factors.

**Initial public offerings (IPOs) risk.** IPO share prices are frequently volatile and may significantly impact fund performance.

**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.

**Operational and cybersecurity risk.** Cybersecurity breaches may allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or its service providers to suffer data corruption or lose operational functionality. Similar incidents affecting issuers of a fund's securities may negatively impact performance. Operational risk may arise from human error, error by third parties, communication errors, or technology failures, among other causes.

**Preferred stock risk.** Preferred stock generally ranks senior to common stock with respect to dividends and liquidation but ranks junior to debt securities. Unlike interest payments on debt securities, preferred stock dividends are payable only if declared by the issuer's board of directors. Preferred stock may be subject to optional or mandatory redemption provisions.

**Real estate investment trust (REIT) risk.** REITs, pooled investment vehicles that typically invest in real estate directly or in loans collateralized by real estate, carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**Real estate securities risk.** Securities of companies in the real estate industry carry risks associated with owning real estate, including the potential for a decline in value due to economic or market conditions.

**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 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.

**Sector risk.** When a fund focuses its investments in certain sectors of the economy, its performance may be driven largely by sector performance and could fluctuate more widely than if the fund were invested more evenly across sectors.

**Small and mid-sized company risk.** Small and mid-sized companies are generally less established and may be more volatile than larger companies. Small and/or mid-capitalization securities may underperform the market as a whole.

**Warrants risk.** The prices of warrants may not precisely reflect the prices of their underlying securities. Warrant holders do not receive dividends or have voting or credit rights. A warrant ceases to have value if not exercised prior to its expiration date.

**Past performance**

------

The following information illustrates the variability of the fund's returns and provides some indication of the risks of investing in the fund by showing changes in the fund's performance from year to year and by showing how the fund's average annual returns compared with a broad-based securities market index. Past performance (before and after taxes) does not indicate future results. The Russell 2000 Index shows how the fund's performance compares against the returns of similar investments. All figures assume dividend reinvestment. Performance information is updated daily, monthly, and quarterly and may be obtained by calling 800-344-1029 between 8:00 a.m. and 7:00 p.m., Eastern time, on most business days.

Please note that after-tax returns reflect the highest individual federal marginal income-tax rate in effect as of the date provided and do not reflect any state or local taxes. Your actual after-tax returns may be different. After-tax returns are not relevant to shares held in an IRA, 401(k), or other tax-advantaged investment plan.

**Calendar year total returns (%)—Class NAV**

![](g29800img1d69fa7e10.jpg)

---

| | | |
|:---|:---|:---|
| **Best quarter:** | Q4 2020 | 27.35% |
| **Worst quarter:** | Q1 2020 | -26.27% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**39**

------

Fund summary

---

| | | | |
|:---|:---|:---|:---|
| **Average annual total returns (%)—as of 12/31/2025** | **1 year** | **5 year** | **10 year** |
| **Class NAV** (before tax) | &nbsp;&nbsp; -1.80 | &nbsp;&nbsp;&nbsp;&nbsp;4.99 | &nbsp;&nbsp;&nbsp;&nbsp;9.47 |
| after tax on distributions | &nbsp;&nbsp; -2.85 | &nbsp;&nbsp;&nbsp;&nbsp;3.87 | &nbsp;&nbsp;&nbsp;&nbsp;8.28 |
| after tax on distributions, with sale | &nbsp;&nbsp; -0.35 | &nbsp;&nbsp;&nbsp;&nbsp;3.66 | &nbsp;&nbsp;&nbsp;&nbsp;7.38 |
| Russell 3000 Index (reflects no deduction for fees, expenses, or taxes) | 17.15 | &nbsp;&nbsp;&nbsp;&nbsp;13.15 | &nbsp;&nbsp;&nbsp;&nbsp;14.29 |
| Russell 2000 Index (reflects no deduction for fees, expenses, or taxes) | 12.81 | &nbsp;&nbsp;&nbsp;&nbsp;6.09 | &nbsp;&nbsp;&nbsp;&nbsp;9.62 |

---

**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.

---

| | | |
|:---|:---|:---|
| **Ryan Davies, CFA** | **Joseph Nowinski** | **Bill Talbot, CFA**<sup>1</sup> <br>|
| *Portfolio Manager*<br> Managed the fund since 2022<br>| &nbsp;&nbsp; *Senior Portfolio Manager*<br> Managed the fund since 2022<br>| &nbsp;&nbsp; *Senior Portfolio Manager, Head of US Small Cap* <br> *Equities*<br> Managed the fund since 2013<br>|

---

**1**

Effective December 31, 2026, Bill Talbot no longer serves as a portfolio manager of the fund.

**Purchase and sale of fund shares**

------

There are no minimum initial or subsequent investment requirements. Shares may be redeemed on any business day on instruction to the fund.

**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. Ask your salesperson or visit your financial intermediary's website for more information.

**40**

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Fund details

**Principal investment strategies**

------

**Disciplined Value International Fund**

**Investment Objective:** The fund seeks long-term capital growth.

The Board of Trustees can change the fund's investment objective and strategies without shareholder approval.

The fund pursues its investment objective by investing, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in a portfolio of equity and equity-related securities issued by non-U.S. companies of any capitalization size. The fund may invest in all types of equity and equity-related securities, including, without limitation, exchange-traded and over-the-counter common and preferred stocks, warrants, options, rights, convertible securities, sponsored and unsponsored depositary receipts and shares, trust certificates, participatory notes, limited partnership interests, shares of other investment companies (including exchange-traded funds (ETFs)), real estate investment trusts (REITs), and equity participations. An equity participation is a type of loan that gives the lender a portion of equity ownership in a property, in addition to principal and interest payments. A convertible security is a bond, debenture, note, preferred stock, or other security that may be converted into or exchanged for a prescribed amount of common stock of the same or a different issuer within a particular period of time at a specified price or formula.

The fund defines non-U.S. companies as companies: (i) that are organized under the laws of a foreign country; (ii) whose principal trading market is in a foreign country; or (iii) that have a majority of their assets, or that derive a significant portion of their revenue or profits, from businesses, investments, or sales outside of the United States. The fund primarily will be invested in issuers located in countries with developed securities markets, but may also invest in issuers located in emerging markets.

The fund may invest in securities denominated in the currencies of a variety of developed, emerging and frontier market countries.

The fund generally invests in the equity securities of issuers believed by the manager to be undervalued in the marketplace, focusing on issuers that combine attractive valuations with catalysts for change. The manager applies a bottom-up stock selection process (i.e., one that focuses primarily on issuer-specific factors) in managing the fund, using a combination of fundamental and quantitative analysis. In selecting investments for the fund, the manager considers various factors, such as price-to-book value, price-to-sales and earnings ratios, dividend yields, strength of management, and cash flow to identify securities that are trading at a price that appears to be lower than the issuer's inherent value.

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. Because ESG factors are considered alongside

other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may (but is not required to) invest in derivatives, including put and call options, futures, forward contracts, and swaps, in lieu of investing directly in a security, currency or instrument, for hedging and nonhedging purposes, including reducing risk, obtaining efficient market exposure, and/or enhancing investment returns.

The fund may invest up to 15% of its net assets in illiquid securities, including securities that are illiquid by virtue of the absence of a readily available market or legal or contractual restrictions on resale.

The fund may participate as a purchaser in Initial Public Offerings (IPOs). An IPO is a company's first offering of stock to the public. The fund may also seek to increase its income by lending portfolio securities.

The manager will sell a stock when it no longer meets one or more investment criteria, either through obtaining target value or due to an adverse change in fundamentals or business momentum. Each holding has a target valuation established at purchase, which the manager constantly monitors and adjusts as appropriate.

The fund may invest in cash or money market instruments for the purpose of meeting redemption requests or making other anticipated cash payments.

A 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**

A 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.

**Securities lending**

The fund may lend its securities so long as such loans do not represent more than 33⅓% of the fund's total assets. The borrower will provide collateral to the lending portfolio so that the value of the loaned security will be fully collateralized. The collateral may consist of cash, cash equivalents, or securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. The borrower must also agree to increase the collateral if the value of the loaned securities increases. As with other extensions of credit, there are risks of delay in recovery or even loss of rights in the collateral should the borrower of the securities fail financially.

**Diversified Macro Fund**

**Investment Objective:** The fund seeks long-term capital appreciation.

The Board of Trustees can change the fund's investment objective and strategies without shareholder approval.

**41**

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Fund details

The fund pursues its investment objective by utilizing a multi-asset, quantitatively driven investment strategy that seeks to provide exposure to diversified sources of return. The fund's investment strategy is an active, long and short strategy that utilizes fundamental and price-based indicators to establish return forecasts across a broad range of asset classes globally. The investment strategy is expected to incorporate a variety of directional (market specific) and cross sectional (multiple market) sub-models, currently including models that generate macro fundamental forecasts, assess yield and earnings differentials, compare current valuations relative to historic fair value, and analyze directional price trends across markets.

The investment strategy utilizes multiple alpha sources adapted to different market regimes and price behavior. The manager will allocate the fund's assets across a range of asset classes comprising equities, fixed income, foreign currencies, and commodities. Exposure to these asset classes will be implemented by investing in derivative instruments, including futures (including equity index futures, interest rate futures, bond futures and commodity futures), and foreign currency forward contracts. Given the dynamic nature of the fund's investment process and the underlying exposures within the fund, the fund's overall exposure to derivative instruments will vary over time. Assets classes, markets and contracts included in the investment strategy will be added, removed or modified as new and existing sub-models and alpha sources are updated from time to time.

Quantitative risk management and portfolio construction techniques will be employed to control exposure across individual markets and sectors in an effort to enhance returns as well as to maintain the fund's diversification and volatility objectives. The fund is actively managed and the fund's asset class exposures will vary over time based on the manager's proprietary investment models and, in part, on maintaining portfolio diversification. The fund's risk management and portfolio construction process is designed to diversify risk across markets and sectors.

The fund, on average, will target a long-term (i.e., a variable multi-year period) annualized volatility of approximately 8%. Volatility is a statistical measurement of the dispersion of returns of a security or fund or index. The fund's actual or realized volatility level for longer or shorter periods of time may be materially higher or lower depending on market conditions. Higher volatility generally indicates higher risk. Actual or realized volatility can and will differ from the target volatility described above.

The fund is generally intended to have a low correlation to the equity and bond markets. The fund is not designed to match the performance of any hedge fund index or benchmark and may be characterized as "macro" or "multi-asset" in nature. The manager will attempt to mitigate risk through diversification of holdings and through the active monitoring of volatility, counterparties and other risk factors.

The fund's use of derivatives will have the economic effect of financial leverage. Financial leverage magnifies exposure to the swings in prices of an asset class underlying an instrument and results in increased volatility, which means the fund will have the potential for greater gains as well as the potential for greater losses than if the fund does not use instruments that have a leveraging effect.

Due to the fund's use of derivative instruments such as futures, foreign currency futures and forward contracts, a significant portion of the fund's assets will be invested directly or indirectly in money market instruments, which may include U.S. Government securities, U.S. Government agency securities, overnight and/or fixed-term repurchase agreements, money market mutual fund shares and cash and cash equivalents for use as margin or collateral for these derivative instruments. Such investments may generate income for the fund. Under a repurchase agreement, the fund buys securities that the seller has agreed to buy back at a specified time and at a set price.

*Investment in the Subsidiary*. The fund may gain exposure to the commodities markets by investing up to 25% of its total assets in a wholly-owned subsidiary of the fund organized as a company under the laws of the Cayman Islands: John Hancock Diversified Macro Offshore Subsidiary Fund, Ltd. (the Diversified Macro Subsidiary). The Diversified Macro Subsidiary is advised by the subadvisor, under the supervision of the advisor, and seeks to gain commodities exposure.

The Diversified Macro Subsidiary primarily obtains its commodity exposure by investing in commodity-linked derivative instruments, which may include but are not limited to total return swaps, commodity (U.S. or foreign) futures and commodity-linked notes. Commodity-linked swaps are derivative instruments whereby the cash flows agreed upon between counterparties are dependent upon the price of the underlying commodity or commodity index over the life of the swap. Commodity futures contracts are standardized, exchange-traded contracts that provide for the sale or purchase of, or economic exposure to the price of, a commodity or a specified basket of commodities at a future time. The value of these commodity linked derivatives will rise and fall in response to changes in the underlying commodity or commodity index. Commodity-linked derivatives expose the Diversified Macro Subsidiary and the fund economically to movements in commodity prices. Such instruments may be leveraged so that small changes in the underlying commodity prices would result in disproportionate changes in the value of the instrument. Neither the fund nor the Diversified Macro Subsidiary intends to invest directly in physical commodities. The Diversified Macro Subsidiary may also invest in other instruments, including fixed-income securities, either as investments or to serve as margin or collateral for its swap positions, and foreign currency transactions (including forward contracts).

A 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**

A fund may invest up to 100% of its assets in cash, money market instruments, repurchase agreements, or other short-term instruments 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.

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**Emerging Markets Equity Fund**

**Investment Objective:** The fund seeks long-term capital growth.

The Board of Trustees can change the fund's investment objective and strategies 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 and equity-related securities of emerging-market issuers. The fund defines emerging-market issuers as issuers: (i) that are organized under the laws of an emerging-market country; or (ii) whose principal trading market is in an emerging-market country; or (iii) that have a majority of their assets, or that derive a majority of their revenue or profits, from businesses or investments in emerging-market countries. The manager may consider, but is not limited to, the classifications by the World Bank, the International Finance Corporation, or the United Nations and its agencies in determining whether a country is an emerging- or a developed-market country. The fund seeks to invest in securities that the manager considers to be undervalued or otherwise offer good prospects for capital growth.

The fund intends to invest in equity securities listed on bona fide securities exchanges or actively traded on over-the-counter markets. These exchanges may be either within or outside the issuer's domicile country. Equity and equity-related securities include common stocks, preferred stocks, convertible securities, warrants, and other similar securities.

The fund may also invest in other investment companies (including closed-end funds) and other pooled investment vehicles that are themselves dedicated to investment in developing or emerging market economies.

Disciplined, fundamentals-based, bottom-up stock selection lies at the heart of the manager's investment process for the fund. The manager intends to focus on high quality companies within a diverse range of dynamic emerging economies that are well placed to benefit from long-term structural growth trends because of the strength of their business models. The manager aims to identify reasonably valued companies with strong assets and sustainable economic advantage, backed by balance sheet strength, and superior management skill and integrity. The manager prefers companies generating high levels of free cash-flow to support a sustainable dividend payout. Although there is no sector or geographical bias, the fund may focus its investments in a particular sector or sectors of the economy. The fund management style is active and conviction-driven. The fund may invest in companies of any market capitalization.

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. Because ESG factors are considered alongside

other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

Due to volatile conditions in emerging markets, the fund's investment process may result in a higher-than-average portfolio turnover ratio, which could increase transaction costs.

The fund may attempt to mitigate the risk of unintended currency fluctuations through the use of exchange-listed or over-the-counter financial derivatives instruments, including currency forwards, nondeliverable forwards, currency options, and index options. The fund may use derivatives such as futures contracts and options on futures contracts to gain market exposure on uninvested cash, pending investment in securities, or to maintain liquidity to pay redemptions. The fund may enter into futures contracts and options on futures contracts for emerging-market or other equity-market securities and indices, including those of the United States. The fund may also enter into forward currency contracts to facilitate the settlement of equity purchases of foreign securities, repatriation of foreign currency balances, or exchange of one foreign currency to another currency.

The fund may invest in cash or money market instruments for the purpose of meeting redemption requests or making other anticipated cash payments.

A 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**

A 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.

**Financial Industries Fund**

**Investment Objective:** The fund seeks capital appreciation.

The Board of Trustees can change the fund's investment objective and strategies 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 of U.S. and foreign financial services companies of any size. These companies include, but are not limited to, banks, thrifts, finance and financial technology companies, brokerage and advisory firms, real estate related firms, insurance companies, and financial holding companies. Equity securities include, but are not limited to, common and preferred stock and their equivalents, such as publicly traded limited partnerships, depositary receipts, rights, and warrants. The fund may

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gain exposure to securities described in these strategies through investments in investment companies and pooled investment vehicles.

In managing the fund, the manager focuses primarily on equity securities selection rather than industry allocation. In choosing individual equity securities, the manager uses fundamental financial analysis to identify securities that appear comparatively undervalued. The manager generally gathers information about companies from interviews with company executives and company visits.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may invest in U.S. and foreign bonds, including up to 5% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CCC by S&P Global Ratings or Caa by Moody's Investors Service, Inc. and their unrated equivalents. It may also invest up to 15% of net assets in investment-grade short-term securities. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest in companies located in emerging-market countries.

The fund may, to a limited extent, engage in derivatives transactions that include futures contracts, options, and foreign currency forward contracts, in each case for the purpose of reducing risk, obtaining efficient market exposure, and/or enhancing investment returns.

The fund focuses its investments in securities of issuers in the financial services sector.

The fund may invest in cash or money market instruments for the purpose of meeting redemption requests or making other anticipated cash payments.

A 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**

A fund may temporarily invest up to 80% of its assets in 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.

**Securities lending**

The fund may lend its securities so long as such loans do not represent more than 33⅓% of the fund's total assets. The borrower will provide

collateral to the lending portfolio so that the value of the loaned security will be fully collateralized. The collateral may consist of cash, cash equivalents, or securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. The borrower must also agree to increase the collateral if the value of the loaned securities increases. As with other extensions of credit, there are risks of delay in recovery or even loss of rights in the collateral should the borrower of the securities fail financially.

**Fundamental Large Cap Core Fund**

**Investment Objective:** The fund seeks long-term capital appreciation.

The Board of Trustees can change the fund's investment objective and strategies 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 of large-capitalization companies. The fund considers large-capitalization companies to be those companies in the capitalization range of the S&P 500 Index, which was approximately $5.54 billion to $4,531 billion as of December 31, 2025. Equity securities include common and preferred stocks and their equivalents.

In managing the fund, the manager looks for companies that are undervalued and/or that offer the potential for above-average earnings growth. The manager employs a combination of proprietary financial models and bottom-up, fundamental financial research to identify companies that are selling at what appear to be substantial discounts to their long-term intrinsic value. These companies often have identifiable catalysts for growth, such as new products, business reorganizations, or mergers.

The fund manages risk by typically holding between 45 and 65 large companies in a broad range of industries. The fund may focus its investments in a particular sector or sectors of the economy. The manager also uses fundamental financial analysis to identify individual companies with substantial cash flows, reliable revenue streams, superior competitive positions, and strong management.

The fund may attempt to take advantage of short-term market volatility by investing in corporate restructurings or pending acquisitions.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may invest up to 20% of its assets in bonds of any maturity, with up to 15% of net assets in below-investment-grade bonds (i.e., junk bonds) rated as low as CC by S&P Global Ratings or Ca by Moody's Investors Service, Inc. and their unrated equivalents. In selecting bonds,

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the manager looks for the most favorable risk/return ratios. The fund's investment policies are based on credit ratings at the time of purchase.

The fund may invest up to 35% of its assets in foreign securities.

The fund may trade securities actively, which could increase its transaction costs (thus lowering performance) and increase your taxable distributions.

The fund may, to a limited extent, engage in derivatives transactions that include futures contracts, options, and foreign currency forward contracts, in each case for the purpose of reducing risk and/or obtaining efficient market exposure.

The fund may invest in cash or money market instruments for the purpose of meeting redemption requests or making other anticipated cash payments.

A 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**

A fund may temporarily invest extensively in 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.

**Global Environmental Opportunities Fund** 

**Investment Objective:** To seek growth through capital appreciation by investing primarily in Environmental Companies (as defined below).

Under normal circumstances, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in securities of Environmental Companies.

The Board of Trustees can change the fund's investment objective and strategies without shareholder approval.

**The Planetary Boundaries** 

The Planetary Boundaries (PB) is the scientific environmental framework which the manager uses to identify Environmental Companies. The PB framework was developed by a group of universities across the world. The PB framework identifies a set of nine boundaries considered most crucial for maintaining the stability of the earth's ecosystems on which human society depends. Remaining within these nine boundaries is considered the "Safe Operating Space," within which human society and the planet can continue to thrive. Exceeding those boundaries (i.e., being outside the Safe Operating Space) will increase the risk of large-scale adverse or irreversible environmental changes that will negatively impact the future of human society and development.

The nine environmental boundaries as originally identified in 2009 are: climate change; rate of biodiversity loss (terrestrial and marine); interference with the nitrogen and phosphorus cycles (i.e., biogeochemical flows); stratospheric ozone depletion; ocean acidification; global freshwater use; change in land use; chemical

pollution; and atmospheric aerosol loading. Further information on each of the boundaries is set forth below under "Information Regarding the Planetary Boundaries."

As of January 2026, the following boundaries have been crossed: climate change, rate of biodiversity loss, land-system change, biogeochemical flows, novel entities (chemical pollution), ocean acidification, and freshwater change. This does not impact the manager's investment process, as a boundary that has been crossed simply implies a greater need to reduce stress on that boundary to reverse the trend. The PB framework is not a static framework but subject to change based on evolving scientific research. The following is a graphic representation of the boundaries as of January 2026, this is used for illustrative purposes to demonstrate the PB framework and may change.

![](g29800imgb9a3350b6.jpg)

Source: Stockholm Resilience Centre, Pictet Asset Management, January 2026

**Defining Environmental Companies** 

The manager defines Environmental Companies as:

**1**

Companies that operate within the Safe Operating Space of the Planetary Boundaries, **and** 

**2**

Companies, all or a portion of whose business activities reduce stress in at least one of the boundaries in the PB framework.

The two-step process to identify investable Environmental Companies applied by the manager is detailed below.

***Step One:*** The manager screens the global universe of equity companies (approximately 40,000 companies) for those that have environmental footprints within the Safe Operating Space of the PB framework. Environmental footprint is defined as the effect that a person, company, and/or activity has on the environment, such as the amount of natural resources that they use and the amount of harmful gases that they produce.

This first step is achieved by a screening process that includes a Life Cycle Assessment (LCA) analysis to identify companies whose activities, operations and products across their whole life cycle are within the Safe Operating Space of the PB framework. The LCA analysis assesses the impact on the nine boundaries associated with all the stages of the life of a company's products, services or activities. To facilitate this analysis, the manager has developed a proprietary LCA model using their own data as well as inputs from various external databases. The underlying data used as inputs for the manager's proprietary LCA model include over 30

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different types of environmental impact measures (for example, Methane emission, CFC (Chlorofluorocarbon) emissions, Water consumption, and CO2 emissions). External databases used to develop the LCA model include those from universities, other third-party providers and other proprietary LCA databases. The LCA analysis may be complemented by input from environmental consulting companies that specialize in Life Cycle Assessments and have partnered exclusively with the manager. The inputs the manager uses for the LCA model, and any current partnerships with external environmental consultants, are subject to change.

If a company is operating beyond the Safe Operating Space of one boundary, but is within the Safe Operating Space of another boundary, the manager would consider the average impact of the company across all boundaries and the company would not be prohibited from passing the screen. Typically, 4,000 companies pass through the screen at this part of the process.

***Step Two:*** After screening for companies that are within the Safe Operating Space defined by the Planetary Boundaries in Step One, the manager then narrows this investable universe to identify Environmental Companies. To be eligible as an Environmental Company, all or a portion of a company's business activities must reduce stress in at least one or more of the planetary boundaries and potentially help adapt to the impacts of such stress. Specifically, the company must reduce the impact of human activity on such boundary so that the boundary is not exceeded or further exceeded and potentially help the economy to adapt to adverse environmental impacts.

Business activities are defined as selling and/or creating products, technologies and/or services, including the provision of related support services. These business activities include those related to water usage, energy efficiency, renewable energy, sustainable forestry, organic agriculture, pollution control, dematerialized economy, waste management and recycling, as well as any the manager identifies as reducing stress on one or more Planetary Boundaries and potentially help adapt to the impacts of such stress.

To measure whether a business activity reduces stress in any boundary, the manager uses quantitative inputs from the proprietary LCA analysis and database referred to above. The manager is able to complement this with qualitative judgement based on its knowledge of the company and experience with environmental business activities to determine whether an Environmental Company reduces stress on one or more boundaries. Typically, 400 stocks are identified and defined as Environmental Companies after Step One and Step Two.

**Portfolio Construction** 

Once the universe of Environmental Companies is identified, the manager applies in-depth fundamental research to select the companies that the manager believes present the most attractive risk-return characteristics. In this analysis, the manager considers fundamental characteristics such as the company's competitiveness, management quality, valuation and industry risk factors. The analysis also systematically integrates Social and Governance ESG factors at this stage of the portfolio construction process. Environmental and Social factors are evaluated as part of a company's competitiveness and business franchise characteristics. The manager forms its own view based on primary research but is also supported by external data from third-party providers. The manager's

view on a company's Governance is also integrated as part of the analysis on management quality, where the manager's primary research and views are complemented by third-party data providers. A low ESG score would affect the overall score assigned to the security by the manager and, therefore, whether the security is chosen for the fund, and, if chosen, the weight of that security in the portfolio. The ESG factors utilized during this stage of the portfolio construction process may change over time. The final result is a high conviction portfolio of Environmental Companies.

The fund may invest in equity and equity-related securities issued by U.S. and non-U.S. companies, including common, convertible and preferred stock, warrants and depositary receipts. The fund does not limit its investments to companies in a particular market capitalization range and, at times, may invest a substantial portion of its assets in one or more particular market capitalization ranges.

The fund seeks investment exposure to a number of countries throughout the world. Under normal circumstances, the fund will invest in companies domiciled, incorporated, organized or headquartered in at least three countries outside the U.S., including developing and emerging market countries (Foreign Companies). The manager will consider, but is not limited to, the MSCI market classifications in determining whether a country is a developed or emerging market country. Although the fund can invest up to 100% of its assets in the securities of Foreign Companies, under normal circumstances it generally expects to invest at least 40% of its assets in the securities of such companies. However, if the manager determines, in its sole discretion, that market conditions are not favorable, the fund may invest less than 40% of its assets in Foreign Companies, but will not invest less than 30% of its assets in Foreign Companies.

The manager votes proxies for securities held by the fund. The manager votes proxies in the best interest of the shareholders of the fund, considers each proposal individually and may vote against management's recommendations if the manager does not believe such recommendation is in the best interest of the shareholders of the fund. The fund has a vested interest in helping the companies in which it invests increase their value by improving corporate practices. Therefore, the manager may, in certain circumstances, use proxy voting as a tool to encourage positive corporate decision making. The manager's proxy voting policies describe the manager's process for voting such proxies and are included in the Statement of Additional Information of the fund.

**<u>Information Regarding the Planetary Boundaries.</u>** 

Information regarding each of the nine Planetary boundaries is set forth below. This information is not a scientific description of each Planetary Boundary but rather a general overview.

**Climate Change** 

The boundary for climate change is measured by the level of CO2 in the atmosphere. The suggested boundary is 350 parts per million (ppm) of CO2. As of January 2026, the earth's CO2 level in the atmosphere has already surpassed 400 ppm. Therefore, the boundary has been crossed. The amount of CO2 affects many of the earth's systems including polar sea-ice levels, sea levels and global temperature.

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**Rate of Biodiversity Loss (Terrestrial and Marine)** 

The boundary for biosphere integrity consists of genetic diversity and functional integrity. Genetic diversity is measured by the number of extinctions of species (such as animals, insects, and plants) per million species-years (E/MSY). The suggested boundary is 10 E/MSY. Current extinction rates are estimated to be between 100 and 1000 E/MSY. The functional component of the biosphere integrity boundary is defined by the human appropriation of net primary production (HANPP) as a fraction of its Holocene level. By 2020, actual NPP was 65.8 Gt of C per year due to global population and consumption increases, driving the system further into the zone of increasing risk.

**Interference with the Nitrogen Phosphorus Cycles (i.e., Biogeochemical Flows)** 

The boundary for biogeochemical flows includes flows for both phosphorus (P) and nitrogen (N). The suggested boundary for P is 11 teragrams (Tg) P per year and 62 Tg N per year. As of January 2026, the current flow of P is about 22 Tg per year and 150 Tg of N per year. Therefore, the boundary has been crossed. The increase in biochemical flows has been caused by human activities (e.g. industrial and agricultural processes, including the use of fertilizer in agricultural production). Nitrogen and Phosphorus can enter aquatic systems causing adverse changes to marine and aquatic life.

**Novel Entities (Chemical pollution)** 

The boundary for novel entities represents new substances, new forms of existing substances and modified life forms that have the potential for unwanted geophysical and biological effects. These substances include chemicals and other types of engineered materials. As of January 2026, the scientific community considers the novel entities planetary boundary to be crossed. Emissions of chemicals such as synthetic organic pollutants, heavy metal compounds and radioactive materials can have potentially irreversible effects on living organisms and on the physical environment. For example, persistent organic compounds have caused dramatic reductions in bird populations and impaired reproduction and development in marine mammals.

**Land system change** 

The boundary for land system change is that no less than 75% of original forest cover should remain as forestland. As of January 2026, approximately 60% of original forest cover remains as forestland. Therefore, the boundary has been crossed. Land system change is one factor negatively affecting biodiversity, water flows and the biogeochemical cycling of carbon, nitrogen and phosphorus and other important elements. While land system changes generally occur on a local scale, the aggregated impacts can have consequences on a global scale.

**Freshwater Change**

The boundary for freshwater change has been revised in the most recent update to comprehensively reflect anthropogenic modifications across the entire water cycle over land. This boundary now considers both blue water (surface and groundwater) and green water (plant-available water). The control variables are defined as the percentage of annual global ice-free land area with streamflow/root-zone soil moisture deviations from preindustrial variability. The control variables describe deviations

from the preindustrial state, with boundaries set at approximately 10% for blue water and 11% for green water. Currently, about 18% of the global land area experiences deviations in blue water, and about 16% experiences deviations in green water. Therefore, the revised definition indicates transgression of the freshwater change boundary.

**Ocean Acidification** 

The boundary is defined in terms of the marine saturation level of aragonite, a form of calcium carbonate. The boundary is set at a minimum of 2.75, or 80% of the pre-industrial level of 3.44. As of January 2026, the level is 2.9 or 84% of the pre-industrial level. Therefore, the boundary has not yet been crossed.

Approximately one fourth of the CO2 emitted into the atmosphere is ultimately dissolved in the oceans where it forms carbonic acid, altering ocean chemistry and decreasing the pH of the surface water. This increased acidity reduces the amount of available carbonate ions, an essential 'building block' used by many marine species for shell and skeleton formation. Beyond a threshold concentration, this rising acidity makes it hard for organisms, such as corals and some shellfish and plankton species, to grow and survive. Losses of these species could change the structure and dynamics of ocean ecosystems and could potentially lead to drastic reductions in fish stocks.

**Stratospheric ozone depletion** 

The boundary for stratospheric ozone levels is a minimum of 276 Dobson Units (DU), which corresponds to a maximum allowable depletion of 5% below the pre-industrial ozone levels of 290 DU. As of January 2026, DU levels are at 283. Therefore, the boundary has not been crossed.

The stratospheric ozone layer in the atmosphere filters out ultraviolet (UV) radiation from the sun. If this layer decreases, increasing amounts of UV radiation will reach ground level. This can cause a higher incidence of skin cancer in humans as well as damage to terrestrial and marine biological systems.

**Atmospheric aerosol loading** 

The boundary for atmospheric aerosol loading has been revised and is currently defined using the annual mean interhemispheric difference in aerosol optical depth (AOD) as a control variable. The present-day interhemispheric difference is approximately 0.076. The preindustrial annual mean value is estimated to be about 0.03, indicating an increase of approximately 0.04 in the industrial era. The boundary is set at 0.1 for the mean annual interhemispheric difference in AOD. Therefore, the boundary has not been crossed. The impacts of aerosol loading on tropical monsoon systems are already evident, affecting not only rainfall but also regional climate more broadly. However, further research is needed to better understand the hydroclimatic, ecological, and biogeochemical effects of asymmetric aerosol forcing to refine this boundary.

The fund may invest in cash or short-term money market instruments for the purpose of meeting redemption requests, making other anticipated cash payments, or while searching for investment opportunities and/or due to general market, economic, or political conditions.

A fund may deviate from its principal investment strategies during transition periods, which may include the reassignment of portfolio

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management, a change in investment objective or strategy, a reorganization or liquidation, or the occurrence of large inflows or outflows.

**Temporary defensive investing**

A fund may invest up to 100% of its assets in cash, money market instruments, repurchase agreements, or other short-term instruments 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.

**Infrastructure Fund**

**Investment Objective:** The fund seeks total return from capital appreciation and income, with an emphasis on absolute returns over a full market cycle.

The Board of Trustees can change the fund's investment objective and strategies without shareholder approval. The fund will provide written notice to shareholders at least 60 days prior to a change in its 80% investment policy.

The fund pursues its objective by investing, under normal circumstances, at least 80% of its net assets (plus borrowings for investment purposes) in global securities of companies with infrastructure-related assets. Because the fund normally invests more than 25% of its assets in global securities of infrastructure-related assets, the fund is considered to be "concentrated" in industries represented by infrastructure companies. For purposes of this policy, global securities include: common stock, depositary receipts, real estate securities (including real estate investment trusts (REITs)), master limited partnerships (MLPs) (up to a maximum of 25% of the fund's net assets), preferred stock, rights, warrants, exchange-traded funds (ETFs), and debt securities (up to a maximum of 20% of the fund's net assets). Also for purposes of this policy, infrastructure-related assets are long-lived physical assets that are held by companies, including financial holding companies, that engage in the ownership, management, construction, development, renovation, operation, use or financing of infrastructure assets, or that provide the services and raw materials necessary for the construction and maintenance of infrastructure assets. Infrastructure assets are the physical structures, networks and systems which provide necessary services for the function, growth and development of society, including but not limited to utilities, pipelines, toll roads, airports, railroads, ports, telecommunications and other infrastructure companies.

The fund typically invests in companies with long-lived physical assets. Companies with long-lived physical assets are those that the manager believes possess an advantageous competitive position based upon regulatory, contractual, or physical qualities due to typically having multidecade operational lives, being resilient in the face of technological advances, having rising replacement costs, and enjoying limited substitution risk. The manager believes investment in these types of companies can contribute to attractive, long-term absolute returns. The fund also seeks to mitigate losses during periods of unfavorable equity market conditions through a portfolio that will generally exhibit lower beta, or volatility, relative to the broader universe of global equity

securities. While not managed explicitly for yield, the securities in which the fund invests may often provide higher dividend yields than the broader equity market. The fund is not managed to track a benchmark index.

The fund may invest in debt securities, including convertible bonds, without any maturity limit and of any credit quality, including high-yield securities (i.e., junk bonds). The fund may also invest in cash, cash equivalents, and derivative instruments, all as deemed by the manager to be consistent with the fund's investment objective. Derivatives transactions that the fund may engage in include exchange- and over-the-counter-traded transactions in swaps, forward contracts, options, currency derivatives (including currency forwards, futures, options, and spot transactions), and similar derivative instruments or combinations thereof for the purpose of reducing risk, obtaining efficient market exposure, and/or enhancing investment returns. Country and regional weights are a result of bottom-up security selection and are typically unconstrained; however, the fund will generally be diversified regionally across global equity markets, including emerging markets. The fund invests in companies across the market-capitalization spectrum. The maximum position in any individual security will typically be less than 10% of the fund's net assets. Generally, less than 10% of the fund's net assets will be invested in cash and cash equivalents, but can be as high as 20%.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund seeks to outperform global equity markets during periods of flat or negative market performance. Conversely, the fund may underperform during periods of strong market performance. Although the fund seeks positive total returns over time, the fund's investment returns may be volatile over short periods of time and there can be no assurance that the fund's returns over time, or during any period, will be positive.

The fund may invest in cash or money market instruments for the purpose of meeting redemption requests or making other anticipated cash payments.

A 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**

A fund may invest up to 100% of its assets in cash, money market instruments, or other investment-grade short-term securities for the

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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.

**Securities lending**

The fund may lend its securities so long as such loans do not represent more than 33⅓% of the fund's total assets. The borrower will provide collateral to the lending portfolio so that the value of the loaned security will be fully collateralized. The collateral may consist of cash, cash equivalents, or securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. The borrower must also agree to increase the collateral if the value of the loaned securities increases. As with other extensions of credit, there are risks of delay in recovery or even loss of rights in the collateral should the borrower of the securities fail financially.

**International Dynamic Growth Fund**

**Investment Objective:** The fund seeks capital appreciation.

The Board of Trustees can change the fund's investment objective and strategies without shareholder approval.

The manager seeks to achieve the fund's investment objective by investing in equity investments that the manager believes will provide higher returns than the MSCI ACWI ex USA Growth Index.

The fund primarily invests in a diversified portfolio of equity securities of foreign companies in a number of developed and emerging markets outside of the U.S. The fund defines foreign companies as companies: (i) that are organized under the laws of a foreign country; (ii) whose principal trading market is in a foreign country; or (iii) that have a majority of their assets, or that derive a majority of their revenue or profits, from businesses, investments or sales outside of the United States. The manager will consider, but is not limited to, MSCI market classifications in determining whether a country is a developed or emerging market country. Although the fund may invest in companies of any market-capitalization, the fund typically invests in companies with a market capitalization over $250 million. The fund may focus its investments in a particular sector or sectors of the economy. The fund invests primarily in common stocks, but may also invest in participatory notes.

The manager's growth philosophy and process is focused on fundamental, bottom-up stock selection and includes three key elements: (i) positive fundamental changes, (ii) sustainable earnings growth, and (iii) an attractive valuation. The manager's investment process generally begins with the broad universe of securities included in international equity indices, including China A-shares. To focus its fundamental research, the manager collects, scores and monitors forward looking operational data related to specific companies, industries, and sectors. It then seeks to identify quantifiable changes by consistently tracking these data points. Once the manager has identified a positive change, it holistically assesses the key company, industry, secular, macro and country stock drivers and compares them to consensus expectations. The company fundamentally receives a risk/return rating using the

following metrics: the return rating captures the: i) magnitude of positive change; ii) sustainability of growth, iii) and valuation, and risk rating captures the: i) enterprise characteristics, ii) financial soundness, iii) structural factors, and iv) statistical factors. The ranking is designed to help the portfolio management team build a portfolio with consistent and balanced risk/return characteristics.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The operational metrics and investment thesis of the portfolio's holdings are continuously monitored to ensure the ranking/weighting of each security in the portfolio is appropriate given the level of risk/return. The fund may trade securities actively as the investment thesis improves or deteriorates.

A 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**

A fund may invest up to 100% of its assets in cash, money market instruments, repurchase agreements, or other short-term instruments 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.

**Securities lending**

The fund may lend its securities so long as such loans do not represent more than 33⅓% of the fund's total assets. The borrower will provide collateral to the lending portfolio so that the value of the loaned security will be fully collateralized. The collateral may consist of cash, cash equivalents, or securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. The borrower must also agree to increase the collateral if the value of the loaned securities increases. As with other extensions of credit, there are risks of delay in recovery or even loss of rights in the collateral should the borrower of the securities fail financially.

**Small Cap Core Fund**

**Investment Objective:** The fund seeks long-term capital appreciation.

The Board of Trustees can change the fund's investment objective and strategies without shareholder approval. The fund will provide written

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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 of small-capitalization companies. The fund considers small-capitalization companies to be those companies that, at the time of investment, are in the capitalization range of the Russell 2000 Index, which had a maximum market capitalization of $31.44 billion as of December 31, 2025. The fund generally will not invest in companies that, at the time of purchase, have market capitalizations of $5 billion or more. Equity securities include common and preferred stocks, rights, warrants, and depositary receipts (including ADRs, American Depositary Shares, European Depositary Receipts, and Global Depositary Receipts).

In managing the fund, the manager emphasizes a bottom-up approach to individual stock selection. The manager looks for companies with durable, niche business models that have the potential to allow them to earn high returns on capital and that are trading at a significant discount to the manager's estimate of fair value. With the aid of proprietary financial models, companies are screened based on a number of factors, including balance sheet quality, profitability, liquidity, size, and risk profile.

The manager then conducts in-depth fundamental research of individual companies to locate companies that have particular attributes, such as cash flow and earnings growth visibility, manageable risks, including business risk and financial risk, and above-average return on capital. Stocks considered for inclusion in the portfolio may also be experiencing some type of temporary weakness or short-term mispricing due to various factors, such as an inflection point in earnings power, turnaround situations, or a near-term earnings event.

The fund intends to invest in a number of different sectors. The sectors in which the fund invests are primarily a result of stock selection and may, therefore, vary significantly from its benchmark. The fund may focus its investments in a particular sector or sectors of the economy. The fund may invest up to 10% of its total assets in foreign securities, including in emerging markets, which includes securities for which the relevant reference entity is domiciled outside of the United States, such as ADRs, which trade on U.S. exchanges.

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. Because ESG factors are considered alongside other relevant factors, the manager may determine that an investment is appropriate notwithstanding its relative ESG characteristics.

The fund may invest in initial public offerings (IPOs). The fund may also purchase real estate investment trusts (REITs) or other real estate-related equity securities, and certain exchange-traded funds (ETFs). The fund may also purchase warrants and rights on certain underlying securities, both U.S. dollar-denominated and otherwise.

The fund normally will invest 10% or less of its total assets in cash and cash equivalents, including repurchase agreements, money market securities, U.S. government securities, and other short-term investments. The fund may, to a limited extent, engage in derivatives transactions that include futures contracts and foreign currency forward contracts, in each case for the purposes of reducing risk and/or obtaining efficient market exposure.

The fund may invest in cash or money market instruments for the purpose of meeting redemption requests or making other anticipated cash payments.

A 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**

A 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**

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An investment in a fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Each 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. A 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 a fund invests, or the issuers of such instruments, in ways that are unforeseeable. Legislation or regulation may also change the way in which each fund itself is regulated. Such legislation or regulation could limit or preclude each fund's ability to achieve its investment objective. In addition, political events within the United States and abroad could negatively impact financial markets and each fund's performance. Further, certain municipalities of the United States and its territories are financially strained and may face the possibility of default on their debt obligations, which could directly or indirectly detract from each 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 each

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fund's portfolio holdings. Furthermore, volatile financial markets can expose each fund to greater market and liquidity risk, increased transaction costs, and potential difficulty in valuing portfolio instruments held by each fund.

The principal risks of investing in each fund are summarized in its fund summary above. Below are descriptions of the main factors that may play a role in shaping a 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 funds' Statement of Additional Information (SAI).

**Asset allocation risk**

Although asset allocation among different asset categories generally limits risk and exposure to any one category, the risk remains that the subadvisor may favor an asset category that performs poorly relative to the other asset categories. To the extent that alternative asset categories underperform the general stock market, the fund would perform poorly relative to a fund invested primarily in the general stock market.

**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 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.

**Commodity risk**

The market price of commodity investments may be volatile due to fluctuating demand, supply disruption, speculation, and other factors. Certain commodity investments may have no active trading market at times. The value of commodities investments will generally be affected by overall market movements and factors specific to a particular industry or commodity, which may include weather, pandemics, epidemics, embargoes, tariffs, and health, political, international and regulatory developments. Economic and other events (whether real or perceived) can reduce the demand for commodities, which may reduce market prices and cause the value of shares of the fund to fall. Exposure to commodities and commodities markets may subject the fund to greater volatility than investments in traditional securities. Certain types of commodities instruments (such as total return swaps and commodity-linked notes) are subject to the risk that the counterparty to the instrument will not perform or will be unable to perform in accordance with the terms of the instrument. To the extent commodity-related investments are held through the Subsidiary, the Subsidiary is not subject to U.S. laws (including securities laws) and their protections. The Subsidiary is subject to the laws of the Cayman Islands,

a foreign jurisdiction, and may be affected by developments in that jurisdiction.

**Concentration risk**

When a fund's investments are focused in one or more industries or sectors of the economy, they are less broadly invested across industries or sectors than other funds. This means that concentrated 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 industries or sectors is particularly susceptible to the impact of market, economic, political, regulatory, and other conditions and risks affecting those industries or sectors. From time to time, a small number of companies may represent a large portion of a single industry or sector or a group of related industries or sectors as a whole.

**Credit and counterparty risk**

This is the risk that an issuer of a U.S. government security, the issuer or guarantor of a fixed-income 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 otherwise honor its obligations. Credit risk associated with investments in fixed-income securities relates to the ability of the issuer to make scheduled payments of principal and interest on an obligation. A fund that invests in fixed-income securities is subject to varying degrees of risk that the issuers of the securities will have their credit ratings downgraded or will default, potentially reducing the fund's share price and income level. Nearly all fixed-income securities are subject to some credit risk, which may vary depending upon whether the issuers of the securities are corporations, domestic or foreign governments, or their subdivisions or instrumentalities. 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). When a fixed-income security is not rated, a manager may have to assess the risk of the security itself. Asset-backed securities, whose principal and interest payments are supported by pools of other assets, such as credit card receivables and automobile loans, are subject to further risks, including the risk that the obligors of the underlying assets default on payment of those assets.

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Funds that invest in below-investment-grade securities, also called junk bonds (e.g., fixed-income securities rated Ba or lower by Moody's Investors Service, Inc. or BB or lower by S&P Global Ratings or Fitch Ratings, as applicable, at the time of investment, or determined by a manager to be of comparable quality to securities so rated) are subject to increased credit risk. The sovereign debt of many foreign governments, including their subdivisions and instrumentalities, falls into this category. Below-investment-grade securities offer the potential for higher investment returns than higher-rated securities, but they carry greater credit risk: their issuers' continuing ability to meet principal and interest payments is considered speculative, they are more susceptible to real or perceived adverse economic and competitive industry conditions, and they may be less liquid than higher-rated securities.

In addition, a fund is exposed to credit risk to the extent that 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, if 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 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. The imposition by the U.S. of import tariffs on goods from foreign countries and reciprocal tariffs levied on U.S. goods may lead to price volatility and instability in U.S. and global investment markets. Among other effects, tariffs may increase the cost of production for certain goods or reduce demand for products, which could affect the performance of the fund's investments. It is not known whether, or to what extent, any tariff or other trade protections may affect the fund or its investments.

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, as the United Kingdom (UK) did in January of 2020 (commonly referred to as "Brexit"), or the EU dissolves, the global securities markets likely will be significantly disrupted.

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

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or the markets generally, and may ultimately affect fund performance. For example, the coronavirus (COVID-19) pandemic 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. 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.

**Environmentally focused investing risk**

The fund's environmental criteria limit the available investments compared with funds with no such criteria. Under certain economic conditions, this could cause the fund to underperform funds that invest in a broader array of investments. Additionally, the application of the fund's environmentally responsible investment themes may affect the fund's exposure to certain sectors or types of investments and may impact the fund's investment performance depending on whether such sectors or investments are in or out of favor with the market. Certain investments may be dependent on U.S. and foreign government policies, including tax incentives and subsidies, as well as on political support for certain environmental initiatives and developments. The data provided by third parties may be incomplete, inaccurate or unavailable, which could cause the manager to incorrectly assess environmental data related to a particular company.

**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 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.

A 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

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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 a fund. The portion of a fund's investments for which a manager considers these ESG factors may vary, and could increase or decrease over time. A manager may consider these ESG factors on all or a meaningful portion of a 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 a 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 a fund's investment process may result in a manager making different investments for a 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 a fund's investment performance may be affected. Because ESG factors are one of many considerations for a fund, the manager may nonetheless include companies with low ESG characteristics or exclude companies with high ESG characteristics in a fund's investments.

The ESG characteristics utilized in a 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 a fund to change its investment process with respect to ESG integration.

**ESG investing risk**

Incorporating ESG criteria and investing primarily in instruments that have certain ESG characteristics, as determined by the manager, carries the risk that a fund may perform differently, including underperforming, funds that do not utilize an ESG investment strategy, or funds that utilize different ESG criteria. The application of ESG investment principles may affect a fund's exposure to certain sectors or types of investments and may impact a fund's investment performance. In certain situations, ESG criteria and characteristics may not apply equally to U.S. Treasuries, government securities, or other asset classes. A company's ESG performance or the manager's assessment of a company's ESG performance may change over time. In evaluating a company, the manager is reliant upon information and data that may turn out to be incomplete, inaccurate or unavailable, which may negatively impact the manager's assessment of a company's ESG performance. Although the manager has established its own process for evaluation of ESG factors, successful application of a fund's sustainable investment strategy will depend on the manager's skill in researching, identifying, and analyzing material ESG issues, as well as on the availability of relevant data. ESG factors may be evaluated differently by different managers, and may not carry the same meaning to all investors and managers.

The risk that a fund may forego opportunities to buy certain instruments when it might otherwise be advantageous to do so, or sell securities for ESG-related reasons when it might be otherwise disadvantageous for it to do so is heightened when ESG exclusionary criteria is applied. The manager may employ active shareowner engagement to raise ESG issues with the management of select portfolio companies. Throughout this process, the manager uses a variety of methods which may include engaging in dialogue with portfolio company management, participating in shareholder proposal filings, voting proxies in accordance with their proxy voting guidelines, and actively participating in the annual shareholder meeting process, among others. The manager will vote proxies in a manner that is consistent with its ESG investment criteria, which may not always be consistent with maximizing short-term performance of an issuer. The regulatory landscape with respect to ESG investing in the United States is evolving and any future rules or regulations may require a fund to change its investment process with respect to ESG integration.

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**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.

**Financial services sector risk**

A fund investing principally in securities of companies in the financial services sector is particularly vulnerable to events affecting that sector. Companies in the financial services sector may include, but are not limited to, commercial and industrial banks, savings and loan associations and their holding companies, consumer and industrial finance companies, diversified financial services companies, investment banking, securities brokerage and investment advisory companies, leasing companies, and insurance companies. The types of companies that compose the financial services sector may change over time. These companies are all subject to extensive regulation, rapid business changes, volatile performance dependent upon the availability and cost of capital, prevailing interest rates, and significant competition. General economic conditions significantly affect these companies. Credit and other losses resulting from the financial difficulty of borrowers or other third parties have a potentially adverse effect on companies in this sector. Investment banking, securities brokerage, and investment advisory companies are particularly subject to government regulation and the risks inherent in securities trading and underwriting activities. In addition, certain financial services companies face shrinking profit margins due to new competitors, the cost of new technology, and the pressure to compete globally.

**Fixed-income securities risk**

Fixed-income securities are generally subject to two principal types of risk, as well as other risks described below: (1) interest-rate risk and (2) credit quality risk.

**Interest-rate risk.** Fixed-income securities are affected by changes in interest rates. When interest rates decline, the market value of fixed-income securities generally can be expected to rise. Conversely, when interest rates rise, the market value of fixed-income securities generally can be expected to decline. The longer the duration or maturity of a fixed-income security, the more susceptible it is to interest-rate risk. Duration is a measure of the price sensitivity of a debt security, or a fund that invests in a portfolio of debt securities, to changes in interest rates, whereas the maturity of a security measures the time until final payment is due. Duration measures sensitivity

more accurately than maturity because it takes into account the time value of cash flows generated over the life of a debt security.

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 certain market conditions, governmental authorities and regulators may considerably lower interest rates, which, in some cases could result in negative interest rates. These actions, including their reversal or potential ineffectiveness, could further increase volatility in securities and other financial markets and reduce market liquidity. To the extent the fund has a bank deposit or holds a debt instrument with a negative interest rate to maturity, the fund would generate a negative return on that investment. Similarly, negative rates on investments by money market funds and similar cash management products could lead to losses on investments, including on investments of the fund's uninvested cash.

**Credit quality risk.** Fixed-income securities are subject to the risk that the issuer of the security will not repay all or a portion of the principal borrowed and will not make all interest payments. If the credit quality of a fixed-income security deteriorates after a fund has purchased the security, the market value of the security may decrease and lead to a decrease in the value of the fund's investments. An issuer's credit quality could deteriorate as a result of poor management decisions, competitive pressures, technological obsolescence, undue reliance on suppliers, labor issues, shortages, corporate restructurings, fraudulent disclosures, or other factors. Funds that may invest in lower-rated fixed-income securities, commonly referred to as junk securities, are riskier than funds that may invest in higher-rated fixed-income securities.

**Investment-grade fixed-income securities in the lowest rating category risk.** Investment-grade fixed-income securities in the lowest rating category (such as Baa by Moody's Investors Service, Inc. or BBB by S&P Global Ratings or Fitch Ratings, as applicable, and comparable unrated securities) involve a higher degree of risk than fixed-income securities in the higher rating categories. While such securities are considered investment-grade quality and are deemed to have adequate capacity for payment of principal and interest, such securities lack outstanding investment characteristics and have speculative characteristics as well. For example, changes in economic conditions or other circumstances are more likely to lead to a

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weakened capacity to make principal and interest payments than is the case with higher-grade securities.

**Prepayment of principal risk.** Many types of debt securities, including floating-rate loans, are subject to prepayment risk. Prepayment risk is the risk that, when interest rates fall, certain types of obligations will be paid off by the borrower more quickly than originally anticipated and the fund may have to invest the proceeds in securities with lower yields. Securities subject to prepayment risk can offer less potential for gains when the credit quality of the issuer improves.

**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 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.

**Emerging-market risk.** Investments in the securities of issuers based in countries with emerging-market economies are subject to greater levels of risk and uncertainty than investments in more-developed foreign markets, since emerging-market securities may present market, credit, currency, liquidity, legal, political, and other risks greater than, or in addition to, the risks of investing in developed foreign countries. These risks include high currency exchange-rate fluctuations; increased risk of default (including both government and private issuers); greater social, economic, and political uncertainty and instability (including the risk of war); more substantial governmental involvement in the economy; less governmental supervision and regulation of the securities markets and participants in those markets; controls on foreign investment and limitations on repatriation of invested capital and on a fund's ability to exchange local currencies for U.S. dollars; unavailability of currency hedging techniques in certain emerging-market countries; the fact that companies in emerging-market countries may be newly organized, smaller, and less seasoned; the difference in, or lack of, auditing and financial reporting requirements or standards, which may result in the unavailability of material information about issuers; different clearance and settlement procedures, which may be unable to keep pace with the volume of securities transactions or otherwise make it difficult to engage in such transactions; difficulties in

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obtaining and/or enforcing legal judgments against non-U.S. companies and non-U.S. persons, including company directors and officers, in foreign jurisdictions; and significantly smaller market capitalizations of emerging-market issuers. In addition, shareholders of emerging market issuers, such as the fund, often have limited rights and few practical remedies in emerging markets. Finally, the risks associated with investments in emerging markets often are significant, and vary from jurisdiction to jurisdiction and company to company.

**Hong Kong Stock Connect Program (Stock Connect) risk.** Trading in China A-Shares listed and traded on certain Chinese stock exchanges through Stock Connect, a mutual market access program designed to, among other things, enable foreign investment in the People's Republic of China (PRC) via brokers in Hong Kong, is subject to both a number of restrictions imposed by Chinese securities regulations and local exchange listing rules as well as certain risks. Securities listed on Stock Connect may lose purchase eligibility, which could adversely affect the fund's performance. Trading through Stock Connect is subject to trading, clearance, and settlement procedures that may continue to develop as the program matures. Any changes in laws, regulations and policies applicable to Stock Connect may affect China A-Share prices. These risks are heightened by the underdeveloped state of the PRC's investment and banking systems in general.

**Frontier-market risk.** Frontier-market countries generally have smaller economies and less-developed capital markets or legal, regulatory, and political systems than traditional emerging-market countries. As a result, the risks of investing in emerging-market countries are magnified in frontier-market countries. Potential circumstances that may result in magnified risks in frontier-market countries include (i) extreme price volatility and illiquidity, (ii) government ownership or control of parts of the private sector or other protectionist measures, (iii) large currency fluctuations, (iv) limited investment opportunities, and (v) inadequate investor protections and regulatory enforcement. In certain frontier-market countries, fraud and corruption may be more prevalent than in developed-market countries.

**Greater China risk.** Although they are larger and/or more established than many emerging markets, the markets of the Greater China region function in many ways as emerging markets and carry the high levels of risks associated with emerging market economies. In addition, there are risks particular to the region, including less developed trading markets, acute political risks such as possible negative repercussions resulting from China's relationship with Taiwan or Hong Kong, and restrictions on monetary repatriation or other adverse government actions. In addition, investments in Taiwan could be adversely affected by its political relationship with China and because Taiwan does not exercise the same level of control over its economy as the government of the People's Republic of China (PRC) does with respect to Mainland China's economy, changes to its political and economic relationship with the PRC could adversely impact a fund's investments. Further, the attitude of the PRC toward growth and capitalism is uncertain, and the markets of Hong Kong and Mainland China could be hurt significantly by any government interference or any material change in government policy. For

example, a government may restrict investment in companies or industries considered important to national interests, intervene in contractual arrangements, or intervene in the financial markets, such as by imposing trading restrictions, or banning or curtailing short selling. A small number of companies and industries may represent a relatively large portion of the Greater China market as a whole. All of these factors combined mean that the fund is more likely to experience greater price volatility and lower liquidity than a portfolio that invests substantially in equity securities of U.S. issuers.

Variable Interest Entities (VIEs) are widely used by China-based companies where China restricts or prohibits foreign ownership in certain sectors, including telecommunications, technology, media, and education. In a typical VIE structure, a shell company is set up in an offshore jurisdiction and enters into contractual arrangements with a China-based operating company. The VIE lists on a U.S. exchange and investors then purchase the stock issued by a VIE. VIE structures do not offer the same level of investor protections as direct ownership and investors may experience losses if VIE structures are altered, contractual disputes emerge, or the legal status of the VIE structure is prohibited under Chinese law. VIEs have not been approved or endorsed by Chinese regulators.

**Continental Europe.** European securities may be affected significantly by economic, regulatory, or political developments affecting European issuers. All countries in Europe may be significantly affected by fiscal and monetary controls implemented by the European Economic and Monetary Union. Eastern European markets are relatively undeveloped and may be particularly sensitive to economic and political events affecting those countries.

**Geographic focus risk**

A fund's performance will be closely tied to the market, currency, political, economic, regulatory, geopolitical, and other conditions in the countries and regions in which the fund's assets are invested. These conditions include anticipated or actual government budget deficits or other financial difficulties, levels of inflation and unemployment, fiscal and monetary controls, and political and social instability in such countries and regions. To the extent the fund focuses its investments in a single country, a small number of countries, or a particular geographic region, its performance may be driven largely by country or region performance and could fluctuate more widely than if the fund were more geographically diversified.

**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

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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.

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 a 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 a fund may be unable to fully execute its investment strategies as a result. Limits or restrictions applicable to the counterparties with which a 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 a fund. Legislation or regulation may change the way in which a 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 a 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

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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 a 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.

**Currency 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 currency options.

**Foreign currency forward contracts.** Counterparty risk, liquidity risk (i.e., the inability to enter into closing transactions), foreign currency risk, and risk of disproportionate loss are the principal risks of engaging in transactions involving foreign currency forward contracts.

**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.

**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.

**Options on futures.** 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 on futures. 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.

**Total return swaps.** Counterparty risk, liquidity risk (i.e., the inability to enter into closing transactions), market risk, 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 total return swaps.

**High portfolio turnover risk**

A high fund portfolio turnover rate (over 100%) generally involves correspondingly greater brokerage commission and tax expenses, which must be borne directly by a fund and its shareholders, respectively. The portfolio turnover rate of a fund may vary from year to year, as well as within a year.

**Illiquid and restricted securities risk**

Certain securities are considered illiquid or restricted due to a limited trading market, legal or contractual restrictions on resale or transfer, or are otherwise illiquid because they cannot be sold or disposed of in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. Securities that have limitations on their resale are referred to as "restricted securities." Certain restricted securities that are eligible for resale to qualified institutional purchasers may not be regarded as illiquid. Illiquid and restricted securities may be difficult to value and may involve greater risks than liquid securities. Market quotations for such securities may be volatile and/or subject to large spreads between bid and ask price. Illiquidity may have an adverse impact on market price and the fund's ability to sell particular securities when necessary to meet the fund's liquidity needs or in response to a specific economic event. The fund may incur additional expense when disposing of illiquid or restricted securities, including all or a portion of the cost to register the securities.

**Industry or sector investing risk**

When a fund's investments are focused in a particular industry or sector of the economy, they are less broadly invested across industries or sectors than other funds. This means that concentrated 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 a particular industry or sector is particularly susceptible to the impact of market, economic, political, regulatory, and other conditions and risks affecting that industry or sector. From time to time, a small number of companies may represent a large portion of a single industry or sector or a group of related industries or sectors as a whole.

**Information technology companies risk**

Information technology companies can be significantly affected by rapid obsolescence, short product cycles, competition from new market entrants, and heightened cybersecurity risk, among other factors.

**Initial public offerings (IPOs) risk**

Certain funds may invest a portion of their assets in shares of IPOs. IPOs may have a magnified impact on the performance of a fund with a small asset base. The impact of IPOs on a fund's performance will likely decrease as the fund's asset size increases, which could reduce the fund's returns. IPOs may not be consistently available to a fund for investing, particularly as the fund's asset base grows. IPO shares are frequently volatile in price due to the absence of a prior public market, the small number of shares available for trading, and limited information about the issuer. Therefore, a fund may hold IPO shares for a very short period of

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time. This may increase the turnover of a fund and may lead to increased expenses for a fund, such as commissions and transaction costs. In addition, IPO shares can experience an immediate drop in value if the demand for the securities does not continue to support the offering price.

**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.

**Leveraging risk**

A fund's use of derivatives may cause its portfolio to be leveraged (i.e., the fund's exposure to underlying securities, assets or currencies exceeds its net asset value). Leveraging tends to magnify, sometimes significantly, the effect of any increase or decrease in the fund's exposure to an asset class and may cause the fund's net asset value per share (NAV) to experience greater volatility. For example, if the fund seeks to gain enhanced exposure to a specific asset class through an instrument providing leveraged exposure to the asset class and that instrument increases in value, the gain to the fund will be magnified; however, if that investment decreases in value, the loss to the fund will be magnified. A decline in the fund's assets due to losses magnified by these instruments providing leveraged exposure may require the fund to liquidate portfolio positions to satisfy its obligations, including to meet redemption requests, when it likely will not be advantageous to do so.

Because many derivatives have a leverage component (i.e., a notional value in excess of the assets needed to establish and/or maintain the derivative position), adverse changes in the value or level of the underlying asset, rate, or index may result in a loss substantially greater than the amount invested in the derivative itself. In the case of swaps, the risk of loss generally is related to a notional principal amount, even if the parties have not made any initial investment. Some derivatives have the potential for unlimited loss, regardless of the size of the initial investment.

**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.

The capacity of traditional dealers to engage in fixed-income trading has not kept pace with the bond market's growth. As a result, dealer inventories of corporate bonds, which indicate the ability to "make markets," i.e., buy or sell a security at the quoted bid and ask price, respectively, are at or near historic lows relative to market size. Because market makers provide stability to fixed-income markets, the significant reduction in dealer inventories could lead to decreased liquidity and increased volatility, which may become exacerbated during periods of economic or political stress.

**Lower-rated and high-yield fixed-income securities risk**

Lower-rated fixed-income securities are defined as securities rated below investment grade (such as Ba and below by Moody's Investors Service, Inc. and BB and below by S&P Global Ratings and Fitch Ratings, as applicable) (also called junk bonds). The general risks of investing in these securities are as follows:

**Risk to principal and income.** Investing in lower-rated fixed-income securities is considered speculative. While these securities generally provide greater income potential than investments in higher-rated securities, there is a greater risk that principal and interest payments will not be made. Issuers of these securities may even go into default or become bankrupt.

**Price volatility.** The price of lower-rated fixed-income securities may be more volatile than securities in the higher-rated categories. This volatility may increase during periods of economic uncertainty or change. The price of these securities is affected more than higher-rated fixed-income securities by the market's perception of their credit quality, especially during times of adverse publicity. In the past, economic downturns or increases in interest rates have, at times, caused more defaults by issuers of these securities and may do so in the future. Economic downturns and increases in interest rates have an even greater effect on highly leveraged issuers of these securities.

**Liquidity.** The market for lower-rated fixed-income securities may have more limited trading than the market for investment-grade fixed-income securities. Therefore, it may be more difficult to sell these securities, and these securities may have to be sold at prices below their market value in order to meet redemption requests or to respond to changes in market conditions.

**Dependence on manager's own credit analysis.** While a manager may rely on ratings by established credit rating agencies, it will also supplement such ratings with its own independent review of the credit quality of the issuer. Therefore, the assessment of the credit risk of lower-rated fixed-income securities is more dependent on the manager's evaluation than the assessment of the credit risk of higher-rated securities.

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**Additional risks regarding lower-rated corporate fixed-income securities.** Lower-rated corporate fixed-income securities (and comparable unrated securities) tend to be more sensitive to individual corporate developments and changes in economic conditions than higher-rated corporate fixed-income securities. Issuers of lower-rated corporate fixed-income securities may also be highly leveraged, increasing the risk that principal and income will not be repaid.

**Additional risks regarding lower-rated foreign government fixed-income securities.** Lower-rated foreign government fixed-income securities are subject to the risks of investing in foreign countries described under "Foreign securities risk." In addition, the ability and willingness of a foreign government to make payments on debt when due may be affected by the prevailing economic and political conditions within the country. Emerging-market countries may experience high inflation, interest rates, and unemployment, as well as exchange-rate fluctuations which adversely affect trade and political uncertainty or instability. These factors increase the risk that a foreign government will not make payments when due.

**Master limited partnership (MLP) risk**

Investing in MLPs involves certain risks related to investing in the underlying assets of MLPs and risks associated with pooled investment vehicles. MLPs holding credit-related investments are subject to interest-rate risk and the risk of default on payment obligations by debt securities. In addition, investments in the debt and securities of MLPs involve certain other risks, including risks related to limited control and limited rights to vote on matters affecting MLPs, risks related to potential conflicts of interest between an MLP and the MLP's general partner, cash flow risks, dilution risks and risks related to the general partner's right to require unit-holders to sell their common units at an undesirable time or price. The fund's investments in MLPs may be subject to legal and other restrictions on resale or may be less liquid than publicly traded securities. Certain MLP securities may trade in lower volumes due to their smaller capitalizations, and may be subject to more abrupt or erratic price movements and may lack sufficient market liquidity to enable the fund to effect sales at an advantageous time or without a substantial drop in price. If the fund is one of the largest investors in an MLP, it may be more difficult for the fund to buy and sell significant amounts of such investments without an unfavorable impact on prevailing market prices. Larger purchases or sales of MLP investments by the fund in a short period of time may cause abnormal movements in the market price of these investments. As a result, these investments may be difficult to dispose of at an advantageous price when the fund desires to do so. During periods of interest rate volatility, these investments may not provide attractive returns, which may adversely impact the overall performance of the fund.

MLPs in which the fund may invest operate oil, natural gas, petroleum, or other facilities within the energy sector. As a result, the fund will be susceptible to adverse economic, environmental, or regulatory occurrences impacting the energy sector. MLPs and other companies operating in the energy sector are subject to specific risks, including, among others, fluctuations in commodity prices; reduced consumer demand for commodities such as oil, natural gas, or petroleum products; reduced availability of natural gas or other commodities for transporting, processing, storing, or delivering; slowdowns in new construction;

extreme weather or other natural disasters; and threats of attack by terrorists on energy assets. Additionally, changes in the regulatory environment for energy companies may adversely impact their profitability. Over time, depletion of natural gas reserves and other energy reserves may also affect the profitability of energy companies.

Global oil prices declined significantly at the beginning of 2020 and have experienced significant price volatility, including a period where an oil-price futures contract fell into negative territory for the first time in history, as demand for oil slowed and oil storage facilities reached their storage capacities. Varying levels of demand and production and continued oil price volatility may continue to adversely impact MLPs and energy infrastructure companies.

**Merger and restructuring investment risk**

A merger or other restructuring, tender offer, or exchange offer proposed or pending at the time a fund invests in a merger arbitrage transaction may not be completed on the terms contemplated, resulting in losses to the fund. The completion of mergers, tender offers, or exchange offers can be impacted by a variety of factors, including: (i) regulatory and antitrust restrictions; (ii) political concerns; (iii) industry weakness; (iv) stock specific events; (v) financing limitations; and (vi) general market declines, increasing the risk of losses to the fund.

**Midstream energy infrastructure sector risk**

Midstream energy infrastructure companies, such as companies that provide crude oil, refined product, and natural gas services, are subject to supply-and-demand fluctuations in the markets they serve, which may be impacted by a wide range of factors. These factors include fluctuating commodity prices, weather, increased conservation or use of alternative fuel sources, increased governmental or environmental regulation, depletion, rising interest rates, declines in domestic or foreign production, accidents or catastrophic events, and economic conditions, among others.

**Natural resources industry risk**

The natural resources industry can be significantly affected by events relating to international political and economic developments, energy conservation, the success of exploration projects, natural disasters or other extreme weather conditions, commodity prices, and taxes and other governmental regulations.

**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

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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.

**Participatory notes risk**

Participatory notes (p-notes) represent interests in securities listed on certain foreign exchanges. The return on a p-note is linked to the performance of the issuers of the underlying securities. The performance of p-notes will not replicate exactly the performance of the issuers that they seek to replicate due to transaction costs and other expenses. P-notes are subject to counterparty risk since the notes constitute general unsecured contractual obligations of the financial institutions issuing the notes, and the fund is relying on the creditworthiness of such institutions and has no rights under the notes against the issuers of the underlying securities. In addition, p-notes are subject to liquidity risk.

**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.

**Quantitative modeling risk**

Use of quantitative models carries the risk that the fund may underperform funds that do not utilize such models. The use of quantitative models may affect the fund's exposure to certain sectors or types of investments and may impact the fund's relative investment performance depending on whether such sectors or investments are in or out of favor in the market. Successful application of a quantitative model is dependent on the manager's skill in building and implementing the model. For example, human judgment plays a role in building, utilizing, testing, modifying, and implementing the financial algorithms and formulas used in these models. Quantitative models are subject to technical issues including programming and data inaccuracies, are based on assumptions, and rely on data that is subject to limitations (e.g., inaccuracies, staleness), any of which could adversely affect their effectiveness or predictive value. Quantitative models may not accurately predict future market movements or characteristics due to the fact that market performance can be affected by non-quantitative factors that are not easily integrated into quantitative analysis, among other factors.

**Real estate investment trust (REIT) risk**

REITs are subject to risks associated with the ownership of real estate. Some REITs experience market risk and liquidity risk due to investment in a limited number of properties, in a narrow geographic area, or in a single property type, which increases the risk that such REIT could be unfavorably affected by the poor performance of a single investment or investment type. These companies are also sensitive to factors such as changes in real estate values and property taxes, interest rates, cash flow of underlying real estate assets, supply and demand, and the management skill and creditworthiness of the issuer. Borrowers could default on or sell investments that a REIT holds, which could reduce the cash flow needed to make distributions to investors. In addition, REITs may also be affected by tax and regulatory requirements impacting the REITs' ability to qualify for preferential tax treatments or exemptions. REITs require specialized management and pay management expenses. REITs also are subject to physical risks to real property, including weather, natural disasters, terrorist attacks, war, or other events that destroy real property.

REITs include equity REITs and mortgage REITs. Equity REITs may be affected by changes in the value of the underlying property owned by the trusts, while mortgage REITs may be affected by the quality of any credit extended. Further, equity and mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and mortgage REITs are also subject to heavy cash flow dependency, defaults by borrowers or lessees, and self-liquidations. In addition, equity and mortgage REITs could possibly fail to qualify for tax-free pass-through of income under the Internal Revenue Code of 1986, as amended (the Code), or to maintain their exemptions from registration under the Investment Company Act of 1940, as amended. The above factors may also adversely affect a borrower's or a lessee's ability to meet its obligations to the REIT. In the event of a default by a borrower or lessee, the REIT may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its

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investments. In addition, even many of the larger REITs in the industry tend to be small to medium-sized companies in relation to the equity markets as a whole. Moreover, shares of REITs may trade less frequently and, therefore, are subject to more erratic price movements than securities of larger issuers.

**Real estate securities risk**

Investing in securities of companies in the real estate industry subjects a fund to the risks associated with the direct ownership of real estate.

These risks include:

● Declines in the value of real estate

● Risks related to general and local economic conditions

● Possible lack of availability of mortgage funds

● Overbuilding

● Extended vacancies of properties

● Increased competition

● Increases in property taxes and operating expenses

● Changes in zoning laws

● Losses due to costs resulting from the cleanup of environmental problems

● Liability to third parties for damages resulting from environmental problems

● Casualty or condemnation losses

● Limitations on rents

● Changes in neighborhood values and the appeal of properties to tenants

● Changes in interest rates and

● Liquidity risk

Therefore, for a fund investing a substantial amount of its assets in securities of companies in the real estate industry, the value of the fund's shares may change at different rates compared with the value of shares of a fund with investments in a mix of different industries.

Securities of companies in the real estate industry have been and may continue to be negatively affected by widespread health crises such as a global pandemic. Potential impacts on the real estate market may include lower occupancy rates, decreased lease payments, defaults and foreclosures, among other consequences. These impacts could adversely affect corporate borrowers and mortgage lenders, the value of mortgage-backed securities, the bonds of municipalities that depend on tax revenues and tourist dollars generated by such properties, and insurers of the property and/or of corporate, municipal or mortgage-backed securities. It is not known how long such impacts, or any future impacts of other significant events, will last.

Securities of companies in the real estate industry include equity REITs and mortgage REITs. Equity REITs may be affected by changes in the value of the underlying property owned by the REIT, while mortgage REITs may be affected by the quality of any credit extended. Further, equity and mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and mortgage REITs are also subject to heavy cash flow dependency, defaults by borrowers or lessees, and self-liquidations. In addition, equity and mortgage REITs could possibly

fail to qualify for tax-free pass through of income under the Internal Revenue Code of 1986 (the Code) or to maintain their exemptions from registration under the Investment Company Act of 1940, as amended. The above factors may also adversely affect a borrower's or a lessee's ability to meet its obligations to a REIT. In the event of a default by a borrower or lessee, a REIT may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments.

In addition, even the larger REITs in the industry tend to be small to medium-sized companies in relation to the equity markets as a whole. Moreover, shares of REITs may trade less frequently and, therefore, are subject to more erratic price movements than securities of larger issuers.

**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 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.

**Short sales risk**

A fund may make short sales of securities. This means a fund may sell a security that it does not own in anticipation of a decline in the market value of the security. A fund generally borrows the security to deliver to the buyer in a short sale. The fund must then buy the security at its market price when the borrowed security must be returned to the lender. Short sales involve costs and risk. The fund must pay the lender interest on a security it borrows, and the fund will lose money if the price of the borrowed security increases between the time of the short sale and the date when the fund replaces the borrowed security. Further, if other short positions of the same security are closed out at the same time, a "short squeeze" can occur where demand exceeds the supply for the security sold short. A short squeeze makes it more likely that the fund will need to replace the borrowed security at an unfavorable price. A fund may also make short sales "against the box." In a short sale against the box, at the time of sale, the fund owns or has the right to acquire the identical security, or one equivalent in kind or amount, at no additional cost.

Subject to regulatory requirements, until a fund closes its short position or replaces a borrowed security, a fund will comply with all applicable regulatory requirements, including the Derivatives Rule.

**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

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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.

**Subsidiary investment risk**

By investing in the Subsidiary, a fund is indirectly exposed to the risks associated with the Subsidiary's investments and operations. The commodity-linked derivative instruments and other investments held by the Subsidiary are similar to those that are permitted to be held by the fund and, therefore, present the same risks whether they are held by the fund or the Subsidiary. The Subsidiary is not subject to U.S. laws, including securities laws and their protections. The Subsidiary is subject to the laws of the Cayman Islands, which can be affected by developments in that country.

Because the Subsidiary is not registered under U.S. federal securities laws, it may not be able to negotiate terms with its counterparties that are equivalent to those a registered fund may negotiate. As a result, the Subsidiary may have greater exposure to those counterparties than a registered fund. Changes in the laws of the United States and/or the Cayman Islands could result in the inability of the Subsidiary to operate as described in this prospectus and the SAI, and could adversely affect the fund's investment approach.

**Tax risk**

In order for a fund to satisfy tax requirements applicable to regulated investment companies, the fund must derive at least 90% of its gross income each taxable year from certain qualifying sources of income. Commodity-related investments generally generate income that is not from a qualified source for purposes of meeting this 90% test. The rules regarding the extent to which income, if any, realized by a wholly owned non-U.S. subsidiary of a fund (such as the Subsidiary) and included in the fund's annual income for U.S. federal income tax purposes, but that is not currently repatriated to the fund, will constitute qualifying income have been clarified by Regulations issued by the IRS. Those Regulations provide that the annual net profit, if any, realized by such a subsidiary, in which the fund invests in connection with its business of investing securities, and imputed for income tax purposes to the fund will constitute qualifying income whether or not the imputed income is distributed by the subsidiary to the fund. The Regulations remove the uncertainty that existed as a result of previously proposed regulations that provided a different conclusion. The tax treatment of

commodity-related investments and income from the Subsidiary may be adversely affected by future legislation, Treasury Regulations and/or guidance issued by the IRS that could affect the character, timing and/or amount of a fund's taxable income or any gains and distributions made by a fund.

**Technology companies risk**

A fund investing in technology companies, including companies engaged in Internet-related activities, is subject to the risk of short product cycles and rapid obsolescence of products and services and competition from new and existing companies. Investments in the technology sector may be susceptible to heightened risk of cybersecurity breaches, which may allow an unauthorized party to gain access to personally identifiable information and other customer data. The realization of any one of these risks may result in significant earnings loss and price volatility. Some technology companies also have limited operating histories and are subject to the risks of a small or unseasoned company described under "Small and mid-sized company risk."

**Telecommunications sector risk**

Companies in the telecommunications sector are subject to the additional risks of rapid obsolescence, lack of standardization or compatibility with existing technologies, an unfavorable regulatory environment, and a dependency on patent and copyright protection. The prices of the securities of companies in the telecommunications sector may fluctuate widely due to both federal and state regulations governing rates of return and services that may be offered, fierce competition for market share, and competitive challenges in the United States from foreign competitors engaged in strategic joint ventures with U.S. companies and in foreign markets from both U.S. and foreign competitors. In addition, recent industry consolidation trends may lead to increased regulation of telecommunications companies in their primary markets.

**Transportation sector risk**

The transportation sector, including airports, airlines, ports, and other transportation facilities, can be significantly affected by changes in the economy, fuel prices, maintenance, labor relations, insurance costs, and government regulation. The stock prices of companies in the transportation sector are affected by both supply and demand for their specific products and services.

**Utilities sector risk**

Issuers in the utilities sector are subject to many risks, including: increases in fuel and other operating costs; increased costs and delays as a result of environmental and safety regulations; difficulty in obtaining approval of rate increases; the negative impact of regulation; the potential impact of natural and man-made disaster; and technological innovations that may render existing plants, equipment, or products obsolete. Because utility companies are faced with the same obstacles, issues, and regulatory burdens, their securities may react similarly and more in unison to these or other market conditions.

**Warrants risk**

Warrants are rights to purchase securities at specific prices and are valid for a specific period of time. Warrant prices do not necessarily move

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parallel to the prices of the underlying securities, and warrant holders receive no dividends and have no voting rights or rights with respect to the assets of an issuer. The price of a warrant may be more volatile than the price of its underlying security, and a warrant may offer greater potential for capital appreciation as well as capital loss. Warrants cease to have value if not exercised prior to the expiration date. These factors can make warrants more speculative than other types of investments.

**Who's who**

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The following are the names of the various entities involved with each fund's investment and business operations, along with brief descriptions of the role each entity performs.

**Board of Trustees**

The Trustees oversee each fund's business activities and retain the services of the various firms that carry out the funds' operations.

**Investment advisor**

The investment advisor manages the funds' business and investment activities.

**John Hancock Investment Management LLC**

**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 December 31, 2025, the advisor had total assets under management of approximately $172.0 billion.

Subject to general oversight by the Board of Trustees, the advisor manages and supervises the investment operations and business affairs of each fund. The advisor selects, contracts with and compensates one or more subadvisors to manage all or a portion of each 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 funds' portfolio assets through proactive oversight and monitoring of the subadvisors and the funds, as described in further detail below. The advisor is responsible for developing overall investment strategies for the funds and overseeing and implementing the funds' 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 subadvisors with the investment objectives and related policies of each fund; (ii) monitors

significant changes that may impact the subadvisors' overall business and regularly performs due diligence reviews of the subadvisors; (iii) reviews the performance of the subadvisors; and (iv) reports periodically on such performance to the Board of Trustees. The advisor employs a team of investment professionals who provide these ongoing research and monitoring services.

Each 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. Each 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 for Disciplined Value International Fund**

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. The fee schedule that follows became effective December 12, 2024.

---

| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 500 million | 0.710 |
| Next 500 million | 0.690 |
| Next 1 billion | 0.680 |
| Next 1 billion | 0.670 |
| Next 2 billion | 0.660 |
| Excess over 5 billion | 0.650 |

---

**Management fee for Diversified Macro Fund**

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 net assets ($)** | **Annual rate (%)** |
| First 1 billion | 1.200 |
| Excess over 1 billion | 1.150 |

---

**Management fee for Emerging Markets Equity Fund**

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

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schedule, and that rate is applied to the average daily net assets of the fund.

---

| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 500 million | 1.050 |
| Next 500 million | 1.000 |
| Excess over 1 billion\* | 0.950 |
| Excess over 2 billion\*\* | 0.900 |

---

*\**

*If aggregate net assets exceed $1 billion, but are less than or equal to $2 billion, the rate applies retroactively to all assets.* 

*\*\**

*If aggregate net assets exceed $2 billion, the rate applies retroactively to all assets.*

**Management fee for Financial Industries Fund**

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.

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| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 250 million | 0.800 |
| Next 250 million | 0.775 |
| Next 500 million | 0.750 |
| Excess over 1 billion | 0.725 |

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**Management fee for Fundamental Large Cap Core Fund**

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.

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| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 3 billion | 0.625 |
| Excess over 3 billion | 0.600 |

---

**Management fee for Global Environmental Opportunities Fund**

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.

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| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 250 million | 0.840 |
| Next 250 million | 0.815 |
| Next 500 million | 0.790 |
| Next 1 billion\* | 0.750 |
| Over 2 billion\* | 0.730 |

---

**\***

When aggregate net assets exceed $1 billion, but are less than or equal to $2 billion, the advisory fee rate is 0.750% on all net assets of the fund. When aggregate net assets exceed $2 billion, the advisory fee rate is 0.730% on all net assets of the fund.

**Management fee for Infrastructure Fund**

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.

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| | |
|:---|:---|
| **Average daily net assets ($)** | **Annual rate (%)** |
| First 250 million | 0.800 |
| Excess over 250 million | 0.750 |

---

**Management fee for International Dynamic Growth Fund**

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 net assets ($)** | **Annual rate (%)** |
| First 500 million | 0.800 |
| Next 500 million | 0.790 |
| Next 1 billion\* | 0.750 |
| Next 1 billion | 0.730 |
| Excess over 3 billion | 0.710 |

---

**\***

When aggregate net assets exceed $1 billion on any day, the annual rate of advisory fee is 0.750% on the first $1 billion of aggregate net assets.

**Management fee for Small Cap Core Fund**

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 net assets ($)** | **Annual rate (%)** |
| First 300 million | 0.870 |
| Next 300 million | 0.830 |
| Next 300 million | 0.815 |
| Excess over 900 million | 0.800 |

---

During its most recent fiscal period, each fund paid the advisor a management fee as a percentage of average daily net assets, including any waivers or reimbursements, as follows:

Disciplined Value International Fund: 0.66%

Diversified Macro Fund: 1.18%

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Emerging Markets Equity Fund: 0.79%

Financial Industries Fund: 0.78%

Fundamental Large Cap Core Fund: 0.60%

Global Environmental Opportunities Fund: 0.45%

Infrastructure Fund: 0.76%

International Dynamic Growth Fund: 0.74%

Small Cap Core Fund: 0.81%

The basis for the Board of Trustees' approval of the advisory fees, and of the investment advisory agreement overall, including the subadvisory agreements, is discussed in each fund's most recent Form N-CSR filing for the period ended October 31.

**Additional information about fund expenses**

Each fund's annual operating expenses will likely vary throughout the period and from year to year. Each 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 contractually agrees to reduce its management fee for International Dynamic Growth Fund or, if necessary, make payment to the fund, in an amount equal to the amount by which expenses of the fund exceed 0.83% of average daily net assets of the fund. For purposes of this agreement, "expenses of the fund" means all fund expenses, 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) class-specific expenses, (f) borrowing costs, (g) prime brokerage fees, (h) acquired fund fees and expenses paid indirectly, and (i) short dividend expense. This agreement expires on February 28, 2027, unless renewed by mutual agreement of the fund and the advisor based upon a determination that this is appropriate under the circumstances at that time.

The advisor voluntarily agrees to reduce its management fee for Emerging Markets Equity Fund and Infrastructure Fund, or if necessary make payment to Emerging Markets Equity Fund and Infrastructure Fund, as applicable, in an amount equal to the amount by which the "other expenses" of each fund exceed 0.25% of the average daily net assets of the fund. The advisor also voluntarily agrees to reduce its management fee for Financial Industries Fund, Fundamental Large Cap Core Fund, and Small Cap Core Fund, or if necessary make payment to Financial Industries Fund, Fundamental Large Cap Core Fund, and Small Cap Core Fund, as applicable, in an amount equal to the amount by which the "other expenses" of each fund exceed 0.20% of the average daily net assets of the fund. For purposes of these agreements, "other expenses" means all the expenses of each fund, as applicable, 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 a 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. These agreements will continue in effect until terminated at any time by the advisor on notice to the relevant fund.

**Subadvisors**

The subadvisors handle the funds' portfolio management activities, subject to oversight by the advisor.

**Disciplined Value International Fund**

**Boston Partners Global Investors, Inc.**

**One Beacon Street**

**30th Floor**

**Boston, MA 02108** 

Boston Partners Global Investors, Inc. (Boston Partners) is an indirect, wholly owned subsidiary of ORIX Corporation of Japan. As of December 31, 2025, Boston Partners had approximately $127.0 billion assets under management.

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 Boston Partners. 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.

**Christopher K. Hart, CFA**

● Portfolio Manager

● Managed the fund and the predecessor fund since 2011

● Joined Boston Partners in 2002

**Joshua M. Jones, CFA**

● Portfolio Manager

● Managed the fund and the predecessor fund since 2013

● Joined Boston Partners in 2006

**Soyoun Song**

● Portfolio Manager

● Managed the fund since 2024

● Joined Boston Partners in 2019

● Began business career in 2005

**Diversified Macro Fund**

**Graham Capital Management, L.P.**

**40 Highland Avenue**

**Rowayton, CT 06853** 

Graham Capital Management, L.P. (Graham) is a limited partnership organized under the laws of Delaware in May 1994. The general partner of Graham is KGT GP LLC, a Delaware limited liability company, of which Kenneth G. Tropin is the President and ultimate sole owner. The limited partner of Graham is KGT Investment Partners, L.P., a Delaware limited

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partnership, of which KGT, Inc., a Delaware corporation, is the general partner and in which Mr. Tropin and members of his immediate family are significant beneficial owners. Mr. Tropin is also the President and ultimate sole owner of KGT, Inc. As of December 31, 2025, Graham provided discretionary investment advisory services to certain private investment funds and managed futures accounts with aggregate net assets of approximately $20.8 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 also jointly and primarily responsible for the day-to-day management of the Subsidiary's portfolio. These managers are employed by Graham. 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.

**Thomas Feng, Ph.D.**

● Co-Portfolio Manager, Chief Investment Officer – Quant Strategies

● Managed the fund since 2025

● Joined Graham in 2009

**Jens Foehrenbach**

● Co-Portfolio Manager, President and Chief Investment Officer

● Managed the fund since 2026

● Joined Graham in 2025

● Began business career in 2000

**Kenneth G. Tropin**

● Co-Portfolio Manager and Chairman

● Managed the fund since 2019

● Founded Graham in 1994

**Emerging Markets Equity Fund**

**Manulife Investment Management (US) LLC**

**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 December 31, 2025, had total assets under management of approximately $250.64 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). References to Manulife IM (US) below refer to its predecessor or affiliate organizations and entities. 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.

**Bryony Deuchars, CFA, FCA**

● Portfolio Manager

● Managed the fund since 2023

● Joined Manulife IM (US) in 2021

● Began business career in 2000

**David Dugdale, PhD, CFA**

● Portfolio Manager

● Managed the fund since 2023

● Joined Manulife IM (US) in 2002

**Charlie Dutton**

● Senior Portfolio Manager

● Managed the fund since 2024

● Joined Manulife IM (US) in 2024

● Began business career in 1997

**Bhupinder Sachdev, CFA**

● Portfolio Manager

● Managed the fund since 2023

● Joined Manulife IM (US) in 2019

**Talib Saifee**

● Portfolio Manager

● Managed the fund since 2021

● Joined Manulife IM (US) in 2019

**Financial Industries Fund**

**Manulife Investment Management (US) LLC**

**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 December 31, 2025, had total assets under management of approximately $250.64 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.

**Susan A. Curry**

● Senior Portfolio Manager

● Managed the fund since 2008

● Joined Manulife IM (US) in 1998

**Ryan P. Lentell, CFA**

● Portfolio Manager

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● Managed the fund since 2015

● Joined Manulife IM (US) in 2008

**Fundamental Large Cap Core Fund**

**Manulife Investment Management (US) LLC**

**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 December 31, 2025, had total assets under management of approximately $250.64 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.

**Michael J. Mattioli, CFA**

● Portfolio Manager and Senior Investment Analyst

● Managed the fund since 2025

● Joined Manulife IM (US) in 2011

**Nicholas P. Renart**

● Portfolio Manager and Senior Investment Analyst

● Managed the fund since 2025

● Joined Manulife IM (US) in 2011

**Jonathan T. White, CFA**

● Senior Portfolio Manager

● Managed the fund since 2015

● Joined Manulife IM (US) in 2011

**Global Environmental Opportunities Fund**

**Pictet Asset Management SA**

**60, route des Acacias**

**1211 Geneva 73**

**Switzerland** 

Pictet Asset Management SA (Pictet AM SA) manages the fund's investments subject to the supervision of the advisor and the Board. Pictet AM SA is wholly owned by Pictet Asset Management Holding SA (Pictet Asset Management), Geneva that is ultimately owned by Pictet & Partners SCA, a Swiss Holding Company and Pictet Canada LP, a Canadian Investment dealer. Pictet Asset Management managed approximately $338.0 billion of client assets on a discretionary basis as of December 31, 2025.

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 Pictet AM SA. 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.

**Luciano Diana**

● Portfolio Manager

● Managed the fund since 2021

● Joined Pictet AM SA in 2009

**Chris Elias**

● Portfolio Manager

● Managed the fund since 2025

● Joined Pictet AM SA in 2025

● Began business career in 2017

**Nadine Hayderi**

● Portfolio Manager

● Managed the fund since 2025

● Joined Pictet AM SA in 2022

● Began business career in 2022

**Katie Self, PhD**

● Portfolio Manager

● Managed the fund since 2023

● Joined Pictet AM SA in 2022

● Began business career in 2016

**Infrastructure Fund**

**Wellington Management Company LLP**

**280 Congress Street**

**Boston, MA 02210** 

Wellington Management Company LLP (Wellington Management) is a Delaware limited liability partnership. Wellington Management is a professional investment counseling firm which provides investment services to investment companies, employee benefit plans, endowments, foundations, and other institutions. Wellington Management and its predecessor organizations have provided investment advisory services for over 90 years. Wellington Management is owned by the partners of Wellington Management Group LLP, a Massachusetts limited liability partnership. As of December 31, 2025, Wellington Management and its investment advisory affiliates had investment management authority with respect to approximately $1.3 trillion in assets.

The following is a brief biographical profile of the fund's portfolio manager who is primarily responsible for the day-to-day management of the fund's portfolio. This manager is employed by Wellington Management. For more details about this individual, including information about his compensation, other accounts he manages, and any investments he may have in the fund, see the SAI.

**G. Thomas Levering**

● Senior Managing Director and Global Industry Analyst

● Managed the fund since 2013

● Joined Wellington Management in 2000

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● Began business career in 1993

**International Dynamic Growth Fund**

**Axiom Investors LLC**

**33 Benedict Place**

**Greenwich, CT 06830** 

Axiom Investors LLC (Axiom) was formed on September 1, 1998, as an independent investment advisor specialized in managing international equity portfolios. Axiom has been registered as an investment advisor with the United States Securities and Exchange Commission (SEC) since inception. Axiom is the operating subsidiary of Axiom Investors, L.P., the principal owner of which is Andrew Jacobson. As of December 31, 2025, its assets under management were $27,573.21 million. Axiom conducts its business as "Axiom Investors." Axiom seeks to consistently provide top-tier investment performance by implementing its investment philosophy rigorously across all products while monitoring its growth levels to ensure that Axiom meets its objectives. Axiom's targeted markets include institutions, pension plans, investment companies, government entities, and banking institutions.

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. The managers are employed by the subadvisor. 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.

**Bradley Amoils**

● Managing Director and Portfolio Manager

● Managed the fund since 2019

● Joined Axiom in 2002

**Dean Bumbaca, CFA**

● Associate Portfolio Manager

● Managed the fund since 2022

● Joined Axiom in 2010

**Andrew Jacobson, CFA**

● CEO and Chief Investment Officer

● Managed the fund since 2019

● Joined Axiom in 1998

**Small Cap Core Fund**

**Manulife Investment Management (US) LLC**

**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 December 31, 2025, had total assets under management of approximately $250.64 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.

**Ryan Davies, CFA**

● Portfolio Manager

● Managed the fund since 2022

● Joined Manulife IM (US) in 2018

**Joseph Nowinski**

● Senior Portfolio Manager

● Managed the fund since 2022

● Joined Manulife IM (US) in 2013

**Bill Talbot, CFA**<sup>1</sup>

● Senior Portfolio Manager, Head of US Small Cap Equities

● Managed the fund since 2013

● Joined Manulife IM (US) in 2013

**1**

Effective December 31, 2026, Bill Talbot no longer serves as a portfolio manager of the fund.

**Custodian**

The custodian holds the funds' assets, settles all portfolio trades, and collects most of the valuation data required for calculating each fund's net asset value.

*State Street Bank and Trust Company is the custodian for Financial Industries Fund, Infrastructure Fund, and Small Cap Core Fund.*

**State Street Bank and Trust Company**

**One Congress Street, Suite 1**

**Boston, MA 02114**

*Citibank, N.A. is the custodian for Disciplined Value International Fund, Diversified Macro Fund, Emerging Markets Equity Fund, Fundamental Large Cap Core Fund, Global Environmental Opportunities Fund, and International Dynamic Growth Fund.*

**Citibank, N.A.**

**388 Greenwich Street**

**New York, NY 10013**

**Principal distributor**

The principal distributor markets the funds and distributes shares through selling brokers, financial planners, and other financial professionals.

**John Hancock Investment Management Distributors LLC**

**200 Berkeley Street**

**Boston, MA 02116**

**Additional information**

Each fund has entered into contractual arrangements with various parties that provide services to the fund, which may include, among

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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.

This prospectus provides information concerning the funds that you should consider in determining whether to purchase shares of the funds. Each of this prospectus, the SAI, or any contract that is an exhibit to the funds' registration statement, is not intended to, nor does it, give rise to an agreement or contract between the funds 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.

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**Financial highlights**

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These tables detail the financial performance of Class NAV shares, 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.

Class NAV shares of Financial Industries Fund ceased operations on March 28, 2025. The tables below for the fund detail the financial performance of Class NAV shares through the fiscal year ended October 31, 2024 and the financial performance of Class A shares for the fiscal year ended October 31, 2025. The total returns presented in the tables represent the rate that an investor would have earned (or lost) on an investment in the fund (assuming reinvestment of all dividends and distributions). Because Class NAV shares have different expenses than Class A shares, financial highlights for Class NAV shares would have differed.

Because Class NAV shares of Global Environmental Opportunities Fund had not commenced operations as of the end of the most recent reporting period, October 31, 2025, the table details the financial performance of Class A shares of the fund, which are described in a separate prospectus, including total return information showing how much an investment in the fund has increased or decreased each period (assuming reinvestment of all dividends and distributions).

The financial statements of the funds as of October 31, 2025, including the consolidated financials of John Hancock Diversified Macro Fund, which includes the accounts of its Subsidiary, have been audited by PricewaterhouseCoopers LLP (PwC), the funds' independent registered public accounting firm. The report of PwC, along with the funds' financial statements in each fund's Form N-CSR filing for the fiscal period ended October 31, 2025, has been incorporated by reference into the SAI. Copies of each fund's most recent Form N-CSR filing are available upon request.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Disciplined Value International Fund Class NAV Shares** | **Disciplined Value International Fund Class NAV Shares** | **Disciplined Value International Fund Class NAV Shares** | **Disciplined Value International Fund Class NAV Shares** | **Disciplined Value International Fund Class NAV Shares** | **Disciplined Value International Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.42** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.85** | &nbsp;&nbsp;&nbsp;&nbsp; **$12.14** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.58** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.59** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.35 | &nbsp;&nbsp;&nbsp;&nbsp;0.33 | &nbsp;&nbsp;&nbsp;&nbsp;0.32 | &nbsp;&nbsp;&nbsp;&nbsp;0.31 | &nbsp;&nbsp;&nbsp;&nbsp;0.38 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;3.33 | &nbsp;&nbsp;&nbsp;&nbsp;2.30 | &nbsp;&nbsp;&nbsp;&nbsp;1.73 | &nbsp;&nbsp;&nbsp;&nbsp; (2.26)<br>| &nbsp;&nbsp;&nbsp;&nbsp;3.81 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**3.68** | &nbsp;&nbsp;&nbsp;&nbsp;**2.63** | &nbsp;&nbsp;&nbsp;&nbsp;**2.05** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.95)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**4.19** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.28)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.31)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.28)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.49)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.20)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (1.27)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.75)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.06)<br>| &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — |
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(1.55)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.06)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.34)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.49)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.20)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.55** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.42** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.85** | &nbsp;&nbsp;&nbsp;&nbsp; **$12.14** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.58** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**27.48** | &nbsp;&nbsp;&nbsp;&nbsp;**19.54** | &nbsp;&nbsp;&nbsp;&nbsp;**17.06** | &nbsp;&nbsp;&nbsp;&nbsp; **(13.75)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**39.80** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $2280 | &nbsp;&nbsp;&nbsp;&nbsp; $1434 | &nbsp;&nbsp;&nbsp;&nbsp; $1321 | &nbsp;&nbsp;&nbsp;&nbsp; $1277 | &nbsp;&nbsp;&nbsp;&nbsp; $1655 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.74 | &nbsp;&nbsp;&nbsp;&nbsp;0.76 | &nbsp;&nbsp;&nbsp;&nbsp;0.80 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.73 | &nbsp;&nbsp;&nbsp;&nbsp;0.75 | &nbsp;&nbsp;&nbsp;&nbsp;0.79 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;2.25 | &nbsp;&nbsp;&nbsp;&nbsp;2.13 | &nbsp;&nbsp;&nbsp;&nbsp;2.28 | &nbsp;&nbsp;&nbsp;&nbsp;2.34 | &nbsp;&nbsp;&nbsp;&nbsp;2.73 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 81 | &nbsp;&nbsp;&nbsp;&nbsp; 91 | &nbsp;&nbsp;&nbsp;&nbsp; 71 | &nbsp;&nbsp;&nbsp;&nbsp; 70 | &nbsp;&nbsp;&nbsp;&nbsp; 76 |

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|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Diversified Macro Fund Class NAV Shares** | **Diversified Macro Fund Class NAV Shares** | **Diversified Macro Fund Class NAV Shares** | **Diversified Macro Fund Class NAV Shares** | **Diversified Macro Fund Class NAV Shares** | **Diversified Macro Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.86** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.66** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.73** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.40** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.36** |
| Net investment income (loss)<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.19 | &nbsp;&nbsp;&nbsp;&nbsp;0.29 | &nbsp;&nbsp;&nbsp;&nbsp;0.21 | &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.12)<br>|
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp; (0.43)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.73)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.26)<br>| &nbsp;&nbsp;&nbsp;&nbsp;1.73 | &nbsp;&nbsp;&nbsp;&nbsp;0.37 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.24)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.44)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.05)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**1.65** | &nbsp;&nbsp;&nbsp;&nbsp;**0.25** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.05)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.15)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.32)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.21)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; (0.21)<br>| &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — |
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.05)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.36)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.02)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.32)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.21)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.57** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.86** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.66** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.73** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.40** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp; **(2.74)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(4.67)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**0.30** | &nbsp;&nbsp;&nbsp;&nbsp;**18.21** | &nbsp;&nbsp;&nbsp;&nbsp;**2.69** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $377 | &nbsp;&nbsp;&nbsp;&nbsp; $343 | &nbsp;&nbsp;&nbsp;&nbsp; $195 | &nbsp;&nbsp;&nbsp;&nbsp; $193 | &nbsp;&nbsp;&nbsp;&nbsp; $305 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.26 | &nbsp;&nbsp;&nbsp;&nbsp;1.25 | &nbsp;&nbsp;&nbsp;&nbsp;1.28 | &nbsp;&nbsp;&nbsp;&nbsp;1.28 | &nbsp;&nbsp;&nbsp;&nbsp;1.30 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.25 | &nbsp;&nbsp;&nbsp;&nbsp;1.24 | &nbsp;&nbsp;&nbsp;&nbsp;1.27 | &nbsp;&nbsp;&nbsp;&nbsp;1.27 | &nbsp;&nbsp;&nbsp;&nbsp;1.29 |
| Net investment income (loss) | &nbsp;&nbsp;&nbsp;&nbsp;2.22 | &nbsp;&nbsp;&nbsp;&nbsp;3.12 | &nbsp;&nbsp;&nbsp;&nbsp;2.26 | &nbsp;&nbsp;&nbsp;&nbsp; (0.81)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (1.29)<br>|
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 0 <br><sup>3</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 0 <br><sup>3</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 0 <br><sup>3</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 0 <br><sup>3</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 0 <br><sup>3</sup><br>|

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| | |
|:---|:---|
| **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** | The calculation of portfolio turnover excludes amounts from securities whose maturities or expiration dates at the time of acquisition were one year or less, which <br> represents a significant amount of the investments held by the fund. As a result, the portfolio turnover is 0%.<br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Emerging Markets Equity Fund Class NAV Shares** | **Emerging Markets Equity Fund Class NAV Shares** | **Emerging Markets Equity Fund Class NAV Shares** | **Emerging Markets Equity Fund Class NAV Shares** | **Emerging Markets Equity Fund Class NAV Shares** | **Emerging Markets Equity Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.71** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.27** | &nbsp;&nbsp;&nbsp;&nbsp; **$7.86** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.51** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.04** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.08 | &nbsp;&nbsp;&nbsp;&nbsp;0.10 | &nbsp;&nbsp;&nbsp;&nbsp;0.11 | &nbsp;&nbsp;&nbsp;&nbsp;0.12 | &nbsp;&nbsp;&nbsp;&nbsp;0.10 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;1.75 | &nbsp;&nbsp;&nbsp;&nbsp;1.49 | &nbsp;&nbsp;&nbsp;&nbsp;0.42 | &nbsp;&nbsp;&nbsp;&nbsp; (5.36)<br>| &nbsp;&nbsp;&nbsp;&nbsp;1.98 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**1.83** | &nbsp;&nbsp;&nbsp;&nbsp;**1.59** | &nbsp;&nbsp;&nbsp;&nbsp;**0.53** | &nbsp;&nbsp;&nbsp;&nbsp; **(5.24)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**2.08** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.05)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.15)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.12)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.05)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.12)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; (1.36)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.49)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.05)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.15)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.12)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(1.41)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.61)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$11.49** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.71** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.27** | &nbsp;&nbsp;&nbsp;&nbsp; **$7.86** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.51** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**18.95** | &nbsp;&nbsp;&nbsp;&nbsp;**19.27** | &nbsp;&nbsp;&nbsp;&nbsp;**6.75** | &nbsp;&nbsp;&nbsp;&nbsp; **(39.46)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**15.79** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $1159 | &nbsp;&nbsp;&nbsp;&nbsp; $1344 | &nbsp;&nbsp;&nbsp;&nbsp; $1283 | &nbsp;&nbsp;&nbsp;&nbsp; $1339 | &nbsp;&nbsp;&nbsp;&nbsp; $1982 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.05 | &nbsp;&nbsp;&nbsp;&nbsp;1.05 | &nbsp;&nbsp;&nbsp;&nbsp;1.06 | &nbsp;&nbsp;&nbsp;&nbsp;1.01 | &nbsp;&nbsp;&nbsp;&nbsp;0.98 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.89 | &nbsp;&nbsp;&nbsp;&nbsp;0.89 | &nbsp;&nbsp;&nbsp;&nbsp;0.90 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;0.79 | &nbsp;&nbsp;&nbsp;&nbsp;1.04 | &nbsp;&nbsp;&nbsp;&nbsp;1.17 | &nbsp;&nbsp;&nbsp;&nbsp;1.16 | &nbsp;&nbsp;&nbsp;&nbsp;0.65 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 33 | &nbsp;&nbsp;&nbsp;&nbsp; 46 | &nbsp;&nbsp;&nbsp;&nbsp; 37 | &nbsp;&nbsp;&nbsp;&nbsp; 27 | &nbsp;&nbsp;&nbsp;&nbsp; 46 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |

---

**73**

------

**Financial Industries Fund Class NAV shares** 

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Per share operating performance Period ended** | **10-31-24** | **10-31-23** | **10-31-22** | **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp; **$13.35** | &nbsp;&nbsp; **$17.16** | &nbsp;&nbsp; **$24.23** | &nbsp;&nbsp; **$16.14** |
| Net investment income<sup>1</sup> | 0.22 | 0.31 | 0.25 | 0.23 |
| Net realized and unrealized gain (loss) on investments | 5.79 | &nbsp;&nbsp; (2.38)<br>| &nbsp;&nbsp; (2.79)<br>| 8.92 |
| **Total from investment operations** | **6.01** | &nbsp;&nbsp; **(2.07)**<br>| &nbsp;&nbsp; **(2.54)**<br>| **9.15** |
| **Less distributions** |  |  |  |  |
| From net investment income | &nbsp;&nbsp; (0.33)<br>| &nbsp;&nbsp; (0.20)<br>| &nbsp;&nbsp; (0.50)<br>| &nbsp;&nbsp; (0.29)<br>|
| From net realized gain | &nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp; (1.54)<br>| &nbsp;&nbsp; (4.03)<br>| &nbsp;&nbsp; (0.77)<br>|
| **Total distributions** | &nbsp;&nbsp; **(0.35)**<br>| &nbsp;&nbsp; **(1.74)**<br>| &nbsp;&nbsp; **(4.53)**<br>| &nbsp;&nbsp; **(1.06)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp; **$19.01** | &nbsp;&nbsp; **$13.35** | &nbsp;&nbsp; **$17.16** | &nbsp;&nbsp; **$24.23** |
| **Total return (%)**<sup>2</sup> | **45.67** | &nbsp;&nbsp; **(12.88)**<br>| &nbsp;&nbsp; **(11.95)**<br>| **58.83** |
| **Ratios and supplemental data** |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp; $205 | &nbsp;&nbsp; $184 | &nbsp;&nbsp; $288 | &nbsp;&nbsp; $414 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |
| Expenses before reductions | 0.87 | 0.86 | 0.84 | 0.83 |
| Expenses including reductions | 0.86 | 0.86 | 0.83 | 0.83 |
| Net investment income | 1.33 | 2.15 | 1.38 | 1.08 |
| Portfolio turnover rate (%) | &nbsp;&nbsp; 61 | &nbsp;&nbsp; 72 | &nbsp;&nbsp; 45 | &nbsp;&nbsp; 64 |

---

**1**

Based on average daily shares outstanding.

**2**

Total returns would have been lower had certain expenses not been reduced during the applicable periods.

**Financial Industries Fund Class A shares** 

---

| | |
|:---|:---|
| **Per share operating performance Period ended** | **10-31-25** |
| **Net asset value, beginning of period** | &nbsp;&nbsp; **$19.03** |
| Net investment income<sup>1</sup> | 0.16 |
| Net realized and unrealized gain (loss) on investments | 1.22 |
| **Total from investment operations** | **1.38** |
| **Less distributions** |  |
| From net investment income | &nbsp;&nbsp; (0.22)<br>|
| From net realized gain | &nbsp;&nbsp; (1.63)<br>|
| **Total distributions** | &nbsp;&nbsp; **(1.85)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp; **$18.56** |
| **Total return (%)**<sup>2,</sup>**3** <br>| **7.53** |
| **Ratios and supplemental data** |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp; $242 |
| **Ratios (as a percentage of average net assets):** |  |
| Expenses before reductions | 1.26 |
| Expenses including reductions | 1.25 |
| Net investment income | 0.87 |
| Portfolio turnover rate (%) | &nbsp;&nbsp; 63 |

---

**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.

**74**

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Fundamental Large Cap Core Fund Class NAV Shares** | **Fundamental Large Cap Core Fund Class NAV Shares** | **Fundamental Large Cap Core Fund Class NAV Shares** | **Fundamental Large Cap Core Fund Class NAV Shares** | **Fundamental Large Cap Core Fund Class NAV Shares** | **Fundamental Large Cap Core Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$77.64** | &nbsp;&nbsp;&nbsp;&nbsp; **$60.13** | &nbsp;&nbsp;&nbsp;&nbsp; **$57.77** | &nbsp;&nbsp;&nbsp;&nbsp; **$80.29** | &nbsp;&nbsp;&nbsp;&nbsp; **$53.62** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.33 | &nbsp;&nbsp;&nbsp;&nbsp;0.48 | &nbsp;&nbsp;&nbsp;&nbsp;0.37 | &nbsp;&nbsp;&nbsp;&nbsp;0.33 | &nbsp;&nbsp;&nbsp;&nbsp;0.23 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;10.06 | &nbsp;&nbsp;&nbsp;&nbsp;21.41 | &nbsp;&nbsp;&nbsp;&nbsp;5.63 | &nbsp;&nbsp;&nbsp;&nbsp; (17.06)<br>| &nbsp;&nbsp;&nbsp;&nbsp;26.80 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**10.39** | &nbsp;&nbsp;&nbsp;&nbsp;**21.89** | &nbsp;&nbsp;&nbsp;&nbsp;**6.00** | &nbsp;&nbsp;&nbsp;&nbsp; **(16.73)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**27.03** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.49)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.39)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.35)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.19)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.36)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (8.47)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (3.99)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (3.29)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (5.60)<br>| &nbsp;&nbsp;&nbsp;&nbsp; — |
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(8.96)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(4.38)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(3.64)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(5.79)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.36)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$79.07** | &nbsp;&nbsp;&nbsp;&nbsp; **$77.64** | &nbsp;&nbsp;&nbsp;&nbsp; **$60.13** | &nbsp;&nbsp;&nbsp;&nbsp; **$57.77** | &nbsp;&nbsp;&nbsp;&nbsp; **$80.29** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**14.41** | &nbsp;&nbsp;&nbsp;&nbsp;**37.62** | &nbsp;&nbsp;&nbsp;&nbsp;**11.18** | &nbsp;&nbsp;&nbsp;&nbsp; **(22.47)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**50.60** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $2290 | &nbsp;&nbsp;&nbsp;&nbsp; $1892 | &nbsp;&nbsp;&nbsp;&nbsp; $1684 | &nbsp;&nbsp;&nbsp;&nbsp; $1759 | &nbsp;&nbsp;&nbsp;&nbsp; $2425 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.66 | &nbsp;&nbsp;&nbsp;&nbsp;0.66 | &nbsp;&nbsp;&nbsp;&nbsp;0.67 | &nbsp;&nbsp;&nbsp;&nbsp;0.65 | &nbsp;&nbsp;&nbsp;&nbsp;0.65 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.65 | &nbsp;&nbsp;&nbsp;&nbsp;0.65 | &nbsp;&nbsp;&nbsp;&nbsp;0.66 | &nbsp;&nbsp;&nbsp;&nbsp;0.65 | &nbsp;&nbsp;&nbsp;&nbsp;0.64 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;0.44 | &nbsp;&nbsp;&nbsp;&nbsp;0.67 | &nbsp;&nbsp;&nbsp;&nbsp;0.61 | &nbsp;&nbsp;&nbsp;&nbsp;0.49 | &nbsp;&nbsp;&nbsp;&nbsp;0.33 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 49 | &nbsp;&nbsp;&nbsp;&nbsp; 19 | &nbsp;&nbsp;&nbsp;&nbsp; 19 | &nbsp;&nbsp;&nbsp;&nbsp; 26 | &nbsp;&nbsp;&nbsp;&nbsp; 16 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |

---

**75**

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Global Environmental Opportunities Fund Class A Shares** | **Global Environmental Opportunities Fund Class A Shares** | **Global Environmental Opportunities Fund Class A Shares** | **Global Environmental Opportunities Fund Class A Shares** | **Global Environmental Opportunities Fund Class A Shares** | **Global Environmental Opportunities Fund Class A Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21**<br> <sup>1</sup><br>|
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.75** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.51** | &nbsp;&nbsp;&nbsp;&nbsp; **$7.94** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.67** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.00** |
| Net investment loss<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.01)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.04)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.02)<br>|
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;0.71 | &nbsp;&nbsp;&nbsp;&nbsp;2.26 | &nbsp;&nbsp;&nbsp;&nbsp; 0.58<br> <sup>3</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.69)<br>| &nbsp;&nbsp;&nbsp;&nbsp;0.69 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**0.69** | &nbsp;&nbsp;&nbsp;&nbsp;**2.24** | &nbsp;&nbsp;&nbsp;&nbsp;**0.57** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.73)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**0.67** |
| **Less distributions** |  |  |  |  |  |
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (0.65)<br>| &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — |
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.79** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.75** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.51** | &nbsp;&nbsp;&nbsp;&nbsp; **$7.94** | &nbsp;&nbsp;&nbsp;&nbsp; **$10.67** |
| **Total return (%)**<sup>4,5</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**7.03** | &nbsp;&nbsp;&nbsp;&nbsp;**26.32** | &nbsp;&nbsp;&nbsp;&nbsp;**7.31** | &nbsp;&nbsp;&nbsp;&nbsp; **(25.68)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **6.70**<br> <sup>6</sup><br>|
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $12 | &nbsp;&nbsp;&nbsp;&nbsp; $—<br> <sup>7</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; $—<br> <sup>7</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; $—<br> <sup>7</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; $—<br> <sup>7</sup><br>|
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.59 | &nbsp;&nbsp;&nbsp;&nbsp;1.60 | &nbsp;&nbsp;&nbsp;&nbsp;1.78 | &nbsp;&nbsp;&nbsp;&nbsp;4.08 | &nbsp;&nbsp;&nbsp;&nbsp; 3.99<br> <sup>8</sup><br>|
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp;1.21 | &nbsp;&nbsp;&nbsp;&nbsp; 1.22<br> <sup>8</sup><br>|
| Net investment loss | &nbsp;&nbsp;&nbsp;&nbsp; (0.18)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.18)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.43)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.73)<sup>9</sup><br>|
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 56<br> <sup>10</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 43 | &nbsp;&nbsp;&nbsp;&nbsp; 40 | &nbsp;&nbsp;&nbsp;&nbsp; 38 | &nbsp;&nbsp;&nbsp;&nbsp; 7 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Period from 7-21-21 (commencement of operations) to 10-31-21. |
| **2** | Based on average daily shares outstanding. |
| **3** | The amount shown for a share outstanding does not correspond with the aggregate net gain (loss) on investments for the period due to the timing of the sales and <br> repurchases of shares in relation to fluctuating market values of the investments of the fund.<br>|
| **4** | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
| **5** | Does not reflect the effect of sales charges, if any. |
| **6** | Not annualized. |
| **7** | Less than $500,000. |
| **8** | Annualized. Certain expenses are presented unannualized. |
| **9** | Annualized. |
| **10** | Excludes reorganization activity. |

---

**76**

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Infrastructure Fund Class NAV Shares** | **Infrastructure Fund Class NAV Shares** | **Infrastructure Fund Class NAV Shares** | **Infrastructure Fund Class NAV Shares** | **Infrastructure Fund Class NAV Shares** | **Infrastructure Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.12** | &nbsp;&nbsp;&nbsp;&nbsp; **$11.98** | &nbsp;&nbsp;&nbsp;&nbsp; **$12.11** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.08** | &nbsp;&nbsp;&nbsp;&nbsp; **$12.02** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.40 | &nbsp;&nbsp;&nbsp;&nbsp;0.37 | &nbsp;&nbsp;&nbsp;&nbsp;0.31 | &nbsp;&nbsp;&nbsp;&nbsp;0.29 | &nbsp;&nbsp;&nbsp;&nbsp;0.25 |
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;2.21 | &nbsp;&nbsp;&nbsp;&nbsp;3.15 | &nbsp;&nbsp;&nbsp;&nbsp; (0.14)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.29)<br>| &nbsp;&nbsp;&nbsp;&nbsp;3.12 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**2.61** | &nbsp;&nbsp;&nbsp;&nbsp;**3.52** | &nbsp;&nbsp;&nbsp;&nbsp;**0.17** | &nbsp;&nbsp;&nbsp;&nbsp; **(2.00)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**3.37** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.40)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.38)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.30)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.48)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.25)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; (0.49)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.06)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.40)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.38)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.30)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.97)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.31)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.33** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.12** | &nbsp;&nbsp;&nbsp;&nbsp; **$11.98** | &nbsp;&nbsp;&nbsp;&nbsp; **$12.11** | &nbsp;&nbsp;&nbsp;&nbsp; **$15.08** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**17.52** | &nbsp;&nbsp;&nbsp;&nbsp;**29.69** | &nbsp;&nbsp;&nbsp;&nbsp;**1.29** | &nbsp;&nbsp;&nbsp;&nbsp; **(13.90)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**28.29** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $37 | &nbsp;&nbsp;&nbsp;&nbsp; $71 | &nbsp;&nbsp;&nbsp;&nbsp; $75 | &nbsp;&nbsp;&nbsp;&nbsp; $76 | &nbsp;&nbsp;&nbsp;&nbsp; $82 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.84 | &nbsp;&nbsp;&nbsp;&nbsp;0.87 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.85 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;2.49 | &nbsp;&nbsp;&nbsp;&nbsp;2.70 | &nbsp;&nbsp;&nbsp;&nbsp;2.43 | &nbsp;&nbsp;&nbsp;&nbsp;2.15 | &nbsp;&nbsp;&nbsp;&nbsp;1.76 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 35 | &nbsp;&nbsp;&nbsp;&nbsp; 27 | &nbsp;&nbsp;&nbsp;&nbsp; 20 | &nbsp;&nbsp;&nbsp;&nbsp; 33 | &nbsp;&nbsp;&nbsp;&nbsp; 27 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| **1** | Based on average daily shares outstanding. |
| **2** | Total returns would have been lower had certain expenses not been reduced during the period. |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **International Dynamic Growth Fund Class NAV Shares** | **International Dynamic Growth Fund Class NAV Shares** | **International Dynamic Growth Fund Class NAV Shares** | **International Dynamic Growth Fund Class NAV Shares** | **International Dynamic Growth Fund Class NAV Shares** | **International Dynamic Growth Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.26** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.28** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.53** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.50** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.28** |
| Net investment income<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.15 | &nbsp;&nbsp;&nbsp;&nbsp;0.04 | &nbsp;&nbsp;&nbsp;&nbsp;0.06 | &nbsp;&nbsp;&nbsp;&nbsp;0.07 | &nbsp;&nbsp;&nbsp;&nbsp; —<br> <sup>2</sup><br>|
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp;3.12 | &nbsp;&nbsp;&nbsp;&nbsp;3.97 | &nbsp;&nbsp;&nbsp;&nbsp;0.77 | &nbsp;&nbsp;&nbsp;&nbsp; (5.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp;5.04 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;**3.27** | &nbsp;&nbsp;&nbsp;&nbsp;**4.01** | &nbsp;&nbsp;&nbsp;&nbsp;**0.83** | &nbsp;&nbsp;&nbsp;&nbsp; **(5.02)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**5.04** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.08)<br>| &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — |
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; (3.95)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.82)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.03)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.03)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.08)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(3.95)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.82)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.50** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.26** | &nbsp;&nbsp;&nbsp;&nbsp; **$9.28** | &nbsp;&nbsp;&nbsp;&nbsp; **$8.53** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.50** |
| **Total return (%)**<sup>3</sup> | &nbsp;&nbsp;&nbsp;&nbsp;**24.81** | &nbsp;&nbsp;&nbsp;&nbsp;**43.36** | &nbsp;&nbsp;&nbsp;&nbsp;**9.79** | &nbsp;&nbsp;&nbsp;&nbsp; **(35.91)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**39.13** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $1426 | &nbsp;&nbsp;&nbsp;&nbsp; $359 | &nbsp;&nbsp;&nbsp;&nbsp; $341 | &nbsp;&nbsp;&nbsp;&nbsp; $237 | &nbsp;&nbsp;&nbsp;&nbsp; $288 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.82 | &nbsp;&nbsp;&nbsp;&nbsp;0.89 | &nbsp;&nbsp;&nbsp;&nbsp;0.92 | &nbsp;&nbsp;&nbsp;&nbsp;0.92 | &nbsp;&nbsp;&nbsp;&nbsp;0.92 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.81 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 | &nbsp;&nbsp;&nbsp;&nbsp;0.83 |
| Net investment income | &nbsp;&nbsp;&nbsp;&nbsp;1.00 | &nbsp;&nbsp;&nbsp;&nbsp;0.31 | &nbsp;&nbsp;&nbsp;&nbsp;0.59 | &nbsp;&nbsp;&nbsp;&nbsp;0.67 | &nbsp;&nbsp;&nbsp;&nbsp;0.01 |
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 135 | &nbsp;&nbsp;&nbsp;&nbsp; 83 | &nbsp;&nbsp;&nbsp;&nbsp; 85 | &nbsp;&nbsp;&nbsp;&nbsp; 94 | &nbsp;&nbsp;&nbsp;&nbsp; 133 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | |
|:---|:---|
| **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. |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Small Cap Core Fund Class NAV Shares** | **Small Cap Core Fund Class NAV Shares** | **Small Cap Core Fund Class NAV Shares** | **Small Cap Core Fund Class NAV Shares** | **Small Cap Core Fund Class NAV Shares** | **Small Cap Core Fund Class NAV Shares** |
| **Per share operating performance Period ended** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-25** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-24** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-23** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-22** | &nbsp;&nbsp;&nbsp;&nbsp; **10-31-21** |
| **Net asset value, beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.01** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.30** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.11** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.64** | &nbsp;&nbsp;&nbsp;&nbsp; **$12.27** |
| Net investment income (loss)<sup>1</sup> | &nbsp;&nbsp;&nbsp;&nbsp;0.03 | &nbsp;&nbsp;&nbsp;&nbsp;0.05 | &nbsp;&nbsp;&nbsp;&nbsp;0.04 | &nbsp;&nbsp;&nbsp;&nbsp; (0.01)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.01)<br>|
| Net realized and unrealized gain (loss) on investments | &nbsp;&nbsp;&nbsp;&nbsp; (0.65)<br>| &nbsp;&nbsp;&nbsp;&nbsp;3.80 | &nbsp;&nbsp;&nbsp;&nbsp; (0.72)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.45)<br>| &nbsp;&nbsp;&nbsp;&nbsp;6.61 |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.62)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**3.85** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.68)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.46)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**6.60** |
| **Less distributions** |  |  |  |  |  |
| From net investment income | &nbsp;&nbsp;&nbsp;&nbsp; (0.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.03)<br>| &nbsp;&nbsp;&nbsp;&nbsp; — | &nbsp;&nbsp;&nbsp;&nbsp; (0.01)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.03)<br>|
| From net realized gain | &nbsp;&nbsp;&nbsp;&nbsp; (0.15)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.11)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.13)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (2.06)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.20)<br>|
| **Total distributions** | &nbsp;&nbsp;&nbsp;&nbsp; **(0.18)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.14)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.13)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(2.07)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(0.23)**<br>|
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp;&nbsp; **$16.21** | &nbsp;&nbsp;&nbsp;&nbsp; **$17.01** | &nbsp;&nbsp;&nbsp;&nbsp; **$13.30** | &nbsp;&nbsp;&nbsp;&nbsp; **$14.11** | &nbsp;&nbsp;&nbsp;&nbsp; **$18.64** |
| **Total return (%)**<sup>2</sup> | &nbsp;&nbsp;&nbsp;&nbsp; **(3.71)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**29.07** | &nbsp;&nbsp;&nbsp;&nbsp; **(4.79)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **(14.65)**<br>| &nbsp;&nbsp;&nbsp;&nbsp;**54.07** |
| **Ratios and supplemental data** |  |  |  |  |  |
| Net assets, end of period (in millions) | &nbsp;&nbsp;&nbsp;&nbsp; $672 | &nbsp;&nbsp;&nbsp;&nbsp; $590 | &nbsp;&nbsp;&nbsp;&nbsp; $501 | &nbsp;&nbsp;&nbsp;&nbsp; $507 | &nbsp;&nbsp;&nbsp;&nbsp; $690 |
| **Ratios (as a percentage of average net assets):** |  |  |  |  |  |
| Expenses before reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.87 | &nbsp;&nbsp;&nbsp;&nbsp;0.87 | &nbsp;&nbsp;&nbsp;&nbsp;0.88 | &nbsp;&nbsp;&nbsp;&nbsp;0.88 | &nbsp;&nbsp;&nbsp;&nbsp;0.88 |
| Expenses including reductions | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.86 | &nbsp;&nbsp;&nbsp;&nbsp;0.88 | &nbsp;&nbsp;&nbsp;&nbsp;0.87 | &nbsp;&nbsp;&nbsp;&nbsp;0.87 |
| Net investment income (loss) | &nbsp;&nbsp;&nbsp;&nbsp;0.18 | &nbsp;&nbsp;&nbsp;&nbsp;0.31 | &nbsp;&nbsp;&nbsp;&nbsp;0.29 | &nbsp;&nbsp;&nbsp;&nbsp; (0.09)<br>| &nbsp;&nbsp;&nbsp;&nbsp; (0.05)<br>|
| Portfolio turnover (%) | &nbsp;&nbsp;&nbsp;&nbsp; 63<br> <sup>3</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 56 | &nbsp;&nbsp;&nbsp;&nbsp; 56<br> <sup>4</sup><br>| &nbsp;&nbsp;&nbsp;&nbsp; 64 | &nbsp;&nbsp;&nbsp;&nbsp; 64 |

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| | |
|:---|:---|
| **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** | Excludes merger activity. |
| **4** | Excludes in-kind transactions. |

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**Who can buy shares**

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Unless stated otherwise, references in this section to "the fund" apply to each fund described in this prospectus.

Class NAV shares are sold to certain affiliated funds, each of which is a fund of funds that invests in various other funds. Class NAV shares may also be sold to retirement plans for employees of John Hancock- and/or Manulife Financial Corporation-affiliated companies only, including John Hancock qualified plans and non-qualified deferred compensation plans and separate investment accounts of John Hancock and its insurance affiliates, and to the issuers of interests in the John Hancock Freedom 529 Plan, including the Education Trust of Alaska.

**Class cost structure**

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● No sales charges

● No distribution and service (Rule 12b-1) fees

*Other share classes of the fund, which have their own expense structures, may be offered in separate prospectuses. Your broker-dealer or agent may charge you a fee to effect transactions in fund shares.*

**Payments to financial intermediaries**

Other share classes of the funds are primarily sold through financial intermediaries, such as brokers, banks, registered 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 NAV shares do not carry sales commissions or pay Rule 12b-1 fees. However, 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.

For a description of these compensation and revenue-sharing arrangements, see the prospectuses and statement of additional information for the funds. The compensation paid to broker-dealers and the revenue-sharing arrangements may be derived, in whole or in part, through the advisor's profit on the advisory fee on the funds.

**Opening an account**

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**1**

Read this prospectus carefully.

**2**

Determine if you are eligible by referring to "Who can buy shares."

**3**

Permitted entities generally may open an account and purchase Class NAV shares by contacting any broker-dealer or other financial service firm authorized to sell Class NAV shares of the fund. There are no minimum initial or subsequent investment requirements for Class NAV shares.

**Transaction policies**

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**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 and Subsidiary's NAV is not calculated. Consequently, the fund's portfolio securities may trade and the NAV of the fund's and Subsidiary's shares may be significantly affected on days when a shareholder will not be able to purchase or redeem shares of the fund.

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Each class of shares of the fund has its own NAV, which is computed by dividing the total assets (which may include realized and unrealized capital gain and income), 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 funds' advisor as the valuation designee to perform fair value functions for each 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 each 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 a 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 are typically valued based on daily published settlement prices. 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. Shares of the Subsidiary will be valued at their NAV.

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 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

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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. When you sell shares, you receive the NAV.

**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.

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.

**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

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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 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.

**Dividends and account policies**

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**Account statements**

In general, 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 by your plan's recordkeeper.

**Dividends**

Each fund typically declares and pays income dividends at least annually, except for Infrastructure Fund which typically declares income dividends and pays them quarterly. Capital gains for each fund, if any, are distributed at least annually, typically after the end of the fund's fiscal year.

**Dividend reinvestments**

Dividends from a fund will be automatically reinvested on the dividend record date.

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**Taxability of dividends**

For investors who are not exempt from federal income taxes, dividends you receive from a fund, whether reinvested or taken as cash, are generally considered taxable. Dividends from a fund's short-term capital gains are taxable as ordinary income. Dividends from a fund's long-term capital gains are taxable at a lower rate. Whether gains are short-term or long-term depends on a 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 a 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.

**Additional investor services**

------

**Disclosure of fund holdings**

The following information for each 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 each 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 funds' 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 funds' 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 each fund's policies and procedures with respect to the disclosure of its portfolio securities is available in the SAI.

**83**

------

For more information

------

The following documents are available that offer further information on the fund:

**Annual/semiannual reports to shareholders**

Additional information about a fund's investments is available in the fund's annual and semiannual reports to shareholders and in Form N-CSR. In a 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 a fund and includes a summary of a 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 Funds

200 Berkeley Street

Boston, MA 02116

**By phone:** 800-344-1029

You can also view or obtain copies of these documents through the SEC:

**Online:** sec.gov

**By email (duplicating fee required):** publicinfo@sec.gov

![](g29800paperlesslogo_1.jpg)

![](g29800img9b4cad9811.jpg)© 2026 John Hancock Investment Management Distributors LLC, Member FINRA, SIPC

200 Berkeley Street, Boston, MA 02116

800-225-5291, jhinvestments.com

Manulife, Manulife Investments, Stylized M Design, and Manulife Investments & Stylized M Design are trademarks of The Manufacturers Life Insurance Company and John Hancock, and the Stylized John Hancock Design are trademarks of John Hancock Life Insurance Company (U.S.A.). Each are used by it and by its affiliates under license.

SEC file number: 811-00560 and 811-03999

JH1031NPN 3/1/26

------

![](g486601img6c3238271.jpg)

**Statement of Additional Information**

John Hancock Capital Series

John Hancock Investment Trust

John Hancock Investment Trust II

March 1, 2026

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **A** | **C** | **I** | **R2** | **R4** | **R5** | **R6** | **NAV** |
| **John Hancock Capital Series** |  |  |  |  |  |  |  |  |
| John Hancock Classic Value Fund | PZFVX | JCVCX | JCVIX | JCVSX | N/A | JCVVX | JCVWX | N/A |
| John Hancock U.S. Global Leaders Growth Fund | USGLX | USLCX | USLIX | USLYX | N/A | N/A | UGLSX | N/A |
| **John Hancock Investment Trust** |  |  |  |  |  |  |  |  |
| John Hancock Balanced Fund | SVBAX | SVBCX | SVBIX | JBATX | JBAFX | JBAVX | JBAWX | N/A |
| John Hancock Disciplined Value International Fund | JDIBX | JDICX | JDVIX | JDISX | JDITX | N/A | JDIUX | JDIVX |
| John Hancock Diversified Macro Fund | JDJAX | JDJCX | JDJIX | N/A | N/A | N/A | JDJRX |  |
| John Hancock Emerging Markets Equity Fund | JEMQX | JEMZX | JEMMX | JEMKX | JEMNX | N/A | JEMGX |  |
| John Hancock Fundamental Large Cap Core Fund | TAGRX | JHLVX | JLVIX | JLCYX | JLCFX | JLCVX | JLCWX | JLCNX |
| John Hancock Global Environmental Opportunities Fund | JABZX | JABYX | JABVX | N/A | N/A | N/A | JACDX |  |
| John Hancock Infrastructure Fund | JEEBX | JEEFX | JEEIX | N/A | N/A | N/A | JEEDX |  |
| John Hancock International Dynamic Growth Fund | JIJAX | JIJCX | JIJIX | N/A | N/A | N/A | JIJRX |  |
| John Hancock Small Cap Core Fund | JCCAX | N/A | JCCIX | N/A | N/A | N/A | JORSX |  |
| **John Hancock Investment Trust II** |  |  |  |  |  |  |  |  |
| John Hancock Financial Industries Fund | FIDAX | FIDCX | JFIFX | N/A | N/A | N/A | JFDRX |  |
| John Hancock Regional Bank Fund | FRBAX | FRBCX | JRBFX | N/A | N/A | N/A | JRGRX | N/A |

---

This Statement of Additional Information ("SAI") provides information about each fund listed above (each a "fund" and collectively, the "funds"). Each fund is a series of the Trust indicated above. The information in this SAI is in addition to the information that is contained in each fund's prospectus dated March 1, 2026, as amended and supplemented from time to time (collectively, the "Prospectus"). The funds may offer other share classes that are described in separate prospectuses and SAIs.

This SAI is not a prospectus. It should be read in conjunction with the Prospectus. This SAI incorporates by reference the financial statements of each fund for the period ended October 31, 2025, as well as the related opinion of the fund's independent registered public accounting firm, as included in the fund's most recent Form N-CSR filing. The financial statements of each fund for the fiscal period ended October 31, 2025 are available through the following link(s):

Manulife, Manulife Investments, Stylized M Design, and Manulife Investments & Stylized M Design are trademarks of The Manufacturers Life Insurance Company and John Hancock, and the Stylized John Hancock Design are trademarks of John Hancock Life Insurance Company (U.S.A.). Each are used by it and by its affiliates under license.

JH1031SAI

------

Form N-CSR filed December 22, 2025 for:

&nbsp;&nbsp;&nbsp;&nbsp;● Classic Value Fund

U.S. Global Leaders Growth Fund

[https://www.sec.gov/ix?doc=/Archives/edgar/data/45291/000119312525327164/8de3f34f2561fa1.htm](https://www.sec.gov/ix?doc=/Archives/edgar/data/45291/000119312525327164/8de3f34f2561fa1.htm)

Form N-CSR filed December 22, 2025 for:

&nbsp;&nbsp;&nbsp;&nbsp;● Balanced Fund

Disciplined Value International Fund

Diversified Macro Fund

Emerging Markets Equity Fund

[https://www.sec.gov/ix?doc=/Archives/edgar/data/0000022370/000119312525327167/8de3f384d18ebda.htm](https://www.sec.gov/ix?doc=/Archives/edgar/data/0000022370/000119312525327167/8de3f384d18ebda.htm)

Form N-CSR filed December 22, 2025 for:

&nbsp;&nbsp;&nbsp;&nbsp;● Global Environmental Opportunities Fund

International Dynamic Growth Fund

[https://www.sec.gov/ix?doc=/Archives/edgar/data/0000022370/000119312525327166/8de3f25f2c247e5.htm](https://www.sec.gov/ix?doc=/Archives/edgar/data/0000022370/000119312525327166/8de3f25f2c247e5.htm)

Form N-CSR filed December 22, 2025 for:

&nbsp;&nbsp;&nbsp;&nbsp;● Fundamental Large Cap Core Fund

Infrastructure Fund

Small Cap Core Fund

[https://www.sec.gov/ix?doc=/Archives/edgar/data/0000022370/000119312525327165/8de3f22fa35613b.htm](https://www.sec.gov/ix?doc=/Archives/edgar/data/0000022370/000119312525327165/8de3f22fa35613b.htm)

Form N-CSR filed December 22, 2025 for:

&nbsp;&nbsp;&nbsp;&nbsp;● Financial Industries Fund

Regional Bank Fund

[https://www.sec.gov/ix?doc=/Archives/edgar/data/743861/000119312525327168/8de3f291bd0df34.htm](https://www.sec.gov/ix?doc=/Archives/edgar/data/743861/000119312525327168/8de3f291bd0df34.htm)

A copy of a Prospectus, Form N-CSR, other information such as fund financial statements that the fund files on Form N-CSR, or an annual report to shareholders (each an "Annual Report") can be obtained free of charge by contacting:

John Hancock Signature Services, Inc.

P.O. Box 219909

Kansas City, MO 64121-9909

800-225-5291

jhinvestments.com

------

[Table of contents](#xx_7a60f272-283b-40d5-b228-d9c3c954eef0__0)

---

| | |
|:---|:---|
| [Glossary](#xx_b45fd715-4563-45fd-8066-7a4f01a9cc10_1) | **2** |
| [Organization of the TRUSTS](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_1) | **5** |
| [Additional Investment Policies and Other Instruments](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_1) | **5** |
| [Risk Factors](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_22) | **26** |
| [Regulation of Commodity Interests](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_42) | **46** |
| [Hedging and Other Strategic Transactions](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_42) | **46** |
| [Investment Restrictions](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_52) | **56** |
| [Portfolio Turnover](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_62) | **66** |
| [Those Responsible for Management](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_62) | **66** |
| [Shareholders of The FUNDS](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_72) | **76** |
| [Investment Management Arrangements and Other Services](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_96) | **100** |
| [Distribution Agreements](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_101) | **105** |
| [Sales Compensation](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_105) | **109** |
| [Net Asset Value](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_109) | **113** |
| [Policy Regarding Disclosure of Portfolio Holdings](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_110) | **114** |
| [Sales Charges On CLASS A AND CLASS C Shares](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_112) | **116** |
| [Special Redemptions](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_116) | **120** |
| [Additional Services and Programs](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_117) | **121** |
| [Purchases and Redemptions Through Third Parties](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_119) | **123** |
| [Description of Fund Shares](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_119) | **123** |
| [Sample Calculation of Maximum Offering Price](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_120) | **124** |
| [Additional Information Concerning Taxes](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_121) | **125** |
| [Portfolio Brokerage](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_128) | **132** |
| [Transfer Agent Services](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_131) | **135** |
| [Legal and Regulatory Matters](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_132) | **136** |
| [Independent Registered Public Accounting Firm](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_132) | **136** |
| [Financial Statements](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_132) | **136** |
| [Custody of Portfolio Securities](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_132) | **136** |
| [Codes of Ethics](#xx_ddc2fb6c-9bc1-46e1-9d26-cbfe45157ab1_132) | **136** |
| [Appendix](#xx_72ba64d0-5313-4355-9240-cca047361034_1)[A – Description of Bond Ratings](#xx_72ba64d0-5313-4355-9240-cca047361034_1) | **A-1** |
| [Appendix](#xx_b6412529-a77f-4661-aaa1-454358f02893_1)[B – Portfolio Manager Information](#xx_b6412529-a77f-4661-aaa1-454358f02893_1) | **B-1** |
| [Appendix](#xx_c394fa79-a6f4-481a-896d-ca3d23a461c4_1)[C – Proxy Voting Policies and Procedures](#xx_c394fa79-a6f4-481a-896d-ca3d23a461c4_1) | **C-1** |

---

**1**

------

**Glossary**

------

---

| | |
|:---|:---|
| **Term** | **Definition** |
| "1933 Act" | the Securities Act of 1933, as amended |
| "1940 Act" | the Investment Company Act of 1940, as amended |
| "Advisers Act" | the Investment Advisers Act of 1940, as amended |
| "Advisor" | John Hancock Investment Management LLC, 200 Berkeley Street, Boston, Massachusetts 02116 |
| "Advisory Agreement" | an investment advisory agreement or investment management contract between the Trust and the Advisor |
| "Affiliated Subadvisors" | Manulife Investment Management (US) LLC and CQS (US), LLC, as applicable |
| "affiliated underlying funds" | underlying funds that are advised by John Hancock's investment advisor or its affiliates |
| "BDCs" | business development companies |
| "Board" | Board of Trustees of the Trust |
| "CATS" | Certificates of Accrual on Treasury Securities |
| "CBOs" | Collateralized Bond Obligations |
| "CCO" | Chief Compliance Officer |
| "CDSC" | Contingent Deferred Sales Charge |
| "CEA" | the Commodity Exchange Act, as amended |
| "CIBM" | China interbank bond market |
| "CLOs" | Collateralized Loan Obligations |
| "CMOs" | Collateralized Mortgage Obligations |
| "Code" | the Internal Revenue Code of 1986, as amended |
| "COFI floaters" | Cost of Funds Index |
| "CPI" | Consumer Price Index |
| "CPI-U" | Consumer Price Index for Urban Consumers |
| "CPO" | Commodity Pool Operator |
| "CFTC" | Commodity Futures Trading Commission |
| "Citibank" | Citibank, N.A., 388 Greenwich Street, New York, NY 10013 |
| "Distributor" | John Hancock Investment Management Distributors LLC, 200 Berkeley Street, Boston, Massachusetts 02116 |
| "EMU" | Economic and Monetary Union |
| "ETFs" | Exchange-Traded Funds |
| "ETNs" | Exchange-Traded Notes |
| "EU" | European Union |
| "Fannie Mae" | Federal National Mortgage Association |
| "FATCA" | Foreign Account Tax Compliance Act |
| "Fed" | U.S. Federal Reserve |
| "FHFA" | Federal Housing Finance Agency |
| "FHLBs" | Federal Home Loan Banks |
| "FICBs" | Federal Intermediate Credit Banks |
| "Fitch" | Fitch Ratings |
| "Freddie Mac" | Federal Home Loan Mortgage Corporation |
| "funds" or "series" | The John Hancock funds within this SAI as noted on the front cover and as the context may require |
| "funds of funds" | &nbsp;&nbsp;&nbsp;&nbsp; funds that seek to achieve their investment objectives by investing in underlying funds, as permitted by <br> Section 12(d) of the 1940 Act and the rules thereunder<br>|
| "GNMA" | Government National Mortgage Association |
| "HKSCC" | Hong Kong Securities Clearing Company |
| "IOs" | Interest-Only |
| "IRA" | Individual Retirement Account |
| "IRS" | Internal Revenue Service |
| "JHCT" | John Hancock Collateral Trust |
| "JH Distributors" | John Hancock Distributors, LLC |

---

**2**

------

---

| | |
|:---|:---|
| **Term** | **Definition** |
| "JHLICO New York" | John Hancock Life Insurance Company of New York |
| "JHLICO U.S.A." | John Hancock Life Insurance Company (U.S.A.) |
| "LOI" | Letter of Intention |
| "LIBOR" | London Interbank Offered Rate |
| "MAAP" | Monthly Automatic Accumulation Program |
| "Manulife Financial" or "MFC" | Manulife Financial, a publicly traded company based in Toronto, Canada |
| "Manulife IM (US)" | Manulife Investment Management (US) LLC |
| "MiFID II" | Markets in Financial Instruments Directive |
| "Moody's" | Moody's Investors Service, Inc |
| "NAV" | Net Asset Value |
| "NRSRO" | Nationally Recognized Statistical Rating Organization |
| "NYSE" | New York Stock Exchange |
| "OID" | Original Issue Discount |
| "OTC" | Over-The-Counter |
| "PAC" | Planned Amortization Class |
| "PFS" | Personal Financial Services |
| "POs" | Principal-Only |
| "PRC" | People's Republic of China |
| "REITs" | Real Estate Investment Trusts |
| "RIC" | Regulated Investment Company |
| "RPS" | John Hancock Retirement Plan Services |
| "SARSEP" | Salary Reduction Simplified Employee Pension Plan |
| "SEC" | Securities and Exchange Commission |
| "SEP" | Simplified Employee Pension |
| "SIMPLE" | Savings Incentive Match Plan for Employees |
| "S&P" | S&P Global Ratings |
| "SLMA" | Student Loan Marketing Association |
| "SOFR" | Secured Overnight Financing Rate |
| "SPACs" | Special Purpose Acquisition Companies |
| "State Street" | State Street Bank and Trust Company, One Congress Street, Suite 1, Boston, MA 02114 |
| "subadvisor" | &nbsp;&nbsp;&nbsp;&nbsp; Any subadvisors employed by John Hancock within this SAI as noted in Appendix B and as the context may <br> require<br>|
| "TAC" | Target Amortization Class |
| "TIGRs" | Treasury Receipts, Treasury Investors Growth Receipts |
| "Trust" | &nbsp;&nbsp;&nbsp;&nbsp; John Hancock Bond Trust<br> John Hancock California Tax-Free Income Fund<br> John Hancock Capital Series<br> John Hancock Current Interest<br> John Hancock Exchange-Traded Fund Trust<br> John Hancock Funds II<br> John Hancock Funds III<br> John Hancock Investment Trust<br> John Hancock Investment Trust II<br> John Hancock Municipal Securities Trust<br> John Hancock Sovereign Bond Fund<br> John Hancock Strategic Series<br> John Hancock Variable Insurance Trust<br>|
| "TSA" | Tax-Sheltered Annuity |
| "unaffiliated underlying funds" | underlying funds that are advised by an entity other than John Hancock's investment advisor or its affiliates |
| "underlying funds" | funds in which the funds of funds invest |

---

**3**

------

---

| | |
|:---|:---|
| **Term** | **Definition** |
| "UK" | United Kingdom |

---

**4**

------

**Organization of the TRUSTS**

------

Each Trust is organized as a Massachusetts business trust under the laws of The Commonwealth of Massachusetts and is an open-end management investment company registered under the 1940 Act. Each fund is a diversified series of its respective Trust, as that term is used in the 1940 Act, and as interpreted or modified by regulatory authority having jurisdiction, from time to time. The following table sets forth the date each Trust was organized:

---

| | |
|:---|:---|
| **Trust** | **Date of Organization** |
| John Hancock Capital Series | October 5, 1984 |
| John Hancock Investment Trust | December 21, 1984 |
| John Hancock Investment Trust II | March 30, 1984 |

---

Diversified Macro Fund (the "Parent" fund) presently has a single wholly-owned subsidiary, John Hancock Diversified Macro Offshore Subsidiary Fund, Ltd. (the "Subsidiary"). The Subsidiary is organized under the laws of the Cayman Islands as an "exempt company," which is a corporation that is exempt from taxation in the Cayman Islands but may not trade in the Cayman Islands with any person, firm or corporation except in furtherance of business carried on outside the Cayman Islands. Diversified Macro Fund is the sole owner of its Subsidiary.

The Advisor is a Delaware limited liability company whose principal offices are located at 200 Berkeley Street, Boston, Massachusetts 02116. The Advisor is registered as an investment advisor under the Advisers Act. The Advisor is an indirect principally owned subsidiary of JHLICO U.S.A. JHLICO U.S.A. and its subsidiaries today offer a broad range of financial products, including life insurance, annuities, 401(k) plans, long-term care insurance, college savings, and other forms of business insurance. Additional information about John Hancock may be found on the Internet at johnhancock.com. The ultimate controlling parent of the Advisor is MFC, a publicly traded company based in Toronto, Canada. MFC is the holding company of The Manufacturers Life Insurance Company and its subsidiaries, collectively known as Manulife Financial.

The Advisor has retained for each fund a subadvisor that is responsible for providing investment advice to the fund subject to the review of the Board and the overall supervision of the Advisor.

Manulife Financial is a leading international financial services group with principal operations in Asia, Canada, and the United States. Operating primarily as John Hancock in the United States and Manulife elsewhere, it provides financial protection products and advice, insurance, as well as wealth and asset management services through its extensive network of solutions for individuals, groups, and institutions. Its global headquarters are in Toronto, Canada, and it trades as 'MFC' on the Toronto Stock Exchange, NYSE, and the Philippine Stock Exchange, and under '945' in Hong Kong. Manulife Financial can be found on the Internet at manulife.com.

The following table sets forth each fund's inception date:

---

| | |
|:---|:---|
| **Fund** | **Commencement of Operations** |
| Balanced Fund | October 5, 1992 |
| Classic Value Fund | June 24, 1996 |
| Disciplined Value International Fund | &nbsp;&nbsp;&nbsp;&nbsp; December 30, 2011 (predecessor fund inception date; became a series of Investment Trust on <br> September 29, 2014)<br>|
| Diversified Macro Fund | July 29, 2019 |
| Emerging Markets Equity Fund | June 16, 2015 |
| Financial Industries Fund | March 14, 1996 |
| Fundamental Large Cap Core Fund | September 30, 1984 |
| Global Environmental Opportunities Fund | July 21, 2021 |
| Infrastructure Fund | December 20, 2013 |
| International Dynamic Growth Fund | April 17, 2019 |
| Regional Bank Fund | October 4, 1985 |
| Small Cap Core Fund | December 20, 2013 |
| U.S. Global Leaders Growth Fund | September 29, 1995 |

---

If a fund or share class has been in operation for a period that is shorter than the three-year fiscal period covered in this SAI, information is provided for the period the fund or share class, as applicable, was in operation.

**Additional Investment Policies and Other Instruments**

------

The principal strategies and risks of investing in each fund are described in the applicable Prospectus. Unless otherwise stated in the applicable Prospectus or this SAI, the investment objective and policies of each fund may be changed without shareholder approval. Each fund may invest in the instruments below, and such instruments and investment policies apply to each fund, but only if and to the extent that such policies are consistent with and permitted by a fund's investment objective and policies. Each fund may also have indirect exposure to the instruments described below through

**5**

------

derivative contracts, if applicable. By owning shares of the underlying funds, each fund of funds indirectly invests in the securities and instruments held by the underlying funds and bears the same risks of such underlying funds.

**Asset-Backed Securities**

The securitization techniques used to develop mortgage securities also are being applied to a broad range of other assets. Through the use of trusts and special purpose corporations, automobile and credit card receivables are being securitized in pass-through structures similar to mortgage pass-through structures or in a pay-through structure similar to the CMO structure.

Generally, the issuers of asset-backed bonds, notes or pass-through certificates are special purpose entities and do not have any significant assets other than the receivables securing such obligations. In general, the collateral supporting asset-backed securities is of a shorter maturity than that of mortgage loans. As a result, investment in these securities should be subject to less volatility than mortgage securities. Instruments backed by pools of receivables are similar to mortgage-backed securities in that they are subject to unscheduled prepayments of principal prior to maturity. When the obligations are prepaid, a fund must reinvest the prepaid amounts in securities with the prevailing interest rates at the time. Therefore, a fund's ability to maintain an investment including high-yielding asset-backed securities will be affected adversely to the extent that prepayments of principal must be reinvested in securities that have lower yields than the prepaid obligations. Moreover, prepayments of securities purchased at a premium could result in a realized loss. Unless otherwise stated in its Prospectus, a fund will only invest in asset-backed securities rated, at the time of purchase, "AA" or better by S&P or Fitch or "Aa" or better by Moody's.

As with mortgage securities, asset-backed securities are often backed by a pool of assets representing the obligation of a number of different parties and use similar credit enhancement techniques. For a description of the types of credit enhancement that may accompany asset-backed securities, see "Types of Credit Support" below. When a fund invests in asset-backed securities, it will not limit its investments in asset-backed securities to those with credit enhancements. Although asset-backed securities are not generally traded on a national securities exchange, such securities are widely traded by brokers and dealers, and will not be considered illiquid securities for the purposes of the investment restriction on illiquid securities under the sub-section "Illiquid Securities" in this section below.

**Types of Credit Support.** To lessen the impact of an obligor's failure to make payments on underlying assets, mortgage securities and asset-backed securities may contain elements of credit support. Such credit support falls into two categories:

● liquidity protection; and

● default protection.

Liquidity protection refers to the provision of advances, generally by the entity administering the pool of assets, to ensure that the pass-through of payments due on the underlying pool of assets occurs in a timely fashion. Default protection provides protection against losses resulting from ultimate default and enhances the likelihood of ultimate payment of the obligations on at least a portion of the assets in the pool. This protection may be provided through guarantees, insurance policies or letters of credit obtained by the issuer or sponsor from third parties, through various means of structuring the transaction or through a combination of such approaches. A fund will not pay any additional fees for such credit support, although the existence of credit support may increase the price of a security.

Some examples of credit support include:

● "senior-subordinated securities" (multiple class securities with one or more classes subordinate to other classes as to the payment of principal thereof and interest thereon, with the result that defaults on the underlying assets are borne first by the holders of the subordinated class);

● creation of "reserve funds" (where cash or investments, sometimes funded from a portion of the payments on the underlying assets, are held in reserve against future losses); and

● "over-collateralization" (where the scheduled payments on, or the principal amount of, the underlying assets exceed those required to make payment on the securities and pay any servicing or other fees).

The ratings of mortgage-backed securities and asset-backed securities for which third-party credit enhancement provides liquidity protection or default protection are generally dependent upon the continued creditworthiness of the provider of the credit enhancement. The ratings of these securities could be reduced in the event of deterioration in the creditworthiness of the credit enhancement provider even in cases where the delinquency and loss experienced on the underlying pool of assets is better than expected.

The degree of credit support provided for each issue is generally based on historical information concerning the level of credit risk associated with the underlying assets. Delinquency or loss greater than anticipated could adversely affect the return on an investment in mortgage securities or asset-backed securities.

**Collateralized Debt Obligations.** CBOs, CLOs, other collateralized debt obligations, and other similarly structured securities (collectively, "CDOs") are types of asset-backed securities. A CBO is a trust that is often backed by a diversified pool of high risk, below investment grade fixed-income securities. The collateral can be from many different types of fixed-income securities such as high yield debt, residential privately issued mortgage-related securities, commercial privately issued mortgage-related securities, trust preferred securities and emerging market debt. A CLO is a trust typically collateralized by a pool of loans, which may include, among others, domestic and foreign senior secured loans, senior unsecured loans, and subordinate corporate loans, including loans that may be rated below investment grade or equivalent unrated loans. Other CDOs are trusts backed by other types of assets representing obligations of various parties. CDOs may charge management fees and administrative expenses.

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In a CDO structure, the cash flows from the trust are split into two or more portions, called tranches, varying in risk and yield. The riskiest portion is the "equity" tranche which bears the bulk of defaults from the bonds or loans in the trust and serves to protect the other, more senior tranches from default in all but the most severe circumstances. Since it is partially protected from defaults, a senior tranche from a CDO trust typically has a higher rating and lower yield than its underlying securities, and can be rated investment grade. Despite the protection from the equity tranche, CDO tranches can experience substantial losses due to actual defaults, increased sensitivity to defaults due to collateral default and disappearance of protecting tranches, market anticipation of defaults, as well as aversion to CDO securities as a class. In the case of all CDO tranches, the market prices of and yields on tranches with longer terms to maturity tend to be more volatile than those of tranches with shorter terms to maturity due to the greater volatility and uncertainty of cash flows.

**Borrowing**

Unless otherwise prohibited, a fund may borrow money in an amount that does not exceed 33% of its total assets. Borrowing by a fund involves leverage, which may exaggerate any increase or decrease in a fund's investment performance and in that respect may be considered a speculative practice. The interest that a fund must pay on any borrowed money, additional fees to maintain a line of credit or any minimum average balances required to be maintained are additional costs that will reduce or eliminate any potential investment income and may offset any capital gains. Unless the appreciation and income, if any, on the asset acquired with borrowed funds exceed the cost of borrowing, the use of leverage will diminish the investment performance of a fund.

**Brady Bonds**

Brady Bonds are debt securities issued under the framework of the "Brady Plan," an initiative announced by former U.S. Treasury Secretary Nicholas F. Brady in 1989 as a mechanism for debtor nations to restructure their outstanding external commercial bank indebtedness. The Brady Plan framework, as it has developed, involves the exchange of external commercial bank debt for newly issued bonds ("Brady Bonds"). Brady Bonds also may be issued in respect of new money being advanced by existing lenders in connection with the debt restructuring. Brady Bonds issued to date generally have maturities between 15 and 30 years from the date of issuance and have traded at a deep discount from their face value. In addition to Brady Bonds, investments in emerging market governmental obligations issued as a result of debt restructuring agreements outside of the scope of the Brady Plan are available.

Agreements implemented under the Brady Plan to date are designed to achieve debt and debt-service reduction through specific options negotiated by a debtor nation with its creditors. As a result, the financial packages offered by each country differ. The types of options have included:

● the exchange of outstanding commercial bank debt for bonds issued at 100% of face value that carry a below-market stated rate of interest (generally known as par bonds);

● bonds issued at a discount from face value (generally known as discount bonds);

● bonds bearing an interest rate which increases over time; and

● bonds issued in exchange for the advancement of new money by existing lenders.

Regardless of the stated face amount and interest rate of the various types of Brady Bonds, when investing in Brady Bonds, a fund will purchase Brady Bonds in secondary markets in which the price and yield to the investor reflect market conditions at the time of purchase.

Certain sovereign bonds are entitled to "value recovery payments" in certain circumstances, which in effect constitute supplemental interest payments but generally are not collateralized. Certain Brady Bonds have been collateralized as to principal due at maturity (typically 15 to 30 years from the date of issuance) by U.S. Treasury zero coupon bonds with a maturity equal to the final maturity of such Brady Bonds, although the collateral is not available to investors until the final maturity of the Brady Bonds. Collateral purchases are financed by the International Monetary Fund (the "IMF"), the World Bank and the debtor nations' reserves. In addition, interest payments on certain types of Brady Bonds may be collateralized by cash or high-grade securities in amounts that typically represent between 12 and 18 months of interest accruals on these instruments, with the balance of the interest accruals being uncollateralized.

A fund may purchase Brady Bonds with no or limited collateralization, and must rely for payment of interest and (except in the case of principal collateralized Brady Bonds) principal primarily on the willingness and ability of the foreign government to make payment in accordance with the terms of the Brady Bonds.

Brady Bonds issued to date are purchased and sold in secondary markets through U.S. securities dealers and other financial institutions and are generally maintained through European transactional securities depositories. A substantial portion of the Brady Bonds and other sovereign debt securities in which a fund invests are likely to be acquired at a discount.

**Canadian and Provincial Government and Crown Agency Obligations**

**Canadian Government Obligations.** Canadian government obligations are debt securities issued or guaranteed as to principal or interest by the government of Canada pursuant to authority granted by the Parliament of Canada and approved by the Governor in Council, where necessary. These securities include treasury bills, notes, bonds, debentures and marketable government of Canada loans.

**Canadian Crown Obligations.** Canadian Crown agency obligations are debt securities issued or guaranteed by a Crown corporation, company or agency ("Crown Agencies") pursuant to authority granted by the Parliament of Canada and approved by the Governor in Council, where necessary.

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Certain Crown Agencies are by statute agents of Her Majesty in right of Canada, and their obligations, when properly authorized, constitute direct obligations of the government of Canada. These obligations include, but are not limited to, those issued or guaranteed by the:

● Export Development Corporation;

● Farm Credit Corporation;

● Federal Business Development Bank; and

● Canada Post Corporation.

In addition, certain Crown Agencies that are not, by law, agents of Her Majesty may issue obligations that, by statute, the Governor in Council may authorize the Minister of Finance to guarantee on behalf of the government of Canada. Other Crown Agencies that are not, by law, agents of Her Majesty may issue or guarantee obligations not entitled to be guaranteed by the government of Canada. No assurance can be given that the government of Canada will support the obligations of Crown Agencies that are not agents of Her Majesty, which it has not guaranteed, since it is not obligated to do so by law.

**Provincial Government Obligations.** Provincial Government obligations are debt securities issued or guaranteed as to principal or interest by the government of any province of Canada pursuant to authority granted by the provincial Legislature and approved by the Lieutenant Governor in Council of such province, where necessary. These securities include treasury bills, notes, bonds and debentures.

**Provincial Crown Agency Obligations.** Provincial Crown Agency obligations are debt securities issued or guaranteed by a provincial Crown corporation, company or agency ("Provincial Crown Agencies") pursuant to authority granted by the provincial Legislature and approved by the Lieutenant Governor in Council of such province, where necessary. Certain Provincial Crown Agencies are by statute agents of Her Majesty in right of a particular province of Canada, and their obligations, when properly authorized, constitute direct obligations of such province. Other Provincial Crown Agencies that are not, by law, agents of Her Majesty in right of a particular province of Canada may issue obligations that, by statute, the Lieutenant Governor in Council of such province may guarantee, or may authorize the Treasurer thereof to guarantee, on behalf of the government of such province. Finally, other Provincial Crown Agencies that are not, by law, agencies of Her Majesty may issue or guarantee obligations not entitled to be guaranteed by a provincial government. No assurance can be given that the government of any province of Canada will support the obligations of Provincial Crown Agencies that are not agents of Her Majesty and that it has not guaranteed, as it is not obligated to do so by law. Provincial Crown Agency obligations described above include, but are not limited to, those issued or guaranteed by a:

● provincial railway corporation;

● provincial hydroelectric or power commission or authority;

● provincial municipal financing corporation or agency; and

● provincial telephone commission or authority.

**Certificates of Deposit, Time Deposits, and Bankers' Acceptances**

**Certificates of Deposit.** Certificates of deposit are certificates issued against funds deposited in a bank or a savings and loan. They are issued for a definite period of time and earn a specified rate of return.

**Time Deposits.** Time deposits are non-negotiable deposits maintained in banking institutions for specified periods of time at stated interest rates.

**Bankers' Acceptances.** Bankers' acceptances are short-term credit instruments evidencing the obligation of a bank to pay a draft which has been drawn on it by a customer. These instruments reflect the obligations both of the bank and of the drawer to pay the face amount of the instrument upon maturity. They are primarily used to finance the import, export, transfer or storage of goods. They are "accepted" when a bank guarantees their payment at maturity.

These obligations are not insured by the Federal Deposit Insurance Corporation.

Certificates of deposit and bankers' acceptances acquired by Classic Value Fund and U.S. Global Leaders Growth Fund will be dollar-denominated obligations of domestic banks, savings and loan associations or financial institutions which, at the time of purchase, have capital, surplus and undivided profits in excess of $100 million (including assets of both domestic and foreign branches), based on latest published reports, or less than $100 million if the principal amount of such bank obligations are fully insured by the U.S. government.

**Commercial Paper and Short-Term Notes**

Commercial paper consists of unsecured promissory notes issued by corporations. Issues of commercial paper and short-term notes will normally have maturities of less than nine months and fixed rates of return, although such instruments may have maturities of up to one year.

Fundamental Large Cap Core Fund may invest in commercial paper rated at least "P-1" by Moody's or "A-1" by S&P. Classic Value Fund and U.S. Global Leaders Growth Fund may invest in commercial paper consisting of issues rated at the time of purchase "A-2" or higher by S&P, "P-1" or "P-2" by Moody's, or similarly rated by another NRSRO or, if unrated, will be determined by the subadvisor to be of comparable quality. These ratings symbols are described in Appendix A.

**Variable Amount Master Demand Notes (Each fund other than Balanced Fund, Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund).** Commercial paper obligations may include

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variable amount master demand notes. Variable amount master demand notes are obligations that permit the investment of fluctuating amounts at varying rates of interest pursuant to direct arrangements between a fund, as lender, and the borrower. These notes permit daily changes in the amounts borrowed. The investing (i.e., "lending") fund has the right to increase the amount under the note at any time up to the full amount provided by the note agreement, or to decrease the amount, and the borrower may prepay up to the full amount of the note without penalty. Because variable amount master demand notes are direct lending arrangements between the lender and borrower, it is not generally contemplated that such instruments will be traded. There is no secondary market for these notes, although they are redeemable (and thus immediately repayable by the borrower) at face value, plus accrued interest, at any time.

A subadvisor will only invest in variable amount master demand notes issued by companies that, at the date of investment, have an outstanding debt issue rated "Aaa" or "Aa" by Moody's or "AAA" or "AA" by S&P or Fitch, and that the subadvisor has determined present minimal risk of loss. A subadvisor will look generally at the financial strength of the issuing company as "backing" for the note and not to any security interest or supplemental source, such as a bank letter of credit. A variable amount master demand note will be valued on each day a NAV is determined. The NAV generally will be equal to the face value of the note plus accrued interest unless the financial position of the issuer is such that its ability to repay the note when due is in question.

**Conversion of Debt Securities**

In the event debt securities held by a fund are converted to or exchanged for equity securities, the fund may continue to hold such equity securities, but only if and to the extent consistent with and permitted by its investment objective and policies.

**Convertible Securities**

Convertible securities may include corporate notes or preferred securities. Investments in convertible securities are not subject to the rating criteria with respect to non-convertible debt obligations. As with all debt securities, the market value of convertible securities tends to decline as interest rates increase and, conversely, to increase as interest rates decline. The market value of convertible securities can also be heavily dependent upon the changing value of the equity securities into which such securities are convertible, depending on whether the market price of the underlying security exceeds the conversion price. Convertible securities generally rank senior to common stocks in an issuer's capital structure and consequently entail less risk than the issuer's common stock. However, the extent to which such risk is reduced depends upon the degree to which the convertible security sells above its value as a fixed-income security.

**Corporate Obligations**

Corporate obligations are bonds and notes issued by corporations to finance long-term credit needs.

**Depositary Receipts**

Securities of foreign issuers may include American Depositary Receipts, European Depositary Receipts, Global Depositary Receipts, International Depositary Receipts, and Non-Voting Depositary Receipts ("ADRs," "EDRs," "GDRs," "IDRs," and "NVDRs," respectively, and collectively, "Depositary Receipts"). Depositary Receipts are certificates typically issued by a bank or trust company that give their holders the right to receive securities issued by a foreign or domestic corporation.

ADRs are U.S. dollar-denominated securities backed by foreign securities deposited in a U.S. securities depository. ADRs are created for trading in the U.S. markets. The value of an ADR will fluctuate with the value of the underlying security and will reflect any changes in exchange rates. An investment in ADRs involves risks associated with investing in foreign securities. Issuers of unsponsored ADRs are not contractually obligated to disclose material information in the United States, and, therefore, there may not be a correlation between that information and the market value of an unsponsored ADR.

EDRs, GDRs, IDRs, and NVDRs are receipts evidencing an arrangement with a foreign bank or exchange affiliate similar to that for ADRs and are designed for use in foreign securities markets. EDRs, GDRs, IDRs, and NVDRs are not necessarily quoted in the same currency as the underlying security. NVDRs do not have voting rights.

Each fund may invest in ADRs, each fund other than U.S. Global Leaders Growth Fund may invest in EDRs, and each fund other than Classic Value Fund and U.S. Global Leaders Growth Fund may invest in GDRs, IDRs, and NVDRs, in each case as described in its investment policies. U.S. Global Leaders Growth Fund treats ADRs as interests in the underlying securities for purposes of its investment policies.

**Exchange-Traded Notes**

ETNs are senior, unsecured, unsubordinated debt securities the returns of which are linked to the performance of a particular market benchmark or strategy, minus applicable fees. ETNs are traded on an exchange (e.g., the NYSE) during normal trading hours; however, investors also can hold ETNs until they mature. At maturity, the issuer pays to the investor a cash amount equal to the principal amount, subject to the day's market benchmark or strategy factor. ETNs do not make periodic coupon payments or provide principal protection. ETNs are subject to credit risk, including the credit risk of the issuer, and the value of the ETN may drop due to a downgrade in the issuer's credit rating, despite the underlying market benchmark or strategy remaining unchanged. The value of an ETN also may be influenced by time to maturity, level of supply and demand for the ETN, volatility and lack of liquidity in underlying assets, changes in the applicable interest rates, changes in the issuer's credit rating, and economic, legal, political, or geographic events that affect the referenced underlying asset. When a fund invests in ETNs, it will bear its proportionate share of any fees and expenses borne by the ETN. A decision by a fund to sell ETN holdings may be limited by the availability of a secondary market. In addition, although an ETN may be listed on an exchange, the issuer may not be required to maintain the listing, and there can be no assurance that a secondary market will exist for an ETN.

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ETNs also are subject to tax risk. No assurance can be given that the IRS will accept, or a court will uphold, how a fund characterizes and treats ETNs for tax purposes.

An ETN that is tied to a specific market benchmark or strategy may not be able to replicate and maintain exactly the composition and relative weighting of securities, commodities or other components in the applicable market benchmark or strategy. Some ETNs that use leverage can, at times, be relatively illiquid, and thus they may be difficult to purchase or sell at a fair price. Leveraged ETNs are subject to the same risk as other instruments that use leverage in any form. The market value of ETNs may differ from their market benchmark or strategy. This difference in price may be due to the fact that the supply and demand in the market for ETNs at any point in time is not always identical to the supply and demand in the market for the securities, commodities or other components underlying the market benchmark or strategy that the ETN seeks to track. As a result, there may be times when an ETN trades at a premium or discount to its market benchmark or strategy.

**Fixed-Income Securities**

Investment grade bonds are rated at the time of purchase in the four highest rating categories by a NRSRO, such as those rated "Aaa," "Aa," "A" and "Baa" by Moody's, or "AAA," "AA," "A" and "BBB" by S&P or Fitch. Obligations rated in the lowest of the top four rating categories (such as "Baa" by Moody's or "BBB" by S&P or Fitch) may have speculative characteristics and changes in economic conditions or other circumstances are more likely to lead to a weakened capacity to make principal and interest payments, including a greater possibility of default or bankruptcy of the issuer, than is the case with higher grade bonds. Subsequent to its purchase by a fund, an issue of securities may cease to be rated or its rating may be reduced below the minimum required for purchase by a fund. In addition, it is possible that Moody's, S&P, Fitch and other NRSROs might not timely change their ratings of a particular issue to reflect subsequent events. None of these events will require the sale of the securities by a fund, although a subadvisor will consider these events in determining whether it should continue to hold the securities.

In general, the ratings of Moody's, S&P, and Fitch represent the opinions of these agencies as to the quality of the securities that they rate. It should be emphasized however, that ratings are relative and subjective and are not absolute standards of quality. These ratings will be used by a fund as initial criteria for the selection of portfolio securities. Among the factors that will be considered are the long-term ability of the issuer to pay principal and interest and general economic trends. Appendix A contains further information concerning the ratings of Moody's, S&P, and Fitch and their significance.

**Foreign Government Securities**

Foreign government securities include securities issued or guaranteed by foreign governments (including political subdivisions) or their authorities, agencies, or instrumentalities or by supra-national agencies. Different kinds of foreign government securities have different kinds of government support. For example, some foreign government securities are supported by the full faith and credit of a foreign national government or political subdivision and some are not. Foreign government securities of some countries may involve varying degrees of credit risk as a result of financial or political instability in those countries and the possible inability of a fund to enforce its rights against the foreign government issuer. As with other fixed income securities, sovereign issuers may be unable or unwilling to make timely principal or interest payments. Supra-national agencies are agencies whose member nations make capital contributions to support the agencies' activities.

**High Yield (High Risk) Domestic Corporate Debt Securities**

High yield corporate debt securities (also known as "junk bonds") include bonds, debentures, notes, bank loans, credit-linked notes and commercial paper. Most of these debt securities will bear interest at fixed rates, except bank loans, which usually have floating rates. Bonds also may have variable rates of interest, and debt securities may involve equity features, such as equity warrants or convertible outright and participation features (i.e., interest or other payments, often in addition to a fixed rate of return, that are based on the borrower's attainment of specified levels of revenues, sales or profits and thus enable the holder of the security to share in the potential success of the venture). Today, much high yield debt is used for general corporate purposes, such as financing capital needs or consolidating and paying down bank lines of credit.

The secondary market for high yield U.S. corporate debt securities is concentrated in relatively few market makers and is dominated by institutional investors, including funds, insurance companies and other financial institutions. Accordingly, the secondary market for such securities is not as liquid as, and is more volatile than, the secondary market for higher-rated securities. In addition, market trading volume for high yield U.S. corporate debt securities is generally lower and the secondary market for such securities could shrink or disappear suddenly and without warning as a result of adverse market or economic conditions, independent of any specific adverse changes in the condition of a particular issuer. The lack of sufficient market liquidity may cause a fund to incur losses because it will be required to effect sales at a disadvantageous time and then only at a substantial drop in price. These factors may have an adverse effect on the market price and a fund's ability to dispose of particular portfolio investments. A less liquid secondary market also may make it more difficult for a fund to obtain precise valuations of the high yield securities in its portfolio.

A fund is not obligated to dispose of securities whose issuers subsequently are in default or that are downgraded below the rating requirements that the fund imposes at the time of purchase.

**Hybrid Instruments**

Hybrid instruments (a type of potentially high-risk derivative) combine the elements of futures contracts or options with those of debt, preferred equity or a depository instrument.

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**Characteristics of Hybrid Instruments.** Generally, a hybrid instrument is a debt security, preferred stock, depository share, trust certificate, certificate of deposit or other evidence of indebtedness on which a portion of or all interest payments, and/or the principal or stated amount payable at maturity, redemption or retirement, is determined by reference to the following:

● prices, changes in prices, or differences between prices of securities, currencies, intangibles, goods, articles or commodities (collectively, "underlying assets"); or

● an objective index, economic factor or other measure, such as interest rates, currency exchange rates, commodity indices, and securities indices (collectively, "benchmarks").

Hybrid instruments may take a variety of forms, including, but not limited to:

● debt instruments with interest or principal payments or redemption terms determined by reference to the value of a currency or commodity or securities index at a future point in time;

● preferred stock with dividend rates determined by reference to the value of a currency; or

● convertible securities with the conversion terms related to a particular commodity.

**Uses of Hybrid Instruments.** Hybrid instruments provide an efficient means of creating exposure to a particular market, or segment of a market, with the objective of enhancing total return. For example, a fund may wish to take advantage of expected declines in interest rates in several European countries, but avoid the transaction costs associated with buying and currency-hedging the foreign bond positions.

One approach is to purchase a U.S. dollar-denominated hybrid instrument whose redemption price is linked to the average three-year interest rate in a designated group of countries. The redemption price formula would provide for payoffs of greater than par if the average interest rate was lower than a specified level, and payoffs of less than par if rates were above the specified level. Furthermore, the investing fund could limit the downside risk of the security by establishing a minimum redemption price so that the principal paid at maturity could not be below a predetermined minimum level if interest rates were to rise significantly.

The purpose of this type of arrangement, known as a structured security with an embedded put option, is to give a fund the desired European bond exposure while avoiding currency risk, limiting downside market risk, and lowering transactions costs. Of course, there is no guarantee that such a strategy will be successful and the value of a fund may decline if, for example, interest rates do not move as anticipated or credit problems develop with the issuer of the hybrid instrument.

**Structured Notes.** Structured notes include investments in an entity, such as a trust, organized and operated solely for the purpose of restructuring the investment characteristics of various securities. This type of restructuring involves the deposit or purchase of specified instruments and the issuance of one or more classes of securities backed by, or representing interests, in the underlying instruments. The cash flow on the underlying instruments may be apportioned among the newly issued structured notes to create securities with different investment characteristics, such as varying maturities, payment priorities or interest rate provisions. The extent of the income paid by the structured notes is dependent on the cash flow of the underlying instruments.

*Commodity-Linked Notes.* Certain structured products may provide exposure to the commodities markets. These are derivative securities with one or more commodity-linked components that have payment features similar to commodity futures contracts, commodity options, or similar instruments. Commodity-linked structured products may be either equity or debt securities, leveraged or unleveraged, and have both security and commodity-like characteristics. A portion of the value of these instruments may be derived from the value of a commodity, futures contract, index or other economic variable.

**Illiquid Securities**

A fund may not invest more than 15% of its net assets in securities that cannot be sold or disposed of in seven calendar days or less without the sale or disposition significantly changing the market value of the investment ("illiquid securities"). Investment in illiquid securities involves the risk that, because of the lack of consistent market demand for such securities, a fund may be forced to sell them at a discount from the last offer price. To the extent that an investment is deemed to be an illiquid investment or a less liquid investment, a fund can expect to be exposed to greater liquidity risk.

Illiquid securities may include, but are not limited to: (a) securities (except for Section 4(a)(2) Commercial Paper, discussed below) that are not eligible for resale pursuant to Rule 144A under the 1933 Act; (b) repurchase agreements maturing in more than seven days (except for those that can be terminated after a notice period of seven days or less); (c) IOs and POs of non-governmental issuers; (d) time deposits maturing in more than seven days; (e) federal fund loans maturing in more than seven days; (f) bank loan participation interests; (g) foreign government loan participations; (h) municipal leases and participations therein; and (i) any other securities or other investments for which a liquid secondary market does not exist.

Each Trust has implemented a written liquidity risk management program (the "LRM Program") and related procedures to manage the liquidity risk of a fund in accordance with Rule 22e-4 under the 1940 Act ("Rule 22e-4"). Rule 22e-4 defines "liquidity risk" as the risk that a fund could not meet requests to redeem shares issued by the fund without significant dilution of the remaining investors' interests in the fund. The Board has designated the Advisor to serve as the administrator of the LRM Program and the related procedures. As a part of the LRM Program, the Advisor is responsible to identify illiquid investments and categorize the relative liquidity of a fund's investments in accordance with Rule 22e-4. Under the LRM Program, the Advisor assesses, manages, and periodically reviews a fund's liquidity risk, and is responsible to make periodic reports to the Board and the SEC regarding the

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liquidity of a fund's investments, and to notify the Board and the SEC of certain liquidity events specified in Rule 22e-4. The liquidity of a fund's portfolio investments is determined based on relevant market, trading and investment-specific considerations under the LRM Program.

Commercial paper issued in reliance on Section 4(a)(2) of the 1933 Act ("Section 4(a)(2) Commercial Paper") is restricted as to its disposition under federal securities law, and generally is sold to institutional investors, such as the funds, who agree that they are purchasing the paper for investment purposes and not with a view to public distribution. Any resale by the purchaser must be made in an exempt transaction. Section 4(a)(2) Commercial Paper normally is resold to other institutional investors, like the funds, through or with the assistance of the issuer or investment dealers who make a market in Section 4(a)(2) Commercial Paper, thus providing liquidity.

If the Advisor determines, pursuant to the LRM Program and related procedures, that specific Section 4(a)(2) Commercial Paper or securities that are restricted as to resale but for which a ready market is available pursuant to an exemption provided by Rule 144A under the 1933 Act or other exemptions from the registration requirements of the 1933 Act are liquid, they will not be subject to a fund's limitation on investments in illiquid securities. Investing in Section 4(a)(2) Commercial Paper could have the effect of increasing the level of illiquidity in a fund if qualified institutional buyers become for a time uninterested in purchasing these restricted securities.

**Indexed Securities**

Indexed securities are instruments whose prices are indexed to the prices of other securities, securities indices, currencies, or other financial indicators. Indexed securities typically, but not always, are debt securities or deposits whose value at maturity or coupon rate is determined by reference to a specific instrument or statistic.

Currency-indexed securities typically are short-term to intermediate-term debt securities whose maturity values or interest rates are determined by reference to the values of one or more specified foreign currencies, and may offer higher yields than U.S. dollar-denominated securities. Currency-indexed securities may be positively or negatively indexed; that is, their maturity value may increase when the specified currency value increases, resulting in a security that performs similarly to a foreign denominated instrument, or their maturity value may decline when foreign currencies increase, resulting in a security whose price characteristics are similar to a put on the underlying currency. Currency-indexed securities also may have prices that depend on the values of a number of different foreign currencies relative to each other.

The performance of indexed securities depends to a great extent on the performance of the security, currency, or other instrument to which they are indexed, and also may be influenced by interest rate changes in the United States and abroad. Indexed securities may be more volatile than the underlying instruments. Indexed securities also are subject to the credit risks associated with the issuer of the security, and their values may decline substantially if the issuer's creditworthiness deteriorates. Issuers of indexed securities have included banks, corporations, and certain U.S. government agencies. An indexed security may be leveraged to the extent that the magnitude of any change in the interest rate or principal payable on an indexed security is a multiple of the change in the reference price.

**Index-Related Securities ("Equity Equivalents")**

A fund may invest in certain types of securities that enable investors to purchase or sell shares in a basket of securities that seeks to track the performance of an underlying index or a portion of an index. Such Equity Equivalents include, among others DIAMONDS (interests in a basket of securities that seeks to track the performance of the Dow Jones Industrial Average), SPDRs or S&P Depositary Receipts (an ETF that tracks the S&P 500 Index). Such securities are similar to index mutual funds, but they are traded on various stock exchanges or secondary markets. The value of these securities is dependent upon the performance of the underlying index on which they are based. Thus, these securities are subject to the same risks as their underlying indices as well as the securities that make up those indices. For example, if the securities comprising an index that an index-related security seeks to track perform poorly, the index-related security will lose value.

Equity Equivalents may be used for several purposes, including to simulate full investment in the underlying index while retaining a cash balance for portfolio management purposes, to facilitate trading, to reduce transaction costs or to seek higher investment returns where an Equity Equivalent is priced more attractively than securities in the underlying index. Because the expense associated with an investment in Equity Equivalents may be substantially lower than the expense of small investments directly in the securities comprising the indices they seek to track, investments in Equity Equivalents may provide a cost-effective means of diversifying a fund's assets across a broad range of securities.

To the extent a fund invests in securities of other investment companies, including Equity Equivalents, fund shareholders would indirectly pay a portion of the operating costs of such companies in addition to the expenses of its own operations. These costs include management, brokerage, shareholder servicing and other operational expenses. Indirectly, if a fund invests in Equity Equivalents, shareholders may pay higher operational costs than if they owned the underlying investment companies directly. Additionally, a fund's investments in such investment companies are subject to limitations under the 1940 Act and market availability.

The prices of Equity Equivalents are derived and based upon the securities held by the particular investment company. Accordingly, the level of risk involved in the purchase or sale of an Equity Equivalent is similar to the risk involved in the purchase or sale of traditional common stock, with the exception that the pricing mechanism for such instruments is based on a basket of stocks. The market prices of Equity Equivalents are expected to fluctuate in accordance with both changes in the NAVs of their underlying indices and the supply and demand for the instruments on the exchanges on which they are traded. Substantial market or other disruptions affecting Equity Equivalents could adversely affect the liquidity and value of the shares of a fund.

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**Inflation-Indexed Bonds**

Inflation-indexed bonds are debt instruments whose principal and/or interest value are adjusted periodically according to a rate of inflation (usually a CPI). Two structures are most common. The U.S. Treasury and some other issuers use a structure that accrues inflation into the principal value of the bond. Most other issuers pay out the inflation accruals as part of a semiannual coupon.

U.S. Treasury Inflation Protected Securities ("TIPS") currently are issued with maturities of five, ten, or thirty years, although it is possible that securities with other maturities will be issued in the future. The principal amount of TIPS adjusts for inflation, although the inflation-adjusted principal is not paid until maturity. Semiannual coupon payments are determined as a fixed percentage of the inflation-adjusted principal at the time the payment is made.

If the rate measuring inflation falls, the principal value of inflation-indexed bonds will be adjusted downward, and consequently the interest payable on these securities (calculated with respect to a smaller principal amount) will be reduced. At maturity, TIPS are redeemed at the greater of their inflation-adjusted principal or at the par amount at original issue. If an inflation-indexed bond does not provide a guarantee of principal at maturity, the adjusted principal value of the bond repaid at maturity may be less than the original principal.

The value of inflation-indexed bonds is expected to change in response to changes in real interest rates. Real interest rates in turn are tied to the relationship between nominal interest rates and the rate of inflation. For example, if inflation were to rise at a faster rate than nominal interest rates, real interest rates would likely decline, leading to an increase in value of inflation-indexed bonds. In contrast, if nominal interest rates increase at a faster rate than inflation, real interest rates would likely rise, leading to a decrease in value of inflation-indexed bonds.

While these securities, if held to maturity, are expected to be protected from long-term inflationary trends, short-term increases in inflation may lead to a decline in value. If nominal interest rates rise due to reasons other than inflation (for example, due to an expansion of non-inflationary economic activity), investors in these securities may not be protected to the extent that the increase in rates is not reflected in the bond's inflation measure.

The inflation adjustment of TIPS is tied to the CPI-U, which is calculated monthly by the U.S. Bureau of Labor Statistics. The CPI-U is a measurement of price changes in the cost of living, made up of components such as housing, food, transportation, and energy. There can be no assurance that the CPI-U will accurately measure the real rate of inflation in the prices of goods and services.

**Interfund Lending**

Pursuant to an exemptive order issued by the SEC, a fund may lend money to, and borrow money from, other funds advised by the Advisor or any other investment advisor under common control with the Advisor, subject to the fundamental restrictions on borrowing and lending applicable to the fund. Balanced Fund, Disciplined Value International Fund, Diversified Macro Fund, Emerging Markets Equity Fund, Fundamental Large Cap Core Fund, Global Environmental Opportunities Fund, Infrastructure Fund, International Dynamic Growth Fund, Small Cap Core Fund, and U.S. Global Leaders Growth Fund are authorized to participate fully in this program. Classic Value Fund and Financial Industries Fund are subject to a fundamental investment restriction that prohibits lending through the program. Regional Bank Fund is subject to fundamental investment restrictions that prohibit borrowing or lending through the program.

A fund will borrow through the program only when the costs are equal to or lower than the cost of bank loans, and a fund will lend through the program only when the returns are higher than those available from an investment in overnight repurchase agreements. Interfund loans and borrowings normally extend overnight, but can have a maximum duration of seven days. Loans may be called on one day's notice. A fund may have to borrow from a bank at a higher interest rate if an interfund loan is called or not renewed. Any delay in repayment to a lending fund or from a borrowing fund could result in a lost investment opportunity or additional borrowing costs.

**Investment in Other Investment Companies**

A fund may invest in other investment companies (including closed-end investment companies, unit investment trusts, open-end investment companies, investment companies exempted from registration under the 1940 Act pursuant to the rules thereunder and other pooled vehicles) to the extent permitted by federal securities laws, including Section 12 of the 1940 Act, and the rules, regulations and interpretations thereunder. A fund may invest in other investment companies beyond the statutory limits set forth in Section 12 of the 1940 Act ("statutory limits") to the extent permitted by an exemptive rule adopted by the SEC or pursuant to an exemptive order obtained from the SEC.

Investing in other investment companies involves substantially the same risks as investing directly in the underlying instruments, but the total return on such investments at the investment company-level may be reduced by the operating expenses and fees of such other investment companies, including advisory fees. Certain types of investment companies, such as closed-end investment companies, issue a fixed number of shares that trade on a stock exchange or may involve the payment of substantial premiums above the value of such investment companies' portfolio securities when traded OTC or at discounts to their NAVs. Others are continuously offered at NAV, but also may be traded in the secondary market.

**Investments in Creditors' Claims**

Creditors' claims in bankruptcy ("Creditors' Claims") are rights to payment from a debtor under the U.S. bankruptcy laws. Creditors' Claims may be secured or unsecured. A secured claim generally receives priority in payment over unsecured claims.

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Sellers of Creditors' Claims can either be: (i) creditors that have extended unsecured credit to the debtor company (most commonly trade suppliers of materials or services); or (ii) secured creditors (most commonly financial institutions) that have obtained collateral to secure an advance of credit to the debtor. Selling a Creditors' Claim offers the creditor an opportunity to turn a claim that otherwise might not be satisfied for many years into liquid assets.

A Creditors' Claim may be purchased directly from a creditor although most are purchased through brokers. A Creditors' Claim can be sold as a single claim or as part of a package of claims from several different bankruptcy filings. Purchasers of Creditors' Claims may take an active role in the reorganization process of the bankrupt company and, in certain situations in which a Creditors' Claim is not paid in full, the claim may be converted into stock of the reorganized debtor.

Although Creditors' Claims can be sold to other investors, the market for Creditors' Claims is not liquid and, as a result, a purchaser of a Creditors' Claim may be unable to sell the claim or may have to sell it at a drastically reduced price. There is no guarantee that any payment will be received from a Creditors' Claim, especially in the case of unsecured claims.

**Lending of Securities**

Each fund other than Regional Bank Fund may lend its securities so long as such loans do not represent more than 33 <sup>1</sup>∕3% of its total assets. As collateral for the loaned securities, the borrower gives the lending portfolio collateral equal to at least 100% of the value of the loaned securities. The collateral will consist of cash (including U.S. dollars and foreign currency), cash equivalents or securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. The borrower must also agree to increase the collateral if the value of the loaned securities increases. If the market value of the loaned securities declines, the borrower may request that some collateral be returned.

During the existence of the loan, a fund will receive from the borrower amounts equivalent to any dividends, interest or other distributions on the loaned securities, as well as interest on such amounts. If the fund receives a payment in lieu of dividends (a "substitute payment") with respect to securities on loan pursuant to a securities lending transaction, such income will not be eligible for the dividends-received deduction (the "DRD") for corporate shareholders or for treatment as qualified dividend income for individual shareholders. The DRD and qualified dividend income are discussed more fully in this SAI under "Additional Information Concerning Taxes."

As with other extensions of credit, there are risks that collateral could be inadequate in the event of the borrower failing financially, which could result in actual financial loss, and risks that recovery of loaned securities could be delayed, which could result in interference with portfolio management decisions or exercise of ownership rights. The collateral is managed by an affiliate of the Advisor, which may incentivize the Advisor to lend fund securities to benefit this affiliate. The Advisor maintains robust oversight of securities lending activity and seeks to ensure that all lending activity undertaken by a fund is in the fund's best interests. A fund will be responsible for the risks associated with the investment of cash collateral, including the risk that the fund may lose money on the investment or may fail to earn sufficient income to meet its obligations to the borrower. In addition, a fund may lose its right to vote its shares of the loaned securities at a shareholder meeting if the subadvisor does not recall or does not timely recall the loaned securities, or if the borrower fails to return the recalled securities in advance of the record date for the meeting.

Each Trust, on behalf of its funds, may enter into an agency agreement for securities lending transactions ("Securities Lending Agreement") with one or more of the following: National Financial Services LLC; Goldman Sachs Bank USA; and State Street Bank (each, a "Securities Lending Agent"). Pursuant to each Securities Lending Agreement, the Securities Lending Agent acts as securities lending agent for a fund and administers the fund's securities lending program. During the fiscal year, each Securities Lending Agent performed various services for the applicable funds, including the following: (i) lending portfolio securities, previously identified by the fund as available for loan, and held by the fund's custodian ("Custodian") on behalf of the fund, to borrowers identified by the fund in the Securities Lending Agreement; (ii) instructing the Custodian to receive and deliver securities, as applicable, to effect such loans; (iii) locating borrowers; (iv) monitoring daily the market value of loaned securities; (v) ensuring daily movement of collateral associated with loan transactions; (vi) marking to market loaned securities and non-cash collateral; (vii) monitoring dividend activity with respect to loaned securities; (viii) negotiating loan terms with the borrowers; (ix) recordkeeping and account servicing related to securities lending activities; and (x) arranging for the return of loaned securities at the termination of the loan. Under each Securities Lending Agreement, the Securities Lending Agent generally will bear the risk that a borrower may default on its obligation to return loaned securities.

Securities lending involves counterparty risk, including the risk that the loaned securities may not be returned or returned in a timely manner and/or a loss of rights in the collateral if the borrower or the lending agent defaults or fails financially. This risk is increased when the fund's loans are concentrated with a single or limited number of borrowers. There are no limits on the number of borrowers to which the fund may lend securities and the fund may lend securities to only one or a small group of borrowers. In addition, under each Securities Lending Agreement, loans may be made to affiliates of the Securities Lending Agent as identified in the applicable Securities Lending Agreement.

Cash collateral may be invested by a fund in JHCT, a privately offered 1940 Act registered government money market fund. Investment of cash collateral offers the opportunity for a fund to profit from income earned by this collateral pool, but also the risk of loss, should the value of the fund's shares in the collateral pool decrease below the NAV at which such shares were purchased.

For each fund that engaged in securities lending activities during the fiscal period ended October 31, 2025, the following tables detail the amounts of income and fees/compensation related to such activities during the period. Any fund not listed below did not engage in securities lending activities during the fiscal period ended October 31, 2025.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp;&nbsp; **Balanced**<br> **Fund**<br>| &nbsp;&nbsp;&nbsp; **Classic Value**<br> **Fund**<br>| &nbsp;&nbsp;&nbsp; **Disciplined Value**<br> **International Fund**<br>| &nbsp;&nbsp;&nbsp; **Financial Industries**<br> **Fund**<br>|
| **Gross Income from securities lending activities ($)** | **1596637** | **529461** | **2767309** | **4452** |
| Fees and/or compensation for securities lending activities <br> and related service ($)<br>|  |  |  |  |
| Fees paid to securities lending agent from a revenue split ($) | 14312 | 3880 | 76410 | 289 |
| Fees paid for any cash collateral management service <br> (including fees deducted from a pooled cash collateral <br> reinvestment vehicle) that are not included in the revenue <br> split ($)<br>| 36478 | 12616 | 48524 | 67 |
| Administrative fees not included in revenue split($) |  |  |  |  |
| Indemnification fee not included in revenue split ($) |  |  |  |  |
| Rebate (paid to borrower) ($) | 1409536 | 479715 | 1954646 | 1461 |
| Other fees not included in revenue split (specify) ($) |  |  |  |  |
| **Aggregate fees/compensation for securities lending** <br> **activities ($)**<br>| **1460326** | **496211** | **2079580** | **1817** |
| **Net Income from securities lending activities ($)** | **136311** | **33250** | **687729** | **2635** |

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| | | | |
|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp;&nbsp; **Infrastructure**<br> **Fund**<br>| &nbsp;&nbsp;&nbsp; **International Dynamic**<br> **Growth Fund**<br>| &nbsp;&nbsp;&nbsp; **U.S. Global Leaders**<br> **Growth Fund**<br>|
| **Gross Income from securities lending activities ($)** | **167883** | **156930** | **722132** |
| Fees and/or compensation for securities lending activities and related <br> service ($)<br>|  |  |  |
| Fees paid to securities lending agent from a revenue split ($) | 5262 | 3699 | 464 |
| Fees paid for any cash collateral management service (including fees <br> deducted from a pooled cash collateral reinvestment vehicle) that are <br> not included in the revenue split ($)<br>| 3230 | 2724 | 14999 |
| Administrative fees not included in revenue split($) |  |  |  |
| Indemnification fee not included in revenue split ($) |  |  |  |
| Rebate (paid to borrower) ($) | 112018 | 117194 | 695705 |
| Other fees not included in revenue split (specify) ($) |  |  |  |
| **Aggregate fees/compensation for securities lending activities** <br> **($)**<br>| **120510** | **123617** | **711168** |
| **Net Income from securities lending activities ($)** | **47373** | **33313** | **10964** |

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**Loan Participations and Assignments; Term Loans**

Loan participations are loans or other direct debt instruments that are interests in amounts owned by a corporate, governmental or other borrower to another party. They may represent amounts owed to lenders or lending syndicates to suppliers of goods or services, or to other parties. A fund will have the right to receive payments of principal, interest and any fees to which it is entitled only from the lender selling the participation and only upon receipt by the lender of the payments from the borrower. In connection with purchasing participations, a fund generally will have no right to enforce compliance by the borrower with the term of the loan agreement relating to loan, nor any rights of set-off against the borrower, and a fund may not directly benefit from any collateral supporting the loan in which it has purchased the participation. As a result, the fund will assume the credit risk of both the borrower and the lender that is selling the participation. In the event of the insolvency of the lender selling a participation, a fund may be treated as a general creditor of the lender and may not benefit from any set-off between the lender and the borrower.

When a fund purchases assignments from lenders it will acquire direct rights against the borrower on the loan. However, because assignments are arranged through private negotiations between potential assignees and potential assignors, the rights and obligation acquired by a fund as the purchaser of an assignment may differ from, and be more limited than, those held by the assigning lender. Investments in loan participations and assignments present the possibility that a fund could be held liable as a co-lender under emerging legal theories of lender liability. In addition, if the loan is foreclosed, a fund could be part owner of any collateral and could bear the costs and liabilities of owning and disposing of the collateral. It is anticipated that such securities could be sold only to a limited number of institutional investors. In addition, some loan participations and assignments may not be rated by major rating agencies and may not be protected by the securities laws.

A term loan is typically a loan in a fixed amount that borrowers repay in a scheduled series of repayments or a lump-sum payment at maturity. A delayed draw loan is a special feature in a term loan that permits the borrower to withdraw predetermined portions of the total amount borrowed at certain times. If a fund enters into a commitment with a borrower regarding a delayed draw term loan or bridge loan, the fund will be obligated on one or more

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dates in the future to lend the borrower monies (up to an aggregate stated amount) if called upon to do so by the borrower. Once repaid, a term loan cannot be drawn upon again.

Investments in loans and loan participations will subject a fund to liquidity risk. Loans and loan participations may be transferable among financial institutions, but may not have the liquidity of conventional debt securities and are often subject to restrictions on resale, thereby making them potentially illiquid. For example, the purchase or sale of loans requires, in many cases, the consent of either a third party (such as the lead or agent bank for the loan) or of the borrower, and although such consent is, in practice, infrequently withheld, the consent requirement can delay a purchase or hinder a fund's ability to dispose of its investments in loans in a timely fashion. In addition, in some cases, negotiations involved in disposing of indebtedness may require weeks to complete. Consequently, some indebtedness may be difficult or impossible to dispose of readily at what a subadvisor believes to be a fair price.

Corporate loans that a fund may acquire or in which a fund may purchase a loan participation are made generally to finance internal growth, mergers, acquisitions, stock repurchases, leveraged buy-outs, leverage recapitalizations and other corporate activities. The highly leveraged capital structure of the borrowers in certain of these transactions may make such loans especially vulnerable to adverse changes in economic or market conditions and greater credit risk than other investments.

Certain of the loan participations or assignments acquired by a fund may involve unfunded commitments of the lenders or revolving credit facilities under which a borrower may from time to time borrow and repay amounts up to the maximum amount of the facility. In such cases, a fund would have an obligation to advance its portion of such additional borrowings upon the terms specified in the loan documentation. Such an obligation may have the effect of requiring a fund to increase its investment in a company at a time when it might not be desirable to do so (including at a time when the company's financial condition makes it unlikely that such amounts will be repaid).

The borrower of a loan in which a fund holds an interest (including through a loan participation) may, either at its own election or pursuant to the terms of the loan documentation, prepay amounts of the loan from time to time. The degree to which borrowers prepay loans, whether as a contractual requirement or at their election, may be affected by general business conditions, the financial condition of the borrower and competitive conditions among lenders, among other things. As such, prepayments cannot be predicted with accuracy. Upon a prepayment, either in part or in full, the actual outstanding debt on which a fund derives interest income will be reduced. The effect of prepayments on a fund's performance may be mitigated by the receipt of prepayment fees, and the fund's ability to reinvest prepayments in other loans that have similar or identical yields. However, there is no assurance that a fund will be able to reinvest the proceeds of any loan prepayment at the same interest rate or on the same terms as those of the prepaid loan.

A fund may invest in loans that pay interest at fixed rates and loans that pay interest at rates that float or reset periodically at a margin above a generally recognized base lending rate, such as the Prime Rate (the interest rate that banks charge their most creditworthy customers) or another generally recognized base lending rate. Most floating rate loans are senior in rank in the event of bankruptcy to most other securities of the borrower such as common stock or public bonds. In addition, floating rate loans also are normally secured by specific collateral or assets of the borrower so that the holders of the loans will have a priority claim on those assets in the event of default or bankruptcy of the issuer. While the seniority in rank and the security interest are helpful in reducing credit risk, such risk is not eliminated. Securities with floating interest rates can be less sensitive to interest rate changes, but may decline in value if their interest rates do not rise as much as interest rates in general, or if interest rates decline. While, because of this interest rate reset feature, loans with resetting interest rates provide a considerable degree of protection against rising interest rates, there is still potential for interest rates on such loans to lag changes in interest rates in general for some period of time. In addition, changes in interest rates will affect the amount of interest income paid to a fund as the floating rate instruments adjust to the new levels of interest rates. In a rising base rate environment, income generation generally will increase. Conversely, during periods when the base rate is declining, the income generating ability of the loan instruments will be adversely affected.

Investments in many loans have additional risks that result from the use of agents and other interposed financial institutions. Many loans are structured and administered by a financial institution (e.g., a commercial bank) that acts as the agent of the lending syndicate. The agent typically administers and enforces the loan on behalf of the other lenders in the lending syndicate. In addition, an institution, typically but not always the agent, holds the collateral, if any, on behalf of the lenders. A financial institution's employment as an agent might be terminated in the event that it fails to observe a requisite standard of care or becomes insolvent. A successor agent would generally be appointed to replace the terminated agent, and assets held by the agent under the loan agreement would likely remain available to holders of such indebtedness. However, if assets held by the agent for the benefit of a fund were determined to be subject to the claims of the agent's general creditors, the fund might incur certain costs and delays in realizing payment on a loan or loan participation and could suffer a loss of principal and/or interest. In situations involving other interposed financial institutions (e.g., an insurance company or government agency) similar risks may arise.

**Loans and Other Direct Debt Instruments**

Direct debt instruments are interests in amounts owed by a corporate, governmental, or other borrower to lenders or lending syndicates (loans and loan participations), to suppliers of goods or services (trade claims or other receivables), or to other parties. Direct debt instruments involve a risk of loss in case of default or insolvency of the borrower and may offer less legal protection to the purchaser in the event of fraud or misrepresentation, or there may be a requirement that a fund supply additional cash to a borrower on demand. U.S. federal securities laws afford certain protections against fraud

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and misrepresentation in connection with the offering or sale of a security, as well as against manipulation of trading markets for securities. It is unclear whether these protections are available to investments in loans and other forms of direct indebtedness under certain circumstances, in which case such risks may be increased.

A fund may be in possession of material non-public information about a borrower as a result of owning a floating rate instrument issued by such borrower. Because of prohibitions on trading in securities of issuers while in possession of such information, a fund might be unable to enter into a transaction in a publicly traded security issued by that borrower when it would otherwise be advantageous to do so.

**Market Capitalization Weighted Approach**

A fund's structure may involve market capitalization weighting in determining individual security weights and, where applicable, country or region weights. Market capitalization weighting means each security is generally purchased based on the issuer's relative market capitalization. Market capitalization weighting may be adjusted by a subadvisor, for a variety of reasons. A fund may deviate from market capitalization weighting to limit or fix the exposure to a particular country or issuer to a maximum portion of the assets of the fund. Additionally, a subadvisor may consider such factors as free float, price momentum, short-run reversals, trading strategies, size, relative price, liquidity, profitability, investment characteristics and other factors determined to be appropriate by a subadvisor given market conditions. In assessing relative price, a subadvisor may consider additional factors such as price to cash flow or price to earnings ratios. In assessing profitability, a subadvisor may consider different ratios, such as that of earnings or profits from operations relative to book value or assets. The criteria a subadvisor uses for assessing relative price and profitability are subject to change from time to time. A subadvisor may exclude the eligible security of a company that meets applicable market capitalization criterion if it determines, in its judgment, that the purchase of such security is inappropriate in light of other conditions. These adjustments will result in a deviation from traditional market capitalization weighting. A further deviation may occur due to holdings in securities received in connection with corporate actions. A subadvisor may consider a small capitalization company's investment characteristics as compared to other eligible companies when making investment decisions and may exclude a small capitalization company with high asset growth. In assessing a company's investment characteristics, a subadvisor may consider ratios such as recent changes in assets divided by total assets. A fund will generally not exclude more than 5% of the eligible small capitalization company universe within each eligible country based on such investment characteristics. The criteria a subadvisor uses for assessing a company's investment characteristics is subject to change from time to time.

Adjustment for free float modifies market capitalization weighting to exclude the share capital of a company that is not freely available for trading in the public equity markets. For example, the following types of shares may be excluded: (i) those held by strategic investors (such as governments, controlling shareholders and management); (ii) treasury shares; or (iii) shares subject to foreign ownership restrictions.

Furthermore, a subadvisor may reduce the relative amount of any security held in order to retain sufficient portfolio liquidity. A portion, but generally not in excess of 20% of a fund's assets, may be invested in interest-bearing obligations, such as money market instruments, thereby causing further deviation from market capitalization weighting. A further deviation may occur due to holdings in securities received in connection with corporate actions.

Block purchases of eligible securities may be made at opportune prices, even though such purchases exceed the number of shares that, at the time of purchase, would be purchased under a market capitalization weighted approach. Generally, changes in the composition and relative ranking (in terms of market capitalization) of the stocks that are eligible for purchase take place with every trade when the securities markets are open for trading due, primarily, to price changes of such securities. On at least a semiannual basis, a subadvisor will identify companies whose stock is eligible for investment by the fund. Additional investments generally will not be made in securities that have changed in value sufficiently to be excluded from a subadvisor's then-current market capitalization requirement for eligible portfolio securities. This may result in further deviation from market capitalization weighting. Such deviation could be substantial if a significant amount of holdings of a fund change in value sufficiently to be excluded from the requirement for eligible securities but not by a sufficient amount to warrant their sale.

Country weights may be based on the total market capitalization of companies within each country. The country weights may take into consideration the free float of companies within a country or whether these companies are eligible to be purchased for the particular strategy. In addition, to maintain a satisfactory level of diversification, a subadvisor may limit or fix the exposure to a particular country or region to a maximum proportion of the assets of that vehicle. Country weights may also vary due to general day-to-day trading patterns and price movements. The weighting of countries may vary from their weighting in published international indices.

**Money Market Instruments**

Money market instruments (and other securities as noted under each fund description) may be purchased for temporary defensive purposes or for short-term investment purposes. General overnight cash held in a fund's portfolio may also be invested in JHCT, a privately offered 1940 Act registered government money market fund subadvised by Manulife IM (US), an affiliate of the Advisor, that is part of the same group of investment companies as the fund and that is offered exclusively to funds in the same group of investment companies.

**Mortgage Dollar Rolls**

Under a mortgage dollar roll, a fund sells mortgage-backed securities for delivery in the future (generally within 30 days) and simultaneously contracts to repurchase substantially similar securities (of the same type, coupon and maturity) on a specified future date. During the roll period, a fund forgoes principal and interest paid on the mortgage-backed securities. A fund is compensated by the difference between the current sale price and the lower forward price for the future purchase (often referred to as the "drop"), as well as by the interest earned on the cash proceeds of the initial sale. A fund

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also may be compensated by receipt of a commitment fee. Dollar roll transactions involve the risk that the market value of the securities sold by a fund may decline below the repurchase price of those securities. A mortgage dollar roll may be considered a form of leveraging, and may, therefore, increase fluctuations in a fund's NAV per share. Please see "Government Regulation of Derivatives" section for additional information. For financial reporting and tax purposes, the funds treat mortgage dollar rolls as two separate transactions; one involving the purchase of a security and a separate transaction involving a sale.

**Mortgage Securities**

**Prepayment of Mortgages.** Mortgage securities differ from conventional bonds in that principal is paid over the life of the securities rather than at maturity. As a result, when a fund invests in mortgage securities, it receives monthly scheduled payments of principal and interest, and may receive unscheduled principal payments representing prepayments on the underlying mortgages. When a fund reinvests the payments and any unscheduled prepayments of principal it receives, it may receive a rate of interest that is higher or lower than the rate on the existing mortgage securities. For this reason, mortgage securities may be less effective than other types of debt securities as a means of locking in long term interest rates.

In addition, because the underlying mortgage loans and assets may be prepaid at any time, if a fund purchases mortgage securities at a premium, a prepayment rate that is faster than expected will reduce yield to maturity, while a prepayment rate that is slower than expected will increase yield to maturity. Conversely, if a fund purchases these securities at a discount, faster than expected prepayments will increase yield to maturity, while slower than expected payments will reduce yield to maturity.

**Adjustable Rate Mortgage Securities.** Adjustable rate mortgage securities are similar to the fixed rate mortgage securities discussed above, except that, unlike fixed rate mortgage securities, adjustable rate mortgage securities are collateralized by or represent interests in mortgage loans with variable rates of interest. These variable rates of interest reset periodically to align themselves with market rates. Most adjustable rate mortgage securities provide for an initial mortgage rate that is in effect for a fixed period, typically ranging from three to twelve months. Thereafter, the mortgage interest rate will reset periodically in accordance with movements in a specified published interest rate index. The amount of interest due to an adjustable rate mortgage holder is determined in accordance with movements in a specified published interest rate index by adding a pre-determined increment or "margin" to the specified interest rate index. Many adjustable rate mortgage securities reset their interest rates based on changes in:

● one-year, three-year and five-year constant maturity Treasury Bill rates;

● three-month or six-month Treasury Bill rates;

● 11th District Federal Home Loan Bank Cost of Funds;

● National Median Cost of Funds; or

● one-month, three-month, six-month or one-year SOFR and other market rates.

During periods of increasing rates, a fund will not benefit from such increase to the extent that interest rates rise to the point where they cause the current coupon of adjustable rate mortgages held as investments to exceed any maximum allowable annual or lifetime reset limits or "cap rates" for a particular mortgage. In this event, the value of the mortgage securities held by a fund would likely decrease. During periods of declining interest rates, income to a fund derived from adjustable rate mortgages that remain in a mortgage pool may decrease in contrast to the income on fixed rate mortgages, which will remain constant. Adjustable rate mortgages also have less potential for appreciation in value as interest rates decline than do fixed rate investments. Also, a fund's NAV could vary to the extent that current yields on adjustable rate mortgage securities held as investments are different than market yields during interim periods between coupon reset dates.

**Privately Issued Mortgage Securities.** Privately issued mortgage securities provide for the monthly principal and interest payments made by individual borrowers to pass through to investors on a corporate basis, and in privately issued CMOs, as further described below. Privately issued mortgage securities are issued by private originators of, or investors in, mortgage loans, including:

● mortgage bankers;

● commercial banks;

● investment banks;

● savings and loan associations; and

● special purpose subsidiaries of the foregoing.

Since privately issued mortgage certificates are not guaranteed by an entity having the credit status of GNMA or Freddie Mac, such securities generally are structured with one or more types of credit enhancement. For a description of the types of credit enhancements that may accompany privately issued mortgage securities, see "Types of Credit Support" below. To the extent that a fund invests in mortgage securities, it will not limit its investments in mortgage securities to those with credit enhancements.

**Collateralized Mortgage Obligations.** CMOs generally are bonds or certificates issued in multiple classes that are collateralized by or represent an interest in mortgages. CMOs may be issued by single-purpose, stand-alone finance subsidiaries or trusts of financial institutions, government agencies, investment banks or other similar institutions. Each class of CMOs, often referred to as a "tranche," may be issued with a specific fixed coupon rate (which may be zero) or a floating coupon rate. Each class of CMOs also has a stated maturity or final distribution date. Principal prepayments on the underlying mortgages may cause the CMOs to be retired substantially earlier than their stated maturities or final distribution dates. Interest is paid or accrued on CMOs on a monthly, quarterly or semiannual basis.

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The principal of and interest on the underlying mortgages may be allocated among the several classes of a series of a CMO in many ways. The general goal sought to be achieved in allocating cash flows on the underlying mortgages to the various classes of a series of CMOs is to create tranches on which the expected cash flows have a higher degree of predictability than the underlying mortgages. In creating such tranches, other tranches may be subordinated to the interests of these tranches and receive payments only after the obligations of the more senior tranches have been satisfied. As a general matter, the more predictable the cash flow is on a CMO tranche, the lower the anticipated yield will be on that tranche at the time of issuance. As part of the process of creating more predictable cash flows on most of the tranches in a series of CMOs, one or more tranches generally must be created that absorb most of the volatility in the cash flows on the underlying mortgages. The yields on these tranches are relatively higher than on tranches with more predictable cash flows. Because of the uncertainty of the cash flows on these tranches, and the sensitivity of these transactions to changes in prepayment rates on the underlying mortgages, the market prices of and yields on these tranches tend to be highly volatile. The market prices of and yields on tranches with longer terms to maturity also tend to be more volatile than tranches with shorter terms to maturity due to these same factors. To the extent the mortgages underlying a series of a CMO are so-called "subprime mortgages" (mortgages granted to borrowers whose credit history is not sufficient to obtain a conventional mortgage), the risk of default is higher, which increases the risk that one or more tranches of a CMO will not receive its predicted cash flows.

CMOs purchased by a fund may be:

**1**

collateralized by pools of mortgages in which each mortgage is guaranteed as to payment of principal and interest by an agency or instrumentality of the U.S. government;

**2**

collateralized by pools of mortgages in which payment of principal and interest is guaranteed by the issuer and the guarantee is collateralized by U.S. government securities; or

**3**

securities for which the proceeds of the issuance are invested in mortgage securities and payment of the principal and interest is supported by the credit of an agency or instrumentality of the U.S. government.

**Separate Trading of Registered Interest and Principal of Securities.** Separately traded interest components of securities may be issued or guaranteed by the U.S. Treasury. The interest components of selected securities are traded independently under the Separate Trading of Registered Interest and Principal of Securities program. Under the Separate Trading of Registered Interest and Principal of Securities program, the interest components are individually numbered and separately issued by the U.S. Treasury at the request of depository financial institutions, which then trade the component parts independently.

**Stripped Mortgage Securities.** Stripped mortgage securities are derivative multi-class mortgage securities. Stripped mortgage securities may be issued by agencies or instrumentalities of the U.S. government, or by private issuers, including savings and loan associations, mortgage banks, commercial banks, investment banks and special purpose subsidiaries of the foregoing. Stripped mortgage securities have greater volatility than other types of mortgage securities in which a fund invests. Although stripped mortgage securities are purchased and sold by institutional investors through several investment banking firms acting as brokers or dealers, the market for such securities has not yet been fully developed. Accordingly, stripped mortgage securities may be illiquid and, together with any other illiquid investments, will not exceed a fund's limitation on investments in illiquid securities.

Stripped mortgage securities are usually structured with two classes that receive different proportions of the interest and principal distributions on a pool of mortgage assets. A common type of stripped mortgage security will have one class receiving some of the interest and most of the principal from the mortgage assets, while the other class will receive most of the interest and the remainder of the principal. In the most extreme case, one class will receive all of the interest (the interest only or "IO" class), while the other class will receive all of the principal (the principal only or "PO" class). The yield to maturity on an IO class is extremely sensitive to changes in prevailing interest rates and the rate of principal payments (including prepayments) on the related underlying mortgage assets. A rapid rate of principal payments may have a material adverse effect on an investing fund's yield to maturity. If the underlying mortgage assets experience greater than anticipated prepayments of principal, the fund may fail to fully recoup its initial investment in these securities even if the securities are rated highly.

As interest rates rise and fall, the value of IOs tends to move in the same direction as interest rates. The value of the other mortgage securities described in the Prospectus and this SAI, like other debt instruments, will tend to move in the opposite direction to interest rates. Accordingly, investing in IOs, in conjunction with the other mortgage securities described in the Prospectus and this SAI, is expected to contribute to the relative stability of a fund's NAV.

Similar securities such as Super Principal Only ("SPO") and Levered Interest Only ("LIO") are more volatile than POs and IOs. Risks associated with instruments such as SPOs are similar in nature to those risks related to investments in POs. Risks associated with LIOs and IOettes (a.k.a. "high coupon bonds") are similar in nature to those associated with IOs. Other similar instruments may develop in the future.

Under the Code, POs may generate taxable income from the current accrual of OID, without a corresponding distribution of cash to a fund.

**Inverse Floaters.** Inverse floaters may be issued by agencies or instrumentalities of the U.S. government, or by private issuers, including savings and loan associations, mortgage banks, commercial banks, investment banks and special purpose subsidiaries of the foregoing. Inverse floaters have greater volatility than other types of mortgage securities in which a fund invests (with the exception of stripped mortgage securities and there is a risk that the market value will vary from the amortized cost). Although inverse floaters are purchased and sold by institutional investors through several

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investment banking firms acting as brokers or dealers, the market for such securities has not yet been fully developed. Accordingly, inverse floaters may be illiquid. Any illiquid inverse floaters, together with any other illiquid investments, will not exceed a fund's limitation on investments in illiquid securities.

Inverse floaters are derivative mortgage securities that are structured as a class of security that receives distributions on a pool of mortgage assets. Yields on inverse floaters move in the opposite direction of short-term interest rates and at an accelerated rate.

**Types of Credit Support.** Mortgage securities are often backed by a pool of assets representing the obligations of a number of different parties. To lessen the impact of an obligor's failure to make payments on underlying assets, mortgage securities may contain elements of credit support. A discussion of credit support is included in "Asset-Backed Securities."

**Municipal Obligations**

The two principal classifications of municipal obligations are general obligations and revenue obligations. General obligations are secured by the issuer's pledge of its full faith, credit and taxing power for the payment of principal and interest. Revenue obligations are payable only from the revenues derived from a particular facility or class of facilities or in some cases from the proceeds of a special excise or other tax. For example, industrial development and pollution control bonds are in most cases revenue obligations since payment of principal and interest is dependent solely on the ability of the user of the facilities financed or the guarantor to meet its financial obligations, and in certain cases, the pledge of real and personal property as security for payment.

Issuers of municipal obligations are subject to the provisions of bankruptcy, insolvency and other laws affecting the rights and remedies of creditors, such as the Federal Bankruptcy Act, and laws, if any, that may be enacted by Congress or state legislatures extending the time for payment of principal or interest or both, or imposing other constraints upon enforcement of such obligations. There also is the possibility that as a result of litigation or other conditions, the power or ability of any one or more issuers to pay when due the principal of and interest on their municipal obligations may be affected.

**Municipal Bonds.** Municipal bonds are issued to obtain funding for various public purposes, including the construction of a wide range of public facilities such as airports, highways, bridges, schools, hospitals, housing, mass transportation, streets and water and sewer works. Other public purposes for which municipal bonds may be issued include refunding outstanding obligations, obtaining funds for general operating expenses and obtaining funds to lend to other public institutions and facilities. In addition, certain types of industrial development bonds are issued by or on behalf of public authorities to obtain funds for many types of local, privately operated facilities. Such debt instruments are considered municipal obligations if the interest paid on them is exempt from federal income tax. The payment of principal and interest by issuers of certain obligations purchased may be guaranteed by a letter of credit, note repurchase agreement, insurance or other credit facility agreement offered by a bank or other financial institution. Such guarantees and the creditworthiness of guarantors will be considered by a subadvisor in determining whether a municipal obligation meets investment quality requirements. No assurance can be given that a municipality or guarantor will be able to satisfy the payment of principal or interest on a municipal obligation.

The yields or returns of municipal bonds depend on a variety of factors, including general market conditions, effective marginal tax rates, the financial condition of the issuer, general conditions of the municipal bond market, the size of a particular offering, the maturity of the obligation, and the rating (if any) of the issue. The ratings of S&P, Moody's and Fitch represent their opinions as to the quality of various municipal bonds that they undertake to rate. It should be emphasized, however, that ratings are not absolute standards of quality. For example, depending on market conditions, municipal bonds with the same maturity and stated interest rate, but with different ratings, may nevertheless have the same yield. See Appendix A for a description of ratings. Many issuers of securities choose not to have their obligations rated. Although unrated securities eligible for purchase must be determined to be comparable in quality to securities having certain specified ratings, the market for unrated securities may not be as broad as for rated securities since many investors rely on rating organizations for credit appraisal. Yield disparities may occur for reasons not directly related to the investment quality of particular issues or the general movement of interest rates, due to such factors as changes in the overall demand or supply of various types of municipal bonds.

The effects of a widespread health crisis such as a global pandemic could affect the ability of states and their political subdivisions to make payments on debt obligations when due and could adversely impact the value of their bonds, which could negatively impact the performance of the fund.

*Municipal Bonds Issued by the Commonwealth of Puerto Rico.* Municipal obligations issued by the Commonwealth of Puerto Rico and its agencies, or other U.S. territories, generally are tax-exempt.

Adverse economic, market, political, or other conditions within Puerto Rico may negatively affect the value of a fund's holdings in municipal obligations issued by the Commonwealth of Puerto Rico and its agencies.

Puerto Rico has faced and continues to face significant fiscal challenges, including persistent government budget deficits, underfunded public pension benefit obligations, underfunded government retirement systems, sizable debt service obligations and a high unemployment rate. In recent years, several rating organizations have downgraded a number of securities issued in Puerto Rico to below investment-grade or placed them on "negative watch." Puerto Rico has previously missed payments on its general obligation debt. As a result of Puerto Rico's fiscal challenges, it entered into a process analogous to a bankruptcy proceeding in U.S. courts. Recently, Puerto Rico received court approval to be released from bankruptcy through a large restructuring of its U.S. municipal debt. The restructuring was recommended by an oversight board, an unelected body that shares power with elected officials, that is federally mandated to oversee Puerto Rico's finances. Pursuant to federal law, the oversight board will remain intact and can

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only disband after Puerto Rico experiences four consecutive years of balanced budgets. Any future defaults, or actions by the oversight board, among other factors, could have a negative impact on the marketability, liquidity, or value of certain investments held by a fund and could reduce a fund's performance.

**Municipal Notes.** Municipal notes are short-term obligations of municipalities, generally with a maturity ranging from six months to three years. The principal types of such notes include tax, bond and revenue anticipation notes, project notes and construction loan notes.

*Tax-Anticipation Notes.* Tax anticipation notes are issued to finance working capital needs of municipalities. Generally, they are issued in anticipation of various tax revenues, such as income, sales, use and business taxes, and are specifically payable from these particular future tax revenues.

*Bond Anticipation Notes.* Bond anticipation notes are issued to provide interim financing until long-term bond financing can be arranged. In most cases, the long-term bonds then provide the funds for the repayment of the notes.

*Revenue Anticipation Notes.* Revenue anticipation notes are issued in expectation of receipt of specific types of revenue, other than taxes, such as federal revenues available under Federal Revenue Sharing Programs.

*Project Notes.* Project notes are backed by an agreement between a local issuing agency and the Federal Department of Housing and Urban Development ("HUD") and carry a U.S. government guarantee. These notes provide financing for a wide range of financial assistance programs for housing, redevelopment and related needs (such as low-income housing programs and urban renewal programs). Although they are the primary obligations of the local public housing agencies or local urban renewal agencies, the HUD agreement provides for the additional security of the full faith and credit of the U.S. government. Payment by the United States pursuant to its full faith and credit obligation does not impair the tax-exempt character of the income from project notes.

*Construction Loan Notes.* Construction loan notes are sold to provide construction financing. Permanent financing, the proceeds of which are applied to the payment of construction loan notes, is sometimes provided by a commitment by GNMA to purchase the loan, accompanied by a commitment by the Federal Housing Administration to insure mortgage advances thereunder. In other instances, permanent financing is provided by the commitments of banks to purchase the loan.

**Municipal Commercial Paper.** Municipal commercial paper is a short-term obligation of a municipality, generally issued at a discount with a maturity of less than one year. Such paper is likely to be issued to meet seasonal working capital needs of a municipality or interim construction financing. Municipal commercial paper is backed in many cases by letters of credit, lending agreements, note repurchase agreements or other credit facility agreements offered by banks and other institutions.

**High Yield (High Risk) Municipal Debt Obligations.** Municipal bonds rated "BBB" or "BB" by S&P or Fitch, or "Baa" or "Ba" by Moody's, or lower (and their unrated equivalents) are considered to have some speculative characteristics and, to varying degrees, can pose special risks generally involving the ability of the issuer to make payment of principal and interest to a greater extent than higher rated securities.

A subadvisor may be authorized to purchase lower-rated municipal bonds when, based upon price, yield and its assessment of quality, investment in these bonds is determined to be consistent with a fund's investment objectives. The subadvisor will evaluate and monitor the quality of all investments, including lower-rated bonds, and will dispose of these bonds as determined to be necessary to assure that the fund's portfolio is constituted in a manner consistent with these objectives. To the extent that a fund's investments in lower-rated municipal bonds emphasize obligations believed to be consistent with the goal of preserving capital, these obligations may not provide yields as high as those of other obligations having these ratings, and the differential in yields between these bonds and obligations with higher quality ratings may not be as significant as might otherwise be generally available. The Prospectus for certain funds includes additional information regarding a fund's ability to invest in lower-rated debt obligations under "Principal investment strategies."

**Organization and Management of Subsidiary**

The Subsidiary invests in commodity-linked swap agreements and other commodity-linked derivative instruments, but may also invest in the securities and other instruments in which its Parent fund is permitted to invest. The Subsidiary is an exempted company organized under the laws of the Cayman Islands, whose registered office is located at the offices of Maples Corporate Services Limited, PO Box 309, Ugland House, Grand Cayman, KY1-1104, Cayman Islands. The Subsidiary's custodian is Citibank. The Subsidiary's affairs are overseen by a board currently consisting of three Directors: Andrew G. Arnott, Philip J. Fontana, and Fernando A. Silva. Each of the Directors is an employee of the Advisor.

The Subsidiary has entered into a separate contract with the Advisor whereby the Advisor provides investment advisory services to the Subsidiary (the "Subsidiary Advisory Agreement"). In turn, the Advisor has entered into a separate contract with the fund's subadvisor whereby the subadvisor provides day-to-day management of the Subsidiary's investments, subject to the supervision of the Advisor (the "Subsidiary Subadvisory Agreement"). The Subsidiary Advisory Agreement continues in effect for so long as its Parent fund's advisory agreement is effective, and will terminate automatically upon the termination of the fund's advisory agreement or in the event that the Advisor no longer serves as investment advisor to the fund. Similarly, the Subsidiary Subadvisory Agreement continues in effect for so long as its Parent fund's subadvisory agreement is effective, and will terminate automatically upon the termination of the fund's subadvisory agreement or in the event that the Subadvisor no longer serves as investment subadvisor to the fund. The Directors of the Subsidiary may terminate either Agreement at any time, without the payment of any penalty. Either Subsidiary Advisory Agreement or Subsidiary Subadvisory Agreement will automatically terminate, without payment of any penalty, in the event of its "assignment" (as

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defined in the 1940 Act). The Advisor and Subadvisor to the Subsidiary comply with provisions of the 1940 Act relating to investment advisory contracts (Section 15) as an investment adviser to a fund under Section 2(a)(20) of the 1940 Act.

The Subsidiary will bear the fees and expenses incurred in connection with the custody, transfer agency, and audit services that it receives. The fund expects that the expenses borne by the Subsidiary will not be material in relation to the value of its assets.

The Subsidiary has adopted compliance policies and procedures that are substantially similar to the policies and procedures adopted by the fund. The Subsidiary is operated in accordance with the 1940 Act investment restrictions that apply to the fund (including provisions related to affiliated transactions and custody), but is not subject to provisions of the Code, although, pursuant to the Subsidiary Subadvisory Agreement, the fund's subadvisor agrees to work collaboratively with the Advisor to cause the fund to comply with the requirements of Subchapter M of the Code for qualification as a RIC. The fund will comply with provisions of the 1940 Act governing investment policies and capital structure and leverage on an aggregate basis with its Subsidiary. The Trust's Chief Compliance Officer oversees implementation of the Subsidiary's policies and procedures, and makes periodic reports to the Board regarding the Subsidiary's compliance with its policies and procedures. In testing compliance of the fund and its Subsidiary with applicable investment restrictions, the assets of the fund are aggregated with those of its Subsidiary, except with respect to borrowings.

**Participation Interests**

Participation interests, that may take the form of interests in, or assignments of certain loans, are acquired from banks that have made these loans or are members of a lending syndicate. The fund's investments in participation interests are subject to its 15% limitation on investments in illiquid securities.

**Preferred Stocks**

Preferred stock generally has a preference to dividends and, upon liquidation, over an issuer's common stock but ranks junior to debt securities in an issuer's capital structure. Preferred stock generally pays dividends in cash (or additional shares of preferred stock) at a defined rate but, unlike interest payments on debt securities, preferred stock dividends are payable only if declared by the issuer's board of directors. Dividends on preferred stock may be cumulative, meaning that, in the event the issuer fails to make one or more dividend payments on the preferred stock, no dividends may be paid on the issuer's common stock until all unpaid preferred stock dividends have been paid. Preferred stock also may be subject to optional or mandatory redemption provisions.

**Repurchase Agreements, Reverse Repurchase Agreements, and Sale-Buybacks**

Repurchase agreements are arrangements involving the purchase of an obligation and the simultaneous agreement to resell the same obligation on demand or at a specified future date and at an agreed-upon price. A repurchase agreement can be viewed as a loan made by a fund to the seller of the obligation with such obligation serving as collateral for the seller's agreement to repay the amount borrowed with interest. Repurchase agreements provide the opportunity to earn a return on cash that is only temporarily available. Repurchase agreements may be entered with banks, brokers, or dealers. However, a repurchase agreement will only be entered with a broker or dealer if the broker or dealer agrees to deposit additional collateral should the value of the obligation purchased decrease below the resale price.

Generally, repurchase agreements are of a short duration, often less than one week but on occasion for longer periods. Securities subject to repurchase agreements will be valued every business day and additional collateral will be requested if necessary so that the value of the collateral is at least equal to the value of the repurchase obligation, including the interest accrued thereon.

A subadvisor shall engage in a repurchase agreement transaction only with those banks or broker dealers who meet the subadvisor's quantitative and qualitative criteria regarding creditworthiness, asset size and collateralization requirements. The Advisor also may engage in repurchase agreement transactions on behalf of the funds. The counterparties to a repurchase agreement transaction are limited to a:

● Federal Reserve System member bank;

● primary government securities dealer reporting to the Federal Reserve Bank of New York's Market Reports Division; or

● broker dealer that reports U.S. government securities positions to the Federal Reserve Board.

Disciplined Value International Fund, Diversified Macro Fund, Emerging Markets Equity Fund, Global Environmental Opportunities Fund, Infrastructure Fund, International Dynamic Growth Fund, and Small Cap Core Fund also may participate in repurchase agreement transactions utilizing the settlement services of clearing firms that meet the subadvisor's creditworthiness requirements.

The Advisor and the subadvisors will continuously monitor repurchase agreement transactions to ensure that the collateral held with respect to a repurchase agreement equals or exceeds the amount of the obligation.

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 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. A fund also might 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.

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Under a reverse repurchase agreement, a fund sells a debt security and agrees to repurchase it at an agreed-upon time and at an agreed-upon price. The fund retains record ownership of the security and the right to receive interest and principal payments thereon. At an agreed-upon future date, the fund repurchases the security by remitting the proceeds previously received, plus interest. The difference between the amount the fund receives for the security and the amount it pays on repurchase is payment of interest. In certain types of agreements, there is no agreed-upon repurchase date and interest payments are calculated daily, often based on the prevailing overnight repurchase rate. A reverse repurchase agreement may be considered a form of leveraging and may, therefore, increase fluctuations in a fund's NAV per share.

A fund may effect simultaneous purchase and sale transactions that are known as "sale-buybacks." A sale-buyback is similar to a reverse repurchase agreement, except that in a sale-buyback, the counterparty that purchases the security is entitled to receive any principal or interest payments made on the underlying security pending settlement of the fund's repurchase of the underlying security.

Subject to the requirements noted under "Government Regulation of Derivatives", a fund will either treat reverse repurchase agreements and similar financings, including sale-buybacks, as derivatives subject to the Derivatives Rule limitations or not as derivatives and treat reverse repurchase agreements and similar financings transactions as senior securities equivalent to bank borrowings subject to asset coverage requirements of Section 18 of the 1940 Act. A fund will ensure that its repurchase agreement transactions are "fully collateralized" by maintaining in a custodial account cash, Treasury bills, other U.S. government securities, or certain other liquid assets having an aggregate value at least equal to the amount of such commitment to repurchase including accrued interest, until payment is made.

**Fund-Specific Policies Regarding Reverse Repurchase Agreements (Balanced Fund, Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund).** A fund may enter into reverse repurchase agreements that involve the sale of government securities held in its portfolio to a bank. Balanced Fund and Fundamental Large Cap Core Fund also may enter into reverse repurchase agreements that involve the sale of such securities to a securities firm. Each of Balanced Fund and Fundamental Large Cap Core Fund will not enter into reverse repurchase agreements and other borrowings exceeding in the aggregate 33⅓% of the market value of its total assets. Each of Classic Value Fund, Financial Industries Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund will not enter into reverse repurchase agreements and other borrowings except from banks as a temporary measure for extraordinary emergency purposes in amounts not to exceed 33⅓% of its total assets (including the amount borrowed) taken at market value.

Each of Financial Industries Fund and Regional Bank Fund may not purchase securities while outstanding borrowings (other than reverse repurchase agreements) exceed 5% of its total assets. Classic Value Fund, Financial Industries Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund will not use leverage to attempt to increase total return.

**Foreign Repurchase Agreements.** Foreign repurchase agreements involve an agreement to purchase a foreign security and to sell that security back to the original seller at an agreed-upon price in either U.S. dollars or foreign currency. Unlike typical U.S. repurchase agreements, foreign repurchase agreements may not be fully collateralized at all times. The value of a security purchased may be more or less than the price at which the counterparty has agreed to repurchase the security. In the event of default by the counterparty, a fund may suffer a loss if the value of the security purchased is less than the agreed-upon repurchase price, or if it is unable to successfully assert a claim to the collateral under foreign laws. As a result, foreign repurchase agreements may involve higher credit risks than repurchase agreements in U.S. markets, as well as risks associated with currency fluctuations. In addition, as with other emerging market investments, repurchase agreements with counterparties located in emerging markets, or relating to emerging markets, may involve issuers or counterparties with lower credit ratings than typical U.S. repurchase agreements.

**Restricted Securities**

A fund may invest in "restricted securities," which generally are securities that may be resold to the public only pursuant to an effective registration statement under the 1933 Act or an exemption from registration. Regulation S under the 1933 Act is an exemption from registration that permits, under certain circumstances, the resale of restricted securities in offshore transactions, subject to certain conditions, and Rule 144A under the 1933 Act is an exemption that permits the resale of certain restricted securities to qualified institutional buyers.

Since its adoption by the SEC in 1990, Rule 144A has facilitated trading of restricted securities among qualified institutional investors. To the extent restricted securities held by a fund qualify under Rule 144A and an institutional market develops for those securities, the fund expects that it will be able to dispose of the securities without registering the resale of such securities under the 1933 Act. However, to the extent that a robust market for such 144A securities does not develop, or a market develops but experiences periods of illiquidity, investments in Rule 144A securities could increase the level of a fund's illiquidity. A fund might have to register restricted securities in order to dispose of them, resulting in additional expense and delay. Adverse market conditions could impede such a public offering of securities.

There is a large institutional market for certain securities that are not registered under the 1933 Act, which may include markets for repurchase agreements, commercial paper, foreign securities, municipal securities, loans and corporate bonds and notes. Institutional investors depend on an efficient institutional market in which the unregistered security can be readily resold or on an issuer's ability to honor a demand for repayment. The fact that there are contractual or legal restrictions on resale to the general public or to certain institutions may not be indicative of the liquidity of such investments.

**Short Sales**

A fund may engage in short sales and short sales "against the box." In a short sale against the box, a fund borrows securities from a broker-dealer and sells the borrowed securities, and at all times during the transaction, a fund either owns or has the right to acquire the same securities at no extra cost.

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If the price of the security has declined at the time a fund is required to deliver the security, a fund will benefit from the difference in the price. If the price of a security has increased, the funds will be required to pay the difference. Each fund other than Regional Bank Fund can engage in short sales against the box.

In addition, each of Balanced Fund, Disciplined Value International Fund, Diversified Macro Fund, Emerging Markets Equity Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Global Environmental Opportunities Fund, and International Dynamic Growth Fund may make short sales of securities that the fund does not own in anticipation of a decline in the market value of that security (a "short sale"). To complete such a transaction, a fund must borrow the security to make delivery to the buyer. The fund is then obligated to replace the security borrowed by purchasing it at market price at the time of replacement. The price at such time may be more or less than the price at which the security was sold by the fund. Until the security is replaced, the fund is required to pay the lender any dividends or interest which accrues during the period of the loan. To borrow the security, the fund also may be required to pay a premium, which would increase the cost of the security sold. The proceeds of the short sale are typically retained by the broker to meet margin requirements until the short position is closed out. Please see "Government Regulation of Derivatives" section for additional information.

A fund will incur a loss as a result of the short sale if the price of the security increases between the date of the short sale and the date on which the fund replaced the borrowed security and theoretically the fund's loss could be unlimited. A fund will generally realize a gain if the security declines in price between those dates. This result is the opposite of what one would expect from a cash purchase of a long position in a security. The amount of any gain will be decreased, and the amount of any loss increased, by the amount of any premium, dividends or interest the fund may be required to pay in connection with a short sale. Short selling may amplify changes in a fund's NAV. Short selling also may produce higher than normal portfolio turnover, which may result in increased transaction costs to a fund.

**Fund-Specific Policies Regarding Short Sales.** Each of Balanced Fund and Fundamental Large Cap Core Fund does not intend to enter into short sales (other than those against-the-box) if, immediately after such sale, the aggregate value of all the securities sold short exceeds the value of 15% of the Fund's net assets. Regional Bank Fund may not engage in short sales or short sales against the box. Classic Value Fund, Global Leaders Growth Fund, Infrastructure Fund and Small Cap Core Fund may engage in short sales against the box but not short sales.

**Short-Term Trading**

Short-term trading means the purchase and subsequent sale of a security after it has been held for a relatively brief period of time. If and to the extent consistent with and permitted by its investment objective and policies, a fund may engage in short-term trading in response to stock market conditions, changes in interest rates or other economic trends and developments, or to take advantage of yield disparities between various fixed-income securities in order to realize capital gains or improve income. Short-term trading may have the effect of increasing portfolio turnover rate. A high rate of portfolio turnover (100% or greater) involves correspondingly greater brokerage transaction expenses and may make it more difficult for a fund to qualify as a RIC for federal income tax purposes (for additional information about qualification as a RIC under the Code, see "Additional Information Concerning Taxes" in this SAI). See specific fund details in the "Portfolio Turnover" section of this SAI.

**Sovereign Debt Obligations**

Sovereign debt obligations are issued or guaranteed by foreign governments or their agencies. Sovereign debt may be in the form of conventional securities or other types of debt instruments such as loan or loan participations. Typically, sovereign debt of developing countries may involve a high degree of risk and may be in default or present the risk of default, however, sovereign debt of developed countries also may involve a high degree of risk and may be in default or present the risk of default. Governments rely on taxes and other revenue sources to pay interest and principal on their debt obligations, and governmental entities responsible for repayment of the debt may be unable or unwilling to repay principal and pay interest when due and may require renegotiation or rescheduling of debt payments. The payment of principal and interest on these obligations may be adversely affected by a variety of factors, including economic results, changes in interest and exchange rates, changes in debt ratings, a limited tax base or limited revenue sources, natural disasters, or other economic or credit problems. In addition, prospects for repayment and payment of interest may depend on political as well as economic factors. Defaults in sovereign debt obligations, or the perceived risk of default, also may impair the market for other securities and debt instruments, including securities issued by banks and other entities holding such sovereign debt, and negatively impact the funds.

**Structured or Hybrid Notes**

The distinguishing feature of a "structured" or "hybrid note" is that the amount of interest and/or principal payable on the note is based on the performance of a benchmark asset or market other than fixed income securities or interest rates. Examples of these benchmarks include stock prices, currency exchange rates and physical commodity prices. Investing in a structured note allows a fund to gain exposure to the benchmark market while fixing the maximum loss that a fund may experience in the event that the market does not perform as expected. Depending on the terms of the note, a fund may forgo all or part of the interest and principal that would be payable on a comparable conventional note; the funds' loss cannot exceed this forgone interest and/or principal. An investment in structured or hybrid notes involves risks similar to those associated with a direct investment in the benchmark asset.

**U.S. Government and Government Agency Obligations**

**U.S. Government Obligations.** U.S. government obligations are debt securities issued or guaranteed as to principal or interest by the U.S. Treasury. These securities include treasury bills, notes and bonds.

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**GNMA Obligations.** GNMA obligations are mortgage-backed securities guaranteed by the GNMA, which guarantee is supported by the full faith and credit of the U.S. government.

**U.S. Agency Obligations.** U.S. government agency obligations are debt securities issued or guaranteed as to principal or interest by an agency or instrumentality of the U.S. government pursuant to authority granted by Congress. U.S. government agency obligations include, but are not limited to:

● SLMA;

● FHLBs;

● FICBs; and

● Fannie Mae.

**U.S. Instrumentality Obligations.** U.S. instrumentality obligations include, but are not limited to, those issued by the Export-Import Bank and Farmers Home Administration.

Some obligations issued or guaranteed by U.S. government agencies or instrumentalities are supported by the right of the issuer to borrow from the U.S. Treasury or the Federal Reserve Banks, such as those issued by FICBs. Others, such as those issued by Fannie Mae, FHLBs and Freddie Mac, are supported by discretionary authority of the U.S. government to purchase certain obligations of the agency or instrumentality. In addition, other obligations, such as those issued by the SLMA, are supported only by the credit of the agency or instrumentality. There also are separately traded interest components of securities issued or guaranteed by the U.S. Treasury.

No assurance can be given that the U.S. government will provide financial support for the obligations of such U.S. government-sponsored agencies or instrumentalities in the future, since it is not obligated to do so by law. In this SAI, "U.S. government securities" refers not only to securities issued or guaranteed as to principal or interest by the U.S. Treasury but also to securities that are backed only by their own credit and not the full faith and credit of the U.S. government.

It is possible that the availability and the marketability (liquidity) of the securities discussed in this section could be adversely affected by actions of the U.S. government to tighten the availability of its credit. In 2008, FHFA, an agency of the U.S. government, placed Fannie Mae and Freddie Mac into conservatorship, a statutory process with the objective of returning the entities to normal business operations. The FHFA will act as the conservator to operate Fannie Mae and Freddie Mac until they are stabilized. It is unclear what effect this conservatorship will have on the securities issued or guaranteed by Fannie Mae or Freddie Mac.

**Variable and Floating Rate Obligations**

Investments in floating or variable rate securities normally will involve industrial development or revenue bonds, which provide that the rate of interest is set as a specific percentage of a designated base rate, such as rates of Treasury Bonds or Bills or the prime rate at a major commercial bank. In addition, a bondholder can demand payment of the obligations on behalf of the investing fund on short notice at par plus accrued interest, which amount may be more or less than the amount the bondholder paid for them. The maturity of floating or variable rate obligations (including participation interests therein) is deemed to be the longer of: (i) the notice period required before a fund is entitled to receive payment of the obligation upon demand; or (ii) the period remaining until the obligation's next interest rate adjustment. If not redeemed by the investor through the demand feature, the obligations mature on a specified date, which may range up to thirty years from the date of issuance.

**Warrants**

Warrants may trade independently of the underlying securities. Warrants are rights to purchase securities at specific prices and are valid for a specific period of time. Warrant prices do not necessarily move parallel to the prices of the underlying securities, and warrant holders receive no dividends and have no voting rights or rights with respect to the assets of an issuer. The price of a warrant may be more volatile than the price of its underlying security, and a warrant may offer greater potential for capital appreciation as well as capital loss. Warrants cease to have value if not exercised prior to the expiration date. These factors can make warrants more speculative than other types of investments.

**When-Issued/Delayed Delivery/Forward Commitment Securities**

Balanced Fund, Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth fund may purchase securities on a "when-issued" or "forward-commitment" basis. Each other fund may purchase or sell debt or equity securities on a "when-issued," "delayed-delivery," or "forward-commitment" basis. When-issued, delayed-delivery or forward-commitment transactions involve a commitment to purchase or sell securities at a predetermined price or yield in which payment and delivery take place after the customary settlement for such securities (which is typically one month or more after trade date). When purchasing securities in one of these types of transactions, payment for the securities is not required until the delivery date, however, the purchaser assumes the rights and risks of ownership, including the risks of price and yield fluctuations and the risk that the security will not be delivered. When a fund has sold securities pursuant to one of these transactions, it will not participate in further gains or losses with respect to that security. At the time of delivery, the value of when-issued, delayed-delivery or forward commitment securities may be more or less than the transaction price, and the yields then available in the market may be higher or lower than those obtained in the transaction.

Under normal circumstances, when a fund purchases securities on a when-issued or forward commitment basis, it will take delivery of the securities, but a fund may, if deemed advisable, sell the securities before the settlement date. Forward contracts may settle in cash between the counterparty and

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the fund or by physical settlement of the underlying securities, and a fund may renegotiate or roll over a forward commitment transaction. In general, a fund does not pay for the securities, or start earning interest on them, or deliver or take possession of securities until the obligations are scheduled to be settled. In such transactions, no cash changes hands on the trade date, however, if the transaction is collateralized, the exchange of margin may take place between the fund and the counterparty according to an agreed-upon schedule. A fund does, however, record the transaction and reflect the value each day of the securities in determining its NAV.

When-issued or forward settling securities transactions physically settling within 35-days are deemed not to involve a senior security. When-issued or forward settling securities transactions that do not physically settle within 35-days are required to be treated as derivatives transactions in compliance with the Derivatives Rule as outlined in the "Government Regulation of Derivatives" section.

**Yield Curve Notes**

Inverse floating rate securities include, but are not limited to, an inverse floating rate class of a government agency-issued yield curve note. A yield curve note is a fixed-income security that bears interest at a floating rate that is reset periodically based on an interest rate benchmark. The interest rate resets on a yield curve note in the opposite direction from the interest rate benchmark.

**Zero Coupon Securities, Deferred Interest Bonds and Pay-In-Kind Bonds**

Each fund other than Fundamental Large Cap Core Fund and U.S. Global Leaders Growth Fund may invest in zero coupon securities. Each fund other than Classic Value Fund, Fundamental Large Cap Core Fund, and U.S. Global Leaders Growth Fund may invest in deferred interest bonds and pay-in-kind bonds. Zero coupon securities, deferred interest bonds and pay-in-kind bonds involve special risk considerations. Zero coupon securities and deferred interest bonds are debt securities that pay no cash income but are sold at substantial discounts from their value at maturity. While zero coupon bonds do not require the periodic payment of interest, deferred interest bonds provide for a period of delay before the regular payment of interest begins. When a zero coupon security or a deferred interest bond is held to maturity, its entire return, which consists of the amortization of discount, comes from the difference between its purchase price and its maturity value. This difference is known at the time of purchase, so that investors holding these securities until maturity know at the time of their investment what the return on their investment will be. Pay-in-kind bonds are bonds that pay all or a portion of their interest in the form of debt or equity securities.

Zero coupon securities, deferred interest bonds and pay-in-kind bonds are subject to greater price fluctuations in response to changes in interest rates than ordinary interest-paying debt securities with similar maturities. The value of zero coupon securities and deferred interest bonds usually appreciates during periods of declining interest rates and usually depreciates during periods of rising interest rates.

**Issuers of Zero Coupon Securities and Pay-In-Kind Bonds.** Zero coupon securities and pay-in-kind bonds may be issued by a wide variety of corporate and governmental issuers. Although zero coupon securities and pay-in-kind bonds are generally not traded on a national securities exchange, these securities are widely traded by brokers and dealers and, to the extent they are widely traded, will not be considered illiquid for the purposes of the investment restriction under "Illiquid Securities."

**Tax Considerations.** Current federal income tax law requires the holder of a zero coupon security or certain pay-in-kind bonds to accrue income with respect to these securities prior to the receipt of cash payments. To maintain its qualification as a RIC under the Code and avoid liability for federal income and excise taxes, a fund may be required to distribute income accrued with respect to these securities and may have to dispose of portfolio securities under disadvantageous circumstances in order to generate cash to satisfy these distribution requirements.

**Risk Factors**

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The risks of investing in certain types of securities are described below. Risks are only applicable to a fund if and to the extent that corresponding investments, or indirect exposures to such investments through derivative contracts, are consistent with and permitted by the fund's investment objectives and policies. The value of an individual security or a particular type of security can be more volatile than the market as a whole and can perform differently than the value of the market as a whole. By owning shares of the underlying funds, each fund of funds indirectly invests in the securities and instruments held by the underlying funds and bears the same risks of such underlying funds.

**Cash Holdings Risk**

A fund may be subject to delays in making investments when significant purchases or redemptions of fund shares cause the fund to have an unusually large cash position. When the fund has a higher than normal cash position, it may incur "cash drag," which is the opportunity cost of holding a significant cash position. This significant cash position might cause the fund to miss investment opportunities it otherwise would have benefited from if fully invested, or might cause the fund to pay more for investments in a rising market, potentially reducing fund performance.

**Collateralized Debt Obligations**

The risks of an investment in a CDO depend largely on the quality of the collateral securities and the class of the instrument in which a fund invests. Normally, CDOs are privately offered and sold, and thus, are not registered under the securities laws. As a result, investments in CDOs may be characterized by a fund as illiquid, however an active dealer market may exist for CDOs allowing them to qualify for treatment as liquid under Rule 144A transactions. In addition to the normal risks associated with fixed-income securities discussed elsewhere in this SAI and the Prospectus (e.g., interest rate risk and default risk), CDOs carry risks including, but are not limited to the possibility that: (i) distributions from collateral securities will not be adequate to make interest or other payments; (ii) the quality of the collateral may decline in value or default; (iii) a fund may invest in CDO classes that

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are subordinate to other classes of the CDO; and (iv) the complex structure of the CDO may not be fully understood at the time of investment and may produce disputes with the issuer or unexpected investment results.

**Commodity-Linked Instruments**

The value of commodities investments will generally be affected by overall market movements and factors specific to a particular industry or commodity, which may include weather, embargoes, tariffs, and health, political, international and regulatory developments. Economic and other events (whether real or perceived) can reduce the demand for commodities, which may reduce market prices and cause the value of shares of the fund to fall. The frequency and magnitude of such changes cannot be predicted. Exposure to commodities and commodities markets may subject a fund to greater volatility than investments in traditional securities. No active trading market may exist for certain commodities investments, which may impair the ability of a fund to sell or to realize the full value of such investments in the event of the need to liquidate such investments. In addition, adverse market conditions may impair the liquidity of actively traded commodities investments. Certain types of commodities instruments (such as total return swaps and commodity-linked notes) are subject to the risk that the counterparty to the instrument will not perform or will be unable to perform in accordance with the terms of the instrument. To the extent commodity-related investments are held through the Subsidiary, the Subsidiary is not subject to U.S. laws (including securities laws) and their protections. The Subsidiary is subject to the laws of the Cayman Islands, a foreign jurisdiction, and can be affected by developments in that jurisdiction.

Certain commodities are subject to limited pricing flexibility because of supply and demand factors. Others are subject to broad price fluctuations as a result of the volatility of the prices for certain raw materials and the instability of supplies of other materials. These additional variables may create additional investment risks and result in greater volatility than investments in traditional securities. The commodities that underlie commodity futures contracts and commodity swaps may be subject to additional economic and non-economic variables, such as drought, floods, weather, pandemics, epidemics, livestock disease, embargoes, tariffs, and international economic, political and regulatory developments. Unlike the financial futures markets, in the commodity futures markets there are costs of physical storage associated with purchasing the underlying commodity. The price of the commodity futures contract will reflect the storage costs of purchasing the physical commodity, including the time value of money invested in the physical commodity. To the extent that the storage costs for an underlying commodity change while the fund is invested in futures contracts on that commodity, the value of the futures contract may change proportionately.

In the commodity futures markets, producers of the underlying commodity may decide to hedge the price risk of selling the commodity by selling futures contracts today to lock in the price of the commodity at delivery tomorrow. In order to induce speculators to purchase the other side of the same futures contract, the commodity producer generally must sell the futures contract at a lower price than the expected future spot price. Conversely, if most hedgers in the futures market are purchasing futures contracts to hedge against a rise in prices, then speculators will only sell the other side of the futures contract at a higher futures price than the expected future spot price of the commodity. The changing nature of the hedgers and speculators in the commodity markets will influence whether futures prices are above or below the expected future spot price, which can have significant implications for a fund. If the nature of hedgers and speculators in futures markets has shifted when it is time for a fund to reinvest the proceeds of a maturing contract in a new futures contract, the fund might reinvest at higher or lower futures prices, or choose to pursue other investments.

**Equity Securities**

Equity securities include common, preferred and convertible preferred stocks and securities the values of which are tied to the price of stocks, such as rights, warrants and convertible debt securities. 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's investment 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 issuers of these securities declines or if overall market and economic conditions deteriorate. Even funds that invest 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 also may have less growth potential than smaller companies and may be able to react less quickly to change in the marketplace.

**ESG Integration Risk**

Certain subadvisors may integrate research on environmental, social and governance ("ESG") factors into a fund's investment process. Such subadvisors may consider ESG factors that it deems relevant or additive, along with other material factors and analysis, when managing a fund. 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 a subadvisor, carries the risk that a 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 a fund's investment process may result in a subadvisor making different investment decisions for a 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 a fund's investment performance may be affected. Integration of ESG factors into a fund's investment process does not preclude a fund from including companies with low ESG characteristics or excluding companies with high ESG characteristics in a fund's investments.

The ESG characteristics utilized in a fund's investment process may change over time, and different ESG characteristics may be relevant to different investments. Successful integration of ESG factors will depend on a subadvisor'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 a subadvisor in accordance with the fund's investment objective and strategies. ESG

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factors may be evaluated differently by different subadvisors, and may not carry the same meaning to all investors and subadvisors. The regulatory landscape with respect to ESG investing in the United States is evolving and any future rules or regulations may require a fund to change its investment process with respect to ESG integration.

**European Risk**

Countries in Europe may be significantly affected by fiscal and monetary controls implemented by the EU and EMU, which require member countries to comply with restrictions on inflation rates, deficits, interest rates, debt levels and fiscal and monetary controls. Decreasing imports or exports, changes in governmental or other regulations on trade, changes in the exchange rate or dissolution of the Euro, the default or threat of default by one or more EU member countries on its sovereign debt, and/or an economic recession in one or more EU member countries may have a significant adverse effect on other European economies and major trading partners outside Europe.

In recent years, the European financial markets have experienced volatility and adverse trends due to concerns about economic downturns, rising government debt levels and the possible default of government debt in several European countries. The European Central Bank and IMF have previously bailed-out several European countries. There is no guarantee that these institutions will continue to provide financial support, and markets may react adversely to any reduction in financial support. A default or debt restructuring by any European country can adversely impact holders of that country's debt and sellers of credit default swaps linked to that country's creditworthiness, which may be located in countries other than those listed above, and can affect exposures to other EU countries and their financial companies as well.

Uncertainties surrounding the sovereign debt of a number of 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, as the UK did in January of 2020 (commonly referred to as "Brexit"), or the EU dissolves, the global securities markets likely will be significantly disrupted. It is also possible that various countries within the UK, such as Scotland or Northern Ireland, could seek to separate and remain a part of the EU. Other secessionist movements including countries seeking to abandon the Euro or withdraw from the EU may cause volatility and uncertainty in the EU.

The UK has one of the largest economies in Europe and is a major trading partner with the EU countries and the United States. The UK's economy, which is heavily dominated by financial services, may be impacted by a slowdown in the financial services sector.

Investing in the securities of Eastern European issuers is highly speculative and involves risks not usually associated with investing in the more developed markets of Western Europe. Securities markets of Eastern European countries typically are less efficient and have lower trading volume, lower liquidity, and higher volatility than more developed markets. Eastern European economies also may be particularly susceptible to disruption in the international credit market due to their reliance on bank related inflows of capital.

To the extent that a fund invests in European securities, it may be exposed to these risks through its direct investments in such securities, including sovereign debt, or indirectly through investments in money market funds and financial institutions with significant investments in such securities. In addition, Russia's increasing international assertiveness could negatively impact EU and Eastern European economic activity. Please see "Market Events" for additional information regarding risks related to sanctions imposed on Russia.

**Fixed-Income Securities**

Fixed-income securities are generally subject to two principal types of risk: (1) interest-rate risk; and (2) credit quality risk. Fixed-income securities are also subject to liquidity risk.

**Interest Rate Risk.** Fixed-income securities are affected by changes in interest rates. When interest rates decline, the market value of the fixed-income securities generally can be expected to rise. Conversely, when interest rates rise, the market value of fixed-income securities generally can be expected to decline.

The longer a fixed-income security's duration, the more sensitive it will be to changes in interest rates. Similarly, a fund with a longer average portfolio duration will be more sensitive to changes in interest rates than a fund with a shorter average portfolio duration. Duration is a measure used to determine the sensitivity of a security's price to changes in interest rates that incorporates a security's yield, coupon, final maturity, and call features, among other characteristics. All other things remaining equal, for each one percentage point increase in interest rates, the value of a portfolio of fixed-income investments would generally be expected to decline by one percent for every year of the portfolio's average duration above zero. For example, the price of a bond fund with an average duration of eight years would be expected to fall approximately 8% if interest rates rose by one percentage point. The maturity of a security, another commonly used measure of price sensitivity, measures only the time until final payment is due, whereas duration takes into account the pattern of all payments of interest and principal on a security over time, including how these payments are affected by prepayments and by changes in interest rates, as well as the time until an interest rate is reset (in the case of variable-rate securities).

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

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fund's 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 certain market conditions, governmental authorities and regulators may considerably lower interest rates, which, in some cases could result in negative interest rates. These actions, including their reversal or potential ineffectiveness, could further increase volatility in securities and other financial markets and reduce market liquidity. To the extent the fund has a bank deposit or holds a debt instrument with a negative interest rate to maturity, the fund would generate a negative return on that investment. Similarly, negative rates on investments by money market funds and similar cash management products could lead to losses on investments, including on investments of the fund's uninvested cash.

**Credit Quality Risk.** Fixed-income securities are subject to the risk that the issuer of the security will not repay all or a portion of the principal borrowed and will not make all interest payments. If the credit quality of a fixed-income security deteriorates after a fund has purchased the security, the market value of the security may decrease and lead to a decrease in the value of the fund's investments. Funds that may invest in lower rated fixed-income securities are riskier than funds that may invest in higher rated fixed-income securities.

**Liquidity Risk.** Liquidity risk may result from the lack of an active market, the reduced number of traditional market participants, or the reduced capacity of traditional market participants to make a market in fixed-income securities. The capacity of traditional dealers to engage in fixed-income trading has not kept pace with the bond market's growth. As a result, dealer inventories of corporate bonds, which indicate the ability to "make markets," i.e., buy or sell a security at the quoted bid and ask price, respectively, are at or near historic lows relative to market size. Because market makers provide stability to fixed-income markets, the significant reduction in dealer inventories could lead to decreased liquidity and increased volatility, which may become exacerbated during periods of economic or political stress. In addition, liquidity risk may be magnified in a rising interest rate environment in which investor redemptions from fixed-income funds may be higher than normal; the selling of fixed-income securities to satisfy shareholder redemptions may result in an increased supply of such securities during periods of reduced investor demand due to a lack of buyers, thereby impairing the fund's ability to sell such securities. The secondary market for certain tax-exempt securities tends to be less well-developed or liquid than many other securities markets, which may adversely affect a fund's ability to sell such securities at attractive prices.

**Foreign Securities**

**Currency Fluctuations.** Investments in foreign securities may cause a fund to lose money when converting investments from foreign currencies into U.S. dollars. A fund may attempt to lock in an exchange rate by purchasing a foreign currency exchange contract prior to the settlement of an investment in a foreign security. However, the fund may not always be successful in doing so, and it could still lose money.

**Political and Economic Conditions.** Investments in foreign securities subject a fund to the political or economic conditions of the foreign country. These conditions could cause a fund's investments to lose value if these conditions deteriorate for any reason. This risk increases in the case of emerging market countries which are more likely to be politically unstable. Political instability could cause the value of any investment in the securities of an issuer based in a foreign country to decrease or could prevent or delay a fund from selling its investment and taking the money out of the country.

**Removal of Proceeds of Investments from a Foreign Country.** Foreign countries, especially emerging market countries, often have currency controls or restrictions that may prevent or delay a fund from taking money out of the country or may impose additional taxes on money removed from the country. Therefore, a fund could lose money if it is not permitted to remove capital from the country or if there is a delay in taking the assets out of the country, since the value of the assets could decline during this period, or the exchange rate to convert the assets into U.S. dollars could worsen.

**Nationalization of Assets.** Investments in foreign securities subject a fund to the risk that the company issuing the security may be nationalized. If the company is nationalized, the value of the company's securities could decrease in value or even become worthless.

**Settlement of Sales.** Foreign countries, especially emerging market countries, also may have problems associated with settlement of sales. Such problems could cause a fund to suffer a loss if a security to be sold declines in value while settlement of the sale is delayed.

**Investor Protection Standards.** Foreign countries, especially emerging market countries, may have less stringent investor protection and disclosure standards than the U.S. Therefore, when making a decision to purchase a security for a fund, a subadvisor may not be aware of problems associated with the company issuing the security and may not enjoy the same legal rights as those provided in the U.S.

**Securities of Emerging Market Issuers or Countries.** The risks described above apply to an even greater extent to investments in emerging markets. The securities markets of emerging countries are generally smaller, less developed, less liquid, and more volatile than the securities markets of the United States and developed foreign countries. In addition, the securities markets of emerging countries may be subject to a lower level of monitoring and regulation. Government enforcement of existing securities regulations also has been extremely limited, and any such enforcement may be arbitrary and the results difficult to predict with any degree of certainty. Many emerging countries have experienced substantial, and in some periods extremely high, rates of inflation for many years. Inflation and rapid fluctuations in inflation rates have had and may continue to have very negative effects on the economies and securities markets of some emerging countries. Economies in emerging markets generally are heavily dependent upon international trade and, accordingly, have been and may continue to be affected adversely by trade barriers, exchange controls, managed adjustments in relative currency values, and other protectionist measures imposed or negotiated by the countries with which they trade. Economies in emerging markets also have been and may continue to be adversely affected by economic conditions in the countries with which they trade. The economies of countries with emerging markets also may be predominantly based on only a few industries or dependent on revenues from particular commodities. In many cases, governments of emerging market countries continue to exercise significant control over their economies, and government actions relative

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to the economy, as well as economic developments generally, may affect the capacity of issuers of debt instruments to make payments on their debt obligations, regardless of their financial condition.

**Restrictions on Investments.** There may be unexpected restrictions on investments in companies located in certain foreign countries. For example, on November 12, 2020, the President of the United States signed an Executive Order prohibiting U.S. persons from purchasing or investing in publicly-traded securities of companies identified by the U.S. government as "Communist Chinese military companies," or in instruments that are derivative of, or are designed to provide investment exposure to, such securities. In addition, to the extent that a fund holds such a security, one or more fund intermediaries may decline to process customer orders with respect to such fund unless and until certain representations are made by the fund or the prohibited holdings are divested. As a result of forced sales of a security, or inability to participate in an investment the manager otherwise believes is attractive, a fund may incur losses.

**Gaming-Tribal Authority Investments**

The value of a fund's investments in securities issued by gaming companies, including gaming facilities operated by Indian (Native American) tribal authorities, is subject to legislative or regulatory changes, adverse market conditions, and/or increased competition affecting the gaming sector. Securities of gaming companies may be considered speculative, and generally exhibit greater volatility than the overall market. The market value of gaming company securities may fluctuate widely due to unpredictable earnings, due in part to changing consumer tastes and intense competition, strong reaction to technological developments, and the threat of increased government regulation.

Securities issued by Indian tribal authorities are subject to particular risks. Indian tribes enjoy sovereign immunity, which is the legal privilege by which the United States federal, state, and tribal governments cannot be sued without their consent. In order to sue an Indian tribe (or an agency or instrumentality thereof), the tribe must have effectively waived its sovereign immunity with respect to the matter in dispute. Certain Indian tribal authorities have agreed to waive their sovereign immunity in connection with their outstanding debt obligations. Generally, waivers of sovereign immunity have been held to be enforceable against Indian tribes. Nevertheless, if a waiver of sovereign immunity is held to be ineffective, claimants, including investors in Indian tribal authority securities (such as a fund), could be precluded from judicially enforcing their rights and remedies.

Further, in most commercial disputes with Indian tribes, it may be difficult or impossible to obtain federal court jurisdiction. A commercial dispute may not present a federal question, and an Indian tribe may not be considered a citizen of any state for purposes of establishing diversity jurisdiction. The U.S. Supreme Court has held that jurisdiction in a tribal court must be exhausted before any dispute can be heard in an appropriate federal court. In cases where the jurisdiction of the tribal forum is disputed, the tribal court first must rule as to the limits of its own jurisdiction. Such jurisdictional issues, as well as the general view that Indian tribes are not considered to be subject to ordinary bankruptcy proceedings, may be disadvantageous to holders of obligations issued by Indian tribal authorities, including a fund.

**Greater China Region Risk**

Investments in the Greater China region are subject to special risks, such as less developed or less efficient trading markets, restrictions on monetary repatriation and possible seizure, nationalization or expropriation of assets. Taiwan's history of political contention with China has resulted in ongoing tensions between the two countries and, at times, threats of military conflict. Investments in Taiwan could be adversely affected by its political and economic relationship with China. In addition, the willingness of the government of the PRC to support the Mainland China and Hong Kong economies and markets is uncertain, and changes in government policy could significantly affect the markets in both Hong Kong and China. For example, a government may restrict investment in companies or industries considered important to national interests, intervene in contractual arrangements, or intervene in the financial markets, such as by imposing trading restrictions, or banning or curtailing short selling. The PRC also maintains strict currency controls and imposes repatriation restrictions in order to achieve economic, trade and political objectives and regularly intervenes in the currency market. The imposition of currency controls and repatriation restrictions may negatively impact the performance and liquidity of a fund as capital may become trapped in the PRC. Chinese yuan currency exchange rates can be very volatile and can change quickly and unpredictably. A small number of companies and industries may generally represent a relatively large portion of the Greater China market. Consequently, a fund may experience greater price volatility and significantly lower liquidity than a portfolio invested solely in equity securities of U.S. issuers. These companies and industries also may be subject to greater sensitivity to adverse political, economic or regulatory developments generally affecting the market (see "Risk Factors – Foreign Securities").

To the extent a fund invests in securities of Chinese issuers, it may be subject to certain risks associated with variable interest entities ("VIEs"). VIEs are widely used by China-based companies where China restricts or prohibits foreign ownership in certain sectors, including telecommunications, technology, media, and education. In a typical VIE structure, a shell company is set up in an offshore jurisdiction and enters into contractual arrangements with a China-based operating company. The VIE lists on a U.S. exchange and investors then purchase the stock issued by the VIE. The VIE structure is designed to provide investors with economic exposure to the Chinese company that replicates equity ownership, without providing actual equity ownership.

VIE structures do not offer the same level of investor protections as direct ownership and investors may experience losses if VIE structures are altered, contractual disputes emerge, or the legal status of the VIE structure is prohibited under Chinese law. VIEs have not been approved or endorsed by Chinese regulators. Additionally, significant portions of the Chinese securities markets may also become rapidly illiquid, as Chinese issuers have the ability to suspend the trading of their equity securities, and have shown a willingness to exercise that option in response to market volatility and other events.

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The legal status of the VIE structure remains uncertain under Chinese law. There is risk that the Chinese government may cease to tolerate such VIE structures at any time or impose new restrictions on the structure, in each case either generally or with respect to specific issuers. If new laws, rules or regulations relating to VIE structures are adopted, investors, including a fund, could suffer substantial, detrimental, and possibly permanent losses with little or no recourse available.

In addition, VIEs may be delisted if they do not meet U.S. accounting standards and auditor oversight requirements. Delisting would significantly decrease the liquidity and value of the securities of these companies, decrease the ability of a fund to invest in such securities and may increase the expenses of a fund if it is required to seek alternative markets in which to invest in such securities.

**High Yield (High Risk) Securities**

**General.** A fund may invest in high yield (high risk) securities, consistent with its investment objectives and policies. High yield (high risk) securities (also known as "junk bonds") are those rated below investment grade and comparable unrated securities. These securities offer yields that fluctuate over time, but generally are superior to the yields offered by higher-rated securities. However, securities rated below investment grade also have greater risks than higher-rated securities as described below.

**Interest Rate Risk.** To the extent that a fund invests in fixed-income securities, the NAV of the fund's shares can be expected to change as general levels of interest rates fluctuate. However, the market values of securities rated below investment grade (and comparable unrated securities) tend to react less to fluctuations in interest rate levels than do those of higher-rated securities. Except to the extent that values are affected independently by other factors (such as developments relating to a specific issuer) when interest rates decline, the value of a fixed-income fund generally rise. Conversely, when interest rates rise, the value of a fixed-income fund will decline.

**Liquidity.** The secondary markets for high yield corporate and sovereign debt securities are not as liquid as the secondary markets for investment grade securities. The secondary markets for high yield debt securities are concentrated in relatively few market makers and participants are mostly institutional investors. In addition, the trading volume for high yield debt securities is generally lower than for investment grade securities. Furthermore, the secondary markets could contract under adverse market or economic conditions independent of any specific adverse changes in the condition of a particular issuer.

These factors may have an adverse effect on the ability of funds investing in high yield securities to dispose of particular portfolio investments. These factors also may limit funds that invest in high yield securities from obtaining accurate market quotations to value securities and calculate NAV. If a fund investing in high yield debt securities is not able to obtain precise or accurate market quotations for a particular security, it will be more difficult for the subadvisor to value the fund's investments.

Less liquid secondary markets also may affect a fund's ability to sell securities at their fair value. Each fund may invest in illiquid securities, subject to certain restrictions (see "Additional Investment Policies and Other Instruments"). These securities may be more difficult to value and to sell at fair value. If the secondary markets for high yield debt securities are affected by adverse economic conditions, the proportion of a fund's assets invested in illiquid securities may increase.

**Below-Investment Grade Corporate Debt Securities.** While the market values of securities rated below investment grade (and comparable unrated securities) tend to react less to fluctuations in interest rate levels than do those of higher-rated securities, the market values of below-investment grade corporate debt securities tend to be more sensitive to individual corporate developments and changes in economic conditions than higher-rated securities.

In addition, these securities generally present a higher degree of credit risk. Issuers of these securities are often highly leveraged and may not have more traditional methods of financing available to them. Therefore, their ability to service their debt obligations during an economic downturn or during sustained periods of rising interest rates may be impaired. The risk of loss due to default by such issuers is significantly greater than with investment grade securities because such securities generally are unsecured and frequently are subordinated to the prior payment of senior indebtedness.

**Below-Investment Grade Foreign Sovereign Debt Securities.** Investing in below-investment grade foreign sovereign debt securities will expose a fund to the consequences of political, social or economic changes in the developing and emerging market countries that issue the securities. The ability and willingness of sovereign obligors in these countries to pay principal and interest on such debt when due may depend on general economic and political conditions within the relevant country. Developing and emerging market countries have historically experienced (and may continue to experience) high inflation and interest rates, exchange rate trade difficulties, extreme poverty and unemployment. Many of these countries also are characterized by political uncertainty or instability.

The ability of a foreign sovereign obligor to make timely payments on its external debt obligations also will be strongly influenced by:

● the obligor's balance of payments, including export performance;

● the obligor's access to international credits and investments;

● fluctuations in interest rates; and

● the extent of the obligor's foreign reserves.

**Defaulted Securities.** The risk of loss due to default may be considerably greater with lower-quality securities because they are generally unsecured and are often subordinated to other debt of the issuer. The purchase of defaulted debt securities involves risks such as the possibility of complete loss of the investment where the issuer does not restructure to enable it to resume principal and interest payments. If the issuer of a security in a fund's

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portfolio defaults, the fund may have unrealized losses on the security, which may lower the fund's NAV. Defaulted securities tend to lose much of their value before they default. Thus, a fund's NAV may be adversely affected before an issuer defaults. In addition, a fund may incur additional expenses if it must try to recover principal or interest payments on a defaulted security.

Defaulted debt securities may be illiquid and, as such, will be part of the percentage limits on investments in illiquid securities discussed under "Illiquid Securities."

**Obligor's Balance of Payments.** A country whose exports are concentrated in a few commodities or whose economy depends on certain strategic imports could be vulnerable to fluctuations in international prices of these commodities or imports. To the extent that a country receives payment for its exports in currencies other than dollars, its ability to make debt payments denominated in dollars could be adversely affected.

**Obligor's Access to International Credits and Investments.** If a foreign sovereign obligor cannot generate sufficient earnings from foreign trade to service its external debt, it may need to depend on continuing loans and aid from foreign governments, commercial banks, and multilateral organizations, and inflows of foreign investment. The commitment on the part of these entities to make such disbursements may be conditioned on the government's implementation of economic reforms and/or economic performance and the timely service of its obligations. Failure in any of these efforts may result in the cancellation of these third parties' lending commitments, thereby further impairing the obligor's ability or willingness to service its debts on time.

**Obligor's Fluctuations in Interest Rates.** The cost of servicing external debt is generally adversely affected by rising international interest rates since many external debt obligations bear interest at rates that are adjusted based upon international interest rates.

**Obligor's Foreign Reserves.** The ability to service external debt also will depend on the level of the relevant government's international currency reserves and its access to foreign exchange. Currency devaluations may affect the ability of a sovereign obligor to obtain sufficient foreign exchange to service its external debt.

**The Consequences of a Default.** As a result of the previously listed factors, a governmental obligor may default on its obligations. If a default occurs, a fund holding foreign sovereign debt securities may have limited legal recourse against the issuer and/or guarantor. Remedies must, in some cases, be pursued in the courts of the defaulting party itself, and the ability of the holder of the foreign sovereign debt securities to obtain recourse may be subject to the political climate in the relevant country. In addition, no assurance can be given that the holders of commercial bank debt will not contest payments to the holders of other foreign sovereign debt obligations in the event of default under their commercial bank loan agreements.

Sovereign obligors in developing and emerging countries are among the world's largest debtors to commercial banks, other governments, international financial organizations and other financial institutions. These obligors have in the past experienced substantial difficulties in servicing their external debt obligations. This difficulty has led to defaults on certain obligations and the restructuring of certain indebtedness. Restructuring arrangements have included, among other things:

● reducing and rescheduling interest and principal payments by negotiating new or amended credit agreements or converting outstanding principal and unpaid interest to Brady Bonds; and

● obtaining new credit to finance interest payments.

Holders of certain foreign sovereign debt securities may be requested to participate in the restructuring of such obligations and to extend further loans to their issuers. There can be no assurance that the Brady Bonds and other foreign sovereign debt securities in which a fund may invest will not be subject to similar restructuring arrangements or to requests for new credit that may adversely affect the fund's holdings. Furthermore, certain participants in the secondary market for such debt may be directly involved in negotiating the terms of these arrangements and may therefore have access to information not available to other market participants.

**Securities in the Lowest Rating Categories.** Certain debt securities in which a fund may invest may have (or be considered comparable to securities having) the lowest ratings for non-subordinated debt instruments (e.g., securities rated "Caa" or lower by Moody's, "CCC" or lower by S&P or Fitch). These securities are considered to have the following characteristics:

● extremely poor prospects of ever attaining any real investment standing;

● current identifiable vulnerability to default;

● unlikely to have the capacity to pay interest and repay principal when due in the event of adverse business, financial or economic conditions;

● are speculative with respect to the issuer's capacity to pay interest and repay principal in accordance with the terms of the obligations; and/or

● are in default or not current in the payment of interest or principal.

Accordingly, it is possible that these types of characteristics could, in certain instances, reduce the value of securities held by a fund with a commensurate effect on the value of the fund's shares.

**Hong Kong Stock Connect Program and Bond Connect Program Risk**

A fund may invest in eligible renminbi-denominated class A shares of equity securities that are listed and traded on certain Chinese stock exchanges ("China A-Shares") through the Hong Kong Stock Connect Program ("Stock Connect"), a mutual market access program designed to, among others, enable foreign investment in the PRC; and in renminbi-denominated bonds issued in the PRC by Chinese credit, government and quasi-governmental

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issuers ("RMB Bonds"), which are available on the CIBM to eligible foreign investors through, among others, the "Mutual Bond Market Access between Mainland China and Hong Kong" ("Bond Connect") program.

Trading in China A-Shares through Stock Connect and bonds through Bond Connect is subject to certain restrictions and risks. A fund's investment in China A-Shares may only be traded through Stock Connect and is not otherwise transferable. The list of securities eligible to be traded on either program may change from time to time. Securities listed on either program may lose purchase eligibility, which could adversely affect a fund's performance.

While Stock Connect is not subject to individual investment quotas, daily and aggregate investment quotas apply to all Stock Connect participants, which may restrict or preclude a fund's ability to invest in China A-Shares. For example, these quota limitations require that buy orders for China A-Shares be rejected once the remaining balance of the relevant quota drops to zero or the daily quota is exceeded (although a fund will be permitted to sell China A-Shares regardless of the quota balance). These limitations may restrict a fund from investing in China A-Shares on a timely basis, which could affect a fund's ability to effectively pursue its investment strategy. Investment quotas are also subject to change. Bond Connect is not subject to investment quotas.

Chinese regulations prohibit over-selling of China A-Shares. If a fund intends to sell China A-shares it holds, it must transfer those securities to the accounts of a fund's participant broker before the market opens. As a result, a fund may not be able to dispose of its holdings of China A-Shares in a timely manner.

Stock Connect also is generally available only on business days when both the exchange on which China A-Shares are offered and the Stock Exchange of Hong Kong are open and when banks in both markets are open on the corresponding settlement days. Therefore, an investment in China A-Shares through Stock Connect may subject a fund to a risk of price fluctuations on days where Chinese stock markets are open, but Stock Connect is not operating. Similarly, Bond Connect is only available on days when markets in both China and Hong Kong are open, which may limit a fund's ability to trade when it would be otherwise attractive to do so.

Stock Connect launched in November 2014 and Bond Connect launched in July 2017. Therefore, trading through Stock Connect and Bond Connect is subject to trading, clearance, and settlement procedures that may continue to develop as the programs mature, which could pose risks to a fund. Bond Connect is relatively new and its effects on the CIBM are uncertain. In addition, the trading, settlement and information technology systems required for non-Chinese investors in Bond Connect are relatively new. In the event of systems malfunctions or extreme market conditions, trading via Bond Connect could be disrupted. In addition, the rules governing the operation of Stock Connect and Bond Connect may be subject to further interpretation and guidance. There can be no assurance as to the programs' continued existence or whether future developments regarding the programs may restrict or adversely affect a fund's investments or returns. Additionally, the withholding tax treatment of dividends, interest, and capital gains payable to overseas investors may be subject to change. Furthermore, there is currently no specific formal guidance by the PRC tax authorities on the treatment of income tax and other tax categories payable in respect of trading in CIBM by eligible foreign institutional investors via Bond Connect. Any changes in PRC tax law, future clarifications thereof, and/or subsequent retroactive enforcement by the PRC tax authorities of any tax may result in a material loss to a fund.

Stock Connect and Bond Connect regulations provide that investors, such as a fund, enjoy the rights and benefits of equities purchased through Stock Connect and bonds purchased through Bond Connect. However, the nominee structure under Stock Connect requires that China A-Shares be held through the HKSCC as nominee on behalf of investors. For investments via Bond Connect, the relevant filings, registration with People's Bank of China, and account opening have to be carried out via an onshore settlement agent, offshore custody agent, registration agent, or other third parties (as the case may be). As such, a fund is subject to the risks of default or errors on the part of such third parties.

While a fund's ownership of China A-Shares will be reflected on the books of the custodian's records, a fund will only have beneficial rights in such A-Shares. The precise nature and rights of a fund as the beneficial owner of the equities through the HKSCC as nominee is not well defined under the law of the PRC. Although the China Securities Regulatory Commission has issued guidance indicating that participants in Stock Connect will be able to exercise rights of beneficial owners in the PRC, the exact nature and methods of enforcement of the rights and interests of a fund under PRC law is uncertain. In particular, the courts may consider that the nominee or custodian as registered holder of China A-Shares, has full ownership over the securities rather than a fund as the underlying beneficial owner. The HKSCC, as nominee holder, does not guarantee the title to China A-Shares held through it and is under no obligation to enforce title or other rights associated with ownership on behalf of beneficial owners. Consequently, title to these securities, or the rights associated with them, such as participation in corporate actions or shareholder meetings, cannot be assured.

While certain aspects of the Stock Connect trading process are subject to Hong Kong law, PRC rules applicable to share ownership will apply. In addition, transactions using Stock Connect are not subject to the Hong Kong investor compensation fund, which means that a fund will be unable to make monetary claims on the investor compensation fund that it might otherwise be entitled to with respect to investments in Hong Kong securities. Other risks associated with investments in PRC securities apply fully to China A-Shares purchased through Stock Connect.

Similarly, in China, the Hong Kong Monetary Authority Central Money Markets Unit holds Bond Connect securities on behalf of ultimate investors (such as a fund) in accounts maintained with a China-based custodian (either the China Central Depository & Clearing Co. or the Shanghai Clearing House). This recordkeeping system subjects a fund to various risks, including the risk that a fund may have a limited ability to enforce rights as a bondholder and the risks of settlement delays and counterparty default of the Hong Kong sub-custodian. In addition, enforcing the ownership rights of a beneficial holder of Bond Connect securities is untested and courts in China have limited experience in applying the concept of beneficial ownership.

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China A-Shares traded via Stock Connect and bonds trading through Bond Connect are subject to various risks associated with the legal and technical framework of Stock Connect and Bond Connect, respectively. In the event that the relevant systems fail to function properly, trading through Stock Connect or Bond Connect could be disrupted. In the event of high trade volume or unexpected market conditions, Stock Connect and Bond Connect may be available only on a limited basis, if at all. Both the PRC and Hong Kong regulators are permitted, independently of each other, to suspend Stock Connect in response to certain market conditions. Similarly, in the event that the relevant Mainland Chinese authorities suspend account opening or trading on the CIBM via Bond Connect, a fund's ability to invest in Chinese bonds will be adversely affected and limited. In such event, a fund's ability to achieve its investment objective will be negatively affected and, after exhausting other trading alternatives, a fund may suffer substantial losses as a result.

**Hybrid Instruments**

The risks of investing in hybrid instruments are a combination of the risks of investing in securities, options, futures, swaps, and currencies. Therefore, an investment in a hybrid instrument may include significant risks not associated with a similar investment in a traditional debt instrument with a fixed principal amount, is denominated in U.S. dollars, or that bears interest either at a fixed rate or a floating rate determined by reference to a common, nationally published benchmark. The risks of a particular hybrid instrument will depend upon the terms of the instrument, but may include, without limitation, the possibility of significant changes in the benchmarks or the prices of underlying assets to which the instrument is linked. These risks generally depend upon factors unrelated to the operations or credit quality of the issuer of the hybrid instrument and that may not be readily foreseen by the purchaser. Such factors include economic and political events, the supply and demand for the underlying assets, and interest rate movements. In recent years, various benchmarks and prices for underlying assets have been highly volatile, and such volatility may be expected in the future. See "Hedging and Other Strategic Transactions" for a description of certain risks associated with investments in futures, options, and forward contracts. The principal risks of investing in hybrid instruments are as follows:

**Volatility.** Hybrid instruments are potentially more volatile and carry greater market risks than traditional debt instruments. Depending on the structure of the particular hybrid instrument, changes in a benchmark may be magnified by the terms of the hybrid instrument and have an even more dramatic and substantial effect upon the value of the hybrid instrument. Also, the prices of the hybrid instrument and the benchmark or underlying asset may not move in the same direction or at the same time.

**Leverage Risk.** Hybrid instruments may bear interest or pay preferred dividends at below market (or even relatively nominal) rates. Alternatively, hybrid instruments may bear interest at above market rates, but bear an increased risk of principal loss (or gain). For example, an increased risk of principal loss (or gain) may result if "leverage" is used to structure a hybrid instrument. Leverage risk occurs when the hybrid instrument is structured so that a change in a benchmark or underlying asset is multiplied to produce a greater value change in the hybrid instrument, thereby magnifying the risk of loss, as well as the potential for gain.

**Liquidity Risk.** Hybrid instruments also may carry liquidity risk since the instruments are often "customized" to meet the needs of a particular investor. Therefore, the number of investors that would be willing and able to buy such instruments in the secondary market may be smaller than for more traditional debt securities. In addition, because the purchase and sale of hybrid instruments could take place in an OTC market without the guarantee of a central clearing organization or in a transaction between a fund and the issuer of the hybrid instrument, the creditworthiness of the counterparty or issuer of the hybrid instrument would be an additional risk factor, which the fund would have to consider and monitor.

**Lack of U.S. Regulation.** Hybrid instruments may not be subject to regulation of the CFTC, which generally regulates the trading of swaps and commodity futures by U.S. persons, the SEC, which regulates the offer and sale of securities by and to U.S. persons, or any other governmental regulatory authority.

**Credit and Counterparty Risk.** The issuer or guarantor of a hybrid instrument may be unable or unwilling to make timely principal, interest or settlement payments, or otherwise honor its obligations. Funds that invest in hybrid instruments are subject to varying degrees of risk that the issuers of the securities will have their credit rating downgraded or will default, potentially reducing a fund's share price and income level.

The various risks discussed above with respect to hybrid instruments particularly the market risk of such instruments, may cause significant fluctuations in the NAV of a fund that invests in such instruments.

**Industry or Sector Investing**

When a fund invests a substantial portion of its assets in a particular industry or sector of the economy, the fund's investments are not as varied as the investments of most funds and are far less varied than the broad securities markets. As a result, the fund's performance tends to be more volatile than other funds, and the values of the fund's investments tend to go up and down more rapidly. In addition, to the extent that a fund invests significantly in a particular industry or sector, it is particularly susceptible to the impact of market, economic, regulatory and other factors affecting that industry or sector. The principal risks of investing in certain sectors are described below.

**Communication.** Companies in the communication sector are subject to the additional risks of rapid obsolescence due to technological advancement or development, lack of standardization or compatibility with existing technologies, an unfavorable regulatory environment, and a dependency on patent and copyright protection. The prices of the securities of companies in the communication sector may fluctuate widely due to both federal and state regulations governing rates of return and services that may be offered, fierce competition for market share, and competitive challenges in the U.S. from foreign competitors engaged in strategic joint ventures with U.S. companies, and in foreign markets from both U.S. and foreign competitors. In addition, recent industry consolidation trends may lead to increased regulation of communication companies in their primary markets.

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**Consumer Discretionary.** The consumer discretionary sector may be affected by fluctuations in supply and demand and may also be adversely affected by changes in consumer spending as a result of world events, political and economic conditions, commodity price volatility, changes in exchange rates, imposition of import controls, increased competition, depletion of resources and labor relations.

**Consumer Staples.** Companies in the consumer staples sector may be affected by general economic conditions, commodity production and pricing, consumer confidence and spending, consumer preferences, interest rates, product cycles, marketing, competition, and government regulation. Other risks include changes in global economic, environmental and political events, and the depletion of resources. Companies in the consumer staples sector may also be negatively impacted by government regulations affecting their products. For example, government regulations may affect the permissibility of using various food additives and production methods of companies that make food products, which could affect company profitability. Tobacco companies, in particular, may be adversely affected by new laws, regulations and litigation. Companies in the consumer staples sector may also be subject to risks relating to the supply of, demand for, and prices of raw materials. The prices of raw materials fluctuate in response to a number of factors, including, changes in exchange rates, import and export controls, changes in international agricultural and trading policies, and seasonal and weather conditions, among others. In addition, the success of food, beverage, household and personal product companies, in particular, may be strongly affected by unpredictable factors, such as, demographics, consumer spending, and product trends.

**Energy.** Companies in the energy sector may be affected by energy prices, supply and demand fluctuations including in energy fuels, energy conservation, liabilities arising from government or civil actions, environmental and other government regulations, and geopolitical events including political instability and war. The market value of companies in the local energy sector is heavily impacted by the levels and stability of global energy prices, energy conservation efforts, the success of exploration projects, exchange rates, interest rates, economic conditions, tax and other government regulations, increased competition and technological advances, as well as other factors. Companies in this sector may be subject to extensive government regulation and contractual fixed pricing, which may increase the cost of doing business and limit these companies' profits. A large part of the returns of these companies depends on few customers, including governmental entities and utilities. As a result, governmental budget constraints may have a significant negative effect on the stock prices of energy sector companies. Energy companies may also operate in, or engage in, transactions involving countries with less developed regulatory regimes or a history of expropriation, nationalization or other adverse policies. As a result, securities of companies in the energy field are subject to quick price and supply fluctuations caused by events relating to international politics. Other risks include liability from accidents resulting in injury or loss of life or property, pollution or other environmental problems, equipment malfunctions or mishandling of materials and a risk of loss from terrorism, political strife and natural disasters. Energy companies can also be heavily affected by the supply of, and demand for, their specific product or service and for energy products in general, and government subsidization. Energy companies may have high levels of debt and may be more likely to restructure their businesses if there are downturns in energy markets or the economy as a whole.

Global oil prices declined significantly at the beginning of 2020 and have experienced significant price volatility, including a period where an oil-price futures contract fell into negative territory for the first time in history, as demand for oil slowed and oil storage facilities had reached their storage capacities. The impact on such commodities markets from varying levels of demand may continue to be volatile for an extended period of time.

**Financial Services.** To the extent that a fund invests principally in securities of financial services companies, it is particularly vulnerable to events affecting that industry. Financial services companies may include, but are not limited to, commercial and industrial banks, savings and loan associations and their holding companies, consumer and industrial finance companies, diversified financial services companies, investment banking, securities brokerage and investment advisory companies, leasing companies and insurance companies. The types of companies that compose the financial services sector may change over time. These companies are all subject to extensive regulation, rapid business changes, volatile performance dependent upon the availability and cost of capital, prevailing interest rates and significant competition. General economic conditions significantly affect these companies. Credit and other losses resulting from the financial difficulty of borrowers or other third parties have a potentially adverse effect on companies in this sector. Investment banking, securities brokerage and investment advisory companies are particularly subject to government regulation and the risks inherent in securities trading and underwriting activities. In addition, all financial services companies face shrinking profit margins due to new competitors, the cost of new technology, and the pressure to compete globally.

*Banking*. Commercial banks (including "money center" regional and community banks), savings and loan associations and holding companies of the foregoing are especially subject to adverse effects of volatile interest rates, concentrations of loans in particular industries (such as real estate or energy) and significant competition. The profitability of these businesses is to a significant degree dependent upon the availability and cost of capital funds. Economic conditions in the real estate market may have a particularly strong effect on certain banks and savings associations. Commercial banks and savings associations are subject to extensive federal and, in many instances, state regulation. Neither such extensive regulation nor the federal insurance of deposits ensures the solvency or profitability of companies in this industry, and there is no assurance against losses in securities issued by such companies. Late in the first quarter of 2023, a number of U.S. domestic banks and foreign banks experienced financial difficulties and, in some cases, failures. Given the interconnectedness of the banking system, bank regulators took actions, including the Federal Reserve, which invoked the systemic risk exception, temporarily transferred all deposits-both insured and uninsured-and substantially all the assets of two failed banks into respective bridge banks and guaranteed depositors' full access to their funds. Despite such response, there can be no certainty that the actions taken by banking regulators to limit the effect of those difficulties and failures on other banks or other financial institutions or on the U.S. or foreign economies generally will be effective. It is possible that more banks or other financial institutions will experience financial difficulties or fail, or other adverse developments may occur, which may affect adversely other U.S. or foreign financial institutions and economies.

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*Insurance*. Insurance companies are particularly subject to government regulation and rate setting, potential anti-trust and tax law changes, and industry-wide pricing and competition cycles. Property and casualty insurance companies also may be affected by weather and other catastrophes. Life and health insurance companies may be affected by mortality and morbidity rates, including the effects of epidemics. Individual insurance companies may be exposed to reserve inadequacies, problems in investment portfolios (for example, due to real estate or "junk" bond holdings) and failures of reinsurance carriers.

**Health Sciences.** Companies in this sector are subject to the additional risks of increased competition within the health care industry, changes in legislation or government regulations, reductions in government funding, product liability or other litigation and the obsolescence of popular products. The prices of the securities of health sciences companies may fluctuate widely due to government regulation and approval of their products and services, which may have a significant effect on their price and availability. In addition, the types of products or services produced or provided by these companies may quickly become obsolete. Moreover, liability for products that are later alleged to be harmful or unsafe may be substantial and may have a significant impact on a company's market value or share price.

**Industrials.** Companies in the industrials sector may be affected by general economic conditions, commodity production and pricing, supply and demand fluctuations, environmental and other government regulations, geopolitical events, interest rates, insurance costs, technological developments, liabilities arising from governmental or civil actions, labor relations, import controls and government spending. The value of securities issued by companies in the industrials sector may also be adversely affected by supply and demand related to their specific products or services and industrials sector products in general, as well as liability for environmental damage and product liability claims and government regulations. For example, the products of manufacturing companies may face obsolescence due to rapid technological developments and frequent new product introduction. Certain companies within this sector, particularly aerospace and defense companies, may be heavily affected by government spending policies because companies involved in this industry rely, to a significant extent, on government demand for their products and services, and, therefore, the financial condition of, and investor interest in, these companies are significantly influenced by governmental defense spending policies, which are typically under pressure from efforts to control the U.S. (and other) government budgets. In addition, securities of industrials companies in transportation may be cyclical and have occasional sharp price movements which may result from economic changes, fuel prices, labor relations and insurance costs, and transportation companies in certain countries may also be subject to significant government regulation and oversight, which may adversely affect their businesses.

**Internet-Related Investments.** The value of companies engaged in Internet-related activities, which is a developing industry, is particularly vulnerable to: (a) rapidly changing technology; (b) extensive government regulation; and (c) relatively high risk of obsolescence caused by scientific and technological advances. In addition, companies engaged in Internet-related activities are difficult to value and many have high share prices relative to their earnings which they may not be able to maintain over the long-term. Moreover, many Internet companies are not yet profitable and will need additional financing to continue their operations. There is no guarantee that such financing will be available when needed. Since many Internet companies are start-up companies, the risks associated with investing in small companies are heightened for these companies. A fund that invests a significant portion of its assets in Internet-related companies should be considered extremely risky even as compared to other funds that invest primarily in small company securities.

**Materials.** Companies in the materials sector may be affected by general economic conditions, commodity production and prices, consumer preferences, interest rates, exchange rates, product cycles, marketing, competition, resource depletion, and environmental, import/export and other government regulations. Other risks may include liabilities for environmental damage and general civil liabilities, and mandated expenditures for safety and pollution control. The materials sector may also be affected by economic cycles, technological progress, and labor relations. At times, worldwide production of industrial materials has been greater than demand as a result of over-building or economic downturns, leading to poor investment returns or losses. These risks are heightened for companies in the materials sector located in foreign markets.

**Natural Resources.** A fund's investments in natural resources companies are especially affected by variations in the commodities markets (which may be due to market events, regulatory developments or other factors that such fund cannot control) and such companies may lack the resources and the broad business lines to weather hard times. Natural resources companies can be significantly affected by events relating to domestic or international political and economic developments, energy conservation efforts, the success of exploration projects, reduced availability of transporting, processing, storing or delivering natural resources, extreme weather or other natural disasters, and threats of attack by terrorists on energy assets. Additionally, natural resource companies are subject to substantial government regulation, including environmental regulation and liability for environmental damage, and changes in the regulatory environment for energy companies may adversely impact their profitability. At times, the performance of these investments may lag the performance of other sectors or the market as a whole.

Investments in certain commodity-linked instruments, such as crude oil and crude oil products, can be susceptible to negative prices due to a surplus in production caused by global events, including restrictions or reductions in global travel. Exposure to such commodity-linked instruments may adversely affect an issuer's returns or the performance of the fund.

Global oil prices are susceptible to and have experienced significant volatility, including a period where an oil-price futures contract fell into negative territory for the first time in history in early 2020 as demand for oil slowed and oil storage facilities reached their storage capacities. The impact on the natural resources sector from varying levels of demand may continue to be volatile for an extended period of time.

**Technology.** Technology companies rely heavily on technological advances and face intense competition, both domestically and internationally, which may have an adverse effect on profit margins. Shortening of product cycle and manufacturing capacity increases may subject technology companies to aggressive pricing. Technology companies may have limited product lines, markets, financial resources or personnel. The products of

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technology companies may face product obsolescence due to rapid technological developments and frequent new product introduction, unpredictable changes in growth rates and competition for the services of qualified personnel. Technology companies may not successfully introduce new products, develop and maintain a loyal customer base or achieve general market acceptance for their products.

Stocks of technology companies, especially those of smaller, less-seasoned companies, tend to be more volatile than the overall market. Companies in the technology sector are also heavily dependent on patent and intellectual property rights, the loss or impairment of which may adversely affect the profitability of these companies. Technology companies engaged in manufacturing, such as semiconductor companies, often operate internationally which could expose them to risks associated with instability and changes in economic and political conditions, foreign currency fluctuations, changes in foreign regulations, competition from subsidized foreign competitors with lower production costs and other risks inherent to international business.

**Utilities.** Companies in the utilities sector may be affected by general economic conditions, supply and demand, financing and operating costs, rate caps, interest rates, liabilities arising from governmental or civil actions, consumer confidence and spending, competition, technological progress, energy prices, resource conservation and depletion, man-made or natural disasters, geopolitical events, and environmental and other government regulations. The value of securities issued by companies in the utilities sector may be negatively impacted by variations in exchange rates, domestic and international competition, energy conservation and governmental limitations on rates charged to customers. Although rate changes of a regulated utility usually vary in approximate correlation with financing costs, due to political and regulatory factors rate changes usually happen only after a delay after the changes in financing costs. Deregulation may subject utility companies to increased competition and can negatively affect their profitability as it permits utility companies to diversify outside of their original geographic regions and customary lines of business, causing them to engage in more uncertain ventures. Deregulation can also eliminate restrictions on the profits of certain utility companies, but can simultaneously expose these companies to an increased risk of loss. Although opportunities may permit certain utility companies to earn more than their traditional regulated rates of return, companies in the utilities industry may have difficulty obtaining an adequate return on invested capital, raising capital, or financing large construction projects during periods of inflation or unsettled capital markets. Utility companies may also be subject to increased costs because of the effects of man-made or natural disasters. Current and future regulations or legislation can make it more difficult for utility companies to operate profitably. Government regulators monitor and control utility revenues and costs, and thus may restrict utility profits. There is no assurance that regulatory authorities will grant rate increases in the future, or that those increases will be adequate to permit the payment of dividends on stocks issued by a utility company. Because utility companies are faced with the same obstacles, issues and regulatory burdens, their securities may react similarly and more in unison to these or other market conditions.

**Initial Public Offerings ("IPOs")**

IPOs may have a magnified impact on the performance of a fund with a small asset base. The impact of IPOs on a fund's performance likely will decrease as the fund's asset size increases, which could reduce the fund's returns. IPOs may not be consistently available to a fund for investment, particularly as the fund's asset base grows. IPO shares frequently are volatile in price due to the absence of a prior public market, the small number of shares available for trading and limited information about the issuer. Therefore, a fund may hold IPO shares for a very short period of time. This may increase the turnover of a fund and may lead to increased expenses for a fund, such as commissions and transaction costs. In addition, IPO shares can experience an immediate drop in value if the demand for the securities does not continue to support the offering price.

**Investment Companies**

The funds may invest in shares of other investment companies, including both open- and closed-end investment companies (including single country funds, ETFs, and BDCs). When making such an investment, a fund will be indirectly exposed to all the risks of such investment companies. In general, the investing funds will bear a pro rata portion of the other investment company's fees and expenses, which will reduce the total return in the investing funds. Certain types of investment companies, such as closed-end investment companies, issue a fixed number of shares that trade on a stock exchange and may involve the payment of substantial premiums above the value of such investment companies' portfolio securities when traded OTC or at discounts to their NAVs. Others are continuously offered at NAV, but also may be traded in the secondary market.

In addition, the funds may invest in private investment funds, vehicles, or structures. A fund also may invest in debt-equity conversion funds, which are funds established to exchange foreign bank debt of countries whose principal repayments are in arrears into a portfolio of listed and unlisted equities, subject to certain repatriation restrictions.

*Exchange-Traded Funds.* A fund may invest in ETFs, which are a type of security 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 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.

*Business Development Companies.* A BDC is a less-common type of closed-end investment company that more closely resembles an operating company than a typical investment company. BDCs typically invest in and lend to small- and medium-sized private and certain public companies that may not have access to public equity markets to raise capital. BDCs invest in such diverse industries as health care, chemical and manufacturing,

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technology and service companies. BDCs generally invest in less mature private companies, which involve greater risk than well-established, publicly traded companies. BDCs are unique in that at least 70% of their investments must be made in private and certain public U.S. businesses, and BDCs are required to make available significant managerial assistance to their portfolio companies. Generally, little public information exists for private and thinly traded companies, and there is a risk that investors may not be able to make a fully informed investment decision. With investments in debt instruments issued by such portfolio companies, there is a risk that the issuer may default on its payments or declare bankruptcy.

**Investment Grade Fixed-Income Securities in the Lowest Rating Category**

Investment grade fixed-income securities in the lowest rating category (i.e., rated "Baa" by Moody's and "BBB" by S&P or Fitch, and comparable unrated securities) involve a higher degree of risk than fixed-income securities in the higher rating categories. While such securities are considered investment grade quality and are deemed to have adequate capacity for payment of principal and interest, such securities lack outstanding investment characteristics and have speculative characteristics as well. For example, changes in economic conditions or other circumstances are more likely to lead to a weakened capacity to make principal and interest payments than is the case with higher grade securities.

**Investments in the Subsidiary**

The Subsidiary is organized under the laws of the Cayman Islands, and is overseen by three Directors affiliated with the Advisor. The Parent fund is the sole shareholder of its Subsidiary, and it is not currently expected that shares of the Subsidiary will be sold or offered to other investors. The Subsidiary expects to invest primarily in commodity-linked derivative instruments, including swap agreements, commodity options, futures and options on futures, backed by a portfolio of inflation-indexed securities and other fixed-income securities and is also permitted to invest in any other investments permitted by its Parent fund. To the extent that the fund invests in its Subsidiary, the fund will be subject to the risks associated with those derivative instruments and other securities, which are discussed elsewhere in the Prospectus and this SAI.

While the Subsidiary may be operated similarly to its Parent fund, it is not registered under the 1940 Act and, unless otherwise noted in the Prospectus and this SAI, is not subject to the investor protections of the 1940 Act and other U.S. regulations. Changes in the laws of the U.S. and/or the Cayman Islands could result in the inability of the fund and/or its Subsidiary to operate as described in the Prospectus and this SAI and could negatively affect the Parent fund and its shareholders.

**Lower Rated Fixed-Income Securities**

Lower rated fixed-income securities are defined as securities rated below-investment grade (e.g., rated "Ba" and below by Moody's, or "BB" and below by S&P or Fitch). The principal risks of investing in these securities are as follows:

**Risk to Principal and Income.** Investing in lower rated fixed-income securities is considered speculative. While these securities generally provide greater income potential than investments in higher rated securities, there is a greater risk that principal and interest payments will not be made. Issuers of these securities may even go into default or become bankrupt.

**Price Volatility.** The price of lower rated fixed-income securities may be more volatile than securities in the higher rating categories. This volatility may increase during periods of economic uncertainty or change. The price of these securities is affected more than higher rated fixed-income securities by the market's perception of their credit quality especially during times of adverse publicity. In the past, economic downturns or an increase in interest rates have, at times, caused more defaults by issuers of these securities and may do so in the future. Economic downturns and increases in interest rates have an even greater effect on highly leveraged issuers of these securities.

**Liquidity.** The market for lower rated fixed-income securities may have more limited trading than the market for investment grade fixed-income securities. Therefore, it may be more difficult to sell these securities and these securities may have to be sold at prices below their market value in order to meet redemption requests or to respond to changes in market conditions.

**Dependence on Subadvisor's Own Credit Analysis.** While a subadvisor to a fund may rely on ratings by established credit rating agencies, it also will supplement such ratings with its own independent review of the credit quality of the issuer. Therefore, the assessment of the credit risk of lower rated fixed-income securities is more dependent on a subadvisor's evaluation than the assessment of the credit risk of higher rated securities.

**Additional Risks Regarding Lower Rated Corporate Fixed-Income Securities.** Lower rated corporate debt securities (and comparable unrated securities) tend to be more sensitive to individual corporate developments and changes in economic conditions than higher-rated corporate fixed-income securities.

Issuers of lower rated corporate debt securities also may be highly leveraged, increasing the risk that principal and income will not be repaid.

**Additional Risks Regarding Lower Rated Foreign Government Fixed-Income Securities.** Lower rated foreign government fixed-income securities are subject to the risks of investing in emerging market countries described under "Risk Factors—Foreign Securities." In addition, the ability and willingness of a foreign government to make payments on debt when due may be affected by the prevailing economic and political conditions within the country. Emerging market countries may experience high inflation, interest rates and unemployment as well as exchange rate fluctuations that adversely affect trade and political uncertainty or instability. These factors increase the risk that a foreign government will not make payments when due.

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**Market Events**

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 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 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 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 a fund.

Political turmoil within the United States and abroad may also impact a 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 significantly impair the value of a 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. The imposition by the U.S. of import tariffs on goods from foreign countries and reciprocal tariffs levied on U.S. goods may lead to price volatility and instability in U.S. and global investment markets. Among other effects, tariffs may increase the cost of production for certain goods or reduce demand for products, which could affect the performance of the fund's investments. It is not known whether, or to what extent, any tariff or other trade protections may affect the fund or its investments.

Uncertainties surrounding the sovereign debt of a number of 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, as the UK did in January of 2020 (commonly referred to as "Brexit"), or the EU dissolves, the global securities markets likely will be significantly disrupted.

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 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. 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

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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.

**Master Limited Partnership (MLP) Risk**

Investing in MLPs involves certain risks related to investing in the underlying assets of MLPs and risks associated with pooled investment vehicles. MLPs holding credit-related investments are subject to interest-rate risk and the risk of default on payment obligations by debt securities. In addition, investments in the debt and securities of MLPs involve certain other risks, including risks related to limited control and limited rights to vote on matters affecting MLPs, risks related to potential conflicts of interest between an MLP and the MLP's general partner, cash flow risks, dilution risks and risks related to the general partner's right to require unit-holders to sell their common units at an undesirable time or price. A fund's investments in MLPs may be subject to legal and other restrictions on resale or may be less liquid than publicly traded securities. Certain MLP securities may trade in lower volumes due to their smaller capitalizations, and may be subject to more abrupt or erratic price movements and may lack sufficient market liquidity to enable the fund to effect sales at an advantageous time or without a substantial drop in price. If a fund is one of the largest investors in an MLP, it may be more difficult for the fund to buy and sell significant amounts of such investments without an unfavorable impact on prevailing market prices. Larger purchases or sales of MLP investments by a fund in a short period of time may cause abnormal movements in the market price of these investments. As a result, these investments may be difficult to dispose of at an advantageous price when a fund desires to do so. During periods of interest rate volatility, these investments may not provide attractive returns, which may adversely impact the overall performance of a fund.

MLPs in which a fund may invest operate oil, natural gas, petroleum, or other facilities within the energy sector. As a result, a fund will be susceptible to adverse economic, environmental, or regulatory occurrences impacting the energy sector. MLPs and other companies operating in the energy sector are subject to specific risks, including, among others, fluctuations in commodity prices; reduced consumer demand for commodities such as oil, natural gas, or petroleum products; reduced availability of natural gas or other commodities for transporting, processing, storing, or delivering; slowdowns in new construction; extreme weather or other natural disasters; and threats of attack by terrorists on energy assets. Additionally, changes in the regulatory environment for energy companies may adversely impact their profitability. Over time, depletion of natural gas reserves and other energy reserves may also affect the profitability of energy companies.

Global oil prices declined significantly at the beginning of 2020 and have experienced significant price volatility, including a period where an oil-price futures contract fell into negative territory for the first time in history, as demand for oil slowed and oil storage facilities reached their storage capacities. Varying levels of demand and production and continued oil price volatility may continue to adversely impact MLPs and energy infrastructure companies.

To the extent a distribution received by a fund from an MLP is treated as a return of capital, the fund's adjusted tax basis in the interests of the MLP may be reduced, which will result in an increase in an amount of income or gain (or decrease in the amount of loss) that will be recognized by the fund for tax purposes upon the sale of any such interests or upon subsequent distributions in respect of such interests. After a fund's tax basis in an MLP has been reduced to zero, subsequent distributions from the MLP will be treated as ordinary income. Changes in the tax character of MLP distributions, as well as late or corrected tax reporting by MLPs, may result in a fund issuing corrected 1099s to its shareholders.

**Mortgage-Backed and Asset-Backed Securities**

**Mortgage-Backed Securities.** Mortgage-backed securities represent participating interests in pools of residential mortgage loans that are guaranteed by the U.S. government, its agencies or instrumentalities. However, the guarantee of these types of securities relates to the principal and interest payments and not the market value of such securities. In addition, the guarantee only relates to the mortgage-backed securities held by a fund and not the purchase of shares of the fund.

Mortgage-backed securities are issued by lenders such as mortgage bankers, commercial banks, and savings and loan associations. Such securities differ from conventional debt securities, which provide for the periodic payment of interest in fixed amounts (usually semiannually) with principal payments at maturity or on specified dates. Mortgage-backed securities provide periodic payments that are, in effect, a "pass-through" of the interest and principal payments (including any prepayments) made by the individual borrowers on the pooled mortgage loans. A mortgage-backed security will

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mature when all the mortgages in the pool mature or are prepaid. Therefore, mortgage-backed securities do not have a fixed maturity, and their expected maturities may vary when interest rates rise or fall.

When interest rates fall, homeowners are more likely to prepay their mortgage loans. An increased rate of prepayments on a fund's mortgage-backed securities will result in an unforeseen loss of interest income to the fund as the fund may be required to reinvest assets at a lower interest rate. Because prepayments increase when interest rates fall, the prices of mortgage-backed securities do not increase as much as other fixed-income securities when interest rates fall.

When interest rates rise, homeowners are less likely to prepay their mortgage loans. A decreased rate of prepayments lengthens the expected maturity of a mortgage-backed security. Therefore, the prices of mortgage-backed securities may decrease more than prices of other fixed-income securities when interest rates rise.

The yield of mortgage-backed securities is based on the average life of the underlying pool of mortgage loans. The actual life of any particular pool may be shortened by unscheduled or early payments of principal and interest. Principal prepayments may result from the sale of the underlying property or the refinancing or foreclosure of underlying mortgages. The occurrence of prepayments is affected by a wide range of economic, demographic and social factors and, accordingly, it is not possible to accurately predict the average life of a particular pool. The actual prepayment experience of a pool of mortgage loans may cause the yield realized by a fund to differ from the yield calculated on the basis of the average life of the pool. In addition, if a fund purchases mortgage-backed securities at a premium, the premium may be lost in the event of early prepayment, which may result in a loss to the fund.

Prepayments tend to increase during periods of falling interest rates and decline during periods of rising interest rates. Monthly interest payments received by a fund have a compounding effect, which will increase the yield to shareholders as compared to debt obligations that pay interest semiannually. Because of the reinvestment of prepayments of principal at current rates, mortgage-backed securities may be less effective than Treasury bonds of similar maturity at maintaining yields during periods of declining interest rates. Also, although the value of debt securities may increase as interest rates decline, the value of these pass-through type of securities may not increase as much due to their prepayment feature.

**Collateralized Mortgage Obligations.** CMOs are mortgage-backed securities issued in separate classes with different stated maturities. As the mortgage pool experiences prepayments, the pool pays off investors in classes with shorter maturities first. By investing in CMOs, a fund may manage the prepayment risk of mortgage-backed securities. However, prepayments may cause the actual maturity of a CMO to be substantially shorter than its stated maturity.

**Asset-Backed Securities.** Asset-backed securities include interests in pools of debt securities, commercial or consumer loans, or other receivables. The value of these securities depends on many factors, including changes in interest rates, the availability of information concerning the pool and its structure, the credit quality of the underlying assets, the market's perception of the servicer of the pool, and any credit enhancement provided. In addition, asset-backed securities have prepayment risks similar to mortgage-backed securities.

**Multinational Companies Risk**

To the extent that a fund invests in the securities of companies with foreign business operations, it may be riskier than funds that focus on companies with primarily U.S. operations. Multinational companies may face certain political and economic risks, such as foreign controls over currency exchange; restrictions on monetary repatriation; possible seizure, nationalization or expropriation of assets; and political, economic or social instability. These risks are greater for companies with significant operations in developing countries.

**Natural Disasters, Adverse Weather Conditions, and Climate Change**

Certain areas of the world may be exposed to adverse weather conditions, such as major natural disasters and other extreme weather events, including hurricanes, earthquakes, typhoons, floods, tidal waves, tsunamis, volcanic eruptions, wildfires, droughts, windstorms, coastal storm surges, heat waves, and rising sea levels, among others. Some countries and regions may not have the infrastructure or resources to respond to natural disasters, making them more economically sensitive to environmental events. Such disasters, and the resulting damage, could have a severe and negative impact on a fund's investment portfolio and, in the longer term, could impair the ability of issuers in which a fund invests to conduct their businesses in the manner normally conducted. Adverse weather conditions also may have a particularly significant negative effect on issuers in the agricultural sector and on insurance companies that insure against the impact of natural disasters.

Climate change, which is the result of a change in global or regional climate patterns, may increase the frequency and intensity of such adverse weather conditions, resulting in increased economic impact, and may pose long-term risks to a fund's investments. The future impact of climate change is difficult to predict but may include changes in demand for certain goods and services, supply chain disruption, changes in production costs, increased legislation, regulation, international accords and compliance-related costs, changes in property and security values, availability of natural resources and displacement of peoples.

Legal, technological, political and scientific developments regarding climate change may create new opportunities or risks for issuers in which a fund invests. These developments may create demand for new products or services, including, but not limited to, increased demand for goods that result in lower emissions, increased demand for generation and transmission of energy from alternative energy sources and increased competition to develop innovative new products and technologies. These developments may also decrease demand for existing products or services, including, but not limited to, decreased demand for goods that produce significant greenhouse gas emissions and decreased demand for services related to carbon based energy sources, such as drilling services or equipment maintenance services.

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**Negative Interest Rates**

Certain countries have recently experienced negative interest rates on deposits and debt instruments have traded at negative yields. A negative interest rate policy is an unconventional central bank monetary policy tool where nominal target interest rates are set with a negative value (i.e., below zero percent) intended to help create self-sustaining growth in the local economy. Negative interest rates may become more prevalent among non-U.S. issuers, and potentially within the U.S. For example, if a bank charges negative interest, instead of receiving interest on deposits, a depositor must pay the bank fees to keep money with the bank.

These market conditions may increase a fund's exposures to interest rate risk. To the extent a fund has a bank deposit or holds a debt instrument with a negative interest rate to maturity, the fund would generate a negative return on that investment. While negative yields can be expected to reduce demand for fixed-income investments trading at a negative interest rate, investors may be willing to continue to purchase such investments for a number of reasons including, but not limited to, price insensitivity, arbitrage opportunities across fixed-income markets or rules-based investment strategies. If negative interest rates become more prevalent in the market, it is expected that investors will seek to reallocate assets to other income-producing assets such as investment grade and high-yield debt instruments, or equity investments that pay a dividend. This increased demand for higher yielding assets may cause the price of such instruments to rise while triggering a corresponding decrease in yield and the value of debt instruments over time.

**Non-Diversification**

A fund that is non-diversified is not limited as to the percentage of its assets that may be invested in any one issuer, or as to the percentage of the outstanding voting securities of such issuer that may be owned, except by the fund's own investment restrictions. In contrast, a diversified fund, as to at least 75% of the value of its total assets, generally may not, except with respect to government securities and securities of other investment companies, invest more than five percent of its total assets in the securities, or own more than ten percent of the outstanding voting securities, of any one issuer. In determining the issuer of a municipal security, each state, each political subdivision, agency, and instrumentality of each state and each multi-state agency of which such state is a member is considered a separate issuer. In the event that securities are backed only by assets and revenues of a particular instrumentality, facility or subdivision, such entity is considered the issuer.

A fund that is non-diversified may invest a high percentage of its assets in the securities of a small number of issuers, may invest more of its assets in the securities of a single issuer, and may be affected more than a diversified fund by a change in the financial condition of any of these issuers or by the financial markets' assessment of any of these issuers.

**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, a fund's service providers are susceptible to operational and information or cybersecurity risks that could result in losses to the fund and its shareholders. Cybersecurity breaches are either intentional or unintentional events that allow an unauthorized party to gain access to fund assets, customer data, or proprietary information, or cause a fund or fund service provider to suffer data corruption or lose operational functionality. Intentional cybersecurity incidents 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. Cyberattacks 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.

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, any of which could have a substantial impact on a fund. For example, in a denial of service, fund shareholders could lose access to their electronic accounts indefinitely, and employees of the Advisor, each subadvisor, or the funds' other service providers may not be able to access electronic systems to perform critical duties for the funds, such as trading, NAV calculation, shareholder accounting, or fulfillment of fund share purchases and redemptions. Cybersecurity incidents could cause a fund, the Advisor, each subadvisor, or other service provider to incur regulatory penalties, reputational damage, compliance costs associated with corrective measures, litigation costs, or financial loss. They may also result in violations of applicable privacy and other laws. In addition, such incidents could affect issuers in which a fund invests, thereby causing the fund's investments to lose value.

Cyber-events have the potential to affect materially the funds and the advisor's relationships with accounts, shareholders, clients, customers, employees, products, and service providers. The funds have established risk management systems reasonably designed to seek to reduce the risks associated with cyber-events. There is no guarantee that the funds will be able to prevent or mitigate the impact of any or all cyber-events.

The funds are exposed to operational risk arising from a number of factors, including, but not limited to, human error, processing and communication errors, errors of the funds' service providers, counterparties, or other third parties, failed or inadequate processes, and technology or system failures.

The Advisor, each subadvisor, and their affiliates have established risk management systems that seek to reduce cybersecurity and operational risks, and business continuity plans in the event of a cybersecurity breach or operational failure. However, there are inherent limitations in such plans, including that certain risks have not been identified, and there is no guarantee that such efforts will succeed, especially since none of the Advisor, each

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subadvisor, or their affiliates controls the cybersecurity or operations systems of the funds' third-party service providers (including the funds' custodian), or those of the issuers of securities in which the funds invest.

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**

Preferred stock generally has a preference as to dividends and liquidation over an issuer's common stock but ranks junior to debt securities in an issuer's capital structure. Unlike interest payments on debt securities, preferred stock dividends are payable only if declared by the issuer's board of directors. 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.

**Privately Held and Newly Public Companies**

Investments in the stocks of privately held companies and newly public companies involve greater risks than investments in stocks of companies that have traded publicly on an exchange for extended time periods. Investments in such companies are less liquid and may be difficult to value. There may be significantly less information available about these companies' business models, quality of management, earnings growth potential, and other criteria used to evaluate their investment prospects. The extent (if at all) to which securities of privately held companies or newly public companies may be sold without negatively impacting its market value may be impaired by reduced market activity or participation, legal restrictions, or other economic and market impediments. Funds that invest in securities of privately held companies tend to have a greater exposure to liquidity risk than funds that do not invest in securities of privately held companies.

**Rebalancing Risks Involving Funds of Funds**

The funds of funds seek to achieve their investment objectives by investing in, among other things, other John Hancock funds, as permitted by Section 12 of the 1940 Act (affiliated underlying funds). In addition, a fund that is not a fund of funds may serve as an affiliated underlying fund for one or more funds of funds. The funds of funds will reallocate or rebalance assets among the affiliated underlying funds (collectively, "Rebalancings") on a daily basis. The following discussion provides information on the risks related to Rebalancings, which risks are applicable to the affiliated underlying funds undergoing Rebalancings, as well as to those funds of funds that hold affiliated underlying funds undergoing Rebalancings.

From time to time, one or more of the affiliated underlying funds may experience relatively large redemptions or investments due to Rebalancings, as effected by the funds of funds' Affiliated Subadvisor. Shareholders should note that Rebalancings may adversely affect the affiliated underlying funds. The affiliated underlying funds subject to redemptions by a fund of funds may find it necessary to sell securities, and the affiliated underlying funds that receive additional cash from a fund of funds will find it necessary to invest the cash. The impact of Rebalancings is likely to be greater when a fund of funds owns, redeems, or invests in, a substantial portion of an affiliated underlying fund. Rebalancings could adversely affect the performance of one or more affiliated underlying funds and, therefore, the performance of one or more funds of funds.

Possible adverse effects of Rebalancings on the affiliated underlying funds include:

**1**

The affiliated underlying funds could be required to sell securities or to invest cash, at times when they may not otherwise desire to do so.

**2**

Rebalancings may increase brokerage and/or other transaction costs of the affiliated underlying funds.

**3**

When a fund of funds owns a substantial portion of an affiliated underlying fund, a large redemption by the fund of funds could cause that affiliated underlying fund's expenses to increase and could result in its portfolio becoming too small to be economically viable.

**4**

Rebalancings could accelerate the realization of taxable capital gains in affiliated underlying funds subject to large redemptions if sales of securities results in capital gains.

The Advisor, which serves as the investment advisor to both the funds of funds and the affiliated underlying funds, has delegated the day-to-day portfolio management of the funds of funds and many of the affiliated underlying funds to the Affiliated Subadvisors, affiliates of the Advisor. The Advisor monitors both the funds and the affiliated underlying funds. The Affiliated Subadvisors manage the assets of both the funds and many of the affiliated underlying funds (the "Affiliated Subadvised Funds"). The Affiliated Subadvisors may allocate up to all of a funds of funds' assets to Affiliated Subadvised Funds and accordingly have an incentive to allocate more fund of funds assets to such Affiliated Subadvised Funds. The Advisor and the Affiliated Subadvisors monitor the impact of Rebalancings on the affiliated underlying funds and attempt to minimize any adverse effect of the Rebalancings on the underlying funds, consistent with pursuing the investment objective of the relevant affiliated underlying funds. Moreover, an Affiliated Subadvisor has a duty to allocate assets to an Affiliated Subadvised Fund only when such Subadvisor believes it is in the best interests of fund of funds shareholders. Minimizing any adverse effect of the Rebalancings on the underlying funds may impact the redemption schedule in connection with a Rebalancing. As part of its oversight of the funds and the subadvisors, the Advisor will monitor to ensure that allocations are conducted in accordance with these principles. This conflict of interest is also considered by the Independent Trustees when approving or replacing affiliated subadvisors and in periodically reviewing allocations to Affiliated Subadvised Funds.

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As discussed above, the funds of funds periodically reallocate their investments among underlying investments. In an effort to be fully invested at all times and also to avoid temporary periods of under-investment, an affiliated underlying fund may buy securities and other instruments in anticipation of or with knowledge of future purchases of affiliated underlying fund shares resulting from a reallocation of assets by the funds of funds to the affiliated underlying fund. Until such purchases of affiliated underlying fund shares by a fund of funds settle (normally between one and three days), the affiliated underlying fund may have investment exposure in excess of its net assets. Shareholders who transact with the affiliated underlying fund during the period beginning when the affiliated underlying fund first starts buying securities in anticipation of a purchase order from a fund until such purchase order settles may incur more loss or realize more gain than they otherwise might have in the absence of the excess investment exposure. The funds of funds may purchase and redeem shares of underlying funds each business day through the use of an algorithm that operates pursuant to standing instructions to allocate purchase and redemption orders among underlying funds. Each day, pursuant to the algorithm, a fund of funds will purchase or redeem shares of an underlying fund at the NAV for the underlying fund calculated that day. This algorithm is used solely for rebalancing a fund of funds' investments in an effort to maintain previously determined allocation percentages.

**Russian Securities Risk**

Throughout the past decade, the United States, the EU, and other nations have imposed a series of economic sanctions on the Russian Federation. In addition to imposing new import and export controls on Russia and blocking financial transactions with certain Russian elites, oligarchs, and political and national security leaders, the United States, the EU, and other nations have imposed sanctions on companies in certain sectors of the Russian economy, including the financial services, energy, metals and mining, engineering, technology, and defense and defense-related materials sectors. These sanctions could impair a fund's ability to continue to price, buy, sell, receive, or deliver securities of certain Russian issuers. For example, a fund may be prohibited from investing in securities issued by companies subject to such sanctions. A fund could determine at any time that certain of the most affected securities have little or no value.

The extent and duration of Russia's military actions and the global response to such actions are impossible to predict. More Russian companies could be sanctioned in the future, and the threat of additional sanctions could itself result in further declines in the value and liquidity of certain securities. Widespread divestment of interests in Russia or certain Russian businesses could result in additional declines in the value of Russian securities. Additionally, market disruptions could have a substantial negative impact on other economics and securities markets both regionally and globally, as well as global supply chains and inflation.

The Russian government may respond to these sanctions and others by freezing Russian assets held by a fund, thereby prohibiting the fund from selling or otherwise transacting in these investments. In such circumstances, a fund might be forced to liquidate non-restricted assets in order to satisfy shareholder redemptions. Such liquidation of fund assets might also result in a fund receiving substantially lower prices for its portfolio securities.

**Securities Linked to the Real Estate Market**

Investing in securities of companies in the real estate industry subjects a fund to the risks associated with the direct ownership of real estate. These risks include, but are not limited to:

● declines in the value of real estate;

● risks related to general and local economic conditions;

● possible lack of availability of mortgage portfolios;

● overbuilding;

● extended vacancies of properties;

● increased competition;

● increases in property taxes and operating expenses;

● change in zoning laws;

● losses due to costs resulting from the clean-up of environmental problems;

● liability to third parties for damages resulting from environmental problems;

● casualty or condemnation losses;

● limitations on rents;

● changes in neighborhood values and the appeal of properties to tenants; and

● changes in interest rates.

Therefore, if a fund invests a substantial amount of its assets in securities of companies in the real estate industry, the value of the fund's shares may change at different rates compared to the value of shares of a fund with investments in a mix of different industries.

Securities of companies in the real estate industry have been and may continue to be negatively affected by widespread health crises such as a global pandemic. Potential impacts on the real estate market may include lower occupancy rates, decreased lease payments, defaults and foreclosures, among other consequences. These impacts could adversely affect corporate borrowers and mortgage lenders, the value of mortgage-backed securities, the bonds of municipalities that depend on tax revenues and tourist dollars generated by such properties, and insurers of the property and/or of corporate, municipal or mortgage-backed securities. It is not known how long such impacts, or any future impacts of other significant events, will last.

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Securities of companies in the real estate industry include REITs, including equity REITs and mortgage REITs. Equity REITs may be affected by changes in the value of the underlying property owned by the trusts, while mortgage REITs may be affected by the quality of any credit extended. Further, equity and mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and mortgage REITs also are subject to heavy cash flow dependency, defaults by borrowers or lessees, and self-liquidations. In addition, equity, mortgage, and hybrid REITs could possibly fail to qualify for tax free pass-through of income under the Code, or to maintain their exemptions from registration under the 1940 Act. The above factors also may adversely affect a borrower's or a lessee's ability to meet its obligations to a REIT. In the event of a default by a borrower or lessee, a REIT may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments.

In addition, even the larger REITs in the industry tend to be small to medium-sized companies in relation to the equity markets as a whole. See "Small and Medium Size and Unseasoned Companies" for a discussion of the risks associated with investments in these companies.

**Small and Medium Size and Unseasoned Companies**

**Survival of Small or Unseasoned Companies.** Companies that are small or unseasoned (i.e., less than three years of operating history) are more likely than larger or established companies to fail or not to accomplish their goals. As a result, the value of their securities could decline significantly. These companies are less likely to survive since they are often dependent upon a small number of products and may have limited financial resources and a small management group.

**Changes in Earnings and Business Prospects.** Small or unseasoned companies often have a greater degree of change in earnings and business prospects than larger or established companies, resulting in more volatility in the price of their securities.

**Liquidity.** The securities of small or unseasoned companies may have limited marketability. This factor could cause the value of a fund's investments to decrease if it needs to sell such securities when there are few interested buyers.

**Impact of Buying or Selling Shares.** Small or unseasoned companies usually have fewer outstanding shares than larger or established companies. Therefore, it may be more difficult to buy or sell large amounts of these shares without unfavorably impacting the price of the security.

**Publicly Available Information.** There may be less publicly available information about small or unseasoned companies. Therefore, when making a decision to purchase a security for a fund, a subadvisor may not be aware of problems associated with the company issuing the security.

**Medium Size Companies.** Investments in the securities of medium sized companies present risks similar to those associated with small or unseasoned companies although to a lesser degree due to the larger size of the companies.

**Special Purpose Acquisition Companies**

A fund may invest in stock, warrants, and other securities of SPACs or similar special purpose entities that pool funds to seek potential acquisition opportunities. SPACs are collective investment structures that allow public stock market investors to invest in private equity type transactions ("PIPE"). Until an acquisition is completed, a SPAC generally invests its assets in US government securities, money market securities and cash. A fund may enter into a contingent commitment with a SPAC to purchase PIPE shares if and when the SPAC completes its merger or acquisition.

Because SPACs and similar entities do not have an operating history or ongoing business other than seeking acquisitions, the value of their securities is particularly dependent on the ability of the SPAC's management to identify and complete a profitable acquisition. Some SPACs may pursue acquisitions only within certain industries or regions, which may increase the volatility of their prices. An investment in a SPAC is subject to a variety of risks, including that (i) a significant portion of the monies raised by the SPAC for the purpose of identifying and effecting an acquisition or merger may be expended during the search for a target transaction; (ii) an attractive acquisition or merger target may not be identified at all and the SPAC will be required to return any remaining monies to shareholders; (iii) any proposed merger or acquisition may be unable to obtain the requisite approval, if any, of shareholders; (iv) an acquisition or merger once effected may prove unsuccessful and an investment in the SPAC may lose value; (v) the warrants or other rights with respect to the SPAC held by a fund may expire worthless or may be repurchased or retired by the SPAC at an unfavorable price; (vi) a fund may be delayed in receiving any redemption or liquidation proceeds from a SPAC to which it is entitled; (vii) an investment in a SPAC may be diluted by additional later offerings of interests in the SPAC or by other investors exercising existing rights to purchase shares of the SPAC; (viii) no or only a thinly traded market for shares of or interests in a SPAC may develop, leaving a fund unable to sell its interest in a SPAC or to sell its interest only at a price below what the fund believes is the SPAC interest's intrinsic value; and (ix) the values of investments in SPACs may be highly volatile and may depreciate significantly over time.

Purchased PIPE shares will be restricted from trading until the registration statement for the shares is declared effective. Upon registration, the shares can be freely sold; however, in certain circumstances, the issuer may have the right to temporarily suspend trading of the shares in the first year after the merger. The securities issued by a SPAC, which are typically traded either in the OTC market or on an exchange, may be considered illiquid, more difficult to value, and/or be subject to restrictions on resale.

**Stripped Securities**

Stripped securities are the separate income or principal components of a debt security. The risks associated with stripped securities are similar to those of other debt securities, although stripped securities may be more volatile, and the value of certain types of stripped securities may move in the same direction as interest rates. U.S. Treasury securities that have been stripped by a Federal Reserve Bank are obligations issued by the U.S. Treasury.

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**U.S. Government Securities**

U.S. government securities include 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 GNMA. Securities that are only supported by the credit of the issuing agency or instrumentality include those issued by Fannie Mae, the FHLBs and Freddie Mac.

**Regulation of Commodity Interests**

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The CFTC has adopted regulations that subject registered investment companies and/or their investment advisors to regulation by the CFTC if the registered investment company invests more than a prescribed level of its NAV in commodity futures, options on commodities or commodity futures, swaps, or other financial instruments regulated under the CEA ("commodity interests"), or if the registered investment company markets itself as providing investment exposure to such commodity interests. The Advisor is registered as a CPO under the CEA and is a National Futures Association member firm; however, the Advisor acts in the capacity of a registered CPO only with respect to Diversified Macro Fund.

Although the Advisor is a registered CPO and is a National Futures Association member firm, the Advisor has claimed an exemption from CPO registration pursuant to CFTC Rule 4.5 with respect to all of the funds other than Diversified Macro Fund (collectively, the "Exempt Funds"). To remain eligible for this exemption, each of the Exempt Funds must comply with certain limitations, including limits on trading in commodity interests, and restrictions on the manner in which an Exempt Fund markets its commodity interests trading activities. These limitations may restrict an Exempt Fund's ability to pursue its investment strategy, increase the costs of implementing its strategy, increase its expenses and/or adversely affect its total return.

Under CFTC rules, certain mandated disclosure, reporting and recordkeeping obligations will apply to the Advisor with respect to Diversified Macro Fund, but not the Exempt Funds. The Advisor is subject to dual regulation by the SEC and the CFTC with respect to the services it provides to Diversified Macro Fund. As a result of "harmonization" rule amendments adopted by the CFTC in 2013, the Advisor expects to comply with substantially all CFTC regulations applicable to the operation of Diversified Macro Fund through "substituted compliance" with SEC regulations, as provided in the "harmonization" amendments. Any changes to the CFTC's substituted compliance regime may restrict the ability of Diversified Macro Fund to pursue its investment strategy, increase the costs of implementing its strategy, increase its expenses and/or may adversely affect its total return.

Please see "Government Regulation of Derivatives" for more information regarding governmental regulations of derivatives and similar transactions.

**Hedging and Other Strategic Transactions**

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Hedging refers to protecting against possible changes in the market value of securities or other assets that a fund already owns or plans to buy or protecting unrealized gains in the fund. These strategies also may be used to gain exposure to a particular market. U.S. Global Leaders Growth Fund does not engage in hedging or other strategic transactions as described in this section, except that it may engage in currency transactions for certain non-speculative purposes. The hedging and other strategic transactions that may be used by a fund, but only if and to the extent that such transactions are consistent with its investment objective and policies, are described below:

● exchange-listed and OTC put and call options on securities, equity indices, volatility indices, financial futures contracts, currencies, fixed-income indices and other financial instruments;

● financial futures contracts (including stock index futures);

● interest rate transactions;\*

● currency transactions;\*\*

● warrants and rights (including non-standard warrants and participatory risks);

● swaps (including interest rate, index, dividend, inflation, variance, equity, and volatility swaps, credit default swaps, swap options and currency swaps); and

● structured notes, including hybrid or "index" securities.

**\***

A fund's interest rate transactions may take the form of swaps, caps, floors and collars.

**\*\***

A fund's currency transactions may take the form of currency forward contracts, currency futures contracts, currency swaps and options on currencies or currency futures contracts.

Hedging and other strategic transactions may be used for the following purposes:

● to attempt to protect against possible changes in the market value of securities held or to be purchased by a fund resulting from securities markets or currency exchange rate fluctuations;

● to protect a fund's unrealized gains in the value of its securities;

● to facilitate the sale of a fund's securities for investment purposes;

● to manage the effective maturity or duration of a fund's securities;

● to establish a position in the derivatives markets as a method of gaining exposure to a particular geographic region, market, industry, issuer, or security; or

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● to increase exposure to a foreign currency or to shift exposure to foreign currency fluctuations from one country to another.

To the extent that a fund uses hedging or another strategic transaction to gain, shift or manage exposure to a particular geographic region, market, industry, issuer, security, currency, or other asset, the fund will be exposed to the risks of investing in that asset as well as the risks inherent in the specific hedging or other strategic transaction used to gain such exposure.

For purposes of determining compliance with a fund's investment policies, strategies and restrictions, the fund will generally consider the market value of derivative instruments, unless the nature of the derivative instrument warrants the use of the instrument's notional value to more accurately reflect the economic exposure represented by the derivative position.

Because of the uncertainties under federal tax laws as to whether income from commodity-linked derivative instruments and certain other instruments would constitute "qualifying income" to a RIC, no fund is permitted to invest in such instruments unless a subadvisor obtains prior written approval from the Trusts' CCO. The CCO, as a member of the Advisor's Complex Securities Committee, evaluates with the committee the appropriateness of the investment.

**General Characteristics of Options**

Put options and call options typically have similar structural characteristics and operational mechanics regardless of the underlying instrument on which they are purchased or sold. Many hedging and other strategic transactions involving options are subject to the requirements outlined in the "Government Regulation of Derivatives" section.

**Put Options.** A put option gives the purchaser of the option, upon payment of a premium, the right to sell (and the writer the obligation to buy) the underlying security, commodity, index, currency or other instrument at the exercise price. A fund's purchase of a put option on a security, for example, might be designed to protect its holdings in the underlying instrument (or, in some cases, a similar instrument) against a substantial decline in the market value of such instrument by giving a fund the right to sell the instrument at the option exercise price.

If, and to the extent authorized to do so, a fund may, for various purposes, purchase and sell put options on securities (whether or not it holds the securities in its portfolio) and on securities indices, currencies and futures contracts. Disciplined Value International Fund will not sell put options if, as a result, more than 50% of the fund's assets would be required to be segregated to cover its potential obligations under put options other than those with respect to futures contracts.

**Risk of Selling Put Options.** In selling put options, a fund faces the risk that it may be required to buy the underlying security at a disadvantageous price above the market price.

**Call Options.** A call option, upon payment of a premium, gives the purchaser of the option the right to buy (and the seller the obligation to sell) the underlying instrument at the exercise price. A fund's purchase of a call option on an underlying instrument might be intended to protect a fund against an increase in the price of the underlying instrument that it intends to purchase in the future by fixing the price at which it may purchase the instrument. An "American" style put or call option may be exercised at any time during the option period, whereas a "European" style put or call option may be exercised only upon expiration or during a fixed period prior to expiration. If and to the extent authorized to do so, a fund may purchase and sell call options on securities (whether or not it holds the securities).

**Partial Hedge or Income to a Fund.** If a fund sells a call option, the premium that it receives may serve as a partial hedge, to the extent of the option premium, against a decrease in the value of the underlying securities or instruments held by a fund or will increase a fund's income. Similarly, the sale of put options also can provide fund gains.

**Covering of Options.** All call options sold by a fund are subject to the requirements outlined in the "Government Regulation of Derivatives" section.

**Risk of Selling Call Options.** Even though a fund will receive the option premium to help protect it against loss, a call option sold by a fund will expose it during the term of the option to possible loss of the opportunity to sell the underlying security or instrument with a gain.

**Exchange-listed Options.** Exchange-listed options are issued by a regulated intermediary such as the Options Clearing Corporation (the "OCC"), which guarantees the performance of the obligations of the parties to the options. The discussion below uses the OCC as an example, but also is applicable to other similar financial intermediaries.

OCC-issued and exchange-listed options, with certain exceptions, generally settle by physical delivery of the underlying security or currency, although in the future, cash settlement may become available. Index options and Eurodollar instruments (which are described below under "Eurodollar Instruments") are cash settled for the net amount, if any, by which the option is "in-the-money" at the time the option is exercised. "In-the-money" means the amount by which the value of the underlying instrument exceeds, in the case of a call option, or is less than, in the case of a put option, the exercise price of the option. Frequently, rather than taking or making delivery of the underlying instrument through the process of exercising the option, listed options are closed by entering into offsetting purchase or sale transactions that do not result in ownership of the new option.

A fund's ability to close out its position as a purchaser or seller of an OCC-issued or exchange-listed put or call option is dependent, in part, upon the liquidity of the particular option market. Among the possible reasons for the absence of a liquid option market on an exchange are:

● insufficient trading interest in certain options;

● restrictions on transactions imposed by an exchange;

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● trading halts, suspensions or other restrictions imposed with respect to particular classes or series of options or underlying securities, including reaching daily price limits;

● interruption of the normal operations of the OCC or an exchange;

● inadequacy of the facilities of an exchange or the OCC to handle current trading volume; or

● a decision by one or more exchanges to discontinue the trading of options (or a particular class or series of options), in which event the relevant market for that option on that exchange would cease to exist, although any such outstanding options on that exchange would continue to be exercisable in accordance with their terms.

The hours of trading for listed options may not coincide with the hours during which the underlying financial instruments are traded. To the extent that the option markets close before the markets for the underlying financial instruments, significant price and rate movements can take place in the underlying markets that would not be reflected in the corresponding option markets.

**OTC Options.** OTC options are purchased from or sold to counterparties such as securities dealers or financial institutions through direct bilateral agreement with the counterparty. In contrast to exchange-listed options, which generally have standardized terms and performance mechanics, all of the terms of an OTC option, including such terms as method of settlement, term, exercise price, premium, guaranties and security, are determined by negotiation of the parties. It is anticipated that a fund authorized to use OTC options generally will only enter into OTC options that have cash settlement provisions, although it will not be required to do so.

Unless the parties provide for it, no central clearing or guaranty function is involved in an OTC option. As a result, if a counterparty fails to make or take delivery of the security, currency or other instrument underlying an OTC option it has entered into with a fund or fails to make a cash settlement payment due in accordance with the terms of that option, the fund will lose any premium it paid for the option as well as any anticipated benefit of the transaction. Thus, a subadvisor must assess the creditworthiness of each such counterparty or any guarantor or credit enhancement of the counterparty's credit to determine the likelihood that the terms of the OTC option will be met. A fund will enter into OTC option transactions only with U.S. government securities dealers recognized by the Federal Reserve Bank of New York as "primary dealers," or broker dealers, domestic or foreign banks, or other financial institutions that are deemed creditworthy by a subadvisor. In the absence of a change in the current position of the SEC's staff, OTC options purchased by a fund and the amount of the fund's obligation pursuant to an OTC option sold by the fund (the cost of the sell-back plus the in-the-money amount, if any) will be deemed illiquid.

**Types of Options That May Be Purchased.** A fund may purchase and sell call options on securities indices, currencies, and futures contracts, as well as on Eurodollar instruments that are traded on U.S. and foreign securities exchanges and in the OTC markets.

**General Characteristics of Futures Contracts and Options on Futures Contracts**

A fund may trade financial futures contracts (including stock index futures contracts, which are described below) or purchase or sell put and call options on those contracts for the following purposes:

● as a hedge against anticipated interest rate, currency or market changes;

● for duration management;

● for risk management purposes; and

● to gain exposure to a securities market.

Futures contracts are generally bought and sold on the commodities exchanges where they are listed with payment of initial and variation margin as described below. The sale of a futures contract creates a firm obligation by a fund, as seller, to deliver to the buyer the specific type of financial instrument called for in the contract at a specific future time for a specified price (or, with respect to certain instruments, the net cash amount). Options on futures contracts are similar to options on securities except that an option on a futures contract gives the purchaser the right, in return for the premium paid, to assume a position in a futures contract and obligates the seller to deliver that position.

A fund will only engage in transactions in futures contracts and related options subject to complying with the Derivatives Rule. The Derivatives Rule requirements are outlined in the "Government Regulation of Derivatives" section. A fund will engage in transactions in futures contracts and related options only to the extent such transactions are consistent with the requirements of the Code in order to maintain its qualification as a RIC for federal income tax purposes.

**Margin.** Maintaining a futures contract or selling an option on a futures contract will typically require a fund to deposit with a financial intermediary, as security for its obligations, an amount of cash or other specified assets ("initial margin") that initially is from 1% to 10% of the face amount of the contract (but may be higher in some circumstances). Additional cash or assets ("variation margin") may be required to be deposited thereafter daily as the mark-to-market value of the futures contract fluctuates. The purchase of an option on a financial futures contract involves payment of a premium for the option without any further obligation on the part of a fund. If a fund exercises an option on a futures contract it will be obligated to post initial margin (and potentially variation margin) for the resulting futures position just as it would for any futures position.

**Settlement.** Futures contracts and options thereon are generally settled by entering into an offsetting transaction, but no assurance can be given that a position can be offset prior to settlement or that delivery will occur.

Fund-Specific Policies Regarding Futures Contracts and Options on Futures Contracts (Balanced Fund, Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund). Futures contracts may be based on various securities,

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securities indices and other financial instruments and indices. For Balanced Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund, futures contracts also may be based on foreign currencies. All futures contracts entered into by Balanced Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund are traded on U.S. or foreign exchanges or boards of trade, and all futures contracts entered into by Classic Value Fund are traded on U.S. exchanges or boards of trade, that are licensed, regulated or approved by the CFTC.

If and to the extent that a fund is using futures and related options for hedging purposes, futures contracts will be sold to protect against a decline in the price of securities (or the currency in which they are quoted or denominated) that the fund owns or futures contracts will be purchased to protect the fund against an increase in the price of securities (or the currency in which they are quoted or denominated) it intends to purchase. Prior to any such purchase, a fund will determine that the price fluctuations in any futures contracts and options on futures used for hedging purposes are substantially related to price fluctuations in securities held by the fund or securities or instruments that it expects to purchase. As evidence of its hedging intent, each fund expects that on 75% or more of the occasions on which it takes a long futures or option position (involving the purchase of futures contracts), the fund will have purchased, or will be in the process of purchasing, equivalent amounts of related securities (or assets of the fund denominated in the related currency) in the cash market at the time when the futures or option position is closed out. However, in particular cases, when it is economically advantageous for a fund to do so, a long futures position may be terminated or an option may expire without the corresponding purchase of securities or other assets. Although under some circumstances prices of securities in a fund's portfolio may be more or less volatile than prices of such futures contracts, the subadvisor will attempt to estimate the extent of this volatility difference based on historical patterns and compensate for any differential by having the fund enter into a greater or lesser number of futures contracts or by attempting to achieve only a partial hedge against price changes affecting the fund's portfolio securities.

If and to the extent that a fund engages in nonhedging transactions in futures contracts and options on futures, the aggregate initial margin and premiums required to establish these nonhedging positions will not exceed 5% of the net asset value of the fund's portfolio after taking into account unrealized profits and losses on any such positions and excluding the amount by which such options were in-the-money at the time of purchase.

**Stock Index Futures**

**Definition.** A stock index futures contract (an "Index Future") is a contract to buy a certain number of units of the relevant index at a specified future date at a price agreed upon when the contract is made. A unit is the value at a given time of the relevant index.

**Uses of Index Futures.** Below are some examples of how a fund may use Index Futures:

● In connection with a fund's investment in equity securities, a fund may invest in Index Futures while a subadvisor seeks favorable terms from brokers to effect transactions in equity securities selected for purchase.

● A fund also may invest in Index Futures when a subadvisor believes that there are not enough attractive equity securities available to maintain the standards of diversity and liquidity set for the fund's pending investment in such equity securities when they do become available.

● Through the use of Index Futures, a fund may maintain a pool of assets with diversified risk without incurring the substantial brokerage costs that may be associated with investment in multiple issuers. This may permit a fund to avoid potential market and liquidity problems (e.g., driving up or forcing down the price by quickly purchasing or selling shares of a portfolio security) that may result from increases or decreases in positions already held by a fund.

● A fund also may invest in Index Futures in order to hedge its equity positions.

Hedging and other strategic transactions involving futures contracts , options on futures contracts and swaps will be purchased , sold or entered into primarily for bona fide hedging, risk management (including duration management) or appropriate portfolio management purposes, including gaining exposure to a particular securities market.

**Options on Securities Indices and Other Financial Indices**

A fund may purchase and sell call and put options on securities indices and other financial indices ("Options on Financial Indices"). In so doing, a fund may achieve many of the same objectives it would achieve through the sale or purchase of options on individual securities or other instruments.

**Description of Options on Financial Indices.** Options on Financial Indices are similar to options on a security or other instrument except that, rather than settling by physical delivery of the underlying instrument, Options on Financial Indices settle by cash settlement. Cash settlement means that the holder has the right to receive, upon exercise of the option, an amount of cash if the closing level of the index upon which the option is based exceeds, in the case of a call (or is less than, in the case of a put) the exercise price of the option. This amount of cash is equal to the excess of the closing price of the index over the exercise price of the option, which also may be multiplied by a formula value. The seller of the option is obligated to make delivery of this amount. The gain or loss on an option on an index depends on price movements in the instruments comprising the market or other composite on which the underlying index is based, rather than price movements in individual securities, as is the case for options on securities. In the case of an OTC option, physical delivery may be used instead of cash settlement. By purchasing or selling Options on Financial Indices, a fund may achieve many of the same objectives it would achieve through the sale or purchase of options on individual securities or other instruments.

**Fund-Specific Policies Regarding Options on Financial Indices (Balanced Fund, Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, and Regional Bank Fund).** Options on financial indices may be listed on national domestic securities exchanges or foreign securities exchanges or traded in the OTC market. Balanced Fund, Financial Industries Fund, Fundamental Large Cap Core Fund and Regional Bank Fund may write covered put and call options and purchase put and call options to enhance total return, as a substitute for the

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purchase or sale of securities or currency, or to protect against declines in the value of portfolio securities and against increases in the cost of securities to be acquired. Classic Value Fund may write covered put and call options and purchase put and call options to enhance total return, as a substitute for the purchase or sale of securities or to protect against declines in the value of portfolio securities and against increases in the cost of securities to be acquired.

**Yield Curve Options**

A fund also may enter into options on the "spread," or yield differential, between two fixed-income securities, in transactions referred to as "yield curve" options. In contrast to other types of options, a yield curve option is based on the difference between the yields of designated securities, rather than the prices of the individual securities, and is settled through cash payments. Accordingly, a yield curve option is profitable to the holder if this differential widens (in the case of a call) or narrows (in the case of a put), regardless of whether the yields of the underlying securities increase or decrease.

Yield curve options may be used for the same purposes as other options on securities. Specifically, a fund may purchase or write such options for hedging purposes. For example, a fund may purchase a call option on the yield spread between two securities, if it owns one of the securities and anticipates purchasing the other security and wants to hedge against an adverse change in the yield spread between the two securities. A fund also may purchase or write yield curve options for other than hedging purposes (i.e., in an effort to increase its current income) if, in the judgment of a subadvisor, the fund will be able to profit from movements in the spread between the yields of the underlying securities. The trading of yield curve options is subject to all of the risks associated with the trading of other types of options. In addition, however, such options present risk of loss even if the yield of one of the underlying securities remains constant, if the spread moves in a direction or to an extent which was not anticipated. Yield curve options written by a fund will be "covered." A call (or put) option is covered if a fund holds another call (or put) option on the spread between the same two securities and owns liquid and unencumbered assets sufficient to cover the fund's net liability under the two options. Therefore, a fund's liability for such a covered option is generally limited to the difference between the amounts of the fund's liability under the option written by the fund less the value of the option held by it. Yield curve options also may be covered in such other manner as may be in accordance with the requirements of the counterparty with which the option is traded and applicable laws and regulations and are subject to the requirements outlined in the "Government Regulation of Derivatives" section. Yield curve options are traded OTC.

**Currency Transactions**

A fund may be authorized to engage in currency transactions with counterparties to hedge the value of portfolio securities denominated in particular currencies against fluctuations in relative value, to gain exposure to a currency without purchasing securities denominated in that currency, to facilitate the settlement of equity trades or to exchange one currency for another. If a fund enters into a currency hedging transaction, the fund will comply with the regulatory limitations outlined in the "Government Regulation of Derivatives" section. Currency transactions may include:

● forward currency contracts;

● exchange-listed currency futures contracts and options thereon(not including Classic Value Fund, Regional Bank Fund, or U.S. Global Leaders Growth Fund);

● exchange-listed and OTC options on currencies(not including Classic Value Fund or U.S. Global Leaders Growth Fund);

● currency swaps(not including Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, or U.S. Global

Leaders Growth Fund); and

● spot transactions (i.e., transactions on a cash basis based on prevailing market rates).

A forward currency contract involves a privately negotiated obligation to purchase or sell (with delivery generally required) a specific currency at a future date at a price set at the time of the contract. A currency swap is an agreement to exchange cash flows based on the notional difference among two or more currencies and operates similarly to an interest rate swap, which is described under "Swap Agreements and Options on Swap Agreements." A fund may enter into currency transactions only with counterparties that are deemed creditworthy by a subadvisor. Nevertheless, engaging in currency transactions will expose a fund to counterparty risk.

A fund's dealings in forward currency contracts and other currency transactions such as futures contracts, options, options on futures contracts and swaps may be used for hedging and similar purposes, possibly including transaction hedging, position hedging, cross hedging and proxy hedging. A fund also may use foreign currency options and foreign currency forward contracts to increase exposure to a foreign currency, to shift exposure to foreign currency fluctuation from one country to another or to facilitate the settlement of equity trades. A fund may elect to hedge less than all of its foreign portfolio positions as deemed appropriate by a subadvisor. Classic Value Fund and U.S. Global Leaders Growth Fund will not engage in speculative forward foreign currency exchange transactions.

Each fund other than Balanced Fund, Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund also may engage in non-deliverable forward transactions to manage currency risk or to gain exposure to a currency without purchasing securities denominated in that currency. A non-deliverable forward is a transaction that represents an agreement between a fund and a counterparty (usually a commercial bank) to buy or sell a specified (notional) amount of a particular currency at an agreed-upon foreign exchange rate on an agreed-upon future date. Unlike other currency transactions, there is no physical delivery of the currency on the settlement of a non-deliverable forward transaction. Rather, the fund and the counterparty agree to net the settlement by making a payment in U.S. dollars or another fully convertible currency that represents any differential between the foreign exchange rate agreed upon at the inception of the non-deliverable forward agreement and the actual exchange rate on the agreed-upon future date. Thus, the actual gain or loss of a given non-deliverable forward transaction is

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calculated by multiplying the transaction's notional amount by the difference between the agreed-upon forward exchange rate and the actual exchange rate when the transaction is completed.

Since a fund generally may only close out a non-deliverable forward with the particular counterparty, there is a risk that the counterparty will default on its obligation to pay under the agreement. If the counterparty defaults, the fund will have contractual remedies pursuant to the agreement related to the transaction, but there is no assurance that contract counterparties will be able to meet their obligations pursuant to such agreements or that, in the event of a default, the fund will succeed in pursuing contractual remedies. The fund thus assumes the risk that it may be delayed or prevented from obtaining payments owed to it pursuant to non-deliverable forward transactions.

In addition, where the currency exchange rates that are the subject of a given non-deliverable forward transaction do not move in the direction or to the extent anticipated, a fund could sustain losses on the non-deliverable forward transaction. A fund's investment in a particular non-deliverable forward transaction will be affected favorably or unfavorably by factors that affect the subject currencies, including economic, political and legal developments that impact the applicable countries, as well as exchange control regulations of the applicable countries. These risks are heightened when a non-deliverable forward transaction involves currencies of emerging market countries because such currencies can be volatile and there is a greater risk that such currencies will be devalued against the U.S. dollar or other currencies.

**Transaction Hedging.** Transaction hedging involves entering into a currency transaction with respect to specific assets or liabilities of a fund, which generally will arise in connection with the purchase or sale of the portfolio securities or the receipt of income from them.

**Position Hedging.** Position hedging involves entering into a currency transaction with respect to portfolio securities positions denominated or generally quoted in that currency.

**Cross Hedging.** A fund may be authorized to cross-hedge currencies by entering into transactions to purchase or sell one or more currencies that are expected to increase or decline in value relative to other currencies to which the fund has or in which the fund expects to have exposure.

**Proxy Hedging.** To reduce the effect of currency fluctuations on the value of existing or anticipated holdings of its securities, a fund also may be authorized to engage in proxy hedging. Proxy hedging is often used when the currency to which a fund's holdings are exposed is generally difficult to hedge or specifically difficult to hedge against the dollar. Proxy hedging entails entering into a forward contract to sell a currency, the changes in the value of which are generally considered to be linked to a currency or currencies in which some or all of a fund's securities are or are expected to be denominated, and to buy dollars. The amount of the contract would not exceed the market value of the fund's securities denominated in linked currencies.

**Combined Transactions**

A fund may be authorized to enter into multiple transactions, including multiple options transactions, multiple futures transactions, multiple currency transactions (including forward currency contracts), multiple interest rate transactions and any combination of futures, options, currency and interest rate transactions. A combined transaction usually will contain elements of risk that are present in each of its component transactions. Although a fund normally will enter into combined transactions to reduce risk or otherwise more effectively achieve the desired portfolio management goal, it is possible that the combination will instead increase the risks or hinder achievement of the fund's investment objective.

**Swap Agreements and Options on Swap Agreements**

Among the hedging and other strategic transactions into which a fund may be authorized to enter are swap transactions, including, but not limited to, swap agreements on interest rates, security or commodity indexes, specific securities and commodities, currency exchange rates, and credit and event-linked swaps. To the extent that a fund may invest in foreign currency-denominated securities, it also may invest in currency exchange rate swap agreements.

A fund may enter into swap transactions for any legal purpose consistent with its investment objective and policies, such as to attempt to obtain or preserve a particular return or spread at a lower cost than obtaining a return or spread through purchases and/or sales of instruments in other markets, to protect against currency fluctuations, as a duration management technique, to protect against any increase in the price of securities the fund anticipates purchasing at a later date, or to gain exposure to certain markets in the most economical way possible.

OTC swap agreements are two-party contracts entered into primarily by institutional investors for periods ranging from a few weeks to one or more years. In a standard "swap" transaction, two parties agree to exchange the returns (or differentials in rates of return) earned or realized on particular predetermined investments or instruments, which may be adjusted for an interest factor. The gross returns to be exchanged or "swapped" between the parties are generally calculated with respect to a "notional amount," i.e., the return on or increase in value of a particular dollar amount invested at a particular interest rate, in a particular foreign currency, or in a "basket" of securities or commodities representing a particular index. A "quanto" or "differential" swap combines both an interest rate and a currency transaction. Other forms of swap agreements include interest rate caps, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates exceed a specified rate, or "cap"; interest rate floors, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates fall below a specified rate, or "floor"; and interest rate collars, under which a party sells a cap and purchases a floor or vice versa in an attempt to protect itself against interest rate movements exceeding given minimum or maximum levels. Consistent with a fund's investment objectives and general investment policies, a fund may be authorized to invest in commodity swap agreements. For example, an investment in a commodity swap agreement may involve the exchange of floating-rate interest payments for the total return on a commodity index. In a total return commodity swap, a fund will receive the price appreciation of a commodity index, a portion of the index, or a single commodity in exchange for paying an agreed-upon fee. If the commodity swap is for one period, a

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fund may pay a fixed fee, established at the outset of the swap. However, if the term of the commodity swap is more than one period, with interim swap payments, a fund may pay an adjustable or floating fee. With a "floating" rate, the fee may be pegged to a base rate, such as SOFR, and is adjusted each period. Therefore, if interest rates increase over the term of the swap contract, a fund may be required to pay a higher fee at each swap reset date.

A fund may be authorized to enter into options on swap agreements ("Swap Options"). A Swap Option is a contract that gives a counterparty the right (but not the obligation) in return for payment of a premium, to enter into a new swap agreement or to shorten, extend, cancel or otherwise modify an existing swap agreement, at some designated future time on specified terms. A fund also may be authorized to write (sell) and purchase put and call Swap Options.

Depending on the terms of the particular agreement, a fund generally will incur a greater degree of risk when it writes a Swap Option than it will incur when it purchases a Swap Option. When a fund purchases a swap option, it risks losing only the amount of the premium it has paid should it decide to let the option expire unexercised. However, when the fund writes a Swap Option, upon exercise of the option the fund will become obligated according to the terms of the underlying agreement. Most other types of swap agreements entered into by a fund would calculate the obligations of the parties to the agreement on a "net basis." Consequently, a fund's current obligations (or rights) under a swap agreement generally will be equal only to the net amount to be paid or received under the agreement based on the relative values of the positions held by each party to the agreement (the "net amount"). A fund's current obligations under a swap agreement will be accrued daily (offset against any amounts owed to the fund). A fund's use of swap agreements or Swap Options are subject to the regulatory limitations outlined in the "Government Regulation of Derivatives" section.

Whether a fund's use of swap agreements or Swap Options will be successful in furthering its investment objective will depend on a subadvisor's ability to predict correctly whether certain types of investments are likely to produce greater returns than other investments. Because OTC swaps are two-party contracts and because they may have terms of greater than seven days, they may be considered to be illiquid. Moreover, a fund bears the risk of loss of the amount expected to be received under a swap agreement in the event of the default or bankruptcy of a swap agreement counterparty. A fund will enter into swap agreements only with counterparties that meet certain standards of creditworthiness. Certain restrictions imposed on a fund by the Code may limit its ability to use swap agreements. Current regulatory initiatives, described below, and potential future regulation could adversely affect a fund's ability to terminate existing swap agreements or to realize amounts to be received under such agreements. A fund will not enter into a swap agreement with any single party if the net amount owed to the fund under existing contracts with that party would exceed 5% of the fund's total assets.

Swaps are highly specialized instruments that require investment techniques, risk analyses, and tax planning different from those associated with traditional investments. The use of a swap requires an understanding not only of the referenced asset, rate, or index but also of the swap itself, without the benefit of observing the performance of the swap under all possible market conditions. Swap agreements may be subject to liquidity risk, which exists when a particular swap is difficult to purchase or sell. If a swap transaction is particularly large or if the relevant market is illiquid (as is the case with many OTC swaps), it may not be possible to initiate a transaction or liquidate a position at an advantageous time or price, which may result in significant losses. In addition, a swap transaction may be subject to a fund's limitation on investments in illiquid securities.

Like most other investments, swap agreements are subject to the risk that the market value of the instrument will change in a way detrimental to a fund's interest. A fund bears the risk that a subadvisor will not accurately forecast future market trends or the values of assets, reference rates, indexes, or other economic factors in establishing swap positions for it. If a subadvisor attempts to use a swap as a hedge against, or as a substitute for, an investment, the fund will be exposed to the risk that the swap will have or will develop imperfect or no correlation with the investment. This could cause substantial losses for the fund. While hedging strategies involving swap instruments can reduce the risk of loss, they also can reduce the opportunity for gain or even result in losses by offsetting favorable price movements in other investments.

The swaps market was largely unregulated prior to the enactment of federal legislation known as the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank Act"). Among other things, the Dodd-Frank Act sets forth a new regulatory framework for certain OTC derivatives, such as swaps, in which the funds may be authorized to invest. The Dodd-Frank Act requires many swap transactions to be executed on registered exchanges or through swap execution facilities, cleared through a regulated clearinghouse, and publicly reported. In addition, many market participants are now regulated as swap dealers and are, or will be, subject to certain minimum capital and margin requirements and business conduct standards. The statutory requirements of the Dodd-Frank Act have primarily been implemented through rules and regulations adopted by the SEC and/or the CFTC, although some rules have not been fully implemented.

As of the date of this SAI, central clearing is required only for certain market participants trading certain instruments, although central clearing for additional instruments is expected to be implemented by the CFTC. In addition, as described below, uncleared OTC swaps may be subject to regulatory collateral requirements that could adversely affect a fund's ability to enter into swaps in the OTC market. These developments could cause a fund to terminate new or existing swap agreements, realize amounts to be received under such instruments at an inopportune time, or increase the costs associated with trading derivatives. It is still not possible to determine the complete impact of the Dodd-Frank Act and related regulations on the funds. Swap dealers, major swap market participants, and swap counterparties may also experience other new and/or additional regulations, requirements, compliance burdens, and associated costs. The Dodd-Frank Act and rules promulgated thereunder may exert a negative effect on a fund's ability to meet its investment objective. The swap market could be disrupted or limited as a result of the legislation, and the new requirements may increase the cost of a fund's investments and of doing business, which could adversely affect the fund's ability to buy or sell OTC derivatives. Prudential regulators issued final rules that will require banks subject to their supervision to exchange variation and initial margin in respect of their obligations arising under uncleared swap agreements. The CFTC adopted similar rules that apply to CFTC-registered swap dealers that are not banks. Such rules may require the

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funds to segregate additional assets in order to meet the new variation and initial margin requirements when they enter into uncleared swap agreements. The variation margin and initial margin requirements are now effective.

In addition, regulations adopted by prudential regulators require certain banks to include in a range of financial contracts, including derivative and short-term funding transactions terms delaying or restricting a counterparty's default, termination and other rights in the event that the bank and/or its affiliates become subject to certain types of resolution or insolvency proceedings. The regulations could limit a fund's ability to exercise a range of cross-default rights if its counterparty, or an affiliate of the counterparty, is subject to bankruptcy or similar proceedings. Such regulations could further negatively impact the funds' use of derivatives.

Additional information about certain swap agreements that the funds may utilize is provided below.

*Credit default swap agreements ("CDS").* CDS may have as reference obligations one or more securities that are not currently held by a fund. The protection "buyer" in a CDS is generally obligated to pay the protection "seller" an upfront or a periodic stream of payments over the term of the CDS provided that no credit event, such as a default, on a reference obligation has occurred. If a credit event occurs, the seller generally must pay the buyer the "par value" (full notional value) of the CDS in exchange for an equal face amount of deliverable obligations of the reference entity described in the CDS, or the seller may be required to deliver the related net cash amount, if the CDS is cash settled. A fund may be either the buyer or seller in the transaction. If a fund is a buyer and no credit event occurs, the fund may recover nothing if the CDS is held through its termination date. However, if a credit event occurs, the buyer generally may elect to receive the full notional value of the CDS in exchange for an equal face amount of deliverable obligations of the reference entity whose value may have significantly decreased. As a seller, a fund generally receives an upfront payment or a fixed rate of income throughout the term of the CDS, provided that there is no credit event. As the seller, a fund would effectively add leverage to the fund because, in addition to its total net assets, the fund would be subject to investment exposure on the notional amount of the CDS. If a fund enters into a CDS, the fund may be required to report the CDS as a "listed transaction" for tax shelter reporting purposes on the fund's federal income tax return. If the IRS were to determine that the CDS is a tax shelter, a fund could be subject to penalties under the Code.

Credit default swap indices are indices that reflect the performance of a basket of credit default swaps and are subject to the same risks as CDS. The fund's return from investment in a credit default swap index may not match the return of the referenced index. Further, investment in a credit default swap index could result in losses if the referenced index does not perform as expected. Unexpected changes in the composition of the index may also affect performance of the credit default swap index. If a referenced index has a dramatic intraday move that causes a material decline in the fund's net assets, the terms of the fund's credit default swap index may permit the counterparty to immediately close out the transaction. In that event, the fund may be unable to enter into another credit default swap index or otherwise achieve desired exposure, even if the referenced index reverses all or a portion of its intraday move.

A fund also may be authorized to enter into credit default swaps on index tranches. CDS on index tranches give the fund, as a seller of credit protection, the opportunity to take on exposures to specific segments of the CDS index default loss distribution. Each tranche has a different sensitivity to credit risk correlations among entities in the index. One of the main benefits of index tranches is higher liquidity. This has been achieved mainly through standardization, yet it is also due to the liquidity in the single-name CDS and CDS index markets. In contrast, possibly owing to the limited liquidity in the corporate bond market, securities referencing corporate bond indexes have not been traded actively.

CDS involve greater risks than if a fund had invested in the reference obligation directly since, in addition to general market risks, CDS are subject to illiquidity risk, counterparty risk and credit risk. A fund will enter into CDS only with counterparties that meet certain standards of creditworthiness. A buyer generally also will lose its investment and recover nothing should no credit event occur and the CDS is held to its termination date. If a credit event were to occur, the value of any deliverable obligation received by the seller, coupled with the upfront or periodic payments previously received, may be less than the full notional value it pays to the buyer, resulting in a loss of value to the seller. A fund's obligations under a CDS will be accrued daily (offset against any amounts owing to the fund). A fund's ability to be a "buyer" or "seller" of CDS is subject to the regulatory limitations outlined in the "Government Regulation of Derivatives" section.

*Dividend swap agreements.* A dividend swap agreement is a financial instrument where two parties contract to exchange a set of future cash flows at set dates in the future. One party agrees to pay the other the future dividend flow on a stock or basket of stocks in an index, in return for which the other party gives the first call options. Dividend swaps generally are traded OTC rather than on an exchange.

*Inflation swap agreements.* An inflation swap agreement is a contract in which one party agrees to pay the cumulative percentage increase in a price index (e.g., the CPI with respect to CPI swaps) over the term of the swap (with some lag on the inflation index), and the other pays a compounded fixed rate. Inflation swap agreements may be used to protect a fund's NAV against an unexpected change in the rate of inflation measured by an inflation index since the value of these agreements is expected to increase if unexpected inflation increases.

*Interest rate swap agreements.* An interest rate swap agreement involves the exchange of cash flows based on interest rate specifications and a specified principal amount, often a fixed payment for a floating payment that is linked to an interest rate. An interest rate lock specifies a future interest rate to be paid. In an interest rate cap, one party receives payments at the end of each period in which a specified interest rate on a specified principal amount exceeds an agreed-upon rate; conversely, in an interest rate floor, one party may receive payments if a specified interest rate on a specified principal amount falls below an agreed-upon rate. Caps and floors have an effect similar to buying or writing options. Interest rate collars involve selling a cap and purchasing a floor, or vice versa, to protect a fund against interest rate movements exceeding given minimum or maximum levels.

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*Total return swap agreements.* A total return swap agreement is a contract whereby one party agrees to make a series of payments to another party based on the change in the market value of the assets underlying such contract (which can include a security, commodity, index or baskets thereof) during the specified period. In exchange, the other party to the contract agrees to make a series of payments calculated by reference to an interest rate and/or some other agreed-upon amount (including the change in market value of other underlying assets). A fund may use total return swaps to gain exposure to an asset without owning it or taking physical custody of it. For example, by investing in total return commodity swaps, a fund will receive the price appreciation of a commodity, commodity index or portion thereof in exchange for payment of an agreed-upon fee.

*Variance swap agreements.* Variance swap agreements involve an agreement by two parties to exchange cash flows based on the measured variance (or square of volatility) of a specified underlying asset. One party agrees to exchange a "fixed rate" or strike price payment for the "floating rate" or realized price variance on the underlying asset with respect to the notional amount. At inception, the strike price chosen is generally fixed at a level such that the fair value of the swap is zero. As a result, no money changes hands at the initiation of the contract. At the expiration date, the amount paid by one party to the other is the difference between the realized price variance of the underlying asset and the strike price multiplied by the notional amount. A receiver of the realized price variance would receive a payment when the realized price variance of the underlying asset is greater than the strike price and would make a payment when that variance is less than the strike price. A payer of the realized price variance would make a payment when the realized price variance of the underlying asset is greater than the strike price and would receive a payment when that variance is less than the strike price. This type of agreement is essentially a forward contract on the future realized price variance of the underlying asset.

**Eurodollar Instruments**

A fund may be authorized to invest in Eurodollar instruments which typically are dollar-denominated futures contracts or options on those contracts that are linked to SOFR. In addition, foreign currency-denominated instruments are available from time to time. Eurodollar futures contracts enable purchasers to obtain a fixed rate for the lending of funds and sellers to obtain a fixed rate for borrowings. A fund might use Eurodollar futures contracts and options thereon to hedge against changes in SOFR, to which many interest rate swaps and fixed income instruments are linked.

**Warrants and Rights**

Warrants and rights generally give the holder the right to receive, upon exercise and prior to the expiration date, a security of the issuer at a stated price. Funds typically use warrants and rights in a manner similar to their use of options on securities, as described in "General Characteristics of Options" above and elsewhere in this SAI. Risks associated with the use of warrants and rights are generally similar to risks associated with the use of options. Unlike most options, however, warrants and rights are issued in specific amounts, and warrants generally have longer terms than options. Warrants and rights are not likely to be as liquid as exchange-traded options backed by a recognized clearing agency. In addition, the terms of warrants or rights may limit a fund's ability to exercise the warrants or rights at such time, or in such quantities, as the fund would otherwise wish.

**Non-Standard Warrants and Participatory Notes.** From time to time, a fund may use non-standard warrants, including low exercise price warrants or low exercise price options ("LEPOs"), and participatory notes ("P-Notes") to gain exposure to issuers in certain countries. LEPOs are different from standard warrants in that they do not give their holders the right to receive a security of the issuer upon exercise. Rather, LEPOs pay the holder the difference in price of the underlying security between the date the LEPO was purchased and the date it is sold. P-Notes are a type of equity-linked derivative that generally are traded OTC and constitute general unsecured contractual obligations of the banks, broker dealers or other financial institutions that issue them. Generally, banks and broker dealers associated with non-U.S.-based brokerage firms buy securities listed on certain foreign exchanges and then issue P-Notes that are designed to replicate the performance of certain issuers and markets. The performance results of P-Notes will not replicate exactly the performance of the issuers or markets that the notes seek to replicate due to transaction costs and other expenses. The return on a P-Note that is linked to a particular underlying security generally is increased to the extent of any dividends paid in connection with the underlying security. However, the holder of a P-Note typically does not receive voting or other rights as it would if it directly owned the underlying security, and P-Notes present similar risks to investing directly in the underlying security. Additionally, LEPOs and P-Notes entail the same risks as other OTC derivatives. These include the risk that the counterparty or issuer of the LEPO or P-Note may not be able to fulfill its obligations, that the holder and counterparty or issuer may disagree as to the meaning or application of contractual terms, or that the instrument may not perform as expected. See "Principal risks—Credit and Counterparty risk" in the Prospectus, as applicable, and "Risk of Hedging and Other Strategic Transactions" below. Additionally, while LEPOs or P-Notes may be listed on an exchange, there is no guarantee that a liquid market will exist or that the counterparty or issuer of a LEPO or P-Note will be willing to repurchase such instrument when a fund wishes to sell it.

**Risk of Hedging and Other Strategic Transactions**

Hedging and other strategic transactions are subject to special risks, including:

● possible default by the counterparty to the transaction;

● markets for the securities used in these transactions could be illiquid; and

● to the extent a subadvisor's assessment of market movements is incorrect, the risk that the use of the hedging and other strategic transactions could result in losses to the fund.

Losses resulting from the use of hedging and other strategic transactions will reduce a fund's NAV, and possibly income. Losses can be greater than if hedging and other strategic transactions had not been used.

**Options and Futures Transactions.** Options transactions are subject to the following additional risks:

● option transactions could force the sale or purchase of portfolio securities at inopportune times or for prices higher than current market values (in

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the case of put options) or lower than current market values (in the case of call options), or could cause a fund to hold a security it might otherwise sell (in the case of a call option);

● calls written on securities that a fund does not own are riskier than calls written on securities owned by the fund because there is no underlying security held by the fund that can act as a partial hedge, and there also is a risk, especially with less liquid securities, that the securities may not be available for purchase; and

● options markets could become illiquid in some circumstances and certain OTC options could have no markets. As a result, in certain markets, a fund might not be able to close out a transaction without incurring substantial losses.

Futures transactions are subject to the following additional risks:

● the degree of correlation between price movements of futures contracts and price movements in the related securities position of a fund could create the possibility that losses on the hedging instrument are greater than gains in the value of the fund's position.

● futures markets could become illiquid. As a result, in certain markets, a fund might not be able to close out a transaction without incurring substantial losses.

Although a fund's use of futures and options for hedging should tend to minimize the risk of loss due to a decline in the value of the hedged position, at the same time, it will tend to limit the potential gain that might result from an increase in value.

**Currency Hedging.** In addition to the general risks of hedging and other strategic transactions described above, currency hedging transactions have the following risks:

● currency hedging can result in losses to a fund if the currency being hedged fluctuates in value to a degree or direction that is not anticipated;

● proxy hedging involves determining the correlation between various currencies. If a subadvisor's determination of this correlation is incorrect, a fund's losses could be greater than if the proxy hedging were not used; and

● foreign government exchange controls and restrictions on repatriation of currency can negatively affect currency transactions. These forms of governmental actions can result in losses to a fund if it is unable to deliver or receive currency or monies to settle obligations. Such governmental actions also could cause hedges it has entered into to be rendered useless, resulting in full currency exposure as well as incurring transaction costs.

**Currency Futures Contracts and Options on Currency Futures Contracts.** Currency futures contracts are subject to the same risks that apply to the use of futures contracts generally. In addition, settlement of a currency futures contract for the purchase of most currencies must occur at a bank based in the issuing nation. Trading options on currency futures contracts is relatively new, and the ability to establish and close out positions on these options is subject to the maintenance of a liquid market that may not always be available.

**Risk Associated with Specific Types of Derivative Debt Securities.** Different types of derivative debt securities are subject to different combinations of prepayment, extension and/or interest rate risk. Conventional mortgage passthrough securities and sequential pay CMOs are subject to all of these risks, but typically are not leveraged. Thus, the magnitude of exposure may be less than for more leveraged mortgage-backed securities.

The risk of early prepayments is the primary risk associated with IOs, super floaters, other leveraged floating rate instruments and mortgage-backed securities purchased at a premium to their par value. In some instances, early prepayments may result in a complete loss of investment in certain of these securities. The primary risks associated with certain other derivative debt securities are the potential extension of average life and/or depreciation due to rising interest rates.

Derivative debt securities include floating rate securities based on the COFI floaters, other "lagging rate" floating rate securities, capped floaters, mortgage-backed securities purchased at a discount, leveraged inverse floating rate securities, POs, certain residual or support tranches of CMOs and index amortizing notes. Index amortizing notes are not mortgage-backed securities, but are subject to extension risk resulting from the issuer's failure to exercise its option to call or redeem the notes before their stated maturity date. Leveraged inverse IOs combine several elements of the mortgage-backed securities described above and present an especially intense combination of prepayment, extension and interest rate risks.

PAC and TAC CMO bonds involve less exposure to prepayment, extension and interest rate risk than other mortgage-backed securities, provided that prepayment rates remain within expected prepayment ranges or "collars." To the extent that prepayment rates remain within these prepayment ranges, the residual or support tranches of PAC and TAC CMOs assume the extra prepayment, extension and interest rate risk associated with the underlying mortgage assets.

Other types of floating rate derivative debt securities present more complex types of interest rate risks. For example, range floaters are subject to the risk that the coupon will be reduced to below market rates if a designated interest rate floats outside of a specified interest rate band or collar. Dual index or yield curve floaters are subject to depreciation in the event of an unfavorable change in the spread between two designated interest rates. X-reset floaters have a coupon that remains fixed for more than one accrual period. Thus, the type of risk involved in these securities depends on the terms of each individual X-reset floater.

**Risk of Hedging and Other Strategic Transactions Outside the United States**

When conducted outside the United States, hedging and other strategic transactions will not only be subject to the risks described above, but also could be adversely affected by:

● foreign governmental actions affecting foreign securities, currencies or other instruments;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

● less stringent regulation of these transactions in many countries as compared to the United States;

● the lack of clearing mechanisms and related guarantees in some countries for these transactions;

● more limited availability of data on which to make trading decisions than in the United States;

● delays in a fund's ability to act upon economic events occurring in foreign markets during non-business hours in the United States;

● the imposition of different exercise and settlement terms and procedures and margin requirements than in the United States; and

● lower trading volume and liquidity.

**Government Regulation of Derivatives**

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, on October 28, 2020, the SEC adopted new regulations governing the use of derivatives by registered investment companies ("Rule 18f-4" or the "Derivatives Rule"). Funds were required to implement and comply with Rule 18f-4 by August 19, 2022. Rule 18f-4 eliminates the asset segregation framework formerly used by funds to comply with Section 18 of the 1940 Act, as amended.

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 1940 Act. Repurchase agreements are not subject to the Derivatives Rule, but are still subject to other provisions of the 1940 Act. In addition, when-issued or forward settling securities transactions that physically settle within 35-days are deemed not to involve a senior security.

Furthermore, it is possible that additional government regulation of various types of derivative instruments may limit or prevent a fund from using such instruments as part of its investment strategy in the future, which could negatively impact the fund. New position limits imposed on a fund or its counterparty may also impact the fund's ability to invest in futures, options, and swaps in a manner that efficiently meets its investment objective.

Use of extensive hedging and other strategic transactions by a fund will require, among other things, that the fund post collateral with counterparties or clearinghouses, and/or are subject to the Derivatives Rule regulatory limitations as outlined above.

**Futures Contracts and Options on Futures Contracts.** In the case of a futures contract, or an option on a futures contract, a fund must deposit initial margin and, in some instances, daily variation margin, to meet its obligations under the contract. These assets may consist of cash, cash equivalents, liquid debt, equity securities or other acceptable assets.

**Investment Restrictions**

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A fund's investment restrictions are subject to, and may be impacted and limited by, the federal securities laws, rules and regulations, including the 1940 Act and Rule 18f-4 thereunder.

There are two classes of investment restrictions to which a fund is subject in implementing its investment policies: (a) fundamental; and (b) non-fundamental. Fundamental restrictions may be changed only by a vote of the lesser of: (i) 67% or more of the shares represented at a meeting at which more than 50% of the outstanding shares are represented; or (ii) more than 50% of the outstanding shares. Non-fundamental restrictions are subject to change by the Board without shareholder approval.

When submitting an investment restriction change to the holders of a fund's outstanding voting securities, the matter shall be deemed to have been effectively acted upon with respect to the fund if a majority of the outstanding voting securities of the fund votes for the approval of the matter, notwithstanding: (1) that the matter has not been approved by the holders of a majority of the outstanding voting securities of any other series of the Trust affected by the matter; and (2) that the matter has not been approved by the vote of a majority of the outstanding voting securities of the Trust as a whole.

**Balanced Fund and Fundamental Large Cap Core Fund**

**<u>Fundamental Investment Restrictions</u>** 

1. **Senior Securities** 

*Balanced Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(1) The fund may not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

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*Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(2) The fund may not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

(For purposes of this fundamental restriction, purchasing securities on a when-issued, forward commitment or delayed delivery basis and engaging in hedging and other strategic transactions will not be deemed to constitute the issuance of a senior security.)

2. **Borrowing** 

*Balanced Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(3) The fund may not borrow money in amounts exceeding 33% of the fund's total assets (including the amount borrowed) taken at market value. Interest paid on borrowings will reduce income available to shareholders.

*Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(4) The fund may not borrow money, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

3. **Underwriting** 

*Balanced Fund and Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(5) A fund may not engage in the business of underwriting securities issued by others, except to the extent that each such fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

4. **Real Estate** 

*Balanced Fund and Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(6) A fund may not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that each such fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

5. **Loans** 

*Balanced Fund and Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(7) A fund may not make loans except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

6. **Commodities** 

*Balanced Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(8) The fund may not buy or sell commodities, commodity contracts, puts, calls or combinations thereof, except futures contracts and options on securities, securities indices, currency and other financial instruments, options on such futures contracts, forward foreign currency exchange contracts, forward commitments, interest rate or currency swaps, securities index put or call warrants and repurchase agreements entered into in accordance with the fund's investment policies.

*Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(9) The fund may not purchase or sell commodities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

7. **Industry Concentration** 

*Balanced Fund and Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(10) A fund may not concentrate its investments in a particular industry, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

8. **Diversification** 

*Balanced Fund and Fundamental Large Cap Core Fund* 

&nbsp;&nbsp;&nbsp;&nbsp;(11) Each fund has elected to be treated as a diversified investment company, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**<u>Non-Fundamental Investment Restrictions</u>** 

*Balanced Fund* 

The fund may not:

&nbsp;&nbsp;&nbsp;&nbsp;(a) Participate on a joint or joint-and-several basis in any securities trading account. The "bunching" of orders for the sale or purchase of marketable portfolio securities with other accounts under the management of the Advisor to save commissions or to average prices among them is not deemed to result in a joint securities trading account.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;(b) Purchase securities on margin (except that it may obtain such short-term credits as may be necessary for the clearance of transactions in securities and forward foreign currency exchange contracts and may make margin payments in connection with transactions in futures contracts and options on futures) or make short sales of securities unless by virtue of its ownership of other securities, the fund has the right to obtain, without the payment of any additional consideration, securities equivalent in kind and amount to the securities sold and, if the right is conditional, the sale is made upon the same conditions.

&nbsp;&nbsp;&nbsp;&nbsp;(c) Invest for the purpose of exercising control over or management of any company.

&nbsp;&nbsp;&nbsp;&nbsp;(d) Invest more than 15% of its net assets in illiquid securities.

If allowed by the fund's other investment policies and restrictions, the fund may invest up to 5% of its total assets in Russian equity securities and up to 10% of its total assets in Russian fixed-income securities. All Russian securities must be: (1) denominated in U.S. dollars, Canadian dollars, euros, sterling, or yen; (2) traded on a major exchange; and (3) held physically outside of Russia.

*Fundamental Large Cap Core Fund* 

The fund will not:

&nbsp;&nbsp;&nbsp;&nbsp;(a) Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

&nbsp;&nbsp;&nbsp;&nbsp;(b) Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

&nbsp;&nbsp;&nbsp;&nbsp;(c) Pledge, hypothecate, mortgage or transfer (except as provided in the fundamental investment restriction regarding senior securities) as security for indebtedness any securities held by the fund, except in an amount of not more than 10% of the value of the fund's total assets and then only to secure borrowings permitted by the fundamental restriction regarding borrowing and the non-fundamental restriction regarding investment in securities that are not readily marketable. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets. For purposes of the non-fundamental restriction regarding short sales, "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes.

**Classic Value Fund**

**<u>Fundamental Investment Restrictions</u>** 

Classic Value Fund may not:

**1**

Issue senior securities, except as permitted by the fund's fundamental investment restrictions on borrowing, lending and investing in commodities and as otherwise permitted under the 1940 Act. For purposes of this restriction, the issuance of shares of beneficial interest in multiple classes or series, the deferral of trustees' fees, the purchase or sale of options, futures contracts and options on futures contracts, forward commitments, forward foreign exchange contracts and repurchase agreements entered into in accordance with the fund's investment policies are not deemed to be senior securities.

**2**

Borrow money, except: (i) for temporary or short-term purposes or for the clearance of transactions in amounts not to exceed 33⅓% of the value of the fund's total assets (including the amount borrowed) taken at market value; (ii) in connection with the redemption of fund shares or to finance failed settlements of portfolio trades without immediately liquidating portfolio securities or other assets; (iii) in order to fulfill commitments or plans to purchase additional securities pending the anticipated sale of other portfolio securities or assets; (iv) in connection with entering into reverse repurchase agreements and dollar rolls, but only if after each such borrowing there is asset coverage of at least 300% as defined in the 1940 Act; and (v) as otherwise permitted under the 1940 Act. For purposes of this investment restriction, the deferral of trustees' fees and transactions in short sales, futures contracts, options on futures contracts, securities or indices and forward commitment transactions shall not constitute borrowing.

**3**

Act as an underwriter, except to the extent that in connection with the disposition of portfolio securities, the fund may be deemed to be an underwriter for purposes of the Securities Act of 1933.

**4**

Purchase, sell or invest in real estate, but subject to its other investment policies and restrictions may invest in securities of companies that deal in real estate or are engaged in the real estate business. These companies include real estate investment trusts and securities secured by real estate or interests in real estate. The fund may hold and sell real estate acquired through default, liquidation or other distributions of an interest in real estate as a result of the fund's ownership of securities.

**5**

Invest in commodities or commodity futures contracts, other than financial derivative contracts. Financial derivatives include forward currency contracts; financial futures contracts and options on financial futures contracts; options and warrants on securities, currencies and financial indices; swaps, caps, floors, collars and swaptions; and repurchase agreements entered into in accordance with the fund's investment policies.

**6**

Make loans, except that the fund may (i) lend portfolio securities in accordance with the fund's investment policies up to 33⅓% of the fund's total assets taken at market value, (ii) enter into repurchase agreements, and (iii) purchase all or a portion of an issue of publicly distributed debt securities, bank loan participation interests, bank certificates of deposit, bankers' acceptances, debentures or other securities, whether or not the purchase is made upon the original issuance of the securities.

**7**

Purchase the securities of issuers conducting their principal activity in the same industry if, immediately after such purchase, the value of its

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investments in such industry would exceed 25% of its total assets taken at market value at the time of such investment. This limitation does not apply to investments in obligations of the U.S. Government or any of its agencies, instrumentalities or authorities.

**8**

With respect to 75% of the fund's total assets, invest more than 5% of the fund's total assets in the securities of any single issuer or own more than 10% of the outstanding voting securities of any one issuer, in each case other than (i) securities issued or guaranteed by the U.S. Government, its agencies or its instrumentalities or (ii) securities of other investment companies.

**<u>Non-Fundamental Investment Restrictions</u>** 

Classic Value Fund may not:

**1**

Invest in the securities of an issuer for the purpose of exercising control or management.

**2**

Purchase securities on margin, except that the fund may obtain such short-term credits as may be necessary for the clearance of securities transactions.

**3**

Invest more than 15% of its net assets in securities which are illiquid.

If allowed by Classic Value Fund's other investment policies and restrictions, the fund may invest up to 5% of its total assets in Russian equity securities and up to 10% of its total assets in Russian fixed-income securities. All Russian securities must be: (1) denominated in U.S. dollars, Canadian dollars, euros, sterling, or yen; (2) traded on a major exchange; and (3) held physically outside of Russia.

**U.S. Global Leaders Growth Fund**

**<u>Fundamental Investment Restrictions</u>** 

**1**

**Concentration.** The fund may not concentrate its investments in a particular industry, as that term is used in the 1940 Act, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**2**

**Borrowing.** The fund may not borrow money, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**3**

**Underwriting.** The fund may not engage in the business of underwriting securities issued by others, except to the extent that the fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

**4**

**Real Estate.** The fund may not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that the fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

**5**

**Commodities.** The fund may not purchase or sell commodities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**6**

**Loans.** The fund may not make loans except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**7**

**Senior Securities.** The fund may not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time. (For purposes of this fundamental restriction, purchasing securities on a when-issued, forward commitment or delayed delivery basis and engaging in hedging and other strategic transactions will not be deemed to constitute the issuance of a senior security.)

**8**

**Diversification.** The fund has elected to be treated as a diversified investment company, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**<u>Non-Fundamental Investment Restrictions</u>** 

U.S. Global Leaders Growth Fund may not:

&nbsp;&nbsp;&nbsp;&nbsp;9. Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

&nbsp;&nbsp;&nbsp;&nbsp;10. Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

&nbsp;&nbsp;&nbsp;&nbsp;11. Pledge, hypothecate, mortgage or transfer (except as provided in the fundamental restriction regarding Senior Securities) as security for indebtedness any securities held by the fund, except in an amount of not more than 10% of the value of the fund's total assets and then only to secure borrowings permitted by the fundamental restriction regarding borrowing and the non-fundamental restriction regarding short sales. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets. For purposes of this restriction, "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes.

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**Disciplined Value International Fund, Emerging Markets Equity Fund, and Small Cap Core Fund**

**<u>Fundamental Investment Restrictions</u>** 

**(1)** **Concentration.** A fund will not concentrate its investments in a particular industry, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(2)** **Borrowing.** A fund will not borrow money, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(3)** **Underwriting.** A fund will not engage in the business of underwriting securities issued by others, except to the extent that the fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

**(4)** **Real Estate.** A fund will not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that the fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

**(5)** **Commodities.** A fund will not purchase or sell commodities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(6)** **Loans.** A fund will not make loans except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(7)** **Senior Securities.** A fund will not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

For purposes of fundamental restriction No. 7, purchasing securities on a when-issued, forward commitment or delayed delivery basis and engaging in hedging and other strategic transactions will not be deemed to constitute the issuance of a senior security.

**<u>Non-Fundamental Investment Restrictions</u>** 

*Disciplined Value International Fund and Emerging Markets Equity Fund* 

A fund will not:

**(8)** Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

**(9)** Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

**(10)** Pledge, hypothecate, mortgage or transfer (except as provided in restriction (7)) as security for indebtedness any securities held by the fund, except in an amount of not more than 10% of the value of the fund's total assets and then only to secure borrowings permitted by restrictions (2) and (9). For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets.

For purposes of restriction (10), "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes.

*Small Cap Core Fund* 

*Small Cap Core Fund will not:* 

**(8)** Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

**(9)** Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

**(10)** Pledge, hypothecate, mortgage or transfer (except as provided in restriction (7)) as security for indebtedness any securities held by the fund, except in an amount of not more than 10% of the value of the fund's total assets and then only to secure borrowings permitted by restrictions (2) and (9). For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets.

**(11)** Make investments in business development companies ("BDCs").

For purposes of restriction (10), "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes.

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**Infrastructure Fund**

**<u>Fundamental Investment Restrictions</u>** 

**(1)** **Concentration.** The fund will invest over 25% of its net assets in industries represented by infrastructure companies. The fund will not invest more than 25% of its net assets in the securities of issuers in any other single industry or group of industries. This limitation does not apply to investments in obligations of the U.S. government or any of its agencies, instrumentalities or authorities.

**(2)** **Borrowing.** The fund will not borrow money, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(3)** **Underwriting.** The fund will not engage in the business of underwriting securities issued by others, except to the extent that the fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

**(4)** **Real Estate.** The fund will not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that the fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

**(5)** **Commodities.** The fund will not purchase or sell commodities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(6)** **Loans.** The fund will not make loans except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(7)** **Senior Securities.** The fund will not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

For purposes of fundamental restriction (7), purchasing securities on a when-issued, forward commitment or delayed delivery basis and engaging in hedging and other strategic transactions will not be deemed to constitute the issuance of a senior security.

**<u>Non-Fundamental Investment Restrictions</u>** 

The fund will not:

**(8)** Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

**(9)** Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

**(10)** Pledge, hypothecate, mortgage or transfer (except as provided in restriction (7)) as security for indebtedness any securities held by the fund, except in an amount of not more than 10% of the value of the fund's total assets and then only to secure borrowings permitted by restrictions (2) and (9). For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets.

For purposes of restriction (10), "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes.

**Diversified Macro Fund and International Dynamic Growth Fund**

**<u>Fundamental Investment Restrictions</u>** 

**(1)** **Concentration.** A fund will not concentrate its investments in a particular industry or group of industries, as used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(2)** **Borrowing.** A fund will not borrow money, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(3)** **Underwriting.** A fund will not engage in the business of underwriting securities issued by others, except to the extent that the fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

**(4)** **Real Estate.** A fund will not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that the fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

**(5)** **Commodities.** A fund will not purchase or sell commodities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(6)** **Loans.** A fund will not make loans except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(7)** **Senior Securities.** A fund will not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(8)** **Diversification.** Each fund has elected to be treated as a diversified investment company, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

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For purposes of fundamental restriction (7), purchasing securities on a when-issued, forward commitment or delayed delivery basis and engaging in hedging and other strategic transactions will not be deemed to constitute the issuance of a senior security.

**<u>Non-Fundamental Investment Restrictions</u>** 

A fund will not:

**(8)** Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

**(9)** Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

**(10)** Pledge, hypothecate, mortgage or transfer (except as provided in restriction (7)) as security for indebtedness any securities held by the fund, except in an amount of not more than 10% of the value of the fund's total assets and then only to secure borrowings permitted by restrictions (2) and (9). For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets.

For purposes of restriction (10), "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes

**Global Environmental Opportunities Fund**

**<u>Fundamental Investment Restrictions</u>** 

**(1)** **Concentration.** The fund will not concentrate its investments in a particular industry, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(2)** **Diversification.** The fund has elected to be treated as a diversified investment company, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(3)** **Borrowing.** The fund will not borrow money, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(4)** **Underwriting.** The fund will not engage in the business of underwriting securities issued by others, except to the extent that the fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

**(5)** **Real Estate.** The fund will not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that the fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

**(6)** **Commodities.** The fund will not purchase or sell commodities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(7)** **Loans.** A fund will not make loans except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

**(8)** **Senior Securities.** A fund will not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

For purposes of Fundamental Restriction No. 8, purchasing securities on a when-issued, forward commitment or delayed delivery basis and engaging in hedging and other strategic transactions will not be deemed to constitute the issuance of a senior security.

**<u>Non-Fundamental Investment Restrictions</u>** 

The fund will not:

**(9)** Knowingly invest more than 15% of the value of its net assets in securities or other investments, including repurchase agreements maturing in more than seven days but excluding master demand notes, which are not readily marketable.

**(10)** Make short sales of securities or maintain a short position, if, when added together, more than 25% of the value of the fund's net assets would be: (i) deposited as collateral for the obligation to replace securities borrowed to effect short sales; and (ii) allocated to segregated accounts in connection with short sales, except that it may obtain such short-term credits as may be required to clear transactions. For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve the use of margin. Short sales "against-the-box" are not subject to this limitation.

**(11)** Pledge, hypothecate, mortgage or transfer (except as provided in restriction (8)) as security for indebtedness any securities held by the fund, except in an amount of not more than 33¹/3 %\* of the value of the fund's total assets and then only to secure borrowings permitted by restrictions (2) and (10). For purposes of this restriction, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets.

For purposes of this restriction (11), "other strategic transactions" can include short sales and derivative transactions intended for non-hedging purposes, collateral arrangements with respect to hedging and other strategic transactions will not be deemed to involve a pledge of assets.

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**Financial Industries Fund and Regional Bank Fund**

**<u>Fundamental Investment Restrictions</u>** 

1. **Senior Securities** 

*Financial Industries Fund* 

The fund may not issue senior securities, except as permitted by the fund's restrictions on borrowing money, investing in commodities, and making loans, and as otherwise permitted by the 1940 Act. For purposes of this restriction, the issuance of shares of beneficial interest in multiple classes or series, the deferral of trustees' fees, the purchase or sale of options, futures contracts and options on futures contracts, forward commitments, forward foreign exchange contracts and repurchase agreements entered into in accordance with the fund's investment policies are not deemed to be senior securities.

*Regional Bank Fund* 

The fund may not issue senior securities, except as permitted under the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

2. **Borrowing Money** 

*Financial Industries Fund* 

The fund may not borrow money, except: (i) for temporary or short-term purposes or for the clearance of transactions in amounts not to exceed 33⅓% of the value of the fund's total assets (including the amount borrowed) taken at market value; (ii) in connection with the redemption of fund shares or to finance failed settlements of portfolio trades without immediately liquidating portfolio securities or other assets; (iii) in order to fulfill commitments or plans to purchase additional securities pending the anticipated sale of other portfolio securities or assets; (iv) in connection with entering into reverse repurchase agreements and dollar rolls, but only if after each such borrowing there is asset coverage of at least 300% as defined in the 1940 Act; and (v) as otherwise permitted under the 1940 Act.

For purposes of this investment restriction, the deferral of trustees' fees and transactions in short sales, futures contracts, options on futures contracts, securities or indices and forward commitment transactions shall not constitute borrowing.

*Regional Bank Fund* 

The fund may not borrow money, except from banks temporarily for extraordinary or emergency purposes (not for leveraging or investment) and then in an aggregate amount not in excess of 5% of the value of the fund's net assets at the time of such borrowing.

3. **Underwriting** 

*Financial Industries Fund* 

The fund may not act as an underwriter of securities of other issuers except to the extent that in selling portfolio securities it may be deemed to be an underwriter for purposes of the 1933 Act.

*Regional Bank Fund* 

The fund may not engage in the business of underwriting securities issued by others, except to the extent that the fund may be deemed to be an underwriter in connection with the disposition of portfolio securities.

4. **Real Estate** 

*Financial Industries Fund* 

The fund may not purchase, sell or invest in real estate, but subject to its other investment policies and restrictions may invest in securities of companies that deal in real estate or are engaged in the real estate business. These companies include real estate investment trusts and securities secured by real estate or interests in real estate. The fund may hold and sell real estate acquired through default, liquidation or other distributions of an interest in real estate as a result of the fund's ownership of securities.

*Regional Bank Fund* 

The fund may not purchase or sell real estate, which term does not include securities of companies which deal in real estate or mortgages or investments secured by real estate or interests therein, except that the fund reserves freedom of action to hold and to sell real estate acquired as a result of the fund's ownership of securities.

5. **Commodities** 

*Financial Industries Fund* 

The fund may not invest in commodities or commodity futures contracts, other than financial derivative contracts. Financial derivative include forward foreign currency contracts; financial futures contracts and options on financial futures contracts; options and warrants on securities, currencies and financial indices; swaps, caps, floors, collars and swaptions; and repurchase agreements entered into in accordance with the fund's investment policies.

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*Regional Bank Fund* 

The fund may not purchase or sell commodities or commodity futures contracts including forward foreign currency contracts, futures contracts and options thereon or interests in oil, gas or other mineral exploration or development programs.

6. **Loans** 

*Financial Industries Fund* 

The fund may not make loans, except that the fund: (1) may lend portfolio securities in accordance with the fund's investment policies up to 33⅓% of the fund's total assets taken at market value,; (2) enter into repurchase agreements, and (3) purchase all or a portion of an issue of debt securities, bank loan participation interests, bank certificates of deposit, bankers' acceptances, debentures or other securities, whether or not the purchase is made upon the original issuance of the securities.

*Regional Bank Fund* 

The fund may not make loans, except that the fund may purchase or hold debt instruments and may enter into repurchase agreements in accordance with its investment objective and policies.

7. **Concentration** 

*Financial Industries Fund* 

The fund may not purchase the securities of issuers conducting their principal activity in the same industry if, immediately after such purchase, the value of its investments in such industry would exceed 25% of its total assets taken at market value at the time of such investment; except that the fund will ordinarily invest more than 25% of its assets in the financial services sector. This limitation does not apply to investments in obligations of the U.S. government or any of its agencies, instrumentalities or authorities.

*Regional Bank Fund* 

The fund may not concentrate its investments in a particular industry, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time. The fund will normally invest more than 25% of assets in the "banking industry" as defined in the fund's prospectus.

8. **Diversification** 

*Financial Industries Fund* 

With respect to 75% of its total assets, the fund may not purchase securities of an issuer (other than the U.S. Government, its agencies, instrumentalities or authorities), if: (a) such purchase would cause more than 5% of the fund's total assets taken at market value to be invested in the securities of such issuer; or (b) such purchase would at the time result in more than 10% of the outstanding voting securities of such issuer being held by the fund.

*Regional Bank Fund* 

The fund has elected to be treated as a diversified investment company, as that term is used in the 1940 Act, as amended, and as interpreted or modified by regulatory authority having jurisdiction, from time to time.

9. **Margin; Short Selling (Regional Bank Fund only)** 

The fund may not purchase securities on margin or sell short, except that the fund may obtain such short term credits as are necessary for the clearance of securities transactions. The deposit or payment by the fund of initial or maintenance margin in connection with futures contracts or related options transactions is not considered the purchase of a security on margin

10. **Warrants (Regional Bank Fund only)** 

Regional Bank Fund may not invest more than 5% of the value of the fund's net assets in marketable warrants to purchase common stock. Warrants acquired in units or attached to securities are not included in this restriction.

**<u>Non-Fundamental Investment Restrictions</u>** 

*Financial Industries Fund* 

Financial Industries Fund may not:

**(1)** Purchase securities on margin, except that the fund may obtain such short-term credits as may be necessary for the clearance of securities transactions.

**(2)** Participate on a joint-and-several basis in any securities trading account. The "bunching" of orders for the sale or purchase of marketable portfolio securities with other accounts under the management of the Advisor to save commissions or to average prices among them is not deemed to result in a joint securities trading account.

**(3)** Invest more than 15% of its net assets in illiquid securities.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**(4)** Purchase securities while outstanding borrowings (other than reverse repurchase agreements) exceed 5% of the fund's total assets.

**(5)** Invest for the purpose of exercising control over or management of any company.

If allowed by Financial Industries Fund's other investment policies and restrictions, the fund may invest up to 5% of its total assets in Russian equity securities and up to 10% of its total assets in Russian fixed-income securities. All Russian securities must be: (1) denominated in U.S. or Canadian dollars, euros, sterling, or yen; (2) traded on a major exchange; and (3) held physically outside of Russia.

*Regional Bank Fund* 

Regional Bank Fund may not:

&nbsp;&nbsp;&nbsp;&nbsp;1. Options Transactions. Write, purchase, or sell puts, calls or combinations thereof except that the fund may write, purchase or sell puts and calls on securities.

&nbsp;&nbsp;&nbsp;&nbsp;2. Invest more than 15% of its net assets in illiquid securities.

&nbsp;&nbsp;&nbsp;&nbsp;3. Acquisition for Control Purposes. Purchase securities of any issuer for the purpose of exercising control or management, except in connection with a merger, consolidation, acquisition or reorganization.

&nbsp;&nbsp;&nbsp;&nbsp;4. Joint Trading Accounts. Participate on a joint or joint and several basis in any trading account in securities (except for a joint account with other funds managed by the Advisor for repurchase agreements permitted by the Securities and Exchange Commission pursuant to an exemptive order).

If allowed by Regional Bank Fund's other investment policies and restrictions, the fund may invest up to 5% of its total assets in Russian equity securities and up to 10% of its total assets in Russian fixed-income securities. All Russian securities must be: (1) denominated in U.S. dollars, Canadian dollars, euros, sterling, or yen; (2) traded on a major exchange; and (3) held physically outside of Russia.

**Additional Information Regarding Fundamental Restrictions**

*Concentration.* While the 1940 Act does not define what constitutes "concentration" in an industry, the staff of the SEC takes the position that any fund that invests more than 25% of its total assets in a particular industry (excluding the U.S. government, its agencies or instrumentalities) is deemed to be "concentrated" in that industry. With respect to a fund's investment in loan participations, if any, the fund treats both the borrower and the financial intermediary under a loan participation as issuers for purposes of determining whether the fund has concentrated in a particular industry. For purposes of each fund's fundamental restriction regarding concentration, the fund will take into account the concentration policies of the underlying funds in which the fund invests.

*Diversification.* A diversified fund, as to at least 75% of the value of its total assets, generally may not, except with respect to government securities and securities of other investment companies, invest more than 5% of its total assets in the securities, or own more than 10% of the outstanding voting securities, of any one issuer. In determining the issuer of a municipal security, each state, each political subdivision, agency, and instrumentality of each state and each multi-state agency of which such state is a member is considered a separate issuer. In the event that securities are backed only by assets and revenues of a particular instrumentality, facility or subdivision, such entity is considered the issuer.

*Borrowing.* The 1940 Act permits a fund to borrow money in amounts of up to one-third of its total assets, at the time of borrowing, from banks for any purpose (a fund's total assets include the amounts being borrowed). To limit the risks attendant to borrowing, the 1940 Act requires a fund to maintain at all times an "asset coverage" of at least 300% of the amount of its borrowings, not including borrowings for temporary purposes in an amount not exceeding 5% of the value of its total assets. "Asset coverage" means the ratio that the value of a fund's total assets (including amounts borrowed), minus liabilities other than borrowings, bears to the aggregate amount of all borrowings.

*Commodities.* Under the federal securities and commodities laws, certain financial instruments such as futures contracts and options thereon, including currency futures, stock index futures or interest rate futures, and certain swaps, including currency swaps, interest rate swaps, swaps on broad-based securities indices, and certain credit default swaps, may, under certain circumstances, also be considered to be commodities. Nevertheless, the 1940 Act does not prohibit investments in physical commodities or contracts related to physical commodities. Funds typically invest in futures contracts and related options on these and other types of commodity contracts for hedging purposes, to implement tax or cash management strategies, or to enhance returns.

*Loans.* Although the 1940 Act does not prohibit a fund from making loans, SEC staff interpretations currently prohibit funds from lending more than one-third of their total assets, except through the purchase of debt obligations or the use of repurchase agreements. A repurchase agreement is an agreement to purchase a security, coupled with an agreement to sell that security back to the original seller on an agreed-upon date at a price that reflects current interest rates. The SEC frequently treats repurchase agreements as loans.

*Senior Securities.* "Senior securities" are defined as fund obligations that have a priority over a fund's shares with respect to the payment of dividends or the distribution of fund assets. The 1940 Act prohibits a fund from issuing any class of senior securities or selling any senior securities of which it is the issuer, except that the fund is permitted to borrow from a bank so long as, immediately after such borrowings, there is an asset coverage of at least 300% for all borrowings of the fund (not including borrowings for temporary purposes in an amount not exceeding 5% of the value of the fund's total assets). In the event that such asset coverage falls below this percentage, a fund must reduce the amount of its borrowings within three days (not including Sundays and holidays) so that the asset coverage is restored to at least 300%. The fundamental investment restriction regarding senior securities will be interpreted so as to permit collateral arrangements with respect to swaps, options, forward or futures contracts or other derivatives, or

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the posting of initial or variation margin. The Derivatives Rule provides an exemption to enter into certain transactions deemed to be senior securities subject to compliance with the limitations outlined in "Government Regulation of Derivatives."

Except with respect to the fundamental investment restriction on borrowing, if a percentage restriction is adhered to at the time of an investment, a later increase or decrease in the investment's percentage of the value of a fund's total assets resulting from a change in such values or assets will not constitute a violation of the percentage restriction. Any subsequent change in a rating assigned by any rating service to a security (or, if unrated, any change in the subadvisor's assessment of the security), or change in the percentage of fund assets invested in certain securities or other instruments, or change in the average duration of a fund's investment portfolio, resulting from market fluctuations or other changes in the fund's total assets will not require the fund to dispose of an investment until the subadvisor determines that it is practicable to sell or close out the investment without undue market or tax consequences to the fund. In the event that rating services assign different ratings to the same security, the subadvisor will determine which rating it believes best reflects the security's quality and risk at that time, which may be the highest of the several assigned ratings.

**Investment Policies that May Be Changed Only on 60 Days' Prior Written Notice to Shareholders**

In order to comply with Rule 35d-1 under the 1940 Act, the 80% investment policy for each of Emerging Markets Equity Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Infrastructure Fund, Regional Bank Fund, Small Cap Core Fund, and U.S. Global Leaders Growth Fund is subject to change only upon 60 days' prior written notice to shareholders. Refer to the applicable Prospectus for each fund's "Principal investment strategies."

**Portfolio Turnover**

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The annual rate of portfolio turnover will normally differ for each fund and may vary from year to year as well as within a year. A high rate of portfolio turnover (100% or more) generally involves correspondingly greater brokerage commission expenses, which must be borne directly by the fund. Portfolio turnover is calculated by dividing the lesser of purchases or sales of portfolio securities during the fiscal period by the monthly average of the value of the fund's portfolio securities. (Excluded from the computation are all securities, including options, with maturities at the time of acquisition of one year or less). Portfolio turnover rates can change from year to year due to various factors, including among others, portfolio adjustments made in response to market conditions.

The portfolio turnover rates for the funds for the fiscal periods ended October 31, 2025 and October 31, 2024 were as follows:

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| | | |
|:---|:---|:---|
| **Fund** | &nbsp;&nbsp; **2025**<br> **(%)**<br>| &nbsp;&nbsp; **2024**<br> **(%)**<br>|
| Balanced Fund | 71 | 67 |
| Classic Value Fund | 13 | 29 |
| Disciplined Value International Fund | 81 | 91 |
| Diversified Macro Fund | 0<sup>1</sup> <br>| 0<sup>1</sup> <br>|
| Emerging Markets Equity Fund | 33 | 46 |
| Financial Industries Fund | 63 | 61 |
| Fundamental Large Cap Core Fund | 49 | 19 |
| Global Environmental Opportunities Fund | 56 | 43 |
| Infrastructure Fund | 35 | 27 |
| International Dynamic Growth Fund | 135 | 83 |
| Regional Bank Fund | 5 | 3 |
| Small Cap Core Fund | 63 | 56 |
| U.S. Global Leaders Growth Fund | 32 | 29 |

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**1**

The calculation of portfolio turnover excludes amounts from securities whose maturities or expiration dates at the time of acquisition were one year or less, which represents a significant amount of the investments held by the fund. As a result, the portfolio turnover is 0%.

**Those Responsible for Management**

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The business of the Trusts, each an open-end management investment company, is managed by the Board, including certain Trustees who are not "interested persons" (as defined in the 1940 Act) of the funds or the Trusts (the "Independent Trustees"). The Trustees elect officers who are responsible for the day-to-day operations of the funds or the Trusts and who execute policies formulated by the Trustees. Several of the Trustees and officers of the Trusts also are officers or directors of the Advisor or the Distributor. Each Trustee oversees all of the funds and other funds in the John Hancock Fund Complex (as defined below).

The tables below present certain information regarding the Trustees and officers of the Trusts, including their principal occupations which, unless specific dates are shown, are of at least five years' duration. In addition, the tables include information concerning other directorships held by each Trustee in other registered investment companies or publicly traded companies. Information is listed separately for each Trustee who is an "interested person" (as defined in the 1940 Act) of the Trusts (each a "Non-Independent Trustee") and the Independent Trustees. As of October 31, 2025, the "John

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Hancock Fund Complex" consisted of 179 funds (including separate series of series mutual funds). Each Trustee has been elected to serve on the Board. Each of Grace K. Fey, Deborah C. Jackson, and Hassell H. McClellan was most recently elected to serve on the Board at a shareholder meeting held on November 15, 2012. Each of Andrew G. Arnott, James R. Boyle, Noni Ellison McKee, Dean C. Garfield, and Frances G. Rathke was most recently elected to serve on the Board at a shareholder meeting held on September 9, 2022. Each of William K. Bacic, Kristie M. Feinberg, Christine L. Hurtsellers, Kenneth J. Phelan, and Thomas R. Wright was most recently elected to serve on the Board at a shareholder meeting held on November 12, 2025. The address of each Trustee and officer of the Trusts is 200 Berkeley Street, Boston, Massachusetts 02116.

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| | | | |
|:---|:---|:---|:---|
| **Name**<br> **(Birth Year)**<br>| &nbsp;&nbsp;&nbsp; **Current Position(s)**<br> **with the Trusts**<sup>1</sup> <br>| &nbsp;&nbsp;&nbsp; **Principal Occupation(s) and Other**<br> **Directorships During the Past 5 Years**<br>| &nbsp;&nbsp;&nbsp; **Number of Funds in John**<br> **Hancock Fund Complex**<br> **Overseen by Trustee**<br>|
| **Non-Independent Trustees** | **Non-Independent Trustees** |  |  |
| Andrew G. Arnott<sup>2</sup> <br>(1971)<br>| &nbsp;&nbsp;&nbsp; Trustee, each <br> Trust (since 2017)<br>| &nbsp;&nbsp;&nbsp; Global Head of Institutional for Manulife (since 2025); Global Head of <br> Retail for Manulife (2022-2025); Head of Wealth and Asset <br> Management, United States and Europe, for John Hancock and <br> Manulife (2018-2023); Director and Chairman, John Hancock <br> Investment Management LLC (2005-2023, including prior <br> positions); Director and Chairman, John Hancock Variable Trust <br> Advisers LLC (2006-2023, including prior positions); Director and <br> Chairman, John Hancock Investment Management Distributors LLC <br> (2004-2023, including prior positions); President of various trusts <br> within the John Hancock Fund Complex (since 2007, including prior <br> positions).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2017).<br>| 176 |
| Kristie M. Feinberg<sup>2</sup> <br>(1975)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2025) and <br> President (Chief <br> Executive Officer <br> and Principal <br> Executive Officer) <br> (since 2023)<br>| &nbsp;&nbsp;&nbsp; Head of Retail, Manulife Investment Management (since 2025); Head <br> of Wealth & Asset Management, U.S. and Europe, for John Hancock <br> and Manulife (2023–2025); Director and Chairman, John Hancock <br> Investment Management LLC (since 2023); Director and Chairman, <br> John Hancock Variable Trust Advisers LLC (since 2023); Director and <br> Chairman, John Hancock Investment Management Distributors LLC <br> (since 2023); CFO and Global Head of Strategy, Manulife Investment <br> Management (2021–2023, including prior positions); CFO <br> Americas & Global Head of Treasury, Invesco, Ltd., Invesco US <br> (2019–2020, including prior positions); Senior Vice President, <br> Corporate Treasurer and Business Controller, Oppenheimer Funds <br> (2001–2019, including prior positions); President (Chief Executive <br> Officer and Principal Executive Officer) of various trusts within the <br> John Hancock Fund Complex (since 2023, including prior positions).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2025).<br>| 172 |

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**1**

Because each Trust is not required to and does not hold regular annual shareholder meetings, each Trustee holds office for an indefinite term until his or her successor is duly elected and qualified or until he or she dies, retires, resigns, is removed or becomes disqualified. Trustees may be removed from the Trust (provided the aggregate number of Trustees after such removal shall not be less than one) with cause or without cause, by the action of two-thirds of the remaining Trustees or by action of two-thirds of the outstanding shares of the Trust.

**2**

The Trustee is a Non-Independent Trustee due to current or former positions with the Advisor and certain of its affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Name**<br> **(Birth Year)**<br>| &nbsp;&nbsp;&nbsp; **Current Position(s)**<br> **with the Trusts**<sup>1</sup> <br>| &nbsp;&nbsp;&nbsp; **Principal Occupation(s) and Other**<br> **Directorships During the Past 5 Years**<br>| &nbsp;&nbsp;&nbsp; **Number of Funds in John**<br> **Hancock Fund Complex**<br> **Overseen by Trustee**<br>|
| **Independent Trustees** | **Independent Trustees** |  |  |
| William K. Bacic<br> (1956)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2024)<br>| &nbsp;&nbsp;&nbsp; Director, Audit Committee Chairman, and Risk Committee <br> Member, DWS USA Corp. (formerly, Deutsche Asset Management) <br> (2018-2024); Senior Partner, Deloitte & Touche LLP (1978- <br> retired 2017, including prior positions), specializing in the <br> investment management industry.<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2024).<br>| 176 |

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| | | | |
|:---|:---|:---|:---|
| **Name**<br> **(Birth Year)**<br>| &nbsp;&nbsp;&nbsp; **Current Position(s)**<br> **with the Trusts**<sup>1</sup><br>| &nbsp;&nbsp;&nbsp; **Principal Occupation(s) and Other**<br> **Directorships During the Past 5 Years**<br>| &nbsp;&nbsp;&nbsp; **Number of Funds in John**<br> **Hancock Fund Complex**<br> **Overseen by Trustee**<br>|
| **Independent Trustees** | **Independent Trustees** |  |  |
| James R. Boyle<br> (1959)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (2005–2010, <br> 2012–2014, and <br> since 2015)<br>| &nbsp;&nbsp;&nbsp; Board Member, United of Omaha Life Insurance Company (since <br> 2022); Board Member, Mutual of Omaha Investor Services, Inc. <br> (since 2022); Foresters Financial, Chief Executive Officer <br> (2018–2022) and board member (2017–2022); Manulife <br> Financial and John Hancock, more than 20 years, retiring in 2012 <br> as Chief Executive Officer, John Hancock and Senior Executive <br> Vice President, Manulife Financial.<br> Trustee of various trusts within the John Hancock Fund Complex <br> (2005–2014 and since 2015).<br>| 172 |
| Noni Ellison McKee<br> (1971)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2022)<br>| &nbsp;&nbsp;&nbsp; Senior Vice President, General Counsel & Corporate Secretary, <br> Tractor Supply Company (rural lifestyle retailer) (2021–2026); <br> General Counsel, Chief Compliance Officer & Corporate Secretary, <br> Carestream Dental, L.L.C. (2017–2021); Associate General <br> Counsel & Assistant Corporate Secretary, W.W. Grainger, Inc. <br> (global industrial supplier) (2015–2017); Board Member, <br> Goodwill of North Georgia, 2018 (FY2019)–2020 (FY2021); <br> Board Member, Howard University School of Law Board of Visitors <br> (since 2021); Board Member, University of Chicago Law School <br> Board of Visitors (since 2016); Board member, Children's <br> Healthcare of Atlanta Foundation Board (2021–2023); Board <br> Member, Congressional Black Caucus Foundation (since 2024).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2022).<br>| 172 |
| Grace K. Fey<br> (1946)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2012)<br>| &nbsp;&nbsp;&nbsp; Chief Executive Officer, Grace Fey Advisors (since 2007); Director <br> and Executive Vice President, Frontier Capital Management <br> Company (1988–2007); Director, Fiduciary Trust (since 2009).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2008).<br>| 179 |
| Dean C. Garfield<br> (1968)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2022)<br>| &nbsp;&nbsp;&nbsp; Senior Vice-President, TKO Group (a premier sports and live <br> entertainment company) (since 2025); Vice President, Netflix, <br> Inc. (2019–2024); President & Chief Executive Officer, <br> Information Technology Industry Council (2009–2019); NYU <br> School of Law Board of Trustees (since 2021); Member, <br> U.S. Department of Transportation, Advisory Committee on <br> Automation (since 2021); President of the United States Trade <br> Advisory Council (2010–2018); Board Member, College for Every <br> Student (2017–2021); Board Member, The Seed School of <br> Washington, D.C. (2012–2017); Advisory Board Member of the <br> Block Center for Technology and Society (since 2019).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2022).<br>| 172 |
| Christine L. Hurtsellers<br> (1963)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2025)<br>| &nbsp;&nbsp;&nbsp; Director, Investment Committee Chair, Chariot Re (since 2025); <br> Board Counselor, UNICEF USA (since 2018); Board Counselor, <br> The Carter Center (since 2010); Voya Financial, Inc., Chief <br> Executive Officer, Voya Investment Management (2016-2024), <br> Chief Investment Officer, Fixed Income (2009-2016); Board <br> Governor, Investment Company Institute (2019-2024); Director, <br> Pomona Capital (2018-2024); Former Member, US Treasury <br> Borrowing Advisory Committee (2014-2022).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2025).<br>| 172 |

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| | | | |
|:---|:---|:---|:---|
| **Name**<br> **(Birth Year)**<br>| &nbsp;&nbsp;&nbsp; **Current Position(s)**<br> **with the Trusts**<sup>1</sup><br>| &nbsp;&nbsp;&nbsp; **Principal Occupation(s) and Other**<br> **Directorships During the Past 5 Years**<br>| &nbsp;&nbsp;&nbsp; **Number of Funds in John**<br> **Hancock Fund Complex**<br> **Overseen by Trustee**<br>|
| **Independent Trustees** | **Independent Trustees** |  |  |
| Deborah C. Jackson<br> (1952)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2008) and <br> Vice Chairperson of <br> the Board, each <br> Trust (since 2025)<br>| &nbsp;&nbsp;&nbsp; President, Cambridge College, Cambridge, Massachusetts <br> (2011–2023); Board of Directors, Amwell Corporation (since <br> 2020); Board of Directors, Massachusetts Women's Forum <br> (2018–2020); Board of Directors, National Association of <br> Corporate Directors/New England (2015–2020); Chief Executive <br> Officer, American Red Cross of Massachusetts Bay (2002–2011); <br> Board of Directors of Eastern Bank Corporation (since 2001); <br> Board of Directors of Eastern Bank Charitable Foundation (since <br> 2001); Board of Directors of Boston Stock Exchange <br> (2002–2008); Board of Directors of Harvard Pilgrim Healthcare <br> (health benefits company) (2007–2011).<br> Trustee (since 2008) and Vice Chairperson of the Board (since <br> 2025) of various trusts within the John Hancock Fund Complex.<br>| 175 |
| Hassell H. McClellan<br> (1945)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2012) and <br> Chairperson of the <br> Board, each Trust <br> (since 2017)<br>| &nbsp;&nbsp;&nbsp; Trustee of Berklee College of Music (since 2022); <br> Director/Trustee, Virtus Funds (2008–2020); Director, The <br> Barnes Group (2010–2021); Associate Professor, The Wallace E. <br> Carroll School of Management, Boston College (retired 2013).<br> Trustee (since 2005) and Chairperson of the Board (since 2017) <br> of various trusts within the John Hancock Fund Complex.<br>| 179 |
| Kenneth J. Phelan<br> (1959)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2025)<br>| &nbsp;&nbsp;&nbsp; Director, Audit, Finance & Social Responsibility Committees <br> member, Adtalem Global Education Inc. (since 2020); Director, <br> Risk Oversight Chair, Executive, Human Resources & <br> Compensation Committees member, Huntington Bancshares <br> Incorporated (since 2019); Senior Advisor, Oliver Wyman, Inc. <br> (since 2019); Chief Risk Officer, U.S. Department of the Treasury <br> (2014-2019).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2025).<br>| 172 |
| Frances G. Rathke<br> (1960)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2020)<br>| &nbsp;&nbsp;&nbsp; Director, Audit Committee Chair, Oatly Group AB (plant-based <br> drink company) (since 2021); Director, Audit Committee Chair <br> and Compensation Committee Member, Green Mountain Power <br> Corporation (since 2016); Director, Flynn Center for Performing <br> Arts (since 2016); Director and Audit Committee Chair, Planet <br> Fitness (since 2016); Chief Financial Officer and Treasurer, Keurig <br> Green Mountain, Inc. (2003–retired 2015).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2020).<br>| 172 |
| Thomas R. Wright<br> (1961)<br>| &nbsp;&nbsp;&nbsp; Trustee, each Trust <br> (since 2024)<br>| &nbsp;&nbsp;&nbsp; Chief Operating Officer, JMP Securities (2020-2023); Director of <br> Equities, JMP Securities (2013-2023); Executive Committee <br> Member, JMP Group (2013-2023); Global Head of Trading, <br> Sanford C. Bernstein & Co. (2004-2012); and Head of European <br> Equity Trading and Salestrading, Merrill Lynch & Co (2003-2004); <br> Head of US Equity Cash Trading and Salestrading, Merrill Lynch & <br> Co (1998-2002).<br> Trustee of various trusts within the John Hancock Fund Complex <br> (since 2024).<br>| 172 |

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**1**

Because each Trust is not required to and does not hold regular annual shareholder meetings, each Trustee holds office for an indefinite term until his or her successor is duly elected and qualified or until he or she dies, retires, resigns, is removed or becomes disqualified. Trustees may be removed from the Trust (provided the aggregate number of Trustees after such removal shall not be less than one) with cause or without cause, by the action of two-thirds of the remaining Trustees or by action of two-thirds of the outstanding shares of the Trust.

**Principal Officers who are not Trustees**

The following table presents information regarding the current principal officers of the Trusts who are not Trustees, including their principal occupations which, unless specific dates are shown, are of at least five years' duration. Each of the officers is an affiliated person of the Advisor. All of the officers

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listed are officers or employees of the Advisor or its affiliates. All of the officers also are officers of all of the other funds for which the Advisor serves as investment advisor.

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| | | |
|:---|:---|:---|
| **Name (Birth Year)** | &nbsp;&nbsp;&nbsp; **Current Position(s)** <br> **with the Trusts**<sup>1</sup> <br>| **Principal Occupation(s) During the Past 5 Years** |
| Fernando A. Silva<br> (1977)<br>| &nbsp;&nbsp;&nbsp; Chief Financial Officer <br> (Principal Financial <br> Officer and Principal <br> Accounting Officer) (since <br> 2024)<br>| &nbsp;&nbsp;&nbsp; Director, Fund Administration and Assistant Treasurer, John Hancock Funds (2016-2020); <br> Assistant Treasurer, John Hancock Investment Management LLC and John Hancock Variable <br> Trust Advisers LLC (since 2020); Assistant Vice President, John Hancock Life & Health <br> Insurance Company, John Hancock Life Insurance Company (U.S.A.) and John Hancock Life <br> Insurance Company of New York (since 2021); Chief Financial Officer (Principal Financial <br> Officer and Principal Accounting Officer) of various trusts within the John Hancock Fund <br> Complex (since 2024).<br>|
| Salvatore Schiavone<br> (1965)<br>| Treasurer (since 2010) | &nbsp;&nbsp;&nbsp; Assistant Vice President, John Hancock Financial Services (since 2007); Vice President, <br> John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC <br> (since 2007); Treasurer of various trusts within the John Hancock Fund Complex (since <br> 2007, including prior positions).<br>|
| Christopher (Kit) Sechler<br> (1973)<br>| &nbsp;&nbsp;&nbsp; Secretary and Chief Legal <br> Officer (since 2018)<br>| &nbsp;&nbsp;&nbsp; Vice President and Deputy Chief Counsel, John Hancock Investment Management (since <br> 2015); Assistant Vice President and Senior Counsel (2009–2015), John Hancock <br> Investment Management; Assistant Secretary of John Hancock Investment Management <br> LLC and John Hancock Variable Trust Advisers LLC (since 2009); Chief Legal Officer and <br> Secretary of various trusts within the John Hancock Fund Complex (since 2009, including <br> prior positions).<br>|
| Trevor Swanberg<br> (1979)<br>| &nbsp;&nbsp;&nbsp; Chief Compliance Officer <br> (since 2020)<br>| &nbsp;&nbsp;&nbsp; Chief Compliance Officer, John Hancock Investment Management LLC and John Hancock <br> Variable Trust Advisers LLC (since 2020); Deputy Chief Compliance Officer, John Hancock <br> Investment Management LLC and John Hancock Variable Trust Advisers LLC (2019–2020); <br> Assistant Chief Compliance Officer, John Hancock Investment Management LLC and John <br> Hancock Variable Trust Advisers LLC (2016–2019); Vice President, State Street Global <br> Advisors (2015–2016); Chief Compliance Officer of various trusts within the John Hancock <br> Fund Complex (since 2016, including prior positions).<br>|

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**1**

Each officer holds office for an indefinite term until his or her successor is duly elected and qualified or until he or she dies, retires, resigns, is removed or becomes disqualified.

**Additional Information about the Trustees**

In addition to the description of each Trustee's Principal Occupation(s) and Other Directorships set forth above, the following provides further information about each Trustee's specific experience, qualifications, attributes or skills with respect to each Trust. The information in this section should not be understood to mean that any of the Trustees is an "expert" within the meaning of the federal securities laws.

The Board believes that the different perspectives, viewpoints, professional experience, education, and individual qualities of each Trustee represent a diversity of experiences and a variety of complementary skills and expertise. Each Trustee has experience as a Trustee of the Trusts as well as experience as a Trustee of other John Hancock funds. It is the Trustees' belief that this allows the Board, as a whole, to oversee the business of the funds and the other funds in the John Hancock Fund Complex in a manner consistent with the best interests of the funds' shareholders. When considering potential nominees to fill vacancies on the Board, and as part of its annual self-evaluation, the Board reviews the mix of skills and other relevant experiences of the Trustees.

**Independent Trustees**

*William K. Bacic –* As a retired Certified Public Accountant, Mr. Bacic served as New England Managing Partner of a major independent registered public accounting firm, as well as a member of its U.S. Executive Committee, and has deep financial and accounting expertise. He served as the lead partner on the firm's largest financial services companies, primarily focused on the investment management industry and mutual funds. He also has expertise in corporate governance and regulatory matters as well as prior experience serving as a board member and audit committee chair of a large global asset management company.

*James R. Boyle –* Mr. Boyle has high-level executive, financial, operational, governance, regulatory and leadership experience in the financial services industry, including in the development and management of registered investment companies, variable annuities, retirement and insurance products. Mr. Boyle is the former President and CEO of a large international fraternal life insurance company and is the former President and CEO of multi-line life insurance and financial services companies. Mr. Boyle began his career as a Certified Public Accountant with Coopers & Lybrand.

*Noni Ellison McKee –* As a senior vice president, general counsel, and corporate secretary with over 25 years of executive leadership experience, Ms. Ellison McKee has extensive management and business expertise in legal, regulatory, compliance, operational, quality assurance, international, finance and governance matters.

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*Grace K. Fey –* Ms. Fey has significant governance, financial services, and asset management industry expertise based on her extensive non-profit board experience, as well as her experience as a consultant to non-profit and corporate boards, and as a former director and executive of an investment management firm.

*Dean C. Garfield –* As a former president and chief executive officer of a leading industry organization and current Senior Vice-President of a leading international sports and live entertainment company, Mr. Garfield has significant and diverse global executive operational, governance, regulatory, and leadership experience. He also has experience as a leader overseeing and implementing global public policy matters including strategic initiatives.

*Christine L. Hurtsellers –* As the former Chief Executive Officer and Chief Investment Officer, Fixed Income, of Voya Investment Management and a former member of the Board of Governors of the Investment Company Institute, Ms. Hurtsellers brings deep leadership, risk management, corporate strategy, operations, and regulatory expertise in the investment management, financial services, and capital markets industries. She also brings strong board leadership experience in her roles as a director of a life and annuity reinsurance business and a number of large non-profits.

*Deborah C. Jackson –* Ms. Jackson has leadership, governance, management, and operational oversight experience as the lead director of a large bank, former president of a college, and as the former chief executive officer of a major charitable organization. She also has expertise in financial services matters and oversight and corporate governance experience as a current and former director of various other corporate organizations, including an insurance company, a regional stock exchange, a telemedicine company, and non-profit entities.

*Hassell H. McClellan –* As a former professor of finance and policy in the graduate management department of a major university, a director of a public company, and as a former director of several privately held companies, Dr. McClellan has experience in corporate and financial matters. He also has experience as a director of other investment companies not affiliated with the Trusts.

*Kenneth J. Phelan –* Through his role as a director of a bank holding company and a public company and through his former roles as chief risk officer of the U.S. Department of the Treasury and various financial institutions, Mr. Phelan brings a strong background in risk management and oversight, legal and regulatory compliance, and corporate strategy, as well as leadership and operational experience in investment management, banking and capital markets. He also brings strong board leadership experience, including through challenging market environments.

*Frances G. Rathke –* Through her former positions in senior financial roles, as a former Certified Public Accountant, and as a consultant on strategic and financial matters, Ms. Rathke has experience as a leader overseeing, conceiving, implementing, and analyzing strategic and financial growth plans, and financial statements. Ms. Rathke also has experience in the auditing of financial statements and related materials. In addition, she has experience as a director of various organizations, including a publicly traded company and a non-profit entity.

*Thomas R. Wright –* As a retired Chief Operating Officer of a significant capital markets firm and a former Director of Equities and Executive Committee Member, Mr. Wright has deep executive, investment banking, portfolio management, securities brokerage, and equity research expertise. Mr. Wright has also served as the Global Head of Trading and Head of European Equity Trading and Salestrading at an investment bank and asset manager and has substantial securities industry and international trading and markets expertise.

**Non-Independent Trustees**

*Andrew G. Arnott –* As former President of various trusts within the John Hancock Fund Complex, and through prior leadership roles including Global Head of Retail for Manulife, and as Trustee of the John Hancock Fund Complex, Mr. Arnott has experience in the management of investments, registered investment companies, variable annuities and retirement products, enabling him to provide management input to the Board.

*Kristie M. Feinberg –* As President and CEO of John Hancock Investment Management and of various trusts within the John Hancock Fund Complex, and through prior leadership roles at Manulife Investment Management including Head of Wealth & Asset Management, U.S. and Europe and CFO and Global Head of Strategy, Ms. Feinberg brings deep expertise in financial services. Her strong background in finance, strategy, and leadership, along with a proven track record of expanding product offerings and distribution, enables her to provide strategic insight and management input to the Board.

**Duties of Trustees; Committee Structure**

Each Trust is organized as a Massachusetts business trust. Under each Declaration of Trust, the Trustees are responsible for managing the affairs of the Trust, including the appointment of advisors and subadvisors. Each Trustee has the experience, skills, attributes or qualifications described above (see "Principal Occupation(s) and Other Directorships" and "Additional Information about the Trustees" above). The Board appoints officers who assist in managing the day-to-day affairs of the Trusts. The Board met five times during the fiscal year ended October 31, 2025.

The Board has appointed an Independent Trustee as Chairperson. The Chairperson presides at meetings of the Trustees and may call meetings of the Board and any Board committee whenever he deems it necessary. The Chairperson participates in the preparation of the agenda for meetings of the Board and the identification of information to be presented to the Board with respect to matters to be acted upon by the Board. The Chairperson also acts as a liaison with the funds' management, officers, attorneys, and other Trustees generally between meetings. The Chairperson may perform such other functions as may be requested by the Board from time to time. The Board also has designated a Vice Chairperson to serve in the absence of the Chairperson. Except for any duties specified herein or pursuant to a Trust's Declaration of Trust or By-laws, or as assigned by the Board, the designation of a Trustee as Chairperson or Vice Chairperson does not impose on that Trustee any duties, obligations or liability that are greater than the duties, obligations or liability imposed on any other Trustee, generally. The Board has designated a number of standing committees as further described below, each of which has a Chairperson. The Board also may designate working groups or ad hoc committees as it deems appropriate.

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The Board believes that this leadership structure is appropriate because it allows the Board to exercise informed and independent judgment over matters under its purview, and it allocates areas of responsibility among committees or working groups of Trustees and the full Board in a manner that enhances effective oversight. The Board considers leadership by an Independent Trustee as Chairperson to be integral to promoting effective independent oversight of the funds' operations and meaningful representation of the shareholders' interests, given the specific characteristics and circumstances of the funds. The Board also believes that having a super-majority of Independent Trustees is appropriate and in the best interest of the funds' shareholders. Nevertheless, the Board also believes that having interested persons serve on the Board brings corporate and financial viewpoints that are, in the Board's view, helpful elements in its decision-making process. In addition, the Board believes that Ms. Feinberg and Messrs. Arnott and Boyle as current or former senior executives of the Advisor and the Distributor (or of their parent company, Manulife Financial Corporation), and of other affiliates of the Advisor and the Distributor, provide the Board with the perspective of the Advisor and the Distributor in managing and sponsoring all of each Trust's series. The leadership structure of the Board may be changed, at any time and in the discretion of the Board, including in response to changes in circumstances or the characteristics of a Trust.

*Board Committees*

The Board has established an Audit Committee; Compliance Committee; Contracts, Legal & Risk Committee; Nominating and Governance Committee; and Investment Committee. The current membership of each committee is set forth below.

**Audit Committee.** The Board has a standing Audit Committee composed solely of Independent Trustees (Mr. Bacic, Ms. Rathke, and Mr. Wright). Ms. Rathke serves as Chairperson of this Committee. Ms. Rathke and Mr. Bacic have each been designated by the Board as an "audit committee financial expert," as defined in SEC rules. This Committee reviews the internal and external accounting and auditing procedures of the Trusts and, among other things, considers the selection of an independent registered public accounting firm for each Trust, approves all significant services proposed to be performed by its independent registered public accounting firm and considers the possible effect of such services on its independence. This Committee met six times during the fiscal year ended October 31, 2025.

**Compliance Committee.** The Board also has a standing Compliance Committee (Ms. Fey, Mr. Garfield, and Mses. Hurtsellers and Jackson). Ms. Fey serves as Chairperson of this Committee. This Committee reviews and makes recommendations to the full Board regarding certain compliance matters relating to the Trusts. This Committee met four times during the fiscal year ended October 31, 2025.

**Contracts, Legal & Risk Committee.** The Board also has a standing Contracts, Legal & Risk Committee (Mr. Boyle, Ms. Ellison McKee, and Mr. Phelan). Mr. Boyle serves as Chairperson of this Committee. This Committee oversees the initiation, operation, and renewal of the various contracts between the Trust and other entities. These contracts include advisory and subadvisory agreements, custodial and transfer agency agreements and arrangements with other service providers. The Committee also reviews the significant legal affairs of the funds, as well as any significant regulatory and legislative actions or proposals affecting or relating to the funds or their service providers. The Committee also assists the Board in its oversight role with respect to the processes pursuant to which the Advisor and the subadvisors identify, manage and report the various risks that affect or could affect the funds. This Committee met four times during the fiscal year ended October 31, 2025.

**Nominating and Governance Committee.** The Board also has a Nominating and Governance Committee composed of all of the Independent Trustees. Dr. McClellan serves as Chairperson of this Committee. This Committee will consider nominees recommended by Trust shareholders. Nominations should be forwarded to the attention of the Secretary of the Trust at 200 Berkeley Street, Boston, Massachusetts 02116. Any shareholder nomination must be submitted in compliance with all of the pertinent provisions of Rule 14a-8 under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), in order to be considered by this Committee. This Committee met five times during the fiscal year ended October 31, 2025.

**Investment Committee.** The Board also has an Investment Committee composed of all of the Trustees. The Investment Committee has four subcommittees with the Trustees divided among the four subcommittees (each an "Investment Sub-Committee"). Messrs. Bacic and Boyle and Mses. Ellison McKee and Jackson serve as Chairpersons of the Investment Sub-Committees. Each Investment Sub-Committee reviews investment matters relating to a particular group of funds in the John Hancock Fund Complex and coordinates with the full Board regarding investment matters. The Investment Committee met five times during the fiscal year ended October 31, 2025.

Annually, the Board evaluates its performance and that of its Committees, including the effectiveness of the Board's Committee structure.

*Risk Oversight*

As registered investment companies, the funds are subject to a variety of risks, including investment risks (such as, among others, market risk, credit risk and interest rate risk), financial risks (such as, among others, settlement risk, liquidity risk and valuation risk), compliance risks, and operational risks. As a part of its overall activities, the Board oversees the funds' risk management activities that are implemented by the Advisor, the funds' CCO and other service providers to the funds. The Advisor has primary responsibility for the funds' risk management on a day-to-day basis as a part of its overall responsibilities. Each fund's subadvisor, subject to oversight of the Advisor, is primarily responsible for managing investment and financial risks as a part of its day-to-day investment responsibilities, as well as operational and compliance risks at its firm. The Advisor and the CCO also assist the Board in overseeing compliance with investment policies of the funds and regulatory requirements and monitor the implementation of the various compliance policies and procedures approved by the Board as a part of its oversight responsibilities.

The Advisor identifies to the Board the risks that it believes may affect the funds and develops processes and controls regarding such risks. However, risk management is a complex and dynamic undertaking and it is not always possible to comprehensively identify and/or mitigate all such risks at all times since risks are at times impacted by external events. In discharging its oversight responsibilities, the Board considers risk management issues

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throughout the year with the assistance of its various Committees as described below. Each Committee meets at least quarterly and presents reports to the Board, which may prompt further discussion of issues concerning the oversight of the funds' risk management. The Board as a whole also reviews written reports or presentations on a variety of risk issues as needed and may discuss particular risks that are not addressed in the Committee process.

The Board has established an Investment Committee, which consists of four Investment Sub-Committees. Each Investment Sub-Committee assists the Board in overseeing the significant investment policies of the relevant funds and the performance of their subadvisors. The Advisor monitors these policies and subadvisor activities and may recommend changes in connection with the funds to each relevant Investment Sub-Committee in response to subadvisor requests or other circumstances. On at least a quarterly basis, each Investment Sub-Committee reviews reports from the Advisor regarding the relevant funds' investment performance, which include information about investment and financial risks and how they are managed, and from the CCO or his/her designee regarding subadvisor compliance matters. In addition, each Investment Sub-Committee meets periodically with the portfolio managers of the funds' subadvisors to receive reports regarding management of the funds, including with respect to risk management processes.

The Audit Committee assists the Board in reviewing with the independent auditors, at various times throughout the year, matters relating to the funds' financial reporting. In addition, this Committee oversees the process of each fund's valuation of its portfolio securities, assisted by the Advisor's Pricing Committee (composed of officers of the Advisor), which calculates fair value determinations pursuant to procedures established by the Advisor and adopted by the Board.

With respect to valuation, the Advisor provides periodic reports to the Board and Investment Committee that enables the Board to oversee the Advisor, as each fund's valuation designee, in assessing, managing and reviewing material risks associated with fair valuation determinations, including material conflicts of interest. In addition, the Board reviews the Advisor's performance of an annual valuation risk assessment under which the Advisor seeks to identify and enumerate material valuation risks which are or may be impactful to the funds including, but not limited to (1) the types of investments held (or intended to be held) by the funds, giving consideration to those investments' characteristics; (2) potential market or sector shocks or dislocations which may affect the ongoing valuation operations; (3) the extent to which each fair value methodology uses unobservable inputs; (4) the proportion of each fund's investments that are fair valued as determined in good faith, as well as their contributions to a fund's returns; (5) the use of fair value methodologies that rely on inputs from third-party service providers; and (6) the appropriateness and application of the methods for determining and calculating fair value. The Advisor reports any material changes to the risk assessment, along with appropriate actions designed to manage such risks, to the Board.

The Compliance Committee assists the Board in overseeing the activities of the Trusts' CCO with respect to the compliance programs of the funds, the Advisor, the subadvisors, and certain of the funds' other service providers (the Distributor and transfer agent). This Committee and the Board receive and consider periodic reports from the CCO throughout the year, including the CCO's annual written report, which, among other things, summarizes material compliance issues that arose during the previous year and any remedial action taken to address these issues, as well as any material changes to the compliance programs.

The Contracts, Legal & Risk Committee assists the Board in its oversight role with respect to the processes pursuant to which the Advisor and the subadvisors identify, assess, manage and report the various risks that affect or could affect the funds. This Committee reviews reports from the funds' Advisor on a periodic basis regarding the risks facing the funds, and makes recommendations to the Board concerning risks and risk oversight matters as the Committee deems appropriate. This Committee also coordinates with the other Board Committees regarding risks relevant to the other Committees, as appropriate.

The Board considers liquidity risk management issues as part of its general oversight responsibilities and oversees the Trust's liquidity risk through, among other things, receiving periodic reporting and presentations that address liquidity matters. As required by rule 22e-4 under the 1940 Act, the Board, including a majority of the Independent Trustees, has approved the Trust's Liquidity Risk Management Program (the "LRM Program"), which is reasonably designed to assess and manage the Trust's liquidity risk, and has appointed the LRM Program Administrator that is responsible for administering the LRM Program. The Board receives liquidity risk management reports under the funds' LRM Program and reviews, no less frequently than annually, a written report prepared by the LRM Program Administrator that addresses, among other items, the operation of the LRM Program and assesses its adequacy and effectiveness of implementation as well as any material changes to the LRM Program.

As required by rule 18f-4 under the 1940 Act, funds that engage in derivatives transactions, other than limited derivatives users, generally must adopt and implement written derivatives risk management program (the "Derivatives Risk Management Program"), that is reasonably designed to manage the funds' derivatives risks, while taking into account the funds' derivatives and other investments. This program includes risk guidelines, stress testing, internal reporting and escalation and periodic review of the program. To the extent that the funds invest in derivatives, on a quarterly and annual, the Advisor will provide the Board with written reports that address the operation, adequacy and effectiveness of the funds' Derivatives Risk Management Program, which is generally designed to assess and manage derivatives risk.

In addressing issues regarding the funds' risk management between meetings, appropriate representatives of the Advisor communicate with the Chairperson of the Board, the relevant Committee Chair, or the Trusts' CCO, who is directly accountable to the Board. As appropriate, the Chairperson of the Board, the Committee Chairs and the Trustees confer among themselves, with the Trusts' CCO, the Advisor, other service providers, external fund counsel, and counsel to the Independent Trustees, to identify and review risk management issues that may be placed on the full Board's agenda and/or that of an appropriate Committee for review and discussion.

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In addition, in its annual review of the funds' advisory, subadvisory and distribution agreements, the Board reviews information provided by the Advisor, the subadvisors and the Distributor relating to their operational capabilities, financial condition, risk management processes and resources.

The Board may, at any time and in its discretion, change the manner in which it conducts its risk oversight role.

The Advisor also has its own, independent interest in risk management. In this regard, the Advisor has appointed a Risk and Investment Operations Committee, consisting of senior personnel from each of the Advisor's functional departments. This Committee reports periodically to the Board and the Contracts, Legal & Risk Committee on risk management matters. The Advisor's risk management program is part of the overall risk management program of John Hancock, the Advisor's parent company. John Hancock's Chief Risk Officer supports the Advisor's risk management program, and at the Board's request will report on risk management matters.

**Compensation of Trustees**

Trustees are reimbursed for travel and other out-of-pocket expenses. Effective January 1, 2026, each Independent Trustee receives in the aggregate from the Trusts and the other open-end funds in the John Hancock Fund Complex an annual retainer of $322,000, a fee of $24,520 for each regular meeting of the Trustees (in person or via videoconference or teleconference) and a fee of $5,000 for each special meeting of the Trustees (in person or via videoconference or teleconference). The Chairperson of the Board receives an additional retainer of $228,400. The Vice Chairperson of the Board receives an additional retainer of $25,000. The Chairperson of each of the Audit Committee, Compliance Committee, and Contracts, Legal & Risk Committee receives an additional $40,000 retainer. The Chairperson of each Investment Sub-Committee receives an additional $22,000 retainer.

The following table provides information regarding the compensation paid by each Trust and the other investment companies in the John Hancock Fund Complex to the Trustees for their services during the fiscal year ended October 31, 2025.

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**Compensation Table**<sup>1</sup>

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name of Trustee** | &nbsp;&nbsp;&nbsp; **Total Compensation**<br> **from**<br> **Capital Series ($)**<br>| &nbsp;&nbsp;&nbsp; **Total Compensation**<br> **from**<br> **Investment Trust ($)**<br>| &nbsp;&nbsp;&nbsp; **Total Compensation**<br> **from**<br> **Investment Trust II ($)**<br>| &nbsp;&nbsp;&nbsp; **Total Compensation**<br> **from the Trusts and**<br> **the John Hancock**<br> **Fund Complex ($)**<sup>2</sup> <br>|
| **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** |
| William K. Bacic | 4704 | 42724 | 2022 | 469581 |
| James R. Boyle | 5901 | 52686 | 2512 | 569581 |
| William H. Cunningham<sup>3</sup> | 4742 | 44855 | 2118 | 564581 |
| Noni Ellison McKee | 4688 | 42348 | 2017 | 465786 |
| Grace K. Fey | 5146 | 46865 | 2214 | 672081 |
| Dean C. Garfield | 4704 | 42786 | 2022 | 469581 |
| Christine L. Hurtsellers<sup>4</sup> | N/A | N/A | N/A | N/A |
| Deborah C. Jackson | 5146 | 46865 | 2214 | 597081 |
| Hassell H. McClellan | 7139 | 65286 | 3075 | 885809 |
| Kenneth J. Phelan<sup>4</sup> | N/A | N/A | N/A | N/A |
| Steven R. Pruchansky<sup>5</sup> | 305 | 2170 | 122 | 22880 |
| Frances G. Rathke | 5146 | 46865 | 2214 | 509581 |
| Thomas R. Wright | 4704 | 42657 | 2022 | 469581 |
| **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** |
| Andrew G. Arnott | 0 | 0 | 0 | 0 |
| Kristie M. Feinberg<sup>6</sup> | 0 | 0 | 0 | 0 |
| Paul Lorentz<sup>7</sup> | 0 | 0 | 0 | 0 |

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**1**

The Trust does not have a pension or retirement plan for any of its Trustees or officers.

**2**

There were approximately 179 series in the John Hancock Fund Complex as of October 31, 2025.

**3**

Mr. Cunningham retired as Trustee effective December 31, 2025.

**4**

Elected to serve as Trustee effective November 12, 2025.

**5**

Mr. Pruchansky retired as Trustee effective December 31, 2024.

**6**

Appointed to serve as Trustee effective June 30, 2025.

**7**

Mr. Lorentz no longer serves as Trustee effective June 30, 2025.

**Trustee Ownership of Shares of the Funds**

The table below sets forth the dollar range of the value of the shares of each fund, and the dollar range of the aggregate value of the shares of all funds in the John Hancock Fund Complex overseen by a Trustee, owned beneficially by the Trustees as of December 31, 2025. For purposes of this table, beneficial ownership is defined to mean a direct or indirect pecuniary interest. Trustees may own shares beneficially through group annuity contracts. Exact dollar amounts of securities held are not listed in the table. Rather, dollar ranges are identified.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Trust/Funds** | **Balanced Fund** | &nbsp;&nbsp; **Classic Value**<br> **Fund**<br>| &nbsp;&nbsp; **Disciplined Value**<br> **International Fund**<br>| &nbsp;&nbsp; **Diversified**<br> **Macro Fund**<br>| &nbsp;&nbsp; **Emerging Markets**<br> **Equity Fund**<br>|
| **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** |
| William K. Bacic |  |  |  |  |  |
| James R. Boyle |  | Over $100,000 | Over $100,000 |  |  |
| Noni Ellison McKee |  |  |  |  |  |
| Grace K. Fey |  |  |  |  |  |
| Dean C. Garfield |  |  |  |  |  |
| Christine L. Hurtsellers<sup>1</sup> |  |  |  |  |  |
| Deborah C. Jackson | $10001 - $50000 | $10001 - $50000 | $10001 - $50000 |  |  |
| Hassell H. McClellan |  |  |  |  |  |
| Kenneth J. Phelan<sup>1</sup> |  |  |  |  |  |
| Frances G. Rathke |  |  |  |  |  |
| Thomas R. Wright |  |  |  |  |  |

---

**75**

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Trust/Funds** | **Balanced Fund** | &nbsp;&nbsp; **Classic Value**<br> **Fund**<br>| &nbsp;&nbsp; **Disciplined Value**<br> **International Fund**<br>| &nbsp;&nbsp; **Diversified**<br> **Macro Fund**<br>| &nbsp;&nbsp; **Emerging Markets**<br> **Equity Fund**<br>|
| **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** |
| Andrew G. Arnott |  |  |  |  |  |
| Kristie M. Feinberg<sup>2</sup> |  |  |  |  |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Trust/Funds** | &nbsp;&nbsp; **Financial**<br> **Industries Fund**<br>| &nbsp;&nbsp; **Fundamental Large**<br> **Cap Core Fund**<br>| &nbsp;&nbsp; **Global Environmental**<br> **Opportunities Fund**<br>| &nbsp;&nbsp; **Infrastructure**<br> **Fund**<br>| &nbsp;&nbsp; **International**<br> **Dynamic**<br> **Growth Fund**<br>|
| **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** |
| William K. Bacic |  |  |  |  |  |
| James R. Boyle |  |  |  |  |  |
| Noni Ellison McKee |  |  |  |  |  |
| Grace K. Fey |  |  |  |  |  |
| Dean C. Garfield |  |  |  |  |  |
| Christine L. Hurtsellers<sup>1</sup> |  |  |  |  |  |
| Deborah C. Jackson |  | $50001 - $100000 |  |  |  |
| Hassell H. McClellan |  |  |  |  |  |
| Kenneth J. Phelan<sup>1</sup> |  |  |  |  |  |
| Frances G. Rathke |  |  |  |  |  |
| Thomas R. Wright |  |  |  |  |  |
| **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** |
| Andrew G. Arnott |  |  |  |  |  |
| Kristie M. Feinberg<sup>2</sup> |  |  |  |  |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Trust/Funds** | &nbsp;&nbsp; **Regional**<br> **Bank Fund**<br>| &nbsp;&nbsp; **Small Cap**<br> **Core Fund**<br>| &nbsp;&nbsp; **U.S. Global**<br> **Leaders Growth**<br> **Fund**<br>| &nbsp;&nbsp; **Total – John**<br> **Hancock Fund**<br> **Complex**<br>|
| **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** | **Independent Trustees** |
| William K. Bacic |  |  |  | Over $100,000 |
| James R. Boyle |  |  |  | Over $100,000 |
| Noni Ellison McKee |  |  |  | $50001 - $100000 |
| Grace K. Fey |  |  |  | Over $100,000 |
| Dean C. Garfield |  |  |  | $50001 - $100000 |
| Christine L. Hurtsellers<sup>1</sup> |  |  |  |  |
| Deborah C. Jackson |  |  |  | Over $100,000 |
| Hassell H. McClellan |  |  |  | Over $100,000 |
| Kenneth J. Phelan<sup>1</sup> |  |  |  |  |
| Frances G. Rathke |  |  |  | $50001 - $100000 |
| Thomas R. Wright |  |  |  | Over $100,000 |
| **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** | **Non-Independent Trustees** |
| Andrew G. Arnott |  |  |  | Over $100,000 |
| Kristie M. Feinberg<sup>2</sup> |  |  |  |  |

---

**1**

Elected to serve as Trustee effective November 12, 2025.

**2**

Appointed to serve as Trustee effective June 30, 2025.

**Shareholders of The FUNDS**

------

To the best knowledge of the Trusts, as of January 30, 2026, the Trustees and officers of each Trust, in the aggregate, beneficially owned less than 1% of the outstanding shares of each class of shares of each fund.

**76**

------

To the best knowledge of the Trusts, as of January 30, 2026, the following shareholders (principal holders) owned beneficially or of record 5% or more of the outstanding shares of the funds and classes stated below. A shareholder who owns beneficially more than 25% of a fund or any class of a fund is deemed to be a control person of that fund or that class of the fund, as applicable, and therefore could determine the outcome of a shareholder meeting with respect to a proposal directly affecting that fund or that share class, as applicable.

As of January 30, 2026, Manulife Reinsurance (Bermuda) Ltd ("Manulife (Bermuda)") owned 36.4% of the voting securities of Global Environmental Opportunities Fund. Manulife (Bermuda) is organized under the laws of Bermuda. Its principal address is Victoria Place, 5th Floor, 31 Victoria Street, Hamilton HM 10, Bermuda. Manulife (Bermuda) is an indirect, wholly owned subsidiary of The Manufacturers Life Insurance Company, a Canadian stock life insurance company. MFC is the holding company of The Manufacturers Life Insurance Company and its subsidiaries. The principal offices of MFC are located at 200 Bloor Street East, Toronto, Ontario, Canada M4W 1E5.

---

| | | | |
|:---|:---|:---|:---|
| **Fund Name** | **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| BALANCED FUND<br> A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 68.18% | RECORD |
| BALANCED FUND<br> A | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 6.18% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 25.06% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 13.12% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 12.99% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 10.34% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 7.55% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 6.97% | RECORD |
| BALANCED FUND<br> C | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCT FBO CUSTOMERS<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 5.14% | RECORD |
| BALANCED FUND<br> I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 16.76% | RECORD |

---

**77**

------

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| BALANCED FUND | I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 16.75% | RECORD |
| BALANCED FUND | I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 16.70% | RECORD |
| BALANCED FUND | I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 9.18% | RECORD |
| BALANCED FUND | I | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 7.72% | RECORD |
| BALANCED FUND | I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 6.71% | RECORD |
| BALANCED FUND | I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 6.15% | RECORD |
| BALANCED FUND | I | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 5.33% | RECORD |
| BALANCED FUND | R2 | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 10.70% | RECORD |
| BALANCED FUND | R2 | &nbsp;&nbsp; STEVE BERGMAN FBO<br> BERGMAN REALTY CORP 401K PSP<br> & TRUST<br> 1251 WATERFRONT PL STE 525<br> PITTSBURGH PA 15222-4228<br>| 9.82% | BENEFICIAL |
| BALANCED FUND | R2 | &nbsp;&nbsp; SPECIAL CUSTODY ACCOUNT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMERS OF<br> UBS FINANCIAL SERVICES INC<br> 1000 HARBOR BLVD<br> WEEHAWKEN NJ 07086-6761<br>| 9.34% | RECORD |
| BALANCED FUND | R2 | &nbsp;&nbsp; MID ATLANTIC TRUST COMPANY FBO<br> ABRASIVES & TOOLS OF NH INC 401(K)<br> 1251 WATERFRONT PL STE 525<br> PITTSBURGH PA 15222-4228<br>| 8.66% | BENEFICIAL |
| BALANCED FUND | R2 | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 7.56% | RECORD |

---

**78**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| BALANCED FUND | R2 | &nbsp;&nbsp; CBNA CUST FBO<br> HOME OF GOOD SHEPHERD 403B RET<br> 6 RHOADS DR STE 7<br> UTICA NY 13502-6317<br>| 7.55% | BENEFICIAL |
| BALANCED FUND | R2 | &nbsp;&nbsp; MID ATLANTIC TRUST COMPANY FBO<br> EXTRAORD-N-AIR INC 401(K) PROFIT SH<br> 1251 WATERFRONT PLACE, SUITE 525<br> PITTSBURGH PA 15222-4228<br>| 5.83% | BENEFICIAL |
| BALANCED FUND | R4 | &nbsp;&nbsp; JOHN HANCOCK TRUST COMPANY<br> 200 BERKELEY ST STE 7<br> BOSTON MA 02116-5038<br>| 44.06% | RECORD |
| BALANCED FUND | R4 | &nbsp;&nbsp; STATE STREET BANK AND TRUST AS<br> TRUSTEE AND OR CUSTODIAN FBO ADP<br> ACCESS PRODUCT<br> 1 LINCOLN ST<br> BOSTON MA 02111-2901<br>| 40.59% | BENEFICIAL |
| BALANCED FUND | R4 | &nbsp;&nbsp; MATRIX TRUST COMPANY CUST FBO<br> L & H COMPANY INC 401 (K) PROFIT<br> 717 17TH ST STE 1300<br> DENVER CO 80202-3304<br>| 11.29% | BENEFICIAL |
| BALANCED FUND | R5 | &nbsp;&nbsp; ASCENSUS TRUST COMPANY FBO<br> LAUDADIO POLYMERS INC 401K PS PLAN<br> PO BOX 10577<br> FARGO ND 58106-0577<br>| 91.62% | BENEFICIAL |
| BALANCED FUND | R5 | &nbsp;&nbsp; FIIOC FBO KOEHLER INSTRUMENT CO INC<br> 401K RETIREMENT PLAN<br> 100 MAGELLAN WAY (KW1C)<br> COVINGTON KY 41015-1987<br>| 6.44% | BENEFICIAL |
| BALANCED FUND | R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 84.57% | RECORD |
| CLASSIC VALUE FUND | A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 17.59% | RECORD |
| CLASSIC VALUE FUND | A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 15.61% | RECORD |
| CLASSIC VALUE FUND | A | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 6.04% | RECORD |
| CLASSIC VALUE FUND | A | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 5.19% | RECORD |

---

**79**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| CLASSIC VALUE FUND | C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 27.11% | RECORD |
| CLASSIC VALUE FUND | C | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCT FBO CUSTOMERS<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 15.39% | RECORD |
| CLASSIC VALUE FUND | C | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 5.43% | RECORD |
| CLASSIC VALUE FUND | I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 19.41% | RECORD |
| CLASSIC VALUE FUND | I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 12.39% | RECORD |
| CLASSIC VALUE FUND | I | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 12.25% | RECORD |
| CLASSIC VALUE FUND | I | &nbsp;&nbsp; SPECIAL CUSTODY ACCOUNT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMERS OF<br> UBS FINANCIAL SERVICES INC<br> 1000 HARBOR BLVD<br> WEEHAWKEN NJ 07086-6761<br>| 11.73% | RECORD |
| CLASSIC VALUE FUND | I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 9.18% | RECORD |
| CLASSIC VALUE FUND | I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.15% | RECORD |
| CLASSIC VALUE FUND | R2 | &nbsp;&nbsp; ASCENSUS TRUSTCO FBO<br> AG RISK SOLUTIONS RETPLAN<br> PO BOX 10758<br> FARGO ND 58106-0758<br>| 47.03% | BENEFICIAL |
| CLASSIC VALUE FUND | R2 | &nbsp;&nbsp; ASCENSUS TRUST COMPANY FBO<br> MAIN<br> PO BOX 10758<br> FARGO ND 58106-0758<br>| 18.27% | RECORD |

---

**80**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| CLASSIC VALUE FUND | R2 | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 9.43% | RECORD |
| CLASSIC VALUE FUND | R5 | &nbsp;&nbsp; MID ATLANTIC TRUST COMPANY FBO<br> ONE SOURCE OFFICE REFRESHMENT<br> 401 K PROFIT SHARING PLAN & TRUST<br> 1251 WATERFRONT PL STE 525<br> PITTSBURGH PA 15222-4228<br>| 100.00% | BENEFICIAL |
| CLASSIC VALUE FUND | R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 70.04% | RECORD |
| CLASSIC VALUE FUND | R6 | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCT FBO CUSTOMERS<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 11.56% | RECORD |
| CLASSIC VALUE FUND | R6 | &nbsp;&nbsp; EMPOWER TRUST FBO<br> EMPLOYEE BENEFITS CLIENTS 401K - FG<br> 8515 E ORCHARD RD # 2T2<br> GREENWOOD VLG CO 80111-5002<br>| 7.57% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 57.49% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| A | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCOUNT FOR<br> BENE OF CUST<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 9.04% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 16.91% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCT FBO CUSTOMERS<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 15.12% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 11.52% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 9.12% | RECORD |

---

**81**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 7.79% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 7.27% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| C | &nbsp;&nbsp; MLPF&S<br> 4800 DEER LAKE DRIVE<br> JACKSONVILLE FL 32246-6484<br>| 6.48% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| I | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 40.85% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 22.70% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 20.07% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.99% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R2 | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 93.72% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R2 | &nbsp;&nbsp; EMPOWER TRUST FBO<br> EMPOWER BENEFIT PLANS<br> 8515 E ORCHARD RD # 2T2<br> GREENWOOD VLG CO 80111-5002<br>| 5.48% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R4 | &nbsp;&nbsp; MATRIX TRUST COMPANY CUST FBO<br> FAMILY CARE ASSOCIATES OF<br> 717 17TH ST STE 1300<br> DENVER CO 80202-3304<br>| 35.06% | BENEFICIAL |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R4 | &nbsp;&nbsp; STATE STREET BANK AND TRUST AS<br> TRUSTEE AND OR CUSTODIAN FBO ADP<br> ACCESS PRODUCT<br> 1 LINCOLN ST<br> BOSTON MA 02111-2901<br>| 31.53% | BENEFICIAL |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R4 | &nbsp;&nbsp; ASCENSUS TRUST COMPANY FBO<br> DATOCWITTEN GROUP INC 401K PLAN<br> PO BOX 10758<br> FARGO ND 58106-0758<br>| 12.27% | BENEFICIAL |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R4 | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 10.31% | RECORD |

---

**82**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R4 | &nbsp;&nbsp; MATRIX TRUST COMPANY CUST FBO<br> IAMS CONSULTING LLC 401K PLAN<br> 717 17TH ST STE 1300<br> DENVER CO 80202-3304<br>| 8.86% | BENEFICIAL |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 37.42% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R6 | &nbsp;&nbsp; JOHN HANCOCK LIFE INSURANCE<br> COMPANY (USA)<br> ATTN: JHRPS TRADING OPS ST6<br> 200 BERKELEY ST<br> BOSTON MA 02116-5022<br>| 10.79% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| R6 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 10.49% | RECORD |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 31.75% | BENEFICIAL |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 19.88% | BENEFICIAL |
| DISCIPLINED VALUE <br> INTERNATIONAL FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> AGGRESSIVE PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 13.53% | BENEFICIAL |
| DIVERSIFIED MACRO <br> FUND<br>| A | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 39.17% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| A | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCOUNT FOR<br> BENE OF CUST<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 28.97% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| A | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 9.67% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| C | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 54.56% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| C | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 14.48% | RECORD |

---

**83**

------

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| DIVERSIFIED MACRO <br> FUND<br>| C | &nbsp;&nbsp; JOHN HANCOCK LIFE & HEALTH INS CO<br> CUSTODIAN FOR THE IRA OF<br> JOSEPH M BATTISTA<br> 2652 LUNDQUIST DR<br> AURORA IL 60503-3653<br>| 11.30% | BENEFICIAL |
| DIVERSIFIED MACRO <br> FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 7.24% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 27.95% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 26.13% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 18.33% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 11.47% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 5.71% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| R6 | &nbsp;&nbsp; ATTN MUTUAL FUND OPERATIONS<br> MAC & CO A/C<br> 500 GRANT ST RM 151-1010<br> PITTSBURGH PA 15219-2502<br>| 95.73% | RECORD |
| DIVERSIFIED MACRO <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II ALTERNATIVE ASSET ALLOCATION<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 38.48% | BENEFICIAL |
| DIVERSIFIED MACRO <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 18.38% | BENEFICIAL |
| DIVERSIFIED MACRO <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 14.17% | BENEFICIAL |
| DIVERSIFIED MACRO <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> MODERATE PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 5.14% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 72.89% | RECORD |

---

**84**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| EMERGING MARKETS <br> EQUITY FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 64.85% | RECORD |
| EMERGING MARKETS <br> EQUITY FUND<br>| C | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 9.67% | RECORD |
| EMERGING MARKETS <br> EQUITY FUND<br>| I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 91.52% | RECORD |
| EMERGING MARKETS <br> EQUITY FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 5.60% | RECORD |
| EMERGING MARKETS <br> EQUITY FUND<br>| R2 | &nbsp;&nbsp; ASCENSUS TRUST COMPANY FBO<br> BRIGHTON SMILES PC 401(K) PLAN<br> PO BOX 10758<br> FARGO ND 58106-0758<br>| 92.47% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| R4 | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 53.82% | RECORD |
| EMERGING MARKETS <br> EQUITY FUND<br>| R4 | &nbsp;&nbsp; MATRIX TRUST COMPANY AS AGENT FOR<br> ADVISOR TRUST INC<br> WEBSTER CSD (NY) 403(B) PLAN<br> 717 17TH ST STE 1300<br> DENVER CO 80202-3304<br>| 36.09% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| R4 | &nbsp;&nbsp; MATRIX TRUST COMPANY AS AGENT FOR<br> ADVISOR TRUST INC<br> MANCHESTER-SHORTSVILLE CSD (NY) 403<br> 717 17TH ST STE 1300<br> DENVER CO 80202-3304<br>| 6.81% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 84.82% | RECORD |
| EMERGING MARKETS <br> EQUITY FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 24.73% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| NAV | &nbsp;&nbsp; JHVIT MANAGED VOLATILITY<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 20.00% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 14.46% | BENEFICIAL |
| EMERGING MARKETS <br> EQUITY FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> AGGRESSIVE PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 12.98% | BENEFICIAL |

---

**85**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| EMERGING MARKETS <br> EQUITY FUND<br>| NAV | &nbsp;&nbsp; JHVIT MANAGED VOLATILITY<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 9.48% | BENEFICIAL |
| FINANCIAL INDUSTRIES <br> FUND<br>| A | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ML REF<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DR E FL 2<br> JACKSONVILLE FL 32246-6484<br>| 8.93% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 7.70% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| A | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 6.48% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| A | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 6.47% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| A | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 5.87% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; J P MORGAN SECURITIES LLC OMNIBUS<br> ACCOUNT FOR THE EXCLUSIVE BENEFIT<br> OF CUSTOMERS<br> 575 WASHINGTON BLVD 12TH FL<br> MUTUAL FUND DEPARTMENT<br> JERSEY CITY NJ 07310-1616<br>| 14.47% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEERLAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 13.87% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 13.36% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 12.52% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 12.49% | RECORD |

---

**86**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 6.75% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 5.10% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN FUND ADMINISTRATION<br> 4800 DEERLAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 18.86% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> ATTN: MUTUAL FUNDS DEPARTMENT<br> 4TH FLOOR<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-2010<br>| 17.33% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 13.12% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 12.29% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 6.17% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 5.36% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| R6 | &nbsp;&nbsp; JOHN HANCOCK TRUST COMPANY LLC<br> 200 BERKELEY ST<br> BOSTON MA 02116-5022<br>| 24.36% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| R6 | &nbsp;&nbsp; MANULIFE INVESTMENT MGMT (US) LLC<br> 2024 MANULIFE INVESTMENT MANAGEMENT<br> BUCK<br> 197 CLARENDON ST<br> BOSTON MA 02116-5010<br>| 21.29% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| R6 | &nbsp;&nbsp; MANULIFE INVESTMENT MGMT (US) LLC<br> 2022 MANULIFE INVESTMENT MANAGEMENT<br> BUCK<br> 197 CLARENDON ST<br> BOSTON MA 02116-5010<br>| 16.34% | RECORD |

---

**87**

------

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| FINANCIAL INDUSTRIES <br> FUND<br>| R6 | &nbsp;&nbsp; MANULIFE INVESTMENT MGMT (US) LLC<br> 2023 MANULIFE INVESTMENT MANAGEMENT<br> BUCK PLAN<br> 197 CLARENDON ST<br> BOSTON MA 02116-5010<br>| 11.07% | RECORD |
| FINANCIAL INDUSTRIES <br> FUND<br>| R6 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 9.21% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 20.28% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 5.23% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 17.55% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 13.08% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 11.67% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEERLAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 10.17% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 6.63% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 6.55% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.40% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 13.31% | RECORD |

---

**88**

------

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 12.63% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 12.30% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 12.16% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 11.63% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 8.18% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; SPECIAL CUSTODY ACCOUNT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMERS OF<br> UBS FINANCIAL SERVICES INC<br> 1000 HARBOR BLVD<br> WEEHAWKEN NJ 07086-6761<br>| 7.50% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 6.18% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 5.90% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R2 | &nbsp;&nbsp; SAMMONS FINANCIAL NETWORK LLC<br> 8300 MILLS CIVIC PKWY<br> WDM IA 50266-3833<br>| 17.00% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R2 | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 15.63% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R2 | &nbsp;&nbsp; ASCENSUS TRUST COMPANY FBO<br> GRACE CONSULTING SOLO 401K<br> PO BOX 10758<br> FARGO ND 58106-0758<br>| 14.55% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R2 | &nbsp;&nbsp; MID ATLANTIC TRUST COMPANY FBO<br> LEPPARD JOHNSON AND ASSOCIATES 401(<br> 1251 WATERFRONT PLACE, SUITE 525<br> PITTSBURGH PA 15222-4228<br>| 7.83% | BENEFICIAL |

---

**89**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R2 | &nbsp;&nbsp; SPECIAL CUSTODY ACCOUNT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMERS OF<br> UBS FINANCIAL SERVICES INC<br> 1000 HARBOR BLVD<br> WEEHAWKEN NJ 07086-6761<br>| 6.57% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R4 | &nbsp;&nbsp; MATRIX TRUST COMPANY CUST FBO<br> DEER PARK COMMUNITY SD (OH) 403B<br> 717 17TH ST STE 1300<br> DENVER CO 80202-3304<br>| 71.97% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R4 | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 22.45% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R5 | &nbsp;&nbsp; MID ATLANTIC TRUST COMPANY FBO<br> FARMER, FUQUA & HUFF, P C 401(K) P<br> 1251 WATERFRONT PL STE 525<br> PITTSBURGH PA 15222-4228<br>| 97.70% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 64.64% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| R6 | &nbsp;&nbsp; JOHN HANCOCK LIFE INSURANCE<br> COMPANY (USA)<br> ATTN: JHRPS TRADING OPS ST6<br> 200 BERKELEY ST<br> BOSTON MA 02116-5022<br>| 27.18% | RECORD |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 23.34% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| NAV | &nbsp;&nbsp; JHVIT MANAGED VOLATILITY<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 19.60% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> AGGRESSIVE PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 13.53% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 12.25% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| NAV | &nbsp;&nbsp; JHVIT MANAGED VOLATILITY<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 11.90% | BENEFICIAL |
| FUNDAMENTAL LARGE <br> CAP CORE FUND<br>| NAV | &nbsp;&nbsp; JOHN HANCOCK LIFE INSURANCE CO USA<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 5.26% | BENEFICIAL |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 48.63% | RECORD |

---

**90**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| A | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 12.40% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 5.64% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| A | &nbsp;&nbsp; ING NATIONAL TRUST<br> GORDON ELROD<br> 1 ORANGE WAY<br> WINDSOR CT 06095-4773<br>| 5.19% | BENEFICIAL |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| C | &nbsp;&nbsp; MANULIFE REINSURANCE (BERMUDA) LTD<br> 200 BERKELEY ST<br> BOSTON MA 02116-5022<br>| 99.77% | BENEFICIAL |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 61.57% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| I | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 11.77% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 6.44% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 5.42% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| R6 | &nbsp;&nbsp; MANULIFE REINSURANCE (BERMUDA) LTD<br> 200 BERKELEY ST<br> BOSTON MA 02116-5022<br>| 47.49% | BENEFICIAL |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 31.66% | RECORD |
| GLOBAL <br> ENVIRONMENTAL <br> OPPORTUNITIES FUND<br>| R6 | &nbsp;&nbsp; BROWN BROTHERS HARRIMAN AND COMPANY<br> AS CUSTODIAN FOR<br> 140 BROADWAY<br> NEW YORK NY 10005-1108<br>| 17.03% | RECORD |
| INFRASTRUCTURE <br> FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 44.74% | RECORD |
| INFRASTRUCTURE <br> FUND<br>| A | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 9.86% | RECORD |

---

**91**

------

---

| | | | |
|:---|:---|:---|:---|
| **Fund Name** | **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| INFRASTRUCTURE <br> FUND<br>A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 6.84% | RECORD |
| INFRASTRUCTURE <br> FUND<br>A | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 6.03% | RECORD |
| INFRASTRUCTURE <br> FUND<br>A | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.41% | RECORD |
| INFRASTRUCTURE <br> FUND<br>C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 25.67% | RECORD |
| INFRASTRUCTURE <br> FUND<br>C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 16.81% | RECORD |
| INFRASTRUCTURE <br> FUND<br>C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 14.63% | RECORD |
| INFRASTRUCTURE <br> FUND<br>C | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 13.68% | RECORD |
| INFRASTRUCTURE <br> FUND<br>C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 9.25% | RECORD |
| INFRASTRUCTURE <br> FUND<br>C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 6.70% | RECORD |
| INFRASTRUCTURE <br> FUND<br>I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 32.69% | RECORD |
| INFRASTRUCTURE <br> FUND<br>I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 13.51% | RECORD |
| INFRASTRUCTURE <br> FUND<br>I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 12.02% | RECORD |

---

**92**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| INFRASTRUCTURE <br> FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 11.50% | RECORD |
| INFRASTRUCTURE <br> FUND<br>| I | &nbsp;&nbsp; ATTN MUTUAL FUND ADMIN<br> C/O LAIRD NORTON BANK ID<br> SEI PRIVATE TRUST COMPANY<br> 1 FREEDOM VALLEY DR<br> OAKS PA 19456-9989<br>| 8.53% | BENEFICIAL |
| INFRASTRUCTURE <br> FUND<br>| I | &nbsp;&nbsp; SPECIAL CUSTODY ACCOUNT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMERS OF<br> UBS FINANCIAL SERVICES INC<br> 1000 HARBOR BLVD<br> WEEHAWKEN NJ 07086-6761<br>| 5.54% | RECORD |
| INFRASTRUCTURE <br> FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 73.19% | RECORD |
| INFRASTRUCTURE <br> FUND<br>| R6 | &nbsp;&nbsp; NORTHERN TRUST AS CUSTODIAN FBO VAI<br> INTERNAL US EQUITIES A/C<br> PO BOX 92956<br> CHICAGO IL 60675-2956<br>| 11.34% | BENEFICIAL |
| INFRASTRUCTURE <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II ALTERNATIVE ASSET ALLOCATION<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 100.00% | BENEFICIAL |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 16.95% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 7.08% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| A | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 5.06% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 38.67% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| C | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 21.51% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 16.63% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 11.09% | RECORD |

---

**93**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 39.26% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 33.53% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 13.98% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.78% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 20.16% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 14.13% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; THE NORTHERN TRUST COMPANY FBO<br> SKADDEN ARPS SLATE MEAGHER & FLOM<br> PO BOX 92956<br> CHICAGO IL 60675-2956<br>| 10.33% | BENEFICIAL |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; SEI PRIVATE TRUST COMPANY<br> C/O ID<br> ATTN MUTUAL FUNDS<br> 1 FREEDOM VALLEY DR<br> OAKS PA 19456-9989<br>| 9.14% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 8.36% | RECORD |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; CAPINCO C/O US BANK NA<br> 1555 N RIVERCENTER DR STE 302<br> MILWAUKEE WI 53212-3958<br> 1555 N RIVERCENTER DR STE 302<br> MILWAUKEE WI 53212-3958<br>| 8.07% | BENEFICIAL |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| R6 | &nbsp;&nbsp; NORTHERN TRUST CO CUST FBO UNIDEL<br> AC<br> PO BOX 92956<br> CHICAGO IL 60675-2956<br>| 7.64% | BENEFICIAL |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 35.81% | BENEFICIAL |
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 23.06% | BENEFICIAL |

---

**94**

------

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| INTERNATIONAL <br> DYNAMIC GROWTH <br> FUND<br>| NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> AGGRESSIVE PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 16.76% | BENEFICIAL |
| REGIONAL BANK FUND | A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 10.98% | RECORD |
| REGIONAL BANK FUND | A | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 7.45% | RECORD |
| REGIONAL BANK FUND | A | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 7.09% | RECORD |
| REGIONAL BANK FUND | A | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 6.63% | RECORD |
| REGIONAL BANK FUND | A | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 6.45% | RECORD |
| REGIONAL BANK FUND | A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 5.48% | RECORD |
| REGIONAL BANK FUND | C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 24.09% | RECORD |
| REGIONAL BANK FUND | C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 21.02% | RECORD |
| REGIONAL BANK FUND | C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 12.06% | RECORD |
| REGIONAL BANK FUND | C | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 11.94% | RECORD |
| REGIONAL BANK FUND | C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 9.23% | RECORD |

---

**95**

------

---

| | | | |
|:---|:---|:---|:---|
| **Fund Name** | **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| REGIONAL BANK FUND<br> C | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCT FBO CUSTOMERS<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 5.76% | RECORD |
| REGIONAL BANK FUND<br> C | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 5.54% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN FUND ADMINISTRATION<br> 4800 DEERLAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 13.66% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> MUTUAL FUNDS DEPT<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 13.17% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 12.27% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 11.37% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 8.81% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 8.10% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; PERSHING LLC<br> 1 PERSHING PLZ<br> JERSEY CITY NJ 07399-0001<br>| 6.86% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 6.83% | RECORD |
| REGIONAL BANK FUND<br> I | &nbsp;&nbsp; SPECIAL CUSTODY ACCOUNT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMERS OF<br> UBS FINANCIAL SERVICES INC<br> 1000 HARBOR BLVD<br> WEEHAWKEN NJ 07086-6761<br>| 5.22% | RECORD |

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**96**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| REGIONAL BANK FUND | R6 | &nbsp;&nbsp; DCGT AS TTEE AND/OR CUST<br> FBO PLIC VARIOUS RETIREMENT PLANS<br> ATTN NPIO TRADE DESK<br> OMNIBUS<br> 711 HIGH ST<br> DES MOINES IA 50392-0001<br>| 31.66% | BENEFICIAL |
| REGIONAL BANK FUND | R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 18.87% | RECORD |
| REGIONAL BANK FUND | R6 | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCT FBO CUSTOMERS<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 16.99% | RECORD |
| REGIONAL BANK FUND | R6 | &nbsp;&nbsp; MANULIFE INVESTMENT MGMT (US) LLC<br> 2022 MANULIFE INVESTMENT MANAGEMENT<br> BUCK<br> 197 CLARENDON ST<br> BOSTON MA 02116-5010<br>| 8.86% | RECORD |
| REGIONAL BANK FUND | R6 | &nbsp;&nbsp; MANULIFE INVESTMENT MGMT (US) LLC<br> 2023 MANULIFE INVESTMENT MANAGEMENT<br> BUCK PLAN<br> 197 CLARENDON ST<br> BOSTON MA 02116-5010<br>| 7.62% | RECORD |
| REGIONAL BANK FUND | R6 | &nbsp;&nbsp; MANULIFE INVESTMENT MGMT (US) LLC<br> 2024 MANULIFE INVESTMENT MANAGEMENT<br> BUCK<br> 197 CLARENDON ST<br> BOSTON MA 02116-5010<br>| 5.95% | RECORD |
| SMALL CAP CORE FUND | A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 57.35% | RECORD |
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 21.22% | RECORD |
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 18.41% | RECORD |
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 15.99% | RECORD |
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; CHARLES SCHWAB & CO INC<br> SPECIAL CUSTODY ACCOUNT FOR<br> BENE OF CUST<br> ATTN MUTUAL FUNDS<br> 101 MONTGOMERY ST<br> SAN FRANCISCO CA 94104-4141<br>| 13.52% | RECORD |

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**97**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.76% | RECORD |
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; SEI PRIVATE TRUST COMPANY<br> C/O CIBC PRIVATE WEALTH GROUP<br> 1 FREEDOM VALLEY DR<br> OAKS PA 19456-9989<br>| 5.54% | BENEFICIAL |
| SMALL CAP CORE FUND | I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 5.26% | RECORD |
| SMALL CAP CORE FUND | R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 81.34% | RECORD |
| SMALL CAP CORE FUND | R6 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 7.03% | RECORD |
| SMALL CAP CORE FUND | NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> GROWTH PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 41.82% | BENEFICIAL |
| SMALL CAP CORE FUND | NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> BALANCED PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 24.01% | BENEFICIAL |
| SMALL CAP CORE FUND | NAV | &nbsp;&nbsp; JHF II MULTIMANAGER LIFESTYLE<br> AGGRESSIVE PORTFOLIO<br> 200 BERKELEY ST<br> BOSTON MA 02116-5023<br>| 20.33% | BENEFICIAL |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| A | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 38.69% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| A | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 6.54% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| C | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 14.09% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| C | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 11.33% | RECORD |

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**98**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| US GLOBAL LEADERS <br> GROWTH FUND<br>| C | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 10.44% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| C | &nbsp;&nbsp; WELLS FARGO CLEARING SERVICES, LLC<br> SPECIAL CUSTODY ACCT FOR THE<br> EXCLUSIVE BENEFIT OF CUSTOMER<br> 2801 MARKET ST<br> SAINT LOUIS MO 63103-2523<br>| 8.11% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| C | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 5.91% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| C | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 5.27% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| I | &nbsp;&nbsp; AMERICAN ENTERPRISE INVESTMENT SVC<br> 707 2ND AVE S<br> MINNEAPOLIS MN 55402-2405<br>| 23.11% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| I | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> FEBO CUSTOMERS<br> MUTUAL FUNDS<br> 200 LIBERTY ST # 1WFC<br> NEW YORK NY 10281-1015<br>| 19.46% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| I | &nbsp;&nbsp; LPL FINANCIAL<br> OMNIBUS CUSTOMER ACCOUNT<br> ATTN: MUTUAL FUND TRADING<br> 4707 EXECUTIVE DRIVE<br> SAN DIEGO CA 92121-3091<br>| 8.63% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| I | &nbsp;&nbsp; MORGAN STANLEY SMITH BARNEY LLC<br> FOR EXCLUSIVE BENEFIT OF CUSTOMERS<br> 1 NEW YORK PLAZA FL. 12<br> NEW YORK NY 10004-1965<br>| 7.41% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| I | &nbsp;&nbsp; RAYMOND JAMES<br> OMNIBUS FOR MUTUAL FUNDS<br> HOUSE ACCT FIRM<br> 880 CARILLON PKWY<br> ST PETERSBURG FL 33716-1100<br>| 6.38% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| I | &nbsp;&nbsp; JOHN HANCOCK TRUST COMPANY<br> 200 BERKELEY ST STE 7<br> BOSTON MA 02116-5038<br>| 5.85% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; MLPF&S FOR THE<br> SOLE BENEFIT OF ITS CUSTOMERS<br> ATTN: FUND ADMINISTRATION<br> 4800 DEER LAKE DRIVE EAST 2ND FL<br> JACKSONVILLE FL 32246-6484<br>| 39.65% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; ASCENSUS TRUST COMPANY FBO<br> CO OF WORCESTER OFFICE OF SHERIFF<br> PO BOX 10758<br> FARGO ND 58106-0758<br>| 11.14% | BENEFICIAL |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 9.33% | RECORD |

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**99**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Fund Name** | &nbsp;&nbsp; **Share**<br> **Class**<br>| **Name and Address** | &nbsp;&nbsp; **Percentage**<br> **Owned**<br>| &nbsp;&nbsp; **Type of**<br> **Ownership**<br>|
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 7.25% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 6.43% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 5.45% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R2 | &nbsp;&nbsp; NATIONAL FINANCIAL SERVICES LLC<br> 499 WASHINGTON BLVD<br> JERSEY CITY NJ 07310-1995<br>| 5.44% | RECORD |
| US GLOBAL LEADERS <br> GROWTH FUND<br>| R6 | &nbsp;&nbsp; EDWARD D JONES & CO<br> FOR THE BENEFIT OF CUSTOMERS<br> 12555 MANCHESTER ROAD<br> SAINT LOUIS MO 63131-3710<br>| 92.49% | RECORD |

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**Investment Management Arrangements and Other Services**

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**Advisory Agreement**

The Advisor serves as investment advisor to the funds and is responsible for the supervision of the subadvisor services to the funds pursuant to the Advisory Agreement. Pursuant to the Advisory Agreement and subject to general oversight by the Board, the Advisor manages and supervises the investment operations and business affairs of the funds. The Advisor provides the funds with all necessary office facilities and equipment and any personnel necessary for the oversight and/or conduct of the investment operations of the funds. The Advisor also coordinates and oversees the services provided to the funds under other agreements, including custodial, administrative and transfer agency services. Additionally, the Advisor provides certain administrative and other non-advisory services to the funds pursuant to a separate Service Agreement or Accounting and Legal Services Agreement, as discussed below.

The Advisor is responsible for overseeing and implementing a fund's investment program and provides a variety of advisory oversight and investment research services, including: (i) monitoring fund portfolio compositions and risk profiles and (ii) evaluating fund investment characteristics, such as investment strategies, and recommending to the Board potential enhancements to such characteristics. The Advisor provides management and transition services associated with certain fund events (e.g., strategy, portfolio manager or subadvisor changes).

The Advisor has the responsibility to oversee the subadvisors and recommend to the Board: (i) the hiring, termination, and replacement of a subadvisor; and (ii) the allocation and reallocation of a fund's assets among multiple subadvisors, when appropriate. In this capacity, the Advisor negotiates with potential subadvisors and, once retained, among other things: (i) monitors the compliance of the subadvisor with the investment objectives and related policies of the funds; (ii) reviews the performance of the subadvisor; and (iii) reports periodically on such performance to the Board. The Advisor utilizes the expertise of a team of investment professionals in manager research and oversight who provide these research and monitoring services.

The Advisor is not liable for any error of judgment or mistake of law or for any loss suffered by a fund in connection with the matters to which the Advisory Agreement relates, except a loss resulting from willful misfeasance, bad faith or gross negligence on the part of the Advisor in the performance of its duties or from its reckless disregard of its obligations and duties under the Advisory Agreement.

Under the Advisory Agreement, a fund may use the name "John Hancock" or any name derived from or similar to it only for so long as the Advisory Agreement or any extension, renewal or amendment thereof remains in effect. If the Advisory Agreement is no longer in effect, the fund (to the extent that it lawfully can) will cease to use such name or any other name indicating that it is advised by or otherwise connected with the Advisor. In addition, the Advisor or JHLICO U.S.A., a subsidiary of Manulife Financial, may grant the nonexclusive right to use the name "John Hancock" or any similar name to any other corporation or entity, including but not limited to any investment company of which the JHLICO U.S.A. or any subsidiary or affiliate thereof or any successor to the business of any subsidiary or affiliate thereof shall be the investment advisor.

The continuation of the Advisory Agreement and the Distribution Agreement (discussed below) were each approved by all Trustees. The Advisory Agreement and the Distribution Agreement will continue in effect from year to year, provided that each Agreement's continuance is approved annually both: (i) by the holders of a majority of the outstanding voting securities of the Trusts or by the Trustees; and (ii) by a majority of the Trustees who are not parties to the Agreement, or "interested persons" of any such parties. Each of these Agreements may be terminated on 60 days' written notice by any party or by a vote of a majority of the outstanding voting securities of the funds and will terminate automatically if assigned.

**100**

------

Each Trust bears all costs of its organization and operation, including but not limited to expenses of preparing, printing and mailing all shareholders' reports, notices, prospectuses, proxy statements and reports to regulatory agencies; expenses relating to the issuance, registration and qualification of shares; government fees; interest charges; expenses of furnishing to shareholders their account statements; taxes; expenses of redeeming shares; brokerage and other expenses connected with the execution of portfolio securities transactions; expenses pursuant to a fund's plan of distribution; fees and expenses of custodians including those for keeping books and accounts maintaining a committed line of credit and calculating the NAV of shares; fees and expenses of transfer agents and dividend disbursing agents; legal, accounting, financial, management, tax and auditing fees and expenses of the funds (including an allocable portion of the cost of the Advisor's employees rendering such services to the funds); the compensation and expenses of officers and Trustees (other than persons serving as President or Trustee who are otherwise affiliated with the funds the Advisor or any of their affiliates); expenses of Trustees' and shareholders' meetings; trade association memberships; insurance premiums; and any extraordinary expenses.

Securities held by a fund also may be held by other funds or investment advisory clients for which the Advisor, the subadvisor or their respective affiliates provide investment advice. Because of different investment objectives or other factors, a particular security may be bought for one or more funds or clients when one or more are selling the same security. If opportunities for purchase or sale of securities by the Advisor or subadvisor for a fund or for other funds or clients for which the Advisor or subadvisor renders investment advice arise for consideration at or about the same time, transactions in such securities will be made, insofar as feasible, for the respective fund, funds or clients in a manner deemed equitable to all of them. To the extent that transactions on behalf of more than one client of the Advisor or subadvisor or their respective affiliates may increase the demand for securities being purchased or the supply of securities being sold, there may be an adverse effect on price.

**Advisor Compensation.** As compensation for its advisory services under each Advisory Agreement, the Advisor receives a fee from the relevant Trust computed separately for each relevant fund. The amount of the advisory fee is determined by applying the daily equivalent of an annual fee rate to the net assets of the fund. Each fund other than U.S. Global Leaders Growth Fund pays the advisory fee daily. U.S. Global Leaders Growth Fund pays the advisory fee monthly in arrears. The management fees a fund currently is obligated to pay the Advisor are as set forth in its Prospectus.

From time to time, the Advisor may reduce its fee or make other arrangements to limit a fund's expenses to a specified percentage of average daily net assets. The Advisor retains the right to re-impose a fee and recover any other payments to the extent that, during the fiscal year in which such expense limitation is in place, a fund's annual expenses fall below this limit.

The following table shows the advisory fees that each fund incurred and paid to the Advisor for the fiscal periods ended October 31, 2025, October 31, 2024, and October 31, 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **2025 ($)** | **2024 ($)** | **2023 ($)** |
| **Balanced Fund** | **Balanced Fund** | **Balanced Fund** | **Balanced Fund** |
| Gross Fees | 32741488 | 28978897 | 24147015 |
| Waivers | (497134) | (410748) | (303807) |
| Net Fees | 32244354 | 28568149 | 23843208 |
| **Classic Value Fund** | **Classic Value Fund** | **Classic Value Fund** | **Classic Value Fund** |
| Gross Fees | 5089650 | 9972481 | 11404266 |
| Waivers | (62794) | (112517) | (115977) |
| Net Fees | 5026856 | 9859963 | 11288289 |
| **Disciplined Value International Fund** | **Disciplined Value International Fund** | **Disciplined Value International Fund** | **Disciplined Value International Fund** |
| Gross Fees | 31204015 | 21665285 | 17628676 |
| Waivers | (400123) | (253280) | (175336) |
| Net Fees | 30803892 | 21412005 | 17453340 |
| **Diversified Macro Fund** | **Diversified Macro Fund** | **Diversified Macro Fund** | **Diversified Macro Fund** |
| Gross Fees | 17567128 | 19563374 | 12535567 |
| Waivers | (127350) | (134199) | (75769) |
| Net Fees | 17439778 | 19429175 | 12459798 |
| **Emerging Markets Equity Fund** | **Emerging Markets Equity Fund** | **Emerging Markets Equity Fund** | **Emerging Markets Equity Fund** |
| Gross Fees | 12646772 | 14535045 | 16414046 |
| Waivers | (2111492) | (2418056) | (2716409) |
| Net Fees | 10535280 | 12116989 | 13697637 |
| **Financial Industries Fund** | **Financial Industries Fund** | **Financial Industries Fund** | **Financial Industries Fund** |
| Gross Fees | 2890643 | 3649139 | 3946948 |
| Waivers | (33974) | (40941) | (39075) |
| Net Fees | 2856669 | 3608198 | 3907873 |
| **Fundamental Large Cap Core Fund** | **Fundamental Large Cap Core Fund** | **Fundamental Large Cap Core Fund** | **Fundamental Large Cap Core Fund** |
| Gross Fees | 35932017 | 33439625 | 29997842 |

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**101**

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **2025 ($)** | **2024 ($)** | **2023 ($)** |
| Waivers | (505343) | (439333) | (352150) |
| Net Fees | 35426674 | 33000292 | 29645692 |
| **Global Environmental Opportunities Fund** | **Global Environmental Opportunities Fund** | **Global Environmental Opportunities Fund** | **Global Environmental Opportunities Fund** |
| Gross Fees | 719037 | 528710 | 276913 |
| Waivers | (333955) | (255808) | (192765) |
| Net Fees | 385082 | 272901 | 84148 |
| **Infrastructure Fund** | **Infrastructure Fund** | **Infrastructure Fund** | **Infrastructure Fund** |
| Gross Fees | 4572868 | 4415912 | 5438957 |
| Waivers | (51354) | (46154) | (51304) |
| Net Fees | 4521514 | 4369758 | 5387653 |
| **International Dynamic Growth Fund** | **International Dynamic Growth Fund** | **International Dynamic Growth Fund** | **International Dynamic Growth Fund** |
| Gross Fees | 14482911 | 5993686 | 3456623 |
| Waivers | (166520) | (426004) | (391360) |
| Net Fees | 14316391 | 5567682 | 3065263 |
| **Regional Bank Fund** | **Regional Bank Fund** | **Regional Bank Fund** | **Regional Bank Fund** |
| Gross Fees | 6523213 | 6110412 | 7074332 |
| Waivers | (73749) | (64499) | (68521) |
| Net Fees | 6449464 | 6045913 | 7005811 |
| **Small Cap Core Fund** | **Small Cap Core Fund** | **Small Cap Core Fund** | **Small Cap Core Fund** |
| Gross Fees | 17512068 | 16100289 | 14649746 |
| Waivers | (202199) | (181361) | (158715) |
| Net Fees | 17309869 | 15918928 | 14491031 |
| **U.S. Global Leaders Growth Fund** | **U.S. Global Leaders Growth Fund** | **U.S. Global Leaders Growth Fund** | **U.S. Global Leaders Growth Fund** |
| Gross Fees | 15294316 | 17077359 | 16364826 |
| Waivers | (182292) | (190438) | (163667) |
| Net Fees | 15112024 | 16886921 | 16201159 |

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**Service Agreement and Accounting and Legal Services Agreement**

Pursuant to (i) a Service Agreement with Capital Series (with respect to Classic Value Fund only), Investment Trust (all series), and Investment Trust II (all series); and (ii) an Accounting and Legal Services Agreement with Capital Series (with respect to U.S. Global Leaders Growth Fund only), the Advisor is responsible for providing, at the expense of the applicable Trust or Trusts, certain financial, accounting and administrative services such as legal services, tax, accounting, valuation, financial reporting and performance, compliance and service provider oversight. Pursuant to the Service Agreement, the Advisor shall determine, subject to Board approval, the expenses to be reimbursed by each fund, including an overhead allocation. Pursuant to the Accounting and Legal Services Agreement, such expenses shall not exceed levels that are fair and reasonable in light of the usual and customary charges made by others for services of the same nature and quality. The payments under the Service Agreement and the Accounting and Legal Services Agreement are not intended to provide a profit to the Advisor. Instead, the Advisor provides the services under the Service Agreement and the Accounting and Legal Services Agreement because it also provides advisory services under the Advisory Agreement. Pursuant to each Agreement, the reimbursement shall be calculated and paid monthly in arrears.

The Advisor is not liable for any error of judgment or mistake of law or for any loss suffered by a fund in connection with the matters to which the Service Agreement or the Accounting and Legal Services Agreement relates, except losses resulting from willful misfeasance, bad faith or negligence by the Advisor in the performance of its duties or from reckless disregard by the Advisor of its obligations under either Agreement.

The Service Agreement and the Accounting and Legal Services Agreement each had an initial term of two years, and continues thereafter so long as such continuance is specifically approved at least annually by a majority of the Board and a majority of the Independent Trustees. The Trust, on behalf of any or all of the funds, or the Advisor may terminate either Agreement at any time without penalty on 60 days' written notice to the other party. Either Agreement may be amended by mutual written agreement of the parties, without obtaining shareholder approval.

The following table shows the fees that each fund incurred and paid to the Advisor for non-advisory services pursuant to the Service Agreement or the Accounting and Legal Services Agreement, as applicable, for the fiscal periods ended October 31, 2025, October 31, 2024, and October 31, 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **2025 ($)** | **2024 ($)** | **2023 ($)** |
| Balanced Fund | 1127520 | 962296 | 890530 |
| Classic Value Fund | 139181 | 270780 | 339728 |
| Disciplined Value International Fund | 909742 | 593623 | 512801 |

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **2025 ($)** | **2024 ($)** | **2023 ($)** |
| Diversified Macro Fund | 287525 | 309653 | 224475 |
| Emerging Markets Equity Fund | 259591 | 294498 | 359589 |
| Financial Industries Fund | 70711 | 89738 | 106098 |
| Fundamental Large Cap Core Fund | 1144875 | 1038908 | 1028854 |
| Global Environmental Opportunities Fund | 17285 | 10433 | 8471 |
| Infrastructure Fund | 115231 | 111259 | 148031 |
| International Dynamic Growth Fund | 381625 | 143084 | 90014 |
| Regional Bank Fund | 162063 | 152175 | 189645 |
| Small Cap Core Fund | 411911 | 378840 | 373444 |
| U.S. Global Leaders Growth Fund | 409141 | 453322 | 476203 |

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**Subadvisory Agreements**

**Duties of the Subadvisors.** Under the terms of each of the current subadvisory agreements (each a "Subadvisory Agreement" and collectively, the "Subadvisory Agreements"), the subadvisors manage the investment and reinvestment of the assets of the funds, subject to the supervision of the Board and the Advisor. Each subadvisor formulates a continuous investment program for each such fund consistent with its investment objectives and policies outlined in the Prospectus. Each subadvisor implements such programs by purchases and sales of securities and regularly reports to the Advisor and the Board with respect to the implementation of such programs. Each subadvisor, at its expense, furnishes all necessary investment and management facilities, including salaries of personnel required for it to execute its duties, as well as administrative facilities, including bookkeeping, clerical personnel, and equipment necessary for the conduct of the investment affairs of the assigned funds. Additional information about the funds' portfolio managers, including other accounts managed, ownership of fund shares, and compensation structure, can be found at Appendix B to this SAI.

The Advisor has delegated to the subadvisors the responsibility to vote all proxies relating to the securities held by the funds. See "Other Services — Proxy Voting" below, for additional information.

The Subadvisory Agreement for Classic Value Fund provides that the subadvisor will not be liable for any losses, claims, damages, liabilities or litigation (including legal and other expenses) incurred or suffered by the Advisor, the relevant Trust, the fund or any of their affiliates as a result of any error of judgment or mistake of law by the subadvisor with respect to the fund, except that nothing in the respective Agreement shall waive or limit the liability of the subadvisor for any and all losses, claims, damages, liabilities or litigation (including reasonable legal and other expenses) to which the Advisor, the fund or any affiliated persons may become subject under any statute, at common law or otherwise arising out of or based on (a) the subadvisor's causing the fund to be in violation of any applicable federal or state law, rule or regulation or any investment policy or restriction set forth in the fund's Prospectus or this SAI or any written policies, procedures, guidelines or instructions provided in writing to the subadvisor by the Trustees or the Advisor, (b) the subadvisor's causing the fund to fail to satisfy the requirements of Subchapter M of the Code for qualification as a RIC, or (c) the subadvisor's willful misfeasance, bad faith or gross negligence generally in the performance of its duties hereunder or its reckless disregard of its obligations and duties under the respective Agreement.

**Subadvisory Fees.** As compensation for its services, each subadvisor receives fees from the Advisor computed separately for each fund.

**Subadvisory Arrangement for Emerging Markets Equity Fund.** In rendering investment advisory services to Emerging Markets Equity Fund, Manulife IM (US), the subadvisor to the fund, may use the portfolio management, research and other resources of Manulife Investment Management (Singapore) Pte. Ltd. ("Manulife IM (Singapore)") and Manulife Asset Management (Europe) Limited ("Manulife IM (Europe)"), each an affiliate of Manulife IM (US) (each a "Participating Affiliate," and together, "Participating Affiliates"). The Participating Affiliates are not registered with the SEC as investment advisors under the Advisers Act. Manulife IM (US) has entered into separate memoranda of understanding and supervisory agreements (collectively, the "Participating Affiliate Agreements") with each Participating Affiliate pursuant to which each Participating Affiliate is considered a participating affiliate of the subadvisor as that term is used in relief granted by the staff of the SEC allowing U.S. registered investment advisors to use portfolio management or research resources of advisory affiliates subject to the supervision of a registered advisor. Investment professionals from the Participating Affiliates may render portfolio management, research and other services to Emerging Markets Equity Fund under the Participating Affiliate Agreements and are subject to supervision by Manulife IM (US).

**Affiliated Subadvisors.** The Advisor and the Affiliated Subadvisors are controlled by Manulife Financial.

**Advisory arrangements involving Affiliated Subadvisors and investment in affiliated underlying funds present certain conflicts of interest.** For each fund subadvised by an Affiliated Subadvisor, the Affiliated Subadvisor will benefit from increased subadvisory fees. In addition, MFC will benefit, not only from the net advisory fee retained by the Advisor but also from the subadvisory fee paid by the Advisor to the Affiliated Subadvisor. Consequently, the Affiliated Subadvisors and MFC may be viewed as benefiting financially from: (i) the appointment of or continued service of Affiliated Subadvisors to manage the funds; and (ii) the allocation of the assets of the funds to the funds having Affiliated Subadvisors. Similarly, the Advisor may be viewed as having a conflict of interest in the allocation of the assets of the funds to affiliated underlying funds as opposed to unaffiliated underlying funds. However, both the Advisor, in recommending to the Board the appointment or continued service of Affiliated Subadvisors, and such Subadvisors, in allocating the assets of the funds, have a fiduciary duty to act in the best interests of the funds and their shareholders. The Advisor has a duty to recommend that Affiliated Subadvisors or unaffiliated subadvisors be selected, retained, or replaced only when the Advisor believes it is in the best

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interests of shareholders. In addition, under the Trusts' "Manager of Managers" exemptive order received from the SEC, each Trust is required to obtain shareholder approval of any subadvisory agreement appointing an Affiliated Subadvisor as the subadvisor except as otherwise permitted by applicable SEC No-Action Letter to a fund (in the case of a new fund, the initial sole shareholder of the fund, an affiliate of the Advisor and MFC, may provide this approval). Similarly, each Affiliated Subadvisor has a duty to allocate assets to Affiliated Subadvised funds, and affiliated underlying funds more broadly, only when it believes this is in shareholders' best interests and without regard for the financial incentives inherent in making such allocations. Subject to this fiduciary duty, each Affiliated Subadvisor may, and will, allocate assets to funds having Affiliated Subadvisors, and may allocate assets to such funds even if similar alternative funds having unaffiliated subadvisors are available. When allocating to an underlying fund, the Affiliated Subadvisors will consider several factors including their expectations for the fund in the future. The Independent Trustees are aware of and monitor these conflicts of interest.

**Additional Information Applicable to Subadvisory Agreements**

**Term of each Subadvisory Agreement.** Each Subadvisory Agreement will initially continue in effect as to a fund for a period no more than two years from the date of its execution (or the execution of an amendment making the agreement applicable to that fund) and thereafter if such continuance is specifically approved at least annually either: (a) by the Trustees; or (b) by the vote of a majority of the outstanding voting securities of that fund. In either event, such continuance also shall be approved by the vote of the majority of the Trustees who are not interested persons of any party to the Subadvisory Agreements.

Any required shareholder approval of any continuance of any Subadvisory Agreement shall be effective with respect to any fund if a majority of the outstanding voting securities of that fund votes to approve such continuance, even if such continuance may not have been approved by a majority of the outstanding voting securities of: (a) any other series of the applicable Trust affected by the Subadvisory Agreement; or (b) all of the series of the applicable Trust.

**Failure of Shareholders to Approve Continuance of any Subadvisory Agreement.** If the outstanding voting securities of any fund fail to approve any continuance of any Subadvisory Agreement, the party may continue to act as investment subadvisor with respect to such fund pending the required approval of the continuance of the Subadvisory Agreement or a new agreement with either that party or a different subadvisor, or other definitive action.

**Termination of a Subadvisory Agreement.** A Subadvisory Agreement may be terminated at any time without the payment of any penalty on 60 days' written notice to the other party or parties to the Agreement, and also to the relevant fund. The following parties may terminate a Subadvisory Agreement:

● the Board;

● with respect to any fund, a majority of the outstanding voting securities of such fund;

● the Advisor; and

● the applicable subadvisor.

A Subadvisory Agreement will automatically terminate in the event of its assignment or upon termination of the Advisory Agreement.

**Amendments to the Subadvisory Agreements.** A Subadvisory Agreement may be amended by the parties to the agreement, provided that the amendment is approved by the vote of a majority of the outstanding voting securities of the relevant fund (except as noted below) and by the vote of a majority of the Independent Trustees. The required shareholder approval of any amendment to a Subadvisory Agreement shall be effective with respect to any fund if a majority of the outstanding voting securities of that fund votes to approve the amendment, even if the amendment may not have been approved by a majority of the outstanding voting securities of: (a) any other series of the applicable Trust affected by the amendment; or (b) all the series of the applicable Trust.

With respect to Classic Value Fund, Disciplined Value International Fund, Diversified Macro Fund, Emerging Markets Equity Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Global Environmental Opportunities Fund, Infrastructure Fund, International Dynamic Growth Fund, Small Cap Core Fund, and U.S. Global Leaders Growth Fund, as noted under Who's who — Investment advisor in the Prospectus, an SEC order permits the Advisor, subject to approval by the Board and a majority of the Independent Trustees, to appoint a subadvisor (other than an Affiliated Subadvisor), or change a subadvisory fee or otherwise amend a subadvisory agreement (other than with an Affiliated Subadvisor) pursuant to an agreement that is not approved by shareholders.

Diversified Macro Fund, through a Subsidiary (its separate wholly-owned subsidiary organized under the laws of the Cayman Islands), seeks exposure to the commodities markets, including by investing in certain commodity-linked instruments. The Subsidiary has entered into a separate advisory agreement with the Advisor for the management of the Subsidiary's portfolio. In turn, the Advisor has entered into a separate contract with the fund's subadvisor whereby the subadvisor provides day-to-day management of the Subsidiary's investments, subject to the supervision of the Advisor.

**Other Services**

**Proxy Voting.** Based on the terms of the current Subadvisory Agreements, each Trust's proxy voting policies and procedures (the "Trust Procedures") delegate to the subadvisors of each of its funds the responsibility to vote all proxies relating to securities held by that fund in accordance with the subadvisor's proxy voting policies and procedures. A subadvisor has a duty to vote or not vote such proxies in the best interests of the fund it subadvises and its shareholders, and to avoid the influence of conflicts of interest. In the event that the Advisor assumes day-to-day management responsibilities

**104**

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for the fund, each Trust's Procedures delegate proxy voting responsibilities to the Advisor. Complete descriptions of the Trust Procedures and the proxy voting procedures of the Advisor and the subadvisors are set forth in Appendix C to this SAI.

It is possible that conflicts of interest could arise for a subadvisor when voting proxies. Such conflicts could arise, for example, when a subadvisor or its affiliate has an existing business relationship with the issuer of the security being voted or with a third party that has an interest in the vote. A conflict of interest also could arise when a fund, its Advisor or principal underwriter or any of their affiliates has an interest in the vote.

In the event a subadvisor becomes aware of a material conflict of interest, the Trust Procedures generally require the subadvisor to follow any conflicts procedures that may be included in the subadvisor's proxy voting procedures. Although conflicts procedures will vary among subadvisors, they generally include one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;(a) voting pursuant to the recommendation of a third party voting service;

&nbsp;&nbsp;&nbsp;&nbsp;(b) voting pursuant to pre-determined voting guidelines; or

&nbsp;&nbsp;&nbsp;&nbsp;(c) referring voting to a special compliance or oversight committee.

The specific conflicts procedures of each subadvisor are set forth in its proxy voting procedures included in Appendix C. While these conflicts procedures may reduce the influence of conflicts of interest on proxy voting, such influence will not necessarily be eliminated.

Although a subadvisor may have a duty to vote all proxies on behalf of the fund that it subadvises, it is possible that the subadvisor may not be able to vote proxies under certain circumstances. For example, it may be impracticable to translate in a timely manner voting materials that are written in a foreign language or to travel to a foreign country when voting in person rather than by proxy is required. In addition, if the voting of proxies for shares of a security prohibits a subadvisor from trading the shares in the marketplace for a period of time, the subadvisor may determine that it is not in the best interests of the fund to vote the proxies. In addition, consistent with its duty to vote proxies in the best interests of a fund's shareholders, a subadvisor may refrain from voting one or more of the fund's proxies if the subadvisor believes that the costs of voting such proxies may outweigh the potential benefits. For example, the subadvisor may choose not to recall securities where the subadvisor believes the costs of voting may outweigh the potential benefit of voting. A subadvisor also may choose not to recall securities that have been loaned in order to vote proxies for shares of the security since the fund would lose security lending income if the securities were recalled.

Information regarding how a fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30th is available: (1) without charge, upon request, by calling 800-225-5291; (2) on www.jhinvestments.com; and (3) on the SEC's website at sec.gov.

**Distribution Agreements**

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Each Trust has a Distribution Agreement with John Hancock Investment Management Distributors LLC, an affiliate of the Advisor, and the principal underwriter of the funds, located at 200 Berkeley Street, Boston, Massachusetts 02116. Under the Distribution Agreement, the Distributor is obligated to use its best efforts to sell shares of each class of the funds. Shares of the funds also are sold by selected broker-dealers, banks and registered investment advisors ("Selling Firms") that have entered into selling agreements with the Distributor. These Selling Firms are authorized to designate other intermediaries to receive purchase and redemption orders on behalf of the funds. The Distributor accepts orders for the purchase of the shares of the funds that are continually offered at the NAV next determined, plus any applicable sales charge. Class I, Class NAV, Class R2, Class R4, Class R5, and Class R6 shares of the funds are offered without a front-end sales load or CDSC. In connection with the sale of Class A shares, the Distributor and Selling Firms typically receive compensation from a sales charge imposed at the time of sale. In the case of both Class A shares and Class C shares where a CDSC is applicable, the Selling Firms receive compensation immediately, but the Distributor is compensated on a deferred basis. Neither the Distributor nor Selling Firms receive any compensation with respect to the sale of Class R6 shares of the funds.

With respect to share classes other than Class R6, the Distributor may make, either from Rule 12b-1 distribution fees, if applicable, or out of its own resources, additional payments to financial intermediaries (firms), such as broker-dealers, banks, registered investment advisors, independent financial planners, and retirement plan administrators. These payments are sometimes referred to as "revenue sharing." No such payments are made with respect to the funds' Class R6 shares.

The funds do not issue share certificates. Shares are electronically recorded. The Board reserves the right to change or waive a fund's minimum investment requirements and to reject any order to purchase shares (including purchase by exchange) when, in the judgment of the Advisor or the relevant subadvisor, such rejection is in the fund's best interest.

**Underwriting Commissions.** The following table shows the underwriting commissions that the Distributor charged and retained with respect to transactions in Class A and Class C shares of the funds for the fiscal periods ended October 31, 2025, October 31, 2024, and October 31, 2023.

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** |
| **Fund** | **Share Class** | **2025 ($)** | **2025 ($)** | **2024 ($)** | **2024 ($)** | **2023 ($)** | **2023 ($)** |
|  |  | &nbsp;&nbsp;&nbsp; **Amount** <br> **Charged**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Retained**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Charged**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Retained**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Charged**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Retained**<br>|
| Balanced Fund | Class A | 1754188 | 195049 | 2339299 | 234527 | 1480886 | 155909 |
|  | Class C | 17952 | 0 | 8551 | 0 | 10365 | 0 |

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** | **Fiscal Period Ended October 31,** |
| **Fund** | **Share Class** | **2025 ($)** | **2025 ($)** | **2024 ($)** | **2024 ($)** | **2023 ($)** | **2023 ($)** |
|  |  | &nbsp;&nbsp;&nbsp; **Amount** <br> **Charged**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Retained**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Charged**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Retained**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Charged**<br>| &nbsp;&nbsp;&nbsp; **Amount** <br> **Retained**<br>|
| Classic Value <br> Fund<br>| Class A | 43680 | 7291 | 55909 | 9630 | 57340 | 9879 |
|  | Class C | 188 | 0 | 751 | 0 | 371 | 0 |
| Disciplined <br> Value <br> International <br> Fund<br>| Class A | 133506 | 23169 | 126856 | 21748 | 96658 | 16561 |
|  | Class C | 464 | 0 | 449 | 0 | 70 | 0 |
| Diversified <br> Macro Fund<br>| Class A | 5930 | 533 | 33831 | 5732 | 24076 | 4482 |
|  | Class C | 130 | 0 | 608 | 0 | 9120 | 0 |
| Emerging <br> Markets Equity <br> Fund<br>| Class A | 9472 | 1671 | 19989 | 3357 | 43336 | 7312 |
|  | Class C | 0 | 0 | 4 | 0 | 60 | 0 |
| Financial <br> Industries <br> Fund<br>| Class A | 85522 | 13934 | 68232 | 10889 | 76933 | 13078 |
|  | Class C | 10722 | 0 | 181 | 0 | 457 | 0 |
| Fundamental <br> Large Cap <br> Core Fund<br>| Class A | 435444 | 73825 | 537125 | 91176 | 447996 | 75333 |
|  | Class C | 1990 | 0 | 2577 | 0 | 3947 | 0 |
| Global <br> Environmental <br> Opportunities <br> Fund<br>| Class A | 459 | 88 | 42 | 8 | 3804 | 608 |
|  | Class C | 0 | 0 | 0 | 0 | 0 | 0 |
| Infrastructure <br> Fund<br>| Class A | 172499 | 28933 | 71801 | 11562 | 77477 | 13021 |
|  | Class C | 619 | 0 | 87 | 0 | 630 | 0 |
| International <br> Dynamic <br> Growth Fund<br>| Class A | 64864 | 11475 | 22376 | 3765 | 8968 | 1581 |
|  | Class C | 57 | 0 | 59 | 0 | 59 | 0 |
| Regional Bank <br> Fund<br>| Class A | 176288 | 28748 | 158870 | 26501 | 421001 | 68639 |
|  | Class C | 9686 | 0 | 8074 | 0 | 5368 | 0 |
| Small Cap <br> Core Fund<br>| Class A | 167796 | 28975 | 221199 | 37552 | 203523 | 34255 |
| U.S. Global <br> Leaders <br> Growth Fund<br>| Class A | 218094 | 36771 | 289690 | 48905 | 252383 | 42178 |
|  | Class C | 1018 | 0 | 1650 | 0 | 1244 | 0 |

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**Distribution Plans.** The Board has adopted distribution plans with respect to Class A, Class C, Class R2, Class R4, and Class R5 shares pursuant to Rule 12b-1 under the 1940 Act (the "Rule 12b-1 Plans"). Under the Rule 12b-1 Plans, a fund may pay distribution and service fees based on average daily net assets attributable to those classes, at the maximum aggregate annual rates shown in the following table. However, the service portion of the Rule 12b-1 fees borne by a class of shares of a fund will not exceed 0.25% of average daily net assets attributable to such class of shares.

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| | |
|:---|:---|
| **Share Class** | &nbsp;&nbsp;&nbsp;&nbsp; **Rule 12b-1**<br> **Fee (%)**<br>|
| Class A (Balanced Fund, Emerging Markets Equity Fund, Financial Industries Fund, Infrastructure Fund, and <br> Regional Bank Fund)<br>| 0.30 |
| Class A (Classic Value Fund, Disciplined Value International Fund, Diversified Macro Fund, Fundamental Large <br> Cap Core Fund, Global Environmental Opportunities Fund, International Dynamic Growth Fund, Small Cap Core <br> Fund, and U.S. Global Leaders Growth Fund)<br>| 0.25 |
| Class C | 1.00 |
| Class R2 | 0.25 |
| Class R4<sup>1</sup> <br>| 0.25 |
| Class R5 | 0.00 |

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**1**

The Distributor has contractually agreed to limit the Rule 12b-1 distribution and service fees for Class R4 shares of Balanced Fund, Disciplined Value International Fund, Emerging Markets Equity Fund, and Fundamental Large Cap Core Fund to 0.15% until February 28, 2027.

There are two types of Rule 12b-1 Plans: "reimbursement" and "compensation" plans. While a reimbursement plan provides for reimbursement of certain distribution and shareholder service expenses of a fund, a compensation plan provides for direct payment of distribution and shareholder service fees to the Distributor. Except as noted below, the funds' Rule 12b-1 Plans are compensation Rule 12b-1 Plans. Under a compensation Rule 12b-1 Plan, the Distributor will retain the entire amount of the payments made to it, even if such amount exceeds the Distributor's actual distribution-related expenses for the applicable fiscal year.

The fees charged under the Rule 12b-1 Plans will be paid to the Distributor either in reimbursement of distribution and shareholder service expenses incurred by the Distributor on the funds' behalf, or as direct compensation to the Distributor in contemplation of such expenses, as noted above. The distribution portion of the fees payable pursuant to the Rule 12b-1 Plans may be spent on any activities or expenses primarily intended to result in the sale of shares of the particular class, including but not limited to: (i) compensation to Selling Firms and others (including affiliates of the Distributor) that are engaged in or support the sale of fund shares; and (ii) marketing, promotional and overhead expenses incurred in connection with the distribution of fund shares. The service portion of the fees payable pursuant to the Rule 12b-1 Plans may be used to compensate Selling Firms and others for providing personal and account maintenance services to shareholders.

The following share classes have reimbursement plans for the stated funds: Class A (Classic Value Fund, Financial Industries Fund, Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund) and Class C (Balanced Fund, Classic Value Fund, Financial Industries Fund,

Fundamental Large Cap Core Fund, Regional Bank Fund, and U.S. Global Leaders Growth Fund). Under a reimbursement Rule 12b-1 Plan, if the aggregate payments received by the Distributor for a particular class of shares of a fund in any fiscal year exceed the expenditures made by the Distributor in that year pursuant to that Rule 12b-1 Plan, the Distributor will reimburse the fund for the amount of the excess. If, however, the expenditures made by the Distributor on a fund's behalf during any fiscal year exceed the payments received under such Rule 12b-1 Plan, the Distributor is entitled to carry over such unreimbursed expenses (for Class C shares, with interest) to be paid in subsequent fiscal years from available Rule 12b-1 amounts. However, with respect to Class A reimbursement Rule 12b-1 Plans, these expenses will not be carried beyond twelve months from the date they were incurred. The funds do not treat unreimbursed expenses under Class C reimbursement Rule 12b-1 Plans as a liability of the funds because the Trustees can terminate any of these Plans at any time with no additional liability to the shareholders and the funds for these expenses.

The Rule 12b-1 Plans and all amendments were approved by the Board, including a majority of the Independent Trustees, by votes cast in person at meetings called for the purpose of voting on the Rule 12b-1 Plans. Pursuant to the Rule 12b-1 Plans, at least quarterly, the Distributor provides the Board with a written report of the amounts expended under the Rule 12b-1 Plans and the purpose for which these expenditures were made. The Board reviews these reports on a quarterly basis to determine the continued appropriateness of such expenditures.

Each Rule 12b-1 Plan provides that it will continue in effect only so long as its continuance is approved at least annually by a majority of both the Board and the Independent Trustees. Each Rule 12b-1 Plan provides that it may be terminated without penalty: (a) by a vote of a majority of the Independent Trustees; and (b) by a vote of a majority of the fund's outstanding shares of the applicable class, in each case upon 60 days' written notice to the Distributor. Each Rule 12b-1 Plan further provides that it may not be amended to increase materially the maximum amount of the fees for the services described therein without the approval of a majority of the outstanding shares of the class of a fund that has voting rights with respect to the Rule 12b-1 Plan. The Rule 12b-1 Plans provide that no material amendment to the Rule 12b-1 Plans will be effective unless it is approved by a majority vote of the Board and the Independent Trustees of the relevant Trust. The holders of Class A, Class C, Class R2, Class R4, and Class R5 shares have exclusive voting rights with respect to the Rule 12b-1 Plans applicable to their class of shares. In adopting the Rule 12b-1 Plans, the Board, including the Independent Trustees, concluded that, in their judgment, there is a reasonable likelihood that the Rule 12b-1 Plans will benefit the holders of the applicable classes of shares of each fund.

Class I, Class NAV, and Class R6 shares of the funds are not subject to any Rule 12b-1 Plan. Expenses associated with the obligation of the Distributor to use its best efforts to sell Class I, Class NAV, and Class R6 shares will be paid by the Advisor or by the Distributor and will not be paid from the fees paid under the Rule 12b-1 Plan for any other class of shares. In addition, expenses associated with the obligation of the Distributor to use its best efforts to sell Class R5 shares will be paid by the Advisor or by the Distributor and will not be paid by the funds.

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Amounts paid to the Distributor by any class of shares of a fund will not be used to pay the expenses incurred with respect to any other class of shares of that fund; provided, however, that expenses attributable to the fund as a whole will be allocated, to the extent permitted by law, according to a formula based upon gross sales dollars and/or average daily net assets of each such class, as may be approved from time to time by vote of a majority of the Trustees. From time to time, a fund may participate in joint distribution activities with other funds and the costs of those activities will be borne by the fund in proportion to the relative NAVs of the fund and the other funds.

Each Rule 12b-1 Plan recognizes that the Advisor may use its management fee revenue under the Advisory Agreement with a fund as well as its past profits or other resources from any source to make payments with respect to expenses incurred in connection with the distribution of shares of the fund. To the extent that the payment of management fees by a fund to the Advisor should be deemed to be the indirect financing of any activity primarily intended to result in the sale of shares of a class within the meaning of Rule 12b-1, such payments are deemed to be authorized by the Rule 12b-1 Plan.

During the fiscal period ended October 31, 2025, the following amounts were paid to the Distributor pursuant to each fund's Rule 12b-1 Plans.

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **Share Class** | &nbsp;&nbsp;&nbsp; **Rule 12b-1 Service Fee** <br> **Payments ($)**<br>| &nbsp;&nbsp;&nbsp; **Rule 12b-1 Distribution Fee Payments** <br> **($)**<br>|
| Balanced Fund | Class A | 9053525 | 1810705 |
| Balanced Fund | Class C | 393059 | 1179179 |
| Balanced Fund | Class R2 | 23512 | 0 |
| Balanced Fund | Class R4 | 40568 | 0 |
| Classic Value Fund | Class A | 667728 | 0 |
| Classic Value Fund | Class C | 8078 | 24233 |
| Classic Value Fund | Class R2 | 6773 | 0 |
| Disciplined Value International Fund | Class A | 533861 | 0 |
| Disciplined Value International Fund | Class C | 10500 | 31498 |
| Disciplined Value International Fund | Class R2 | 17549 | 0 |
| Disciplined Value International Fund | Class R4 | 1195 | 0 |
| Diversified Macro Fund | Class A | 39983 | 0 |
| Diversified Macro Fund | Class C | 3646 | 10936 |
| Emerging Markets Equity Fund | Class A | 58492 | 11699 |
| Emerging Markets Equity Fund | Class C | 887 | 2660 |
| Emerging Markets Equity Fund | Class R2 | 293 | 0 |
| Emerging Markets Equity Fund | Class R4 | 31 | 0 |
| Financial Industries Fund | Class A | 632561 | 8813 |
| Financial Industries Fund | Class C | 13485 | 40456 |
| Fundamental Large Cap Core Fund | Class A | 5488438 | 0 |
| Fundamental Large Cap Core Fund | Class C | 90001 | 270005 |
| Fundamental Large Cap Core Fund | Class R2 | 14478 | 0 |
| Fundamental Large Cap Core Fund | Class R4 | 169 | 0 |
| Global Environmental Opportunities Fund | Class A | 14087 | 0 |
| Global Environmental Opportunities Fund | Class C | 124 | 373 |
| Infrastructure Fund | Class A | 167377 | 33476 |
| Infrastructure Fund | Class C | 25354 | 76060 |
| International Dynamic Growth Fund | Class A | 61232 | 0 |
| International Dynamic Growth Fund | Class C | 1294 | 3883 |
| Regional Bank Fund | Class A | 1483122 | 16928 |
| Regional Bank Fund | Class C | 95392 | 286176 |
| Small Cap Core Fund | Class A | 928112 | 0 |
| U.S. Global Leaders Growth Fund | Class A | 2296586 | 0 |
| U.S. Global Leaders Growth Fund | Class C | 59863 | 179588 |
| U.S. Global Leaders Growth Fund | Class R2 | 2846 | 0 |

---

During the fiscal period ended October 31, 2025, the following unreimbursed expense amounts were incurred under the funds' reimbursement Rule 12b-1 Plans:

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **Share Class** | **Unreimbursed Expenses ($)** | &nbsp;&nbsp;&nbsp; **Unreimbursed Expenses as a Percent** <br> **of the Share Class Net Assets (%)**<br>|
| Balanced Fund | Class C | 11286015 | 7.25 |
| Classic Value Fund | Class A | 67443 | 0.03 |
|  | Class C | 5416267 | 174.48 |
| Financial Industries Fund | Class A | -7520 | -0.003 |
|  | Class C | 856200 | 16.12 |
| Fundamental Large Cap Core Fund | Class A | 8396 | 0.00 |
|  | Class C | 5663631 | 16.41 |
| Regional Bank Fund | Class A | 9335 | 0.002 |
|  | Class C | 3735013 | 10.39 |
| U.S. Global Leaders Growth Fund | Class A | 176535 | 0.02 |
|  | Class C | 5007874 | 21.68 |

---

**Class R Service Plans.** Each Trust has adopted a separate service plan with respect to Class R2, Class R4, and Class R5 shares of the applicable funds (the "Class R Service Plans"). The Class R Service Plans authorize a fund to pay securities dealers, plan administrators or other service organizations who agree to provide certain services to retirement plans, or plan participants holding shares of the fund a service fee of up to a specified percentage of the fund's average daily net assets attributable to the applicable class of shares held by such plan participants. The percentages are 0.25% for Class R2 shares, 0.10% for Class R4 shares, and 0.05% for Class R5 shares. The services may include (a) acting, directly or through an agent, as the shareholder and nominee for all plan participants; (b) maintaining account records for each plan participant that beneficially owns the applicable class of shares; (c) processing orders to purchase, redeem and exchange the applicable class of shares on behalf of plan participants, and handling the transmission of funds representing the purchase price or redemption proceeds; (d) addressing plan participant questions regarding their accounts and the funds; and (e) other services related to servicing such retirement plans.

**Sales Compensation**

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As part of their business strategy, the funds, along with the Distributor, pay compensation to Selling Firms that sell the shares of the funds. These firms typically pass along a portion of this compensation to the shareholder's broker or financial professional.

The primary sources of Selling Firm compensation payments for sales of shares of the funds are: (1) the Rule 12b-1 fees that are applicable to the class of shares being sold and that are paid out of a fund's assets; and (2) in the case of Class A and Class C shares, sales charges paid by investors. The sales charges and Rule 12b-1 fees are detailed in the relevant Prospectus and under "Distribution Agreements," "Sales Charges on Class A and Class C Shares," and "Deferred Sales Charge on Class A and Class C Shares" in this SAI. For Class I shares, the Distributor may make a one-time payment at the time of initial purchase out of its own resources to a Selling Firm that sells Class I shares of the funds. This payment may not exceed 0.15% of the amount invested.

**Initial Compensation.** Whenever an investor purchases Class A or Class C shares of a fund, the Selling Firm receives a reallowance/payment/commission as described in the section "First Year Broker or Other Selling Firm Compensation."

**Annual Compensation.** Except as provided below, for Class A share purchases of a fund, beginning with the first year an investment is made, the Selling Firm receives an annual Rule 12b-1 fee of 0.25% of its average daily net assets invested in the fund. This Rule 12b-1 fee is paid monthly in arrears.

For Class A investments of $1 million or more in most funds, investments by certain retirement plans where a finder's fee has been paid, and investments made in Class C shares of a fund, beginning in the second year after an investment is made, the Selling Firm receives an annual Rule 12b-1 service fee of up to 0.25% of its average daily net (eligible) assets invested in the fund. The term "(eligible) assets" used in this context refers to shares held for more than one year. In addition, beginning in the second year after an investment is made in Class C shares of a fund, the Distributor will pay the Selling Firm a distribution fee in an amount not to exceed 0.75% of the average daily net (eligible) assets invested in the fund. These service and distribution fees are paid monthly in arrears.

For Class R2 and Class R4 shares of a fund, beginning in the first year after an investment is made, the Selling Firm receives an annual Rule 12b-1 service fee of 0.25% of its average daily net (eligible) assets, except that the annual Rule 12b-1 distribution and service fee payable to Selling Firms for Class R4 shares of certain funds is limited to 0.15% of the average daily net assets of Class R4 shares for each such fund until February 28, 2027, as described in each such fund's Class R4 Prospectus.

For more information, see the table below under the column captioned "Selling Firm receives Rule 12b-1 service fee." These service and distribution fees are paid monthly in arrears.

**Additional Payments to Financial Intermediaries.** Shares of the funds are primarily sold through financial intermediaries (firms), such as broker-dealers, banks, registered investment advisors, independent financial planners, and retirement plan administrators. In addition to sales charges,

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which are payable by shareholders, and Rule 12b-1 distribution fees, which are paid by the funds, the Advisor, the Distributor or another affiliate makes additional payments to firms out of its own resources. These payments are sometimes referred to as "revenue sharing." Many firms involved in the sale of fund shares receive one or more types of these cash payments. The categories of payments that the Advisor, the Distributor or another affiliate provides to firms are described below. These categories are not mutually exclusive and the Advisor, the Distributor or another affiliate may make additional types of revenue sharing payments in the future. Some firms receive payments under more than one or all categories. These payments assist in the efforts of the Advisor, the Distributor or another affiliate to promote the sale of the funds' shares. The Advisor, the Distributor or another affiliate 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 and are an important factor in a firm's willingness to support the sale of the funds through its distribution system. To the extent firms receiving such payments purchase shares of the funds on behalf of their clients, the Advisor and/or the Distributor benefit from increased management and other fees with respect to those assets. The Advisor, the Distributor or another affiliate determines which firms to make payments to and the extent of the payments it is willing to make. The Advisor, the Distributor or another affiliate generally chooses to compensate firms that have a strong capability to distribute shares of the funds and that are willing to cooperate with the promotional efforts of the Advisor, the Distributor or another affiliate. The Advisor, the Distributor or another affiliate does not make an independent assessment of the cost of providing such services.

The provision of these additional payments, the varying fee structures and the basis on which a firm compensates its registered representatives or salespersons creates an incentive for a particular firm, registered representative, or salesperson to highlight, feature or recommend funds, including the funds, or other investments based, at least in part, on the level of compensation paid. Additionally, if greater payments are made with respect to one mutual fund complex than another, a firm has an incentive to recommend one fund complex over another. Similarly, if a firm receives greater compensation for one share class versus another, that firm has an incentive to recommend the share class with the greater compensation. Shareholders should consider whether such incentives exist when evaluating any recommendations from a firm to purchase or sell shares of the funds and when considering which share class is most appropriate. Shareholders should ask their salesperson or visit their firm's website for more information about the additional payments they receive and any potential conflicts of interest, as well as for information regarding any fees and/or commissions the firm charges. Firms may categorize and disclose these arrangements differently than the Distributor and its affiliates.

As of October 31, 2025, the following member firms of the Financial Industry Regulatory Authority, Inc. ("FINRA") have arrangements in effect with the Advisor, the Distributor or another affiliate pursuant to which the firm is entitled to a revenue sharing payment at an annual rate of up to 0.25% of the value of the fund shares sold or serviced by the firm:

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| | |
|:---|:---|
| **Business Partner Firms** | **Business Partner Firms** |
| Ameriprise Financial Services, Inc. | J.P. Morgan Securities LLC |
| Ascensus LLC | Key Investment Services |
| BOK Financial Securities, Inc. | LPL Financial LLC |
| Centaurus Financial, Inc. | Merrill Lynch |
| Cetera - Advisor Network LLC | MML Investor Services, Inc. |
| Cetera - Advisors LLC | Money Concepts Capital Corp. |
| Cetera - Financial Institutions | Morgan Stanley Wealth Management, LLC |
| Cetera - Financial Specialists, Inc. | Northwestern Mutual Investment Services, LLC |
| Charles Schwab | Osaic - Osaic FA, Inc |
| Commonwealth Financial Network | Osaic - Osaic FS, Inc |
| Concourse Financial Group Securities | Osaic - Osaic Institutions, Inc |
| Concurrent Asset Management | Osaic - Osaic Services, Inc. |
| Crown Capital Securities L.P. | Osaic - Osaic Wealth, Inc. |
| DA Davidson & Co Inc. | Principal Securities, Inc. |
| Edward D. Jones & Co. LP | Raymond James and Associates, Inc. |
| Fidelity - Fidelity Brokerage Services LLC | Raymond James Financial Services, Inc. |
| Fidelity - Fidelity Investments Institutional Operations Company, Inc. | RBC Capital Markets Corporation |
| Fidelity - National Financial Services LLC | Robert W. Baird & Co. |
| Fifth Third Securities, Inc. | Sanctuary Wealth Group, LLC |
| First Command Financial Planning | Stifel, Nicolaus, & Co, Inc. |
| First Horizon Advisors | TD Ameritrade |
| Geneos Wealth Management | The Investment Center, Inc. |
| GWFS Equities, Inc. | Transamerica Financial Advisors, Inc. |
| HighTower Holding, LLC | UBS Financial Services, Inc. |
| HUB International Ltd | Unionbanc Investment Services |

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| | |
|:---|:---|
| **Business Partner Firms** | **Business Partner Firms** |
| Independent Financial Group | Wells Fargo Advisors |

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The Advisor, the Distributor or another affiliate also has arrangements with intermediaries that are not members of FINRA.

The Advisor, the Distributor or another affiliate may revise the terms of any existing revenue sharing arrangement, and may enter into additional revenue sharing arrangements with other firms in the future.

**Sales and Asset Based Payments.** The Advisor, the Distributor or another affiliate makes revenue sharing payments as incentives to certain firms to promote and sell shares of the funds. The Advisor, the Distributor or another affiliate hopes to benefit from revenue sharing by increasing the funds' net assets, which, as well as benefiting the funds, would result in additional management and other fees for the Advisor and its affiliates. In consideration for revenue sharing compensation, some firms will feature certain funds in their sales systems or give the Advisor, the Distributor or another affiliate additional access to members of their sales forces or management. In addition, some firms agree to participate in the marketing efforts of the Advisor, the Distributor or another affiliate by allowing the Advisor, the Distributor or another affiliate to participate in conferences, seminars or other programs attended by the firm's sales force. Although certain firms seek revenue sharing payments to offset costs incurred by the firm in servicing the firm's clients that have invested in the funds, such firms may still earn a profit on these payments. Revenue sharing payments provide a firm with an incentive to recommend the funds.

The payments to firms generally are negotiated based on a number of factors including, but not limited to, quality of service, reputation in the industry, ability to attract and retain assets, target markets, customer relationships, and relationship with the Advisor, the Distributor or another affiliate. No one factor is determinative of the type or amount of additional compensation to be provided. The amount of these payments, as determined from time to time by the Advisor, the Distributor or another affiliate in its sole discretion, may be different for different firms. For example, one way in which revenue sharing payments made by the Advisor, the Distributor or another affiliate are calculated is on sales of shares of the funds ("Sales-Based Payments"). Such payments can also be calculated on the average daily net assets of the applicable funds attributable to that particular financial intermediary or on another subset of assets of funds in the John Hancock Fund Complex ("Asset-Based Payments"). Sales-Based Payments primarily create incentives for firms to sell shares of the funds and Asset-Based Payments primarily create incentives for firms to retain previously sold shares of the funds in investor accounts. The Advisor, the Distributor or another affiliate pays firms either or both Sales-Based Payments and Asset-Based Payments. The compensation arrangements described in this section are not mutually exclusive, and a single firm may receive multiple types of compensation. Such payments may be calculated by reference to the gross or net sales by such person, the average net assets of shares held by the customers of such person, the number of accounts of the funds attributable to such person, on the basis of a flat fee or a negotiated lump sum payment for services provided, or otherwise.

**Administrative, Technology, and Processing Support Payments.** The Advisor, the Distributor or another affiliate also pays certain firms that sell shares of the funds for certain administrative services, including recordkeeping and sub-accounting shareholder accounts, to the extent that the funds do not pay for these costs directly. The Advisor, the Distributor or another affiliate also makes payments to certain firms that sell shares of the funds in connection with client account maintenance support, statement preparation and transaction processing. The types of payments that the Advisor, the Distributor or another affiliate makes under this category include, among others, payment of ticket charges per purchase or exchange order placed by a financial intermediary, payment of networking fees in connection with certain fund trading systems, or one-time payments for ancillary services such as setting up funds on a firm's fund trading system. The Advisor, the Distributor or another affiliate also makes platform support payments to some firms for the purpose of supporting services provided by a financial firm's servicing of shareholder accounts, including, but not limited to, platform education and communications, relationship management support, development to support new or changing products, eligibility for inclusion on sample fund line-ups, trading or order taking platforms and related infrastructure/technology and/or legal, risk management and regulatory compliance infrastructure in support of investment related products, programs and services. In addition, the Advisor, the Distributor or another affiliate may pay for certain services including technology, operations, tax, "due diligence," or audit consulting services.

**Retirement Plan Program Servicing Payments.** The Advisor, the Distributor or another affiliate may make payments to certain financial intermediaries who sell fund shares through retirement plan programs. A financial intermediary may perform retirement plan program services itself or may arrange with a third party to perform retirement plan program services. In addition to participant recordkeeping, reporting or transaction processing, retirement plan program services may include: services rendered to a plan in connection with fund/investment selection and monitoring; employee enrollment and education; plan balance rollover or separation; or other similar services.

**Marketing Support Payments.** The Advisor, the Distributor or another affiliate makes payments to some firms for marketing support services, including: providing periodic and ongoing education and training and support of firm personnel regarding the funds; disseminating to firm personnel information and product marketing materials regarding the funds; explaining to firms' clients the features and characteristics of the funds; conducting due diligence regarding the funds; granting access (in some cases on a preferential basis over other competitors) to sales meetings, sales representatives and management representatives of the firm; and providing business planning assistance, marketing support, advertising and other services.

**Other Cash Payments.** From time to time, the Advisor, the Distributor or another affiliate provides, either from Rule 12b-1 distribution fees or out of its own resources, additional compensation to firms that sell or arrange for the sale of shares of the funds. Such compensation provided by the Advisor, the Distributor or another affiliate may take various forms, including payments for the receipt of analytical data in relation to sales of fund shares, financial assistance to firms that enable the Advisor, the Distributor or another affiliate to participate in and/or present at conferences or seminars,

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sales or training programs for invited registered representatives and other employees, client entertainment, client and investor events, and other firm-sponsored events, and travel expenses, including lodging incurred by registered representatives and other employees in connection with client prospecting, retention and due diligence trips. Other compensation may be offered to the extent not prohibited by federal or state laws or any self-regulatory agency, such as FINRA. The Advisor, the Distributor or another affiliate makes payments for entertainment events it deems appropriate, subject to its guidelines and applicable law. These payments vary depending upon the nature of the event or the relationship.

In certain circumstances, the Advisor, the Distributor or another affiliate has other relationships with some firms relating to the provisions of services to the funds, such as providing omnibus account services or transaction processing services, or effecting portfolio transactions for the funds. If a firm provides these services, the Advisor or the funds may compensate the firm for these services. In addition, in certain circumstances, some firms have other compensated or uncompensated relationships with the Advisor or its affiliates that are not related to the funds.

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| | | | | |
|:---|:---|:---|:---|:---|
| **First Year Broker or Other Selling Firm Compensation** | **First Year Broker or Other Selling Firm Compensation** | **First Year Broker or Other Selling Firm Compensation** | **First Year Broker or Other Selling Firm Compensation** | **First Year Broker or Other Selling Firm Compensation** |
|  | &nbsp;&nbsp; **Investor pays sales** <br> **charge (% of offering** <br> **price)**<sup>1</sup> <br>| &nbsp;&nbsp; **Selling Firm receives** <br> **commission (%)**<sup>2</sup> <br>| &nbsp;&nbsp; **Selling Firm receives** <br> **Rule 12b-1 service**<br> **fee (%)**<br>| &nbsp;&nbsp; **Total Selling Firm** <br> **compensation (%)**<sup>3,4</sup> <br>|
| **Class A investments of less than** <br> **$1 million (all funds except Balanced** <br> **Fund)**<sup>5</sup> <br>|  |  |  |  |
| Up to $49,999 | 5.00 | 4.25 | 0.25 | 4.50 |
| $50000–$99999 | 4.50 | 3.75 | 0.25 | 4.00 |
| $100000–$249999 | 3.50 | 2.85 | 0.25 | 3.10 |
| $250000–$499999 | 2.50 | 2.10 | 0.25 | 2.35 |
| $500000–$999999 | 2.00 | 1.60 | 0.25 | 1.85 |
| **Class A investments of less than** <br> **$250,000 (Balanced Fund)**<sup>5,6</sup> <br>|  |  |  |  |
| Up to $49,999 | 4.50 | 4.05 | 0.25 | 4.30 |
| $50000–$99999 | 3.50 | 3.05 | 0.25 | 3.30 |
| $100000–$249999 | 3.00 | 2.55 | 0.25 | 2.80 |
| **Class A investments of $1 million or** <br> **more (all funds except Balanced** <br> **Fund)**<sup>6</sup> <br>|  |  |  |  |
| First $1–$4,999,999 |  | 0.75 | 0.25 | 1.00 |
| Next $1–$5M above that |  | 0.25 | 0.25 | 0.50 |
| Next $1 or more above that |  | 0.00 | 0.25 | 0.25 |
| **Class A investments of $250,000 or** <br> **more (Balanced Fund)**<sup>5,6</sup> <br>|  |  |  |  |
| First $1–$4,999,999 |  | 0.75 | 0.25 | 1.00 |
| Next $1–$5M above that |  | 0.25 | 0.25 | 0.50 |
| Next $1 or more above that |  | 0.00 | 0.25 | 0.25 |
| **Class C investments**<sup>7</sup> <br>All amounts<br>|  | 0.75 | 0.25 | 1.00 |
| **Class R2 investments**<sup>5</sup> <br>All amounts<br>|  | 0.00 | 0.25 | 0.25 |
| **Class R4 investments**<sup>5</sup> <br>All amounts<br>|  | 0.00 | 0.15 | 0.15 |
| **Class R5 investments**<br> All amounts<br>|  | 0.00 | 0.00 | 0.00 |
| **Class R6 investments**<br> All Amounts<br>|  | 0.00 | 0.00 | 0.00 |
| **Class I investments**<sup>8</sup> <br>All amounts<br>|  | 0.00 | 0.00 | 0.00 |

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**1**

See "Sales Charges on Class A and Class C Shares" for discussion on how to qualify for a reduced sales charge. The Distributor may take recent redemptions into account in determining if an investment qualifies as a new investment.

**2**

For Class A investments under $1 million ($250,000 for Balanced Fund), a portion of the Selling Firm's commission is paid out of the front-end sales charge.

**3**

Selling Firm commission, Rule 12b-1 service fee, and any underwriter fee percentages are calculated from different amounts, and therefore may not equal the total Selling Firm compensation percentages due to rounding, when combined using simple addition.

**4**

The Distributor retains the balance.

**5**

For purchases of Class A, Class R2, and Class R4 shares, beginning with the first year an investment is made, the Selling Firm receives an annual Rule 12b-1 service fee paid monthly in arrears. See "Distribution Agreements" for a description of Class A, Class R2, and Class R4 Rule 12b-1 Plan charges and payments.

**6**

Certain retirement platforms may invest in Class A shares without being subject to sales charges. Purchases via these platforms may pay a commission from the first dollar invested. Additionally, commissions (up to 1.00%) are paid to dealers who initiate and are responsible for certain Class A share purchases not subject to sales

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charges. In both cases, the Selling Firm receives Rule 12b-1 fees in the first year as a percentage of the amount invested. After the first year, the Selling Firm receives Rule 12b-1 fees as a percentage of average daily net eligible assets paid monthly in arrears.

**7**

For Class C shares, the Selling Firm receives Rule 12b-1 fees in the first year as a percentage of the amount invested. After the first year, the Selling Firm receives Rule 12b-1 fees as a percentage of average daily net eligible assets paid monthly in arrears.

**8**

The Distributor may make a one-time payment at time of initial purchase out of its own resources to a Selling Firm that sells Class I shares of the funds. This payment may be up to 0.15% of the amount invested.

CDSC revenues collected by the Distributor may be used to pay Selling Firm commissions when there is no initial sales charge.

**Net Asset Value**

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The NAV for each class of shares of each fund is normally determined once daily as of the close of regular trading on the NYSE (typically 4:00 p.m. Eastern time, on each business day that the NYSE is open). Each class of shares of each fund has its own NAV, which is computed by dividing the total assets (which may include realized and unrealized capital gain and income), minus liabilities, allocated to each share class by the number of fund shares outstanding for that class. The current NAV of a fund is available on our website at jhinvestments.com.

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 SEC 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.

The Board has designated the funds' advisor as the valuation designee to perform fair value functions for each 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 each 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 a 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. 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 are typically valued based on daily published settlement prices. 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 ETFs (underlying funds) are valued based on the NAVs of such underlying funds. Shares of the Subsidiary will be valued at NAV.

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.

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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 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 a 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 a 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.

**Policy Regarding Disclosure of Portfolio Holdings**

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The Board has adopted a Policy Regarding Disclosure of Portfolio Holdings, to protect the interests of the shareholders of the funds and to address potential conflicts of interest that could arise between the interests of shareholders and the interests of the Advisor, or the interests of the funds' subadvisors, principal underwriter or affiliated persons of the Advisor, subadvisors or principal underwriter. The Trusts' general policy with respect to the release of a fund's portfolio holdings to unaffiliated persons is to do so only in limited circumstances and only to provide nonpublic information regarding portfolio holdings to any person, including affiliated persons, on a "need to know" basis and, when released, to release such information only as consistent with applicable legal requirements and the fiduciary duties owed to shareholders. Each Trust applies its policy uniformly to all potential recipients of such information, including individual and institutional investors, intermediaries, affiliated persons of a fund, and all third party service providers and rating agencies.

Each Trust posts to its website at jhinvestments.com complete portfolio holdings a number of days after each calendar month end as described in the Prospectus. Each fund also discloses its complete portfolio holdings information as of the end of the third month of every fiscal quarter on Form N-PORT within 60 days of the end of the fiscal quarter and on Form N-CSR within 70 days after the second and fourth quarter ends of the Trust's fiscal year. The portfolio holdings information in Form N-PORT is not required to be delivered to shareholders, but is made public through the SEC electronic filings. Shareholders can access the complete portfolio holdings information of a fund's portfolio holdings online and upon request.

Firms that provide administrative, custody, financial, accounting, legal or other services to a fund may receive nonpublic information about a fund's portfolio holdings for purposes relating to their services. Additionally, portfolio holdings information for a fund that is not publicly available will be released only pursuant to the exceptions described in the Policy Regarding Disclosure of Portfolio Holdings. A fund's material nonpublic holdings information may be provided to the following unaffiliated persons as part of the investment activities of the fund: entities that, by explicit agreement, are required to maintain the confidentiality of the information disclosed; rating organizations, such as Moody's, S&P, Fitch, Morningstar and Lipper, Vestek (Thomson Financial) or other entities for the purpose of compiling reports and preparing data; proxy voting services for the purpose of voting proxies; entities providing computer software; courts (including bankruptcy courts) or regulators with jurisdiction over the relevant Trust and its affiliates; and institutional traders to assist in research and trade execution. Exceptions to the portfolio holdings release policy can be approved only by the Trusts' CCO or the CCO's duly authorized delegate after considering: (a) the purpose of providing such information; (b) the procedures that will be used to ensure that such information remains confidential and is not traded upon; and (c) whether such disclosure is in the best interest of the shareholders.

As of October 31, 2025, the entities that may receive information described in the preceding paragraph, and the purpose for which such information is disclosed, are as presented in the table below. Portfolio holdings information is provided as frequently as daily with a one-day lag.

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| | |
|:---|:---|
| **Entity Receiving Portfolio Information** | **Disclosure Purpose** |
| ACA Performance Services | GIPS Verification and Compliance |
| Acadia | Messaging application to be used for margins |
| Accenture | Operational Functions |
| Bloomberg L.P. | Portfolio Analysis, Order Management, Pricing, Reporting Agency |
| Broadridge Financial Solutions | Proxy Voting, Software Vendor |
| Brown Brothers Harriman & Co. | Reconciliation, Corporate Actions, Operational Functions |
| Capital Institutional Services (CAPIS) | Broker Dealer, Commission Recapture, Transition Services |
| Charles River | Trading |

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| | |
|:---|:---|
| **Entity Receiving Portfolio Information** | **Disclosure Purpose** |
| Citibank | Custodian, Accounting Agent, Service Provider |
| Confluence Technologies | Consulting |
| DataLend | Securities Lending Analytics |
| DG3 | Financial Reporting, Type Setting |
| Donnelley Financial Solutions | Financial Reporting |
| DUCO | Reconciliation services |
| Dynamo Software | Fair Value and Private Transactions Support |
| Electra Information Systems | Reconciliation |
| Equity Data Sciences (EDS) | Relative Weight Report |
| Ernst & Young | Tax Reporting |
| FactSet | Risk Management, Attribution, Portfolio Analysis tool, Performance |
| Foley Hoag | Foreign Currency Trade Review |
| FundApps | Regulatory filing, Shareholder disclosure filings |
| FX Transparency | FX Trade Execution Analysis, Transactions |
| Gainskeeper | Wash Sales / REIT Data |
| Glass Lewis | Proxy Voting |
| Goldman Sachs (GSAL) | Securities Lending |
| Graham | SEI Global Services, Inc. ("SEI") |
| IHS Markit | Service Provider-Electronic Data Management, Operational Functions |
| Institutional Shareholder Services (ISS) | Class Actions, Proxy Voting |
| Interactive Data | Pricing |
| KPMG | Citi Fund Accounting SOC1 Auditor |
| Law Firm of Davis and Harman | Development of Revenue Ruling |
| Lipper | Ratings, Surveys |
| Milestone | Service Provider-Valuation Oversight |
| Morningstar, Inc. | Ratings, Surveys |
| MSCI Inc. | Liquidity Risk Management, Performance, Analytics, Rule 18f-4 Analysis |
| National Financial Services | Securities Lending |
| Northern Trust Co. | Back Office Service Provider |
| OSTTRA TriResolve | Portfolio reconciliation and exception management |
| PricewaterhouseCoopers LLP | Audit Services |
| Proxymity | Proxy Voting |
| Rimes / Matrix Software Platform | Enterprise Data Management System |
| Riordan Consulting | GIPS Performance Composites |
| RSM US LLP | Consulting |
| Russell Implementation Services | Transition Services |
| Ryan Business Technology Solutions | Investment guidelines and controls |
| SS&C EZE | Order Management System/Investment guidelines and controls |
| SS&C Sylvan | Performance |
| Star Compliance | Code of Ethics Monitoring |
| State Street | Derivative Broker, Service Provider-IBOR, Operational Functions |
| SWIFT | Accounting, Custody Messaging |
| Trading Technologies (a.k.a. Abel Noser) | Trade Execution Analysis |
| Tri Optima | Operational Functions |
| Wolters Kluwer | Audit Services, Tax Reporting |

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The CCO is required to pre-approve the disclosure of nonpublic information regarding a fund's portfolio holdings to any affiliated persons of the relevant Trust. The CCO will use the following three considerations before approving disclosure of a fund's nonpublic information to affiliated persons: (a) the purpose of providing such information; (b) the procedures that will be used to ensure that such information remains confidential and is not traded upon; and (c) whether such disclosure is in the best interest of the shareholders.

The CCO shall report to the Board whenever additional disclosures of a fund's portfolio holdings are approved. The CCO's report shall be presented at the Board meeting following such approval.

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When the CCO believes that the disclosure of a fund's nonpublic information to an unaffiliated person presents a potential conflict of interest between the interest of the shareholders and the interest of affiliated persons of the relevant Trust, the CCO shall refer the potential conflict to the Board. The Board shall then permit such disclosure of a fund's nonpublic information only if in its reasonable business judgment it concludes that such disclosure will be in the best interests of the relevant Trust's shareholders.

The receipt of compensation by a fund, the Advisor, a subadvisor or an affiliate as consideration for disclosing a fund's nonpublic portfolio holdings information is not deemed a legitimate business purpose and is strictly forbidden.

Registered investment companies and separate accounts that are advised or subadvised by the funds' subadvisors may have investment objectives and strategies and, therefore, portfolio holdings, that potentially are similar to those of a fund. Neither such registered investment companies and separate accounts nor the funds' subadvisors are subject to the Trusts' Policy Regarding Disclosure of Portfolio Holdings, and may be subject to different portfolio holdings disclosure policies. The funds' subadvisors may not, and the Trusts' Board cannot, exercise control over policies applicable to separate subadvised funds and accounts.

In addition, the Advisor or the funds' subadvisors may receive compensation for furnishing to separate account clients (including sponsors of wrap accounts) model portfolios, the composition of which may be similar to those of a particular fund. Such clients have access to their portfolio holdings and are not subject to the Trusts' Policy Regarding Disclosure of Portfolio Holdings. In general, the provision of portfolio management services and/or model portfolio information to wrap program sponsors is subject to contractual confidentiality provisions that the sponsor will only use such information in connection with the program, although there can be no assurance that this would be the case in an agreement between any particular fund subadvisor that is not affiliated with the Advisor and a wrap account sponsor. Finally, the Advisor or the funds' subadvisors may distribute to investment advisory clients analytical information concerning a model portfolio, which information may correspond substantially to the characteristics of a particular fund's portfolio, provided that the applicable fund is not identified in any manner as being the model portfolio.

The potential provision of information in the various ways discussed in the preceding paragraph is not subject to the Trusts' Policy Regarding Disclosure of Portfolio Holdings, as discussed above, and is not deemed to be the disclosure of a fund's nonpublic portfolio holdings information. As a result of the funds' inability to control the disclosure of information as noted above, there can be no guarantee that this information would not be used in a way that adversely impacts a fund. Nonetheless, each fund has oversight processes in place to attempt to minimize this risk.

**Sales Charges On CLASS A AND CLASS C Shares**

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Class A and Class C shares of the funds, as applicable, are offered at a price equal to their NAV plus a sales charge that, in the case of Class A shares, is imposed at the time of purchase (the "initial sales charge"), or, in the case of Class C shares, on a contingent deferred basis (the "contingent deferred sales charge" or "CDSC").

The Trustees reserve the right to change or waive a fund's minimum investment requirements and to reject any order to purchase shares (including purchase by exchange) when in the judgment of the Advisor such rejection is in the fund's best interest.

The availability of certain sales charge waivers and discounts will depend on whether you purchase your shares directly from the funds 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 to the Prospectus, "Intermediary sales charge waivers," which includes information about specific sales charge waivers applicable to the intermediaries identified therein).

The sales charges applicable to purchases of Class A shares of a fund are described in the Prospectus. Please note, these waivers are distinct from those described in Appendix 1 to the Prospectus, "Intermediary sales charge waivers," and are not intended to describe the sales load cost structure of, or be exclusive to, any particular intermediary. Methods of obtaining reduced sales charges referred to generally in the Prospectus are described in detail below. In calculating the sales charge applicable to current purchases of Class A shares of a fund, the investor is entitled to accumulate current purchases with the current offering price of the Class A, Class C, Class I, Class R6, or all Class R shares of the John Hancock funds owned by the investor (see "Combination and Accumulation Privileges" below).

In order to receive the reduced sales charge, the investor must notify his or her financial professional and/or the financial professional must notify the funds' transfer agent, John Hancock Signature Services, Inc. ("Signature Services") at the time of purchase of the Class A shares, about any other John Hancock funds owned by the investor, the investor's spouse and their children under the age of 21 (see "Combination and Accumulation Privileges" below). **This includes investments held in an IRA, including those held at a broker or financial professional other than the one handling the investor's current purchase. Additionally, individual purchases by a trustee(s) or other fiduciary(ies) also may be aggregated if the investments are for a single trust estate or for a group retirement plan. Assets held within a group retirement plan may not be combined with any assets held by those same participants outside of the plan.** 

John Hancock will credit the combined value, at the current offering price, of all eligible accounts to determine whether an investor qualifies for a reduced sales charge on the current purchase. Signature Services will automatically link certain accounts registered in the same client name, with the same taxpayer identification number, for the purpose of qualifying an investor for lower initial sales charge rates. An investor must notify Signature Services and his or her broker-dealer (financial professional) at the time of purchase of any eligible accounts held by the investor's spouse or children under 21 in order to ensure these assets are linked to the investor's accounts. Also, see Appendix 1 to the Prospectus, "Intermediary sales charge waivers," for more information regarding the availability of sales charge waivers through particular intermediaries.

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**Without Sales Charges.** Class A shares may be offered without a front-end sales charge or CDSC to various individuals and institutions as follows:

● A Trustee or officer of the Trust; a director or officer of the Advisor and its affiliates, subadvisors or Selling Firms; employees or sales representatives of any of the foregoing; retired officers, employees or directors of any of the foregoing; a member of the immediate family (spouse, child, grandparent, grandchild, parent, sibling, mother-in-law, father-in-law, daughter-in-law, son-in-law, brother-in-law, sister-in-law, niece, nephew and same sex domestic partner; "Immediate Family") of any of the foregoing; or any fund, pension, profit sharing or other benefit plan for the individuals described above.

● A broker, dealer, financial planner, consultant or registered investment advisor that uses fund shares in certain eligible retirement platforms, fee-based investment products or services made available to their clients.

● Financial intermediaries who offer shares to self-directed investment brokerage accounts that may or may not be charged a transaction fee. Also, see Appendix 1 to the Prospectus, "Intermediary sales charge waivers," for more information regarding the availability of sales charge waivers through particular intermediaries.

● 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.

● 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 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 above), including subsequent investments into such accounts, and that are held directly at John Hancock funds or at the 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 above), 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 participants 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.

● 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.

● 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 above) subsequently establishing or rolling over assets into a new John Hancock account through John Hancock PFS, including subsequent investments into such accounts and which are held directly at John Hancock funds or at the John Hancock PFS Financial Center.

● Participants in group retirement plans that are eligible and permitted to purchase Class A shares. 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 a fund through a brokerage relationship in which sales charges are customarily imposed. 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.

NOTE: Rollover investments to Class A shares from assets withdrawn from SIMPLE 401(k), TSA, 457, 403(b), 401(k), Money Purchase Pension Plan, Profit-Sharing Plan, and any other qualified plans as described in Code Sections 401(a), 403(b), or 457 and not specified above as waiver-eligible, will be subject to applicable sales charges.

● A member of a class action lawsuit against insurance companies who is investing settlement proceeds.

**In-Kind Re-Registrations.** A shareholder who has previously paid a sales charge, withdraws funds via a tax-reportable transaction from one John Hancock fund account and reregisters those assets directly to another John Hancock fund account, without the assets ever leaving the John Hancock Fund Complex, may do so without paying a sales charge. The beneficial owner must remain the same, i.e., in-kind.

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NOTE: Rollover investments to Class A shares from assets withdrawn from SIMPLE 401(k), TSA, 457, 403(b), 401(k), Money Purchase Pension Plan, Profit-Sharing Plan, and any other qualified plans as described in Sections 401(a), 403(b), or 457 of the Code are not eligible for this provision, and will be subject to applicable sales charges.

Class A shares also may be purchased without an initial sales charge in connection with certain liquidation, merger or acquisition transactions involving other investment companies or personal holding companies.

**Reducing Class A Sales Charges**

**Combination and Accumulation Privileges.** In calculating the sales charge applicable to purchases of Class A shares made at one time, the purchases will be combined to reduce sales charges if made by an individual, his or her spouse, and their children under the age of 21 when purchasing securities in the following:

● his or her own individual or their joint account;

● his or her trust account of which one of the above persons is the grantor or the beneficial owner;

● a Uniform Gift/Transfer to Minor Account or Coverdell Education Savings Account ("ESA") in which one of the above persons is the custodian or beneficiary;

● a single participant retirement/benefit plan account, as long as it is established solely for the benefit of the individual account owner;

● an IRA, including traditional IRAs, Roth IRAs, and SEP IRAs; and

● his or her sole proprietorship.

Group Retirement Plans, including 403(b)(7), Money Purchase Pension Plans, Profit-Sharing Plans, SARSEPs, and Simple IRAs with multiple participants may combine Class A share purchases to reduce their sales charge.

Individual qualified and non-qualified investments can be combined to take advantage of this privilege; however, assets held within a group retirement plan may not be combined with any assets held by those same participants outside of the plan.

Class A investors also may reduce their Class A sales charge by taking into account not only the amount being invested but also the current offering price of all the Class A, Class C, Class I, Class R6, and all Class R shares of all funds in the John Hancock Fund Complex already held by such persons. However, Class A shares of John Hancock Money Market Fund, a series of John Hancock Current Interest (the "Money Market Fund"), will be eligible for the accumulation privilege only if the investor has previously paid a sales charge on the amount of those shares. To receive a reduced sales charge, the investor must tell his or her financial professional or Signature Services at the time of the purchase about any other John Hancock funds held by that investor, his or her spouse, and their children under the age of 21. Further information about combined purchases, including certain restrictions on combined group purchases, is available from Signature Services or a Selling Firm's representative.

**Group Investment Program.** Under the Combination and Accumulation Privileges, all members of a group may combine their individual purchases of Class A shares to potentially qualify for breakpoints in the sales charge schedule. This feature is provided to any group that: (1) has been in existence for more than six months, (2) has a legitimate purpose other than the purchase of fund shares at a discount for its members, (3) utilizes salary deduction or similar group methods of payment, and (4) agrees to allow sales materials of the funds in its mailings to its members at a reduced or no cost to the Distributor.

**Letter of Intention.** Reduced Class A sales charges are applicable to investments made pursuant to an LOI, which should be read carefully prior to its execution by an investor. All investors have the option of making their investments over a specified period of thirteen (13) months. An individual's non-retirement and qualified retirement plan investments can be combined to satisfy an LOI. The retirement accounts eligible for combination include traditional IRAs, Roth IRAs, Coverdell ESAs, SEPs, SARSEPs, and SIMPLE IRAs. Since some assets are held in omnibus accounts, an investor wishing to count those eligible assets towards a Class A purchase must notify Signature Services and his or her financial professional of these holdings. The aggregate amount of such an investment must be equal to or greater than a fund's first breakpoint level (generally $50,000 or $100,000 depending on the specific fund) over a period of 13 months from the date of the LOI. Any shares for which no sales charge was paid will not be credited as purchases made under the LOI.

The sales charge applicable to all amounts invested after an LOI is signed is computed as if the aggregate amount intended to be invested had been invested immediately. If such aggregate amount is not actually invested, the difference in the sales charge actually paid and the sales charge that would have been paid had the LOI not been in effect is due from the investor. In such cases, the sales charge applicable will be assessed based on the amount actually invested. However, for the purchases actually made within the specified period of 13 months, the applicable sales charge will not be higher than that which would have applied (including accumulations and combinations) had the LOI been for the amount actually invested. The asset inclusion criteria stated under the Combination and Accumulation Privilege applies to accounts eligible under the LOI. If such assets exceed the LOI amount at the conclusion of the LOI period, the LOI will be considered to have been met.

The LOI authorizes Signature Services to hold in escrow sufficient Class A shares (approximately 5% of the aggregate) to make up any difference in sales charges on the amount intended to be invested and the amount actually invested, until such investment is completed within the 13-month period. At that time, the escrowed shares will be released. If the total investment specified in the LOI is not completed, the shares held in escrow may be redeemed and the proceeds used as required to pay such sales charge as may be due. By signing the LOI, the investor authorizes Signature Services to act as his

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or her attorney-in-fact to redeem any escrowed Class A shares and adjust the sales charge, if necessary. An LOI does not constitute a binding commitment by an investor to purchase, or by a fund to sell, any additional Class A shares, and may be terminated at any time.

**Deferred Sales Charge on Class A and Class C Shares**

Class A shares are available with no front-end sales charge on investments of $1 million ($250,000 for Balanced Fund) or more. Class C shares are purchased at NAV without the imposition of an initial sales charge. In each of these cases, the funds will receive the full amount of the purchase payment. Also, see Appendix 1 to the Prospectus "Intermediary sales charge waivers," for more information regarding the availability of sales charge waivers through particular intermediaries.

**Contingent Deferred Sales Charge.** 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. Class C shares that are redeemed within one year of purchase will be subject to a CDSC at the rates set forth in the applicable Prospectus as a percentage of the dollar amount subject to the CDSC. The CDSC will be assessed on an amount equal to the lesser of the current market value or the original purchase cost of the Class A or Class C shares being redeemed. No CDSC will be imposed on increases in account value above the initial purchase prices or on shares derived from reinvestment of dividends or capital gains distributions.

In determining whether a CDSC applies to a redemption, the calculation will be determined in a manner that results in the lowest possible rate being charged. It will be assumed that a shareholder's redemption comes first from shares the shareholder has held beyond the one-year CDSC redemption period for Class A or Class C shares, or those the shareholder acquired through dividend and capital gain reinvestment. For this purpose, the amount of any increase in a share's value above its initial purchase price is not subject to a CDSC. Thus, when a share that has appreciated in value is redeemed during the CDSC period, a CDSC is assessed only on its initial purchase price.

When requesting a redemption for a specific dollar amount, a shareholder should state if proceeds to equal the dollar amount requested are required. If not stated, only the specified dollar amount will be redeemed from the shareholder's account and the proceeds will be less any applicable CDSC.

With respect to a CDSC imposed on a redemption of Class A shares, proceeds from the imposition of a CDSC are paid to the Distributor and are used in whole or in part by the Distributor to defray its expenses related to paying a commission or finder's fee in connection with the purchase at NAV of Class A shares with a value of $1 million ($250,000 for Balanced Fund) or more.

With respect to a CDSC imposed on a redemption of Class C shares, proceeds from the imposition of a CDSC are paid to the Distributor and are used in whole or in part by the Distributor to defray its expenses related to providing distribution-related services to the funds in connection with the sale of Class C shares, such as the payment of compensation to select Selling Firms for selling Class C shares. The combination of the CDSC and the distribution and service fees facilitates the ability of the funds to sell Class C shares without a sales charge being deducted at the time of the purchase.

**Waiver of Contingent Deferred Sales Charge.** The CDSC will be waived on redemptions of Class A and Class C shares, unless stated otherwise, in the circumstances defined below:

For all account types:

● 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 pursuant to a fund's right to liquidate an account if the investor owns shares worth less than the stated account minimum in the section "Small accounts" in the Prospectus.

● Redemptions made under certain liquidation, merger or acquisition transactions involving other investment companies or personal holding companies.

● Redemptions due to death or disability. (Does not apply to trust accounts unless trust is being dissolved.)

● Redemptions made under the Reinstatement Privilege, as described in "Sales Charge Reductions and Waivers" in the Prospectus.

● Redemption of Class C shares made under a systematic withdrawal plan or redemptions for fees charged by planners or advisors for advisory services, as long as the shareholder's annual redemptions do not exceed 12% of the account value, including reinvested dividends, at the time the systematic withdrawal plan was established and 12% of the value of subsequent investments (less redemptions) in that account at the time Signature Services is notified. (Please note that this waiver does not apply to systematic withdrawal plan redemptions of Class A shares that are subject to a CDSC).

● Rollovers, contract exchanges or transfers of John Hancock custodial 403(b)(7) account assets required by Signature Services as a result of its decision to discontinue maintaining and administering 403(b)(7) accounts.

For Retirement Accounts (such as traditional, Roth IRAs and Coverdell ESAs, SIMPLE IRAs, SIMPLE 401(k), Rollover IRA, TSA, 457, 403(b), 401(k), Money Purchase Pension Plan, Profit-Sharing Plan and other plans as described in the Code) unless otherwise noted.

● Redemptions made to effect mandatory or life expectancy distributions under the Code. (Waiver based on required minimum distribution calculations for John Hancock mutual fund IRA assets only.)

● Returns of excess contributions made to these plans.

● Redemptions made to effect certain distributions, as outlined in the following table, to participants or beneficiaries from employer sponsored retirement plans under sections 401(a) (such as Money Purchase Pension Plans and Profit-Sharing Plan/401(k) Plans), 403(b), 457 and 408 (SEPs and SIMPLE IRAs) of the Code.

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Please see the following table for some examples.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Type of Distribution** | &nbsp;&nbsp;&nbsp; **401(a) Plan** <br> **(401(k), MPP,** <br> **PSP) & 457**<br>| **403(b)** | &nbsp;&nbsp;&nbsp; **Roth IRA &** <br> **Coverdell ESA**<br>| &nbsp;&nbsp;&nbsp; **IRA, SEP IRA &** <br> **Simple IRA**<br>| **Non-Retirement** |
| Death or Disability | Waived | Waived | Waived | Waived | Waived |
| Age 73 and over | Waived | Waived | Waived<sup>1</sup> | Waived<sup>1</sup> | &nbsp;&nbsp;&nbsp; 12% of account <br> value annually in <br> periodic payments<br>|
| Between ages 59 ½ and 72 | Waived | Waived | &nbsp;&nbsp;&nbsp; 12% of account <br> value annually in <br> periodic payments<br>| &nbsp;&nbsp;&nbsp; Waived for Life <br> Expectancy or 12% <br> of account value <br> annually in periodic <br> payments<br>| &nbsp;&nbsp;&nbsp; 12% of account <br> value annually in <br> periodic payments<br>|
| Under age 59 ½ (Class C <br> only)<br>| &nbsp;&nbsp;&nbsp; Waived for annuity <br> payments (72t<sup>2</sup>) or <br> 12% of account <br> value annually in <br> periodic payments<br>| &nbsp;&nbsp;&nbsp; Waived for annuity <br> payments (72t) or <br> 12% of account <br> value annually in <br> periodic payments<br>| &nbsp;&nbsp;&nbsp; 12% of account <br> value annually in <br> periodic payments<br>| &nbsp;&nbsp;&nbsp; Waived for annuity <br> payments (72t) or <br> 12% of account <br> value annually in <br> periodic payments<br>| &nbsp;&nbsp;&nbsp; 12% of account <br> value annually in <br> periodic payments<br>|
| Termination of Plan | Not Waived | Waived | N/A | N/A | N/A |
| Hardships | Waived | Waived | N/A | N/A | N/A |
| Qualified Domestic <br> Relations Orders<br>| Waived | Waived | N/A | N/A | N/A |
| Termination of Employment <br> Before Normal Retirement <br> Age<br>| Waived | Waived | N/A | N/A | N/A |
| Return of Excess | Waived | Waived | Waived | Waived | N/A |

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**1**

External direct rollovers and transfer of assets are excluded.

**2**

Refers to withdrawals from retirement accounts under Section 72(t) of the Code.

If a shareholder qualifies for a CDSC waiver under one of these situations, Signature Services must be notified at the time of redemption. The waiver will be granted once Signature Services has confirmed that the shareholder is entitled to the waiver.

**Special Redemptions**

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Although it would not normally do so, each fund has the right to pay the redemption price of its shares in whole or in part in portfolio securities as prescribed by the Trustees. When a shareholder sells any securities received in a redemption of fund shares, the shareholder will incur a brokerage charge. Any such securities would be valued for the purposes of fulfilling such a redemption request in the same manner as they are in computing the fund's NAV. Each fund (other than Financial Industries Fund and Regional Bank Fund) has, however, elected to be governed by Rule 18f-1 under the 1940 Act. Under that rule, a fund must redeem its shares for cash except to the extent that the redemption payments to any shareholder during any 90-day period would exceed the lesser of $250,000 or 1% of the fund's NAV at the beginning of such period.

Each Trust has adopted Procedures Regarding Redemptions in Kind by Affiliates (the "Procedures") to facilitate the efficient and cost effective movement of assets of a fund and other funds managed by the Advisor or its affiliates ("affiliated funds") in connection with certain investment and marketing strategies. It is the position of the SEC that the 1940 Act prohibits an investment company, such as each fund, from satisfying a redemption request from a shareholder that is affiliated with the investment company by means of an in-kind distribution of portfolio securities. However, under a no-action letter issued by the SEC staff, a redemption in kind to an affiliated shareholder is permissible provided certain conditions are met. The Procedures, which are intended to conform to the requirements of this no-action letter, allow for in-kind redemptions by fund and affiliated fund shareholders subject to specified conditions, including that:

● the distribution is effected through a pro rata distribution of securities of the distributing fund or affiliated fund;

● the distributed securities are valued in the same manner as they are in computing the fund's or affiliated fund's NAV;

● neither the affiliated shareholder nor any other party with the ability and the pecuniary incentive to influence the redemption in kind may select or influence the selection of the distributed securities; and

● the Board, including a majority of the Independent Trustees, must determine on a quarterly basis that any redemptions in kind to affiliated shareholders made during the prior quarter were effected in accordance with the Procedures, did not favor the affiliated shareholder to the detriment of any other shareholder and were in the best interests of the fund and the affiliated fund.

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**Potential Adverse Effects of Large Shareholder Transactions**

A fund may from time to time sell to one or more investors, including other funds advised by the Advisor or third parties, a substantial amount of its shares, and may thereafter be required to satisfy redemption requests by such shareholders. The Advisor and/or the subadvisor, as seed investors, may have significant ownership in certain funds. The Advisor and subadvisor, as applicable, face conflicts of interest when considering the effect of redemptions on any such funds and on other shareholders in deciding whether and when to redeem its respective shares. Such sales and redemptions may be very substantial relative to the size of such fund. While it is not possible to predict the overall effect of such sales and redemptions over time, such transactions may adversely affect such fund's performance to the extent that the fund is required to invest cash received in connection with a sale or to sell portfolio securities to facilitate a redemption at, in either case, a time when the fund otherwise would not invest or sell. As a result, the fund may have greater or lesser market exposure than would otherwise be the case. Such transactions also may accelerate the realization of capital gains or increase a fund's transaction costs, which would detract from fund performance.

A large redemption could significantly reduce the assets of a fund, causing decreased liquidity and, depending on any applicable expense caps and/or waivers, a higher expense ratio. If a fund is forced to sell portfolio securities that have appreciated in value, such sales may accelerate the realization of taxable income to shareholders if such sales of investments result in gains. If a fund has difficulty selling portfolio securities in a timely manner to meet a large redemption request, the fund may have to borrow money to do so. In such an instance, the fund's remaining shareholders would bear the costs of such borrowings, and such costs could reduce the fund's returns. In addition, a large redemption could result in a fund's current expenses being allocated over a smaller asset base, leading to an increase in the fund's expense ratio and possibly resulting in the fund's becoming too small to be economically viable.

**Non-U.S. market closures and redemptions.** Market closures during regular holidays in an applicable non-U.S. market that are not holidays observed in the U.S. market may prevent the fund from executing securities transactions within the normal settlement period. Unforeseeable closures of applicable non-U.S. markets may have a similar impact. During such closures, the fund may be required to rely on other methods to satisfy shareholder redemption requests, including 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, or the delivery of redemption proceeds may be extended beyond the normal settlement cycle.

**Additional Services and Programs**

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**Exchange Privilege.** Each Trust permits exchanges of shares of any class of a fund for shares of the same class of any other fund within the John Hancock Fund Complex offering that same class at the time of the exchange. Class I, Class R2, Class R4, Class R5, or Class R6 shareholders also may exchange their shares for Class A shares of Money Market Fund. If a shareholder exchanges into Class A shares of the Money Market Fund, any future exchanges out of Money Market Fund Class A shares must be to the same share class from which they were originally exchanged.

The registration for both accounts involved must be identical. Identical registration is determined by having the same beneficial owner on both accounts involved in the exchange.

Exchanges between funds are based on their respective NAVs. No sales charge is imposed, except on exchanges of Class A shares from Money Market Fund to another John Hancock fund, if a sales charge has not previously been paid on those shares. 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 Class C shares, this will have no impact on shareholders because the CDSC rates and holding schedules are the same for all Class C shares across the John Hancock Fund Complex. For Class A shares, certain funds within the John Hancock Fund Complex have different CDSC rates and holding schedules and shareholders should review the Prospectus for funds with Class A shares before considering an exchange. For purposes of determining the holding period for calculating the CDSC, shares will continue to age from their original purchase date.

If a group retirement plan, whose financial advisor has received finder's fee compensation on the plan's investments, exchanges all its Class A assets out of a John Hancock fund to a non-John Hancock investment, a CDSC may apply.

Each fund reserves the right to require that previously exchanged shares (and reinvested dividends) be in the fund for 90 days before a shareholder is permitted a new exchange.

An exchange of shares is treated as a redemption of shares of one fund and the purchase of shares of another for federal income tax purposes. An exchange may result in a taxable gain or loss. See "Additional Information Concerning Taxes."

**Conversion Privilege.** Provided a 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 and/or Class C shares (not subject to a CDSC) also owned by the investor in the same fund to Class I shares or Class R6 shares of the fund; or (ii) Class I shares also owned by the investor in the same fund 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.

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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 the particular circumstances described above, should not cause the investor to realize taxable gain or loss. For further details, see "Additional Information Concerning Taxes" for information regarding the tax treatment of such conversions.

**Systematic Withdrawal Plan.** Each Trust permits the establishment of a Systematic Withdrawal Plan. Payments under this plan represent proceeds arising from the redemption of fund shares. Since the redemption price of fund shares may be more or less than the shareholder's cost, depending upon the market value of the securities owned by a fund at the time of redemption, the distribution of cash pursuant to this plan may result in realization of gain or loss for purposes of federal, state and local income taxes. The maintenance of a Systematic Withdrawal Plan concurrently with purchases of additional shares of a fund could be disadvantageous to a shareholder because of the initial sales charge payable on such purchases of Class A shares, if applicable, and the CDSC imposed on redemptions of Class C shares and because redemptions are taxable events. Therefore, a shareholder should not purchase shares at the same time that a Systematic Withdrawal Plan is in effect. Each fund reserves the right to modify or discontinue the Systematic Withdrawal Plan of any shareholder on 30 days' prior written notice to such shareholder, or to discontinue the availability of such plan in the future. The shareholder may terminate the plan at any time by giving proper notice to Signature Services.

**Monthly Automatic Accumulation Program ("MAAP").** This program is explained in a Prospectus that describes Class A or Class C shares. The program, as it relates to automatic investment checks, is subject to the following conditions:

● The investments will be drawn on or about the day of the month indicated;

● The privilege of making investments through the MAAP may be revoked by Signature Services without prior notice if any investment is not honored by the shareholder's bank. The bank shall be under no obligation to notify the shareholder as to the nonpayment of any checks; and

● The program may be discontinued by the shareholder either by calling Signature Services or upon written notice to Signature Services that is received at least five (5) business days prior to the due date of any investment.

**Reinstatement or Reinvestment Privilege.** If Signature Services and the financial professional are notified prior to reinvestment, a shareholder who has redeemed fund shares may, within 120 days after the date of redemption, reinvest, without payment of a sales charge any part of the redemption proceeds in shares back into the same share class of the same John Hancock fund and account from which it was removed, subject to the minimum investment limit of that fund. The proceeds from the redemption of Class A shares of a fund may be reinvested at NAV without paying a sales charge for Class A shares of the fund. If a CDSC was paid upon a redemption, a shareholder may reinvest the proceeds from this redemption at NAV in additional shares of the same class, fund, and account from which the redemption was made. The shareholder's account will be credited with the amount of any CDSC charged upon the prior redemption and the new shares will continue to be subject to the CDSC. The holding period of the shares acquired through reinvestment will, for purposes of computing the CDSC payable upon a subsequent redemption, include the holding period of the redeemed shares.

Redemption proceeds that are otherwise prohibited from being reinvested in the same account or the same fund may be invested in another account for the same shareholder in the same share class of the same fund (or different John Hancock fund if the original fund is no longer available) without paying a sales charge. Any such reinvestment is subject to the minimum investment limit.

A fund may refuse any reinvestment request and may change or cancel its reinvestment policies at any time.

A redemption or exchange of fund shares is a taxable transaction for federal income tax purposes even if the reinvestment privilege is exercised, and any gain or loss realized by a shareholder on the redemption or other disposition of fund shares will be treated for tax purposes as described under the caption "Additional Information Concerning Taxes."

**Section 403(b)(7) Accounts.** Section 403(b)(7) of the Code permits public school employers and employers of certain types of tax-exempt organizations to establish for their eligible employees custodial accounts for the purpose of providing for retirement income for such employees. Treasury regulations impose certain conditions on exchanges between one custodial account intended to qualify under Section 403(b)(7) (the "exchanged account") and another contract or custodial account intended to qualify under Section 403(b) (the "replacing account") under the same employer plan (a "Section 403(b) Plan"). Specifically, the replacing account agreement must include distribution restrictions that are no less stringent than those imposed under the exchanged account agreement, and the employer must enter into an agreement with the custodian (or other issuer) of the replacing account under which the employer and the custodian (or other issuer) of the replacing account will from time to time in the future provide each other with certain information.

Due to Treasury regulations:

**1**

The funds do not accept requests to establish new John Hancock custodial 403(b)(7) accounts intended to qualify as a Section 403(b) Plan.

**2**

The funds do not accept requests for exchanges or transfers into John Hancock custodial 403(b)(7) accounts (i.e., where the investor holds the replacing account).

**3**

The funds require certain signed disclosure documentation in the event:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● A shareholder established a John Hancock custodial 403(b)(7) account with a fund prior to September 24, 2007; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● A shareholder directs the fund to exchange or transfer some or all of the John Hancock custodial 403(b)(7) account assets to another custodial 403(b) contract or account (i.e., where the exchanged account is with the fund).

**4**

The funds do not accept salary deferrals into custodial 403(b)(7) accounts.

In the event that a fund does not receive the required documentation, and the fund is nonetheless directed to proceed with the transfer, the transfer may be treated as a taxable transaction.

**Purchases and Redemptions Through Third Parties**

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Shares of the funds may be purchased or redeemed through certain Selling Firms. Selling Firms may charge the investor additional fees for their services. A fund will be deemed to have received a purchase or redemption order when an authorized Selling Firm, or if applicable, a Selling Firm's authorized designee, receives the order. Orders may be processed at the NAV next calculated after the Selling Firm receives the order. The Selling Firm must segregate any orders it receives after the close of regular trading on the NYSE and transmit those orders to the fund for execution at the NAV next determined. Some Selling Firms that maintain network/omnibus/nominee accounts with a fund for their clients charge an annual fee on the average net assets held in such accounts for accounting, servicing, and distribution services they provide with respect to the underlying fund shares. This fee is paid by the Advisor, the fund and/or the Distributor.

Certain accounts held on a fund's books, known as omnibus accounts, contain the investments of multiple underlying clients that are invested in shares of the funds. These underlying client accounts are maintained by entities such as financial intermediaries. Indirect investments in a John Hancock fund through a financial intermediary such as, but not limited to: a broker-dealer, a bank (including a bank trust department), an investment advisor, a record keeper or trustee of a retirement plan or qualified tuition plan or a sponsor of a fee-based program that maintains an omnibus account with a fund for trading on behalf of its customers, may be subject to guidelines, conditions, services and restrictions that are different from those discussed in a fund's Prospectus. These differences may include, but are not limited to: (i) eligibility standards to purchase, exchange, and sell shares depending on that intermediary's policies; (ii) availability of sales charge waivers and fees; (iii) minimum and maximum initial and subsequent purchase amounts; and (iv) unavailability of LOI privileges. With respect to the availability of sales charge waivers and fees, and LOI privileges, see Appendix 1 to the Prospectus, "Intermediary sales charge waivers." Additional conditions may apply to an investment in a fund, and the investment professional or intermediary may charge a transaction-based, administrative or other fee for its services. These conditions and fees are in addition to those imposed by a fund and its affiliates.

**Description of Fund Shares**

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The Trustees are responsible for the management and supervision of each Trust. Each Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest of each fund or other series of the Trust without par value. Under each Declaration of Trust, the Trustees have the authority to create and classify shares of beneficial interest in separate series and classes without further action by shareholders. As of the date of this SAI, the Trustees have authorized shares of 18 series of the Trusts. Additional series may be added in the future. The Trustees also have authorized the issuance of eight classes of shares of the funds, designated as Class A, Class C, Class I, Class NAV, Class R2, Class R4, Class R5, and Class R6. Additional classes of shares may be authorized in the future.

Each share of each class of a fund represents an equal proportionate interest in the aggregate net assets attributable to that class of the fund. Holders of each class of shares have certain exclusive voting rights on matters relating to their respective distribution plan, if any. The different classes of a fund may bear different expenses relating to the cost of holding shareholder meetings necessitated by the exclusive voting rights of any class of shares.

Dividends paid by a fund, if any, with respect to each class of shares will be calculated in the same manner, at the same time and on the same day and will be in the same amount, except for differences resulting from the fact that: (i) the distribution and service fees, if any, relating to each class of shares will be borne exclusively by that class, and (ii) each class of shares will bear any class expenses properly allocable to that class of shares. Similarly, the NAV per share may vary depending on which class of shares is purchased. No interest will be paid on uncashed dividend or redemption checks.

In the event of liquidation, shareholders of each class are entitled to share pro rata in the net assets of a fund that are available for distribution to these shareholders. Shares entitle their holders to one vote per share (and fractional votes for fractional shares), are freely transferable and have no preemptive, subscription or conversion rights. When issued, shares are fully paid and non-assessable, except as set forth below.

Unless otherwise required by the 1940 Act or the Declaration of Trust, each Trust has no intention of holding annual meetings of shareholders. Trust shareholders may remove a Trustee by the affirmative vote of at least two-thirds of the relevant Trust's outstanding shares and the Trustees shall promptly call a meeting for such purpose when requested to do so in writing by the record holders of not less than 10% of the outstanding shares of the Trust. Shareholders may, under certain circumstances, communicate with other shareholders in connection with a request for a special meeting of shareholders. However, at any time that less than a majority of the Trustees holding office were elected by the shareholders, the Trustees will call a special meeting of shareholders for the purpose of electing Trustees.

Under Massachusetts law, shareholders of a Massachusetts business trust could, under certain circumstances, be held personally liable for acts or obligations of such trust or a series thereof. However, each Declaration of Trust contains an express disclaimer of shareholder liability for acts, obligations or affairs of the relevant Trust. Each Declaration of Trust also provides for indemnification out of the Trust's assets for all losses and expenses of any shareholder held personally liable by reason of being or having been a shareholder. Each Declaration of Trust also provides that no series of the

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relevant Trust shall be liable for the liabilities of any other series. Furthermore, no series of a Trust shall be liable for the liabilities of any other fund within the John Hancock Fund Complex. Liability is therefore limited to circumstances in which a fund itself would be unable to meet its obligations, and the possibility of this occurrence is remote.

Each fund reserves the right to reject any application that conflicts with the fund's internal policies or the policies of any regulatory authority. The Distributor does not accept starter, credit card, or third party checks. All checks returned by the post office as undeliverable will be reinvested at NAV in the fund or funds from which a redemption was made or dividend paid. Information provided on the account application may be used by the funds to verify the accuracy of the information or for background or financial history purposes. A joint account will be administered as a joint tenancy with right of survivorship, unless the joint owners notify Signature Services of a different intent. A shareholder's account is governed by the laws of The Commonwealth of Massachusetts. For telephone transactions, the transfer agent will take measures to verify the identity of the caller, such as asking for name, account number, Social Security, or other taxpayer ID number and other relevant information. If appropriate measures are taken, the transfer agent is not responsible for any losses that may occur to any account due to an unauthorized telephone call. Also, for shareholders' protection, telephone redemptions are not permitted on accounts whose names or addresses have changed within the past 30 days. Proceeds from telephone transactions can be mailed only to the address of record.

Except as otherwise provided, shares of a fund generally may be sold only to U.S. citizens, U.S. residents, and U.S. domestic corporations, partnerships, trusts or estates. For purposes of this policy, U.S. citizens and U.S. residents must reside in the U.S. and U.S. domestic corporations, partnerships, trusts, and estates must have a U.S. address of record.

The Declaration of Trust of Investment Trust also provides that the Board may approve the merger of a relevant fund with an affiliated fund without shareholder approval, in accordance with the 1940 Act. This provision will permit the merger of affiliated funds without shareholder approval in certain circumstances to avoid incurring the expense of soliciting proxies when a combination does not raise significant issues for shareholders. For example, this provision would permit the combination of two small funds having the same portfolio managers, the same investment objectives, and the same fee structure in order to achieve economies of scale and thereby reduce fund expenses borne by shareholders. Such a merger will still require the Board (including a majority of the Independent Trustees) to determine that the merger is in the best interests of the combining funds and will not dilute the interest of existing shareholders. The Trustees would evaluate any and all information reasonably necessary to make their determination and consider and give appropriate weight to all pertinent factors in fulfilling their duty of care to shareholders.

Shareholders of an acquired fund will still be required to approve a combination that would result in a change in a fundamental investment policy, a material change to the terms of an advisory agreement, the institution of or an increase in Rule 12b-1 fees, or when the board of the surviving fund does not have a majority of Independent Trustees who were elected by its shareholders. Under Massachusetts law, shareholder approval is not required for fund mergers, consolidation, or sales of assets. Shareholder approval nevertheless will be obtained for combinations of affiliated funds when required by the 1940 Act. Shareholder approval also will be obtained for combinations with unaffiliated funds when deemed appropriate by the Trustees.

Each Trust's amended and restated Declaration of Trust: (i) sets forth certain duties, responsibilities, and powers of the Trustees; (ii) clarifies that, other than as provided under federal securities laws, the shareholders may only bring actions involving a fund derivatively; (iii) provides that any action brought by a shareholder related to a fund will be brought in Massachusetts state or federal court, and that, if a claim is brought in a different jurisdiction and subsequently changed to a Massachusetts venue, the shareholder will be required to reimburse the fund for such expenses; and (iv) clarifies that shareholders are not intended to be third-party beneficiaries of fund contracts. The foregoing description of the Declaration of Trust is qualified in its entirety by the full text of the Declaration of Trust, effective as of January 22, 2016, which is available by writing to the Secretary of the Trust at 200 Berkeley Street, Boston, Massachusetts 02116, and also on the SEC's and Secretary of the Commonwealth of Massachusetts' websites.

**Sample Calculation of Maximum Offering Price**

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Class A shares are sold with a maximum initial sales charge of 5.00% or 4.50%. Class C shares are sold at NAV without any initial sales charges and with a 1.00% CDSC on shares redeemed within 12 months of purchase. Class I, Class NAV, Class R2, Class R4, Class R5, and Class R6 shares of each fund, as applicable, are sold at NAV without any initial sales charges or CDSCs. The following tables show the maximum offering price per share of each class of each fund using the fund's relevant NAV as of October 31, 2025.

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| | | | |
|:---|:---|:---|:---|
| **Fund** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **NAV and Redemption Price**<br> **per Class A Share ($)**<br>| &nbsp;&nbsp; **Maximum Sales Charge**<br> **(5.00% of offering price,**<br> **unless otherwise noted) ($)**<br>| &nbsp;&nbsp; **Maximum Offering Price**<br> **to Public ($)**<br>|
| Balanced Fund | 32.22 | 1.52 | 33.74 |
| Classic Value Fund | 25.18 | 1.33 | 26.51 |
| Disciplined Value International Fund | 17.5 | 0.92 | 18.42 |
| Diversified Macro Fund | 8.53 | 0.45 | 8.98 |
| Emerging Markets Equity Fund | 11.43 | 0.60 | 12.03 |
| Financial Industries Fund | 18.56 | 0.98 | 19.54 |
| Fundamental Large Cap Core Fund | 73.31 | 3.86 | 77.17 |
| Global Environmental Opportunities Fund | 10.79 | 0.57 | 11.36 |

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| | | | |
|:---|:---|:---|:---|
| **Fund** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **NAV and Redemption Price**<br> **per Class A Share ($)**<br>| &nbsp;&nbsp; **Maximum Sales Charge**<br> **(5.00% of offering price,**<br> **unless otherwise noted) ($)**<br>| &nbsp;&nbsp; **Maximum Offering Price**<br> **to Public ($)**<br>|
| Infrastructure Fund | 17.27 | 0.91 | 18.18 |
| International Dynamic Growth Fund | 16.26 | 0.86 | 17.12 |
| Regional Bank Fund | 28.58 | 1.50 | 30.08 |
| Small Cap Core Fund | 15.93 | 0.84 | 16.77 |
| U.S. Global Leaders Growth Fund | 65.47 | 3.45 | 68.92 |

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| | |
|:---|:---|
|  | **NAV, Shares Offering Price, and Redemption Price per Share** |
| **Fund** | **Class C ($)** |
| Balanced Fund | 32.16 |
| Classic Value Fund | 24.21 |
| Disciplined Value International Fund | 17.4 |
| Diversified Macro Fund | 8.4 |
| Emerging Markets Equity Fund | 10.96 |
| Financial Industries Fund | 15.4 |
| Fundamental Large Cap Core Fund | 57.94 |
| Global Environmental Opportunities Fund | 10.43 |
| Infrastructure Fund | 17.01 |
| International Dynamic Growth Fund | 15.48 |
| Regional Bank Fund | 26.75 |
| Small Cap Core Fund | N/A |
| U.S. Global Leaders Growth Fund | 44.86 |

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **NAV, Shares Offering Price, and Redemption Price per Share** | **NAV, Shares Offering Price, and Redemption Price per Share** | **NAV, Shares Offering Price, and Redemption Price per Share** | **NAV, Shares Offering Price, and Redemption Price per Share** | **NAV, Shares Offering Price, and Redemption Price per Share** | **NAV, Shares Offering Price, and Redemption Price per Share** |
| **Fund** | **Class R2 ($)** | **Class R4 ($)** | **Class R5 ($)** | **Class R6 ($)** | **Class I ($)** | **Class NAV ($)** |
| Balanced Fund | 32.19 | 32.4 | 32.34 | 32.24 | 32.18 | N/A |
| Classic Value Fund | 25.12 | N/A | 25.37 | 25.39 | 25.31 | N/A |
| Disciplined Value International Fund | 17.53 | 17.52 | N/A | 17.56 | 17.55 | 17.55 |
| Diversified Macro Fund | N/A | N/A | N/A | 8.61 | 8.56 | 8.57 |
| Emerging Markets Equity Fund | 11.44 | 11.47 | N/A | 11.5 | 11.48 | 11.49 |
| Financial Industries Fund | N/A | N/A | N/A | 18.57 | 18.55 | N/A |
| Fundamental Large Cap Core Fund | 77.94 | 78.03 | 79.03 | 79.11 | 78.71 | 79.07 |
| Global Environmental Opportunities Fund | N/A | N/A | N/A | 10.9 | 10.89 | N/A |
| Infrastructure Fund | N/A | N/A | N/A | 17.33 | 17.29 | 17.33 |
| International Dynamic Growth Fund | N/A | N/A | N/A | 16.49 | 16.45 | 16.5 |
| Regional Bank Fund | N/A | N/A | N/A | 28.55 | 28.55 | N/A |
| Small Cap Core Fund | N/A | N/A | N/A | 16.21 | 16.12 | 16.21 |
| U.S. Global Leaders Growth Fund | 70.55 | N/A | N/A | 76.58 | 75.19 | N/A |

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**Additional Information Concerning Taxes**

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The following discussion is a general and abbreviated summary of certain tax considerations affecting the funds and their shareholders. No attempt is made to present a detailed explanation of all federal, state, local and foreign tax concerns, and the discussions set forth here and in the Prospectus do not constitute tax advice. Investors are urged to consult their own tax advisors with specific questions relating to federal, state, local or foreign taxes.

Each fund is treated as a separate entity for accounting and tax purposes and intends to qualify as a RIC under Subchapter M of the Code for each taxable year. In order to qualify for the special tax treatment accorded RICs and their shareholders, a fund must, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;(a) derive at least 90% of its gross income from dividends, interest, payments with respect to certain securities loans, and gains from the sale or other disposition of stock, securities, and foreign currencies, or other income (including but not limited to gains from options, futures, or forward contracts) derived with respect to its business of investing in such stock, securities, or currencies, and net income derived from interests in qualified publicly traded partnerships (as defined below);

&nbsp;&nbsp;&nbsp;&nbsp;(b) distribute with respect to each taxable year at least the sum of 90% of its investment company taxable income (as that term is defined in the

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Code without regard to the deduction for dividends paid-generally, taxable ordinary income and the excess, if any, of net short-term capital gains over net long-term capital losses) and 90% of net tax-exempt interest income, for such year; and

&nbsp;&nbsp;&nbsp;&nbsp;(c) diversify its holdings so that, at the end of each quarter of the fund's taxable year: (i) at least 50% of the market value of the fund's total assets is represented by cash and cash items, U.S. government securities, securities of other RICs, and other securities limited in respect of any one issuer to a value not greater than 5% of the value of the fund's total assets and not more than 10% of the outstanding voting securities of such issuer; and (ii) not more than 25% of the value of the fund's total assets is invested (x) in the securities (other than those of the U.S. government or other RICs) of any one issuer or of two or more issuers that the fund controls and that are engaged in the same, similar, or related trades or businesses, or (y) in the securities of one or more qualified publicly traded partnerships (as defined below).

With respect to gains from the sale or other disposition of foreign currencies, the Treasury Department can, by regulation, exclude from qualifying income foreign currency gains which are not directly related to a RIC's principal business of investing in stock (or options or futures with respect to stock or securities), but no regulations have been proposed or adopted pursuant to this grant of regulatory authority.

In general, for purposes of the 90% gross income requirement described in paragraph (a) above, income derived from a partnership will be treated as qualifying income only to the extent such income is attributable to items of income of the partnership which would be qualifying income if realized by the RIC. However, 100% of the net income derived from an interest in a "qualified publicly traded partnership" will be treated as qualifying income. A "qualified publicly traded partnership" is a publicly traded partnership that satisfies certain requirements with respect to the type of income it produces. In addition, although in general the passive loss rules of the Code do not apply to RICs, such rules do apply to a RIC with respect to items attributable to an interest in a qualified publicly traded partnership. Finally, for purposes of paragraph (c) above, the term "outstanding voting securities of such issuer" will include the equity securities of a qualified publicly traded partnership. If a fund invests in publicly traded partnerships, it might be required to recognize in its taxable year income in excess of its cash distributions from such publicly traded partnerships during that year. Such income, even if not reported to a fund by the publicly traded partnerships until after the end of that year, would nevertheless be subject to the RIC income distribution requirements and would be taken into account for purposes of the 4% excise tax described below.

Each fund may use "equalization payments" in determining the portion of its net investment income and net realized capital gains that have been distributed. A fund that elects to use equalization payments will allocate a portion of its investment income and capital gains to the amounts paid in redemption of fund shares, and such income and gains will be deemed to have been distributed by the fund for purposes of the distribution requirements described above. This may have the effect of reducing the amount of income and gains that the fund is required to distribute to shareholders in order for the fund to avoid federal income tax and excise tax and also may defer the recognition of taxable income by shareholders. This process does not affect the tax treatment of redeeming shareholders and, since the amount of any undistributed income and/or gains will be reflected in the value of the fund's shares, the total return on a shareholder's investment will not be reduced as a result of the fund's distribution policy. The IRS has not published any guidance concerning the methods to be used in allocating investment income and capital gain to redemptions of shares. In the event that the IRS determines that a fund is using an improper method of allocation and has under-distributed its net investment income or net realized capital gains for any taxable year, such fund may be liable for additional federal income or excise tax or may jeopardize its treatment as a RIC.

A fund may invest in certain commodity investments including commodity-based ETFs. Under an IRS revenue ruling effective after September 30, 2006, income from certain commodities-linked derivatives in which certain funds invest is not considered qualifying income for purposes of the 90% qualifying income test. This ruling limits the extent to which a fund may receive income from such commodity-linked derivatives to a maximum of 10% of its annual gross income.

As a result of qualifying as a RIC, a fund will not be subject to U.S. federal income tax on its investment company taxable income (as that term is defined in the Code, determined without regard to the deduction for dividends paid) and net capital gain (i.e., the excess of its net realized long-term capital gain over its net realized short-term capital loss), if any, that it distributes to its shareholders in each taxable year, provided that it distributes to its shareholders at least the sum of 90% of its investment company taxable income and 90% of its net exempt interest income for such taxable year.

A fund will be subject to a non-deductible 4% excise tax to the extent that the fund does not distribute by the end of each calendar year: (a) at least 98% of its ordinary income for the calendar year; (b) at least 98.2% of its capital gain net income for the one-year period ending, as a general rule, on October 31 of each year; and (c) 100% of the undistributed ordinary income and capital gain net income from the preceding calendar years (if any). For this purpose, any income or gain retained by a fund that is subject to corporate tax will be considered to have been distributed by year-end. To the extent possible, each fund intends to make sufficient distributions to avoid the application of both federal income and excise taxes. Under current law, distributions of net investment income and net capital gain are not taxed to a life insurance company to the extent applied to increase the reserves for the company's variable annuity and life insurance contracts.

If a fund fails to meet the annual gross income test or asset diversification test or fails to satisfy the 90% distribution requirement as described above, for any taxable year, the fund would incur income tax as a regular corporation on its taxable income and net capital gains for that year, it would lose its deduction for dividends paid to shareholders, and it would be subject to certain gain recognition and distribution requirements upon requalification. Further distributions of income by the fund to its shareholders would be treated as dividend income, although distributions to individual shareholders generally would constitute qualified dividend income subject to reduced federal income tax rates if the shareholder satisfies certain holding period requirements with respect to its shares in the fund and distributions to corporate shareholders generally should be eligible for the DRD. Compliance with the RIC 90% qualifying income test and with the asset diversification requirements is carefully monitored by the Advisor and the subadvisors and it is intended that each fund will comply with the requirements for qualification as a RIC.

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If a fund fails to meet the annual gross income test described above, the fund will nevertheless be considered to have satisfied the test if (i) (a) such failure is due to reasonable cause and not due to willful neglect and (b) the fund reports the failure, and (ii) the fund pays an excise tax equal to the excess non-qualifying income. If a fund fails to meet the asset diversification test described above with respect to any quarter, the fund will nevertheless be considered to have satisfied the requirements for such quarter if the fund cures such failure within six months and either: (i) such failure is de minimis; or (ii) (a) such failure is due to reasonable cause and not due to willful neglect; and (b) the fund reports the failure and pays an excise tax.

A fund may make investments that produce income that is not matched by a corresponding cash distribution to the fund, such as investments in pay-in-kind bonds or in obligations such as certain Brady Bonds and zero-coupon securities having OID (i.e., an amount equal to the excess of the stated redemption price of the security at maturity over its issue price), or market discount (i.e., an amount equal to the excess of the stated redemption price at maturity of the security (appropriately adjusted if it also has OID) over its basis immediately after it was acquired) if the fund elects to accrue market discount on a current basis. In addition, income may continue to accrue for federal income tax purposes with respect to a non-performing investment. Any such income would be treated as income earned by the fund and therefore would be subject to the distribution requirements of the Code. Because such income may not be matched by a corresponding cash distribution to the fund, the fund may be required to borrow money or dispose of other securities to be able to make distributions to its investors. In addition, if an election is not made to currently accrue market discount with respect to a market discount bond, all or a portion of any deduction for any interest expense incurred to purchase or hold such bond may be deferred until such bond is sold or otherwise disposed of.

Investments in debt obligations that are at risk of or are in default present special tax issues for a fund. Tax rules are not entirely clear about issues such as when a fund may cease to accrue interest, OID, or market discount, when and to what extent deductions may be taken for bad debts or worthless securities, how payments received on obligations in default should be allocated between principal and income, and whether exchanges of debt obligations in a workout context are taxable. These and other issues will be addressed by a fund that holds such obligations in order to reduce the risk of distributing insufficient income to preserve its status as a RIC and seek to avoid becoming subject to federal income or excise tax.

A fund may make investments in convertible securities and exchange traded notes. Convertible debt ordinarily is treated as a "single property" consisting of a pure debt interest until conversion, after which the investment becomes an equity interest. If the security is issued at a premium (i.e., for cash in excess of the face amount payable on retirement), the creditor-holder may amortize the premium over the life of the bond. If the security is issued for cash at a price below its face amount, the creditor-holder must accrue OID in income over the life of the debt. The creditor-holder's exercise of the conversion privilege is treated as a nontaxable event. Mandatorily convertible debt, such as an exchange traded note issued in the form of an unsecured obligation that pays a return based on the performance of a specified market index, currency or commodity, is often treated as a contract to buy or sell the reference property rather than debt. Similarly, convertible preferred stock with a mandatory conversion feature is ordinarily, but not always, treated as equity rather than debt. In general, conversion of preferred stock for common stock of the same corporation is tax-free. Conversion of preferred stock for cash is a taxable redemption. Any redemption premium for preferred stock that is redeemable by the issuing company might be required to be amortized under OID principles.

Certain funds may engage in hedging or derivatives transactions involving foreign currencies, forward contracts, options and futures contracts (including options, futures and forward contracts on foreign currencies) and short sales (see "Hedging and Other Strategic Transactions"). Such transactions will be subject to special provisions of the Code that, among other things, may affect the character of gains and losses realized by a fund (that is, may affect whether gains or losses are ordinary or capital), accelerate recognition of income of a fund and defer recognition of certain of the fund's losses. These rules could therefore affect the character, amount and timing of distributions to shareholders. The futures that are traded on a regulated exchange, such as NYSE or NASDAQ, will be treated as Code Section 1256 contracts, and the capital gain/loss will be reflected as 40% short-term capital gain/loss and 60% long-term capital gain/loss. Any futures that are not traded on a regulated exchange will follow the 365 day rule of short-term capital or long-term capital treatment. In addition, these provisions: (1) will require a fund to "mark-to-market" certain types of positions in its portfolio (that is, treat them as if they were closed out); and (2) may cause a fund to recognize income without receiving cash with which to pay dividends or make distributions in amounts necessary to satisfy the distribution requirement and avoid the 4% excise tax. Each fund intends to monitor its transactions, will make the appropriate tax elections and will make the appropriate entries in its books and records when it acquires any option, futures contract, forward contract or hedged investment in order to mitigate the effect of these rules.

Foreign exchange gains and losses realized by a fund in connection with certain transactions involving foreign currency denominated debt securities, certain foreign currency options, foreign currency forward contracts, foreign currencies, or payables or receivables denominated in a foreign currency are subject to Section 988 of the Code, which generally causes such gains and losses to be treated as ordinary income and losses and may affect the amount, timing and character of distributions to shareholders. If the net foreign exchange loss for a year treated as ordinary loss under Section 988 were to exceed a fund's investment company taxable income computed without regard to such loss, the resulting overall ordinary loss for such year would not be deductible by the fund or its shareholders in future years. Under such circumstances, distributions paid by the fund could be deemed return of capital.

Certain funds may be required to account for their transactions in forward rolls or swaps, caps, floors and collars in a manner that, under certain circumstances, may limit the extent of their participation in such transactions. Additionally, a fund may be required to recognize gain, but not loss, if a swap or other transaction is treated as a constructive sale of an appreciated financial position in a fund's portfolio. Additionally, some countries restrict repatriation which may make it difficult or impossible for a fund to obtain cash corresponding to its earnings or assets in those countries. However, a fund must distribute to shareholders for each taxable year substantially all of its net income and net capital gains, including such income or gain, to

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qualify as a RIC and avoid liability for any federal income or excise tax. Therefore, a fund may have to dispose of its portfolio securities under disadvantageous circumstances to generate cash, or borrow cash, to satisfy these distribution requirements.

Certain funds may invest in REITs and/or MLPs. Effective for taxable years beginning after December 31, 2017 and before January 1, 2026, the Code generally allows individuals and certain non-corporate entities a deduction for 20% of "qualified publicly traded partnership income," such as income from MLPs, and a deduction for 20% of qualified REIT dividends. Treasury regulations allow a RIC to pass the character of its qualified REIT dividends through to its shareholders provided certain holding period requirements are met. A similar pass-through by RICs of qualified publicly traded partnership income is not currently available. As a result, an investor who invests directly in MLPs will be able to receive the benefit of such deductions, while a shareholder in a fund that invests in MLPs currently will not.

If a fund invests in stock (including an option to acquire stock such as is inherent in a convertible bond) in certain foreign corporations that receive at least 75% of their annual gross income from passive sources (such as interest, dividends, certain rents and royalties or capital gain) or hold at least 50% of their assets in investments producing such passive income ("passive foreign investment companies" or "PFICs"), the fund could be subject to federal income tax and additional interest charges on "excess distributions" received from such companies or gain from the sale of stock in such companies, even if all income or gain actually received by the fund is timely distributed to its shareholders. The fund would not be able to pass through to its shareholders any credit or deduction for such a tax.

If a fund were to invest in a PFIC and elected to treat the PFIC as a "qualified electing fund" under the Code, in lieu of the foregoing requirements, the fund would be required to include in income each year a portion of the ordinary earnings and net capital gain of the qualified electing fund, even if not distributed to the fund. Alternatively, a fund can elect to mark-to-market at the end of each taxable year its shares in a PFIC; in this case, the fund would recognize as ordinary income any increase in the value of such shares, and as ordinary loss any decrease in such value to the extent it did not exceed prior increases included in income. Under either election, a fund might be required to recognize in a year income in excess of its distributions from PFICs and its proceeds from dispositions of PFIC stock during that year, and such income would nevertheless be subject to the distribution requirements and would be taken into account for purposes of the 4% excise tax.

A fund may be subject to withholding and other taxes imposed by foreign countries with respect to its investments in foreign securities. Some tax conventions between certain countries and the U.S. may reduce or eliminate such taxes. Such foreign taxes will reduce the amount a fund has available to distribute to shareholders. Rather than deducting these foreign taxes, if a fund invests more than 50% of its assets in the stock or securities of foreign corporations or foreign governments at the end of its taxable year, the fund may make an election to treat a proportionate amount of eligible foreign taxes as constituting a taxable distribution to each shareholder, which would, subject to certain limitations, generally allow the shareholder to either (i) credit that proportionate amount of taxes against U.S. Federal income tax liability as a foreign tax credit or (ii) to take that amount as an itemized deduction.

If this election is made, a shareholder generally subject to tax will be required to include in gross income (in addition to taxable dividends actually received) his or her pro rata share of the foreign taxes paid by the fund, and may be entitled either to deduct (as an itemized deduction) his or her pro rata share of foreign taxes in computing his or her taxable income or to use it (subject to limitations) as a foreign tax credit against his or her U.S. federal income tax liability. No deduction for foreign taxes may be claimed by a shareholder who does not itemize deductions. Each shareholder will be notified after the close of the fund's taxable year whether the foreign taxes paid by the fund will "pass-through" for that taxable year.

Diversified Macro Fund may invest a portion of its assets in the Subsidiary, a Cayman Islands exempted company that is classified as a corporation for federal tax purposes. A foreign corporation, such as the Subsidiary, generally is not subject to federal income tax unless it is engaged in the conduct of a trade or business in the United States. The Subsidiary intends to operate in a manner that is expected to meet the requirements of a safe harbor under section 864(b)(2) of the Code, under which it may trade in stocks or securities or certain commodities for its own account without being deemed to be engaged in a U.S. trade or business. If, however, certain of the Subsidiary's activities did not meet those safe harbor requirements, it might be considered as engaging in such a trade or business. Even if the Subsidiary is not so engaged, it may be subject to a withholding tax at a rate of 30% on some portion of its U.S.-source gross income that is not effectively connected with the conduct of a U.S. trade or business.

The Subsidiary will be treated as a controlled foreign corporation (a "CFC"), and the fund with the Subsidiary will be a "United States shareholder" thereof. As a result, the fund will be required to include in its gross income each taxable year all of the Subsidiary's "subpart F income," which generally is treated as ordinary income; it is expected that virtually all of the Subsidiary's income will be "subpart F income." If the Subsidiary realizes a net loss, that loss generally will not be available to offset the fund's income. The fund's inclusion of the Subsidiary's "subpart F income" in its gross income will increase the fund's tax basis in its shares of the Subsidiary. Distributions by the Subsidiary to a fund will not be taxable to the extent of its previously undistributed "subpart F income" and will reduce the fund's tax basis in those shares.

Although income from certain commodity investments held by the Subsidiary would not be qualifying income if received directly by the fund, the Code provides that a RIC's "subpart F income" inclusions will be treated as qualifying income if the CFC distributes such income to the RIC during the year of inclusion. Further, the IRS has issued Treasury Regulations providing that the annual net profit, if any, realized by a Subsidiary and included in the fund's income under the subpart F rules will constitute "qualifying income" for purposes of remaining qualified as a RIC whether or not the included income is distributed by the Subsidiary to the fund if the fund makes its investment in the Subsidiary as part of the fund's business of investing in stocks and securities.

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The federal income tax treatment of the fund's income from the Subsidiary may be adversely affected by future legislation, other Treasury Regulations, and/or other guidance issued by the Service that could affect the character, timing of recognition, and/or amount of the fund's taxable income and/or net capital gains and, therefore, the distributions it makes.

For United States federal income tax purposes, distributions paid out of a fund's current or accumulated earnings and profits will, except in the case of distributions of qualified dividend income and capital gain dividends described below, be taxable as ordinary dividend income. Certain income distributions paid by a fund (whether paid in cash or reinvested in additional fund shares) to individual taxpayers are taxed at rates applicable to net long-term capital gains (currently 20%, 15%, or 0%, depending on an individual's level of income). This tax treatment applies only if the shareholder owns fund shares for at least 61 days during the 121-day period beginning 60 days before the fund's ex-dividend date (or 91 days during the 181-day period beginning 90 days before the fund's ex-dividend date in the case of certain preferred stock dividends paid by the fund), certain other requirements are satisfied by the shareholder, and the dividends are attributable to qualified dividend income received by the fund itself. For this purpose, "qualified dividend income" means dividends received by a fund from United States corporations and "qualified foreign corporations," as well as certain dividends from underlying funds that are reported as qualified dividend income, provided that the fund satisfies certain holding period and other requirements in respect of the stock of such corporations and underlying funds. There can be no assurance as to what portion of a fund's dividend distributions will qualify as qualified dividend income. Dividends paid by funds that primarily invest in bonds and other debt securities generally will not qualify for the reduced tax rate applicable to qualified dividend income and will not qualify for the corporate dividends-received deduction. Distributions from a PFIC are not eligible for the reduced rate of tax on "qualified dividend income."

If a fund should have dividend income that qualifies for the reduced tax rate applicable to qualified dividend income, the maximum amount allowable will be reported by the fund. This amount will be reflected on Form 1099-DIV for the applicable calendar year.

For purposes of the dividends received deduction available to corporations, dividends received by a fund, if any, from U.S. domestic corporations in respect of the stock of such corporations held by the fund, for U.S. federal income tax purposes, for at least 46 days (91 days in the case of certain preferred stock) during a prescribed period extending before and after each such dividend and distributed and reported by the fund may be treated as qualifying dividends. Corporate shareholders must meet the holding period requirements stated above with respect to their shares of a fund for each dividend in order to qualify for the deduction and, if they have any debt that is deemed under the Code directly attributable to such shares, may be denied a portion of the dividends received deduction. Additionally, any corporate shareholder should consult its tax advisor regarding the possibility that its tax basis in its shares may be reduced, for federal income tax purposes, by reason of "extraordinary dividends" received with respect to the shares and, to the extent such basis would be reduced below zero, that current recognition of income would be required.

Certain distributions reported by a fund as Section 163(j) interest dividends may be treated as interest income by shareholders for purposes of the tax rules applicable to interest expense limitations under Section 163(j) of the Code. Such treatment by the shareholder is generally subject to holding period requirements and other potential limitations, although the holding period requirements are generally not applicable to dividends declared by money market funds and certain other funds that declare dividends daily and pay such dividends on a monthly or more frequent basis. The amount that a fund is eligible to report as a Section 163(j) dividend for a tax year is generally limited to the excess of the fund's business interest income over the sum of the fund's (i) business interest expense and (ii) other deductions properly allocable to the fund's business interest income.

Shareholders receiving any distribution from a fund in the form of additional shares pursuant to a dividend reinvestment plan will be treated as receiving a taxable distribution in an amount equal to the fair market value of the shares received, determined as of the reinvestment date. Shareholders who have chosen automatic reinvestment of their distributions will have a federal tax basis in each share received pursuant to such a reinvestment equal to the amount of cash they would have received had they elected to receive the distribution in cash, divided by the number of shares received in the reinvestment.

For federal income tax purposes, a fund is permitted to carry forward a net capital loss incurred in any year to offset net capital gains, if any, in any subsequent year until such loss carryforwards have been fully used. Capital losses carried forward will retain their character as either short-term or long-term capital losses. A fund's ability to utilize capital loss carryforwards in a given year or in total may be limited. To the extent subsequent net capital gains are offset by such losses, they would not result in federal income tax liability to a fund and would not be distributed as such to shareholders.

Below are the capital loss carryforwards available to the funds as of October 31, 2025 to the extent provided by regulations, to offset future net realized capital gains:

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **Short-term Losses ($)** | **Long-term Losses ($)** | **Total ($)** |
| Balanced Fund | 0 | 0 | 0 |
| Classic Value Fund | 0 | 0 | 0 |
| Disciplined Value International Fund | 132784073 | 105262161 | 238046234 |
| Diversified Macro Fund | 25891128 | 79668037 | 105559165 |
| Emerging Markets Equity Fund | 257540526 | 121971944 | 379512470 |
| Financial Industries Fund | 0 | 0 | 0 |
| Fundamental Large Cap Core Fund | 0 | 0 | 0 |
| Global Environmental Opportunities Fund | 287702 | 221869 | 509571 |

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| | | | |
|:---|:---|:---|:---|
| **Fund** | **Short-term Losses ($)** | **Long-term Losses ($)** | **Total ($)** |
| Infrastructure Fund | 0 | 0 | 0 |
| International Dynamic Growth Fund | 0 | 0 | 0 |
| Regional Bank Fund | 0 | 0 | 0 |
| Small Cap Core Fund | 0 | 9055947 | 9055947 |
| U.S. Global Leaders Growth Fund | 0 | 0 | 0 |

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Distributions of net capital gain, if any, reported as capital gains dividends are taxable to a shareholder as long-term capital gains, regardless of how long the shareholder has held fund shares. A distribution of an amount in excess of a fund's current and accumulated earnings and profits will be treated by a shareholder as a return of capital which is applied against and reduces the shareholder's basis in his or her shares. To the extent that the amount of any such distribution exceeds the shareholder's basis in his or her shares, the excess will be treated by the shareholder as gain from a sale or exchange of the shares. Distributions of gains from the sale of investments that a fund owned for one year or less will be taxable as ordinary income.

In determining its net capital gain, including in connection with determining the amount available to support a capital gain dividend, its taxable income and its earnings and profits, a fund generally may elect to treat part or all of any post-October capital loss (defined as any net capital loss attributable to the portion, if any, of the taxable year after October 31 or, if there is no such loss, the net long-term capital loss or net short-term capital loss attributable to any such portion of the taxable year) or late-year ordinary loss (generally, the sum of its (i) net ordinary loss, if any, from the sale, exchange or other taxable disposition of property, attributable to the portion, if any, of the taxable year after October 31, and its (ii) other net ordinary loss, if any, attributable to the portion, if any, of the taxable year after December 31) as if incurred in the succeeding taxable year.

A fund may elect to retain its net capital gain or a portion thereof for investment and be taxed at corporate rates on the amount retained. In such case, it may designate the retained amount as undistributed capital gains in a notice to its shareholders who will be treated as if each received a distribution of his pro rata share of such gain, with the result that each shareholder will: (i) be required to report his pro rata share of such gain on his tax return as long-term capital gain; (ii) receive a refundable tax credit for his pro rata share of tax paid by the fund on the gain; and (iii) increase the tax basis for his shares by an amount equal to the deemed distribution less the tax credit.

Selling shareholders generally will recognize gain or loss in an amount equal to the difference between the shareholder's adjusted tax basis in the shares sold and the sale proceeds. Such gain or loss will be treated as capital gain or loss if the shares are capital assets in the shareholder's hands and will be long-term or short-term, depending upon the shareholder's tax holding period for the shares and subject to the special rules described below. The maximum tax rate applicable to net capital gains recognized by individuals and other non-corporate taxpayers is generally 20% for gains recognized on the sale of capital assets held for more than one year (as well as certain capital gain distributions) (15% or 0% for individuals at certain income levels).

A shareholder exchanging shares of one fund for shares of another fund will be treated for tax purposes as having sold the shares of the first fund, realizing tax gain or loss on such exchange. A shareholder exercising a right to convert one class of fund shares to a different class of shares of the same fund should not realize taxable gain or loss.

Any loss realized upon the sale or exchange of fund shares with a holding period of six months or less will be treated as a long-term capital loss to the extent of any capital gain distributions received (or amounts designated as undistributed capital gains) with respect to such shares. In addition, all or a portion of a loss realized on a sale or other disposition of fund shares may be disallowed under "wash sale" rules to the extent the shareholder acquires other shares of the same fund (whether through the reinvestment of distributions or otherwise) within a period of 61 days beginning 30 days before and ending 30 days after the date of disposition of the shares. Any disallowed loss will result in an adjustment to the shareholder's tax basis in some or all of the other shares acquired.

Sales charges paid upon a purchase of shares cannot be taken into account for purposes of determining gain or loss on a sale of the shares before the 91st day after their purchase to the extent a sales charge is reduced or eliminated in a subsequent acquisition of shares of a fund, during the period beginning on the date of such sale and ending on January 31 of the calendar year following the calendar year in which such sale was made, pursuant to a reinvestment or exchange privilege. Any disregarded amounts will result in an adjustment to the shareholder's tax basis in some or all of any other shares acquired.

The benefits of the reduced tax rates applicable to long-term capital gains and qualified dividend income may be impacted by the application of the alternative minimum tax to individual shareholders.

Certain net investment income received by an individual having adjusted gross income in excess of $200,000 (or $250,000 for married individuals filing jointly) will be subject to a tax of 3.8%. Undistributed net investment income of trusts and estates in excess of a specified amount also will be subject to this tax. Dividends and capital gains distributed by a fund, and gain realized on redemption of fund shares, will constitute investment income of the type subject to this tax.

Special tax rules apply to investments through defined contribution plans and other tax-qualified plans. Shareholders should consult their tax advisor to determine the suitability of shares of a fund as an investment through such plans.

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Dividends and distributions on a fund's shares are generally subject to federal income tax as described herein to the extent they do not exceed the fund's realized income and gains, even though such dividends and distributions may economically represent a return of a particular shareholder's investment. Such distributions are likely to occur in respect of shares purchased at a time when a fund's NAV reflects gains that are either unrealized or realized but not distributed. Such realized gains may be required to be distributed even when a fund's NAV also reflects unrealized losses. Such gains could be substantial, and the taxes incurred by a shareholder with respect to such distributions could have a material impact on the value of the shareholder's investment.

Certain distributions declared in October, November or December to shareholders of record of such month and paid in the following January will be taxed to shareholders as if received on December 31 of the year in which they were declared. In addition, certain other distributions made after the close of a taxable year of a fund may be "spilled back" and treated as paid by the fund (except for purposes of the non-deductible 4% federal excise tax) during such taxable year. In such case, shareholders will be treated as having received such dividends in the taxable year in which the distributions were actually made.

A fund will inform its shareholders of the source and tax status of all distributions promptly after the close of each calendar year.

Each fund (or its administrative agent) must report to the IRS and furnish to shareholders the cost basis information and holding period for such fund's shares purchased on or after January 1, 2012, and repurchased by the fund on or after that date. A fund will permit shareholders to elect from among several permitted cost basis methods. In the absence of an election, each fund will use an average cost as its default cost basis method. The cost basis method that a shareholder elects may not be changed with respect to a repurchase of shares after the settlement date of the repurchase. Shareholders should consult with their tax advisors to determine the best permitted cost basis method for their tax situation and to obtain more information about how the new cost basis reporting rules apply to them.

A fund generally is required to withhold and remit to the U.S. Treasury a percentage of the taxable dividends and other distributions paid to and proceeds of share sales, exchanges, or redemptions made by any individual shareholder (including foreign individuals) who fails to furnish the fund with a correct taxpayer identification number, who has under-reported dividends or interest income, or who fails to certify to the fund that he or she is a United States person and is not subject to such withholding. The backup withholding tax rate is 24%. Distributions will not be subject to backup withholding to the extent they are subject to the withholding tax on foreign persons described in the next paragraph. Any tax withheld as a result of backup withholding does not constitute an additional tax imposed on the record owner of the account and may be claimed as a credit on the record owner's federal income tax return.

Non-U.S. investors not engaged in a U.S. trade or business with which their investment in a fund is effectively connected will be subject to U.S. federal income tax treatment that is different from that described above. Such non-U.S. investors may be subject to withholding tax at the rate of 30% (or a lower rate under an applicable tax treaty) on amounts treated as ordinary dividends from a fund. Capital gain distributions, if any, are not subject to the 30% withholding tax. Unless an effective IRS Form W-8BEN or other authorized withholding certificate is on file, backup withholding will apply to certain other payments from a fund. Non-U.S. investors should consult their tax advisors regarding such treatment and the application of foreign taxes to an investment in a fund.

Properly-reported dividends generally are exempt from U.S. federal withholding tax where they are (i) "interest-related dividends" paid in respect of a fund's "qualified net interest income" (generally, a fund's U.S. source interest income, other than certain contingent interest and interest from obligations of a corporation or partnership in which the fund is at least a 10% shareholder, reduced by expenses that are allocable to such income) or (ii) "short-term capital gain dividends" paid in respect of a fund's "qualified short-term gains" (generally, the excess of a fund's net short-term capital gain over the fund's long-term capital loss for such taxable year). Depending on its circumstances, a fund may report all, some or none of its potentially eligible dividends as such interest-related dividends or as short-term capital gain dividends and/or treat such dividends, in whole or in part, as ineligible for this exemption from withholding.

Under FATCA, a 30% U.S. withholding tax may apply to any U.S.-source "withholdable payments" made to a non-U.S. entity unless the non-U.S. entity enters into an agreement with either the IRS or a governmental authority in its own country, as applicable, to collect and provide substantial information regarding the entity's owners, including "specified United States persons" and "United States owned foreign entities," or otherwise demonstrates compliance with or exemption from FATCA. The term "withholdable payment" includes any payment of interest (even if the interest is otherwise exempt from the withholding rules described above) or dividends, in each case with respect to any U.S. investment. The IRS has issued proposed regulations, which have immediate effect, while pending, to eliminate the withholding tax that was scheduled to begin in 2019 with respect to U.S.-source investment sale proceeds. A specified United States person is essentially any U.S. person, other than publicly traded corporations, their affiliates, tax-exempt organizations, governments, banks, REITs, RICs, and common trust funds. A United States owned foreign entity is a foreign entity with one or more "substantial United States owners," generally defined as United States person owning a greater than 10% interest. Non-U.S. investors should consult their own tax advisers regarding the impact of this legislation on their investment in a fund.

If a shareholder realizes a loss on disposition of a fund's shares of $2 million or more for an individual shareholder or $10 million or more for a corporate shareholder, the shareholder must file with the IRS a disclosure statement on Form 8886. Direct shareholders of portfolio securities are in many cases excepted from this reporting requirement, but under current guidance, shareholders of a RIC are not excepted. Future guidance may extend the current exception from this reporting requirement to shareholders of most or all RICs.

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The foregoing is a general and abbreviated summary of the applicable provisions of the Code and Treasury Regulations currently in effect. It is not intended to be a complete explanation or a substitute for consultation with individual tax advisors. For the complete provisions, reference should be made to the pertinent Code sections and the Treasury Regulations promulgated thereunder. The Code and Treasury Regulations are subject to change, possibly with retroactive effect.

Taxation of the Subsidiary. The Subsidiary is classified as a corporation for U.S. federal income tax purposes. The fund having the Subsidiary intends to take the position that income from its investments in the Subsidiary will constitute qualifying income for purposes of qualifying as a RIC. The IRS has issued regulations providing that "subpart F income" (as defined below) deemed received from a CFC (as defined below), in which a RIC invests in connection with its business of investing in securities, and included in a RIC's gross income constitutes "qualifying income." The tax treatment of income from the Subsidiary may be adversely affected by future legislation, Treasury Regulations and/or guidance issued by the IRS, which could affect the character, timing and/or amount of a fund's taxable income or any gains and distributions made by the fund. If the fund were to earn non-qualifying income from any source including the Subsidiary in excess of 10% of its gross income for any taxable year, it would fail to qualify as a RIC for that year, unless the fund were eligible to cure and cured such failure by paying a fund-level tax equal to the full amount of such excess.

Foreign corporations, such as the Subsidiary, will generally not be subject to U.S. federal income taxation unless they are deemed to be engaged in a U.S. trade or business. It is expected that the Subsidiary will conduct it activities in a manner so as to meet the requirements of a safe harbor under Section 864(b)(2) of the Code under which the Subsidiary may engage in trading in stocks or securities or certain commodities without being deemed to be engaged in a U.S. trade or business. However, if certain of the Subsidiary's activities were determined not to be of the type described in the safe harbor (which is not expected), then the activities of the Subsidiary may constitute a U.S. trade or business, and would be taxed as such.

The Subsidiary is treated as a controlled foreign corporation ("CFC") for tax purposes and the fund with the Subsidiary is treated as a "U.S. shareholder" of the Subsidiary. As a result, the fund is required to include in gross income for U.S. federal income tax purposes all of the Subsidiary's "subpart F income," whether or not such income is distributed by the Subsidiary. It is expected that all of the Subsidiary's income will be "subpart F income." The fund's recognition of the Subsidiary's "subpart F income" will increase the fund's tax basis in the Subsidiary. Distributions by the Subsidiary to the fund will be tax-free to the extent of its previously undistributed "subpart F income," and will correspondingly reduce the fund's tax basis in the Subsidiary. "Subpart F income" is generally treated as ordinary income, regardless of the character of the Subsidiary's underlying income. If a net loss is realized by the Subsidiary, such loss is not generally available to offset the income earned by the fund.

**Portfolio Brokerage**

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Pursuant to the Subadvisory Agreements, the subadvisors are responsible for placing all orders for the purchase and sale of portfolio securities of the funds. The subadvisors have no formula for the distribution of the funds' brokerage business; rather they place orders for the purchase and sale of securities with the primary objective of obtaining the most favorable overall results for the applicable fund. The cost of securities transactions for each fund will consist primarily of brokerage commissions or dealer or underwriter spreads. Fixed-income securities and money market instruments are generally traded on a net basis and do not normally involve either brokerage commissions or transfer taxes.

Occasionally, securities may be purchased directly from the issuer. For securities traded primarily in the OTC market, the subadvisors will, where possible, deal directly with dealers who make a market in the securities unless better prices and execution are available elsewhere. Such dealers usually act as principals for their own account.

**Selection of Brokers or Dealers to Effect Trades.** In selecting brokers or dealers to implement transactions, the subadvisors will give consideration to a number of factors, including:

● price, dealer spread or commission, if any;

● the reliability, integrity and financial condition of the broker dealer;

● size of the transaction;

● difficulty of execution;

● brokerage and research services provided (unless prohibited by applicable law); and

● confidentiality and anonymity.

Consideration of these factors by a subadvisor, either in terms of a particular transaction or the subadvisor's overall responsibilities with respect to the fund and any other accounts managed by the subadvisor, could result in the applicable fund paying a commission or spread on a transaction that is in excess of the amount of commission or spread another broker dealer might have charged for executing the same transaction.

**Securities of Regular Broker Dealers.** The table below presents information regarding the securities of the funds' regular broker dealers (or parents of the regular broker dealers) that were held by the funds as of October 31, 2025. A "Regular Broker Dealer" of a fund is defined by the SEC as one of the 10 brokers or dealers that during the fund's most recent fiscal year: (a) received the greatest dollar amount of brokerage commissions by virtue of direct or indirect participation in the fund's portfolio transactions; (b) engaged as principal in the largest dollar amount of portfolio transactions of the fund; or (c) sold the largest dollar amount of securities of the fund.

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| | | |
|:---|:---|:---|
| **Fund** | **Regular Broker Dealer** | **Holdings ($000s)** |
| Balanced Fund | Bank of America Corp. | 23268 |
|  | Barclays Bank PLC | 8029 |
|  | BNP Paribas SA | 2987 |
|  | Citadel LLC | 1681 |
|  | Citigroup, Inc. | 4914 |
|  | Jefferies Financial Group, Inc. | 2407 |
|  | JPMorgan Chase & Co. | 189504 |
|  | Morgan Stanley & Company, Inc. | 12301 |
|  | NatWest Group PLC | 5129 |
|  | Royal Bank of Canada | 3873 |
|  | The Goldman Sachs Group, Inc. | 57797 |
|  | UBS Group AG | 9461 |
|  | Wells Fargo & Company | 18299 |
| Classic Value Fund | Bank of America Corp. | 20144 |
|  | Citigroup, Inc. | 28131 |
|  | State Street Corp. | 3872 |
| Disciplined Value International Fund | N/A | N/A |
| Diversified Macro Fund | N/A | N/A |
| Emerging Markets Equity Fund | JPMorgan Chase & Co. | 2751 |
| Financial Industries Fund | Bank of America Corp. | 13789 |
|  | Citigroup, Inc. | 12122 |
|  | JPMorgan Chase & Co. | 13333 |
|  | Morgan Stanley & Company, Inc. | 11404 |
| Fundamental Large Cap Core Fund | Morgan Stanley & Company, Inc. | 152374 |
|  | The Goldman Sachs Group, Inc. | 116512 |
| Global Environmental Opportunities Fund | N/A | N/A |
| Infrastructure Fund | NatWest Group PLC | 20600 |
| International Dynamic Growth Fund | Barclays Bank PLC | 89552 |
|  | UBS Group AG | 27687 |
| Regional Bank Fund | Bank of America Corp. | 14041 |
|  | JPMorgan Chase & Co. | 11139 |
| Small Cap Core Fund | N/A | N/A |
| U.S. Global Leaders Growth Fund | State Street Corp. | 17967 |

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**Soft Dollar Considerations.** In selecting brokers and dealers, the subadvisors will give consideration to the value and quality of any research, statistical, quotation, brokerage or valuation services provided by the broker or dealer to the subadvisor. In placing a purchase or sale order, unless prohibited by applicable law, the subadvisor may use a broker whose commission in effecting the transaction is higher than that of some other broker if the subadvisor determines in good faith that the amount of the higher commission is reasonable in relation to the value of the brokerage and research services provided by such broker, viewed in terms of either the particular transaction or the subadvisor's overall responsibilities with respect to a fund and any other accounts managed by the subadvisor. In addition to statistical, quotation, brokerage or valuation services, a subadvisor may receive from brokers or dealers products or research that are used for both research and other purposes, such as administration or marketing. In such case, the subadvisor will make a good faith determination as to the portion attributable to research. Only the portion attributable to research will be paid through portfolio brokerage. The portion not attributable to research will be paid by the subadvisor. Research products and services may be acquired or received either directly from executing brokers or indirectly through other brokers in step-out transactions. A "step-out" is an arrangement by which a subadvisor executes a trade through one broker dealer but instructs that entity to step-out all or a portion of the trade to another broker dealer. This second broker dealer will clear and settle, and receive commissions for, the stepped-out portion. The second broker dealer may or may not have a trading desk of its own.

Under MiFID II, EU investment managers, including certain subadvisors to funds in the John Hancock Fund Complex, may only pay for research from brokers and dealers directly out of their own resources or by establishing "research payment accounts" for each client, rather than through client commissions. MiFID II limits the use of soft dollars by subadvisors located in the EU, if applicable, and in certain circumstances may result in other subadvisors reducing the use of soft dollars as to certain groups of clients or as to all clients.

The subadvisors also may receive research or research credits from brokers that are generated from underwriting commissions when purchasing new issues of fixed-income securities or other assets for a fund. These services, which in some cases also may be purchased for cash, include such matters

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as general economic and security market reviews, industry and company reviews, evaluations of securities and recommendations as to the purchase and sale of securities. Some of these services are of value to the subadvisor in advising several of its clients (including the funds), although not all of these services are necessarily useful and of value in managing the funds. The management fee paid by a fund is not reduced because a subadvisor and its affiliates receive such services.

As noted above, a subadvisor may purchase new issues of securities for a fund in underwritten fixed price offerings. In these situations, the underwriter or selling group member may provide the subadvisor with research in addition to selling the securities (at the fixed public offering price) to the funds or other advisory clients. Because the offerings are conducted at a fixed price, the ability to obtain research from a broker dealer in this situation provides knowledge that may benefit the fund, other subadvisor clients, and the subadvisor without incurring additional costs. These arrangements may not fall within the safe harbor in Section 28(e) of the Exchange Act, because the broker dealer is considered to be acting in a principal capacity in underwritten transactions. However, FINRA has adopted rules expressly permitting broker dealers to provide bona fide research to advisors in connection with fixed price offerings under certain circumstances. As a general matter in these situations, the underwriter or selling group member will provide research credits at a rate that is higher than that which is available for secondary market transactions.

Brokerage and research services provided by brokers and dealers include advice, either directly or through publications or writings, as to:

● the value of securities;

● the advisability of purchasing or selling securities;

● the availability of securities or purchasers or sellers of securities; and

● analyses and reports concerning: (a) issuers; (b) industries; (c) securities; (d) economic, political and legal factors and trends; and (e) portfolio strategy.

Research services are received primarily in the form of written reports, computer generated services, telephone contacts and personal meetings with security analysts. In addition, such services may be provided in the form of meetings arranged with corporate and industry spokespersons, economists, academicians and government representatives. In some cases, research services are generated by third parties but are provided to the subadvisor by or through a broker.

To the extent research services are used by the subadvisors, such services would tend to reduce such party's expenses. However, the subadvisors do not believe that an exact dollar value can be assigned to these services. Research services received by the subadvisors from brokers or dealers executing transactions for series of the Trusts, which may not be used in connection with a fund, also will be available for the benefit of other funds managed by the subadvisors.

**Allocation of Trades by the Subadvisors.** The subadvisors manage a number of accounts other than the funds. Although investment determinations for the funds will be made by a subadvisor independently from the investment determinations it makes for any other account, investments deemed appropriate for the funds by a subadvisor also may be deemed appropriate by it for other accounts. Therefore, the same security may be purchased or sold at or about the same time for both the funds and other accounts. In such circumstances, a subadvisor may determine that orders for the purchase or sale of the same security for the funds and one or more other accounts should be combined. In this event the transactions will be priced and allocated in a manner deemed by the subadvisor to be equitable and in the best interests of the funds and such other accounts. While in some instances combined orders could adversely affect the price or volume of a security, each fund believes that its participation in such transactions on balance will produce better overall results for the fund.

For purchases of equity securities, when a complete order is not filled, a partial allocation will be made to each participating account pro rata based on the order size. For high demand issues (for example, initial public offerings), shares will be allocated pro rata by account size as well as on the basis of account objective, account size (a small account's allocation may be increased to provide it with a meaningful position), and the account's other holdings. In addition, an account's allocation may be increased if that account's portfolio manager was responsible for generating the investment idea or the portfolio manager intends to buy more shares in the secondary market. For fixed-income accounts, generally securities will be allocated when appropriate among accounts based on account size, except if the accounts have different objectives or if an account is too small to receive a meaningful allocation. For new issues, when a complete order is not filled, a partial allocation will be made to each account pro rata based on the order size. However, if a partial allocation is too small to be meaningful, it may be reallocated based on such factors as account objectives, strategies, duration benchmarks and credit and sector exposure. For example, value funds will likely not participate in initial public offerings as frequently as growth funds. In some instances, this investment procedure may adversely affect the price paid or received by the funds or the size of the position obtainable for it. On the other hand, to the extent permitted by law, a subadvisor may aggregate securities to be sold or purchased for the funds with those to be sold or purchased for other clients that it manages in order to obtain best execution.

Specific Trade–Order Procedure for Diversified Macro Fund and Other Accounts. Graham Capital Management, L.P. ("Graham") has established the following procedure when processing orders for multiple accounts, including Diversified Macro Fund. For its quantitative strategies, including the strategy managed for the Diversified Macro Fund, Graham utilizes a trade rotation scheme where the sequence of orders for different accounts in a given market are randomized. This process mitigates systematic bias that might develop if the sequence were static.

**Affiliated Underwriting Transactions by a Subadvisor.** Each Trust has approved procedures in conformity with Rule 10f-3 under the 1940 Act whereby a fund may purchase securities that are offered in underwritings in which an affiliate of the subadvisors participates. These procedures prohibit a fund from directly or indirectly benefiting a subadvisor affiliate in connection with such underwritings. In addition, for underwritings where a

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subadvisor affiliate participates as a principal underwriter, certain restrictions may apply that could, among other things, limit the amount of securities that the funds could purchase.

**Brokerage Commissions Paid.** For the last three fiscal periods, the funds paid brokerage commissions in connection with portfolio transactions. Any material differences from year to year reflect an increase or decrease in trading activity by the applicable fund. The total brokerage commissions paid by the funds for the fiscal periods ended October 31, 2025, October 31, 2024, and October 31, 2023 are set forth in the table below:

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| | | | |
|:---|:---|:---|:---|
|  | **Total Commissions Paid in Fiscal Period Ended October 31,** | **Total Commissions Paid in Fiscal Period Ended October 31,** | **Total Commissions Paid in Fiscal Period Ended October 31,** |
| **Fund** | **2025 ($)** | **2024 ($)** | **2023 ($)** |
| Balanced Fund | 759762 | 526076 | 414901 |
| Classic Value Fund | 394347 | 669016 | 731782 |
| Disciplined Value International Fund | 6561636 | 4556405 | 2537979 |
| Diversified Macro Fund | 0 | 0 | 0 |
| Emerging Markets Equity Fund | 866899 | 1174209 | 1258026 |
| Financial Industries Fund | 239046 | 282151 | 482820 |
| Fundamental Large Cap Core Fund | 1519948 | 677713 | 841934 |
| Global Environmental Opportunities Fund | 41597 | 18876 | 13118 |
| Infrastructure Fund | 204662 | 155589 | 151940 |
| International Dynamic Growth Fund | 3730614 | 927306 | 602051 |
| Regional Bank Fund | 90769 | 165996 | 274782 |
| Small Cap Core Fund | 2027106 | 1661690 | 1695539 |
| U.S. Global Leaders Growth Fund | 299196 | 234452 | 197365 |

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**Affiliated Brokerage.** Pursuant to procedures determined by the Trustees and consistent with the above policy of obtaining best net results, a fund may execute portfolio transactions with or through brokers affiliated with the Advisor or subadvisor ("Affiliated Brokers"). Affiliated Brokers may act as broker for the funds on exchange transactions, subject, however, to the general policy set forth above and the procedures adopted by the Trustees pursuant to the 1940 Act. Commissions paid to an Affiliated Broker must be at least as favorable as those that the Trustees believe to be contemporaneously charged by other brokers in connection with comparable transactions involving similar securities being purchased or sold. A transaction would not be placed with an Affiliated Broker if the fund would have to pay a commission rate less favorable than the Affiliated Broker's contemporaneous charges for comparable transactions for its other most favored, but unaffiliated, customers, except for accounts for which the Affiliated Broker acts as clearing broker for another brokerage firm, and any customers of the Affiliated Broker not comparable to the fund, as determined by a majority of the Trustees who are not "interested persons" (as defined in the 1940 Act) of the fund, the Advisor, the subadvisor or the Affiliated Broker. Because the Advisor or subadvisor that is affiliated with the Affiliated Broker has, as an investment advisor to the funds, the obligation to provide investment management services, which includes elements of research and related investment skills such research and related skills will not be used by the Affiliated Broker as a basis for negotiating commissions at a rate higher than that determined in accordance with the above criteria.

The Advisor's indirect parent, Manulife Financial, is the parent of a broker dealer, JH Distributors. JH Distributors is considered an Affiliated Broker.

**Brokerage Commissions Paid to Affiliated Brokers.** For the fiscal periods ended October 31, 2025, October 31, 2024, and October 31, 2023, no commissions were paid by any of the funds to brokers affiliated with the subadvisors.

**Commission Recapture Program.** The Board has approved each fund's participation in a commission recapture program. Commission recapture is a form of institutional discount brokerage that returns commission dollars directly to a fund. It provides a way to gain control over the commission expenses incurred by a subadvisor, which can be significant over time and thereby reduces expenses, improves cash flow and conserves assets. A fund can derive commission recapture dollars from both equity trading commissions and fixed-income (commission equivalent) spreads. From time to time, the Board reviews whether participation in the recapture program is in the best interests of the funds.

**Transfer Agent Services**

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John Hancock Signature Services, Inc., P.O. Box 219909, Kansas City, MO 64121-9909, a wholly-owned indirect subsidiary of MFC, is the transfer and dividend paying agent for the Class A, Class C, Class I, Class R2, Class R4, Class R5, and Class R6 shares of the funds, as applicable.

The fees paid to Signature Services are determined based on the cost to Signature Services of providing services to the fund and to all other John Hancock affiliated funds for which Signature Services serves as transfer agent ("Signature Services Cost"). Signature Services Cost includes: (i) an allocable portion of John Hancock corporate overhead; and (ii) out-of-pocket expenses, including payments made by Signature Services to intermediaries and other third-parties ("Subtransfer Agency Fees") whose clients and/or customers invest in one or more funds for sub-transfer agency and administrative services provided to those clients/customers. Signature Services Cost is calculated monthly and allocated by Signature Services among three different categories as described below based generally on the Signature Services Cost associated with providing services to each category in the aggregate. Within each category, Signature Services Cost is allocated across all of the John Hancock affiliated funds and/or classes for which Signature Services provides transfer agent services, on the basis of relative average net assets.

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**Retail Share Classes of Non-Municipal Bond Funds.** An amount equal to the total Signature Services Cost associated with providing services to Class A, Class C, and Class I shares of all non-municipal series of the Trust and of all other John Hancock affiliated funds for which it serves as transfer agent is allocated pro-rata based upon assets of all Class A, Class C, and Class I shares in the aggregate, without regard to fund or class.

**Retirement Share Classes.** An amount equal to the total Signature Services Cost associated with providing services to Class R2, Class R4, Class R5, and Class R6 shares of the Trusts and all other John Hancock affiliated funds for which it serves as transfer agent is allocated pro-rata based upon assets of all such shares in the aggregate, without regard to fund or class. In addition, payments made to intermediaries and/or record keepers under Class R Service plans will be made by each relevant fund on a fund- and class- specific basis pursuant to the applicable plan.

**Retail Share Classes of Municipal Bond Funds.** An amount equal to the total Signature Services Cost associated with providing services to Class A, Class C, and Class I shares of all John Hancock affiliated municipal bond funds for which it serves as transfer agent is allocated pro-rata based upon assets of all such shares in the aggregate, without regard to fund or class. John Hancock municipal bond funds currently only offer Class A, Class C, Class I, and Class R6 shares. The Trusts currently do not offer any municipal bond funds.

In applying the foregoing methodology, Signature Services seeks to operate its aggregate transfer agency operations on an "at cost" or "break even" basis. The allocation of aggregate transfer agency costs to categories of funds and/or classes assets seeks to ensure that shareholders of each class within each category will pay the same or a very similar level of transfer agency fees for the delivery of similar services. Under this methodology, the actual costs associated with providing particular services to a particular fund and/or share classes during a period of time, including payments to intermediaries for sub-transfer agency services to clients or customers whose assets are invested in a particular fund or share class, are not charged to and borne by that particular fund or share classes during that period. Instead, they are included in Signature Services Cost, which is then allocated to the applicable aggregate asset category described above and then allocated to all assets in that category based on relative net assets. Applying this methodology could result in some funds and/or classes having higher or lower transfer agency fees than they would have had if they bore only fund- or class-specific costs directly or indirectly attributable to them.

**Legal and Regulatory Matters**

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There are no legal proceedings to which the Trusts, the Advisor, or the Distributor is a party that are likely to have a material adverse effect on the funds or the ability of either the Advisor or the Distributor to perform its contract with the funds.

**Independent Registered Public Accounting Firm**

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The [financial statements](#finstat_38232e94-d049-47ac-a71a-0aff0f532d0c) of each fund for the fiscal period ended October 31, 2025, including the related financial highlights that appear in the Prospectus, have been audited by PricewaterhouseCoopers LLP, independent registered public accounting firm, as stated in their report with respect thereto, and are incorporated herein by reference in reliance upon said report given on the authority of said firm as experts in accounting and auditing. PricewaterhouseCoopers LLP has offices at 101 Seaport Boulevard, Suite 500, Boston, Massachusetts 02210.

**Financial Statements**

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The [financial statements](#finstat_38232e94-d049-47ac-a71a-0aff0f532d0c) of each fund, including the consolidated financials of John Hancock Diversified Macro Fund, which includes the accounts of its Subsidiary, for the fiscal period ended October 31, 2025, are incorporated herein by reference from each fund's most recent Form N-CSR filing pursuant to Rule 30b2-1 under the 1940 Act.

**Custody of Portfolio Securities**

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Except as noted below, State Street Bank and Trust Company, One Congress Street, Suite 1, Boston, Massachusetts 02114, currently acts as custodian and bookkeeping agent with respect to each fund's assets. Citibank, N.A., 388 Greenwich Street, New York, New York 10013, currently acts as custodian and bookkeeping agent with respect to the assets of Balanced Fund, Disciplined Value International Fund, Diversified Macro Fund, Emerging Markets Equity Fund, Fundamental Large Cap Core Fund, Global Environmental Opportunities Fund, and International Dynamic Growth Fund. State Street and Citibank have selected various banks and trust companies in foreign countries to maintain custody of certain foreign securities. Each fund also may use special purpose custodian banks from time to time for certain assets. State Street and Citibank are authorized to use the facilities of the Depository Trust Company, the Participants Trust Company, and the book-entry system of the Federal Reserve Banks. Citibank also currently acts as custodian of the Subsidiary's assets.

**Codes of Ethics**

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Each Trust, the Advisor, the Distributor and each subadvisor to the funds have adopted Codes of Ethics that comply with Rule 17j-1 under the 1940 Act. Each Code of Ethics permits personnel subject to the Code of Ethics to invest in securities, including securities that may be purchased or held by a fund.

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**Appendix A – Description of Bond Ratings**

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**Descriptions of Credit Rating Symbols and Definitions** 

The ratings of Moody's Investors Service, Inc. ("Moody's"), S&P Global Ratings and Fitch Ratings ("Fitch") represent their respective opinions as of the date they are expressed and not statements of fact as to the quality of various long-term and short-term debt instruments they undertake to rate. It should be emphasized that ratings are general and are not absolute standards of quality. Consequently, debt instruments with the same maturity, coupon and rating may have different yields while debt instruments of the same maturity and coupon with different ratings may have the same yield.

Ratings do not constitute recommendations to buy, sell, or hold any security, nor do they comment on the adequacy of market price, the suitability of any security for a particular investor, or the tax-exempt nature or taxability of any payments of any security.

**<u>In General</u>** 

**Moody's.** Ratings assigned on Moody's global long-term and short-term rating scales are forward-looking opinions of the relative credit risks of financial obligations issued by non-financial corporates, financial institutions, structured finance vehicles, project finance vehicles, and public sector entities.

Note that the content of this Appendix A, to the extent that it relates to the ratings determined by Moody's, is derived directly from Moody's electronic publication of "Ratings Symbols and Definitions" which is available at: https://ratings.moodys.com/api/rmc-documents/53954.

**S&P Global Ratings.** An S&P Global Ratings issue credit rating is a forward-looking opinion about the creditworthiness of an obligor with respect to a specific financial obligation, a specific class of financial obligations, or a specific financial program (including ratings on medium-term note programs and commercial paper programs). It takes into consideration the creditworthiness of guarantors, insurers, or other forms of credit enhancement on the obligation and takes into account the currency in which the obligation is denominated. The opinion reflects S&P Global Ratings' view of the obligor's capacity and willingness to meet its financial commitments as they come due, and this opinion may assess terms, such as collateral security and subordination, which could affect ultimate payment in the event of default.

Issue ratings are an assessment of default risk but may incorporate an assessment of relative seniority or ultimate recovery in the event of default. Junior obligations are typically rated lower than senior obligations, to reflect the lower priority in bankruptcy.

Note that the content of this Appendix A, to the extent that it relates to the ratings determined by S&P Global Ratings, is derived directly from S&P Global Ratings' electronic publication of "S&P's Global Ratings Definitions," which is available at: https://www.standardandpoors.com/en_US/web/guest/article/-/view/sourceId/504352.

**Fitch.** Fitch Ratings publishes credit ratings that are forward-looking opinions on the relative ability of an entity or obligation to meet financial commitments. Issuer default ratings (IDRs) are assigned to corporations, sovereign entities, financial institutions such as banks, leasing companies and insurers, and public finance entities (local and regional governments). Issue level ratings are also assigned, often include an expectation of recovery and may be notched above or below the issuer level rating. Issue ratings are assigned to secured and unsecured debt securities, loans, preferred stock and other instruments, Structured finance ratings are issue ratings to securities backed by receivables or other financial assets that consider the obligations' relative vulnerability to default.

Fitch's credit rating scale for issuers and issues is expressed using the categories 'AAA' to 'BBB' (investment grade) and 'BB' to 'D' (speculative grade) with an additional +/- for AA through CCC levels indicating relative differences of probability of default or recovery for issues. The terms "investment grade" and "speculative grade" are market conventions and do not imply any recommendation or endorsement of a specific security for investment purposes. Investment grade categories indicate relatively low to moderate credit risk, while ratings in the speculative categories signal either a higher level of credit risk or that a default has already occurred.

Note that the content of this Appendix A, to the extent that it relates to the ratings determined by Fitch, is derived directly from Fitch's electronic publication of "Definitions of Ratings and Other Forms of Opinion" which is available at: https://www.fitchratings.com/products/rating-definitions.

**General Purpose Ratings**

**Long-Term Issue Ratings** 

**<u>Moody's Global Long-Term Rating Scale</u>** 

Long-term ratings are assigned to issuers or obligations with an original maturity of eleven months or more and reflect both on the likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in the event of default or impairment.

**Aaa:** Obligations rated Aaa are judged to be of the highest quality, subject to the lowest level of credit risk.

**Aa:** Obligations rated Aa are judged to be of high quality and are subject to very low credit risk.

**A:** Obligations rated A are considered upper-medium grade and are subject to low credit risk.

**Baa:** Obligations rated Baa are judged to be medium-grade and subject to moderate credit risk and as such may possess certain speculative characteristics.

**A-1**

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**Ba:** Obligations rated Ba are judged to be speculative and are subject to substantial credit risk.

**B:** Obligations rated B are considered speculative and are subject to high credit risk.

**Caa:** Obligations rated Caa are judged to be speculative of poor standing and are subject to very high credit risk.

**Ca:** Obligations rated Ca are highly speculative and are likely in, or very near, default, with some prospect of recovery of principal and interest.

**C:** Obligations rated C are the lowest rated and are typically in default, with little prospect for recovery of principal or interest.

**Note: Addition of a Modifier 1, 2 or 3:** Moody's appends numerical modifiers 1, 2 and 3 to each generic rating classification from Aa through Caa. The modifier 1 indicates that the obligation ranks in the higher end of its generic rating category; the modifier 2 indicates a mid-range ranking; and the modifier 3 indicates a ranking in the lower end of that generic rating category. Additionally, a "(hyb)" indicator is appended to all ratings of hybrid securities issued by banks, insurers, finance companies, and securities firms. By their terms, hybrid securities allow for the omission of scheduled dividends, interest, or principal payments, which can potentially result in impairment if such an omission occurs. Hybrid securities may also be subject to contractually allowable write-downs of principal that could result in impairment.

Together with the hybrid indicator, the long-term obligation rating assigned to a hybrid security is an expression of the relative credit risk associated with that security.

**<u>S&P Global Ratings' Long-Term Issue Credit Ratings</u>** 

Long-term ratings are assigned to issuers or obligations with an original maturity of one year or more and reflect both on the likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in the event of default or impairment.

**AAA:** An obligation rated 'AAA' has the highest rating assigned by S&P Global Ratings. The obligor's capacity to meet its financial commitment on the obligation is extremely strong.

**AA:** An obligation rated 'AA' differs from the highest-rated obligations only to a small degree. The obligor's capacity to meet its financial commitment on the obligation is very strong.

**A:** An obligation rated 'A' is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligations in higher-rated categories. However, the obligor's capacity to meet its financial commitment on the obligation is still strong.

**BBB:** An obligation rated 'BBB' exhibits adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to weaken the obligor's capacity to meet its financial commitments on the obligation.

**BB, B, CCC, CC and C:** Obligations rated 'BB', 'B', 'CCC' 'CC' and 'C' are regarded as having significant speculative characteristics. 'BB' indicates the least degree of speculation and 'C' the highest. While such obligations will likely have some quality and protective characteristics, these may be outweighed by large uncertainties or major exposures to adverse conditions.

**BB:** An obligation rated 'BB' is less vulnerable to nonpayment than other speculative issues. However, it faces major ongoing uncertainties or exposure to adverse business, financial, or economic conditions that could lead to the obligor's inadequate capacity to meet its financial commitment on the obligation.

**B:** An obligation rated 'B' is more vulnerable to nonpayment than obligations rated 'BB', but the obligor currently has the capacity to meet its financial commitments on the obligation. Adverse business, financial, or economic conditions will likely impair the obligor's capacity or willingness to meet its financial commitments on the obligation.

**CCC:** An obligation rated 'CCC' is currently vulnerable to nonpayment and is dependent upon favorable business, financial, and economic conditions for the obligor to meet its financial commitments on the obligation. In the event of adverse business, financial or economic conditions, the obligor is not likely to have the capacity to meet its financial commitments on the obligation.

**CC:** An obligation rated 'CC' is currently highly vulnerable to nonpayment. The 'CC' rating is used when a default has not yet occurred but S&P Global Ratings expects default to be a virtual certainty, regardless of the anticipated time to default.

**C:** An obligation rated 'C' is currently highly vulnerable to nonpayment, and the obligation is expected to have lower relative seniority or lower ultimate recovery compared to obligations that are rated higher.

**D:** An obligation rated 'D' is in default or in breach of an imputed promise. For non-hybrid capital instruments, the 'D' rating category is used when payments on an obligation are not made on the date due, unless S&P Global Ratings believes that such payments will be made within the next five business days in the absence of a stated grace period or within the earlier of the stated grace period or the next 30 calendar days. The 'D' rating also will be used upon the filing of a bankruptcy petition or the taking of similar action and where default on an obligation is a virtual certainty, for example due to automatic stay provisions. A rating on an obligation is lowered to 'D' if it is subject to a distressed debt restructuring.

**Note: Addition of a Plus (+) or minus (-) sign:** The ratings from 'AA' to 'CCC' may be modified by the addition of a plus (+) or minus (-) sign to show relative standing within the major rating categories.

**Dual Ratings –** Dual ratings may be assigned to debt issues that have a put option or demand feature. The first component of the rating addresses the likelihood of repayment of principal and interest as due, and the second component of the rating addresses only the demand feature. The first

**A-2**

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component of the rating can relate to either a short-term or long-term transaction and accordingly use either short-term or long-term rating symbols. The second component of the rating relates to the put option and is assigned a short-term rating symbol (for example, 'AAA/A-1+' or 'A-1+/A-1'). With U. S. municipal short-term demand debt, the U.S. municipal short-term note rating symbols are used for the first component of the rating (for example, 'SP-1+/A-1+').

**<u>Fitch Corporate Finance Obligations – Long-Term Rating Scales</u>** 

Ratings of individual securities or financial obligations of a corporate issuer address relative vulnerability to default on an ordinal scale. In addition, for financial obligations in corporate finance, a measure of recovery given default on that liability is also included in the rating assessment. This notably applies to covered bond ratings, which incorporate both an indication of the probability of default and of the recovery given a default of this debt instrument.

**AAA:** Highest credit quality. 'AAA' ratings denote the lowest expectation of credit risk. They are assigned only in cases of exceptionally strong capacity for payment of financial commitments. This capacity is highly unlikely to be adversely affected by foreseeable events.

**AA:** Very high credit quality. 'AA' ratings denote expectations of very low credit risk. They indicate very strong capacity for payment of financial commitments. This capacity is not significantly vulnerable to foreseeable events.

**A:** High credit quality. 'A' ratings denote expectations of low credit risk. The capacity for payment of financial commitments is considered strong. This capacity may, nevertheless, be more vulnerable to adverse business or economic conditions than is the case for higher ratings.

**BBB:** Good credit quality. 'BBB' ratings indicate that expectations of credit risk are currently low. The capacity for payment of financial commitments is considered adequate but adverse business or economic conditions are more likely to impair this capacity.

**BB:** Speculative. 'BB' ratings indicate an elevated vulnerability to credit risk, particularly in the event of adverse changes in business or economic conditions over time; however, business or financial alternatives may be available to allow financial commitments to be met.

**B:** Highly speculative. 'B' ratings indicate that material credit risk is present.

**CCC:** Substantial credit risk. "CCC" ratings indicate that substantial credit risk is present.

**CC:** Very high levels of credit risk. "CC" ratings indicate very high levels of credit risk.

**C:** Exceptionally high levels of credit risk. "C" indicates exceptionally high levels of credit risk.

Corporate finance defaulted obligations typically are not assigned 'RD' or 'D' ratings but are instead rated in the 'CCC' to 'C' rating categories, depending on their recovery prospects and other relevant characteristics. This approach better aligns obligations that have comparable overall expected loss but varying vulnerability to default and loss.

**Note: Addition of a Plus (+) or minus (-) sign:** Within rating categories, Fitch may use modifiers. The modifiers "+" or "-" may be appended to a rating to denote relative status within major rating categories. For example, the rating category 'AA' has three notch-specific rating levels ('AA+'; 'AA'; 'AA-'; each a rating level). Such suffixes are not added to 'AAA' ratings and ratings below the 'CCC' category. For the short-term rating category of 'F1', a '+' may be appended. For Viability Ratings, the modifiers '+' or '-' may be appended to a rating to denote relative status within categories from 'aa' to 'ccc'.

**Corporate And Tax-Exempt Commercial Paper Ratings**

**Short-Term Issue Ratings** 

**<u>Moody's Global Short-Term Rating Scale</u>** 

Ratings assigned on Moody's global long-term and short-term rating scales are forward-looking opinions of the relative credit risks of financial obligations issued by non-financial corporates, financial institutions, structured finance vehicles, project finance vehicles, and public sector entities. Short-term ratings are assigned to obligations with an original maturity of thirteen months or less and reflect both the likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in the event of default or impairment.

Moody's employs the following designations to indicate the relative repayment ability of rated issuers:

**P-1:** Ratings of Prime-1 reflect a superior ability to repay short-term obligations.

**P-2:** Ratings of Prime-2 reflect a strong ability to repay short-term obligations.

**P-3:** Ratings of Prime-3 reflect an acceptable ability to repay short-term obligations.

**NP:** Issuers (or supporting institutions) rated Not Prime do not fall within any of the Prime rating categories.

The following table indicates the long-term ratings consistent with different short-term ratings when such long-term ratings exist. (Note: Structured finance short-term ratings are usually based either on the short-term rating of a support provider or on an assessment of cash flows available to retire the financial obligation).

**A-3**

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![](g486601moodysglobal_1.jpg)

**<u>S&P Global Ratings' Short-Term Issue Credit Ratings</u>** 

S&P Global Ratings' short-term issue credit ratings are generally assigned to those obligations considered short-term in the relevant market, typically with an original maturity of no more than 365 days. Short-term issue credit ratings are also used to indicate the creditworthiness of an obligor with respect to put features on long-term obligations. A long-term issue credit rating is typically assigned to an obligation with an original maturity of greater than 365 days. Ratings are graded into several categories, ranging from 'A' for the highest-quality obligations to 'D' for the lowest. These categories are as follows:

**A-1:** A short-term obligation rated 'A-1' is rated in the highest category by S&P Global Ratings. The obligor's capacity to meet its financial commitment on the obligation is strong. Within this category, certain obligations are designated with a plus sign (+). This indicates that the obligor's capacity to meet its financial commitments on these obligations is extremely strong.

**A-2:** A short-term obligation rated 'A-2' is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligations in higher rating categories. However, the obligor's capacity to meet its financial commitments on the obligation is satisfactory.

**A-3:** A short-term obligation rated 'A-3' exhibits adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to weaken an obligor's capacity to meet its financial commitments on the obligation.

**B:** A short-term obligation rated 'B' is regarded as vulnerable and has significant speculative characteristics. The obligor currently has the capacity to meet its financial commitments; however, it faces major ongoing uncertainties that could lead to the obligor's inadequate capacity to meet its financial commitments.

**C:** A short-term obligation rated 'C' is currently vulnerable to nonpayment and is dependent upon favorable business, financial, and economic conditions for the obligor to meet its financial commitments on the obligation.

**D:** A short-term obligation rated 'D' is in default or in breach of an imputed promise. For non-hybrid capital instruments, the 'D' rating category is used when payments on an obligation are not made on the date due, unless S&P Global Ratings believes that such payments will be made within any stated grace period. However, any stated grace period longer than five business days will be treated as five business days. The 'D' rating also will be used upon the filing of a bankruptcy petition or the taking of a similar action and where default on an obligation is a virtual certainty, for example due to automatic stay provisions. A rating on an obligation is lowered to 'D' if it is subject to a distressed debt restructuring.

**Dual Ratings –** Dual ratings may be assigned to debt issues that have a put option or demand feature. The first component of the rating addresses the likelihood of repayment of principal and interest as due, and the second component of the rating addresses only the demand feature. The first component of the rating can relate to either a short-term or long-term transaction and accordingly use either short-term or long-term rating symbols. The second component of the rating relates to the put option and is assigned a short-term rating symbol (for example, 'AAA/A-1+' or 'A-1+/A-1'). With U.S. municipal short-term demand debt, the U.S. municipal short-term note rating symbols are used for the first component of the rating (for example, 'SP-1+/A-1+').

**<u>Fitch's Short-Term Issuer or Obligation Ratings</u>** 

A short-term issuer or obligation rating is based in all cases on the short-term vulnerability to default of the rated entity and relates to the capacity to meet financial obligations in accordance with the documentation governing the relevant obligation. Short-term deposit ratings may be adjusted for loss severity. Short-term deposit ratings may be adjusted for loss severity. Short-Term Ratings are assigned to obligations whose initial maturity is viewed as

**A-4**

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"short term" based on market convention. Typically, this means up to 13 months for corporate, sovereign, and structured obligations, and up to 36 months for obligations in U.S. public finance markets.

**F1:** Highest short-term credit quality.

Indicates the strongest intrinsic capacity for timely payment of financial commitments; may have an added ("+") to denote any exceptionally strong credit feature.

**F2:** Good short-term credit quality.

Good intrinsic capacity for timely payment of financial commitments.

**F3:** Fair short-term credit quality.

The intrinsic capacity for timely payment of financial commitments is adequate.

**B:** Speculative short-term credit quality.

Minimal capacity for timely payment of financial commitments, plus heightened vulnerability to near term adverse changes in financial and economic conditions.

**C:** High short-term default risk.

Default is a real possibility.

**RD:** Restricted default.

Indicates an entity that has defaulted on one or more of its financial commitments, although it continues to meet other financial obligations. Typically applicable to entity ratings only.

**D:** Default.

Indicates a broad-based default event for an entity, or the default of a short-term obligation.

**Tax-Exempt Note Ratings** 

**<u>Moody's U.S. Municipal Short-Term Debt Ratings</u>** 

While the global short-term 'prime' rating scale is applied to US municipal tax-exempt commercial A-8 paper, these programs are typically backed by external letters of credit or liquidity facilities and their short-term prime ratings usually map to the long-term rating of the enhancing bank or financial institution and not to the municipality's rating. Other short-term municipal obligations, which generally have different funding sources for repayment, are rated using two additional short-term rating scales (i.e., the MIG and VMIG scale discussed below).

The Municipal Investment Grade (MIG) scale is used to rate US municipal bond anticipation notes of up to five years maturity. Municipal notes rated on the MIG scale may be secured by either pledged revenues or proceeds of a take-out financing received prior to note maturity. MIG ratings expire at the maturity of the obligation, and the issuer's long-term rating is only one consideration in assigning the MIG rating. MIG ratings are divided into three levels—MIG 1 through MIG 3—while speculative grade short-term obligations are designated SG.

**MIG 1:** This designation denotes superior credit quality. Excellent protection is afforded by established cash flows, highly reliable liquidity support, or demonstrated broad-based access to the market for refinancing.

**MIG 2:** This designation denotes strong credit quality. Margins of protection are ample, although not as large as in the preceding group.

**MIG 3:** This designation denotes acceptable credit quality. Liquidity and cash-flow protection may be narrow, and market access for refinancing is likely to be less well-established.

**SG:** This designation denotes speculative-grade credit quality. Debt instruments in this category may lack sufficient margins of protection.

Variable Municipal Investment Grade (VMIG) ratings of demand obligations with unconditional liquidity support are mapped from the short-term debt rating (or counterparty assessment) of the support provider, or the underlying obligor in the absence of third party liquidity support, with VMIG 1 corresponding to P-1, VMIG 2 to P-2, VMIG 3 to P-3 and SG to not prime. For example, the VMIG rating for an industrial revenue bond with Company XYZ as the underlying obligor would normally have the same numerical modifier as Company XYZ's prime rating. Transitions of VMIG ratings of demand obligations with conditional liquidity support, as shown in the diagram below, differ from transitions on the Prime scale to reflect the risk that external liquidity support will terminate if the issuer's long-term rating drops below investment grade.

**VMIG 1:** This designation denotes superior credit quality. Excellent protection is afforded by the superior short-term credit strength of the liquidity provider and structural and legal protections.

**VMIG 2:** This designation denotes strong credit quality. Good protection is afforded by the strong short-term credit strength of the liquidity provider and structural and legal protections.

**VMIG 3:** This designation denotes acceptable credit quality. Adequate protection is afforded by the satisfactory short-term credit strength of the liquidity provider and structural and legal protections.

**SG:** This designation denotes speculative-grade credit quality. Demand features rated in this category may be supported by a liquidity provider that does not have a sufficiently strong short-term rating or may lack the structural and/or legal protections.

**A-5**

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**\***

For VRDBs supported with conditional liquidity support, short-term ratings transition down at higher long-term ratings to reflect the risk of termination of liquidity support as a result of a downgrade below investment grade.

VMIG ratings of VRDBs with unconditional liquidity support reflect the short-term debt rating (or counterparty assessment) of the liquidity support provider with VMIG 1 corresponding to P-1, VMIG 2 to P-2, VMIG 3 to P-3 and SG to not prime.

For more complete discussion of these rating transitions, please see Annex B of Moody's Methodology titled Variable Rate Instruments Supported by Conditional Liquidity Facilities.

---

| | | |
|:---|:---|:---|
| **US Municipal Short-Term Versus Long-Term Ratings** | **US Municipal Short-Term Versus Long-Term Ratings** | **US Municipal Short-Term Versus Long-Term Ratings** |
| **NOTES** | **LONG-TERM RATING** | &nbsp;&nbsp;&nbsp; **DEMAND OBLIGATIONS WITH**<br> **CONDITIONAL LIQUIDITY** <br> **SUPPORT**<br>|
| MIG 1 | &nbsp;&nbsp;&nbsp; Aaa<br> Aa1<br> Aa2<br> Aa3<br> A1<br> A2<br>| VMIG 1 |
| MIG 2 | A3 | VMIG 2 |
| MIG 3 | &nbsp;&nbsp;&nbsp; Baa1<br> Baa2<br> Baa3<br>| &nbsp;&nbsp;&nbsp; VMIG 3\*<br> SG<br>|
| SG | &nbsp;&nbsp;&nbsp; Ba1, Ba2, Ba3 B1,<br> B2, B3 Caa1, Caa2,<br> Caa3 Ca, C<br>|  |

---

\*

For SBPA-backed VRDBs, the rating transitions are higher to allow for distance to downgrade to below investment grade due to the presence of automatic termination events in the SBPAs.

**<u>S&P Global Ratings' Municipal Short-Term Note Ratings</u>** 

An S&P Global Ratings municipal note rating reflects S&P Global Ratings' opinion about the liquidity factors and market access risks unique to the notes. Notes due in three years or less will likely receive a note rating. Notes with an original maturity of more than three years will most likely receive a long-term debt rating. In determining which type of rating, if any, to assign, S&P Global Ratings' analysis will review the following considerations:

● Amortization schedule – the larger the final maturity relative to other maturities, the more likely it will be treated as a note; and

● Source of payment – the more dependent the issue is on the market for its refinancing, the more likely it will be treated as a note.

Note rating symbols are as follows:

**SP-1:** Strong capacity to pay principal and interest. An issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation.

**SP-2:** Satisfactory capacity to pay principal and interest, with some vulnerability to adverse financial and economic changes over the term of the notes.

**SP-3:** Speculative capacity to pay principal and interest.

**D:** 'D' is assigned upon failure to pay the note when due, completion of a distressed debt restructuring, or the filing of a bankruptcy petition or the taking of similar action and where default on an obligation is a virtual certainty, for example due to automatic stay provisions.

**<u>Fitch Public Finance Ratings</u>** 

See FITCH SHORT-TERM ISSUER OR OBLIGATIONS RATINGS above.

**A-6**

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**Appendix B – Portfolio Manager Information**

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**AXIOM INVESTORS LLC** 

**("Axiom")**

**International Dynamic Growth Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund** | **Portfolio Managers** |
| International Dynamic Growth Fund | Bradley Amoils, Dean Bumbaca, CFA, and Andrew Jacobson, CFA |

---

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Bradley Amoils | 0 | $0 | 24 | $11129.97 | 6 | $6348.24 |
| Dean Bumbaca | 0 | $0 | 4 | $1608.72 | 1 | $284.55 |
| Andrew Jacobson | 11 | $642.84 | 37 | $15783.06 | 15 | $8928.83 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Bradley Amoils | 0 | $0 | 2 | $224.02 | 0 | $0 |
| Dean Bumbaca | 0 | $0 | 0 | $0 | 0 | $0 |
| Andrew Jacobson | 0 | $0 | 2 | $224.02 | 5 | $916.86 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | |
|:---|:---|
| **Portfolio Manager** | **Dollar Range of Shares Owned**<sup>1</sup> <br>|
| Bradley Amoils | over $1,000,000 |
| Dean Bumbaca | $50001-$100000 |
| Andrew Jacobson | over $1,000,000 |

---

**1**

As of October 31, 2025, Bradley Amoils, Dean Bumbaca, and Andrew Jacobson beneficially owned none, none, and $100,001–$500,000, respectively, of the fund.

**Potential Conflicts of Interest**

Axiom conducts an annual review of our business practices to identify those that might pose a conflict of interest between Axiom and its clients. The firm has adopted policies and procedures designed to mitigate any potential conflicts of interest. The Chief Compliance Officer assures that all relevant

**B-1**

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disclosure concerning potential conflicts of interest are included in Form ADV, and will review existing policies and procedures designed to address such conflicts and will develop and implement additional policies and procedures, as needed. Axiom summarizes the results of the annual Conflicts of Interest review in the annual review of policies and procedures in accordance with Rule 206(4)-7.

**Compensation**

All employees receive a competitive base salary and bonus. Bonuses are a function of overall firm performance as well as individual contribution to that performance. In addition, as the firm is 100% employee-owned, the opportunity to participate in the ownership through direct equity is offered to key contributors.

Portfolio Manager Compensation Structure: Base salary, equity partnership (all PMs are partners), and bonus. A percentage of the bonus is in the form of deferred compensation on a vesting schedule. Axiom's portfolio managers have a mandatory investment in the strategies they manage that are 100% vested after a 3-year period.

Analyst Compensation Structure: Base salary, equity partnership (if applicable), and bonus. A percentage of the analysts' discretionary bonus comes in the form of deferred compensation on a vesting schedule. Axiom is committed to providing a pathway for senior analysts to become partners of the firm and share in the long term economics which further aligns interests and best practices.

**B-2**

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**Boston Partners Global Investors, Inc.** 

**("Boston Partners")**

**Disciplined Value International Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund** | **Portfolio Managers** |
| Disciplined Value International Fund | Christopher K. Hart, CFA, Joshua M. Jones, CFA, and Soyoun Song |

---

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Christopher K. Hart | 5 | $7099 | 6 | $11160 | 55 | $4432 |
| Joshua M. Jones | 5 | $7099 | 6 | $11160 | 55 | $4432 |
| Soyoun Song | 6 | $7109 | 6 | $11160 | 55 | $4432 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Christopher K. Hart | 0 | $0 | 0 | $0 | 0 | $0 |
| Joshua M. Jones | 0 | $0 | 0 | $0 | 0 | $0 |
| Soyoun Song | 0 | $0 | 0 | $0 | 0 | $0 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | |
|:---|:---|
| **Portfolio Manager** | **Dollar Range of Shares Owned**<sup>1</sup> <br>|
| Christopher K. Hart | over $1,000,000 |
| Joshua M. Jones | $50001-$100000 |
| Soyoun Song | over $1,000,000 |

---

**1**

As of October 31, 2025, Christopher K. Hart, Joshua M. Jones, and Soyoun Song beneficially owned $500,001–$1,000,000, $50,001–$100,000, and none, respectively, of the fund.

**B-3**

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**Potential Conflicts of Interest**

Compensation is determined based on several factors including performance, productivity, firm results and teamwork. Portfolio managers benefit from Boston Partners revenues and profitability. But no portfolio managers are compensated based directly on fee revenue earned by Boston Partners on particular accounts in a way that would create a material conflict of interest in favoring particular accounts over other accounts.

Execution and research services provided by brokers may not always be utilized in connection with the fund or other client accounts that may have provided the commission or a portion of the commission paid to the broker providing the services. Boston Partners allocates brokerage commissions for these services in a manner that it believes is fair and equitable and consistent with its fiduciary obligations to each of its clients.

Boston Partners views all assets under management in a particular investment strategy as one portfolio. When the firm decides that a given security warrants a 1% position in client portfolios, it buys 1% in all portfolios unless individual client guidelines prohibit the firm from purchasing the security for such portfolio. Boston Partners generally aggregates the target share amount for each account into one large order and distributes the shares on a prorated basis across the accounts.

If a portfolio manager identifies a limited investment opportunity that may be suitable for more than one fund or other client account, the fund may not be able to take full advantage of that opportunity. To mitigate this conflict of interest, Boston Partners aggregates orders of the funds it advises with orders from each of its other client accounts in order to ensure that all clients are treated fairly and equitably over time and consistent with its fiduciary obligations to each of its clients.

Accounts are generally precluded from simultaneously holding a security long and short. There are certain circumstances that would permit a long/short portfolio to take a short position in a security that is held long in another strategy. This happens very infrequently, and the contra position is generally not related to the fundamental views of the security (i.e. - initiating a long position in a security at year-end to take advantage of tax-loss selling as a short-term investment, or initiating a position based solely on its relative weight in the benchmark). However, in certain situations, the investment constraints of a strategy, including but not limited to country, region, industry, or benchmark, may result in a different investment thesis for the same security. Each situation is fully vetted and approved by the firm's Chief Investment Officer or his designee.

**Compensation**

All investment professionals receive a compensation package comprised of an industry competitive base salary, a discretionary bonus and long-term incentives. Through our bonus program, key investment professionals are rewarded primarily for strong investment performance. We believe this aligns our Boston Partners team firmly with our clients' objectives and provides the financial and work environment incentives which keep our teams in place and has led to industry leading investment staff continuity and extremely low unplanned staff turnover.

Typically, bonuses are based upon a combination of one or more of the following four criteria:

● Individual Contribution: an evaluation of the professional's individual contribution based on the expectations established at the beginning of each year;

● Product Investment Performance: performance of the investment product(s) with which the individual is involved versus the pre-designed index, based on the excess return;

● Investment Team Performance: the financial results of the investment group with our client's assets;

● Firm-wide Performance: the overall financial performance of Boston Partners.

● Our long-term incentive program effectively confers a significant 20-30% ownership interest in the value of the business to key employees. Annual awards are made by the Compensation Committee and are meant to equate to an additional 10-20% of the participants cash bonus awards.

The compensation program focuses on long term performance with an emphasis on 3- and 5-year results. The timing of receiving deferred compensation reinforces this emphasis. Roughly 50% of compensation is based on qualitative measures and roughly 50% is based on quantitative measures. These compensation percentages can vary based on an individual's role in the firm.

Total revenues generated by any particular product affect the total available bonus pool for the analysts and portfolio managers associated with that product. The discretionary bonus assessment is conducted annually. In the case of John Hancock Disciplined Value International Fund, product investment performance is based on the fund's 1-, 3-, and 5-year performance compared to its market benchmark, the Russell 1000 Value Index, and compared to its consultant peer group for large cap value. Returns are evaluated on a pre-tax basis.

**Firm:** Boston Partners maintains a long-term incentive program which effectively confers a 20-30% ownership stake in Boston Partners and is funded by the profitability and growth of the business. All investment professionals participate in this plan which serves as a long-term wealth building tool that aligns the interests of our clients with the people responsible for managing their portfolios.

**Direct Investments:** Boston Partners offers or sub-advises several mutual fund vehicles that allow portfolio managers and other employees to invest directly alongside our clients. In fact, it is common for senior portfolio managers to invest $1 million or more in the strategy or strategies that they manage. Direct investments are also facilitated through Boston Partner's 401(k) plan as Boston Partners managed mutual funds are widely available, investments are entirely voluntary, and are significantly used within the plan.

**B-4**

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**Deferred Compensation:** An important aspect of Boston Partner's incentive program is deferred compensation. Annual incentive compensation as well as long-term incentive compensation is deferred in part or in total for typically 3 to 5 years. Deferred compensation promotes organizational stability and also facilitates significant re-investment in Boston Partners strategies. Deferred compensation is invested in established Boston Partners strategies. In addition, Boston Partners utilizes deferred compensation to fund seed investments in new investment offerings. This allows for the establishment of a portfolio, the building of a track record and ultimately bring a new investment strategy to the marketplace.

**B-5**

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**Graham Capital Management, L.P.** 

**("Graham")**

**Diversified Macro Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund** | **Portfolio Managers** |
| Diversified Macro Fund | Thomas Feng, Ph.D., Jens Foehrenbach, and Kenneth G. Tropin |

---

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Thomas Feng | 6 | $1496 | 82 | $12935 | 23 | $4379 |
| Jens Foehrenbach | 6 | $1496 | 82 | $12935 | 23 | $4379 |
| Kenneth G. Tropin | 6 | $1496 | 82 | $12935 | 23 | $4379 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Thomas Feng | 0 | $0 | 70 | $11665 | 15 | $2053 |
| Jens Foehrenbach | 0 | $0 | 70 | $11665 | 15 | $2053 |
| Kenneth G. Tropin | 0 | $0 | 70 | $11665 | 15 | $2053 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | |
|:---|:---|
| **Portfolio Manager** | **Dollar Range of Shares Owned**<sup>1</sup> <br>|
| Thomas Feng |  |
| Jens Foehrenbach |  |
| Kenneth G. Tropin | over $1,000,000 |

---

**1**

As of October 31, 2025, Thomas Feng, Jens Foehrenbach, and Kenneth G. Tropin beneficially owned none, none, and $10,001–$50,000, respectively, of the fund.

**Potential Conflicts of Interest**

The portfolio managers may manage numerous accounts for multiple clients. These accounts may include collective investment funds and separate accounts managed on behalf of institutional clients, including registered investment companies. The portfolio managers make investment decisions for each account based on the investment objectives and policies and other relevant investment considerations applicable to that portfolio.

**B-6**

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When the portfolio managers have responsibility for managing more than one account, potential conflicts of interest may arise. Those conflicts could include preferential treatment of one account over others in terms of allocation of resources or of investment opportunities. For instance, Graham may receive fees from certain accounts that are higher than the fee it receives from the fund, or it may receive a performance-based fee on certain accounts. In those instances, the portfolio managers may have an incentive to favor the higher and/or performance-based fee accounts over the fund. Graham has adopted policies and procedures designed to address these potential material conflicts. For instance, Graham utilizes a system for allocating investment opportunities among accounts that is designed to provide a fair and equitable allocation.

**Compensation**

As of December 31, 2025, the portfolio managers receive a salary and, in the case of Messrs. Foehrenbach and Feng, a discretionary bonus. In addition, Mr. Tropin, as an indirect owner of Graham, is allocated a portion of Graham's net income.

**B-7**

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**Manulife Investment Management (US) LLC** 

**("Manulife IM (US)")**

**Balanced Fund**

**Emerging Markets Equity Fund**

**Financial Industries Fund**

**Fundamental Large Cap Core Fund**

**Regional Bank Fund**

**Small Cap Core Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated funds' portfolios.

---

| | |
|:---|:---|
| **Fund Managed** | **Portfolio Managers** |
| Balanced Fund | Susan A. Curry, Jeffrey N. Given, CFA, and Michael J. Scanlon, Jr., CFA |
| Emerging Markets Equity Fund | &nbsp;&nbsp;&nbsp; Bryony Deuchars, CFA, FCA, David Dugdale, PhD, CFA, Charlie Dutton, <br> Bhupinder Sachdev, CFA, and Talib Saifee<br>|
| Financial Industries Fund | Susan A. Curry and Ryan P. Lentell, CFA |
| Fundamental Large Cap Core Fund | Michael J. Mattioli, CFA, Nicholas P. Renart, and Jonathan T. White, CFA |
| Regional Bank Fund | Susan A. Curry and Ryan P. Lentell, CFA |
| Small Cap Core Fund | Ryan Davies, CFA, Joseph Nowinski, and Bill Talbot, CFA<sup>1</sup> |

---

**1**

Effective December 31, 2026, Bill Talbot no longer serves as a portfolio manager of the fund.

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund or funds he or she manages and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Assets**<br> **(in millions)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Assets**<br> **(in millions)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Assets**<br> **(in millions)**<br>|
| Susan A. Curry | 2 | $930 | 4 | $359 | 5 | $1 |
| Ryan Davies | 1 | $285 | 5 | $1834 | 3 | $129 |
| Bryony Deuchars | 0 | $0 | 3 | $426 | 1 | $566 |
| David Dugdale | 0 | $0 | 3 | $426 | 1 | $566 |
| Charlie Dutton | 0 | $0 | 3 | $426 | 1 | $566 |
| Jeffrey N. Given | 18 | $42392 | 33 | $7600 | 37 | $22135 |
| Ryan P. Lentell | 2 | $930 | 2 | $201 | 0 | $0 |
| Michael J. Mattioli | 4 | $3382 | 11 | $7098 | 18 | $4587 |
| Joseph Nowinski | 1 | $285 | 4 | $90 | 3 | $129 |
| Nicholas P. Renart | 5 | $4407 | 9 | $6216 | 19 | $4588 |
| Bhupinder Sachdev | 0 | $0 | 3 | $426 | 1 | $566 |
| Talib Saifee | 0 | $0 | 3 | $426 | 1 | $566 |
| Michael J. Scanlon, Jr. | 0 | $0 | 5 | $2125 | 5 | $1 |
| Bill Talbot | 1 | $285 | 4 | $90 | 3 | $129 |
| Jonathan T. White | 5 | $4407 | 14 | $6966 | 19 | $4588 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

**B-8**

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---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Assets**<br> **(in millions)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Assets**<br> **(in millions)**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| &nbsp;&nbsp;&nbsp;&nbsp; **Assets**<br> **(in millions)**<br>|
| Susan A. Curry | 0 | $0 | 0 | $0 | 0 | $0 |
| Ryan Davies | 0 | $0 | 0 | $0 | 0 | $0 |
| Bryony Deuchars | 0 | $0 | 0 | $0 | 0 | $0 |
| David Dugdale | 0 | $0 | 0 | $0 | 0 | $0 |
| Charlie Dutton | 0 | $0 | 0 | $0 | 0 | $0 |
| Jeffrey N. Given | 0 | $0 | 0 | $0 | 0 | $0 |
| Ryan P. Lentell | 0 | $0 | 0 | $0 | 0 | $0 |
| Michael J. Mattioli | 0 | $0 | 0 | $0 | 3 | $1692 |
| Joseph Nowinski | 0 | $0 | 0 | $0 | 0 | $0 |
| Nicholas P. Renart | 0 | $0 | 0 | $0 | 3 | $1692 |
| Bhupinder Sachdev | 0 | $0 | 0 | $0 | 0 | $0 |
| Talib Saifee | 0 | $0 | 0 | $0 | 0 | $0 |
| Michael J. Scanlon, Jr. | 0 | $0 | 0 | $0 | 0 | $0 |
| Bill Talbot | 0 | $0 | 0 | $0 | 0 | $0 |
| Jonathan T. White | 0 | $0 | 0 | $0 | 3 | $1692 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | | |
|:---|:---|:---|
| **Fund** | **Portfolio Manager** | **Dollar Range of Shares Owned** |
| **Balanced Fund**<sup>1</sup> | Susan A. Curry | $100001-$500000 |
|  | Jeffrey N. Given | over $1,000,000 |
|  | Michael J. Scanlon, Jr. | over $1,000,000 |
| **Emerging Markets Equity Fund**<sup>2</sup> | Bryony Deuchars | $100001-$500000 |
|  | David Dugdale | $100001-$500000 |
|  | Charlie Dutton | $100001-$500000 |
|  | Bhupinder Sachdev |  |
|  | Talib Saifee | $50001-$100000 |
| **Financial Industries Fund**<sup>3</sup> | Susan A. Curry | $500001-$1000000 |
|  | Ryan P. Lentell | $500001-$1000000 |
| **Fundamental Large Cap Core Fund**<sup>4</sup> | Michael J. Mattioli |  |
|  | Nicholas P. Renart | $500001-$1000000 |
|  | Jonathan T. White | over $1,000,000 |
| **Regional Bank Fund**<sup>5</sup> | Susan A. Curry | $500001-$1000000 |
|  | Ryan P. Lentell | over $1,000,000 |
| **Small Cap Core Fund**<sup>6</sup> | Ryan Davies | $100001-$500000 |
|  | Joseph Nowinski | $100001-$500000 |
|  | Bill Talbot | $100001-$500000 |

---

**1**

As of October 31, 2025, Susan A. Curry, Jeffrey N. Given, and Michael J. Scanlon, Jr. beneficially owned $100,001–$500,000, over $1,000,000, and over $1,000,000, respectively, of Balanced Fund.

**2**

As of October 31, 2025, Bryony Deuchars, David Dugdale, Charlie Dutton, Bhupinder Sachdev, and Tailib Saifee beneficially owned $100,001–$500,000, $100,001–$500,000, $100,001–$500,000, none, and $50,001–$100,000, respectively, of Emerging Markets Equity Fund.

**3**

As of October 31, 2025, Susan A. Curry and Ryan P. Lentell beneficially owned $500,001–$1,000,000 and $500,001–$1,000,000, respectively, of Financial Industries Fund.

**4**

As of October 31, 2025, Michael J. Mattioli, Nicholas P. Renart, and Jonathan T. White beneficially owned none, $500,001–$1,000,000, and over $1,000,000, respectively, of Fundamental Large Cap Core Fund.

**5**

As of October 31, 2025, Susan A. Curry and Ryan P. Lentell beneficially owned $500,001–$1,000,000 and over $1,000,000, respectively, of Regional Bank Fund.

**B-9**

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**6**

As of October 31, 2025, Ryan Davies, Joseph Nowinski, and Bill Talbot beneficially owned $100,001–$500,000, $100,001–$500,000, and $100,001–$500,000, respectively, of Small Cap Core Fund.

**Potential Conflicts of Interest**

When a portfolio manager is responsible for the management of more than one account, the potential arises for the portfolio manager to favor one account over another. The principal types of potential conflicts of interest that may arise are discussed below. For the reasons outlined below, the funds do not believe that any material conflicts are likely to arise out of a portfolio manager's responsibility for the management of the funds as well as one or more other accounts. The Advisor and Manulife IM (US) (the "Subadvisor") have adopted procedures that are intended to monitor compliance with the policies referred to in the following paragraphs. Generally, the risks of such conflicts of interests are increased to the extent that a portfolio manager has a financial incentive to favor one account over another. The Advisor and Subadvisor have structured their compensation arrangements in a manner that is intended to limit such potential for conflicts of interests. See "Compensation" below.

● A portfolio manager could favor one account over another in allocating new investment opportunities that have limited supply, such as initial public offerings and private placements. If, for example, an initial public offering that was expected to appreciate in value significantly shortly after the offering was allocated to a single account, that account may be expected to have better investment performance than other accounts that did not receive an allocation on the initial public offering. The Subadvisor has policies that require a portfolio manager to allocate such investment opportunities in an equitable manner and generally to allocate such investments proportionately among all accounts with similar investment objectives.

● A portfolio manager could favor one account over another in the order in which trades for the accounts are placed. If a portfolio manager determines to purchase a security for more than one account in an aggregate amount that may influence the market price of the security, accounts that purchased or sold the security first may receive a more favorable price than accounts that made subsequent transactions. The less liquid the market for the security or the greater the percentage that the proposed aggregate purchases or sales represent of average daily trading volume, the greater the potential for accounts that make subsequent purchases or sales to receive a less favorable price. When a portfolio manager intends to trade the same security for more than one account, the policies of the Subadvisor generally require that such trades be "bunched," which means that the trades for the individual accounts are aggregated and each account receives the same price. There are some types of accounts as to which bunching may not be possible for contractual reasons (such as directed brokerage arrangements). Circumstances may also arise where the trader believes that bunching the orders may not result in the best possible price. Where those accounts or circumstances are involved, the Subadvisor will place the order in a manner intended to result in as favorable a price as possible for such client.

● A portfolio manager could favor an account if the portfolio manager's compensation is tied to the performance of that account rather than all accounts managed by the portfolio manager. If, for example, the portfolio manager receives a bonus based upon the performance of certain accounts relative to a benchmark while other accounts are disregarded for this purpose, the portfolio manager will have a financial incentive to seek to have the accounts that determine the portfolio manager's bonus achieve the best possible performance to the possible detriment of other accounts. Similarly, if the Subadvisor receives a performance-based advisory fee, the portfolio manager may favor that account, whether or not the performance of that account directly determines the portfolio manager's compensation. The investment performance on specific accounts is not a factor in determining the portfolio manager's compensation. See "Compensation" below. Neither the Advisor nor the Subadvisor receives a performance-based fee with respect to any of the accounts managed by the portfolio managers.

● A portfolio manager could favor an account if the portfolio manager has a beneficial interest in the account, in order to benefit a large client or to compensate a client that had poor returns. For example, if the portfolio manager held an interest in an investment partnership that was one of the accounts managed by the portfolio manager, the portfolio manager would have an economic incentive to favor the account in which the portfolio manager held an interest. The Subadvisor imposes certain trading restrictions and reporting requirements for accounts in which a portfolio manager or certain family members have a personal interest in order to confirm that such accounts are not favored over other accounts.

● If the different accounts have materially and potentially conflicting investment objectives or strategies, a conflict of interest may arise. For example, if a portfolio manager purchases a security for one account and sells the same security short for another account, such trading pattern could disadvantage either the account that is long or short. In making portfolio manager assignments, the Subadvisor seeks to avoid such potentially conflicting situations. However, where a portfolio manager is responsible for accounts with differing investment objectives and policies, it is possible that the portfolio manager will conclude that it is in the best interest of one account to sell a portfolio security while another account continues to hold or increase the holding in such security.

**Compensation**

The Subadvisor has adopted a system of compensation for portfolio managers and others involved in the investment process that is applied systematically among investment professionals. At the Subadvisor, the structure of compensation of investment professionals is currently comprised of the following basic components: base salary and short- and long-term incentives. The following describes each component of the compensation package for the individuals identified as a portfolio manager for the funds.

● Base salary. Base compensation is fixed and normally reevaluated on an annual basis. The Subadvisor seeks to set compensation at market rates, taking into account the experience and responsibilities of the investment professional.

● Incentives. Only investment professionals are eligible to participate in the short- and long-term incentive plan. Under the plan, investment professionals are eligible for an annual cash award. The plan is intended to provide a competitive level of annual bonus compensation that is tied to the investment professional achieving superior investment performance and aligns the financial incentives of the Subadvisor and the investment professional. Any bonus under the plan is completely discretionary, with a maximum annual bonus that may be well in excess of base salary. Payout

**B-10**

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of a portion of this bonus may be deferred for up to five years. While the amount of any bonus is discretionary, the following factors are generally used in determining bonuses under the plan:

&nbsp;&nbsp;&nbsp;&nbsp;● *Investment Performance:* The investment performance of all accounts managed by the investment professional over one, three and five-year periods are considered. The pre-tax performance of each account is measured relative to an appropriate peer group benchmark identified in the table below (for example a Morningstar large cap growth peer group if the fund invests primarily in large cap stocks with a growth strategy). With respect to fixed income accounts, relative yields are also used to measure performance. This is the most heavily weighted factor.

&nbsp;&nbsp;&nbsp;&nbsp;● *Financial Performance:* The profitability of the Subadvisor and its parent company are also considered in determining bonus awards.

&nbsp;&nbsp;&nbsp;&nbsp;● *Non-Investment Performance:* To a lesser extent, intangible contributions, including the investment professional's support of client service and sales activities, new fund/strategy idea generation, professional growth and development, and management, where applicable, are also evaluated when determining bonus awards.

● In addition to the above, compensation may also include a revenue component for an investment team derived from a number of factors including, but not limited to, client assets under management, investment performance, and firm metrics.

● Manulife equity awards. A limited number of senior investment professionals may receive options to purchase shares of Manulife Financial stock. Generally, such option would permit the investment professional to purchase a set amount of stock at the market price on the date of grant. The option can be exercised for a set period (normally a number of years or until termination of employment) and the investment professional would exercise the option if the market value of Manulife Financial stock increases. Some investment professionals may receive restricted stock grants, where the investment professional is entitled to receive the stock at no or nominal cost, provided that the stock is forgone if the investment professional's employment is terminated prior to a vesting date.

● Deferred Incentives. Investment professionals may receive deferred incentives which are fully invested in strategies managed by the team/individual as well as other Manulife Investment Management strategies.

The Subadvisor also permits investment professionals to participate on a voluntary basis in a deferred compensation plan, under which the investment professional may elect on an annual basis to defer receipt of a portion of their compensation until retirement. Participation in the plan is voluntary.

---

| | |
|:---|:---|
| **Fund** | **Benchmark Index for Incentive Period** |
| Balanced Fund | Morningstar US OE Moderate Allocation |
| Emerging Markets Equity Fund | eVestment Emerging Markets All Cap Equity Universe Gross |
| Financial Industries Fund | Morningstar US OE Financial |
| Fundamental Large Cap Core Fund | Lipper Large Cap Core |
| Regional Bank Fund | S&P Composite 1500 Banks Index Total Return |
| Small Cap Core Fund | eA US Small Cap Core Equity |

---

**B-11**

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**PICTET ASSET MANAGEMENT SA** 

**("Pictet AM")**

**Global Environmental Opportunities Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund Managed** | **Portfolio Managers** |
| Global Environmental Opportunities Fund | Luciano Diana, Chris Elias, Nadine Hayderi, and Katie Self, PhD |

---

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund he or she manages and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Luciano Diana | 1 | $109 | 1 | $5950 | 7 | $1029 |
| Chris Elias | 1 | $109 | 1 | $5950 | 7 | $1029 |
| Nadine Hayderi | 1 | $109 | 1 | $5950 | 7 | $1029 |
| Katie Self | 1 | $109 | 1 | $5950 | 7 | $1029 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Luciano Diana | 0 | $0 | 0 | $0 | 0 | $0 |
| Chris Elias | 0 | $0 | 0 | $0 | 0 | $0 |
| Nadine Hayderi | 0 | $0 | 0 | $0 | 0 | $0 |
| Katie Self | 0 | $0 | 0 | $0 | 0 | $0 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | | |
|:---|:---|:---|
| **Fund** | **Portfolio Manager** | **Dollar Range of Shares Owned** |
| Global Environmental Opportunities Fund<sup>1</sup> | Luciano Diana | $100001-$500000 |
|  | Chris Elias |  |
|  | Nadine Hayderi |  |
|  | Katie Self | $50001-$100000 |

---

**1**

As of October 31, 2025, Luciano Diana, Chris Elias, Nadine Hayderi, and Katie Self beneficially owned none, none, none, and none, respectively, of the fund.

**B-12**

------

**Potential Conflicts of Interest**

Pictet AM has a fiduciary duty to manage its client's assets in accordance with the fund's stated investment strategies, in accordance with the Financial Market Supervisory Authority and SEC rules (Rules), and also to manage any conflicts of interest arising between either Pictet AM and its client, or an employee and the client. The Pictet AM Compliance manual sets out how conflicts of interest between Pictet AM and the client are handled, and the detailed Pictet AM Code of Ethics sets out the standards required of employees which addresses conflicts of interests between employees and the firm's clients. In addition, Pictet AM has also issued an internal policy on conflicts of interest. Compliance with the fund's stated investment strategies, the Rules and the Code of Ethics (especially Personal Account Dealing) is monitored on a regular basis by Pictet AM's compliance department. However, all members of staff have an obligation to report any breaches of which they become aware. All breaches identified are recorded and reported to Pictet AM's Compliance and Business Risk departments, who will oversee and approve any corrective action, which should take place as soon as reasonably practicable. In accordance with general fiduciary and regulatory law, Pictet AM discloses its conflicts of interest in the their Conflicts of Interest Disclosure Statement, found at the following link https://am.pictet.com/uk/en/institutions/legal-documents-and-notes.

**Compensation**

Pictet Asset Management's remuneration policy aligns individuals' pay with the interests of our clients and the long-term performance of the business.

Pictet's Managing Partners, as part of the responsibilities of the Partners' Committee, oversee all remuneration policies and provide independent oversight for remuneration decisions. The Partners' attention to a sound risk management approach protects investors, the Pictet Group, Pictet Asset Management, and employees. Pictet Asset Management's remuneration policy complies with regulatory requirements and external best practices.

An individual's total compensation typically comprises a fixed salary; a performance-related bonus; Pictet Parts (linking pay to Group results); and, for key senior executives, Long-Term Incentive Plan Units (linking pay to the long-term growth and continued success of Pictet Asset Management). The variable elements of pay create a direct link between pay and performance, aligning our staff's incentives with the best interests of our clients.

The appropriate mix of different pay elements and deferrals ensures that an individual's compensation is appropriately stable over time and encourages responsible risk-taking and sustainable performance for our clients. Variable pay elements are summarised below.

**Performance bonus.** The performance bonus motivates and rewards individual and team performance, aligning individual compensation with the interests of clients, divisional objectives and results. It directly links investment managers' pay with the investment performance they deliver to clients.

Where possible, we use balanced scorecards ("BSC") to set quantitative and qualitative performance objectives and bonus targets. For investment managers, the dominant component of the BSC is risk-adjusted investment performance, measured over one, three and five years. We rigorously measure performance relative to BSC objectives and this determines how much of the target bonus is subsequently paid to the individual.

Bonuses above a certain level are subject to deferral. Investment managers and analysts have the opportunity to align any deferred award with the funds they manage/work on. Deferred bonuses vest in three equal instalments over the subsequent three years from the date of award. Vested deferred bonuses are paid in March/April each year.

**Pictet Parts.** Parts are in effect a profit-sharing arrangement based on group results. They allow the majority of investment professionals to participate directly in the group's results and are awarded according to role and seniority. Parts are awarded at the start of the financial year and valued by the Partners' Committee at the end of the financial year based on the profits of the Pictet group. The resulting value is paid out in cash.

**Long-Term Incentive Plan (LTIP) units.** For key senior executives who have a material impact on the future success and sustainable growth of Pictet Asset Management, we utilise an additional Long-Term Incentive Plan to align staff reward with the strategic long-term interests of Pictet Asset Management. The LTIP is designed to improve long-term performance by linking a participating employee's reward to the growth and continued success of the Pictet Asset Management business. The value of the LTIP is determined by profitability over a four-year performance measurement cycle, and any payment is dependent on achieving the plan's performance conditions.

Please refer to our remuneration policy for more information: https://am.pictet.com/content/dam/am-pictet/media/global/legal-documents/remuneration-policy/PAM%20Remuneration%20Policy.pdf

**B-13**

------

**Pzena Investment Management, LLC** 

**("Pzena")**

**Classic Value Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund** | **Portfolio Managers** |
| Classic Value Fund | Daniel L. Babkes, John J. Flynn, Richard S. Pzena, and Benjamin S. Silver, CFA |

---

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Daniel L. Babkes | 2 | $7340 | 10 | $955 | 27 | $525 |
| John J. Flynn | 6 | $10026 | 14 | $1085 | 75 | $2278 |
| Richard S. Pzena | 2 | $7340 | 11 | $1027 | 18 | $601 |
| Benjamin S. Silver | 7 | $11915 | 46 | $27147 | 92 | $7375 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Daniel L. Babkes | 1 | $6983 | 1 | $39 | 0 | $0 |
| John J. Flynn | 2 | $9376 | 1 | $39 | 0 | $0 |
| Richard S. Pzena | 1 | $6983 | 2 | $100 | 0 | $0 |
| Benjamin S. Silver | 3 | $11265 | 5 | $531 | 0 | $0 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | |
|:---|:---|
| **Portfolio Manager** | **Dollar Range of Shares Owned**<sup>1</sup> <br>|
| Daniel L. Babkes | $500001-$1000000 |
| John J. Flynn | $100001-$500000 |
| Richard S. Pzena | over $1,000,000 |
| Benjamin S. Silver | $500001-$1000000 |

---

**1**

As of October 31, 2025, Daniel L. Babkes, John J. Flynn, Richard S. Pzena, and Benjamin S. Silver beneficially owned $500,001–$1,000,000, $100,001–$500,000, over $1,000,000, and $500,001–$1,000,000, respectively, of the fund.

**B-14**

------

**Potential Conflicts of Interest**

In Pzena's view, conflicts of interest may arise in managing the fund's portfolio investments, on the one hand, and the portfolios of Pzena's other clients and/or accounts (together "Accounts"), on the other. Set forth below is a brief description of some of the material conflicts that may arise and Pzena's policy or procedure for handling such conflicts.

Although Pzena has designed such procedures to prevent and address conflicts, there is no guarantee that these procedures will detect every situation in which a conflict could arise.

The management of multiple Accounts inherently carries the risk that there may be competing interests for the portfolio management team's time and attention. Pzena seeks to minimize this by using one investment approach (i.e., classic value investing), and by managing all Accounts on a strategy-specific basis.

If the portfolio management team identifies a limited investment opportunity that may be suitable for more than one Account, the fund may not be able to take full advantage of that opportunity; however, Pzena has adopted procedures for allocating portfolio transactions across Accounts so that each Account is treated fairly. With respect to partial fills for an order, depending on the size of the execution, Pzena may choose to allocate the executed shares on a pro-rata basis, or on a random basis. As with all trade allocations each Account generally receives pro-rata allocations of any new issue or IPO security that is appropriate for its investment objective. Permissible reasons for excluding an Account from an otherwise acceptable IPO or new issue investment include the Account having FINRA restricted person status, lack of available cash to make the purchase, a client-imposed trading prohibition on IPOs or on the business of the issuer, and brokerage restrictions.

With respect to securities transactions for the Accounts, Pzena determines which broker to use to execute each order, consistent with its duty to seek best execution. Pzena will bunch or aggregate like orders when it believes doing so will be beneficial to the Accounts. However, with respect to certain Accounts, Pzena may be limited by the client with respect to the selection of brokers or may be instructed to direct trades through a particular broker. In these cases, Pzena may place separate, non-simultaneous transactions for the fund and another Account, which may temporarily impact the market price of the security or the execution of the transaction to the detriment of one or the other.

Conflicts of interest may arise when members of the portfolio management team transact personally in securities investments made or to be made for the fund or other Accounts. To address this, Pzena has adopted a written Code of Business Conduct and Ethics designed to prevent and detect personal trading activities that may interfere or conflict with client interests (including fund shareholders' interests) or its current investment strategy. The Code of Business Conduct and Ethics generally requires that most transactions in securities by Pzena's Access Persons and certain related persons, whether or not such securities are purchased or sold on behalf of the Accounts, be cleared prior to execution by appropriate approving parties and compliance personnel. Securities transactions for Access Persons' personal accounts also are subject to ongoing reporting requirements and annual and quarterly certification requirements. In addition, no Access Person shall be permitted to effect a short-term trade (i.e., to purchase and subsequently sell within 60 calendar days, or to sell and subsequently purchase, within 60 calendar days) of non-exempt securities. Finally, orders for proprietary accounts (i.e., accounts of Pzena's principals, affiliates or employees or their immediate family that are managed by Pzena) are subject to written trade allocation procedures designed to ensure fair treatment of client accounts.

Proxy voting for Accounts' securities holdings may also pose certain conflicts. A potential material conflict of interest could exist in the following situations: (i) Pzena manages any pension or other assets affiliated with a publicly traded company, and also holds that company's or an affiliated company's securities in one or more client portfolios; (ii) Pzena has a client relationship with an individual who is a corporate director, or a candidate for a corporate directorship of a public company whose securities are in one or more client portfolios; or (iii) A Pzena officer, director or employee, or an immediate family member thereof is a corporate director, or a candidate for a corporate directorship of a public company whose securities are in one or more client portfolios. For purposes hereof, an immediate family member is generally defined as a spouse, child, parent, or sibling. Our proxy voting policies provide for various methods of dealing with these and any other conflict scenarios subsequently identified by the firm.

Pzena manages some Accounts under performance-based fee arrangements. Pzena recognizes that this type of incentive compensation creates the risk for potential conflicts of interest. This structure may create inherent pressure to allocate investments having a greater potential for higher returns to accounts of those clients paying a performance fee. To prevent conflicts of interest associated with managing accounts with different compensation structures, Pzena generally requires portfolio decisions to be made on a product-specific basis. Pzena also requires pre-allocation of all client orders based on specific fee-neutral criteria. Additionally, Pzena requires average pricing of all aggregated orders. Finally, Pzena has adopted a policy prohibiting portfolio managers (and all employees) from placing the investment interests of one client or a group of clients with the same investment objectives above the investment interests of any other client or group of clients with the same or similar investment objectives. These measures help Pzena mitigate some of the conflicts that its management of private investment companies would otherwise present. Investment personnel of the firm or its affiliates may be permitted to be commercially or professionally involved with an issuer of securities. Any potential conflicts of interest from such involvement would be monitored for compliance with the firm's Code of Ethics.

**Compensation**

Pzena's compensation philosophy is designed to reward superior performers. As with all investment professionals at Pzena, Mr. Babkes, Mr. Flynn, Mr. Pzena, and Mr. Silver are compensated through a combination of base salary, discretionary bonus, and, as appropriate, equity ownership. All members of the investment team are considered analysts with certain individuals having portfolio management responsibilities.

**B-15**

------

Pzena's stated objective regarding compensation is that superior performers should expect to receive compensation (base salary and discretionary bonus) on the high end of market rates based on their role and experience as measured by one of the asset management industry's largest compensation surveys. Base pay is in line with industry averages and is complemented by a discretionary bonus based on a blend of quantitative and qualitative measures of the analysts' and portfolio managers' bodies of work. The quantitative measure reflects the scope of responsibilities and productivity (e.g., number of companies under coverage, number of new businesses researched). The qualitative measure reflects the quality of investment analysis and decision-making. Pzena's investment decision-making process is driven by their focus on the question, "Would we buy the entire business at the current price?" Thus, Pzena's long-term investment outcomes reflect whether they correctly identified the key drivers that influence a company's earnings power, and whether they omitted anything that "should" have been known. Pzena's focus in assessing the team is on the quality of the analysis and not on the stock price performance.

All of Pzena's long-tenured investment team members are equity owners. Pzena believes this aligns the long-term interests of their clients with that of the investment team. Consideration for ownership typically requires a period of employment of five years at the firm. Mr. Babkes, Mr. Flynn, Mr. Pzena, and Mr. Silver are equity owners of Pzena.

**B-16**

------

**Sustainable Growth Advisers, LP** 

**("SGA")**

**U.S. Global Leaders Growth Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio managers at the subadvisor who are jointly and primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund** | **Portfolio Managers** |
| U.S. Global Leaders Growth Fund | Tucker Brown, Hrishikesh Gupta, and Kishore Rao |

---

The following table provides information regarding other accounts for which each portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is each portfolio manager's investment in the fund and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Tucker Brown | 3 | $6886 | 11 | $1615 | 29 | $609 |
| Hrishikesh Gupta | 6 | $7493 | 23 | $8223 | 43 | $1644 |
| Kishore Rao | 7 | $7797 | 26 | $8429 | 44 | $1644 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| Tucker Brown | 0 | $0 | 0 | $0 | 0 | $0 |
| Hrishikesh Gupta | 0 | $0 | 0 | $0 | 0 | $0 |
| Kishore Rao | 0 | $0 | 0 | $0 | 0 | $0 |

---

**Ownership of the Funds and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. Each portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | |
|:---|:---|
| **Portfolio Manager** | **Dollar Range of Shares Owned**<sup>1</sup> <br>|
| Tucker Brown | $100001-$500000 |
| Hrishikesh Gupta | over $1,000,000 |
| Kishore Rao | over $1,000,000 |

---

**1**

As of October 31, 2025, Tucker Brown, Hrishikesh Gupta, and Kishore Rao beneficially owned $100,001–$500,000, over $1,000,000, and over $1,000,000, respectively, of the fund.

**Potential Conflicts of Interest**

When a portfolio manager is responsible for the management of more than one account, the potential arises for the portfolio manager to favor one account over another. The principal types of potential conflicts of interest that may arise are discussed below. For the reasons outlined below, the Fund

**B-17**

------

does not believe that any material conflicts are likely to arise out of a portfolio manager's responsibility for the management of the Fund as well as one or more other accounts. The subadvisor has adopted procedures that are intended to monitor compliance with the policies referred to in the following paragraphs. Generally, the risks of such conflicts of interests are increased to the extent that a portfolio manager has a financial incentive to favor one account over another. The subadvisor has structured its compensation arrangements in a manner that is intended to limit such potential for conflicts of interests, including by not using performance-based compensation that is tied to any specific account performance for any employee. See "Compensation" below.

● A portfolio manager could favor one account over another in allocating new investment opportunities that have limited supply, such as IPOs and private placements. If, for example, an IPO that was expected to appreciate in value significantly shortly after the offering was allocated to a single account, that account may be expected to have better investment performance than other accounts that did not receive an allocation on the IPO. The subadvisor has policies that require a portfolio manager to allocate such investment opportunities in an equitable manner and generally to allocate such investments proportionately among all accounts with similar investment objectives.

● A portfolio manager could favor one account over another in the order in which trades for the accounts are placed. If a portfolio manager determines to purchase a security for more than one account in an aggregate amount that may influence the market price of the security, accounts that purchased or sold the security first may receive a more favorable price than accounts that made subsequent transactions. The less liquid the market for the security or the greater the percentage that the proposed aggregate purchases or sales represent of average daily trading volume, the greater the potential for accounts that make subsequent purchases or sales to receive a less favorable price. When a portfolio manager intends to trade the same security for more than one account, the procedures of the subadvisor generally result in such trades being "bunched," which means that the trades for the individual accounts are aggregated and each account receives the same price. There are some types of accounts as to which bunching may not be possible for contractual reasons (such as directed brokerage arrangements). Circumstances also may arise where the trader believes that bunching the orders may not result in the best possible price. Where those accounts or circumstances are involved, the subadvisor will place the order in a manner intended to result in as favorable a price as possible for such client.

● A portfolio manager may favor an account if the portfolio manager's compensation is tied to the performance of that account rather than all accounts managed by the portfolio manager. If, for example, the portfolio manager receives a bonus based upon the performance of certain accounts relative to a benchmark while other accounts are disregarded for this purpose, the portfolio manager will have a financial incentive to seek to have the accounts that determine the portfolio manager's bonus achieve the best possible performance to the possible detriment of other accounts. Similarly, if the Advisor or the subadvisor receives a performance-based advisory fee, the portfolio manager may favor that account, whether or not the performance of that account directly determines the portfolio manager's compensation. The investment performance on specific accounts is not a factor in determining the portfolio manager's compensation. See "Compensation" below.

● A portfolio manager may favor an account if the portfolio manager has a beneficial interest in the account, in order to benefit a large client or to compensate a client that had poor returns. For example, if the portfolio manager held an interest in an investment partnership that was one of the accounts managed by the portfolio manager, the portfolio manager would have an economic incentive to favor the account in which the portfolio manager held an interest. The subadvisor imposes certain trading restrictions and reporting requirements for accounts in which a portfolio manager or certain family members have a personal interest in order to confirm that such accounts are not favored over other accounts.

● If the different accounts have materially and potentially conflicting investment objectives or strategies, a conflict of interest may arise. For example, where a portfolio manager is responsible for accounts with differing investment objectives and policies, it is possible that the portfolio manager will conclude that it is in the best interest of one account to sell a portfolio security while another account continues to hold or increase the holding in such security. While these accounts have many similarities, the investment performance of each account will be different due to differences in fees, expenses and cash flows.

**Compensation**

SGA has adopted a system of compensation for portfolio managers that seeks to align the financial interests of the investment professionals with those of SGA. The compensation of each of SGA's three principals/portfolio managers is based upon (i) a fixed base compensation and (ii) SGA's financial performance. SGA's compensation arrangements with its investment professionals are not determined on the basis of specific funds or accounts managed by the investment professional. All investment professionals receive customary benefits that are offered generally to all salaried employees of SGA. Additionally, most members of the investment team are equity owners in the firm and are entitled to their proportional participation in the firm's profits. A substantial portion of total compensation of staff members is expected to come from the equity participation in SGA.

**Incentive Compensation.** SGA retains for the benefit of its partners and employees almost 35% of its profits through continued direct equity ownership of the firm as well as an additional participation in the profitability of the firm through an incremental equity-like incentive program referred to as "Performance Shares" that is linked directly to client long-term success. The Performance Shares plan is funded by 17.5% of the profits of the firm and is distributed internally in an equity-like manner based on long-term, individual contribution to client success. The allocation of this Performance Shares payment is determined annually by SGA's three Executive Committee members.

The Performance Shares (i.e. allocation of 17.5% of the profits of the firm) is paid 80% in cash and the remaining 20% is deferred over a three year period.

**Deferred Compensation.** In addition to the existing partnership equity interests noted above, SGA employees are able to earn the right to acquire additional shares in the company.

**Other Compensation.** SGA partners and employees receive a comprehensive benefits package including an annual contribution to a tax-deferred retirement account.

**B-18**

------

**Wellington Management Company LLP** 

**("Wellington Management")**

**Infrastructure Fund**

**Portfolio Managers and Other Accounts Managed**

The following table shows the portfolio manager at the subadvisor who is primarily responsible for the day-to-day management of the stated fund's portfolio.

---

| | |
|:---|:---|
| **Fund Managed** | **Portfolio Managers** |
| Infrastructure Fund | G. Thomas Levering |

---

The following table provides information regarding other accounts for which the portfolio manager listed above has day-to-day management responsibilities. Accounts are grouped into three categories: (i) other investment companies (and series thereof); (ii) other pooled investment vehicles; and (iii) other accounts. To the extent that any of these accounts pay advisory fees that are based on account performance ("performance-based fees"), information on those accounts is specifically broken out. In addition, any assets denominated in foreign currencies have been converted into U.S. dollars using the exchange rates as of the applicable date. Also shown below the table is the portfolio manager's investment in the fund and similarly managed accounts.

The following table provides information as of October 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| G. Thomas Levering | 19 | $7238.89 | 44 | $3866.90 | 69 | $689.40 |

---

***Performance-Based Fees for Other Accounts Managed.*** Of the accounts listed in the table above, those for which the subadvisor receives a fee based on investment performance are listed in the table below.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Registered Investment**<br> **Companies** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | &nbsp;&nbsp;&nbsp; **Other Pooled Investment**<br> **Vehicles** | **Other Accounts** | **Other Accounts** |
| **Portfolio Manager** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** | &nbsp;&nbsp;&nbsp; **Number of**<br> **Accounts**<br>| **Assets (in millions)** |
| G. Thomas Levering | 3 | $6520.64 | 16 | $2954.94 | 9 | $182.50 |

---

**Ownership of the Fund and Similarly Managed Accounts**

The following table shows the dollar range of fund shares and shares of similarly managed accounts beneficially owned by the portfolio managers listed above as of October 31, 2025. For purposes of this table, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio manager that is primarily responsible for the day-to-day management of the fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the fund. The portfolio manager's ownership of fund shares is stated in the footnote(s) below the table.

---

| | | |
|:---|:---|:---|
| **Fund** | **Portfolio Manager** | **Dollar Range of Shares Owned** |
| Infrastructure Fund<sup>1</sup> <br>| G. Thomas Levering | over $1,000,000 |

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**1**

As of October 31, 2025, G. Thomas Levering beneficially owned over $1,000,000 of the fund.

**Potential Conflicts of Interest**

Individual investment professionals at Wellington Management manage multiple accounts for multiple clients. These accounts may include mutual funds, separate accounts (assets managed on behalf of institutions such as pension funds, insurance companies, foundations, or separately managed account programs sponsored by financial intermediaries), bank common trust accounts, and hedge funds. Each fund's managers listed in the prospectus who are primarily responsible for the day-to-day management of the funds ("Investment Professionals") generally manage accounts in several different investment styles. These accounts may have investment objectives, strategies, time horizons, tax considerations and risk profiles that differ from those of the relevant fund. The Investment Professionals make investment decisions for each account, including the relevant fund, based on the investment objectives, policies, practices, benchmarks, cash flows, tax and other relevant investment considerations applicable to that account. Consequently, the Investment Professionals may purchase or sell securities, including IPOs, for one account and not another account, and the performance of securities purchased for one account may vary from the performance of securities purchased for other accounts. Alternatively, these

**B-19**

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accounts may be managed in a similar fashion to the relevant fund and thus the accounts may have similar, and in some cases nearly identical, objectives, strategies and/or holdings to that of the relevant fund.

Wellington Management's goal is to meet its fiduciary obligation to treat all clients fairly and provide high quality investment services to all of its clients. Wellington Management has adopted and implemented policies and procedures, including brokerage and trade allocation policies and procedures, which it believes address the conflicts associated with managing multiple accounts for multiple clients. In addition, Wellington Management monitors a variety of areas, including compliance with primary account guidelines, the allocation of IPOs, and compliance with the firm's Code of Ethics, and places additional investment restrictions on investment professionals who manage hedge funds and certain other accounts. Furthermore, senior investment and business personnel at Wellington Management periodically review the performance of Wellington Management's investment professionals. Although Wellington Management does not track the time an investment professional spends on a single account, Wellington Management does periodically assess whether an investment professional has adequate time and resources to effectively manage the investment professional's various client mandates.

**Compensation**

Wellington Management receives a fee based on the assets under management of the funds as set forth in an Investment Subadvisory Agreement between Wellington Management and the Advisor with respect to each fund. Wellington Management pays its investment professionals out of its total revenues, including the advisory fees earned with respect to each fund. The following information relates to the fiscal year ended October 31, 2025.

Wellington Management's compensation structure is designed to attract and retain high-caliber investment professionals necessary to deliver high quality investment management services to its clients. Wellington Management's compensation of each fund's managers listed in the prospectus who are primarily responsible for the day-to-day management of the funds ("Investment Professionals") includes a base salary and incentive components. The base salary for each Investment Professional who is a partner (a "Partner") of Wellington Management Group LLP, the ultimate holding company of Wellington Management, is generally a fixed amount that is determined by the managing partners of Wellington Management Group LLP. The base salary for each other Investment Professional is determined by the Investment Professionals' experience and performance in their role as an Investment Professional. Base salaries for Wellington Management's employees are reviewed annually and may be adjusted based on the recommendation of an Investment Professional's manager, using guidelines established by Wellington Management's Compensation Committee, which has final oversight responsibility for base salaries of employees of the firm. Each Investment Professional's incentive payment relating to the relevant fund, is linked to the gross pre-tax performance of the portion of the fund managed by the Investment Professional over one, three, and five year periods, with an emphasis on five year results. Wellington Management applies similar incentive compensation structures (although the benchmarks or peer groups, time periods and rates may differ) to other accounts managed by these Investment Professionals, including accounts with performance fees.

Portfolio-based incentives across all accounts managed by an investment professional can, and typically do, represent a significant portion of an investment professional's overall compensation; incentive compensation varies significantly by individual and can vary significantly from year to year. The Investment Professionals may also be eligible for bonus payments based on their overall contribution to Wellington Management's business operations. Senior management at Wellington Management may reward individuals as it deems appropriate based on other factors. Each Partner is eligible to participate in a Partner-funded tax qualified retirement plan, the contributions to which are made pursuant to an actuarial formula. Mr. Levering is a Partner.

**B-20**

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**Appendix C – Proxy Voting Policies and Procedures**

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The Trust Procedures and the proxy voting procedures of the Advisor and the subadvisors are set forth in Appendix C.

**C-1**

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![LOGO](g466944dsp001a.jpg)

#### 07H: Proxy Voting Procedures
General Compliance Policies for Trust & Adviser

Section 7: Disclosures, Filings, and Reporting

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| | |
|:---|:---|
| Applies to | Trust |
| Risk Theme | Proxy Voting |
| Policy Owner | Jim Interrante |
| Effective Date | 08-20-2024 |

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07H. Proxy Voting Procedures

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#### Overview
Each fund of the Trust or any other registered investment company (or series thereof) (each, a "fund") is required to disclose its proxy voting policies and procedures in its registration statement and, pursuant to Rule 30b1-4 under the 1940 Act, file annually with the Securities and Exchange Commission and make available to shareholders its actual proxy voting record.

#### Investment Company Act
An investment company is required to disclose in its SAI either (a) a summary of the policies and procedures that it uses to determine how to vote proxies relating to portfolio securities or (b) a copy of its proxy voting policies.

A fund is also required by Rule 30b1-4 of the Investment Company Act of 1940 to file Form N-PX annually with the SEC, which contains a record of how the fund voted proxies relating to portfolio securities. For each matter relating to a portfolio security considered at any shareholder meeting, Form N-PX is required to include, among other information, the name of the issuer of the security, a brief identification of the matter voted on, whether and how the fund cast its vote, and whether such vote was for or against management. In addition, a fund is required to disclose in its SAI and its annual and semi-annual reports to shareholders that such voting record may be obtained by shareholders, either by calling a toll-free number , through the fund's website, or on the Securities and Exchange Commission's website at <u>www.sec.gov</u>.

#### Advisers Act
Under Advisers Act Rule 206(4)-6, investment advisers are required to adopt proxy voting policies and procedures, and investment companies typically rely on the policies of their advisers or sub-advisers.

#### Policy
The Majority of the Independent Board of Trustees (the "Board") of each registered investment company of the Trusts, has adopted these proxy voting policies and procedures (the "Trust Proxy Policy").

It is the Advisers' policy to comply with Rule 206(4)-6 of the Advisers Act and Rule 30b1-4 of the 1940 Act as described above. In general, Advisers defer proxy voting decisions to the sub-advisers managing the Funds. It is the policy of the Trusts to delegate the responsibility for voting proxies relating to portfolio securities held by a Fund to the Fund's respective Adviser or, if the Fund's Adviser has delegated portfolio management responsibilities to one or more investment sub-adviser(s), to the fund's sub-adviser(s), subject to the Board's continued oversight. The sub-adviser for each Fund shall vote all proxies relating to securities held by each Fund and in that connection, and subject to any further policies and procedures contained herein, shall use proxy voting policies and procedures adopted by each sub-adviser in conformance with Rule 206(4)-6 under the Advisers Act.

If an instance occurs where a conflict of interest arises between the shareholders and the designated sub-adviser, however, Advisers retain the right to influence and/or direct the conflicting proxy voting decisions in the best interest of shareholders.

#### Delegation of Proxy Voting Responsibilities
It is the policy of the Trust to delegate the responsibility for voting proxies relating to portfolio securities held by a fund to the fund's investment adviser ("adviser") or, if the fund's adviser has delegated portfolio management responsibilities to one or more investment sub-adviser(s), to the fund's sub-adviser(s), subject to the Board's continued oversight. The sub-adviser for each fund shall vote all proxies relating to securities held by each fund and in that connection, and subject to any further policies and procedures contained herein, shall use proxy voting policies and procedures adopted by each sub-adviser in conformance with Rule 206(4)-6 under the Investment Advisers Act of 1940, as amended (the "Advisers Act").

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07H. Proxy Voting Procedures

Except as noted below under Material Conflicts of Interest, the Trust Proxy Policy with respect to a Fund shall incorporate that adopted by the Fund's sub-adviser with respect to voting proxies held by its clients (the "Sub-adviser Proxy Policy"). Each Sub-adviser Policy, as it may be amended from time to time, is hereby incorporated by reference into the Trust Proxy Policy. Each sub-adviser to a Fund is directed to comply with these policies and procedures in voting proxies relating to portfolio securities held by a fund, subject to oversight by the Fund's adviser and by the Board. Each Adviser to a Fund retains the responsibility, and is directed, to oversee each sub-adviser's compliance with these policies and procedures, and to adopt and implement such additional policies and procedures as it deems necessary or appropriate to discharge its oversight responsibility. Additionally, the Trust's Chief Compliance Officer ("CCO") shall conduct such monitoring and supervisory activities as the CCO or the Board deems necessary or appropriate in order to appropriately discharge the CCO's role in overseeing the sub-advisers' compliance with these policies and procedures.

The delegation by the Board of the authority to vote proxies relating to portfolio securities of the funds is entirely voluntary and may be revoked by the Board, in whole or in part, at any time.

#### Voting Proxies of Underlying Funds of a Fund of Funds
A. <u>Where the Fund of Funds is not the Sole Shareholder of the Underlying Fund</u> 

With respect to voting proxies relating to the shares of an underlying fund (an "Underlying Fund") held by a Fund of the Trust operating as a fund of funds (a "Fund of Funds") in reliance on Section 12(d)(1)(G) of the 1940 Act where the Underlying Fund has shareholders other than the Fund of Funds which are not other Fund of Funds, the Fund of Funds will vote proxies relating to shares of the Underlying Fund in the same proportion as the vote of all other holders of such Underlying Fund shares.

B. <u>Where the Fund of Funds is the Sole Shareholder of the Underlying Fund</u> 

In the event that one or more Funds of Funds are the sole shareholders of an Underlying Fund, the Adviser to the Fund of Funds or the Trusts will vote proxies relating to the shares of the Underlying Fund as set forth below unless the Board elects to have the Fund of Funds seek voting instructions from the shareholders of the Funds of Funds in which case the Fund of Funds will vote proxies relating to shares of the Underlying Fund in the same proportion as the instructions timely received from such shareholders.

1. <u>Where Both the Underlying Fund and the Fund of Funds are Voting on Substantially Identical Proposals</u> 

In the event that the Underlying Fund and the Fund of Funds are voting on substantially identical proposals (the "Substantially Identical Proposal"), then the Adviser or the Fund of Funds will vote proxies relating to shares of the Underlying Fund in the same proportion as the vote of the shareholders of the Fund of Funds on the Substantially Identical Proposal.

2. <u>Where the Underlying Fund is Voting on a Proposal that is Not Being Voted on by the Fund of Funds</u> 

(a) <u>Where there is No Material Conflict of Interest Between the Interests of the Shareholders of the Underlying Fund and the Adviser Relating to the Proposal</u> 

In the event that the Fund of Funds is voting on a proposal of the Underlying Fund and the Fund of Funds is not also voting on a substantially identical proposal and there is no material conflict of interest between the interests of the shareholders of the Underlying Fund and the Adviser relating to the Proposal, then the Adviser will vote proxies relating to the shares of the Underlying Fund pursuant to its Proxy Voting Procedures.

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(b) <u>Where there is a Material Conflict of Interest Between the Interests of the Shareholders of the Underlying Fund and the Adviser Relating to the Proposal</u> 

In the event that the Fund of Funds is voting on a proposal of the Underlying Fund and the Fund of Funds is not also voting on a substantially identical proposal and there is a material conflict of interest between the interests of the shareholders of the Underlying Fund and the Adviser relating to the Proposal, then the Fund of Funds will seek voting instructions from the shareholders of the Fund of Funds on the proposal and will vote proxies relating to shares of the Underlying Fund in the same proportion as the instructions timely received from such shareholders. A material conflict is generally defined as a proposal involving a matter in which the Adviser or one of its affiliates has a material economic interest.

#### Material Conflicts of Interest
If (1) a sub-adviser to a Fund becomes aware that a vote presents a material conflict between the interests of (a) shareholders of the Fund; and (b) the Fund's Adviser, sub-adviser, principal underwriter, or any of their affiliated persons, and (2) the sub-adviser does not propose to vote on the particular issue in the manner prescribed by its Sub-adviser Proxy Policy or the material conflict of interest procedures set forth in its Sub-adviser Proxy Policy are otherwise triggered, then the sub-adviser will follow the material conflict of interest procedures set forth in its Sub-adviser Proxy Policy when voting such proxies.

If a Sub-adviser Proxy Policy provides that in the case of a material conflict of interest between Fund shareholders and another party, the sub-adviser will ask the Board to provide voting instructions, the sub-adviser shall vote the proxies, in its discretion, as recommended by an independent third party, in the manner prescribed by its Sub-adviser Proxy Policy or abstain from voting the proxies.

#### Proxy Voting Committee(s)
The Advisers will from time to time, and on such temporary or longer-term basis as they deem appropriate, establish one or more Proxy Voting Committees. A Proxy Voting Committee shall include the Advisers' CCO and may include legal counsel. The terms of reference and the procedures under which a Proxy Voting Committee will operate will be reviewed from time to time by the Legal and Compliance Department. Records of the deliberations and proxy voting recommendations of a Proxy Voting Committee will be maintained in accordance with applicable law, if any, and these Proxy Procedures. Requested shareholder proposals or other Shareholder Advocacy in the name of a Fund must be submitted for consideration pursuant to the Shareholder Advocacy Policy and Procedures.

#### Securities Lending Program
Certain of the Funds participate in a securities lending program with the Trusts through an agent lender. When a Fund's securities are out on loan, they are transferred into the borrower's name and are voted by the borrower, in its discretion. Where a sub-adviser determines, however, that a proxy vote (or other shareholder action) is materially important to the client's account, the sub-adviser should request that the agent recall the security prior to the record date to allow the sub-adviser to vote the securities.

#### Disclosure of Proxy Voting Policies and Procedures in the Trust's Statement of Additional Information ("SAI")
The Trust shall include in its SAI a summary of the Trust Proxy Policy and of the Sub-adviser Proxy Policy included therein. (In lieu of including a summary of these policies and procedures, the Trust may include each full Trust Proxy Policy and Sub-adviser Proxy Policy in the SAI.)

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07H. Proxy Voting Procedures

#### Disclosure of Proxy Voting Policies and Procedures in Annual and Semi-Annual Shareholder Reports
The Trusts shall disclose in annual and semi-annual shareholder reports that a description of the Trust Proxy Policy, including the Sub-adviser Proxy Policy, and the Trusts' proxy voting record for the most recent 12 months ended June 30 are available on the Securities and Exchange Commission's ("SEC") website, and without charge, upon request, by calling a specified toll-free telephone number. The Trusts will send these documents within three business days of receipt of a request, by first-class mail or other means designed to ensure equally prompt delivery. The Fund Administration Department is responsible for preparing appropriate disclosure regarding proxy voting for inclusion in shareholder reports and distributing reports. The Legal Department supporting the Trusts is responsible for reviewing such disclosure once it is prepared by the Fund Administration Department.

#### Filing of Proxy Voting Record on Form N-PX
The Trusts will annually file their complete proxy voting record with the SEC on Form N-PX. The Form N-PX shall be filed for the twelve months ended June 30 no later than August 31 of that year. The Fund Administration department, supported by the Legal Department supporting the Trusts, is responsible for the annual filing.

#### Regulatory Requirement
Rule 206(4)-6 of the Advisers Act and Rule 30b1-4 of the 1940 Act

#### Reporting
**Disclosures in SAI:** The Trusts shall disclose in annual and semi-annual shareholder reports that a description of the Trust Proxy Policy, including the Sub-adviser Proxy Policy, and the Trusts' proxy voting record for the most recent 12 months ended June 30.

**Form N-PX:** The proxy voting service will file Form N-PX for each twelve-month period ending on June 30. The filing must be submitted to the SEC on or before August 31 of each year.

#### Procedure

#### Review of Sub-advisers' Proxy Voting
The Trusts have delegated proxy voting authority with respect to Fund portfolio securities in accordance with the Trust Policy, as set forth above.

Consistent with this delegation, each sub-adviser is responsible for the following:

1. Implementing written policies and procedures, in compliance with Rule 206(4)-6 under the Advisers Act, reasonably designed to ensure that the sub-adviser votes portfolio securities in the best interest of shareholders of the Trusts.

2. Providing the Advisers with a copy and description of the Sub-adviser Proxy Policy prior to being approved by the Board as a sub-adviser, accompanied by a certification that represents that the Sub-adviser Proxy Policy has been adopted in conformance with Rule 206(4)-6 under the Advisers Act. Thereafter, providing the Advisers with notice of any amendment or revision to that Sub-adviser Proxy Policy or with a description thereof. The Advisers are required to report all material changes to a Sub-adviser Proxy Policy quarterly to the Board. The CCO's annual written compliance report to the Board will contain a summary of the material changes to each Sub-adviser Proxy Policy during the period covered by the report.

3. Providing the Adviser with a quarterly certification indicating that the sub-adviser did vote proxies of the funds and that the proxy votes were executed in a manner consistent with the Sub-adviser Proxy Policy. If the sub-adviser voted any proxies in a manner inconsistent with the Sub-adviser Proxy Policy, the sub-adviser will provide the Adviser with a report detailing the exceptions.

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#### Adviser Responsibilities
The Trusts have retained a proxy voting service to coordinate, collect, and maintain all proxy-related information, and to prepare and file the Trust's reports on Form N-PX with the SEC.

The Advisers, in accordance with their general oversight responsibilities, will periodically review the voting records maintained by the proxy voting service in accordance with the following procedures:

1. Receive a file with the proxy voting information directly from each sub-adviser on a quarterly basis.

2. Select a sample of proxy votes from the files submitted by the sub-advisers and compare them against the proxy voting service files for accuracy of the votes.

3. Deliver instructions to shareholders on how to access proxy voting information via the Trust's semi-annual and annual shareholder reports.

The Fund Administration Department, in conjunction with the Legal Department supporting the Trusts, is responsible for the foregoing procedures.

#### Proxy Voting Service Responsibilities
Proxy voting services retained by the Trusts are required to undertake the following procedures:

**•** **Aggregation of Votes:** 

The proxy voting service's proxy disclosure system will collect fund-specific and/or account-level voting records, including votes cast by multiple sub-advisers or third-party voting services.

**•** **Reporting:** 

The proxy voting service's proxy disclosure system will provide the following reporting features:

1. multiple report export options;

2. report customization by fund-account, portfolio manager, security, etc.; and

3. account details available for vote auditing.

**•** **Form N-PX Preparation and Filing:** 

The Advisers will be responsible for oversight and completion of the filing of the Trusts' reports on Form N-PX with the SEC. The proxy voting service will prepare the EDGAR version of Form N-PX and will submit it to the adviser for review and approval prior to filing with the SEC. The proxy voting service will file Form N-PX for each twelve-month period ending on June 30. The filing must be submitted to the SEC on or before August 31 of each year. The Fund Administration Department, in conjunction with the Legal Department supporting the Trusts, is responsible for the foregoing procedures.

The Fund Administration Department in conjunction with the CCO oversees compliance with this policy.

The Fund Administration Department maintains operating procedures affecting the administration and disclosure of the Trusts' proxy voting records.

The Trusts' Chief Legal Counsel is responsible for including in the Trusts' SAI information regarding the Advisers' and each sub-advisers proxy voting policies as required by applicable rules and form requirements.

#### Key Contacts
Investment Compliance

#### Escalation/Reporting Violations
All John Hancock employees are required to report any known or suspected violation of this policy to the CCO of the Funds.

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07H. Proxy Voting Procedures

#### Related Policies and Procedures
7B Registration Statements and Prospectuses

#### Document Retention Requirements
The Fund Administration Department and The CCO's Office is responsible for maintaining all documentation created in connection with this policy. Documents will be maintained for the period set forth in the Records Retention Schedule. See Compliance Policy: Books and Records.

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| | | |
|:---|:---|:---|
| **Version History** | **Version History** | **Version History** |
| Date | Effective Date | Approving Party |
|  1 | 01-01-2012 |  |
|  2 | 02-01-2015 |  |
|  3 | 09-01-2015 |  |
|  4 | 12-10-2019 |  |
|  5 | 08-20-2024 | CCO |

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![LOGO](g466944dsp01.jpg)

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#### Overview
The SEC adopted Rule 206(4)-6 under the Advisers Act, which requires investment advisers with voting authority to adopt and implement written policies and procedures that are reasonably designed to ensure that the investment adviser votes client securities in the best interest of clients. The procedures must include how the investment adviser addresses material conflicts that may arise between the interests of the investment adviser and those of its clients. The Advisers are registered investment advisers under the Advisers Act and serve as the investment advisers to the John Hancock Funds. The Advisers generally retain one or more sub-advisers to manage the assets of the Funds, including voting proxies with respect to a Fund's portfolio securities. From time to time, however, the Advisers may elect to manage directly the assets of a Fund, including voting proxies with respect to such Fund's portfolio securities, or a Fund's Board may otherwise delegate to the Advisers authority to vote such proxies. John Hancock Investment Management LLC ("JHIM") also provides discretionary and non-discretionary advice to clients using model portfolios in a variety of investment styles ("Model Portfolios"). However, JHIM does not vote proxies for securities held in any non-discretionary accounts managed using the Model Portfolios. Rule 206(4)-6 under the Advisers Act requires that a registered investment adviser adopt and implement written policies and procedures reasonably designed to ensure that it votes proxies with respect to a client's securities in the best interest of the client.

Investment companies must disclose information about the policies and procedures used to vote proxies on the investment company's portfolio securities and must file the fund's entire proxy voting record with the SEC annually on Form N-PX.

Advisers that are subject to the reporting requirements of Section 13(f) of the Securities Exchange Act of 1934 (the "Exchange Act") are required by Exchange Act Rule 14Ad-1 to file Form N-PX annually to report how they voted proxies regarding certain executive compensation matters (known as "say-on-pay" matters). However, an Adviser that has a disclosed policy of not voting proxies, and that did not in fact vote during the reporting period, must only complete a notice report filing on Form N-PX marking the appropriate box on the cover page to confirm these facts.

Pursuant thereto, the Advisers have adopted and implemented these proxy voting policies and procedures (the "Proxy Procedures").

#### Policy
It is the Advisers' policy to comply with Rule 206(4)-6 and Rule 204-2(c)(2) under the Advisers Act and Rule 14Ad-1 under the Exchange Act as described above. The Advisers' policy is to vote proxies in the best interests of its clients for whom it has proxy voting authority. In general, the Advisers delegate proxy voting decisions to the sub-advisers managing the funds. If an instance occurs where a conflict of interest arises between the shareholders and a particular sub-adviser, however, the Adviser retains the right to influence and/or direct the conflicting proxy voting decisions. The Advisers' Proxy Voting Committee oversees the resolution of proxy voting conflicts for its clients and fund shareholders.

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#### Filing of Proxy Voting Record on Form N-PX
The Advisers will annually file their proxy voting notice report with the SEC on Form N-PX. Form N-PX shall be filed for the twelve months ended June 30<sup>th</sup> and no later than August 31st of that year.

#### Regulatory Requirement
Rule 206(4)-6 under the Advisers Act and Rule 14Ad-1 under the Exchange Act

#### Reporting
Advisers will provide the John Hancock Funds Board with notice and a copy of any amendments or revisions to the Procedures and will report quarterly to the Funds Board all material changes to these Proxy Procedures.

The CCO's annual written compliance report to the Funds Board will contain a summary of material changes to the Proxy Procedures during the period covered by the report.

If the Advisers or the Designated Person vote any proxies for the Funds in a manner inconsistent with either these Proxy Procedures or a Fund's proxy voting policies and procedures, the CCO will provide the Funds Board with a report detailing such exceptions.

If the Advisers or the Designated Person vote any proxies for clients other than the Funds in a manner inconsistent with these Proxy Voting Procedures, the Adviser will provide its Board of Directors with a report detailing such exceptions.

JHIM will not intentionally disclose to anyone else, including other investors and/or officers and directors of an issuer in which an Advisers' clients invest, our voting intention prior to casting the vote.

JHIM engages a third-party proxy voting vendor to keep records of proxy voting available for inspection by Separately Managed Account ("SMA") sponsor clients, regulatory authorities, or government agencies.

#### Procedure

#### Fiduciary Duty
The Advisers have a fiduciary duty to vote proxies in the best interest of its clients, the Funds and its shareholders.

#### Voting of Proxies – Advisers of Funds
The Advisers will vote proxies with respect to a Fund's portfolio securities when authorized to do so by the Fund and subject to the Fund's proxy voting policies and procedures and any further direction or delegation of authority by the Fund's Board. The decision on how to vote a proxy will be made by the person(s) to whom the Advisers have from time to time delegated such responsibility (the "Designated Person"). The Designated Person may include the Fund's portfolio manager(s) or a Proxy Voting Committee, as described below.

When voting proxies with respect to a Fund's portfolio securities, the following standards will apply:

• The Designated Person will vote based on what it believes is in the best interest of the Fund and its shareholders and in accordance with the Fund's investment guidelines.

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• Each voting decision will be made independently. To assist with the analysis of voting issues and/or to carry out the actual voting process the Designated Person may enlist the services of (1) reputable professionals (who may include persons employed by or otherwise associated with the Advisers or any of its affiliated persons) or (2) independent proxy evaluation services such as Institutional Shareholder Services. However, the ultimate decision as to how to vote a proxy will remain the responsibility of the Designated Person.

• The Advisers believe that a good management team of a company will generally act in the best interests of the company. Therefore, the Designated Person will take into consideration as a key factor in voting proxies with respect to securities of a company that are held by the Fund the quality of the company's management. In general, the Designated Person will vote as recommended by company management except in situations where the Designated Person believes such recommended vote is not in the best interests of the Fund and its shareholders.

• As a general principle, voting with respect to the same portfolio securities held by more than one Fund should be consistent among those Funds having substantially the same investment mandates.

• The Advisers will provide the Fund, from time to time in accordance with the Fund's proxy voting policies and procedures and any applicable laws and regulations, a record of the Advisers' voting of proxies with respect to the Fund's portfolio securities.

#### Voting Proxies of Underlying Funds of a Fund of Funds
The Advisers or the Designated Person will vote proxies with respect to the shares of a Fund that are held by another Fund that operates as a Fund of Funds") in the manner provided in the proxy voting policies and procedures of the Fund of Funds (including such policies and procedures relating to material conflicts of interest) or as otherwise directed by the board of trustees or directors of the Fund of Funds.

#### Voting of Proxies – SubAdvisers of Funds
In the case of proxies voted by a sub-adviser to a Fund pursuant to the Fund's proxy voting procedures, the Advisers will request the sub-adviser to certify to the Advisers that the sub-adviser has voted the Fund's proxies as required by the Fund's proxy voting policies and procedures and that such proxy votes were executed in a manner consistent with these Proxy Procedures and to provide the Advisers with a report detailing any instances where the sub-adviser voted any proxies in a manner inconsistent with the Fund's proxy voting policies and procedures. The CCO of the Advisers will then report to the Board on a quarterly basis regarding the sub-adviser certification and report to the Board any instance where the sub-adviser voted any proxies in a manner inconsistent with the Fund's proxy voting policies and procedures.

The Fund Administration Department maintains procedures affecting all administration functions for the mutual funds. These procedures detail the disclosure and administration of the Trust's proxy voting records.

The Trust's Chief Legal Counsel is responsible for including, in the SAI of each Trust, information about the proxy voting of the Advisers and each sub-adviser.

#### Voting Proxies of Model Portfolio Clients
When Model Portfolio clients have granted JHIM authority to vote securities in their account, we will vote in accordance with the following procedures. JHIM has deployed the services of a proxy voting services provider to ensure the timely casting of votes, and to provide relevant and timely proxy voting research to inform our voting decisions. Through this process, the proxy voting services provider populates initial recommended voting decisions that are aligned with the JHIM voting principles. These voting recommendations are then submitted, processed, and ultimately tabulated.

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JHIM also has an internal proxy voting committee ("committee") comprising senior managers from across JHIM. The committee meets on an as-needed basis to review, discuss, and provide prior written approval in instances where JHIM intends to cast a vote that is different than the recommendation of the proxy voting services provider or for "refer" items, which are items where the proxy voting service provider does not have a vote recommendation. These two instances are outlined in greater detail below.

JHIM may also engage with model providers as it pertains to votes being made related to securities held in strategies offered in partnership with each respective model provider. JHIM may elect to do this so as to incorporate as much information into JHIM's ultimate decision-making.

JHIM may refrain from voting a proxy where we have agreed with a client in advance to limit the situations in which we will execute votes. JHIM may also refrain from voting due to logistical considerations that may have a detrimental effect on our ability to vote. These issues may include, but are not limited to:

• Costs associated with voting the proxy exceed the expected benefits to clients;

• Underlying securities have been lent out pursuant to a client's securities lending program and have not been subject to recall;

• Short notice of a shareholder meeting;

• Requirements to vote proxies in person;

• Restrictions on a nonnational's ability to exercise votes, determined by local market regulation;

• Restrictions on the sale of securities in proximity to the shareholder meeting (i.e., share blocking);

• Requirements to provide local agents with power of attorney to facilitate the voting instructions (such proxies are voted on a best-efforts basis); or

• The inability of a client's custodian to forward and process proxies electronically.

As noted, if JHIM believes it is in their best interest or the best interest of a client to vote proxies in a manner inconsistent with the policy, they will submit new voting instructions to the Proxy Voting Committee in writing with rationale for the new instructions. The Committee will review the change and ensure that the rationale is sound. JHIM will execute the votes accordingly.

Additionally, on occasion, there may be proxy votes that are not within the research and recommendation coverage universe of the proxy voting service provider. JHIM employees responsible for the proxy votes will provide voting recommendations to the Proxy Voting Committee, and those items may be escalated to the Committee for review to ensure that the voting decision rationale is sound. JHIM will execute the votes accordingly.

#### Engagement of the proxy voting service provider
JHIM has contracted with a third-party proxy service provider to assist with the proxy voting process for it Model Portfolio clients. JHIM will instruct custodians of SMA sponsor client accounts to forward all proxy statements and materials received in respect of SMA sponsor client accounts to the proxy service provider.

JHIM has engaged its proxy voting service provider to:

• Research and make voting recommendations;

• Ensure proxies are voted and submitted in a timely manner;

• Provide alerts when issuers file additional materials related to proxy voting matters;

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• Perform other administrative functions of proxy voting;

• Maintain records of proxy statements and provide copies of such proxy statements promptly upon request;

• Maintain records of votes cast; and

• Provide recommendations with respect to proxy voting matters in general.

#### Material Conflicts of Interest
In carrying out its proxy voting responsibilities, the Advisers will monitor and resolve potential material conflicts ("Material Conflicts") between the interests of (a) a Fund or client and (b) the Advisers or any of its affiliated persons. Affiliates of the Advisers include Manulife Financial Corporation and its subsidiaries. Material Conflicts may arise, for example, if a proxy vote relates to matters involving any of these companies or other issuers in which the Advisers or any of their affiliates has a substantial equity or other interest. JHIM shall consider any of the following circumstances a potential material conflict of interest:

• JHIM has a business relationship or potential relationship with the issuer; or

• John Hancock Fund Trustee has a business relationship with the issuer.

In instances where a material conflict of interest has been identified, JHIM will process the proxy vote as a "Do Not Vote" in an effort to mitigate the conflict.

#### Proxy Voting Committee(s)
The Advisers will from time to time, and on such temporary or longer-term basis as they deem appropriate, establish one or more Proxy Voting Committees. A Proxy Voting Committee shall include the Advisers' CCO and may include legal counsel. The terms of reference and the procedures under which a Proxy Voting Committee will operate will be reviewed from time to time by the Legal and Compliance Department. Records of the deliberations and proxy voting recommendations of a Proxy Voting Committee will be maintained in accordance with applicable law, if any, and these Proxy Procedures.

#### Proxy voting service provider oversight
The Adviser is responsible for the proper oversight of any service providers hired to assist it in the proxy voting process. This oversight includes:

*Annual due diligence:* The Adviser's Vendor Management and Product Management teams conduct an annual due diligence review of the proxy voting research service provider. This oversight includes an evaluation of the service provider's industry reputation, points of risk, compliance with laws and regulations, and technology infrastructure. JHIM also reviews the provider's capabilities to meet JHIM's requirements, including reporting competencies; the adequacy and quality of the proxy advisory firm's staffing and personnel; the quality and accuracy of sources of data and information; the strength of policies and procedures that enable it to make proxy voting recommendations based on current and accurate information; and the strength of policies and procedures to address conflicts of interest of the service provider related to its voting recommendations. Observations and findings of note are shared with the Proxy Voting Committee and JHIM will engage ISS directly to address or resolve any areas of concern.

*Regular Updates:* JHIM also requests that the proxy voting research service provider deliver updates regarding any business changes that alter that firm's ability to provide independent proxy voting advice and services aligned with our policies.

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*Additional oversight in process:* JHIM has additional control mechanisms built into the proxy voting process to act as checks on the service provider and ensure that decisions are made in the best interest of our clients. These mechanisms include:

• *Sampling prepopulated votes:* Where we use a third-party research provider for either voting recommendations or voting execution (or both), we may assess prepopulated votes shown on the vendor's electronic voting platform to ensure alignment with the voting principles.

• *Decision scrutiny from the Proxy Voting Committee:* Where our voting policies and procedures do not address how to vote on a particular matter, or where the matter is highly contested or controversial (e.g.,proxy contests, "just vote no" campaigns, or in conflict of interest matters), review by the Proxy Voting Committee is necessary to ensure votes cast on behalf of its client are cast in the client's best interest.

#### Key Contacts
Global Manager Research

Proxy Voting Committee

#### Escalation/Reporting Violations
All John Hancock employees are required to report any known or suspected violation of this policy to the CCO of the Funds.

#### Related Policies and Procedures
Trust Proxy Voting Policy

#### Document Retention Requirements
The Advisers will retain (or arrange for the retention by a third party of) such records relating to proxy voting pursuant to these Proxy Procedures as may be required from time to time by applicable law and regulations, including the following:

1. These Proxy Procedures and all amendments hereto;

2. All proxy statements received regarding a SMA Sponsor or Fund portfolio securities;

3. Records of all votes cast on behalf of a Fund or SMA Sponsor;

4. Records of all Fund or SMA Sponsor requests for proxy voting information, including any written response by the Adviser to any (written or oral) Fund or SMA Sponsor for information on how the Adviser voted proxies on behalf of the requesting Fund or SMA Sponsor;

5. Any documents prepared by the Designated Person or a Proxy Voting Committee that were material to or memorialized the basis for a voting decision;

6. All records relating to communications with the Funds or SMA Sponsors regarding Conflicts; and

7. All minutes of meetings of Proxy Voting Committees.

Documents will be maintained for the period set forth in the Records Retention Schedule. See Compliance Policy: Books and Records.

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---

| | | |
|:---|:---|:---|
| **Version History** | **Version History** | **Version History** |
| Date | Effective Date | Approving Party |
| 1 | 01-01-2012 |  |
| 2 | 02-01-2015 |  |
| 3 | Sept. 2015 |  |
| 4 | 05-01-2017 |  |
| 5 | 12-01-2019 |  |
| 6 | 08-20-2024 | CCO |
| 7 | 06-30-2025 | Proxy Voting Committee |
| 8 | 01-08-2026 | Proxy Voting Committee |

---

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#### AXIOM INVESTORS, LLC
PROXY VOTING POLICIES AND GUIDELINES – Effective 08/31/23

**I.** **General Policies and Potential Conflicts of Interest** 

A. *General Policies* 

Axiom Investors, LLC ("Axiom") has adopted these proxy voting policies and guidelines (the "Policies") with respect to securities owned by clients for which Axiom serves as investment adviser and has the power to vote proxies. Rule 206(4)-6 under the Investment Advisers Act of 1940 (the "Advisers Act") requires investment advisers that have voting authority with respect to securities held in their clients' accounts to exercise a duty of care by monitoring corporate actions and voting proxies. To satisfy its duty of loyalty, an adviser must cast proxy votes in the best interests of its clients and not in a way that advances the adviser's interests above those of its clients. In addition to these SEC requirements governing registered investment advisers, our proxy voting policies reflect the long-standing fiduciary standards and responsibilities for ERISA accounts set out in Department of Labor Bulletin 94-2, 29 C.F.R. 2509.94-2 (July 29, 1994), as well as the 2019 SEC guidance regarding proxy voting.<sup>1</sup>

The Policies are designed to reasonably ensure that Axiom votes proxies in the best interest of clients for which it has voting authority, and describe how Axiom addresses material conflicts between its interests and those of its clients with respect to proxy voting. Under the Policies, Axiom will generally vote proxies by considering those factors that would affect the value of the securities held in clients' accounts.

As a general matter, Axiom considers, but is not required to adhere to, the proxy voting guidelines established by Institutional Shareholder Services Inc. ("ISS") when casting proxy votes on behalf of clients.

ISS is an independent third party that specializes in providing a variety of fiduciary-level proxy related services to institutional investment managers. ISS provides Axiom with in-depth research, voting recommendations, vote execution and recordkeeping. However, Axiom recognizes that there are certain types of proposals that may result in different voting positions being taken with respect to the different issuers. Some items that otherwise would be acceptable will be voted against the proponent when it is seeking extremely broad flexibility without offering adequate justification. In addition, Axiom generally votes consistently on the same matter when securities of an issuer are held by multiple client accounts. Axiom reviews proxy issues on a case-by-case basis, and there are instances when our judgment of the anticipated effect on the best interests of our clients may warrant exceptions to the policies on specific issues set forth in Section II.

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<sup>1</sup> Commission Guidance Regarding Proxy Voting Responsibilities of Investment Advisers, Release Nos. IA-5325; IC-33605 (Aug. 21, 2019); Commission Interpretation and Guidance Regarding Applicability of the Proxy Rules to Proxy Voting Advice, Release No. 34-86721 (Aug. 21, 2019).

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B. *Conflicts of Interest* 

Axiom is responsible for identifying potential conflicts of interest in the process of voting proxies on behalf of its clients. Examples of potential conflicts of interest include situations where Axiom or personnel of Axiom: (1) provide services to a company whose management is soliciting proxies; (2) have a material business relationship with a proponent of a proxy proposal and this business relationship may influence how the proxy vote is cast; or (3) have a business or personal relationship with participants in a proxy contest, corporate directors or candidates for directorships.

Axiom may address material conflicts between its interests and those of its advisory clients by using any of the following methods: (1) adopting a policy of disclosing the conflict to clients and obtaining their consent before voting; (2) basing the proxy vote on pre-determined voting guidelines if the application of the guidelines to the matter presented to clients involves minimal discretion on the part of Axiom; or (3) using the recommendations of an independent third party.

In the event that Axiom becomes aware of a conflict of interest between Axiom and ISS, Axiom will make an independent decision on how to vote, which may or may not be consistent with ISS guidelines. ISS will then execute the vote as directed by Axiom.

**II.** **Axiom's Policies on Specific Issues** 

A. *Management Proposals* 

Axiom will typically support ISS's recommendation on management proposals. However, in the event that Axiom decides to vote a proxy (or a particular proposal within a proxy) in a manner different from the ISS recommendation, Axiom will document the reasons supporting the decision.

B. *Shareholder Proposals* 

Axiom will typically support ISS's recommendation on shareholder proposals. However, in the event that Axiom decides to vote a proxy (or a particular proposal within a proxy) in a manner different from the ISS recommendation, Axiom will document the reasons supporting the decision.

C. *Deviation from ISS Guidelines* 

If ISS is (i) unable to complete or provide its research and analysis regarding a security on a timely basis, or (ii) Axiom determines that voting in accordance with ISS guidelines is not in the best interest of the client, Axiom will not vote in accordance with ISS guidelines. In such cases, Axiom will make an independent decision on how to vote, which may or may not be consistent with ISS guidelines. ISS will then execute the vote as directed by Axiom.

D. *Foreign Issuers – Share Blocking* 

In accordance with local law or business practices, many foreign companies prevent the sales of shares that have been voted for a certain period beginning prior to the shareholder meeting and ending on the day following the meeting ("share blocking"). Depending on the country in which a company is domiciled, the blocking period may begin a stated number of days prior to the meeting (e.g., one, three or five days) or on a date established by the company. While practices

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vary, in many countries the block period can be continued for a longer period if the shareholder meeting is adjourned and postponed to a later date. Similarly, practices vary widely as to the ability of a shareholder to have the "block" restriction lifted early (e.g., in some countries shares generally can be "unblocked" up to two days prior to the meeting whereas in other countries the removal of the block appears to be discretionary with the issuer's transfer agent). Due to these restrictions, Axiom must balance the benefits to its clients of voting proxies against the potentially serious portfolio management consequences of a reduced flexibility to sell the underlying shares at the most advantageous time. In many cases, the disadvantage of being unable to sell the stock regardless of changing conditions outweighs the advantages of voting at the shareholder meeting for routine items. Accordingly, Axiom generally will not vote those proxies in the absence of an unusual, highly material vote.

E. *Foreign Issuers – Beneficial Owner Meeting Attendance Requirement* 

Some foreign markets require the Beneficial Owner to attend a meeting in order to cast a vote. Accordingly, Axiom will generally not vote those proxies.

F. *Share Lending* 

At times, Axiom and/or ISS may not be able to vote proxies on behalf of clients when our clients

lend securities to third parties beyond our control.

**III.** **Procedures for Reviewing and Voting Proxies** 

A. *Procedures* 

Whenever possible proxy solicitations from securities held for client accounts who have delegated proxy voting responsibility to Axiom are sent directly by the client's custodian to Axiom's proxy voting vendor, ISS, Axiom will use its best judgment to vote proxies in the best interests of its clients and will typically follow the recommendations of ISS. In the event that Axiom decides to vote a proxy (or a particular proposal within a proxy) in a manner different from the ISS recommendation, Axiom will document the reasons supporting the decision.

Any proposal where Axiom has decided to vote differently than the ISS recommendation **and** it is determined a material conflict of interest exists between Axiom and its clients as a result of voting differently on such proposal, that proposal will be directed to the Chief Compliance Officer for consideration. The Chief Compliance Officer will recommend to the Chief Investment Officer and Portfolio Manager the appropriate voting response for such proposal by applying one of the methods identified in Section I.B. of the Policies. For each proposal for which a material conflict of interest exists **and** Axiom votes contrary to ISS, the Chief Compliance Officer shall prepare a memorandum (a "Material Conflict Memorandum"), to be kept with the record of the proxy vote, that identifies the material conflict of interest and the method used for determining how to vote on the proposal.

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B. *Amending Axiom's Policies on Specific Issues* 

Axiom will periodically review Axiom's Policies on Specific Issues to ensure that they contain appropriate guidance for determining how votes will be cast on a variety of matters and the underlying rationale for such determination.

C. *Supplemental Information of Issuers* 

In the event that Axiom becomes aware that an issuer intends to file or has filed with the SEC supplemental information in response to ISS' voting recommendation, whether or not Axiom received or intends to follow such recommendation, the Chief Compliance Officer will review such supplemental information. If Axiom has not yet executed the related proxy vote(s) or provided instructions to ISS, the Chief Compliance Officer will provide the supplemental information to the relevant Portfolio Manager(s). If Axiom has already executed the related proxy vote(s) or provided instructions to ISS, the Chief Compliance Officer will review the supplemental information and, if determined to be material to the related proxy vote(s), will provide the supplemental information to the relevant Portfolio Manager(s) in order to permit reconsideration of the related proxy vote(s). The Portfolio Manager shall communicate to the Chief Compliance Officer whether or not the previously provided voting instructions should be changed.

**IV.** **Proxy Voting Audit Procedures and Oversight of Third-Party Proxy Voting** 

When Axiom is voting in accordance with ISS guidelines, Axiom will review a sampling of the "pre-populated" votes on the ISS' electronic voting platform before ISS executes the vote. In instances of voting not in accordance with ISS guidelines, Axiom will itself "pre-populate" votes on the ISS' electronic voting platform before ISS executes the vote.

Periodically, a random sample of the proxies voted by ISS will be audited by Axiom to ensure ISS is voting in accordance with applicable ISS guidelines or consistent with Axiom's direction, as applicable, and in order to further evaluate whether Axiom's voting determinations were consistent with the Policies and in its clients' best interest.

Axiom will review, no less frequently than annually, ISS, (or any other third-party proxy voting service, as applicable) its policies and methodologies. This review will include, among others, the following topics and determinations:

• whether ISS has the capacity and competence to adequately analyze proxy issues, including the adequacy and quality of its staffing, personnel and/or technology and any material changes in the ISS staffing and technology since the last review;

• whether ISS has an effective process for seeking timely input from issuers and its clients with respect to its proxy voting policies, methodologies and peer group constructions;

• whether ISS engages with issuers, including its process for ensuring that it has complete and accurate information about the issuer and each particular matter, and ISS' process, if any, for investment advisers to access the issuers' views about ISS' voting recommendations;

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• whether Axiom has sufficient information on and understanding of ISS' methodologies and the factors underlying ISS' voting recommendations, including an understanding of how ISS obtains information relevant to its voting recommendations and how it engages with issuers and third parties;

• whether ISS is independent and can make recommendations in an impartial manner in the best interest of Axiom's clients. This analysis will include a review of (i) any ISS actual or potential conflicts known to Axiom, (ii) ISS' policies and procedures on identifying, disclosing and addressing conflicts of interest, and (iii) whether ISS is disclosing its actual or potential conflicts to Axiom in a timely, transparent and accessible manner;

• ISS' internal controls, including but not limited to a review of ISS' business continuity plan, methodologies with respect to implementing Axiom's voting instructions, proxy record keeping and internal and independent third-party audit certifications;

• the extent to which ISS has access to non-public information regarding how Axiom intends to vote a Client's securities and would be permitted to utilize this information in a manner that would not be in the best interest of Axiom's Clients (e.g., Axiom may consider the extent to which ISS would be permitted to share such information (including information on aggregated voting intentions of ISS' clients) with third parties);

• any factual errors, potential incompleteness, or potential methodological weaknesses in the ISS' analysis known to Axiom and whether such errors, incompleteness or weaknesses materially affected ISS' voting recommendations. Axiom will also access ISS' process for disclosure to Axiom and efforts to correct any such identified errors, incompleteness or weaknesses.

In connection with this oversight function, Axiom will ensue that ISS (or any other third-party proxy voting service, as applicable), is prepared to provide additional information to Axiom to assist it with gaining a better understanding of the services that the proxy advisory firm provides, as well as confirming that these services align with Axiom's own fiduciary duties. Further in connection with this oversight function, Axiom will obtain information about and possibly consider alternative service providers.

**V.** **Annual Review of Policies** 

Axiom will review, no less frequently than annually, the adequacy of the Policies and the effectiveness of the implementation and determination whether the Policies are reasonably designed to ensure that Axiom casts proxy votes on behalf of its clients in the best interest of such clients.

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**VI.** **Disclosure** 

Axiom will disclose in its Form ADV Part 2A that clients may contact Axiom in order to obtain information on how Axiom voted such client's proxies, and to request a copy of the Policies. If a client requests this information, the Axiom will prepare a written response to the client that lists, with respect to each voted proxy that the client has inquired: (i) the name of the issuer, (ii) the proposal voted upon and (iii) how Axiom voted the client's proxy. A summary of the Policies will be included in Axiom's Form ADV Part 2, which is delivered to all clients. The summary will be updated whenever the Policies are updated.

**VII.** **Recordkeeping and Client Reporting** 

In accordance with Rule 204-2 under the Advisers Act, Axiom shall retain the following documents for not less than five years from the end of the year in which the proxies were voted, the first two years in Axiom's office:

1. The Policies and any additional procedures created pursuant to the Policies;

2. a copy of each proxy statement Axiom receives regarding securities held on behalf of its clients, including any supplemental information an issuer files with the SEC that Axiom becomes aware of;

3. a record of each vote cast by Axiom on behalf of its clients;

5. a copy of each written request from a client, and response to the client, for information on how Axiom voted the client's proxies.

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#### BOSTON PARTNERS GLOBAL INVESTORS, INC.

#### Proxy Voting Policies and Procedures

#### July 2025
Boston Partners

One Beacon Street, 30<sup>th</sup> Floor

Boston, MA 02108—www.boston-partners.com

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#### PROXY VOTING POLICIES AND PROCEDURES
Boston Partners Global Investors, Inc. ("Boston Partners") is an investment adviser comprised of two divisions, Boston Partners and Weiss, Peck & Greer Partners ("WPG"). Boston Partners' Governance Committee (the "Committee") is comprised of representatives from portfolio management, securities analyst, portfolio research, quantitative research, investor relations, sustainability and engagement, and legal/compliance teams. The Committee is responsible for administering and overseeing Boston Partners' proxy voting process. The Committee makes decisions on proxy policy, establishes formal Boston Partners' Proxy Voting Policies (the "Proxy Voting Policies") and updates the Proxy Voting Policies as necessary, but no less frequently than annually. In addition, the Committee, in its sole discretion, delegates certain functions to internal departments and/or engages third-party vendors to assist in the proxy voting process. Finally, members of the Committee are responsible for evaluating and resolving conflicts of interest relating to Boston Partners' proxy voting process.

To assist Boston Partners in carrying out our responsibilities with respect to proxy activities, Boston Partners has engaged Institutional Shareholder Services Inc. ("ISS"), a third-party corporate governance research service, which is registered as an investment adviser. ISS receives all proxy-related materials for securities held in client accounts and votes the proposals in accordance with Boston Partners' Proxy Voting Policies. ISS assists Boston Partners with voting execution through an electronic vote management system that allows ISS to pre-populate and automatically submit votes in accordance with Boston Partners' Proxy Voting Policies. While Boston Partners may consider ISS's recommendations on proxy issues, Boston Partners bears ultimate responsibility for proxy voting decisions and can change votes via ISS' electronic voting platform at any time before a meeting's cut-off date. ISS also provides recordkeeping and vote-reporting services.

#### How Boston Partners Votes
For those clients who delegate proxy voting authority to Boston Partners, Boston Partners has full discretion over votes cast on behalf of clients. All proxy votes on behalf of clients are voted the same way; however, Boston Partners may refrain from voting proxies for certain clients in certain markets. These arrangements are outlined in respective client investment management agreements. Boston Partners may also refrain from voting proxies on behalf of clients when shares are out on loan; when share blocking is required to vote; where it is not possible to vote shares; where there are legal or operational difficulties; where Boston Partners believes the administrative burden and/ or associated cost exceeds the expected benefit to a client; or where not voting or abstaining produces the desired outcome.

Boston Partners meets with ISS at least annually to review ISS policy changes, themes, methodology, and to review the Proxy Voting Policies. The information is taken to the Committee to discuss and decide what changes, if any, need to be made to the Proxy Voting Policies for the upcoming year.

The Proxy Voting Policies provide standard positions on likely issues for the upcoming proxy season. In determining how proxies should be voted, including those proxies the Proxy Voting Policies do not address or where the Proxy Voting Policies' application is ambiguous, Boston Partners primarily focuses on maximizing the economic value of its clients' investments. This is accomplished through engagements with Boston Partners' analysts and issuers, as well as independent research conducted by Boston Partners' Sustainability and Engagement Team. In the case of social and political responsibility issues that, in its view, do not primarily involve financial considerations, it is Boston Partners' objective to support shareholder proposals that it believes promote good corporate citizenship. If Boston Partners believes that any research provided by ISS or other sources is incorrect, that research is ignored in the proxy voting decision, which is escalated to the Committee so that all relevant facts can be discussed, and a final vote determination can be made. Boston Partners is alerted to proposals that may require more detailed analysis via daily system generated refer notification emails. These emails prompt the Committee Secretary to call a Committee meeting to discuss the items in question.

Although Boston Partners has instructed ISS to vote in accordance with the Proxy Voting Policies, Boston Partners retains the right to deviate from the Proxy Voting Policies if, in its estimation, doing so would be in the best interest of clients.

#### Conflicts
Boston Partners believes clients are sufficiently insulated from any actual or perceived conflicts Boston Partners may encounter between its interests and those of its clients because Boston Partners votes proxies based on the predetermined Proxy Voting Policies. However, as noted, Boston Partners may deviate from the Proxy Voting Policies in certain circumstances, or the Proxy Voting Policies may not address certain proxy voting proposals. If a member of Boston Partners' research or portfolio management team recommends that Boston Partners vote a particular proxy proposal in a manner inconsistent with the Proxy Voting Policies or if the Proxy Voting

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Policies do not address a particular proposal, Boston Partners will adhere to certain procedures designed to ensure that the decision to vote the particular proxy proposal is based on the best interest of Boston Partners' clients. These procedures require the individual requesting a deviation from the Proxy Voting Policies to complete a Conflicts Questionnaire (the "Questionnaire") along with written documentation of the economic rationale supporting the request. The Questionnaire seeks to identify possible relationships with the parties involved in the proxy that may not be apparent. Based on the responses to the Questionnaire, the Committee (or a subset of the Committee) will determine whether it believes a material conflict of interest is present. If a material conflict of interest is found to exist, Boston Partners will vote in accordance with client instructions, seek the recommendation of an independent third-party or resolve the conflict in such other manner as Boston Partners believes is appropriate, including by making its own determination that a particular vote is, notwithstanding the conflict, in the best interest of clients.

#### Oversight
Meetings and upcoming votes are reviewed by the Committee Secretary with a focus on votes against management. Votes on behalf of Boston Partners' clients are reviewed and compared against ISS' recommendations. When auditing vote instructions, which Boston Partners does at least annually, ballots voted for a specified period are requested from ISS, and a sample of those meetings are reviewed by Boston Partners' Operations Team. The information is then forwarded to compliance/ the Committee Secretary for review. Any perceived exceptions are reviewed with ISS and an analysis of what the potential vote impact would have been is conducted. ISS' most recent SOC-1 indicates they have their own control and audit personnel and procedures, and a sample of ballots are randomly selected on a quarterly basis. ISS compares ballots to applicable vote instructions recorded in their database. Due diligence meetings with ISS are conducted periodically.

#### Disclosures
A copy of Boston Partners' Proxy Voting Policies and Procedures, as updated from time to time, as well as information regarding the voting of securities for a client account are available upon request from your Boston Partners relationship manager. A copy of Boston Partners' Proxy Voting Policies and Procedures are also available at https://www.boston-partners.com/. For general inquires, contact (617) 832-8154.

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#### Boston Partners Proxy Policy contains a General Policy as well as country specific Policies. The information

#### provided for each specific country cited should be viewed as supplemental to the General Policy

#### GENERAL POLICY

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| | |
|:---|:---|
| **I. The Board of Directors** | **1** |
| Voting on Director Nominees in Uncontested Elections | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Independence* | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Composition* | 1 |
| Attendance at Board and Committee Meetings | 1 |
| Overboarded Directors (Executive and Non-Executive) | 2 |
| Gender Diversity | 2 |
| Underrepresented Directors (U.S. Only) | 3 |
| More Candidates than Seats | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Responsiveness* | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Accountability* | 4 |
| Problematic Takeover Defenses/Governance Structure | 4 |
| Restrictions on Shareholders' Rights | 7 |
| Problematic Audit-Related Practices | 7 |
| Problematic Compensation Practices | 8 |
| Problematic Pledging of Company Stock | 8 |
| Climate Accountability | 9 |
| Governance Failures | 9 |
| Voting on Director Nominees in Contested Elections | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Vote-No Campaigns* | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Proxy Contests/Proxy Access — Voting for Director Nominees in Contested Elections* | 10 |
| Bundled and Unbundled Elections | 11 |
| Other Board-Related Proposals | 11 |
| Adopt Anti-Hedging/Pledging/Speculative Investments Policy | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Age/Term Limits* | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Board Size* | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Classification/Declassification of the Board* | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *CEO Succession Planning* | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Cumulative Voting* | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Director and Officer Indemnification and Liability Protection* | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Establish/Amend Nominee Qualifications* | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Establish Other Board Committee Proposals* | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Filling Vacancies/Removal of Directors* | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Independent Chair (Separate Chair/CEO)* | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Majority of Independent Directors/Establishment of Independent Committees* | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Majority Vote Standard for the Election of Directors* | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Proxy Access* | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Shareholder Engagement Policy (Shareholder Advisory Committee)* | 15 |

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| | |
|:---|:---|
| **II. Audit-Related** | **16** |
| Auditor Indemnification and Limitation of Liability | 16 |
| Auditor Ratification/Reelection | 16 |
| Appointment of Internal Statutory Auditors | 17 |
| Shareholder Proposals Limiting Non-Audit Services | 17 |
| Shareholder Proposals on Audit Firm Rotation | 17 |
| **III. Shareholder Rights and Defenses** | **18** |
| Shareholder Proposals | 18 |
| Advance Notice Requirements for Shareholder Proposals/Nominations | 18 |
| Amend By-laws without Shareholder Consent | 18 |
| Control Share Acquisition Provisions | 19 |
| Control Share Cash-Out Provisions | 19 |
| Disgorgement Provisions | 19 |
| Fair Price Provisions | 19 |
| Freeze-Out Provisions | 20 |
| Greenmail | 20 |
| Litigation Rights (including Exclusive Venue and Fee-Shifting By-law Provisions) (U.S. only) | 20 |
| Poison Pills (Shareholder Rights Plans) | 21 |
| Shareholder Proposals to Put Pill to a Vote and/or Adopt a Pill Policy | 21 |
| Management Proposals to Ratify a Poison Pill | 22 |
| Net Operating Losses Protective Amendments and Management Proposals to Ratify a Pill to Preserve NOLs | 22 |
| Proxy Voting Disclosure, Confidentiality, and Tabulation | 22 |
| Ratification Proposals: Management Proposals to Ratify Existing Charter or By-law Provisions | 23 |
| Reimbursing Proxy Solicitation Expenses | 23 |
| Reincorporation Proposals | 24 |
| Shareholder Ability to Act by Written Consent | 24 |
| Shareholder Ability to Call Special Meetings | 24 |
| Stakeholder Provisions | 24 |
| State Antitakeover Statutes | 24 |
| Supermajority Vote Requirements | 25 |
| **IV. Capital/ Restructuring** | **25** |
| Adjustments to Par Value of Common Stock | 25 |
| Shelf Registration Program | 25 |
| Common Stock Authorization/ Share Issuance Requests | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *General Authorization Requests* | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Specific Authorization Requests* | 26 |
| Reduction of Capital | 27 |
| Dual Class Structure | 27 |

---

------

---

| | |
|:---|:---|
| Issue Stock for Use with Rights Plan | 27 |
| Preemptive Rights | 27 |
| Preferred Stock Authorization | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *General Authorization Requests* | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Specific Authorization Requests* | 29 |
| Recapitalization Plans | 29 |
| Reverse Stock Splits | 29 |
| Share Repurchase Programs | 30 |
| Reissuance of Repurchased Shares | 31 |
| Stock Distributions: Splits and Dividends | 31 |
| Tracking Stock | 31 |
| Appraisal Rights | 31 |
| Asset Purchases | 31 |
| Asset Sales | 32 |
| Pledging of Assets for Debt | 32 |
| Increase in Borrowing Powers | 32 |
| Bundled Proposals | 32 |
| Conversion of Securities | 32 |
| Corporate Reorganization/Debt Restructuring/Prepackaged Bankruptcy Plans/Reverse Leveraged Buyouts/Wrap Plans | 33 |
| Formation of Holding Company | 33 |
| Going Private and Going Dark Transactions (LBOs and Minority Squeeze-outs) | 34 |
| Joint Ventures | 34 |
| Liquidations | 34 |
| Mergers and Acquisitions | 35 |
| Private Placements/Warrants/Convertible Debentures | 35 |
| Reorganization/Restructuring Plan (Bankruptcy) | 37 |
| Special Purpose Acquisition Corporations (SPACs) | 37 |
| Special Purpose Acquisition Corporations (SPACs) - Proposals for Extensions | 37 |
| Spin-offs | 38 |
| Value Maximization Shareholder Proposals | 38 |
| **V. Compensation** | **38** |
| Advisory Votes on Executive Compensation—Management Proposals (Management Say-on-Pay) | 38 |
| Primary Evaluation Factors for Executive Pay | 39 |
| Problematic Pay Practices | 40 |
| Problematic Pay Practices related to Non-Performance-Based Compensation Elements | 40 |
| Options Backdating | 40 |
| Frequency of Advisory Vote on Executive Compensation ("Say When on Pay") | 41 |
| Voting on Golden Parachutes in an Acquisition, Merger, Consolidation, or Proposed Sale | 41 |
| Equity-Based and Other Incentive Plans | 42 |

---

------

---

| | |
|:---|:---|
| *Further Information on certain EPSC Factors* | 43 |
| SVT | 43 |
| Egregious Factors | 44 |
| Other Compensation Plans | 45 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *401(k) Employee Benefit Plans* | 45 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Employee Stock Ownership Plans (ESOPs)* | 45 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Employee Stock Purchase Plans—Qualified Plans* | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Employee Stock Purchase Plans—Non-Qualified Plans* | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Option Exchange Programs/Repricing Options* | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Stock Plans in Lieu of Cash* | 47 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Transfer Stock Option (TSO) Programs* | 47 |
| Director Compensation | 48 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Non- Executive Directors* | 48 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Equity Plans for Non- Executive Directors* | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Non- Executive Director Retirement Plans* | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Shareholder Proposals on Compensation* | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Compensation Consultants—Disclosure of Board or Company's Utilization* | 50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Golden Coffins/Executive Death Benefits* | 50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Hold Equity Past Retirement or for a Significant Period of Time* | 50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Non-Deductible Compensation (U.S.)* | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Pay Disparity* | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Pay for Performance/Performance-Based Awards* | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Pay for Superior Performance* | 52 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Pre-Arranged Trading Plans (10b5-1 Plans)* | 52 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Prohibit Outside CEOs from Serving on Compensation Committees* | 53 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Recoupment of Incentive or Stock Compensation in Specified Circumstances* | 53 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Severance Agreements for Executives/Golden Parachutes* | 53 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Share Buyback Proposals* | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Supplemental Executive Retirement Plans (SERPs)* | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Tax Gross-Up Proposals* | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Termination of Employment Prior to Severance Payment/Eliminating Accelerated Vesting of Unvested Equity* | 54 |
| **VI. Routine/ Miscellaneous/ Operational** | **55** |
| Adjourn Meeting | 55 |
| Amend Quorum Requirements | 55 |
| Amend Minor By-laws | 55 |
| Change Company Name | 55 |
| Change Date, Time, or Location of Annual Meeting | 55 |
| Other Business | 56 |

---

------

---

| | |
|:---|:---|
| Management Supported Shareholder Proposals: Reporting | 56 |
| Allocation of Income | 56 |
| Stock (Scrip) Dividend Alternative | 56 |
| Amendments to Articles of Association (Bylaws), Board Policies, and Board Committees' Charters | 56 |
| Change in Company Fiscal Term | 56 |
| Lower Disclosure Threshold for Stock Ownership | 57 |
| Expansion of Business Activities | 57 |
| Related-Party Transactions | 57 |
| Charitable Donations | 57 |
| Virtual Meetings | 58 |
| Financial Results/Director and Statutory Reports | 58 |
| **VII. Social and Environmental** | **58** |
| Endorsement of Principles | 59 |
| Animal Welfare | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Animal Welfare Policies* | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Animal Testing* | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Animal Slaughter* | 59 |
| Consumer Issues | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Genetically Modified Ingredients* | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Reports on Potentially Controversial Business/Financial Practices* | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Pharmaceutical Pricing, Access to Medicines, and Prescription Drug Reimportation* | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Product Safety and Toxic/Hazardous Materials* | 61 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Tobacco-Related Proposals* | 61 |
| Climate Change | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Say on Climate (SoC) Management Proposals* | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Say on Climate (SoC) Shareholder Proposals* | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Climate Change/Greenhouse Gas (GHG) Emissions* | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Energy Efficiency* | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Renewable Energy* | 64 |
| Diversity | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Board Diversity* | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Equality of Opportunity* | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Gender Identity, Sexual Orientation, and Domestic Partner Benefits* | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Gender, Race/ Ethnicity Pay Gap* | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Racial Equity and/or Civil Rights Audit Guidelines* | 66 |
| Environment and Sustainability | 66 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Facility and Workplace Safety* | 66 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *General Environmental Proposals and Community Impact Assessments* | 66 |

---

------

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Hydraulic Fracturing* | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Operations in Protected Areas* | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Recycling* | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Sustainability Reporting* | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Water Issues* | 68 |
| General Corporate Issues | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Charitable Contributions* | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Data Security, Privacy, and Internet Issues* | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Environmental, Social, and Governance (ESG) Compensation-Related Proposals* | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Human Rights, Labor Issues, and International Operations* | 69 |
| Human Rights Proposals | 69 |
| Operations in High Risk Markets | 70 |
| Outsourcing/Offshoring | 70 |
| Weapons and Military Sales | 70 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Mandatory Arbitration* | 71 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Sexual Harassment* | 71 |
| Political Activities | 71 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Lobbying* | 71 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Political Contributions* | 71 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Political Ties* | 72 |
| **VIII. Mutual Fund Proxies** | **72** |
| Election of Directors | 72 |
| Converting Closed-end Fund to Open-end Fund | 73 |
| Proxy Contests | 73 |
| Investment Advisory Agreements | 73 |
| Approving New Classes or Series of Shares | 73 |
| Preferred Stock Proposals | 74 |
| 1940 Act Policies (U.S.) | 74 |
| Changing a Fundamental Restriction to a Nonfundamental Restriction | 74 |
| Change Fundamental Investment Objective to Nonfundamental | 74 |
| Name Change Proposals | 74 |
| Change in Fund's Subclassification | 74 |
| Business Development Companies—Authorization to Sell Shares of Common Stock at a Price below Net Asset Value | 75 |
| Disposition of Assets/Termination/Liquidation | 75 |
| Changes to the Charter Document | 75 |
| Changing the Domicile of a Fund | 76 |
| Authorizing the Board to Hire and Terminate Sub-advisers Without Shareholder Approval | 76 |
| Distribution Agreements | 76 |
| Master-Feeder Structure | 76 |

---

------

---

| | |
|:---|:---|
| Mergers | 76 |
| Closed End Funds-Unilateral Opt-in to Control Share Acquisition Statutes | 77 |
| Shareholder Proposals for Mutual Funds | 77 |
| Reimburse Shareholder for Expenses Incurred | 77 |
| Terminate the Investment Advisor | 77 |
| **AUSTRALIA AND NEW ZEALAND** | **AUSTRALIA AND NEW ZEALAND** |
| **I. General** | **78** |
| Constitutional Amendment | 78 |
| Renewal of "Proportional Takeover" Clause in Constitution | 78 |
| Significant Change in Activities | 78 |
| **II. Share Capital** | **79** |
| Non-Voting Shares | 79 |
| Reduction of Share Capital: Cash Consideration Payable to Shareholders | 80 |
| Reduction of Share Capital: Absorption of Losses | 80 |
| Buybacks/Repurchases | 80 |
| **III. Board of Directors** | **80** |
| Voting on Director Nominees in Uncontested Elections | 80 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Attendance (Australia)* | 80 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Independence (Australia)* | 81 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Combined Chair and CEO (Australia)* | 81 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Problematic Remuneration Practices (Australia)* | 82 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Shareholder Nominees* | 82 |
| Removal of Directors (New Zealand) | 82 |
| **IV. Remuneration** | **82** |
| Remuneration Report (Australia) | 82 |
| Remuneration of Executive Directors: Share Incentive Schemes (Australia) | 84 |
| Remuneration of Executives: Options and Other Long-Term Incentives | 84 |
| Non-Executive Director Perks/Fringe Benefits (Australia) | 86 |
| Remuneration of Non-Executive Directors: Increase in Aggregate Fee Cap | 87 |
| Remuneration of Non-Executive Directors: Issue of Options (New Zealand) | 87 |
| Remuneration of Non-Executive Directors: Approval of Share Plan | 87 |
| Transparency of CEO Incentives (New Zealand) | 88 |
| Shareholder Resolutions (New Zealand) | 88 |

---

------

---

| | |
|:---|:---|
| **BRAZIL** | **BRAZIL** |
| **I. Board of Directors** | **89** |
| Minimum Independent Levels | 89 |
| Election of Minority Nominees (Separate Election) | 89 |
| Installation of Fiscal Council | 90 |
| Combined Chairman/CEO | 90 |
| Board Structure | 90 |
| **II. Capital Structure** | **90** |
| Share Repurchase Plans | 90 |
| **III. Compensation** | **91** |
| Management Compensation | 91 |
| Compensation Plans | 91 |
| **IV. Other** | **92** |
| Items Antitakeover Mechanisms | 92 |
| **CANADA: TSX- LISTED AND VENTURE LISTED COMPANIES** | **CANADA: TSX- LISTED AND VENTURE LISTED COMPANIES** |
| **I. Board of Directors** | **93** |
| Director Elections | 93 |
| Gender Diversity | 93 |
| Audit Fee Disclosure | 94 |
| Director Attendance | 94 |
| Board Responsiveness | 94 |
| Unilateral Adoption of an Advance Notice Provision | 94 |
| Externally-Managed Issuers (EMIs) | 95 |
| Proxy Access | 95 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Proxy Contests – Voting for Director Nominees in Contested Elections* | 95 |
| **II. Shareholder Rights & Defenses** | **96** |
| Advance Notice Requirements | 96 |
| Enhanced Shareholder Meeting Quorum for Contested Director Elections | 97 |
| Appointment of Additional Directors Between Annual Meetings | 97 |
| Article/By-law Amendments | 97 |
| Confidential Voting | 98 |
| Poison Pills (Shareholder Rights Plans) | 98 |
| Exclusive Forum Proposals | 99 |
| **III. Capital/ Restructuring** | **99** |
| Increases in Authorized Capital | 99 |
| Private Placement Issuances | 99 |
| Blank Check Preferred Stock | 100 |
| Dual-class Stock | 100 |
| Escrow Agreements | 101 |
| **IV. Compensation** | **101** |
| Pay for Performance Evaluation | 101 |
| *Step I: Quantitative Screen* | 101 |

---

------

---

| | |
|:---|:---|
| Relative | 101 |
| Absolute | 101 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Step II: Qualitative Analysis* | 102 |
| Problematic Pay Practices | 102 |
| Equity-Based Compensation Plans | 103 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Plan Cost* | 105 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Overriding Negative Factors* | 105 |
| Plan Amendment Provisions | 105 |
| Non- Executive Director (NED) Participation | 105 |
| Limited Participation | 105 |
| Individual Grants | 106 |
| Employee Stock Purchase Plans (ESPPs, ESOPs) | 106 |
| Management Deferred Share Unit (DSU) Plans | 106 |
| Non- Executive Director (NED) Deferred Share Unit (DSU) Plans | 107 |
| Problematic Director Compensation Practices | 108 |
| Shareholder Proposals on Compensation | 108 |
| Shareholder Advisory Vote Proposals | 108 |
| Supplemental Executive Retirement Plan (SERP) Proposals | 109 |
| **CHINA AND HONG KONG** | **CHINA AND HONG KONG** |
| **I. Board of Directors** | **110** |
| Voting for Director Nominees in Uncontested Elections (Hong Kong) | 110 |
| *Independence and Composition* | 110 |
| **II. Remuneration** | **111** |
| Director Remuneration | 111 |
| Equity-based Compensation | 111 |
| Employee Stock Purchase Plans | 112 |
| **III. Capital Raising** | **112** |
| Share Issuance Requests | 112 |
| Share Repurchase Plans (Repurchase Mandate) (Hong Kong) | 113 |
| Reissuance of Shares Repurchased (Share Reissuance Mandate) (Hong Kong) | 113 |
| A-share Private Placement Issuance Requests (Hong Kong) | 113 |
| Adjustments of Conversion Price of Outstanding Convertible Bonds | 113 |
| Debt Issuance Request/Increase in Borrowing Powers | 113 |
| Provision of Guarantees/ Loan Guarantee Requests | 114 |
| **IV. Amendments to Articles of Association/ Company By-laws** | **114** |
| Communist Party Committee | 114 |
| Other Article of Association/By-law Amendments | 115 |

---

------

---

| | |
|:---|:---|
| **V. Related Party Transactions** | **115** |
| Loan Financing Requests | 115 |
| Group Finance Companies | 115 |
| **VI. Proposals to Invest in Financial Products Using Idle Funds** | **116** |
| **CONTINENTAL EUROPE** | **CONTINENTAL EUROPE** |
| **I. Operational Items** | **116** |
| Appointment of Auditors and Auditor Fees | 116 |
| Approval of Non-financial Information Statement/ Report | 117 |
| **II. Director Elections** | **117** |
| Non-Contested Director Elections | 117 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Director Terms* | 117 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Bundling of Proposals to Elect Directors* | 117 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Board Independence* | 117 |
| Widely-held Controlled Companies and Non widely-held Companies | 117 |
| Widely-held Non-controlled Companies | 118 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Disclosure of Names of Nominees* | 118 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Election of a Former CEO as Chairman of the Board* | 118 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Voto di Lista (Italy)* | 118 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *One Board Seat per Director* | 118 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Composition of Committees* | 118 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Election of Censors (France)* | 119 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Board Gender Diversity* | 120 |
| Committee of Representatives and Corporate Assembly Elections (Denmark and Norway) | 120 |
| **III. Capital Structure** | **120** |
| Share Issuance Requests | 120 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *General Issuances* | 120 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *For French Companies* | 121 |
| Increases in Authorized Capital | 121 |
| **IV. Compensation** | **121** |
| Executive Compensation-related Proposals | 121 |
| Non-Executive Director Compensation | 123 |
| Equity-based Compensation Guidelines | 124 |
| Compensation-Related Voting Sanctions | 124 |
| Stock Option Plans – Adjustment for Dividend (Nordic Region) | 124 |
| Share Matching Plans (Sweden and Norway) | 125 |
| **V. Other Items** | **125** |
| Antitakeover Mechanisms | 125 |
| Authority to Reduce Minimum Notice Period for Calling a Meeting | 126 |
| Auditor Report Including Related Party Transactions (France) | 126 |

---

------

---

| | |
|:---|:---|
| **EUROPE, THE MIDDLE EAST, AND AFRICA** | **EUROPE, THE MIDDLE EAST, AND AFRICA** |
| **I. Operational Items** | **127** |
| Financial Results/Director and Auditor Reports | 127 |
| Appointment of Auditors and Auditor Fees | 128 |
| Donations | 128 |
| **II. Board of Directors** | **128** |
| Board Independence | 128 |
| Committee Independence | 128 |
| Cumulative Voting System | 129 |
| **III. Capital Structure** | **129** |
| Capital Structures | 129 |
| Preferred Stock | 129 |
| Debt Issuance Requests | 130 |
| **IV. Compensation** | **130** |
| Remuneration Policy/Report | 130 |
| **V. Other Items** | **131** |
| Related-Party Transactions | 131 |
| **INDIA** | **INDIA** |
| **I. Board of Directors** | **131** |
| Executive Appointment | 131 |
| Election of Directors | 131 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Accountability* | 131 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Composition* | 132 |
| Separation of Roles of Chair and CEO | 132 |
| **II. Remuneration** | **132** |
| Director Commission and Executive Compensation | 132 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Fees for Non-executive Directors* | 132 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Executive Compensation* | 132 |
| Equity Compensation Plans | 133 |
| **III. Share Issuance Requests** | **133** |
| Preferential Issuance Requests and Preferential Issuance of Warrants | 133 |
| Specific Issuance Requests | 133 |
| **IV. Debt Issuance Requests** | **133** |
| Debt Related Proposals | 133 |
| Increase in Borrowing Powers | 134 |
| Pledging of Assets for Debt | 135 |
| Financial Assistance | 135 |

---

------

---

| | |
|:---|:---|
| **V. Miscellaneous** | **135** |
| Accept Financial Statements and Statutory Reports | 135 |
| Acceptance of Deposits | 136 |
| Charitable Donations | 136 |
| Increase in Foreign Shareholding Limit | 136 |
| **ISRAEL** | **ISRAEL** |
| **I. Operational Items** | **136** |
| Appointment of Auditors and Auditor Fees | 136 |
| **II. Compensation** | **136** |
| Executive Compensation-related Proposals | 136 |
| Non-Executive Director Compensation | 138 |
| Equity-based Compensation Guidelines | 138 |
| **JAPAN** | **JAPAN** |
| **I. Routine Miscellaneous** | **139** |
| Income Allocation | 139 |
| Election of Statutory Auditors | 139 |
| **II. Election of Directors** | **140** |
| Voting on Director Nominees in Uncontested Elections | 140 |
| **III. Article Amendments** | **141** |
| Adoption of a U.S.-style Three Committee Board Structure | 141 |
| Adoption of a Board with Audit Committee Structure | 141 |
| Increase in Authorized Capital | 141 |
| Creation/Modification of Preferred Shares/Class Shares | 141 |
| Repurchase of Shares at Board's Discretion | 141 |
| Allow Company to Make Rules Governing the Exercise of Shareholders' Rights | 142 |
| Limit Rights of Odd Shareholders | 142 |
| Amendments Related to Takeover Defenses | 142 |
| Decrease in Maximum Board Size | 142 |
| Supermajority Vote Requirement to Remove a Director | 142 |
| Creation of Advisory Positions (Sodanyaku or Komon) | 142 |
| Payment of Dividends at the Board's Discretion | 142 |
| Management Buyout Related Amendments | 142 |
| **IV. Compensation** | **143** |
| Annual Bonuses for Directors/Statutory Auditors | 143 |
| Retirement Bonuses | 143 |
| Special Payments in Connection with Abolition of Retirement Bonus System | 143 |
| Stock Option Plans/Deep-Discounted Stock Option Plans | 143 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Stock Option Plans* | 143 |

---

------

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Deep-Discounted Stock Option Plans* | 143 |
|  Director Compensation Ceiling | 144 |
|  Statutory Auditor Compensation Ceiling | 144 |
| **KOREA** | **KOREA** |
| **I. Election of Directors** | **144** |
| Director Elections | 144 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Independence* | 144 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Composition* | 144 |
| Voting on Director Nominees in Contested Elections | 144 |
| **II. Audit Related** | **145** |
| Election of Audit Committee Member(s) | 145 |
| Election of Internal Auditor(s)/ Establishment of Audit Committees | 145 |
| **III. Capital Structure/Restructuring** | **145** |
| Stock Split | 145 |
| Spinoff Agreement | 145 |
| Reduction in Capital Accompanied by Cash Consideration | 146 |
| Reduction in Capital Not Accompanied by Cash Consideration | 146 |
| Merger Agreement, Sales/ Acquisition of Company Assets, and Formation of Holding Company | 146 |
| **IV. Compensation** | **146** |
| Remuneration Cap for Directors | 146 |
| Remuneration Cap for Internal Auditors | 147 |
| Stock Option Grants | 147 |
| Amendments to Terms of Severance Payments to Executives | 147 |
| Stock Option Programs for the Employee Stock Ownership Plan | 147 |
| Golden Parachute Clause | 147 |
| **V. Routine/Miscellaneous** | **148** |
| Authorizing Board to Approve Financial Statements and Income Allocation | 148 |
| **RUSSIA AND KAZAKHSTAN** | **RUSSIA AND KAZAKHSTAN** |
| **I. Operation Items** | **148** |
| Financial Results/Director and Auditor Reports | 148 |
|  Appointment of Auditors and Auditor Fees | 148 |
|  Appointment of Audit Commission | 148 |
|  Early Termination of the Audit Commission | 149 |
| **II. Board of Directors** | **149** |
| Cumulative Voting System | 149 |
|  Early Termination of Powers of Board of Directors | 150 |
|  Election of General Director (CEO) | 150 |
|  Early Termination of Powers of General Director (CEO) | 150 |

---

------

---

| | |
|:---|:---|
| **III. Compensation** | **150** |
| Non-Executive Director Compensation | 150 |
|  Equity-based Compensation Guidelines | 151 |
| **SINGAPORE** | **SINGAPORE** |
| **I. Board of Directors** | **151** |
| Voting for Director Nominees in Uncontested Elections- Independence and Composition | 151 |
| **II. Remuneration** | **152** |
| Director Remuneration | 152 |
|  Equity Compensation Plans | 152 |
| **III. Share Issuance Requests** | **153** |
| Issuance Requests | 153 |
|  General Issuance Requests – Real Estate Investment Trusts | 153 |
|  Specific Issuance Requests | 153 |
|  Share Repurchase Plans | 153 |
| **IV. Articles and By-law Amendments** | **154** |
| **V. Related Party Transactions** | **154** |
| **SOUTH AFRICA** | **SOUTH AFRICA** |
| **I. Operational Items** | **154** |
| Authority to Ratify and Execute Approved Resolutions | 154 |
| **II. Board of Directors** | **154** |
| Voting on Director Nominees in Uncontested Elections | 154 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Accountability* | 155 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Audit Committee Elections* | 155 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Social and Ethics Committee Elections* | 155 |
| **III. Capital Structure** | **156** |
| Share Issuance Authorities | 156 |
|  Share Buyback Authorities | 156 |
| **IV. Remuneration** | **156** |
| Fees for Non-Executive Directors | 156 |
|  Approval of Remuneration Policy | 156 |
|  Approval of Implementation Report | 157 |
|  New Equity Incentive Scheme or Amendment to Existing Scheme | 158 |
|  Financial Assistance | 158 |
| **V. Other Items** | **159** |
| New Memorandum of Incorporation (MOI)/ Amendments to the MOI | 159 |
|  Black Economic Empowerment (BEE) Transactions | 159 |
| Social and Ethics Committee Report | 159 |

---

------

---

| | |
|:---|:---|
| **TAIWAN** | **TAIWAN** |
| **I. Allocation of Income and Dividends** | **159** |
| Allocation of Income and Dividends | 159 |
|  Cash Dividends or New Shares from Capital and Legal Reserves | 160 |
|  Stock Dividends | 160 |
| **II. Capital Reduction** | **160** |
| **III. Amendments to Company Articles/By-laws** | **160** |
| Cash Dividend Distribution Plans | 160 |
| **IV. Capital Raising** | **160** |
| **V. Compensation** | **161** |
| Equity Based Compensation | 161 |
| **VI. Release of Restrictions on Directors Competitive Activities** | **161** |
| **UNITED KINGDOM AND IRELAND** | **UNITED KINGDOM AND IRELAND** |
| **I. Operational Items** | **161** |
| Accept Financial Statements and Statutory Reports | 161 |
| **II. The Board of Directors** | **162** |
| Board Diversity | 162 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Gender Diversity* | 162 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Ethnic Diversity* | 162 |
|  Board Independence and Tenure | 163 |
|  Board and Committee Composition | 164 |
| **III. Compensation** | **165** |
| Remuneration Policy | 165 |
|  Remuneration Report | 166 |
|  Approval of a New or Amended LTIP | 167 |
| **IV. Capital Structure** | **168** |
| Authorize Issue of Equity with and without Pre-emptive Rights | 168 |
|  Authorize Market Purchase of Ordinary Shares | 168 |
| **V. Other Items** | **168** |
| Authorize EU Political Donations and Expenditure | 168 |
|  Continuation of Investment Trust | 169 |

---

#### END

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#### Boston Partners

#### Proxy Voting Policies

#### As of March 2025

#### GENERAL POLICY
I. The Board of Directors

#### Voting on Director Nominees in Uncontested Elections
Votes for director nominees on a CASE-BY-CASE basis. Boston Partners will generally vote FOR director nominees when names of the nominee(s) and adequate disclosure have been provided in a timely manner, except under the following circumstances:

#### Independence
Vote AGAINST or WITHHOLD from non-independent directors (Executive Directors and Non-Independent Non-Executive Directors) when:

1. Independent directors comprise less than one-third of the board (Boston Partners will support higher thresholds required by local law or regulation);

2. A non-independent director, not including employee/ labor representatives required to sit on a board committee(s) by law, serves on the audit, compensation, or nominating committee;

3. The company lacks an audit, compensation or nominating committee so that the full board functions as that committee; or

4. The company lacks a formal nominating committee, even if the board attests that the independent directors fulfill the functions of such a committee.

Vote AGAINST individual directors, members of a committee, or the entire board due to a conflict of interest that raises significant potential risk, in the absence of mitigating measures and/or procedures.

Except in Japanese markets where no numerical threshold is used, Boston Partners uses a three-year cooling-off period in determining whether a nominee is or is not independent. However, Boston Partners will vote in accordance with specific country or region thresholds required by law.

#### Composition

#### Attendance at Board and Committee Meetings
Generally, vote AGAINST or WITHHOLD from directors (except nominees who served only part of the fiscal year) who attend less than 75 percent of the of their board and committee meetings for the period for which they served, unless an acceptable reason for absences is disclosed in the proxy or another filing. Acceptable reasons for director absences are generally limited to the following:

1. Medical issues/illness;

2. Family emergencies; and

3. Missing only one meeting (when the total of all meetings is three or fewer).

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In cases of chronic poor attendance without reasonable justification, in addition to voting against the director(s) with poor attendance, generally vote AGAINST or WITHHOLD from appropriate members of the nominating/governance committees or the full board.

If the proxy disclosure is unclear and insufficient to determine whether a director attended at least 75 percent of the aggregate of his/her board and committee meetings during his/her period of service, vote AGAINST or WITHHOLD from the director(s) in question.

#### Overboarded Directors (Executive and Non-Executive)
Vote AGAINST non-CEO nominees sitting on more than four (4) total public company boards and AGAINST or WITHHOLD votes from CEOs sitting on more than three (3) total public company boards. Additionally, vote AGAINST nominees if they exceed lesser thresholders mandated by local country or regional laws.

#### Board Diversity
REFER majority gender board representatives of the nominating committee or majority gender nominees of the full board when no nominating committee exists (except nominees who served only part of the fiscal year) if there is not at least one (1) board member that is not of the majority board gender for both U.S. and non-U.S. companies or if there is not at least one (1) board member from an underrepresented<sup>(</sup><sup>1</sup>**<sup>)</sup>** community for U.S. companies.

For REFER items, Boston Partners' Governance Committee will consider the following:

• Process for recruitment of directors;

• Relevant financial implications of diversity;

• Nature of the business;

• Legal exposure;

• Country/industry norms;

• Relevant controversies;

• Significantly lagging peers;

• Commitments to diversity;

• Past representation on the board.

<sup>1</sup> A director from an underrepresented community is classified as an individual who is American Indian or Alaskan Native (a person having origins in any of the original peoples of North America, and who maintains cultural identification through tribal affiliation or community recognition); Asian or Pacific Islander (Native Hawaiian/ Other Pacific Islander); Black (a person having origins in any of the black racial groups of Africa); or Hispanic or Latino (speaking Spanish or descending from Spanish-speaking populations or people descending from Latin America including Brazil). If this policy is in conflict with Boston Partners' Gender Diversity Policy, the matter will be referred to the Governance Committee for discussion and final determination on votes cast. 

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#### More Candidates than Seats
Where the number of candidates exceeds the number of board seats, vote FOR all or a limited number of the independent director nominees considering factors including, but not limited to, the following:

1. Past composition of the board, including proportion of the independent directors vis-a-vis the size of the board;

2. Nominee(s) qualification, knowledge, and experience;

3. Attendance record of the director nominees;

4. Company's free float.

Vote AGAINST shareholder proposals that would require a company to nominate more candidates than the number of open board seats.

#### Classified/Staggard Board (U.S. Only)
Vote AGAINST all nominees if the Board is classified or staggard.

#### Responsiveness
Vote CASE-BY-CASE on individual directors, committee members, or the entire board of directors as appropriate if:

1. The board failed to act on a shareholder proposal that received the support of a majority of the shares cast in the previous year or acted on a management proposal that was opposed by a majority of the shares cast in the previous year. Factors considered will be:

a. Disclosed outreach efforts by the board to shareholders in the wake of the vote;

b. Rationale provided in the proxy statement for the level of implementation;

c. The subject matter of the proposal;

d. The level of support for and opposition to the resolution in past meetings;

e. Actions taken by the board in response to the majority vote and its engagement with shareholders;

f. The continuation of the underlying issue as a voting item on the ballot (as either shareholder or management proposals); and

g. Other factors as appropriate.

2. The board failed to act on takeover offers where the majority of shares are tendered;

3. At the previous board election, any director received more than 50 percent AGAINST or WITHHOLD votes of the shares cast and the company has failed to address the issue(s) that caused the high AGAINST or WITHHOLD vote.

Vote CASE-BY-CASE on Compensation Committee members (or, in exceptional cases, the full board) and the Say on Pay proposal if:

1. The company failed to respond to majority-supported shareholder proposals on executive pay topics.

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2. The company failed to adequately respond to the company's previous say-on-pay proposal that received the support of less than 70 percent of votes cast, taking into account:

a. The company's response, including:

i. Disclosure of engagement efforts with major institutional investors, including the frequency and timing of engagements and the company participants (including whether independent directors participated);

ii. Disclosure of the specific concerns voiced by dissenting shareholders that led to the say-on-pay opposition;

iii. Disclosure of specific and meaningful actions taken to address shareholders' concerns;

b. Other recent compensation actions taken by the company;

c. Whether the issues raised are recurring or isolated;

d. The company's ownership structure; and

e. Whether the support level was less than 50 percent, which would warrant the highest degree of responsiveness.

3. The board implements an advisory vote on executive compensation on a less frequent basis than the frequency that received the plurality of votes cast.

#### Accountability
Vote AGAINST or WITHHOLD from the entire board of directors (except nominees being presented on a ballot for the first time or having served on a board less than a year, who should be considered CASE-BY-CASE depending on the timing of their appointment and the problematic governance issue in question) for the following:

#### Problematic Takeover Defenses/Governance Structure
*Mandatory Takeover Bid Waivers* 

Vote proposals to waive mandatory takeover bid requirements on a CASE-BY-CASE basis.

*Poison Pills* 

Vote AGAINST or WITHHOLD from all nominees (except new nominees, who should be considered CASE-BY-CASE) if:

1. The company has a poison pill that was not approved by shareholders. However, vote CASE-BY-CASE on nominees if the board adopts an initial pill with a term of one year or less, depending on the disclosed rationale for the adoption, and other factors as relevant (such as a commitment to put any renewal to a shareholder vote).

2. The board makes a material adverse modification to an existing pill, including, but not limited to, extension, renewal, or lowering the trigger, without shareholder approval; or

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3. The pill, whether short-term<sup>2</sup> or long-term, has a dead-hand or slow-hand feature.

*Classified Board Structure* 

The board is classified, and a continuing director responsible for a problematic governance issue at the board/committee level that would warrant a WITHHOLD or AGAINST vote is not up for election. All appropriate nominees (except new) may be held accountable.

*Removal of Shareholder Discretion on Classified Boards* 

The company has opted into, or failed to opt out of, state laws requiring a classified board structure.

*Director Performance Evaluation* 

The board lacks mechanisms to promote accountability and oversight, coupled with sustained poor performance relative to peers. Sustained poor performance is measured by one-, three-, and five-year total shareholder returns in the bottom half of a company's four-digit GICS industry group (Russell 3000 companies only). Take into consideration the company's operational metrics and other factors as warranted. Problematic provisions include but are not limited to:

1. A classified board structure;

2. A supermajority vote requirement;

3. Either a plurality vote standard in uncontested director elections, or a majority vote standard in contested elections;

4. The inability of shareholders to call special meetings;

5. The inability of shareholders to act by written consent;

6. A multi-class capital structure; and/or

7. A non-shareholder-approved poison pill.

*Unilateral By-law/Charter Amendments and Problematic Capital Structures* 

Generally, vote AGAINST or WITHHOLD from directors individually, committee members, or the entire board (except new nominees, who should be considered CASE-BY-CASE) if the board amends the company's by-laws or charter without shareholder approval in a manner that materially diminishes shareholders' rights or that could adversely impact shareholders, considering the following factors:

1. The board's rationale for adopting the by-law/charter amendment without shareholder ratification;

2. Disclosure by the company of any significant engagement with shareholders regarding the amendment;

<sup>2</sup> If the short-term pill with a dead-hand or slow-hand feature is enacted but expires before the next shareholder vote, Boston Partners will generally still vote AGAINST or WITHHOLD from nominees at the next shareholder meeting following its adoption. 

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3. The level of impairment of shareholders' rights caused by the board's unilateral amendment to the by-laws/charter;

4. The board's track record with regard to unilateral board action on by-law/charter amendments or other entrenchment provisions;

5. Whether the amendment was made prior to or in connection with the company's initial public offering;

6. The company's ownership structure;

7. The company's existing governance provisions;

8. The timing of the board's amendment to the by-laws/charter in connection with a significant business development; and

9. Other factors, as deemed appropriate, that may be relevant to determine the impact of the amendment on shareholders.

Unless the adverse amendment is reversed or submitted to a binding shareholder vote, in subsequent years vote CASE-BY-CASE on director nominees. Generally, vote AGAINST (except new nominees, who should be considered CASE-BY-CASE) if the directors:

1. Classified the board;

2. Adopted supermajority vote requirements to amend the by-laws or charter; or

3. Eliminated shareholders' ability to amend by-laws.

*Problematic Capital Structure - Newly Public Companies* 

For newly public companies, generally vote AGAINST or WITHHOLD from the entire board (except new nominees, who should be considered CASE-BY-CASE) if, prior to or in connection with the company's public offering, the company or its board implemented a multi-class capital structure in which the classes have unequal voting rights without subjecting the multi-class capital structure to a reasonable time-based sunset. In assessing the reasonableness of a time-based sunset provision, consideration will be given to the company's lifespan, its post-IPO ownership structure and the board's disclosed rationale for the sunset period selected. No sunset period of more than seven years from the date of the IPO will be considered reasonable.

Continue to vote AGAINST or WITHHOLD from incumbent directors in subsequent years, unless the problematic capital structure is reversed, removed, or subject to a newly added reasonable sunset.

*Common Stock Capital Structure with Unequal Voting Rights* 

Generally, vote WITHHOLD or AGAINST directors individually, committee members, or the entire board (except new nominees), who should be considered CASE-BY-CASE), if the company employs a common stock structure with unequal voting rights.

Exceptions to this policy will generally be limited to:

1. Newly-public companies with a sunset provision of no more than seven years from the date of going public;

2. Limited Partnerships and the Operating Partnership (OP) unit structure of REITs;

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3. Situations where the unequal voting rights are considered de minimis; or

4. The company provides sufficient protections for minority shareholders, such as allowing minority shareholders a regular binding vote on whether the capital structure should be maintained.

*Problematic Governance Structure—Newly Public Companies* 

For newly public companies (generally defined as companies that emerge from bankruptcy, spin-offs, direct listings, and those who complete a traditional initial public offering), generally vote AGAINST or WITHHOLD from directors individually, committee members, or the entire board (except new nominees, who should be considered CASE-BY-CASE) if, prior to or in connection with the company's public offering, the company or its board adopted the following by-law or charter provisions that are considered materially adverse to shareholder rights:

1. Supermajority vote requirements to amend the by-laws or charter;

2. A classified board structure; or

3. Other egregious provisions.

A reasonable sunset provision will be considered a mitigating factor.

Unless the adverse provision is reversed or removed, vote CASE-BY-CASE on director nominees in subsequent years.

#### Restrictions on Shareholders' Rights
*Restricting Binding Shareholder Proposals* 

Generally, vote AGAINST or WITHHOLD from the members of the governance committee if the company's governing documents impose undue restrictions on shareholders' ability to amend the by-laws. Such restrictions include but are not limited to outright prohibition on the submission of binding shareholder proposals or share ownership requirements, subject matter restrictions, or time holding requirements in excess of SEC Rule 14a-8. Vote AGAINST or WITHHOLD on an ongoing basis.

Submission of management proposals to approve or ratify requirements in excess of SEC Rule 14a-8 for the submission of binding by-law amendments will generally be viewed as an insufficient restoration of shareholder' rights. Generally, continue to vote AGAINST or WITHHOLD on an ongoing basis until shareholders are provided with an unfretted ability to amend the by-laws or a proposal providing for such unfretted right is submitted for shareholder approval.

#### Problematic Audit-Related Practices
Generally, vote AGAINST or WITHHOLD from the members of the Audit Committee if:

1. The non-audit fees paid to the auditor are excessive (greater than 50 percent);

2. The company receives an adverse opinion on the company's financial statements from its auditor;

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3. There is persuasive evidence that the Audit Committee entered into an inappropriate indemnification agreement with its auditor that limits the ability of the company, or its shareholders, to pursue legitimate legal recourse against the audit firm;

4. The company did not disclose the audit fees and/or non-audit fees in the latest fiscal year; or

5. There are clear concerns over questionable finances or restatements.

Vote CASE-BY-CASE on members of the Audit Committee and potentially the full board if poor accounting practices are identified that rise to a level of serious concern, such as: fraud; misapplication of GAAP or other acceptable accounting practices; and material weaknesses identified in Section 404 disclosures. Examine the severity, breadth, chronological sequence, and duration, as well as the company's efforts at remediation or corrective actions, in determining whether AGAINST or WITHHOLD votes are warranted.

#### Problematic Compensation Practices
In the absence of an Advisory Vote on Executive Compensation (Say on Pay) ballot item or in egregious situations, vote AGAINST or WITHHOLD from the members of the Compensation Committee and potentially the full board if:

1. There is an unmitigated misalignment between CEO pay and company performance (pay for performance);

2. The company maintains significant problematic pay practices; or

3. The board exhibits a significant level of poor communication and responsiveness to shareholders.

Generally, vote AGAINST or WITHHOLD from the Compensation Committee chair, other committee members, or potentially the full board if:

1. The company fails to include a Say on Pay ballot item when required under SEC provisions, or under the company's declared frequency of say on pay; or

2. The company fails to include a Frequency of Say on Pay ballot item when required under SEC provisions.

Generally, vote AGAINST members of the board committee responsible for approving/setting non- executive director compensation if there is a pattern (i.e. two or more years) of awarding excessive non- executive director compensation without disclosing a compelling rationale or other mitigating factors.

#### Problematic Pledging of Company Stock
Vote AGAINST the members of the committee that oversees risks related to pledging, or the full board, where a significant level of pledged company stock by executives or directors raises concerns. The following factors will be considered:

1. The presence of an anti-pledging policy, disclosed in the proxy statement, that prohibits future pledging activity;

2. The magnitude of aggregate pledged shares in terms of total common shares outstanding, market value, and trading volume;

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3. Disclosure of progress or lack thereof in reducing the magnitude of aggregate pledged shares over time;

4. Disclosure in the proxy statement that shares subject to stock ownership and holding requirements do not include pledged company stock; and

5. Any other relevant factors.

#### Climate Accountability
For companies that are significant greenhouse gas (GHG) emitters (those on the current Climate Action 100+ Focus Group list), through their operations or value chain, generally, vote FOR the incumbent chair of the responsible committee (or other directors) (or in the U.K. and Ireland, Russia, and Kazakhstan just the board chair) where Boston Partners determines that the company is taking the minimum steps needed to understand, assess, and mitigate risks related to climate change to the company and the larger economy.

Minimum steps to understand and mitigate those risks are considered to be the following. Both minimum criteria will be required to be in compliance:

1. Detailed disclosure of climate-related risks, such as according to the framework established by the Task Force on Climate-related Financial Disclosures (TCFD), including:

a. Board governance measures;

b. Corporate strategy;

c. Risk management analyses; and

d. Metrics and targets.

2. Appropriate GHG emissions reduction targets.

"Appropriate GHG emissions reductions targets" will be any well-defined GHG reduction targets. Targets should cover at least a significant portion of the company's direct emissions. Expectations about what constitutes "minimum steps to mitigate risks related to climate change" will increase over time.

Otherwise, vote CASE-BY-CASE.

#### Governance Failures
Vote AGAINST or WITHHOLD from directors individually, committee members, or the entire board at any company whose board the director serves, due to:

1. Criminal wrongdoing or material failures of governance, stewardship, risk oversight, or fiduciary responsibilities at any company including, but not limited to: bribery; large or serial fines or sanctions from regulatory bodies; demonstrably poor risk oversight of environmental and social issues, including climate change; significant adverse legal judgments or settlement; or hedging of company stock;

2. Failure to replace management or directors as appropriate; or

3. Egregious actions related to a director's service on other boards that raise substantial doubt about his or her ability to effectively oversee management and serve the best interests of shareholders at any company.

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#### Voting on Director Nominees in Contested Elections
For contested elections of directors, e.g. the election of shareholder nominees or the dismissal of incumbent directors, Boston Partners will vote on a CASE-BY-CASE basis, determining which directors are best suited to add value for shareholders.

The analysis will generally be based on, but not limited to, the following major decision factors:

1. Company performance relative to its peers;

2. Strategy of the incumbents versus the dissidents;

3. Independence of directors/nominees;

4. Experience and skills of board candidates;

5. Governance profile of the company;

6. Evidence of management entrenchment;

7. Responsiveness to shareholders;

8. Whether a takeover offer has been rebuffed;

9. Whether minority or majority representation is being sought.

When analyzing a contested election of directors, Boston Partners will generally focus on two central questions: (1) Have the dissidents proved that board change is warranted? And (2) if so, are the dissident board nominees likely to affect positive change? (i.e., maximize long-term shareholder value).

#### Vote-No Campaigns
In cases where companies are targeted in connection with public "vote-no" campaigns, evaluate director nominees under the existing governance policies for voting on director nominees in uncontested elections. Take into consideration the arguments submitted by shareholders and other publicly available information.

#### Proxy Contests/Proxy Access — Voting for Director Nominees in Contested Elections
Vote CASE-BY-CASE on the election of directors in contested elections, considering the following factors:

1. Long-term financial performance of the company relative to its industry;

2. Management's track record;

3. Background to the contested election;

4. Nominee qualifications (both slates) and any compensatory arrangements;

5. Strategic plan of dissident slate and quality of the critique against management;

6. Likelihood that the proposed goals and objectives can be achieved (both slates); and

7. Stock ownership positions.

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In the case of candidates nominated pursuant to proxy access, vote CASE-BY-CASE considering any applicable factors listed above or additional factors which may be relevant, including those that are specific to the company, to the nominee(s) and/or to the nature of the election (such as whether there are more candidates than board seats).

#### Bundled and Unbundled Elections
Vote FOR the bundled election of nominees unless:

1. Adequate disclosure has not been provided in a timely manner, including nominee name(s);

2. There are clear concerns over questionable finances or restatements;

3. There have been questionable transactions with conflicts of interest (;

4. There are any records of abuses against minority shareholder interests;

5. The board fails to meet minimum corporate governance standards;

6. There are specific concerns about individual nominees, such as criminal wrongdoing or breach of fiduciary responsibilities;

7. The company does not comply with market legal requirements for minimum board independence or the board is not at least one-third independent, whichever is higher; or

8. Repeated absences at board and key committee meetings (less than 75 percent attendance) have not been explained (in countries where this information is disclosed).

In an unbundled election, generally vote FOR all director nominees, unless:

1. The company has not provided adequate disclosure of the proposed nominees;

2. There are concerns regarding the candidate(s) and/or the company; or

3. The board does not meet a one-third independence threshold, or the threshold required by local regulations. If the proposed board falls below one-third independence or market regulation requirements, vote FOR the independent nominees presented individually, and vote AGAINST the non-independent candidates.

#### Other Board-Related Proposals

#### Adopt Anti-Hedging/Pledging/Speculative Investments Policy
Generally, vote FOR proposals seeking a policy that prohibits named executive officers from engaging in derivative or speculative transactions involving company stock, including hedging, holding stock in a margin account, or pledging stock as collateral for a loan. However, the company's existing policies regarding responsible use of company stock will be considered.

#### Age/Term Limits
Vote AGAINST management and shareholder proposals to limit the tenure of directors through mandatory retirement ages.

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Vote AGAINST management proposals to limit the tenure of outside through term limits.

Boston Partners follows respective market thresholds for independence determinations.

#### Board Size
Vote FOR proposals seeking to fix the size of the board. Vote AGAINST if the proposal would result in the board size being fewer than five (5) or more than fifteen (15) seats.

Vote AGAINST proposals that give management the ability to alter the size of the board without shareholder approval.

Vote AGAINST proposals to alter board structure or size in the context of a fight for control of the company or the board.

#### Classification/Declassification of the Board
Vote AGAINST proposals to classify or stagger the board.

Vote FOR proposals to repeal classified boards and to elect all directors annually.

#### CEO Succession Planning
Generally, vote FOR proposals seeking disclosure on a CEO succession planning policy, considering, at a minimum, the following factors:

1. The reasonableness/scope of the request; and

2. The company's existing disclosure on its current CEO succession planning process.

#### Cumulative Voting
Generally, vote AGAINST management proposals to eliminate cumulative voting unless:

1. The company has proxy access, thereby allowing shareholders to nominate directors to the company's ballot; and

2. The company has adopted a majority vote standard, with a carve-out for plurality voting in situations where there are more nominees than seats, and a director resignation policy to address failed elections.

Vote FOR proposals for cumulative voting at controlled companies (insider voting power > 50%).

Vote FOR shareholder proposals that restore or introduce cumulative voting.

#### Director and Officer Indemnification and Liability Protection
Vote CASE-BY-CASE on proposals concerning director and officer indemnification and liability protection taking into account the following:

1. Safeguards to prevent potential conflict of interests, including the independence of the decision-making process for approval of indemnification coverage;

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2. The disclosure of a publicly available, board approved indemnification policy;

3. Clear description of acts and events that can and cannot be covered by the indemnity policy or contract;

4. Information regarding potential financial impact of the indemnity policy or contracts to the company;

5. Eligible beneficiaries of the policy, including the length of the post-employment period that will be covered by the policy or contract;

6. Treatment of indemnity payments already made in the event of a final irreversible court ruling has determined that associated actions were outside the scope of indemnification coverage.

Vote AGAINST proposals that would:

1. Limit or eliminate entirely directors' and officers' liability for monetary damages for violating the duty of care;

2. Expand coverage beyond just legal expenses to liability for acts that are more serious violations of fiduciary obligation than mere carelessness;

3. Expand the scope of indemnification to provide for mandatory indemnification of company officials in connection with acts that previously the company was permitted to provide indemnification for, at the discretion of the company's board (i.e., "permissive indemnification"), but that previously the company was not required to indemnify;

4. Allow indemnity coverage for current and/or former director, officers, and/or fiscal council members who have entered into leniency agreements with the country's authorities in the context of corruption investigations; and

5. Allow indemnity coverage of acts committed outside the normal exercise of duties of the administrator, acts performed in bad faith, malice, or fraud, or acts committed in detriment of the company's best interest.

Vote FOR only those proposals providing such expanded coverage in cases when a director's or officer's legal defense was unsuccessful if both of the following apply:

1. If the director was found to have acted in good faith and in a manner that s/he reasonably believed was in the best interests of the company; and

2. If only the director's legal expenses would be covered.

#### Establish/Amend Nominee Qualifications
Vote CASE-BY-CASE on proposals that establish or amend director qualifications. Votes should be based on the reasonableness of the criteria and the degree to which they may preclude dissident nominees from joining the board.

Vote CASE-BY-CASE on shareholder resolutions seeking a director nominee who possesses a particular subject matter expertise, considering:

1. The company's board committee structure, existing subject matter expertise, and board nomination provisions relative to that of its peers;

2. The company's existing board and management oversight mechanisms regarding the issue for which board oversight is sought;

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3. The company's disclosure and performance relating to the issue for which board oversight is sought and any significant related controversies; and

4. The scope and structure of the proposal.

#### Establish Other Board Committee Proposals
Generally, vote AGAINST shareholder proposals to establish a new board committee, as such proposals seek a specific oversight mechanism/structure that potentially limits a company's flexibility to determine an appropriate oversight mechanism for itself. However, the following factors will be considered:

1. Existing oversight mechanisms (including current committee structure) regarding the issue for which board oversight is sought;

2. Level of disclosure regarding the issue for which board oversight is sought;

3. Company performance related to the issue for which board oversight is sought;

4. Board committee structure compared to that of other companies in its industry sector; and

5. The scope and structure of the proposal.

#### Filling Vacancies/Removal of Directors
Vote CASE-BY-CASE when a company proposes to dismiss directors, paying particular attention, but not limited, to:

1. Whether the company has presented a compelling rationale for the request, and

2. Whether the newly proposed board is one-third independent.

Generally, vote FOR the discharge of directors, including members of the management board and/or supervisory board, unless there is reliable information about significant and compelling controversies as to whether the board is fulfilling its fiduciary duties, as evidenced by:

1. A lack of oversight or actions by board members that invoke shareholder distrust related to malfeasance or poor supervision, such as operating in private or company interest rather than in shareholder interest; or

2. Any legal proceedings (either civil or criminal) aiming to hold the board responsible for breach of trust in the past or related to currently alleged actions yet to be confirmed (and not only the fiscal year in question), such as price fixing, insider trading, bribery, fraud, and other illegal actions; or

3. Other egregious governance issues where shareholders will bring legal action against the company or its directors.

For markets that do not routinely request discharge resolutions (e.g. common law countries or markets where discharge is not mandatory), analysts may voice concern in other appropriate agenda items, such as approval of the annual accounts or other relevant resolutions, to enable shareholders to express discontent with the board.

Vote AGAINST proposals that provide that directors may be removed only for cause.

Vote FOR proposals to restore shareholders' ability to remove directors with or without cause.

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Vote AGAINST proposals that provide that only continuing directors may elect replacements to fill board vacancies.

Vote FOR proposals that permit shareholders to elect directors to fill board vacancies.

#### Independent Chair (Separate Chair/CEO)
Vote FOR shareholder proposals requiring that the chairman's position be filled by an independent director and FOR the separation of the offices of CEO and chair.

#### Majority of Independent Directors/Establishment of Independent Committees
Vote FOR shareholder proposals asking that a majority or more of directors be independent.

Vote FOR shareholder proposals asking that board audit, compensation, and/or nominating committees be composed exclusively of independent directors.

#### Majority Vote Standard for the Election of Directors
Vote for proposals requiring a majority vote standard.

Companies are strongly encouraged to also adopt a post-election policy (also known as a director resignation policy) that will provide guidelines so that the company will promptly address the situation of a holdover director.

#### Proxy Access
Generally, vote FOR management and shareholder proposals for proxy access with the following provisions:

1. Ownership threshold: maximum requirement not more than three percent (3%) of the voting power;

2. Ownership duration: maximum requirement not longer than three (3) years of continuous ownership for each member of the nominating group;

3. Aggregation: minimal or no limits on the number of shareholders permitted to form a nominating group;

4. Cap: cap on nominees of generally twenty-five percent (25%) of the board.

Review for reasonableness any other restrictions on the right of proxy access.

Generally, vote AGAINST proposals that are more restrictive than these guidelines.

#### Shareholder Engagement Policy (Shareholder Advisory Committee)
Generally, vote FOR shareholder proposals requesting that the board establish an internal mechanism/process, which may include a committee, in order to improve communications between directors and shareholders, unless the company has the following features, as appropriate:

1. Established a communication structure that goes beyond the exchange requirements to facilitate the exchange of information between shareholders and members of the board;

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2. Effectively disclosed information with respect to this structure to its shareholders;

3. Company has not ignored majority-supported shareholder proposals or a majority WITHHOLD vote on a director nominee; and

4. The company has an independent chairman or a lead director. This individual must be made available for periodic consultation and direct communication with major shareholders.

II. Audit-Related

#### Auditor Indemnification and Limitation of Liability
Vote CASE-BY-CASE on the issue of auditor indemnification and limitation of liability. Factors to be assessed include, but are not limited to:

1. The terms of the auditor agreement—the degree to which these agreements impact shareholders' rights;

2. The motivation and rationale for establishing the agreements;

3. The quality of the company's disclosure; and

4. The company's historical practices in the audit area.

Vote AGAINST or WITHHOLD from members of an audit committee in situations where there is persuasive evidence that the audit committee entered into an inappropriate indemnification agreement with its auditor that limits the ability of the company, or its shareholders, to pursue legitimate legal recourse against the audit firm.

Vote AGAINST proposals that would indemnify external auditors.

#### Auditor Ratification/Reelection
Vote AGAINST incumbent audit committee members if the ratification of auditors is not up for shareholder vote. (U.S. only). This does not apply to mutual fund companies.

Vote FOR proposals to ratify/reelect auditors and/or proposals authorizing the board to fix auditor fees, unless:

1. The name(s) of the proposed auditors has not been published;

2. The auditors are being changed without explanation;

3. An auditor has a financial interest in or association with the company, for example, external auditors have previously served the company in an executive capacity and is therefore not independent;

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4. There is reason to believe that the independent auditor has rendered an opinion that is neither accurate nor indicative of the company's financial position;

5. There are serious concerns about the accounts presented or the procedures used by the auditor or poor accounting practices are identified that rise to a serious level of concern, such as fraud or misapplication of GAAP or other acceptable accounting standards;

6. The profile of the new audit firm being appointed is not disclosed or not available in the public domain; or

7. Fees for non-audit services ("Other" fees) are excessive (greater than 50 percent).

Non-audit fees are excessive if Non-audit ("other") fees > audit fees + audit-related fees + tax compliance/preparation fees

Tax compliance and preparation include the preparation of original and amended tax returns and refund claims, and tax payment planning. All other services in the tax category, such as tax advice, planning, or consulting, should be added to "Other" fees. If the breakout of tax fees cannot be determined, add all tax fees to "Other" fees.

In circumstances where "Other" fees include fees related to significant one-time capital structure events (such as initial public offerings, bankruptcy emergence, and spin-offs) and the company makes public disclosure of the amount and nature of those fees that are an exception to the standard "non-audit fee" category, then such fees may be excluded from the non-audit fees considered in determining the ratio of non-audit to audit/audit-related fees/tax compliance and preparation for purposes of determining whether non-audit fees are excessive.

For concerns related to the audit procedures, independence of auditors, and/or name of auditors, Boston Partners may vote AGAINST the auditor's (re)election. For concerns related to fees paid to the auditors, Boston Partners may vote AGAINST remuneration of auditors if this is a separate voting item; otherwise Boston Partners may vote AGAINST the auditor election.

#### Appointment of Internal Statutory Auditors
Vote FOR the appointment or (re)election of statutory auditors, unless:

1. There are serious concerns about the statutory reports presented or the audit procedures used;

2. Questions exist concerning any of the statutory auditors being appointed; or

3. The auditors have previously served the company in an executive capacity or can otherwise be considered affiliated with the company.

#### Shareholder Proposals Limiting Non-Audit Services
Vote CASE-BY-CASE on shareholder proposals asking companies to prohibit or limit their auditors from engaging in non-audit services.

#### Shareholder Proposals on Audit Firm Rotation
Vote CASE-BY-CASE on shareholder proposals asking for audit firm rotation, taking into account:

1. The tenure of the audit firm;

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2. The length of rotation specified in the proposal;

3. Any significant audit-related issues at the company;

4. The number of Audit Committee meetings held each year;

5. The number of financial experts serving on the committee; and

6. Whether the company has a periodic renewal process where the auditor is evaluated for both audit quality and competitive price.

III. Shareholder Rights and Defenses

#### Shareholder Proposals
Vote all shareholder proposals on a CASE-BY-CASE basis.

Vote FOR proposals that would improve the company's corporate governance or business profile at a reasonable cost.

Vote AGAINST proposals that limit the company's business activities or capabilities or result in significant costs being incurred with little or no benefit.

#### Advance Notice Requirements for Shareholder Proposals/Nominations
Vote CASE-BY-CASE on advance notice proposals, giving support to those proposals which allow shareholders to submit proposals/nominations as close to the meeting date as reasonably possible and within the broadest window possible, recognizing the need to allow sufficient notice for company, regulatory, and shareholder review.

To be reasonable, the company's deadline for shareholder notice of a proposal/nominations must not be more than 60 days prior to the meeting, with a submittal window of at least 30 days prior to the deadline. The submittal window is the period under which a shareholder must file his proposal/nominations prior to the deadline.

In general, support additional efforts by companies to ensure full disclosure in regard to a proponent's economic and voting position in the company so long as the informational requirements are reasonable and aimed at providing shareholders with the necessary information to review such proposals.

#### Amend By-laws without Shareholder Consent
Vote AGAINST proposals giving the board exclusive authority to amend the by-laws.

Vote CASE-BY-CASE on proposals giving the board the ability to amend the by-laws in addition to shareholders, taking into account the following:

1. Any impediments to shareholders' ability to amend the by-laws (i.e. supermajority voting requirements);

2. The company's ownership structure and historical voting turnout;

3. Whether the board could amend by-laws adopted by shareholders; and

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4. Whether shareholders would retain the ability to ratify any board-initiated amendments.

#### Control Share Acquisition Provisions
Control share acquisition statutes function by denying shares their voting rights when they contribute to ownership in excess of certain thresholds. Voting rights for those shares exceeding ownership limits may only be restored by approval of either a majority or supermajority of disinterested shares. Thus, control share acquisition statutes effectively require a hostile bidder to put its offer to a shareholder vote or risk voting disenfranchisement if the bidder continues buying up a large block of shares.

Vote FOR proposals to opt out of control share acquisition statutes unless doing so would enable the completion of a takeover that would be detrimental to shareholders.

Vote AGAINST proposals to amend the charter to include control share acquisition provisions.

Vote FOR proposals to restore voting rights to the control shares.

#### Control Share Cash-Out Provisions
Control share cash-out statutes give dissident shareholders the right to "cash-out" of their position in a company at the expense of the shareholder who has taken a control position. In other words, when an investor crosses a preset threshold level, remaining shareholders are given the right to sell their shares to the acquirer, who must buy them at the highest acquiring price.

Vote FOR proposals to opt out of control share cash-out statutes.

#### Disgorgement Provisions
Disgorgement provisions require an acquirer or potential acquirer of more than a certain percentage of a company's stock to disgorge, or pay back, to the company any profits realized from the sale of that company's stock purchased 24 months before achieving control status. All sales of company stock by the acquirer occurring within a certain period of time (between 18 months and 24 months) prior to the investor's gaining control status are subject to these recapture-of-profits provisions.

Vote FOR proposals to opt out of state disgorgement provisions.

#### Fair Price Provisions
Vote CASE-BY-CASE on proposals to adopt fair price provisions (provisions that stipulate that an acquirer must pay the same price to acquire all shares as it paid to acquire the control shares), evaluating factors such as the vote required to approve the proposed acquisition, the vote required to repeal the fair price provision, and the mechanism for determining the fair price.

Generally, vote AGAINST fair price provisions with shareholder vote requirements greater than a majority of disinterested shares.

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#### Freeze-Out Provisions
Vote FOR proposals to opt out of state freeze-out provisions. Freeze-out provisions force an investor who surpasses a certain ownership threshold in a company to wait a specified period of time before gaining control of the company.

#### Greenmail
Greenmail payments are targeted share repurchases by management of company stock from individuals or groups seeking control of the company. Since only the hostile party receives payment, usually at a substantial premium over the market value of its shares, the practice discriminates against all other shareholders.

Vote FOR proposals to adopt anti-greenmail charter or by-law amendments or otherwise restrict a company's ability to make greenmail payments.

Vote CASE-BY-CASE on anti-greenmail proposals when they are bundled with other charter or by-law amendments.

#### Litigation Rights (including Exclusive Venue and Fee-Shifting By-law Provisions) (U.S. only)
Generally, vote FOR federal selection provisions in the charter or bylaws that specify "the district courts of the United States" as the exclusive forum for federal securities law matters, in the absence of serious concerns about corporate governance or board responsiveness to shareholders.

Vote AGAINST provisions that restrict the forum to a particular federal district court; unilateral adoption (without shareholder vote) of such a provision will generally be considered a one-time failure under our Unilateral By-law/Charter Amendments policy.

Generally, vote FOR charter or by-law provisions that specify courts located within the state of Delaware as the exclusive for corporate law matters for Delaware corporations, in the absence of serious concerns about corporate governance or board responsiveness to shareholders.

For states other than Delaware, vote CASE-BY-CASE on exclusive forum provisions, taking into consideration:

1. The company's stated rationale for adopting such a provision;

2. Disclosure of past harm from duplicative shareholder lawsuits in more than one forum;

3. The breadth of application of the charter or by-law provision, including the types of lawsuits to which it would apply and the definition of key terms; and

4. Governance features such as shareholders' ability to repeal the provision at a later date (including the vote standard applied when shareholders attempt to amend the charter or by-laws) and their ability to hold directors accountable through annual director elections and a majority vote standard in uncontested elections.

Generally, vote AGAINST provisions that specify a state other than the state of incorporation as the exclusive forum of corporate law matters, or that specify a particular local court within the state; unilateral adoption of such a provision will generally be considered a one-time failure under our Unilateral By-law/Charter Amendments policy.

Generally, vote AGAINST provisions that mandate fee-shifting whenever plaintiffs are not completely successful on the merits (i.e., including cases where the plaintiffs are partially successful).

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Unilateral adoption of a fee-shifting provision will generally be considered an ongoing failure under our Unilateral By-law/Charter Amendments policy.

#### Poison Pills (Shareholder Rights Plans)
Generally, vote AGAINST or WITHHOLD from all nominees (except new nominees, who should be considered case-by-cast) if:

1. The company has a poison pill with a deadhand or slowhand feature;

2. The board makes a material adverse modification to an existing pill, including, but not limited to, extension, renewal, or lowering the trigger, without shareholder approval, or

3. The company has a long-term poison pill (with a term of over one year) that was not approved by the public shareholders.

Vote CASE-BY-CASE on nominees if the board adopts an initial short-term pill (with a term of one year or less) without shareholder approval, taking into consideration:

1. The trigger threshold and other terms of the pill;

2. The disclosed rationale for the adoption;

3. The context in which the pill was adopted, (e.g., factors such as the company's size and stage of development, sudden changes in its market capitalization, and extraordinary industry-wide or macroeconomic events);

4. A commitment to put any renewal to a shareholder vote;

5. The company's overall track record on corporate governance and responsiveness to shareholders; and

6. Other factors as relevant.

#### Shareholder Proposals to Put Pill to a Vote and/or Adopt a Pill Policy
Vote FOR shareholder proposals requesting that the company submit its poison pill to a shareholder vote or redeem it unless the company has: (1) A shareholder approved poison pill in place; or (2) The company has adopted a policy concerning the adoption of a pill in the future specifying that the board will only adopt a shareholder rights plan if either:

1. Shareholders have approved the adoption of the plan; or

2. The board, in its exercise of its fiduciary responsibilities, determines that it is in the best interest of shareholders under the circumstances to adopt a pill without the delay in adoption that would result from seeking stockholder approval (i.e., the "fiduciary out" provision). A poison pill adopted under this fiduciary out will be put to a shareholder ratification vote within 12 months of adoption or expire. If the pill is not approved by a majority of the votes cast on this issue, the plan will immediately terminate.

If the shareholder proposal calls for a time period of less than 12 months for shareholder ratification after adoption, vote FOR the proposal, but add the caveat that a vote within 12 months would be considered sufficient implementation.

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#### Management Proposals to Ratify a Poison Pill
Vote case-by-case on nominees if the board adopts an initial short-term pill (with a term of one year or less) without shareholder approval, taking into consideration:

1. The disclosed rationale for the adoption;

2. The trigger;

3. The company's market capitalization (including absolute level and sudden changes);

4. A commitment to put any renewal to a shareholder vote; and other factors as relevant.

In addition, the rationale for adopting the pill should be thoroughly explained by the company. In examining the request for the pill, take into consideration the company's existing governance structure, including: board independence, existing takeover defenses, and any problematic governance concerns.

#### Net Operating Losses (NOLs) Protective Amendments and Management Proposals to Ratify a Pill to Preserve NOLs
Vote AGAINST proposals to adopt a protective amendment or poison pill for the stated purpose of protecting a company's net operating losses (NOL) if the term of the protective amendment or pill would exceed the shorter of three years and the exhaustion of the NOL.

Vote CASE-BY-CASE on management proposals for protective amendments or poison pill ratification, considering the following factors, if the term of the pill would be the shorter of three years (or less) and the exhaustion of the NOL:

1. The ownership threshold to transfer (NOL protective amendments and pills generally prohibit stock ownership transfers that would result in a new 5-percent holder or increase the stock ownership percentage of an existing 5-percent holder);

2. The value of the NOLs;

3. Shareholder protection mechanisms (sunset provision or commitment to cause expiration of the pill upon exhaustion or expiration of NOLs);

4. The company's existing governance structure including: board independence, existing takeover defenses, track record of responsiveness to shareholders, and any other problematic governance concerns; and

5. Any other factors that may be applicable.

#### Proxy Voting Disclosure, Confidentiality, and Tabulation
Vote CASE-BY-CASE on proposals regarding proxy voting mechanics, taking into consideration whether implementation of the proposal is likely to enhance or protect shareholder rights. Specific issues covered under the policy include, but are not limited to, confidential voting of individual proxies and ballots, confidentiality of running vote tallies, and the treatment of abstentions and/or broker non-votes in the company's vote-counting methodology.

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While a variety of factors may be considered in each analysis, the guiding principles are: transparency, consistency, and fairness in the proxy voting process. The factors considered, as applicable to the proposal, may include:

1. The scope and structure of the proposal;

2. The company's stated confidential voting policy (or other relevant policies) and whether it ensures a "level playing field" by providing shareholder proponents with equal access to vote information prior to the annual meeting;

3. The company's vote standard for management and shareholder proposals and whether it ensures consistency and fairness in the proxy voting process and maintains the integrity of vote results;

4. Whether the company's disclosure regarding its vote counting method and other relevant voting policies with respect to management and shareholder proposals are consistent and clear;

5. Any recent controversies or concerns related to the company's proxy voting mechanics;

6. Any unintended consequences resulting from implementation of the proposal; and

7. Any other factors that may be relevant.

#### Ratification Proposals: Management Proposals to Ratify Existing Charter or By-law Provisions
Generally, vote AGAINST management proposals to ratify provisions of the company's existing charter or by-laws, unless these governance provisions align with best practice.

In addition, voting AGAINST or WITHHOLD from individual directors, members of the governance committee, or the full board may be warranted, considering:

1. The presence of a shareholder proposal addressing the same issue on the same ballot;

2. The board's rationale for seeking ratification;

3. Disclosure of actions to be taken by the board should the ratification proposal fail;

4. Disclosure of shareholder engagement regarding the board's ratification request;

5. The level of impairment to shareholders' rights caused by the existing provision;

6. The history of management and shareholder proposals on the provision at the company's past meetings;

7. Whether the current provision was adopted in response to the shareholder proposal;

8. The company's ownership structure; and

9. Previous use of ratification proposals to exclude shareholder proposals.

#### Reimbursing Proxy Solicitation Expenses
Vote CASE-BY-CASE on proposals to reimburse proxy solicitation expenses.

When voting in conjunction with support of a dissident slate, vote FOR the reimbursement of all appropriate proxy solicitation expenses associated with the election.

Generally, vote FOR shareholder proposals calling for the reimbursement of reasonable costs incurred in connection with nominating one or more candidates in a contested election where the following apply:

1. The election of fewer than 50 percent of the directors to be elected is contested in the election;

2. One or more of the dissident's candidates is elected;

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3. Shareholders are not permitted to cumulate their votes for directors; and

4. The election occurred, and the expenses were incurred, after the adoption of this by-law.

#### Reincorporation Proposals
Management or shareholder proposals to change a company's state of incorporation should be evaluated CASE-BY-CASE, giving consideration to both financial and corporate governance concerns including the following:

1. Reasons for reincorporation;

2. Comparison of company's governance practices and provisions prior to and following the reincorporation; and

3. Comparison of corporation laws of original state and destination state.

4. Vote FOR reincorporation when the economic factors outweigh any neutral or negative governance changes.

#### Shareholder Ability to Act by Written Consent
Vote AGAINST management and shareholder proposals to restrict or prohibit shareholders' ability to act by written consent.

#### Shareholder Ability to Call Special Meetings
Vote AGAINST management or shareholder proposals to restrict or prohibit shareholders' ability to call special meetings.

Vote FOR management or shareholder proposals that provide shareholders with the ability to call special meetings as long as the proposed minimum threshold is 10 percent or higher, with 10 percent being the preferred percentage.

#### Stakeholder Provisions
Vote AGAINST proposals that ask the board to consider non-shareholder constituencies or other non-financial effects when evaluating a merger or business combination.

#### State Antitakeover Statutes
Vote CASE-BY-CASE on proposals to opt in or out of state takeover statutes (including fair price provisions, stakeholder laws, poison pill endorsements, severance pay and labor contract provisions, and anti-greenmail provisions).

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#### Supermajority Vote Requirements
Vote AGAINST proposals to require a supermajority shareholder vote.

Vote FOR management or shareholder proposals to reduce supermajority vote requirements.

IV. Capital/ Restructuring

#### Adjustments to Par Value of Common Stock
In the U.S. and Korea, vote FOR proposals to reduce/adjust the par value of common stock unless the action is being taken to facilitate an anti-takeover device or some other negative corporate governance action.

Vote FOR management proposals to eliminate par value.

For countries and regions outside the U.S., vote FOR requests to capitalize reserves for bonus issues of shares or to increase par value.

#### Shelf Registration Program
Vote on a CASE-BY-CASE basis on all requests, with or without preemptive rights.

Approval of a multi-year authority for the issuance of securities under Shelf Registration Programs will be considered on a CASE-BY-CASE basis, taking into consideration, but not limited to, the following:

1. Whether the company has provided adequate and timely disclosure including detailed information regarding the rationale for the proposed program;

2. Whether the proposed amount to be approved under such authority, the use of the resources, the length of the authorization, the nature of the securities to be issued under such authority, including any potential risk of dilution to shareholders is disclosed; and

3. Whether there are concerns regarding questionable finances, the use of the proceeds, or other governance concerns

#### Common Stock Authorization/ Share Issuance Requests

#### General Authorization Requests
Vote FOR proposals to increase the number of authorized shares of common stock that are to be used for general corporate purposes:

1. With preemptive rights to a maximum of 50 percent over currently issued capital;

2. Without preemptive rights to a maximum of 10 percent of currently issued capital;

3. In Malaysia, for real estate investment trusts (REITs), issuance requests without preemptive rights to a maximum of 20 percent of currently issued capital;

4. In the U.S., in the case of a stock split, the allowable increase is calculated (per above) based on the post-split adjusted authorization.

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In the U.S., generally vote AGAINST proposed increases, even if within the above ratios, if the proposal or the company's prior or ongoing use of authorized shares is problematic, including, but not limited to:

1. The proposal seeks to increase the number of authorized shares of the class of common stock that has superior voting rights to other share classes;

2. On the same ballot is a proposal for a reverse split for which support is warranted despite the fact that it would result in an excessive increase in the share authorization;

3. The company has a non-shareholder approved poison pill (including an NOL pill); or

4. The company has previous sizeable placements (within the past 3 years) of stock with insiders at prices substantially below market value, or with problematic voting rights, without shareholder approval.

However, generally vote FOR proposed increases beyond the above ratios or problematic situations when there is disclosure of specific and severe risks to shareholders of not approving the request, such as:

1. In, or subsequent to, the company's most recent 10-K filing, the company discloses that there is substantial doubt about its ability to continue as a going concern;

2. The company states that there is a risk of imminent bankruptcy or imminent liquidation if shareholders do not approve the increase in authorized capital; or

3. A government body has in the past year required the company to increase its capital ratios.

For companies incorporated in states that allow increases in authorized capital without shareholder approval, generally vote WITHHOLD or AGAINST all nominees if a unilateral capital authorization increase does not conform to the above policies.

#### Specific Authorization Requests
In the U.S., generally, vote FOR proposals to increase the number of authorized common shares where the primary purpose of the increase is to issue shares in connection with transaction(s) (such as acquisitions, SPAC transactions, private placements, or similar transactions) on the same ballot, or disclosed in the proxy statement, that warrant support.

For such transactions, the allowable increase will be the greater of:

1. twice the amount needed to support the transactions on the ballot, and

2. the allowable increase as calculated for general issuances above.

Elsewhere, vote FOR specific proposals to increase authorized capital to any amount, unless:

1. The specific purpose of the increase (such as a share-based acquisition or merger) does not meet guidelines for the purpose being proposed; or

2. The increase would leave the company with less than 30 percent of its new authorization outstanding after adjusting for all proposed issuances.

Vote AGAINST proposals to adopt unlimited capital authorizations.

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#### Share Issuance Mandates at U.S. Domestic Issuers Incorporated Outside the U.S.
General Recommendation: For U.S. domestic issuers incorporated outside the U.S. and listed solely on a U.S. exchange, generally vote FOR resolutions to authorize the issuance of common shares up to 20 percent of currently issued common share capital, where not tied to a specific transaction or financing proposal.

For pre-revenue or other early-stage companies that are heavily reliant on periodic equity financing, generally vote FOR resolutions to authorize the issuance of common shares up to 50 percent of currently issued common share capital. The burden of proof will be on the company to establish that it has a need for the higher limit.

Renewal of such mandates should be sought at each year's annual meeting.

Vote CASE-BY-CASE on share issuances for a specific transaction or financing proposal.

#### Reduction of Capital
Vote FOR proposals to reduce capital for routine accounting purposes unless the terms are unfavorable to shareholders.

Vote proposals to reduce capital in connection with corporate restructuring on a CASE-BY-CASE basis

#### Dual Class Structure
Generally, vote AGAINST proposals to create or maintain a new class of common stock unless:

1. The company discloses a compelling rationale for the dual-class capital structure, such as:

a. The company's auditor has concluded that there is substantial doubt about the company's ability to continue as a going concern; or

b. The new class of shares will be transitory;

2. The new class is intended for financing purposes with minimal or no dilution to current shareholders in both the short term and long term; and

3. The new class is not designed to preserve or increase the voting power of an insider or significant shareholder.

#### Issue Stock for Use with Rights Plan
Vote AGAINST proposals that increase authorized common stock for the explicit purpose of implementing a non-shareholder-approved shareholder rights plan (poison pill).

#### Preemptive Rights
We vote FOR proposals to create preemptive rights and AGAINST proposals to eliminate preemptive rights.

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#### Preferred Stock Authorization

#### General Authorization Requests
Vote FOR the creation of a new class of preferred stock or for issuances of preferred stock up to 50 percent of issued capital unless the terms of the preferred stock would adversely affect the rights of existing shareholders.

Vote CASE-BY-CASE on proposals to increase the number of authorized shares of preferred stock that are to be used for general corporate purposes:

1. If share usage (outstanding plus reserved) is less than 50% of the current authorized shares, vote for an increase of up to 50% of current authorized shares.

2. If share usage is 50% to 100% of the current authorized, vote for an increase of up to 100% of current authorized shares.

3. If share usage is greater than current authorized shares, vote for an increase of up to the current share usage.

4. In the case of a stock split, the allowable increase is calculated (per above) based on the post-split adjusted authorization.

5. If no preferred shares are currently issued and outstanding, vote against the request, unless the company discloses a specific use for the shares.

Generally, vote AGAINST proposed increases, even if within the above ratios, if the proposal or the company's prior or ongoing use of authorized shares is problematic, including, but not limited to:

1. If the shares requested are blank check preferred shares that can be used for antitakeover purposes;

2. The company seeks to increase a class of non-convertible preferred shares entitled to more than one vote per share on matters that do not solely affect the rights of preferred stockholders "supervoting shares");

3. The company seeks to increase a class of convertible preferred shares entitled to a number of votes greater than the number of common shares into which they're convertible ("supervoting shares") on matters that do not solely affect the rights of preferred stockholders;

4. The stated intent of the increase in the general authorization is to allow the company to increase an existing designated class of supervoting preferred shares;

5. On the same ballot is a proposal for a reverse split for which support is warranted despite the fact that it would result in an excessive increase in the share authorization;

6. The company has a non-shareholder approved poison pill (including an NOL pill); or

7. The company has previous sizeable placements (within the past 3 years) of stock with insiders at prices substantially below market value, or with problematic voting rights, without shareholder approval.

However, generally vote FOR proposed increases beyond the above ratios or problematic situations when there is disclosure of specific and severe risks to shareholders of not approving the request, such as:

1. In, or subsequent to, the company's most recent 10-K filing, the company discloses that there is substantial doubt about its ability to continue as a going concern;

2. The company states that there is a risk of imminent bankruptcy or imminent liquidation if shareholders do not approve the increase in authorized capital; or

3. A government body has in the past year required the company to increase its capital ratios.

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For companies incorporated in states that allow increases in authorized capital without shareholder approval, generally vote WITHHOLD or AGAINST all nominees if a unilateral capital authorization increase does not conform to the above policies.

#### Specific Authorization Requests
Generally vote FOR proposals to increase the number of authorized preferred shares where the primary purpose of the increase is to issue shares in connection with transaction(s) (such as acquisitions, SPAC transactions, private placements, or similar transactions) on the same ballot, or disclosed in the proxy statement, that warrant support. For such transactions, the allowable increase will be the greater of:

1. twice the amount needed to support the transactions on the ballot, and

2. the allowable increase as calculated for general issuances above.

Vote FOR the creation/issuance of convertible preferred stock as long as the maximum number of common shares that could be issued upon conversion meets guidelines on equity issue requests.

#### Recapitalization Plans
Vote CASE-BY-CASE on recapitalizations (reclassifications of securities), taking into account the following:

1. More simplified capital structure;

2. Enhanced liquidity;

3. Fairness of conversion terms;

4. Impact on voting power and dividends;

5. Reasons for the reclassification;

6. Conflicts of interest; and

7. Other alternatives considered.

#### Reverse Stock Splits
Vote FOR management proposals to implement a reverse stock split if:

1. The number of authorized shares will be proportionately reduced; or

2. The effective increase in authorized shares is equal to or less than the allowable increase.

Vote CASE-BY-CASE on proposals that do not meet either of the above conditions, taking into consideration the following factors:

1. Stock exchange notification to the company of a potential delisting;

2. Disclosure of substantial doubt about the company's ability to continue as a going concern without additional financing;

3. The company's rationale; or

4. Other factors as applicable.

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#### Share Repurchase Programs
For U.S.-incorporated companies, and foreign-incorporated U.S. Domestic Issuers that are traded solely on U.S. exchanges, vote FOR management proposals to institute open-market share repurchase plans in which all shareholders may participate on equal terms, or to grant the board authority to conduct open-market repurchases, in the absence of company-specific concerns regarding:

1. Greenmail,

2. The use of buybacks to inappropriately manipulate incentive compensation metrics,

3. Threats to the company's long-term viability, or

4. Other company-specific factors as warranted.

Vote CASE-BY-CASE on proposals to repurchase shares directly from specified shareholders, balancing the stated rationale against the possibility for the repurchase authority to be misused, such as to repurchase shares from insiders at a premium to market price.

Generally, vote FOR market repurchase authorities (share repurchase programs) if the terms comply with the following criteria:

1. A repurchase limit of up to 10 percent of issued share capital;

2. A holding limit of up to 10 percent of a company's issued share capital in treasury ("on the shelf"); and

3. A duration that does not exceed market practice. In Asian markets, a duration of no more than five years, or such lower threshold as may be set by applicable law, regulation or code of governance best practice.

Authorities to repurchase shares in excess of the 10 percent repurchase limit will be assessed on a CASE-BY-CASE basis. Boston Partners may support such share repurchase authorities under special circumstances, which are required to be publicly disclosed by the company, provided that, on balance, the proposal is in shareholders' interests. In such cases, the authority must comply with the following criteria:

1. A holding limit of up to 10 percent of a company's issued share capital in treasury ("on the shelf"); and

2. A duration of no more than 18 months.

In markets where it is normal practice not to provide a repurchase limit, Boston Partners will evaluate the proposal based on the company's historical practice. However, Boston Partners expects companies to disclose such limits and, in the future, may vote AGAINST companies that fail to do so. In such cases, the authority must comply with the following criteria:

1. A holding limit of up to 10 percent of a company's issued share capital in treasury ("on the shelf"); and

2. A duration of no more than 18 months.

In addition, Boston Partners will vote AGAINST any proposal where:

1. The repurchase can be used for takeover defenses;

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2. There is clear evidence of abuse;

3. There is no safeguard against selective buybacks; and/or

4. Pricing provisions and safeguards are deemed to be unreasonable in light of market practice.

#### Reissuance of Repurchased Shares
Vote FOR requests to reissue any repurchased shares unless there is clear evidence of abuse of this authority in the past.

#### Stock Distributions: Splits and Dividends
Generally, vote FOR management proposals to increase the common share authorization for stock split or stock dividend, provided that the effective increase in authorized shares is equal to or is less than the allowable increase(s).

#### Tracking Stock
Vote CASE-BY-CASE on the creation of tracking stock, weighing the strategic value of the transaction against such factors as:

1. Adverse governance changes;

2. Excessive increases in authorized capital stock;

3. Unfair method of distribution;

4. Diminution of voting rights;

5. Adverse conversion features;

6. Negative impact on stock option plans; and

7. Alternatives such as spin-off.

#### Appraisal Rights
Vote FOR proposals to restore or provide shareholders with rights of appraisal.

#### Asset Purchases
Vote CASE-BY-CASE on asset purchase proposals, considering the following factors:

1. Purchase price;

2. Fairness opinion;

3. Financial and strategic benefits;

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4. How the deal was negotiated;

5. Conflicts of interest;

6. Other alternatives for the business;

7. Non-completion risk.

#### Asset Sales
Vote CASE-BY-CASE on asset sales, considering the following factors:

1. Impact on the balance sheet/working capital;

2. Potential elimination of diseconomies;

3. Anticipated financial and operating benefits;

4. Anticipated use of funds;

5. Value received for the asset;

6. Fairness opinion;

7. How the deal was negotiated;

8. Conflicts of interest.

#### Pledging of Assets for Debt
Vote proposals to approve the pledging of assets for debt on a CASE-BY-CASE basis.

#### Increase in Borrowing Powers
Vote proposals to approve increases in a company's borrowing powers on a CASE-BY-CASE basis.

#### Bundled Proposals
Vote CASE-BY-CASE on bundled or "conditional" proxy proposals. In the case of items that are conditioned upon each other, examine the benefits and costs of the packaged items. In instances when the joint effect of the conditioned items is not in shareholders' best interests, vote AGAINST the proposals. If the combined effect is positive, support such proposals.

#### Conversion of Securities
Vote CASE-BY-CASE on proposals regarding conversion of securities. When evaluating these proposals, the investor should review the dilution to existing shareholders, the conversion price relative to market value, financial issues, control issues, termination penalties, and conflicts of interest.

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Vote FOR the conversion if it is expected that the company will be subject to onerous penalties or will be forced to file for bankruptcy if the transaction is not approved.

Vote FOR the creation/issuance of convertible debt instruments as long as the maximum number of common shares that could be issued upon conversion meets guidelines on equity issuance requests.

#### Corporate Reorganization/Debt Restructuring/Prepackaged Bankruptcy Plans/Reverse Leveraged Buyouts/Wrap Plans
Vote CASE-BY-CASE on proposals to increase common and/or preferred shares, with or without preemptive rights, and to issue shares as part of a debt restructuring plan, after evaluating:

1. Dilution to existing shareholders' positions;

2. Terms of the offer - discount/premium in purchase price to investor, including any fairness opinion; termination penalties; exit strategy;

3. Financial issues - company's financial situation; degree of need for capital; use of proceeds; effect of the financing on the company's cost of capital;

4. Management's efforts to pursue other alternatives;

5. Control issues - change in management; change in control, guaranteed board and committee seats; standstill provisions; voting agreements; veto power over certain corporate actions; and

6. Conflict of interest - arm's length transaction, managerial incentives.

Vote FOR the debt restructuring if it is expected that the company will file for bankruptcy if the transaction is not approved.

#### Formation of Holding Company
Vote CASE-BY-CASE on proposals regarding the formation of a holding company, taking into consideration the following:

1. The reasons for the change;

2. Any financial or tax benefits;

3. Regulatory benefits;

4. Increases in capital structure; and

5. Changes to the articles of incorporation or by-laws of the company.

Absent compelling financial reasons for the transaction, vote AGAINST the formation of a holding company if the transaction would include either of the following:

1. Increases in common or preferred stock in excess of the allowable maximum (see discussion under "Capital"); or

2. Adverse changes in shareholder rights.

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#### Going Private and Going Dark Transactions (LBOs and Minority Squeeze-outs)
Vote CASE-BY-CASE on going private transactions, taking into account the following:

1. Offer price/premium;

2. Fairness opinion;

3. How the deal was negotiated;

4. Conflicts of interest;

5. Other alternatives/offers considered; and

6. Non-completion risk.

Vote CASE-BY-CASE on going dark transactions, determining whether the transaction enhances shareholder value by taking into consideration:

1. Whether the company has attained benefits from being publicly traded (examination of trading volume, liquidity, and market research of the stock);

2. Balanced interests of continuing vs. cashed-out shareholders, taking into account the following:

a. Are all shareholders able to participate in the transaction?

b. Will there be a liquid market for remaining shareholders following the transaction?

c. Does the company have strong corporate governance?

d. Will insiders reap the gains of control following the proposed transaction?

e. Does the state of incorporation have laws requiring continued reporting that may benefit shareholders?

**Joint Ventures** 

Vote CASE-BY-CASE on proposals to form joint ventures, taking into account the following:

1. Percentage of assets/business contributed;

2. Percentage ownership;

3. Financial and strategic benefits;

4. Governance structure;

5. Conflicts of interest;

6. Other alternatives; and

7. Non-completion risk.

#### Liquidations
Vote CASE-BY-CASE on liquidations, taking into account the following:

1. Management's efforts to pursue other alternatives;

2. Appraisal value of assets; and

3. The compensation plan for executives managing the liquidation.

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Vote FOR the liquidation if the company will file for bankruptcy if the proposal is not approved.

#### Mergers and Acquisitions
Vote CASE-BY-CASE on mergers and acquisitions. Review and evaluate the merits and drawbacks of the proposed transaction, balancing various and sometimes countervailing factors including:

1. Valuation - Is the value to be received by the target shareholders (or paid by the acquirer) reasonable? While the fairness opinion may provide an initial starting point for assessing valuation reasonableness, emphasis is placed on the offer premium, market reaction, and strategic rationale.

2. Market reaction - How has the market responded to the proposed deal? A negative market reaction should cause closer scrutiny of a deal.

3. Strategic rationale - Does the deal make sense strategically? From where is the value derived? Cost and revenue synergies should not be overly aggressive or optimistic, but reasonably achievable. Management should also have a favorable track record of successful integration of historical acquisitions.

4. Negotiations and process - Were the terms of the transaction negotiated at arm's-length? Was the process fair and equitable? A fair process helps to ensure the best price for shareholders. Significant negotiation "wins" can also signify the deal makers' competency. The comprehensiveness of the sales process (e.g., full auction, partial auction, no auction) can also affect shareholder value.

5. Conflicts of interest - Are insiders benefiting from the transaction disproportionately and inappropriately as compared to non-insider shareholders? As the result of potential conflicts, the directors and officers of the company may be more likely to vote to approve a merger than if they did not hold these interests. Consider whether these interests may have influenced these directors and officers to support or recommend the merger.

6. Governance - Will the combined company have a better or worse governance profile than the current governance profiles of the respective parties to the transaction? If the governance profile is to change for the worse, the burden is on the company to prove that other issues (such as valuation) outweigh any deterioration in governance.

Vote AGAINST if the companies do not provide sufficient information upon request to make an informed voting decision.

#### Private Placements/Warrants/Convertible Debentures
Vote CASE-BY-CASE on proposals regarding private placements, warrants, and convertible debentures taking into consideration:

1. Dilution to existing shareholders' position: The amount and timing of shareholder ownership dilution should be weighed against the needs and proposed shareholder benefits of the capital infusion. Although newly issued common stock, absent preemptive rights, is typically dilutive to existing shareholders, share price appreciation is often the necessary event to trigger the exercise of "out of the money" warrants and convertible debt. In these instances, from a value standpoint, the negative impact of dilution is mitigated by the increase in the company's stock price that must occur to trigger the dilutive event.

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2. Terms of the offer (discount/premium in purchase price to investor, including any fairness opinion, conversion features, termination penalties, exit strategy):

a. The terms of the offer should be weighed against the alternatives of the company and in light of company's financial condition. Ideally, the conversion price for convertible debt and the exercise price for warrants should be at a premium to the then prevailing stock price at the time of private placement.

b. When evaluating the magnitude of a private placement discount or premium, consider factors that influence the discount or premium, such as, liquidity, due diligence costs, control and monitoring costs, capital scarcity, information asymmetry, and anticipation of future performance.

3. Financial issues:

a. The company's financial condition;

b. Degree of need for capital;

c. Use of proceeds;

d. Effect of the financing on the company's cost of capital;

e. Current and proposed cash burn rate;

f. Going concern viability and the state of the capital and credit markets.

4. Management's efforts to pursue alternatives and whether the company engaged in a process to evaluate alternatives: A fair, unconstrained process helps to ensure the best price for shareholders. Financing alternatives can include joint ventures, partnership, merger, or sale of part or all of the company.

5. Control issues:

a. Change in management;

b. Change in control;

c. Guaranteed board and committee seats;

d. Standstill provisions;

e. Voting agreements;

f. Veto power over certain corporate actions; and

g. Minority versus majority ownership and corresponding minority discount or majority control premium.

6. Conflicts of interest:

a. Conflicts of interest should be viewed from the perspective of the company and the investor.

b. Were the terms of the transaction negotiated at arm's length? Are managerial incentives aligned with shareholder interests?

7. Market reaction: The market's response to the proposed deal. A negative market reaction is a cause for concern. Market reaction may be addressed by analyzing the one day impact on the unaffected stock price.

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Vote FOR the private placement, or for the issuance of warrants and/or convertible debentures in a private placement, if it is expected that the company will file for bankruptcy if the transaction is not approved.

#### Reorganization/Restructuring Plan (Bankruptcy)
Vote CASE-BY-CASE on proposals to common shareholders on bankruptcy plans of reorganization, considering the following factors including, but not limited to:

1. Estimated value and financial prospects of the reorganized company;

2. Percentage ownership of current shareholders in the reorganized company;

3. Whether shareholders are adequately represented in the reorganization process (particularly through the existence of an Official Equity Committee);

4. The cause(s) of the bankruptcy filing, and the extent to which the plan of reorganization addresses the cause(s);

5. Existence of a superior alternative to the plan of reorganization; and

6. Governance of the reorganized company.

#### Special Purpose Acquisition Corporations (SPACs)
Vote CASE-BY-CASE on SPAC mergers and acquisitions taking into account the following:

1. Valuation

2. Market reaction

3. Deal timing

4. Negotiations and process.

5. Conflicts of interest

6. Voting agreements

7. Governance

#### Special Purpose Acquisition Corporations (SPACs) - Proposals for Extensions
Generally support requests to extend the termination date by up to one year from the SPAC's original termination date (inclusive of any built-in extension options, and accounting for prior extension requests).

Other factors that may be considered include: any added incentives, business combination status, other amendment terms, and, if applicable, use of money in the trust fund to pay excise taxes on redeemed shares.

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#### Spin-offs
Vote CASE-BY-CASE on spin-offs, considering:

1. Tax and regulatory advantages;

2. Planned use of the sale proceeds;

3. Valuation of spinoff;

4. Fairness opinion;

5. Benefits to the parent company;

6. Conflicts of interest;

7. Managerial incentives;

8. Corporate governance changes;

9. Changes in the capital structure.

#### Value Maximization Shareholder Proposals
Vote CASE-BY-CASE on shareholder proposals seeking to maximize shareholder value by:

1. Hiring a financial advisor to explore strategic alternatives;

2. Selling the company; or

3. Liquidating the company and distributing the proceeds to shareholders.

These proposals should be evaluated based on the following factors:

1. Prolonged poor performance with no turnaround in sight;

2. Signs of entrenched board and management (such as the adoption of takeover defenses);

3. Strategic plan in place for improving value;

4. Likelihood of receiving reasonable value in a sale or dissolution; and

5. The company actively exploring its strategic options, including retaining a financial advisor.

V. Compensation

#### Advisory Votes on Executive Compensation—Management Proposals (Management Say-on-Pay)
Vote CASE-BY-CASE on ballot items related to executive pay and practices, as well as certain aspects of outside director compensation.

Vote AGAINST Advisory Votes on Executive Compensation (Say-on-Pay or "SOP") if:

1. There is an unmitigated misalignment between CEO pay and company performance (pay for performance);

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2. The company maintains significant problematic pay practices;

3. The board exhibits a significant level of poor communication and responsiveness to shareholders.

Vote AGAINST or WITHHOLD from the members of the Compensation Committee and potentially the full board if:

1. There is no SOP on the ballot, and an AGAINST vote on SOP would otherwise be warranted due to pay-for-performance misalignment, problematic pay practices, or the lack of adequate responsiveness on compensation issues raised previously, or a combination thereof;

2. The board fails to respond adequately to a previous SOP proposal that received less than 70 percent support of votes cast;

3. The company has recently practiced or approved problematic pay practices, such as option repricing or option backdating; or

4. The situation is egregious.

#### Primary Evaluation Factors for Executive Pay
Pay-for-Performance Evaluation

Analysis considers the following:

1. Peer Group Alignment:

a. The degree of alignment between the company's annualized TSR rank and the CEO's annualized total pay rank within a peer group, each measured over a three-year period.

b. The rankings of CEO total pay and company financial performance within a peer group, each measured over a three-year period.

c. The multiple of the CEO's total pay relative to the peer group median in the most recent fiscal year.

2. Absolute Alignment – the absolute alignment between the trend in CEO pay and company TSR over the prior five fiscal years – i.e., the difference between the trend in annual pay changes and the trend in annualized TSR during the period.

If the above analysis demonstrates significant unsatisfactory long-term pay-for-performance alignment or, in the case of companies outside the Russell indices, misaligned pay and performance are otherwise suggested, our analysis may include any of the following qualitative factors, as relevant to evaluating how various pay elements may work to encourage or to undermine long-term value creation and alignment with shareholder interests:

1. The ratio of performance- to time-based incentive awards;

2. The overall ratio of performance-based compensation;

3. The completeness of disclosure and rigor of performance goals;

4. The company's peer group benchmarking practices;

5. Actual results of financial/operational metrics, both absolute and relative to peers;

6. Special circumstances related to, for example, a new CEO in the prior FY or anomalous equity grant practices (e.g., bi-annual awards);

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7. Realizable pay compared to grant pay; and

8. Any other factors deemed relevant.

#### Problematic Pay Practices
The focus is on executive compensation practices that contravene the global pay principles, including:

1. Problematic practices related to non-performance-based compensation elements;

2. Incentives that may motivate excessive risk-taking or present a windfall risk; and

3. Pay decisions that circumvent pay-for-performance, such as options backdating or waiving performance requirements.

#### Problematic Pay Practices related to Non-Performance-Based Compensation Elements
Pay elements that are not directly based on performance are generally evaluated CASE-BY-CASE considering the context of a company's overall pay program and demonstrated pay-for-performance philosophy. The list below highlights the problematic practices that carry significant weight in this overall consideration and may result in an adverse vote:

1. Repricing or replacing of underwater stock options/SARS without prior shareholder approval (including cash buyouts and voluntary surrender of underwater options);

2. Extraordinary perquisites or tax gross-ups;

3. New or materially amended agreements that provide for:

a. Excessive termination or CIC severance payments (generally exceeding 3 times base salary and average/target/most recent bonus);

b. CIC severance payments without involuntary job loss or substantial diminution of duties ("single" or "modified single" triggers) or in connection with a problematic Good Reason definition;

c. CIC excise tax gross-up entitlements (including "modified" gross-ups);

d. Multi-year guaranteed awards that are not at risk due to rigorous performance conditions;

e. Liberal CIC definition combined with any single-trigger CIC benefits;

4. Insufficient executive compensation disclosure by externally-managed issuers (EMIs) such that a reasonable assessment of pay programs and practices applicable to the EMI's executives is not possible;

5. Any other provision or practice deemed to be egregious and present a significant risk to investors.

#### Options Backdating
The following factors should be examined CASE-BY-CASE to allow for distinctions to be made between "sloppy" plan administration versus deliberate action or fraud:

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1. Reason and motive for the options backdating issue, such as inadvertent vs. deliberate grant date changes;

2. Duration of options backdating;

3. Size of restatement due to options backdating;

4. Corrective actions taken by the board or compensation committee, such as canceling or re-pricing backdated options, the recouping of option gains on backdated grants; and

5. Adoption of a grant policy that prohibits backdating and creates a fixed grant schedule or window period for equity grants in the future.

#### Frequency of Advisory Vote on Executive Compensation ("Say When on Pay")
Vote FOR annual advisory votes on compensation, which provide the most consistent and clear communication channel for shareholder concerns about companies' executive pay programs.

#### Voting on Golden Parachutes in an Acquisition, Merger, Consolidation, or Proposed Sale
Vote CASE-BY-CASE on Golden Parachute proposals, including consideration of existing change-in-control arrangements maintained with named executive and non-executive officers rather than focusing primarily on new or extended arrangements.

Features that may result in an AGAINST vote include one or more of the following, depending on the number, magnitude, and/or timing of issue(s):

1. Single- or modified-single-trigger cash severance;

2. Single-trigger acceleration of unvested equity awards;

3. Full acceleration of equity awards granted shortly before the change in control;

4. Acceleration of performance awards above the target level of performance without compelling rationale;

5. Excessive cash severance (generally >3x base salary and bonus);

6. Excise tax gross-ups triggered and payable;

7. Excessive golden parachute payments (on an absolute basis or as a percentage of transaction equity value); or

8. Recent amendments that incorporate any problematic features (such as those above) or recent actions (such as extraordinary equity grants) that may make packages so attractive as to influence merger agreements that may not be in the best interests of shareholders; or

9. The company's assertion that a proposed transaction is conditioned on shareholder approval of the golden parachute advisory vote.

Recent amendment(s) that incorporate problematic features will tend to carry more weight on the overall analysis. However, the presence of multiple legacy problematic features will also be closely scrutinized.

In cases where the golden parachute vote is incorporated into a company's advisory vote on compensation (management say-on-pay), evaluate the say-on-pay proposal in accordance with these guidelines, which may give higher weight to that component of the overall evaluation.

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#### Equity-Based and Other Incentive Plans
Vote CASE-BY-CASE on certain equity-based compensation plans depending on a combination of certain plan features and equity grant practices, where positive factors may counterbalance negative factors, and vice versa, as evaluated using an "Equity Plan Scorecard" (EPSC) approach with three pillars:

1. Plan Cost: The total estimated cost of the company's equity plans relative to industry/market cap peers, measured by the company's estimated Shareholder Value Transfer (SVT) in relation to peers and considering both:

a. SVT based on new shares requested plus shares remaining for future grants, plus outstanding unvested/unexercised grants; and

b. SVT based only on new shares requested plus shares remaining for future grants.

2. Plan Features:

a. General quality of disclosure, especially around vesting upon a change in control (CIC);

b. Discretionary vesting authority;

c. Liberal share recycling on various award types;

d. Lack of minimum vesting period for grants made under the plan;

e. Dividends payable prior to award vesting.

3. Grant Practices:

a. The company's three-year burn rate relative to its industry/market cap peers (shouldn't exceed 3.5%);

b. Vesting requirements in CEO's recent equity grants (3-year look-back);

c. The estimated duration of the plan (based on the sum of shares remaining available and the new shares requested, divided by the average annual shares granted in the prior three years);

d. The proportion of the CEO's most recent equity grants/awards subject to performance conditions;

e. Whether the company maintains a sufficient claw-back policy;

f. Whether the company maintains sufficient post-exercise/vesting share-holding requirements.

Generally, vote AGAINST the plan proposal if the combination of above factors indicates that the plan is not, overall, in shareholders' interests, or if any of the following egregious factors ("overriding factors") apply:

1. Awards may vest in connection with a liberal change-of-control definition;

2. The plan would permit repricing or cash buyout of underwater options without shareholder approval (either by expressly permitting it – for NYSE and Nasdaq listed companies – or by not prohibiting it when the company has a history of repricing – for non-listed companies);

3. The plan is a vehicle for problematic pay practices or a significant pay-for-performance disconnect under certain circumstances;

4. The plan is excessively dilutive to shareholders' holdings;

5. The plan contains an evergreen (automatic share replenishment) feature; or

6. Any other plan features are determined to have a significant negative impact on shareholder interests.

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#### Further Information on certain EPSC Factors

#### SVT
The cost of the equity plans is expressed as SVT, which is measured using a binomial option pricing model that assesses the amount of shareholders' equity flowing out of the company to employees and directors. SVT is expressed as both a dollar amount and as a percentage of market value, and includes the new shares proposed, shares available under existing plans, and shares granted but unexercised (using two measures, in the case of plans subject to the Equity Plan Scorecard evaluation, as noted above). All award types are valued. For omnibus plans, unless limitations are placed on the most expensive types of awards (for example, full-value awards), the assumption is made that all awards to be granted will be the most expensive types. See discussion of specific types of awards.

Except for proposals subject to Equity Plan Scorecard evaluation, SVT is reasonable if it falls below a company-specific benchmark. The benchmark is determined as follows: The top quartile performers in each industry group (using the Global Industry Classification Standard: GICS) are identified. Benchmark SVT levels for each industry are established based on these top performers' historic SVT. Regression analyses are run on each industry group to identify the variables most strongly correlated to SVT. The benchmark industry SVT level is then adjusted upwards or downwards for the specific company by plugging the company-specific performance measures, size and cash compensation into the industry cap equations to arrive at the company's benchmark.

For meetings held prior to February 1, 2023, three-Year Burn Rate Burn-rate benchmarks (utilized in Equity Plan Scorecard evaluations) are calculated as the greater of: (1) the mean (µ) plus one standard deviation (σ) of the company's GICS group segmented by S&P 500, Russell 3000 index (less the S&P500), and non-Russell 3000 index; and (2) two percent of weighted common shares outstanding. In addition, year-over-year burn-rate benchmark changes will be limited to a maximum of two (2) percentage points plus or minus the prior year's burn-rate benchmark.

For meetings held prior to February 1, 2023, a company's adjusted burn rate is calculated as follows:

Burn Rate = (# of appreciation awards granted + # of full value awards granted \* Volatility Multiplier) / Weighted average common shares outstanding

The Volatility Multiplier is used to provide more equivalent valuation between stock options and full value shares, based on the company's historical stock price volatility.

Effective for meetings held on or after February 1, 2023, a "Value-Adjusted Burn Rate" is used for stock plan evaluations. Value-Adjusted Burn Rate benchmarks will be calculated as the greater of: (1) an industry-specific threshold based on three-year burn rates within the company's GICS group segmented by S&P 500, Russell 3000 index (less the S&P 500) and non-Russell 3000 index; and (2) a de minimis threshold established separately for each of the S&P 500, the Russell 3000 index less the S&P 500, and the non-Russell 3000 index. Year-over-year burn-rate benchmark changes will be limited to a predetermined range above or below the prior year's burn-rate benchmark.

The Value-Adjusted Burn Rate will be calculated as follows:

Value-Adjusted Burn Rate = ((# of options \* option's dollar value using a Black-Scholes model) + (# of full-value awards \* stock price)) / (Weighted average common shares \* stock price).

Boston Partners will vote AGAINST plans if the three-year average adjusted and value adjusted burn rate exceeds 3.5 percent.

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#### Egregious Factors
*Liberal Change in Control Definition* 

Generally, vote AGAINST equity plans if the plan has a liberal definition of change in control and the equity awards could vest upon such liberal definition of change in control, even though an actual change in control may not occur. Examples of such a definition include, but are not limited to, announcement or commencement of a tender offer, provisions for acceleration upon a "potential" takeover, shareholder approval of a merger or other transactions, or similar language.

*Repricing Provisions* 

Vote AGAINST plans that expressly permit the repricing or exchange of underwater stock options/stock appreciate rights (SARs) without prior shareholder approval. "Repricing" typically includes the ability to do any of the following:

1. Amend the terms of outstanding options or SARs to reduce the exercise price of such outstanding options or SARs;

2. Cancel outstanding options or SARs in exchange for options or SARs with an exercise price that is less than the exercise price of the original options or SARs;

3. The cancellation of underwater options in exchange for stock awards; or

4. Cash buyouts of underwater options.

While the above cover most types of repricing, Boston Partners may view other provisions as akin to repricing depending on the facts and circumstances.

Also, vote AGAINST or WITHHOLD from members of the Compensation Committee who approved repricing (as defined above or otherwise determined by Boston Partners), without prior shareholder approval, even if such repricings are allowed in their equity plan.

Vote AGAINST plans that do not expressly prohibit repricing or cash buyout of underwater options without shareholder approval if the company has a history of repricing/buyouts without shareholder approval, and the applicable listing standards would not preclude them from doing so.

*Problematic Pay Practices or Significant Pay-for-Performance Disconnect* 

If the equity plan on the ballot is a vehicle for problematic pay practices, vote AGAINST the plan.

May vote AGAINST the equity plan if the plan is determined to be a vehicle for pay-for-performance misalignment. Considerations in voting AGAINST the equity plan may include, but are not limited to:

1. Severity of the pay-for-performance misalignment;

2. Whether problematic equity grant practices are driving the misalignment; and/or

3. Whether equity plan awards have been heavily concentrated to the CEO and/or the other NEOs.

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*Amending Cash and Equity Plans* 

Vote CASE-BY-CASE on amendments to cash and equity incentive plans.

Generally, vote FOR proposals to amend executive cash, stock, or cash and stock incentive plans if the proposal addresses administrative features only. Vote CASE-BY-CASE on all other proposals to amend cash incentive plans. This includes plans presented to shareholders for the first time after the company's IPO and/or proposals that bundle material amendment(s).

Vote CASE-BY-CASE on all other proposals to amend equity incentive plans, considering the following:

1. If the proposal requests additional shares and/or the amendments include a term extension or addition of full value awards as an award type, the vote will be based on the Equity Plan Scorecard evaluation as well as an analysis of the overall impact of the amendments.

2. If the plan is being presented to shareholders for the first time (including after the company's IPO), whether or not additional shares are being requested, the vote will be based on the Equity Plan Scorecard evaluation as well as an analysis of the overall impact of any amendments.

3. If there is no request for additional shares and the amendments do not include a term extension or addition of full value awards as an award type, then the vote will be based entirely on an analysis of the overall impact of the amendments, and the EPSC evaluation will be shown only for informational purposes.

In the first two CASE-BY-CASE evaluation scenarios, the EPSC evaluation/score is the more heavily weighted consideration.

*Specific Treatment of Certain Award Types in Equity Plan Evaluations: Dividend Equivalent Rights* 

Options that have Dividend Equivalent Rights (DERs) associated with them will have a higher calculated award value than those without DERs under the binomial model, based on the value of these dividend streams. The higher value will be applied to new shares, shares available under existing plans, and shares awarded but not exercised per the plan specifications. DERS transfer more shareholder equity to employees and non- executive directors and this cost should be captured.

*Operating Partnership (OP) Units in Equity Plan Analysis of Real Estate Investment Trusts (REITs)* 

For Real Estate Investment Trusts (REITS), include the common shares issuable upon conversion of outstanding Operating Partnership (OP) units in the share count for the purposes of determining: (1) market capitalization in the SVT analysis and (2) shares outstanding in the burn rate analysis.

#### Other Compensation Plans

#### 401(k) Employee Benefit Plans
Vote FOR proposals to implement a 401(k) savings plan for employees.

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**Employee Stock Ownership Plans (ESOPs)** 

Vote FOR proposals to implement an ESOP or increase authorized shares for existing ESOPs, unless the number of shares allocated to the ESOP is excessive (more than five percent of outstanding shares).

#### Employee Stock Purchase Plans—Qualified Plans
Vote CASE-BY-CASE on qualified employee stock purchase plans. Vote FOR employee stock purchase plans where all of the following apply:

1. Purchase price is at least 85 percent of fair market value;

2. Offering period is 27 months or less; and

3. The number of shares allocated to the plan is 10 percent or less of the outstanding shares.

Vote AGAINST qualified employee stock purchase plans where any of the following apply:

1. Purchase price is less than 85 percent of fair market value; or

2. Offering period is greater than 27 months; or

3. The number of shares allocated to the plan is more than 10 percent of the outstanding shares.

#### Employee Stock Purchase Plans—Non-Qualified Plans
Vote CASE-BY-CASE on nonqualified employee stock purchase plans. Vote FOR nonqualified employee stock purchase plans with all the following features:

1. Broad-based participation (i.e., all employees of the company with the exclusion of individuals with 5 percent or more of beneficial ownership of the company);

2. Limits on employee contribution, which may be a fixed dollar amount or expressed as a percent of base salary;

3. Company matching contribution up to 25 percent of employee's contribution, which is effectively a discount of 20 percent from market value; and

4. No discount on the stock price on the date of purchase when there is a company matching contribution.

Vote AGAINST nonqualified employee stock purchase plans when the plan features do not meet all of the above criteria. If the matching contribution or effective discount exceeds the above, may evaluate the SVT cost of the plan as part of the assessment.

#### Option Exchange Programs/Repricing Options
Vote CASE-BY-CASE on management proposals seeking approval to exchange/reprice options taking into consideration:

1. Historic trading patterns--the stock price should not be so volatile that the options are likely to be back "in-the-money" over the near term;

2. Rationale for the re-pricing--was the stock price decline beyond management's control?;

3. Is this a value-for-value exchange?;

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4. Are surrendered stock options added back to the plan reserve?;

5. Timing—repricing should occur at least one year out from any precipitous drop in company's stock price;

6. Option vesting—does the new option vest immediately or is there a black-out period?;

7. Term of the option--the term should remain the same as that of the replaced option;

8. Exercise price—should be set at fair market or a premium to market;

9. Participants—executive officers and directors must be excluded.

If the surrendered options are added back to the equity plans for re-issuance, then also take into consideration the company's total cost of equity plans and its three-year average burn rate (shouldn't exceed 3.5%).

In addition to the above considerations, evaluate the intent, rationale, and timing of the repricing proposal. The proposal should clearly articulate why the board is choosing to conduct an exchange program at this point in time. Repricing underwater options after a recent precipitous drop in the company's stock price demonstrates poor timing and warrants additional scrutiny. Also, consider the terms of the surrendered options, such as the grant date, exercise price and vesting schedule. Grant dates of surrendered options should be far enough back (two to three years) so as not to suggest that repricings are being done to take advantage of short-term downward price movements. Similarly, the exercise price of surrendered options should be above the 52-week high for the stock price.

Vote FOR shareholder proposals to put option repricings to a shareholder vote.

#### Stock Plans in Lieu of Cash
Vote CASE-BY-CASE on plans that provide participants with the option of taking all or a portion of their cash compensation in the form of stock.

Vote non- executive director-only equity plans that provide a dollar-for-dollar cash-for-stock exchange.

Vote CASE-BY-CASE on plans which do not provide a dollar-for-dollar cash for stock exchange. In cases where the exchange is not dollar-for-dollar, the request for new or additional shares for such equity program will be considered using the binomial option pricing model. In an effort to capture the total cost of total compensation, no adjustments will be made to carve out the in-lieu-of cash compensation.

#### Transfer Stock Option (TSO) Programs
One-time Transfers: Vote AGAINST or WITHHOLD from compensation committee members if they fail to submit one-time transfers to shareholders for approval.

Vote CASE-BY-CASE on one-time transfers. Vote FOR if:

1. Executive officers and non- executive directors are excluded from participating;

2. Stock options are purchased by third-party financial institutions at a discount to their fair value using option pricing models such as Black-Scholes or a Binomial Option Valuation or other appropriate financial models; and

3. There is a two-year minimum holding period for sale proceeds (cash or stock) for all participants.

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Additionally, management should provide a clear explanation of why options are being transferred to a third-party institution and whether the events leading up to a decline in stock price were beyond management's control. A review of the company's historic stock price volatility should indicate if the options are likely to be back "in-the-money" over the near term.

Ongoing TSO program: Vote AGAINST equity plan proposals if the details of ongoing TSO programs are not provided to shareholders. Since TSOs will be one of the award types under a stock plan, the ongoing TSO program, structure and mechanics must be disclosed to shareholders. The specific criteria to be considered in evaluating these proposals include, but not limited, to the following:

1. Eligibility;

2. Vesting;

3. Bid-price;

4. Term of options;

5. Cost of the program and impact of the TSOs on company's total option expense; and

6. Option repricing policy.

Amendments to existing plans that allow for introduction of transferability of stock options should make clear that only options granted post-amendment shall be transferable.

#### Director Compensation

#### Non- Executive Directors
Vote FOR proposals to award cash fees to non-executive directors unless the amounts are excessive relative to other companies in the country or industry.

Vote CASE-BY-CASE on management proposals seeking ratification of non- executive director compensation, based on the following factors:

1. If the equity plan under which non- executive director grants are made is bundled into a single resolution or is on the ballot, whether or not it warrants support; and

2. An assessment of the following qualitative factors:

a. The relative magnitude of director compensation as compared to companies of a similar profile;

b. The presence of problematic pay practices relating to director compensation;

c. Director stock ownership guidelines and holding requirements;

d. Equity award vesting schedules;

e. The mix of cash and equity-based compensation;

f. Meaningful limits on director compensation;

g. The availability of retirement benefits or perquisites; and

h. The quality of disclosure surrounding director compensation.

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#### Equity Plans for Non- Executive Directors
Vote CASE-BY-CASE on compensation plans for non- executive directors, based on:

1. The total estimated cost of the company's equity plans relative to industry/market cap peers, measured by the company's estimated SVT based on new shares requested plus shares remaining for future grants, plus outstanding unvested/unexercised grants;

2. The company's three-year burn rate relative to its industry/market cap peers (in certain circumstances) (shouldn't exceed 3.5%); and

3. The presence of any egregious plan features (such as an option repricing provision or liberal CIC vesting risk).

On occasion, non- executive director stock plans will exceed the plan cost or burn-rate benchmarks when combined with employee or executive stock plans. In such cases, vote CASE-BY-CASE on the plan taking into consideration the following qualitative factors:

1. The relative magnitude of director compensation as compared to companies of a similar profile;

2. The presence of problematic pay practices relating to director compensation;

3. Director stock ownership guidelines and holding requirements;

4. Equity award vesting schedules;

5. The mix of cash and equity-based compensation;

6. Meaningful limits on director compensation;

7. The availability of retirement benefits or perquisites; and

8. The quality of disclosure surrounding director compensation.

#### Non- Executive Director Retirement Plans
Vote AGAINST retirement plans for non- executive directors. Vote FOR shareholder proposals to eliminate retirement plans for non- executive directors.

#### Shareholder Proposals on Compensation
Bonus Banking/Bonus Banking "Plus"

Vote CASE-BY-CASE on proposals seeking deferral of a portion of annual bonus pay, with ultimate payout linked to sustained results for the performance metrics on which the bonus was earned (whether for the named executive officers or a wider group of employees), taking into account the following factors:

1. The company's past practices regarding equity and cash compensation;

2. Whether the company has a holding period or stock ownership requirements in place, such as a meaningful retention ratio (at least 50 percent for full tenure); and

3. Whether the company has a rigorous claw-back policy in place.

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#### Compensation Consultants—Disclosure of Board or Company's Utilization
Generally, vote FOR shareholder proposals seeking disclosure regarding the Company, Board, or Compensation Committee's use of compensation consultants, such as company name, business relationship(s), and fees paid.

Disclosure/Setting Levels or Types of Compensation for Executives and Directors

Generally, vote FOR shareholder proposals seeking additional disclosure of executive and director pay information, provided the information requested is relevant to shareholders' needs, would not put the company at a competitive disadvantage relative to its industry, and is not unduly burdensome to the company.

Generally, vote AGAINST shareholder proposals seeking to set absolute levels on compensation or otherwise dictate the amount or form of compensation (such as types of compensation elements or specific metrics) to be used for executive or directors.

Generally, vote AGAINST shareholder proposals that mandate a minimum amount of stock that directors must own in order to qualify as a director or to remain on the board.

Vote CASE-BY-CASE on all other shareholder proposals regarding executive and director pay, taking into account relevant factors, including but not limited to: company performance, pay level and design versus peers, history of compensation concerns or pay-for-performance disconnect, and/or the scope and prescriptive nature of the proposal.

#### Golden Coffins/Executive Death Benefits
Generally, vote FOR proposals calling for companies to adopt a policy of obtaining shareholder approval for any future agreements and corporate policies that could oblige the company to make payments or awards following the death of a senior executive in the form of unearned salary or bonuses, accelerated vesting or the continuation in force of unvested equity grants, perquisites and other payments or awards made in lieu of compensation. This would not apply to any benefit programs or equity plan proposals for which the broad-based employee population is eligible.

#### Hold Equity Past Retirement or for a Significant Period of Time
Vote CASE-BY-CASE on shareholder proposals asking companies to adopt policies requiring senior executive officers to retain a portion of net shares acquired through compensation plans. The following factors will be taken into account:

1. The percentage/ratio of net shares required to be retained;

2. The time period required to retain the shares;

3. Whether the company has equity retention, holding period, and/or stock ownership requirements in place and the robustness of such requirements;

4. Whether the company has any other policies aimed at mitigating risk taking by executives;

5. Executives' actual stock ownership and the degree to which it meets or exceeds the proponent's suggested holding period/retention ratio or the company's existing requirements; and

6. Problematic pay practices, current and past, which may demonstrate a short-term versus long-term focus.

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#### Non-Deductible Compensation (U.S.)
Generally, vote FOR proposals seeking disclosure of the extent to which the company paid non-deductible compensation to senior executives under U.S. Internal Revenue Code Section 162(m), while considering the company's existing disclosure practices. Section 162(m) imposes a $1 million annual limit on the amount of compensation that a publicly held corporation can deduct with respect to certain executives.

#### Pay Disparity
Vote CASE-BY-CASE on proposals calling for an analysis of the pay disparity between corporate executives and other non-executive employees. The following factors will be considered:

1. The company's current level of disclosure of its executive compensation setting process, including how the company considers pay disparity;

2. If any problematic pay practices or pay-for-performance concerns have been identified at the company; and

3. The level of shareholder support for the company's pay programs.

Generally, vote AGAINST proposals calling for the company to use the pay disparity analysis or pay ratio in a specific way to set or limit executive pay.

#### Pay for Performance/Performance-Based Awards
Vote CASE-BY-CASE on shareholder proposals requesting that a significant amount of future long-term incentive compensation awarded to senior executives shall be performance-based and requesting that the board adopt and disclose challenging performance metrics to shareholders, based on the following analytical steps:

1. First, vote FOR shareholder proposals advocating the use of performance-based equity awards, such as performance contingent options or restricted stock, indexed options or premium-priced options, unless the proposal is overly restrictive or if the company has demonstrated that it is using a "substantial" portion of performance-based awards for its top executives. Standard stock options and performance-accelerated awards do not meet the criteria to be considered as performance-based awards. Further, premium-priced options should have a meaningful premium to be considered performance-based awards.

2. Second, assess the rigor of the company's performance-based equity program. If the bar set for the performance-based program is too low based on the company's historical or peer group comparison, generally vote FOR the proposal. Furthermore, if target performance results in an above target payout, vote FOR the shareholder proposal due to program's poor design. If the company does not disclose the performance metric of the performance-based equity program, vote FOR the shareholder proposal regardless of the outcome of the first step to the test.

In general, vote FOR the shareholder proposal if the company does not meet both of the above two steps.

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#### Pay for Superior Performance
Vote CASE-BY-CASE on shareholder proposals that request the board establish a pay-for-superior performance standard in the company's executive compensation plan for senior executives. These proposals generally include the following principles:

1. Set compensation targets for the plan's annual and long-term incentive pay components at or below the peer group median;

2. Deliver a majority of the plan's target long-term compensation through performance-vested, not simply time-vested, equity awards;

3. Provide the strategic rationale and relative weightings of the financial and non-financial performance metrics or criteria used in the annual and performance-vested long-term incentive components of the plan;

4. Establish performance targets for each plan financial metric relative to the performance of the company's peer companies;

5. Limit payment under the annual and performance-vested long-term incentive components of the plan to when the company's performance on its selected financial performance metrics exceeds peer group median performance.

Consider the following factors in evaluating this proposal:

1. What aspects of the company's annual and long-term equity incentive programs are performance driven?

2. If the annual and long-term equity incentive programs are performance driven, are the performance criteria and hurdle rates disclosed to shareholders or are they benchmarked against a disclosed peer group?

3. Can shareholders assess the correlation between pay and performance based on the current disclosure?

4. What type of industry and stage of business cycle does the company belong to?

#### Pre-Arranged Trading Plans (10b5-1 Plans)
Generally, vote FOR shareholder proposals calling for certain principles regarding the use of prearranged trading plans (10b5-1 plans) for executives. These principles include:

1. Adoption, amendment, or termination of a 10b5-1 Plan must be disclosed within two business days in a Form 8-K;

2. Amendment or early termination of a 10b5-1 Plan is allowed only under extraordinary circumstances, as determined by the board;

3. Ninety days must elapse between adoption or amendment of a 10b5-1 Plan and initial trading under the plan;

4. Reports on Form 4 must identify transactions made pursuant to a 10b5-1 Plan;

5. An executive may not trade in company stock outside the 10b5-1 Plan;

6. Trades under a 10b5-1 Plan must be handled by a broker who does not handle other securities transactions for the executive.

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#### Prohibit Outside CEOs from Serving on Compensation Committees
Generally, vote AGAINST proposals seeking a policy to prohibit any outside CEO from serving on a company's compensation committee, unless the company has demonstrated problematic pay practices that raise concerns about the performance and composition of the committee.

#### Recoupment of Incentive or Stock Compensation in Specified Circumstances
Vote CASE-BY-CASE on proposals to recoup incentive cash or stock compensation made to senior executives if it is later determined that the figures upon which incentive compensation is earned turn out to have been in error, or if the senior executive has breached company policy or has engaged in misconduct that may be significantly detrimental to the company's financial position or reputation, or if the senior executive failed to manage or monitor risks that subsequently led to significant financial or reputational harm to the company. Many companies have adopted policies that permit recoupment in cases where an executive's fraud, misconduct, or negligence significantly contributed to a restatement of financial results that led to the awarding of unearned incentive compensation. However, such policies may be narrow given that not all misconduct or negligence may result in significant financial restatements. Misconduct, negligence or lack of sufficient oversight by senior executives may lead to significant financial loss or reputational damage that may have long-lasting impact.

In considering whether to support such shareholder proposals, Boston Partners will consider the following factors:

1. If the company has adopted a formal recoupment policy;

2. The rigor of the recoupment policy focusing on how and under what circumstances the company may recoup incentive or stock compensation;

3. Whether the company has chronic restatement history or material financial problems;

4. Whether the company's policy substantially addresses the concerns raised by the proponent;

5. Disclosure of recoupment of incentive or stock compensation from senior executives or lack thereof; or

6. Any other relevant factors.

#### Severance Agreements for Executives/Golden Parachutes
Vote FOR shareholder proposals requiring prior shareholder approval of any severance arrangement that would pay severance exceeding the limitation set forth in Section 280G of the Internal revenue code. Vote AGAINST if the proposal does not specifically mention 280G.

Vote CASE-BY-CASE on proposals to ratify or cancel golden parachutes. An acceptable parachute should include, but is not limited to, the following:

1. The triggering mechanism should be beyond the control of management;

2. The amount should not exceed 2.99 times base amount (defined as the average annual taxable W-2 compensation during the five years prior to the year in which the change of control occurs);

3. Change-in-control payments should be double-triggered, i.e., (1) after a change in control has taken place, and (2) termination of the executive as a result of the change in control. Change in control is defined as a change in the company ownership structure.

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#### Share Buyback Proposals
Generally, vote AGAINST shareholder proposals prohibiting executives from selling shares of company stock during periods in which the company has announced that it may or will be repurchasing shares of its stock. Vote FOR the proposal when there is a pattern of abuse by executives exercising options or selling shares during periods of share buybacks.

Vote CASE-BY-CASE on proposals requesting the company exclude the impact of share buybacks from the calculation of incentive program metrics, considering the following factors:

1. The frequency and timing of the company's share buybacks;

2. The use of per-share metrics in incentive plans;

3. The effect of recent buybacks on incentive metric results and payouts; and

4. Whether there is any indication of metric result manipulation.

#### Supplemental Executive Retirement Plans (SERPs)
Generally, vote FOR shareholder proposals requesting to put extraordinary benefits contained in SERP agreements to a shareholder vote unless the company's executive pension plans do not contain excessive benefits beyond what is offered under employee-wide plans.

Generally, vote FOR shareholder proposals requesting to limit the executive benefits provided under the company's supplemental executive retirement plan (SERP) by limiting covered compensation to a senior executive's annual salary or those pay elements covered for the general employee population.

#### Tax Gross-Up Proposals
Generally, vote FOR proposals calling for companies to adopt a policy of not providing tax gross-up payments to executives, except in situations where gross-ups are provided pursuant to a plan, policy, or arrangement applicable to management employees of the company, such as a relocation or expatriate tax equalization policy.

#### Termination of Employment Prior to Severance Payment/Eliminating Accelerated Vesting of Unvested Equity
Vote CASE-BY-CASE on shareholder proposals seeking a policy requiring termination of employment prior to severance payment and/or eliminating accelerated vesting of unvested equity.

The following factors will be considered:

1. The company's current treatment of equity upon employment termination and/or in change-in-control situations (i.e., vesting is double triggered and/or pro rata, does it allow for the assumption of equity by acquiring company, the treatment of performance shares, etc.);

2. Current employment agreements, including potential poor pay practices such as gross-ups embedded in those agreements.

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Generally, vote FOR proposals seeking a policy that prohibits automatic acceleration of the vesting of equity awards to senior executives upon a voluntary termination of employment or in the event of a change in control (except for pro rata vesting considering the time elapsed and attainment of any related performance goals between the award date and the change in control).

VI. Routine/ Miscellaneous/ Operational

#### Adjourn Meeting
Generally, vote AGAINST proposals to provide management with the authority to adjourn an annual or special meeting absent compelling reasons to support the proposal.

Vote FOR proposals that relate specifically to soliciting votes for a merger or transaction if supporting that merger or transaction.

Vote AGAINST proposals if the wording is too vague or if the proposal includes "other business."

#### Amend Quorum Requirements
Vote AGAINST proposals to reduce quorum requirements for shareholder meetings below a majority of the shares outstanding unless there are compelling reasons to support the proposal. Otherwise, vote CASE-BY-CASE.

#### Amend Minor By-laws
Vote FOR by-law or charter changes that are of a housekeeping nature (updates or corrections).

#### Change Company Name
Vote FOR proposals to change the corporate name unless there is compelling evidence that the change would adversely impact shareholder value.

#### Change Date, Time, or Location of Annual Meeting
Vote FOR management proposals to change the date, time, or location of the annual meeting unless the proposed change is unreasonable.

Vote AGAINST shareholder proposals to change the date, time, or location of the annual meeting unless the current scheduling or location is unreasonable.

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#### Other Business
Vote AGAINST proposals to approve other business when it appears as a voting item.

#### Management Supported Shareholder Proposals: Reporting
Vote FOR shareholder proposals for additional reporting beyond what is regulatorily required when the proposal is supported by management.

#### Allocation of Income
Vote FOR approval of the allocation of income, unless:

1. The dividend payout ratio has been consistently below 30 percent (consistently low in Korea, Hong Kong, and Singapore) without adequate explanation or in the absence of positive shareholder returns; or

2. The payout is excessive given the company's financial position.

#### Stock (Scrip) Dividend Alternative
Vote FOR most stock (scrip) dividend proposals considering whether the proposal is in line with market standards.

Vote AGAINST proposals that do not allow for a cash option unless management demonstrates that the cash option is harmful to shareholder value.

#### Amendments to Articles of Association (Bylaws), Board Policies, and Board Committees' Charters
Vote amendments to the articles of association (bylaws), board policies or board Committees' charters on a CASE-BY-CASE basis.

Generally, vote AGAINST if the draft of the current bylaws, board policies or board committees' charters and their proposed amendments are not disclosed or publicly available in a timely manner; if the proposed changes are not adequately highlighted in the shareholder notice; or the proposed amendments are not in shareholders' interest.

Generally, vote FOR proposals where the changes are driven by regulatory or compliance considerations.

This policy applies to both bundled and unbundled proposals.

#### Change in Company Fiscal Term
Vote FOR resolutions to change a company's fiscal term unless a company's motivation for the change is to postpone its annual general meeting.

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#### Lower Disclosure Threshold for Stock Ownership
Vote AGAINST resolutions to lower the stock ownership disclosure threshold below 5 percent unless specific reasons exist to implement a lower threshold.

#### Expansion of Business Activities
Vote FOR resolutions to expand business activities unless a company has performed poorly for several years and the new business takes the company into risky areas and enterprises unrelated to its core business.

#### Related-Party Transactions
In evaluating resolutions that seek shareholder approval on related-party transactions (RPTs), vote on a CASE-BY-CASE basis, considering long-term shareholder value for the company's existing shareholders and such factors including, but not limited to, the following:

1. The parties on either side of the transaction;

2. The nature of the asset to be transferred/service to be provided;

3. The pricing of the transaction (and any associated professional valuation);

4. The views of independent directors (where provided);

5. The views of an independent financial adviser (where appointed);

6. Whether any entities party to the transaction (including advisers) is conflicted; and

7. The stated rationale for the transaction, including discussions of timing.

If there is a transaction that Boston Partners deemed problematic and that was not put to a shareholder vote, Boston Partners may vote AGAINST the election of the director involved in the related-party transaction or the full board.

Generally, vote AGAINST perpetual arrangements where the transactions will not be subjected to further shareholder review going forward.

For proposals on royalty payments, vote on a CASE-BY-CASE basis based on disclosures provided.

#### Charitable Donations
Vote proposals seeking the approval of donations on a CASE-BY-CASE basis, considering factors including, but not limited to, the following:

1. Size of the proposed donation request;

2. The destination of the proposed allocation of funds; and

3. The company's historical donations practices, including allocations approved at prior shareholder meetings.

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#### Virtual Meetings
Generally, vote FOR proposals allowing for the convening of hybrid shareholder meetings if it is clear that it is not the intention to hold virtual-only annual general meetings.

Generally, vote AGAINST proposals allowing for the convening of virtual-only shareholder meetings. However, if the company specifies in the articles that it intends to hold virtual only meetings only in unusual situations such as the spread of an infectious disease or the occurrence of a natural disaster, vote FOR the article amendments.

#### Financial Results/Director and Statutory Reports
Generally, vote FOR the approval of financial statements, report of the board of directors, independent auditor reports, and other statutory reports, unless:

1. There are concerns about the accounts presented or audit procedures used; or

2. The external auditor expresses no opinion or qualified opinion over the financial statements.

VII. Social and Environmental

Generally, vote CASE-BY-CASE, examining primarily whether implementation of the proposal is likely to enhance or protect shareholder value. The following factors will be considered:

1. If the issues presented in the proposal are more appropriately or effectively dealt with through legislation or government regulation;

2. If the company has already responded in an appropriate and sufficient manner to the issue(s) raised in the proposal;

3. Whether the proposal's request is unduly burdensome (scope or timeframe) or overly prescriptive;

4. The company's approach compared with any industry standard practices for addressing the issue(s) raised by the proposal;

5. Whether there are significant controversies, fines, penalties, or litigation associated with the company's environmental or social practices;

6. If the proposal requests increased disclosure or greater transparency, whether reasonable and sufficient information is currently available to shareholders from the company or from other publicly available sources; and

7. If the proposal requests increased disclosure or greater transparency, whether implementation would reveal proprietary or confidential information that could place the company at a competitive disadvantage.

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#### Endorsement of Principles
Generally, vote AGAINST proposals seeking a company's endorsement of principles that support a particular public policy position. Endorsing a set of principles may require a company to take a stand on an issue that is beyond its own control and may limit its flexibility with respect to future developments. Management and the board should be afforded the flexibility to make decisions on specific public policy positions based on their own assessment of the most beneficial strategies for the company.

#### Animal Welfare

#### Animal Welfare Policies
Generally, vote FOR proposals seeking a report on a company's animal welfare standards, or animal welfare-related risks, unless:

1. The company has already published a set of animal welfare standards and monitors compliance;

2. The company's standards are comparable to industry peers; and

3. There are no recent significant fines, litigation, or controversies related to the company's and/or its suppliers' treatment of animals.

#### Animal Testing
Generally, vote AGAINST proposals to phase out the use of animals in product testing, unless:

1. The company is conducting animal testing programs that are unnecessary or not required by regulation;

2. The company is conducting animal testing when suitable alternatives are commonly accepted and used by industry peers; or

3. There are recent, significant fines or litigation related to the company's treatment of animals.

#### Animal Slaughter
Generally, vote AGAINST proposals requesting the implementation of Controlled Atmosphere Killing (CAK) methods at company and/or supplier operations unless such methods are required by legislation or generally accepted as the industry standard.

Vote CASE-BY-CASE on proposals requesting a report on the feasibility of implementing CAK methods at company and/or supplier operations considering the availability of existing research conducted by the company or industry groups on this topic and any fines or litigation related to current animal processing procedures at the company.

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#### Consumer Issues

#### Genetically Modified Ingredients
Generally, vote AGAINST proposals requesting that a company voluntarily label genetically engineered (GE) ingredients in its products. The labeling of products with GE ingredients is best left to the appropriate regulatory authorities.

Vote CASE-BY-CASE on proposals asking for a report on the feasibility of labeling products containing GE ingredients, taking into account:

1. The potential impact of such labeling on the company's business;

2. The quality of the company's disclosure on GE product labeling, related voluntary initiatives, and how this disclosure compares with industry peer disclosure; and

3. Company's current disclosure on the feasibility of GE product labeling.

Generally, vote AGAINST proposals seeking a report on the social, health, and environmental effects of genetically modified organisms (GMOs). Studies of this sort are better undertaken by regulators and the scientific community.

Generally, vote AGAINST proposals to eliminate GE ingredients from the company's products, or proposals asking for reports outlining the steps necessary to eliminate GE ingredients from the company's products. Such decisions are more appropriately made by management with consideration of current regulations.

#### Reports on Potentially Controversial Business/Financial Practices
Vote CASE-BY-CASE on requests for reports on a company's potentially controversial business or financial practices or products, taking into account:

1. Whether the company has adequately disclosed mechanisms in place to prevent abuses;

2. Whether the company has adequately disclosed the financial risks of the products/practices in question;

3. Whether the company has been subject to violations of related laws or serious controversies; and

4. Peer companies' policies/practices in this area.

#### Pharmaceutical Pricing, Access to Medicines, and Prescription Drug Reimportation
Generally, vote AGAINST proposals requesting that companies implement specific price restraints on pharmaceutical products unless the company fails to adhere to legislative guidelines or industry norms in its product pricing practices.

Vote CASE-BY-CASE on proposals requesting that a company report on its product pricing or access to medicine policies, considering:

1. The potential for reputational, market, and regulatory risk exposure;

2. Existing disclosure of relevant policies;

3. Deviation from established industry norms;

4. Relevant company initiatives to provide research and/or products to disadvantaged consumers;

5. Whether the proposal focuses on specific products or geographic regions;

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6. The potential burden and scope of the requested report;

7. Recent significant controversies, litigation, or fines at the company.

Generally, vote FOR proposals requesting that a company report on the financial and legal impact of its prescription drug reimportation policies unless such information is already publicly disclosed.

Generally, vote AGAINST proposals requesting that companies adopt specific policies to encourage or constrain prescription drug reimportation. Such matters are more appropriately the province of legislative activity and may place the company at a competitive disadvantage relative to its peers.

#### Product Safety and Toxic/Hazardous Materials
Generally, vote FOR proposals requesting that a company report on its policies, initiatives/procedures, and oversight mechanisms related to toxic/hazardous materials or product safety in its supply chain, unless:

1. The company already discloses similar information through existing reports such as a supplier code of conduct and/or a sustainability report;

2. The company has formally committed to the implementation of a toxic/hazardous materials and/or product safety and supply chain reporting and monitoring program based on industry norms or similar standards within a specified time frame; and

3. The company has not been recently involved in relevant significant controversies, fines, or litigation.

Vote CASE-BY-CASE on resolutions requesting that companies develop a feasibility assessment to phase-out of certain toxic/hazardous materials, or evaluate and disclose the potential financial and legal risks associated with utilizing certain materials, considering:

1. The company's current level of disclosure regarding its product safety policies, initiatives, and oversight mechanisms;

2. Current regulations in the markets in which the company operates; and

3. Recent significant controversies, litigation, or fines stemming from toxic/hazardous materials at the company.

Generally, vote AGAINST resolutions requiring that a company reformulate its products.

#### Tobacco-Related Proposals
Vote CASE-BY-CASE on resolutions regarding the advertisement of tobacco products, considering:

1. Recent related fines, controversies, or significant litigation;

2. Whether the company complies with relevant laws and regulations on the marketing of tobacco;

3. Whether the company's advertising restrictions deviate from those of industry peers;

4. Whether the company entered into the Master Settlement Agreement, which restricts marketing of tobacco to youth; and

5. Whether restrictions on marketing to youth extend to foreign countries.

Vote CASE-BY-CASE on proposals regarding second-hand smoke, considering;

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1. Whether the company complies with all laws and regulations;

2. The degree that voluntary restrictions beyond those mandated by law might hurt the company's competitiveness; and

3. The risk of any health-related liabilities.

Generally, vote AGAINST resolutions to cease production of tobacco-related products, to avoid selling products to tobacco companies, to spin-off tobacco-related businesses, or prohibit investment in tobacco equities. Such business decisions are better left to company management or portfolio managers.

Generally, vote AGAINST proposals regarding tobacco product warnings. Such decisions are better left to public health authorities.

#### Climate Change

#### Say on Climate (SoC) Management Proposals
Vote CASE-BY-CASE on management proposals that request shareholders to approve the company's climate transition action plan, taking into account the completeness and rigor of the plan. Information that will be considered where available includes the following:

1. The extent to which the company's climate related disclosures are in line with TCFD recommendations and meet other market standards;

2. Disclosure of its operational supply chain GHG emissions (Scopes 1, 2, and 3);

3. The completeness and rigor of company's short-, medium-, and long-term targets for reducing operational and supply chain GHG emissions (Scope 1, 2, and 3 if relevant);

4. Whether the company has sought and approved third-party approval that its targets are science- based;

5. Whether the company has made a commitment to be "net zero" for operational and supply chain emissions (Scope 1, 2, and 3) by 2050;

6. Whether the company discloses a commitment to report on the implementation of its plan in subsequent years;

7. Whether the company's climate data has received third-party assurance;

8. Disclosure of how the company's lobbying activities and its capital expenditures align with company strategy;

9. Whether there are specific industry decarbonization challenges; and

10. The company's related commitment, disclosure, and performance compared to its industry peers.

#### Say on Climate (SoC) Shareholder Proposals
Vote AGAINST if the proposal calls for scope 3 reduction targets. Unless there is a significant relevant controversy or the company significantly lags peers, generally, vote AGAINST shareholder proposals that request the company to disclose a report providing its GHG emissions levels and reduction targets and/or its upcoming/approved climate transition action plan and provide shareholders the opportunity to express approval or disapproval of its GHG emissions reduction plan. If there is a significant relevant controversy or the company significantly lags peers, Boston Partners will taking the following into account:

1. The completeness and rigor of the company's climate-related disclosure;

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2. The company's actual GHG emissions performance;

3. Whether the company has been the subject of recent, significant violations, fines, litigation, or controversy related to its GHG emissions; and

4. Whether the proposal's request is unduly burdensome (scope or timeframe) or overly prescriptive.

#### Climate Change/Greenhouse Gas (GHG) Emissions
Generally, vote FOR resolutions requesting that a company disclose information on the financial, physical, or regulatory risks it faces related to climate change on its operations and investments or on how the company identifies, measures, and manages such risks, considering:

1. Whether the company already provides current, publicly-available information on the impact that climate change may have on the company as well as associated company policies and procedures to address related risks and/or opportunities;

2. The company's level of disclosure compared to industry peers; and

3. Whether there are significant controversies, fines, penalties, or litigation associated with the company's climate change-related performance.

Generally, vote FOR proposals requesting a report on greenhouse gas (GHG) emissions from company operations and/or products and operations, unless:

1. The company already discloses current, publicly-available information on the impacts that GHG emissions may have on the company as well as associated company policies and procedures to address related risks and/or opportunities;

2. The company's level of disclosure is comparable to that of industry peers; and

3. There are no significant, controversies, fines, penalties, or litigation associated with the company's GHG emissions.

Vote CASE-BY-CASE on proposals that call for the adoption of GHG reduction goals from products and operations, taking into account:

1. Whether the company provides disclosure of year-over-year GHG emissions performance data;

2. Whether company disclosure lags behind industry peers;

3. The company's actual GHG emissions performance;

4. The company's current GHG emission policies, oversight mechanisms, and related initiatives; and

5. Whether the company has been the subject of recent, significant violations, fines, litigation, or controversy related to GHG emissions.

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#### Energy Efficiency
Generally, vote FOR proposals requesting that a company report on its energy efficiency policies, unless:

1. The company complies with applicable energy efficiency regulations and laws, and discloses its participation in energy efficiency policies and programs, including disclosure of benchmark data, targets, and performance measures; or

2. The proponent requests adoption of specific energy efficiency goals within specific timelines.

#### Renewable Energy
Generally, vote FOR requests for reports on the feasibility of developing renewable energy resources unless the report would be duplicative of existing disclosure or irrelevant to the company's line of business.

Generally, vote AGAINST proposals requesting that the company invest in renewable energy resources. Such decisions are best left to management's evaluation of the feasibility and financial impact that such programs may have on the company.

Generally, vote AGAINST proposals that call for the adoption of renewable energy goals, taking into account:

1. The scope and structure of the proposal;

2. The company's current level of disclosure on renewable energy use and GHG emissions; and

3. The company's disclosure of policies, practices, and oversight implemented to manage GHG emissions and mitigate climate change risks.

#### Diversity

#### Board Diversity
Generally, vote FOR requests for reports on a company's efforts to diversify the board, unless:

1. The gender and racial minority representation of the company's board is reasonably inclusive in relation to companies of similar size and business; and

2. The board already reports on its nominating procedures and gender and racial minority initiatives on the board and within the company.

Vote CASE-BY-CASE on proposals asking a company to increase the gender and racial minority representation on its board, taking into account:

1. The degree of existing gender and racial minority diversity on the company's board and among its executive officers;

2. The level of gender and racial minority representation that exists at the company's industry peers;

3. The company's established process for addressing gender and racial minority board representation;

4. Whether the proposal includes an overly prescriptive request to amend nominating committee charter language;

5. The independence of the company's nominating committee;

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6. Whether the company uses an outside search firm to identify potential director nominees; and

7. Whether the company has had recent controversies, fines, or litigation regarding equal employment practices.

#### Equality of Opportunity
Generally, vote FOR proposals requesting a company disclose its diversity policies or initiatives, or proposals requesting disclosure of a company's comprehensive workforce diversity data, including requests for EEO-1 data, unless:

1. The company publicly discloses equal opportunity policies and initiatives in a comprehensive manner;

2. The company already publicly discloses comprehensive workforce diversity data; and

3. The company has no recent significant EEO-related violations or litigation.

Generally, vote AGAINST proposals seeking information on the diversity efforts of suppliers and service providers. Such requests may pose a significant burden on the company.

#### Gender Identity, Sexual Orientation, and Domestic Partner Benefits
Generally, vote FOR proposals seeking to amend a company's EEO statement or diversity policies to prohibit discrimination based on sexual orientation and/or gender identity, unless the change would be unduly burdensome.

Generally, vote AGAINST proposals to extend company benefits to, or eliminate benefits from, domestic partners. Decisions regarding benefits should be left to the discretion of the company.

#### Gender, Race/ Ethnicity Pay Gap
Generally, vote CASE-BY-CASE on requests for reports on a company's pay data by gender, race, ethnicity, or a report on a company's policies and goals to reduce any gender, race, or ethnicity pay gap, taking into account:

1. The company's current policies and disclosure related to both its diversity and inclusion policies and practices and its compensation philosophy and fair and equitable compensation practices;

2. Whether the company has been the subject of recent controversy, litigation, or regulatory actions related to gender, race, or ethnicity pay gap issues; and

3. The company's disclosure regarding gender, race, or ethnicity pay gap policies or initiatives compared to its industry peers; and

4. Local laws regarding categorization of race and/or ethnicity and definitions of ethnic and/or racial minorities.

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#### Racial Equity and/or Civil Rights Audit Guidelines
Vote CASE-BY-CASE on proposals asking a company to conduct an independent racial equity and/or civil rights audit, taking into account:

1. The company's established process or framework for addressing racial inequity and discrimination internally;

2. Whether the company has issued a public statement related to its racial justice efforts in recent years, or has committed to internal policy review;

3. Whether the company has engaged with impacted communities, stakeholders, and civil rights experts;

4. The company's track record in recent years of racial justice measures and outreach externally;

5. Whether the company has been the subject of recent controversy, litigation, or regulatory actions related to racial inequity or discrimination; and

6. Whether the company's actions are aligned with market norms on civil rights, and racial or ethnic diversity.

#### Environment and Sustainability

#### Facility and Workplace Safety
Vote CASE-BY-CASE on requests for workplace safety reports, including reports on accident risk reduction efforts, taking into account:

1. The company's current level of disclosure of its workplace health and safety performance data, health and safety management policies, initiatives, and oversight mechanisms;

2. The nature of the company's business, specifically regarding company and employee exposure to health and safety risks;

3. Recent significant controversies, fines, or violations related to workplace health and safety; and

4. The company's workplace health and safety performance relative to industry peers.

Vote CASE-BY-CASE on resolutions requesting that a company report on safety and/or security risks associated with its operations and/or facilities, considering:

1. The company's compliance with applicable regulations and guidelines;

2. The company's current level of disclosure regarding its security and safety policies, procedures, and compliance monitoring; and

3. The existence of recent, significant violations, fines, or controversy regarding the safety and security of the company's operations and/or facilities.

#### General Environmental Proposals and Community Impact Assessments
Vote CASE-BY-CASE on requests for reports on policies and/or the potential (community) social and/or environmental impact of company operations, considering:

1. Current disclosure of applicable policies and risk assessment report(s) and risk management procedures;

2. The impact of regulatory non-compliance, litigation, remediation, or reputational loss that may be associated with failure to manage the company's operations in question, including the management of relevant community and stakeholder relations;

3. The nature, purpose, and scope of the company's operations in the specific region(s);

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4. The degree to which company policies and procedures are consistent with industry norms; and

5. The scope of the resolution.

#### Hydraulic Fracturing
Generally, vote FOR proposals requesting greater disclosure of a company's (natural gas) hydraulic fracturing operations, including measures the company has taken to manage and mitigate the potential community and environmental impacts of those operations, considering:

1. The company's current level of disclosure of relevant policies and oversight mechanisms;

2. The company's current level of such disclosure relative to its industry peers;

3. Potential relevant local, state, or national regulatory developments; and

4. Controversies, fines, or litigation related to the company's hydraulic fracturing operations.

#### Operations in Protected Areas
Generally, vote FOR requests for reports on potential environmental damage as a result of company operations in protected regions, unless:

1. Operations in the specified regions are not permitted by current laws or regulations;

2. The company does not currently have operations or plans to develop operations in these protected regions; or

3. The company's disclosure of its operations and environmental policies in these regions is comparable to industry peers.

#### Recycling
Vote CASE-BY-CASE on proposals to report on an existing recycling program, or adopt a new recycling program, taking into account:

1. The nature of the company's business;

2. The current level of disclosure of the company's existing related programs;

3. The timetable and methods of program implementation prescribed by the proposal;

4. The company's ability to address the issues raised in the proposal; and

5. How the company's recycling programs compare to similar programs of its industry peers.

#### Sustainability Reporting
Generally, vote FOR proposals requesting that a company report on its policies, initiatives, and oversight mechanisms related to social, economic, and environmental sustainability, unless:

1. The company already discloses similar information through existing reports or policies such as an environment, health, and safety (EHS) report; a comprehensive code of corporate conduct; and/or a diversity report; or

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2. The company has formally committed to the implementation of a reporting program based on Global Reporting Initiative (GRI) guidelines or a similar standard within a specified time frame.

#### Water Issues
Vote CASE-BY-CASE on proposals requesting a company report on, or adopt a new policy on, water-related risks and concerns, taking into account:

1. The company's current disclosure of relevant policies, initiatives, oversight mechanisms, and water usage metrics;

2. Whether or not the company's existing water-related policies and practices are consistent with relevant internationally recognized standards and national/local regulations;

3. The potential financial impact or risk to the company associated with water-related concerns or issues; and

4. Recent, significant company controversies, fines, or litigation regarding water use by the company and its suppliers.

#### General Corporate Issues

#### Charitable Contributions
Vote AGAINST proposals restricting a company from making charitable contributions. Charitable contributions are generally useful for assisting worthwhile causes and for creating goodwill in the community. In the absence of bad faith, self-dealing, or gross negligence, management should determine which, and if, contributions are in the best interests of the company.

#### Data Security, Privacy, and Internet Issues
Vote CASE-BY-CASE on proposals requesting the disclosure or implementation of data security, privacy, or information access and management policies and procedures, considering:

1. The level of disclosure of company policies and procedures relating to data security, privacy, freedom of speech, information access and management, and Internet censorship;

2. Engagement in dialogue with governments or relevant groups with respect to data security, privacy, or the free flow of information on the Internet;

3. The scope of business involvement and of investment in countries whose governments censor or monitor the Internet and other telecommunications;

4. Applicable market-specific laws or regulations that may be imposed on the company; and

5. Controversies, fines, or litigation related to data security, privacy, freedom of speech, or Internet censorship.

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#### Environmental, Social, and Governance (ESG) Compensation-Related Proposals
Vote CASE-BY-CASE on proposals to link, or report on linking, executive compensation to sustainability (environmental and social) criteria, considering:

1. The scope and prescriptive nature of the proposal;

2. Whether the company has significant and/or persistent controversies or regulatory violations regarding social and/or environmental issues;

3. Whether the company has management systems and oversight mechanisms in place regarding its social and environmental performance;

4. The degree to which industry peers have incorporated similar non-financial performance criteria in their executive compensation practices; and

5. The company's current level of disclosure regarding its environmental and social performance.

#### Human Rights, Labor Issues, and International Operations

#### Human Rights Proposals
Generally, vote FOR proposals requesting a report on company or company supplier labor and/or human rights standards and policies unless such information is already publicly disclosed.

Vote CASE-BY-CASE on proposals to implement company or company supplier labor and/or human rights standards and policies, considering:

1. The degree to which existing relevant policies and practices are disclosed;

2. Whether or not existing relevant policies are consistent with internationally recognized standards;

3. Whether company facilities and those of its suppliers are monitored and how;

4. Company participation in fair labor organizations or other internationally recognized human rights initiatives;

5. Scope and nature of business conducted in markets known to have higher risk of workplace labor/human rights abuse;

6. Recent, significant company controversies, fines, or litigation regarding human rights at the company or its suppliers;

7. The scope of the request; and

8. Deviation from industry sector peer company standards and practices.

Vote CASE-BY-CASE on proposals requesting that a company conduct an assessment of the human rights risks in its operations or in its supply chain, or report on its human rights risk assessment process, considering:

1. The degree to which existing relevant policies and practices are disclosed, including information on the implementation of these policies and any related oversight mechanisms;

2. The company's industry and whether the company or its suppliers operate in countries or areas where there is a history of human rights concerns;

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3. Recent significant controversies, fines, or litigation regarding human rights involving the company or its suppliers, and whether the company has taken remedial steps; and

4. Whether the proposal is unduly burdensome or overly prescriptive.

#### Operations in High Risk Markets
Vote CASE-BY-CASE on requests for a report on a company's potential financial and reputational risks associated with operations in "high-risk" markets, such as a terrorism-sponsoring state or politically/socially unstable region, taking into account:

1. The nature, purpose, and scope of the operations and business involved that could be affected by social or political disruption;

2. Current disclosure of applicable risk assessment(s) and risk management procedures;

3. Compliance with U.S. sanctions and laws;

4. Consideration of other international policies, standards, and laws; and

5. Whether the company has been recently involved in recent, significant controversies, fines, or litigation related to its operations in "high-risk" markets.

#### Outsourcing/Offshoring
Vote CASE-BY-CASE on proposals calling for companies to report on the risks associated with outsourcing/plant closures, considering:

1. Controversies surrounding operations in the relevant market(s);

2. The value of the requested report to shareholders;

3. The company's current level of disclosure of relevant information on outsourcing and plant closure procedures; and

4. The company's existing human rights standards relative to industry peers.

#### Weapons and Military Sales
Vote AGAINST reports on foreign military sales or offsets. Such disclosures may involve sensitive and confidential information. Moreover, companies must comply with government controls and reporting on foreign military sales.

Generally, vote AGAINST proposals asking a company to cease production or report on the risks associated with the use of depleted uranium munitions or nuclear weapons components and delivery systems, including disengaging from current and proposed contracts. Such contracts are monitored by government agencies, serve multiple military and non-military uses, and withdrawal from these contracts could have a negative impact on the company's business.

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#### Mandatory Arbitration
Vote CASE-BY-CASE on requests for a report on a company's use of mandatory arbitration on employment-related claims, taking into account:

1. The company's current policies and practices related to the use of mandatory arbitration agreements on workplace claims;

2. Whether the company has been the subject of recent controversy, litigation, or regulatory actions related to the use of mandatory arbitration agreements on workplace claims; and

3. The company's disclosure of its policies and practices related to the use of mandatory arbitration agreements compared to its peers.

#### Sexual Harassment
Vote CASE-BY-CASE on requests for a report on company actions taken to strengthen policies and oversight to prevent workplace sexual harassment, or a report on risks posed by a company's failure to prevent workplace sexual harassment, taking into account:

1. The company's current policies, practices, oversight mechanisms related to preventing workplace sexual harassment;

2. Whether the company has been the subject of recent controversy, litigation or regulatory actions related to workplace sexual harassment issues; and

3. The company's disclosure regarding workplace sexual harassment policies or initiatives compared to its industry peers.

#### Political Activities

#### Lobbying
Vote CASE-BY-CASE on proposals requesting information on a company's lobbying (including direct, indirect, and grassroots lobbying) activities, policies, or procedures, considering:

1. The company's current disclosure of relevant lobbying policies, and management and board oversight;

2. The company's disclosure regarding trade associations or other groups that it supports, or is a member of, that engage in lobbying activities; and

3. Recent significant controversies, fines, or litigation regarding the company's lobbying-related activities.

Boston Partners will vote AGAINST proposals that impose significantly higher standards of reporting and oversight than required by legislation and-or industry standard and that would put the firm at a competitive disadvantage.

Vote AGAINST proposals requesting information on an issuer's indirect lobbying activity.

#### Political Contributions
Generally, vote CASE-BY-CASE on proposals requesting greater disclosure of a company's political contributions and trade association spending policies and activities, considering:

1. The company's policies, and management and board oversight related to its direct political contributions and payments to trade associations or other groups that may be used for political purposes;

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2. The company's disclosure regarding its support of, and participation in, trade associations or other groups that may make political contributions; and

3. Recent significant controversies, fines, or litigation related to the company's political contributions or political activities.

Boston Partners will vote AGAINST proposals that impose significantly higher standards of reporting and oversight than required by legislation and-or industry standard and that would put the firm at a competitive disadvantage.

Vote AGAINST proposals barring a company from making political contributions. Businesses are affected by legislation at the federal, state, and local level; barring political contributions can put the company at a competitive disadvantage.

Vote AGAINST proposals to publish in newspapers and other media a company's political contributions. Such publications could present significant cost to the company without providing commensurate value to shareholders.

Vote AGAINST proposals requesting disclosure of an issuer's indirect political contributions.

#### Political Ties
Generally, vote AGAINST proposals asking a company to affirm political nonpartisanship in the workplace, so long as:

1. There are no recent, significant controversies, fines, or litigation regarding the company's political contributions or trade association spending; and

2. The company has procedures in place to ensure that employee contributions to company-sponsored political action committees (PACs) are strictly voluntary and prohibit coercion.

Vote AGAINST proposals asking for a list of company executives, directors, consultants, legal counsels, lobbyists, or investment bankers that have prior government service and whether such service had a bearing on the business of the company. Such a list would be burdensome to prepare without providing any meaningful information to shareholders.

Vote AGAINST political congruency proposals.

VIII. Mutual Fund Proxies

#### Election of Directors
Vote CASE-BY-CASE on the election of directors and trustees, following the same guidelines for uncontested directors for public company shareholder meetings. However, mutual fund boards do not usually have compensation committees, so do not withhold for the lack of this committee.

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#### Converting Closed-end Fund to Open-end Fund
Vote CASE-BY-CASE on conversion proposals, considering the following factors:

1. Past performance as a closed-end fund;

2. Market in which the fund invests;

3. Measures taken by the board to address the discount; and

4. Past shareholder activism, board activity, and votes on related proposals.

#### Proxy Contests
Vote CASE-BY-CASE on proxy contests, considering the following factors:

1. Past performance relative to its peers;

2. Market in which the fund invests;

3. Measures taken by the board to address the issues;

4. Past shareholder activism, board activity, and votes on related proposals;

5. Strategy of the incumbents versus the dissidents;

6. Independence of directors;

7. Experience and skills of director candidates;

8. Governance profile of the company;

9. Evidence of management entrenchment.

#### Investment Advisory Agreements
Vote CASE-BY-CASE on investment advisory agreements, considering the following factors:

1. Proposed and current fee schedules;

2. Fund category/investment objective;

3. Performance benchmarks;

4. Share price performance as compared with peers;

5. Resulting fees relative to peers;

6. Assignments (where the advisor undergoes a change of control).

#### Approving New Classes or Series of Shares
Vote FOR the establishment of new classes or series of shares.

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#### Preferred Stock Proposals
Vote CASE-BY-CASE on the authorization for or increase in preferred shares, considering the following factors:

1. Stated specific financing purpose;

2. Possible dilution for common shares;

3. Whether the shares can be used for antitakeover purposes.

#### 1940 Act Policies (U.S.)
Vote CASE-BY-CASE on policies under the Investment Advisor Act of 1940, considering the following factors:

1. Potential competitiveness;

2. Regulatory developments;

3. Current and potential returns; and

4. Current and potential risk.

Generally, vote FOR these amendments as long as the proposed changes do not fundamentally alter the investment focus of the fund and do comply with the current SEC interpretation.

#### Changing a Fundamental Restriction to a Nonfundamental Restriction
Vote CASE-BY-CASE on proposals to change a fundamental restriction to a non-fundamental restriction, considering the following factors:

1. The fund's target investments;

2. The reasons given by the fund for the change; and

3. The projected impact of the change on the portfolio.

#### Change Fundamental Investment Objective to Nonfundamental
Vote AGAINST proposals to change a fund's fundamental investment objective to non-fundamental.

#### Name Change Proposals
Vote CASE-BY-CASE on name change proposals, considering the following factors:

1. Political/economic changes in the target market;

2. Consolidation in the target market; and

3. Current asset composition.

#### Change in Fund's Subclassification
Vote CASE-BY-CASE on changes in a fund's sub-classification, considering the following factors:

1. Potential competitiveness;

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2. Current and potential returns;

3. Risk of concentration;

4. Consolidation in target industry.

#### Business Development Companies—Authorization to Sell Shares of Common Stock at a Price below Net Asset Value
Vote FOR proposals authorizing the board to issue shares below Net Asset Value (NAV) if:

1. The proposal to allow share issuances below NAV has an expiration date no more than one year from the date shareholders approve the underlying proposal, as required under the Investment Company Act of 1940;

2. The sale is deemed to be in the best interests of shareholders by (1) a majority of the company's independent directors and (2) a majority of the company's directors who have no financial interest in the issuance; and

3. The company has demonstrated responsible past use of share issuances by either:

a. Outperforming peers in its 8-digit GICS group as measured by one- and three-year median TSRs; or

b. Providing disclosure that its past share issuances were priced at levels that resulted in only small or moderate discounts to NAV and economic dilution to existing non-participating shareholders.

#### Disposition of Assets/Termination/Liquidation
Vote CASE-BY-CASE on proposals to dispose of assets, to terminate or liquidate, considering the following factors:

1. Strategies employed to salvage the company;

2. The fund's past performance;

3. The terms of the liquidation.

#### Changes to the Charter Document
Vote CASE-BY-CASE on changes to the charter document, considering the following factors:

1. The degree of change implied by the proposal;

2. The efficiencies that could result;

3. The state of incorporation;

4. Regulatory standards and implications.

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Vote AGAINST any of the following changes:

1. Removal of shareholder approval requirement to reorganize or terminate the trust or any of its series;

2. Removal of shareholder approval requirement for amendments to the new declaration of trust;

3. Removal of shareholder approval requirement to amend the fund's management contract, allowing the contract to be modified by the investment manager and the trust management, as permitted by the 1940 Act;

4. Allow the trustees to impose other fees in addition to sales charges on investment in a fund, such as deferred sales charges and redemption fees that may be imposed upon redemption of a fund's shares;

5. Removal of shareholder approval requirement to engage in and terminate sub-advisory arrangements;

6. Removal of shareholder approval requirement to change the domicile of the fund.

#### Changing the Domicile of a Fund
Vote CASE-BY-CASE on re-incorporations, considering the following factors:

1. Regulations of both states;

2. Required fundamental policies of both states;

3. The increased flexibility available.

#### Authorizing the Board to Hire and Terminate Sub-advisers Without Shareholder Approval
Vote AGAINST proposals authorizing the board to hire or terminate sub-advisers without shareholder approval if the investment adviser currently employs only one sub-adviser.

#### Distribution Agreements
Vote CASE-BY-CASE on distribution agreement proposals, considering the following factors:

1. Fees charged to comparably sized funds with similar objectives;

2. The proposed distributor's reputation and past performance;

3. The competitiveness of the fund in the industry;

4. The terms of the agreement.

#### Master-Feeder Structure
Vote FOR the establishment of a master-feeder structure.

#### Mergers
Vote CASE-BY-CASE on merger proposals, considering the following factors:

1. Resulting fee structure;

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2. Performance of both funds;

3. Continuity of management personnel;

4. Changes in corporate governance and their impact on shareholder rights.

#### Closed End Funds-Unilateral Opt-in to Control Share Acquisition Statutes
For closed-end management investment companies ("CEFs"), vote AGAINST or WITHHOLD from nominating/governance committee members (or other directors on a CASE-BY-CASE basis) at CEFs that have not provided a compelling rationale for opting-in to a Control Share Acquisition statute, nor submitted a by-law amendment to a shareholder vote.

#### Shareholder Proposals for Mutual Funds
Establish Director Ownership Requirement

Generally, vote AGAINST shareholder proposals that mandate a specific minimum amount of stock that directors must own in order to qualify as a director or to remain on the board.

#### Reimburse Shareholder for Expenses Incurred
Vote CASE-BY-CASE on shareholder proposals to reimburse proxy solicitation expenses. When supporting the dissidents, vote FOR the reimbursement of the proxy solicitation expenses.

#### Terminate the Investment Advisor
Vote CASE-BY-CASE on proposals to terminate the investment advisor, considering the following factors:

1. Performance of the fund's Net Asset Value (NAV);

2. The fund's history of shareholder relations;

3. The performance of other funds under the advisor's management.

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#### AUSTRALIA AND NEW ZEALAND
**I.** **General** 

#### Constitutional Amendment
Vote case-by case on proposals to amend the company's constitution.

Any proposals to amend the company's constitution, including updating of various clauses to reflect changes in corporate law, to complete replacement of an existing constitution with a new "plain language," and updated, version, are required to be approved by a special resolution (with a 75 percent super majority of votes cast requirement).

#### Renewal of "Proportional Takeover" Clause in Constitution
Vote FOR the renewal of the proportional takeover clause in the company's constitution.

#### Significant Change in Activities
Vote FOR resolutions to change the nature or scale of business activities provided the notice of meeting and explanatory statement provide a sound business case for the proposed change.

#### Delisting (Australia)
Generally, vote CASE-BY-CASE on proposals which seek to delist a company from a stock exchange.

Unlisted companies will be subject to a less stringent level of disclosure and corporate governance requirements and will forego a number of market and regulatory protections available to listed companies. In addition, there will be no formal market mechanism to enable shareholders to trade their shares.

Exceptional circumstances which may warrant support include where:

1. There has been a substantial fall in market capitalization that no longer justifies listing.

2. The company has provided sufficient time for shareholders to exit their investments on market, even at a substantial loss.

3. The company discloses sufficient information under which shareholders may be able to trade their shares off-market.

4. Profitability, costs, net assets, and other compelling factors outweigh the need for retaining a listing.

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#### Foreign- Incorporated Companies (Australia)
Foreign-incorporated companies with a sole or primary listing on the ASX are expected to comply with local market corporate governance practices which include director elections, a non-binding vote on the remuneration report, and equity grants.

Generally, vote AGAINST the chairman of the board or other directors standing for election if the company does not comply with local market corporate governance standards.

#### Problematic Risk and Audit -Related Practices (Australia)
Generally, vote AGAINST the board chair or chair of the risk committee, or members of the risk committee (depending on which directors are standing for election at the AGM) if:

1. A material failure in audit and risk oversight by directors is identified through regulatory investigation, enforcement, or other manner; or

2. There are significant adverse legal judgments or settlements against the company, directors, or management.

Generally, vote AGAINST members of the audit committee as constituted in the most recently completed fiscal year if:

1. The entity receives an adverse opinion of the entity's financial statements from the auditor; or

2. Non-audit fees (Other Fees) paid to the external audit firm exceed audit and audit-related fees and tax compliance/preparation fees.

#### Late Lodgement of Notice of Meeting and Materials (Australia)
Generally vote AGAINST the board chair, the chair or members of the governance committee or the whole board when the company fails to lodge a notice of meeting at least 28 days before an AGM, or shareholder meeting generally, as prescribed by the Corporations Act. This represents the minimum standard for corporate governance amongst ASX listed entities. Larger companies are expected to lodge their notices of meeting 35 or more days ahead of the AGM.

Generally vote AGAINST the board chair or chair of the governance committee (or other relevant directors) when a company adds a resolution to the meeting agenda with less than 28 days' notice prior to the shareholder meeting.

For the avoidance of doubt, this policy applies to non-Australian domiciled companies that are listed on the ASX. Any late lodgement of a notice of meeting places at risk a shareholder's ability to fulfil their fiduciary obligations in appropriately considering and voting on resolutions.

II. Share Capital

#### Non-Voting Shares
Vote AGAINST proposals to create a new class of non-voting or sub-voting shares. Only vote FOR if:

1. It is intended for financing purposes with minimal or no dilution to current shareholders;

2. It is not designed to preserve the voting power of an insider or significant shareholder.

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Generally, vote FOR the cancellation of classes of non-voting or sub-voting shares.

#### Reduction of Share Capital: Cash Consideration Payable to Shareholders
Generally, vote FOR the reduction of share capital with the accompanying return of cash to shareholders.

#### Reduction of Share Capital: Absorption of Losses
Vote FOR reduction of share capital proposals, with absorption of losses as they represent routine accounting measures.

#### Buybacks/Repurchases
Generally, vote FOR requests to repurchase shares, unless:

1. There is clear evidence available of past abuse of this authority; or

2. It is a selective buyback, and the notice of meeting and explanatory statement does not provide a sound business case for it.

Consider the following conditions in buyback plans:

1. Limitations on a company's ability to use the plan to repurchase shares from third parties at a premium;

2. Limitations on the exercise of the authority to thwart takeover threats; and

3. A requirement that repurchases be made at arms-length through independent third parties.

Some shareholders object to companies repurchasing shares, preferring to see extra cash invested in new businesses or paid out as dividends. However, when timed correctly, buybacks are a legitimate use of corporate funds and can add to long-term shareholder returns.

III. Board of Directors

#### Voting on Director Nominees in Uncontested Elections

#### Attendance (Australia)
Vote AGAINST director nominees that attended less than 75 percent of board and committee meetings over the fiscal year without a satisfactory explanation.

Generally, vote AGAINST the chairman or deputy chairman if no disclosure of board and/or committee attendance is provided. Subject to section 300(10) of the Corporations Act, an Australian listed company must include in its annual report information about each director's attendance at board and committee meetings.

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#### Independence (Australia)
Vote AGAINST a director nominee(s) in the following circumstances:

1. The director nominee is an executive or board chair, and no "lead director" has been appointed from among the independent directors or other control mechanisms are in place. Exceptions may be made for company founders who are integral to the company or if other exceptional circumstances apply;

2. The director nominee is an executive and a member of the audit committee or remuneration committee. In these situations, also vote AGAINST the chairman of the board and/or the chairman of the relevant committee;

3. The director nominee is a former partner or employee of the company's auditor who serves on the audit committee; and

4. The director nominee is a former partner of the company's audit firm and receives post-employment benefits.

If the board is not a majority (over 50 percent) independent, generally vote AGAINST nominees who are:

1. Executive directors (except the CEO and founders integral to the company); or

2. Non-independent NEDs whose presence causes the board not to be majority independent without sufficient justification. Exceptional factors may include:

a. Whether a non-independent director represents a substantial shareholder owning at least 15 percent of the company's shares and whose percentage board representation is proportionate to its ownership interest in the company; and

b. The level of board independence (i.e. generally, a recommendation against non-independent directors if the board composition is wholly non-independent, whereas a CASE-BY-CASE analysis may be undertaken where a board is at or near 50% independent and the reasons for nonindependence of certain directors may include excessive board tenure greater than 12 years).

#### Combined Chair and CEO (Australia)
Generally, vote AGAINST a director who combines the CEO and chairman roles, unless the company provides strong justification as to why this non-standard governance arrangement is appropriate for the specific situation of the company. Exceptional circumstances may include a limited timeframe for the combined role upon departure of the CEO, or a non-operating, research, development or exploration company. In some circumstances an executive chair may be considered to effectively combine the chair and CEO roles, notwithstanding the presence of another director on the board with the title of CEO. In assessing this situation, Boston Partners will assess the disclosure surrounding the split of responsibilities and their comparative pay levels.

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#### Problematic Remuneration Practices (Australia)
Generally, vote AGAINST the board chair or chair of the remuneration committee, or members of the remuneration committee (depending on which directors are standing for election at the AGM) if problematic practices are identified, and particularly if issues have been raised in prior years, taking into account:

1. The company's response, or if there was a lack of sufficient response, in addressing prior years' specific concerns on remuneration, and engaging with institutional investors;

2. The company's ownership structure;

3. Whether the issues are considered to be recurring or isolated;

4. Whether relevant directors have also served on a board or remuneration committee of a non-associated company where problematic remuneration practices were also identified; and

5. If any remuneration-related resolutions in the last five years have received support of less than 75 percent of votes cast.

#### Shareholder Nominees
Generally, vote AGAINST shareholder-nominated candidates who lack board endorsement and do not present conclusive rationale to justify their nomination, including unmatched skills and experience, or other reason. Vote FOR such candidates if they demonstrate a clear ability to contribute positively to board deliberations.

#### Removal of Directors (New Zealand)
Vote CASE-BY-CASE on resolutions for the removal of directors, taking into consideration:

1. Company performance relative to its peers;

2. Strategy of the incumbents versus the dissidents;

3. Independence of directors/nominees;

4. Experience and skills of board candidates;

5. Governance profile of the company;

6. Evidence of management entrenchment;

7. Responsiveness to shareholders; and,

8. Level of disclosure by company to shareholders.

IV. Remuneration

#### Remuneration Report (Australia)
Vote CASE-BY-CASE on the remuneration report, taking into account the pay of executives and non-executive directors, including where applicable:

1. The quantum of total fixed remuneration and short-term incentive payments relative to peers;

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2. Whether any increases, either to fixed or variable remuneration, for the year under review or the upcoming year were well-explained and not excessive;

3. The listed entity's workforce;

4. Financial performance and alignment with shareholder returns;

5. The adequacy and quality of the company's disclosure generally;

6. The appropriateness and quality of the company's disclosure linking identified material business risks and pre-determined key performance indicators (KPIs) that determine annual variable executive compensation outcomes;

7. The existence of appropriate performance criteria against which vesting and the quantum of cash and equity bonuses are assessed prior to any payment being made;

8. Whether appropriate targets for incentives, including in the STI or LTI, are in place and are disclosed with an appropriate level of detail;

9. Whether performance measures and targets for incentives, including in the STI and LTI, are measured over an appropriate period and are sufficiently stretching;

10. Any special arrangements for new joiners were in line with good market practice;

11. The remuneration committee exercised discretion appropriately, and such discretion is appropriately explained; and

12. The alignment of CEO and executive pay with the company's financial performance and returns for shareholders.

Where a remuneration report contains multiple areas of non-compliance with good practice, the vote will reflect the severity of the issues identified. A small number of minor breaches may still result in an overall qualified FOR vote whereas a single, serious deviation may be sufficient to justify an AGAINST vote.

In cases where a serious breach of good practice, or departure from accepted market standards and shareholder requirements, is identified and typically where issues have been raised by shareholders over one or more years, the chair of the remuneration committee (or, where relevant, another member of the remuneration committee) may also receive a negative vote.

Elements of the remuneration report include:

1. Base Pay;

2. Superannuation, pension contributions and benefits;

3. Short term incentive (STI);

4. Long-term incentive (LTI);

5. Dilution Limits;

6. Malus/ clawback;

7. Good leavers;

8. Change in control;

9. Shareholding requirement;

10. Executive' service contracts, including exit payments;

11. Arrangements for new joiners;

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12. Discretion;

13. Non-executive director fees;

14. All-employee schemes.

#### Remuneration of Executive Directors: Share Incentive Schemes (Australia)
Vote CASE-BY-CASE on share-based incentives for executive directors.

#### Remuneration of Executives: Options and Other Long-Term Incentives
Vote CASE-BY-CASE on options and long-term incentives for executives. Vote AGAINST plans and proposed grants under plans if:

1. The company failed to disclose adequate information regarding any element of the scheme;

2. The performance hurdles are not sufficiently demanding;

3. The plan permits retesting of grants based on rolling performance;

4. The plan allows for excessive dilution.

Evaluate long-term incentive plans (and proposed grants of equity awards to particular directors) according to the following criteria:

Exercise Price

1. Option exercise prices should not be at a discount to market price at the grant date (in the absence of demanding performance hurdles).

2. Plans should not allow the repricing of underwater options.

Vesting Period: Appropriate time restrictions before options can be exercised (if 50 percent or more of securities can vest in two to three years or less, this is generally considered too short).

Performance Hurdles

1. Generally, a hurdle that relates to total shareholder return (TSR) is preferable to a hurdle that specifies an absolute share price target or an accounting measure of performance (such as earnings per share (EPS)).

2. Where a relative hurdle is used (comparing the company's performance against a group of peers or against an index), no vesting should occur for sub-median performance.

3. The use of 'indexed options' – where the exercise price of an option is increased by the movement in a suitable index of peer companies – is generally considered a sufficiently demanding hurdle.

4. A sliding-scale hurdle – under which the percentage of rights that vest increases according to a sliding scale of performance (whether absolute or relative) – is generally preferable to a hurdle under which 100 percent of the award vests once a single target is achieved (i.e. no "cliff vesting").

5. In the absence of relative performance hurdles, absolute share price hurdles may be appropriate so long as they are sufficiently stretching. Where an absolute share-price target is used, executives can be rewarded by a rising market even if their company does relatively poorly. In addition, even if a share price hurdle is set at a significantly higher level than the prevailing share price, if the option has a long life then the hurdle may not be particularly stretching.

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6. In determining whether an absolute share price target is sufficiently stretching, take into consideration the company's explanation of how the target share price has been calculated. ISS will be more likely to consider an absolute share price target as sufficiently stretching when the target price is reflected in the option exercise price.

7. The issue of options with no performance conditions other than continued service and the exercise price (set as being equal to the share price on date of issue) is not generally considered to be a sufficiently demanding hurdle.

8. Support incentive schemes with accounting-based hurdles if they are sufficiently demanding. An accounting-based hurdle does not necessarily require that shareholder value be improved before the incentive vests as it is possible for incentives to vest – and executives to be rewarded – without any medium- to long-term improvement in returns to shareholders. Growth in EPS may, but does not always, translate into a material increase in share price and dividends over the medium to long-term.

9. Hurdles which relate option vesting to share price performance against a company's cost of capital may be considered acceptable if the exercise price is adjusted to reflect the cost of capital over the vesting period. Shareholders must also be given sufficient information to determine if the cost of capital will be calculated or reviewed independently of management.

10. Two different types of options should be distinguished: (1) grants of market-exercise-price options (traditional options), and (2) zero exercise price options (also called conditional awards, performance shares, and performance rights). Traditional options have an in-built share price appreciation hurdle, because the share price must increase above its level at grant date for the executive to have an incentive to exercise. Performance rights have no exercise price; the executive pays nothing to the company on exercising the rights. An EPS hurdle can lead to executive reward without any increase in shareholder return if the instruments are performance rights, but not if they are traditional options. Therefore, an EPS hurdle can more readily be supported if traditional options, rather than performance rights, are being granted.

11. For an EPS target to be sufficiently stretching, where a single target is used (with 100 percent of options/rights vesting on the target being achieved), the target should generally specify a challenging target that is at least in line with analyst and management earnings forecasts. For targets which see rewards vest based on a sliding scale, vesting should start at a level below consensus forecasts only if a substantial portion of the award vests for performance above consensus forecasts.

Retesting

1. Do not support excessive retesting of options grants against performance hurdles. Many NZ companies use performance hurdles such as cost of capital relative to share price that allow for continual retesting and the issue of retesting against performance hurdles does not appear to have been raised with companies in the past and many equity grants to executive directors have been modest in size. As such, it is not appropriate for Boston Partners to vote AGAINST a particular options grant on the basis of excessive retesting.

2. Generally, vote AGAINST incentive schemes that provide for retesting against performance hurdles on a rolling-basis. For retesting to be acceptable, at a minimum it should assess performance against the hurdle from the inception date to the date of vesting.

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Transparency

1. The methodology for determining exercise price of options should be disclosed.

2. Shareholders should be presented with sufficient information to determine whether an incentive scheme will reward superior future performance.

3. The proposed volume of securities which may be issued under an incentive scheme should be disclosed to enable shareholders to assess dilution.

4. Time restrictions before options can be exercised should be disclosed, as should the expiry date of the options. Any restrictions on disposing of shares received on the exercise of options should be disclosed.

5. If a value has been assigned to the options, the method used to calculate cost of options should be disclosed.

6. The method of purchase or issue of shares on exercise of options should be disclosed.

Dilution of Existing Shareholders' Equity

Aggregate number of all shares and options issued under all employee and executive incentive schemes should not exceed 10 percent of issued capital.

Level of Reward

Value of options granted (assuming performance hurdles are met) should be consistent with comparable schemes operating in similar companies.

Eligibility for Participation in the Scheme

1. Scheme should be open to all key executives.

2. Scheme should not be open to non-executive directors.

Other

1. Incentive plans should include reasonable change-in-control provisions (i.e. pro-rata vesting based on the proportion of the vesting period expired and performance against the hurdles taking into account the size of awards).

2. Incentive plans should include 'good' leaver/'bad' leaver provisions to minimize excessive and unearned payouts.

#### Non-Executive Director Perks/Fringe Benefits (Australia)
Where a company provides fringe benefits to non-executive directors in addition to directors' board and committee fees, vote CASE-BY-CASE on:

1. The remuneration report;

2. Proposals to increase the non-executive directors' aggregate fee cap; and/or

3. The election of the chairman of the board, chairman of the remuneration committee, or any member of the remuneration committee standing for re-election.

Vote AGAINST when post-employment fringe benefits are paid to non-executive directors, which are often represented as an entitlement per year of service on the board of the company.

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#### Remuneration of Non-Executive Directors: Increase in Aggregate Fee Cap
Vote CASE-BY-CASE on resolution that seeks shareholder approval for an increase in the maximum aggregate level of fees payable to the company's non-executive directors.

In assessing director remuneration, consider how remuneration relates to shareholders' interests, specifically:

1. The size of the proposed increase;

2. The level of fees compared to those at peer companies;

3. The explanation the board has given for the proposed increase;

4. Whether the company has discontinued retirement benefits;

5. Whether there is sufficient capacity within the previously approved aggregate fee cap to accommodate any proposed increases in director's fees;

6. The company's absolute and relative performance over (at least) the past three years based on measures such as (but not limited to) share price, earnings per share and return on capital employed;

7. The company's policy and practices on non-executive director remuneration, including equity ownership;

8. The number of directors presently on the board and any planned increases to the size of the board;

9. The level of board turnover.

Generally, vote FOR a fee cap resolution that also seeks to allow directors to receive part or all of their fees in shares.

In Australia, vote AGAINST the increase if the company has an active retirement benefits plan for non-executive directors. Vote AGAINST where a company is seeking an increase after a period of poor absolute and relative performance, where the same board (or largely the same board) has overseen this period of poor performance and where the fee cap increase is not sought for the purposes of board renewal.

#### Remuneration of Non-Executive Directors: Issue of Options (New Zealand)
Generally, vote AGAINST the issue of options to non-executive directors.

#### Remuneration of Non-Executive Directors: Approval of Share Plan
For New Zealand, generally vote AGAINST the issue of options to non-executive directors. For Australia, generally, vote FOR the approval of NED share plans which are essentially salary-sacrifice structures and have the effect of increasing directors' shareholdings and alignment with investors.

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#### Transparency of CEO Incentives (New Zealand)
Vote AGAINST the re-election of members of the remuneration committee if:

1. The remuneration of the CEO is not subject to any shareholder approval or scrutiny; or

2. There is evidence that the CEO has been granted a substantial quantity of equity incentives; and,

3. There is no apparent credible explanation for the CEO not being a member of the board;

#### Shareholder Resolutions (New Zealand)
Generally, vote FOR appropriately-structured shareholder resolutions calling for increased disclosure of executive remuneration and/or the introduction of a non-binding shareholder vote on a company's remuneration policy.

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#### BRAZIL
I. Board of Directors

#### Minimum Independent Levels
Vote AGAINST the bundled election of directors if the post-election board at Novo Mercado and Nivel 2 companies would be less than 50 percent.<sup>3</sup>

Vote AGAINST the bundled election of directors if the post-election board of Nivel 1 and traditional companies would not have at least one-third of the board or two directors, whichever is higher, classified as independent.

Boston Partners applies a five-year cooling off period to former executives when determining nominee independence in Brazil.

#### Election of Minority Nominees (Separate Election)
Vote FOR the election of minority board nominees (ordinary and preferred holders), as well as minority fiscal council nominees, presented under a separate election when timely disclosure is provided of their names and biographical information, in the absence of other concerns regarding the proposed nominees. If competing minority nominees are disclosed by different minority shareholders, the contested election policy will be applied.

In the absence of timely disclosure regarding minority nominees, an ABSTAIN vote will be issued for the separate minority election proposal.

In the absence of publicly disclosed information regarding the existence of board nominees presented by minority shareholders, an ABSTAIN vote will be issued for the procedural question requesting a separate election for the election of a director appointed by minority ordinary and/or preferred shareholders.

For fiscal council elections, in the event of publicly-disclosed minority nominee(s), Boston Partners will prioritize the support for the election of minority representatives, issuing an ABSTAIN vote for the management nominees. In the absence of timely disclosure of a minority fiscal council nominee, an ABSTAIN vote will be recommended for the fiscal council minority separate election agenda item, with a vote recommendation presented for the management fiscal council nominees.

Boston Partners will vote on a best effort basis, whenever the names and biographical information of minority nominees are disclosed following the publication of the original report, up to a minimum of eight (8) days prior to the shareholder meeting, in which case priority will be given to allow minority shareholders to elect a representative to the board of directors and/or fiscal council.

<sup>3</sup> 2021 and 2022 are transitionary periods. Vote AGAINST proposed board with overall independence below 40 percent during this period. 

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#### Installation of Fiscal Council
Vote FOR approval of the fiscal council installation unless no fiscal council nominees, appointed by either the company's management or by minority shareholders, have been disclosed in a timely manner. Vote to ABSTAIN from such proposals in the absence of publicly disclosed candidates.

In the event management recommends against the installation of the fiscal council, vote CASE-BY-CASE.

#### Combined Chairman/CEO
Vote AGAINST the bundled election of directors of companies listed under the differentiated corporate governance segments of the Sao Paulo Stock Exchange (BM&Fbovespa)–Novo Mercado, Nivel 2, and Nivel 1–if the company maintains or proposes a combined chairman/CEO structure, after three (3) years from the date the company's shares began trading on the respective differentiated corporate governance segment.

Vote AGAINST the election of the company's chairman, if the nominee is also the company's CEO, when it is presented as a separate election at companies listed under the differentiated corporate governance segments of the Sao Paulo Stock Exchange (BM&Fbovespa), Novo Mercado, Nivel 2, and Nivel 1–after three (3) years from the date the company's shares began trading on the respective differentiated corporate governance segment.

#### Board Structure
Vote AGAINST proposals to increase board terms.

II. Capital Structure

#### Share Repurchase Plans
Boston Partners will generally vote AGAINST any proposal where:

1. The repurchase can be used for takeover defenses;

2. There is clear evidence of abuse;

3. There is no safeguard against selective buybacks; or

Pricing provisions and safeguards are deemed to be unreasonable in light of market practice.

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III. Compensation

#### Management Compensation
Generally, vote FOR management compensation proposals that are presented in a timely manner and include all disclosure elements required by the Brazilian Securities Regulator (CVM).

Vote AGAINST management compensation proposals when:

1. The company fails to present a detailed remuneration proposal or the proposal lacks clarity;

2. The company does not disclose the total remuneration of its highest-paid executive; or

3. The figure provided by the company for the total compensation of its highest-paid administrator is not inclusive of all elements of the executive's pay.

Vote CASE-BY-CASE on global remuneration cap (or company's total remuneration estimate, as applicable) proposals that represent a significant increase of the amount approved at the previous annual general meeting (year-over-year increase). When further scrutinizing year-over-year significant remuneration increases, jointly consider some or all of the following factors, as relevant:

1. Whether there is a clearly stated and compelling rationale for the proposed increase;

2. Whether the remuneration increase is aligned with the company's long-term performance and/or operational performance targets disclosed by the company;

3. Whether the company has had positive TSR for the most recent one- and/or three-year periods;

4. Whether the relation between fixed and variable executive pay adequately aligns compensation with the company's future performance.

Vote on a CASE-BY-CASE basis when the company proposes to amend previously-approved compensation caps, paying particular attention as to whether the company has presented a compelling rationale for the request.

#### Compensation Plans
Boston Partners will generally support reasonable equity pay plans that encourage long-term commitment and ownership by its recipients without posing significant risks to shareholder value. Things to be considered include the presence of discounted exercise prices (which are common in Brazil), particularly in the absence of specific performance criteria; the potential for conflict of interests when administrators are also beneficiaries of the plan; and whether there are sufficient safeguards to mitigate such concerns are considered.

Vote AGAINST a stock option plan and/or restricted share plan, or an amendment to the plan, if:

1. The plan lacks a minimum vesting cycle of three years;

2. The plan permits options to be issued with an exercise price at a discount to the current market price, or permits restricted shares to be awarded (essentially shares with a 100 percent discount to market price), in the absence of explicitly stated, challenging performance hurdles related to the company's historical financial performance or the industry benchmarks;

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3. The maximum dilution exceeds 5 percent of issued capital for a mature company and 10 percent for a growth company. However, Boston Partners will support plans at mature companies with dilution levels up to 10 percent if the plan includes other positive features such as challenging performance criteria and meaningful vesting periods, as these features partially offset dilution concerns by reducing the likelihood that options will become exercisable unless there is a clear improvement in shareholder value; or

4. Directors eligible to receive options or shares under the scheme are involved in the administration of the plan.

Vote on a CASE-BY-CASE basis if non-executive directors are among the plan's potential beneficiaries, paying special attention to:

1. Whether there are sufficient safeguards to ensure that beneficiaries do not participate in the plan's administration; and

2. The type of grant (if time-based, performance-based, or in lieu of cash), considering the long-term strategic role of boards of directors.

Specifically, for share matching plans, in addition to the abovementioned factors, vote AGAINST the plan, or an amendment to the plan, if:

1. The shares to be acquired by the participant to become eligible to the share matching plan lack a minimum three-year lock-up period.

Furthermore, for share matching plans with no disclosed performance criteria, Boston Partners will vote AGAINST the plan if:

1. The shares of the initial investment may be purchased by the participant at a discount to the market price;

2. The initial investment is made using resources other than the annual variable remuneration received by the participant; or

3. The plan lacks a reasonable ratio between the number of shares awarded by the company (matching) and each share acquired by the participant.

IV. Other

#### Items Antitakeover Mechanisms
Vote FOR mandatory bid provisions that are structured in line with the recommendations of the Sao Paulo Stock Exchange's Novo Mercado listing segment:

1. Ownership trigger of 30 percent or higher; and

2. Reasonable pricing provisions.

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#### CANADA: TSX- LISTED AND VENTURE LISTED COMPANIES
I. Board of Directors

#### Director Elections
Generally, vote WITHHOLD for all directors nominated only by slate ballot at the annual/general or annual/special shareholders' meetings. This policy will not apply to contested director elections.

Individual director elections are required for companies listed on the Toronto Stock Exchange (TSX).

Policy Considerations for Majority Owned Companies

Support a one-share, one-vote principle. In recognition of the substantial equity stake held by certain shareholders, on a CASE-BY-CASE basis, non-management director nominees who are or who represent a controlling shareholder of a majority owned company may be supported if the company meets all of the following independence and governance criteria:

1. The number of directors related to the controlling shareholder should not exceed the proportion of common shares controlled by the controlling shareholder. In no event, however, should the number of directors related to the controlling shareholder exceed two-thirds of the board;

2. In addition to the above, if the CEO is related to the controlling shareholder, no more than one-third of the board should be related to management (as distinct from the controlling shareholder);

3. If the CEO and chair roles are combined or the CEO is or is related to the controlling shareholder, then there should be an independent lead director and the board should have an effective and transparent process to deal with any conflicts of interest between the company, minority shareholders, and the controlling shareholder;

4. A majority of the audit and nominating committees should be either independent directors or in addition to at least one independent director, may be directors who are related to the controlling shareholder. All members of the compensation committee should be independent of management. If the CEO is related to the controlling shareholder, no more than one member of the compensation committee should be a director who is related to the controlling shareholder; and

5. Prompt disclosure of detailed vote results following each shareholder meeting.

If any of the above independence and governance criteria are not met, the policy exemption will not be applied. This policy will not be considered at dual class companies having common shares with unequal voting or unequal board representation rights.

#### Gender Diversity
WITHOLD votes from the Chair of the Nominating Committee when the company has not disclosed a formal written gender diversity policy if the Chair is of the majority gender. REFER if the Chair is not of the majority gender.

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#### Racial/Ethnic Diversity
WITHHOLD votes from incumbent Nominating Committee members when the company has not disclosed a formal written racial/ethnic diversity policy. In addition, vote AGAINST Nominating Committee members when the board lacks at least one racially/ethnically diverse director.

#### Audit Fee Disclosure
For TSX-listed companies, vote WITHHOLD for the members of the audit committee as constituted in the most recently completed fiscal year if no audit fee information is disclosed by the company within a reasonable period of time prior to a shareholders' meeting at which ratification of auditors is a voting item.

For Canada Venture Listed companies, vote WITHHOLD for the members of the audit committee as constituted in the most recently completed fiscal year if no audit fee information is disclosed by the company within 120 days after its fiscal year end. In the event that the shareholders' meeting at which ratification of auditors is a voting item is scheduled prior to the end of the 120 day reporting deadline and the audit fees for the most recently completed fiscal year have not yet been provided, the vote will be based on the fee disclosure for the prior fiscal year.

#### Director Attendance
Vote WITHHOLD for individual director nominees (except nominees who served for only part of the fiscal year or newly publicly listed companies or companies that have recently graduated to the TSX, should be considered CASE-BY-CASE) if the company has not adopted a majority voting director resignation policy and, if they have, a pattern of low attendance exists based on prior years' meeting attendance.

#### Board Responsiveness
Vote WITHHOLD for continuing individual directors, nominating committee members, or the continuing members of the entire board of directors if at the previous board election, any director received more than 50 percent WITHHOLD votes of the votes cast under a majority voting director resignation policy and the nominating committee has not required that the director leave the board after 90 days, or has not provided another form of acceptable response to the shareholder vote which will be reviewed on a CASE-BY-CASE basis;

#### Unilateral Adoption of an Advance Notice Provision
Vote WITHHOLD for individual directors, committee members, or the entire board as appropriate in situations where an advance notice policy has been adopted by the board but has not been included on the voting agenda at the next shareholders' meeting.

Continued lack of shareholder approval of the advanced notice policy in subsequent years may result in further WITHHOLD votes.

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#### Externally-Managed Issuers (EMIs)
Vote CASE-BY-CASE on say-on-pay resolutions where provided, or on individual directors, committee members, or the entire board as appropriate, when an issuer is externally managed and has provided minimal or no disclosure about their management services agreements and how senior management is compensated. Factors taken into consideration may include but are not limited to:

1. The size and scope of the management services agreement;

2. Executive compensation in comparison to issuer peers and/or similarly structured issuers;

3. Overall performance;

4. Related party transactions;

5. Board and committee independence;

6. Conflicts of interest and process for managing conflicts effectively;

7. Disclosure and independence of the decision-making process involved in the selection of the management services provider;

8. Risk mitigating factors included within the management services agreement such as fee recoupment mechanisms;

9. Historical compensation concerns;

10. Executives' responsibilities; and

11. Other factors that may reasonably be deemed appropriate to assess an externally-managed issuer's governance framework.

#### Proxy Access

#### Proxy Contests – Voting for Director Nominees in Contested Elections
In addition to the General Policy when a dissident seeks a majority of board seats, Boston Partners will require from the dissident a well-reasoned and detailed business plan, including the dissident's strategic initiatives, a transition plan and the identification of a qualified and credible new management team. The detailed dissident plan will be compared against the incumbent plan and the dissident director nominees and management team will be compared against the incumbent team in order to arrive at a vote decision.

When a dissident seeks a minority of board seats, the burden of proof imposed on the dissident is lower. In such cases, Boston Partners will not require from the dissident a detailed plan of action, nor is the dissident required to prove that its plan is preferable to the incumbent plan. Instead, the dissident will be required to prove that board change is preferable to the status quo and that the dissident director slate will add value to board deliberations including by, among other factors, considering issues from a viewpoint different from that of the current board members.

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II. Shareholder Rights & Defenses

#### Advance Notice Requirements
Vote CASE-BY-CASE on proposals to adopt or amend an advance notice board policy or to adopt or amend articles or by-laws containing or adding an advance notice requirement. These provisions will be evaluated to ensure that all of the provisions included within the requirement solely support the stated purpose of the requirement. The purpose of advance notice requirements, as generally stated in the market, is:

1. To prevent stealth proxy contests;

2. To provide a reasonable framework for shareholders to nominate directors by allowing shareholders to submit director nominations within a reasonable timeframe; and

3. To provide all shareholders with sufficient information about potential nominees in order for them to make informed voting decisions on such nominees.

Features that may be considered problematic include but are not limited to:

1. For annual notice of meeting given not less than 50 days prior to the meeting date, the notification timeframe within the advance notice requirement should allow shareholders the ability to provide notice of director nominations at any time not less than 30 days prior to the shareholders' meeting. The notification timeframe should not be subject to any maximum notice period. If notice of annual meeting is given less than 50 days prior to the meeting date, a provision to require shareholder notice by close of business on the 10<sup>th</sup> day following first public announcement of the annual meeting is supportable. In the case of a special meeting, a requirement that a nominating shareholder must provide notice by close of business on the 15<sup>th</sup> day following first public announcement of the special shareholders' meeting is also acceptable;

2. The board's inability to waive all sections of the advance notice provision under the policy or by-law, in its sole discretion;

3. A requirement that any nominating shareholder provide representation that the nominating shareholder be present at the meeting in person or by proxy at which his or her nominee is standing for election for the nomination to be accepted, notwithstanding the number of votes obtained by such nominee;

4. A requirement that any proposed nominee deliver a written agreement wherein the proposed nominee acknowledges and agrees, in advance, to comply with all policies and guidelines of the company that are applicable to directors;

5. Any provision that restricts the notification period to that established for the originally scheduled meeting in the event that the meeting has been adjourned or postponed;

6. Any disclosure request within the advance notice requirement, or the company's ability to request additional disclosure of the nominating shareholder(s) or the shareholder nominee(s) that: exceeds what is required in a dissident proxy circular; goes beyond what is necessary to determine director nominee qualifications, relevant experience, shareholding or voting interest in the company, or independence in the same manner as would be required for management nominees; or, goes beyond what is required under law or regulation;

7. Stipulations within the provision that the corporation will not be obligated to include any information provided by dissident director nominees or nominating shareholders in any shareholder communications, including the proxy statement; and

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8. Any other feature or provision determined to have a negative impact on shareholders' interests and deemed outside the purview of the stated purpose of the advance notice requirement.

#### Enhanced Shareholder Meeting Quorum for Contested Director Elections
Vote AGAINST new by-laws or amended by-laws that would establish two different quorum levels which would result in implementing a higher quorum solely for those shareholder meetings where common share investors seek to replace the majority of current board members ("Enhanced Quorum").

#### Appointment of Additional Directors Between Annual Meetings
Vote FOR these resolutions where:

1. The company is incorporated under a statute (such as the Canada Business Corporations Act) that permits removal of directors by simple majority vote;

2. The number of directors to be appointed between meetings does not exceed one-third of the number of directors appointed at the previous annual meeting; and

3. Such appointments must be ratified by shareholders at the annual meeting immediately following the date of their appointment.

#### Article/By-law Amendments
Vote FOR proposals to adopt or amend articles/by-laws unless the resulting document contains any of the following:

1. The quorum for a meeting of shareholders is set below two persons holding 25 percent of the eligible vote (this may be reduced to no less than 10 percent in the case of a small company that can demonstrate, based on publicly disclosed voting results, that it is unable to achieve a higher quorum and where there is no controlling shareholder);

2. The quorum for a meeting of directors is less than 50 percent of the number of directors;

3. The chair of the board has a casting vote in the event of a deadlock at a meeting of directors;

4. An alternate director provision that permits a director to appoint another person to serve as an alternate director to attend board or committee meetings in place of the duly elected director;

5. An advance notice requirement that includes one or more provisions which could have a negative impact on shareholders' interests and which are deemed outside the purview of the stated purpose of the requirement;

6. Authority is granted to the board with regard to altering future capital authorizations or alteration of the capital structure without further shareholder approval; or

7. Any other provisions that may adversely impact shareholders' rights or diminish independent effective board oversight.

In any event, proposals to adopt or amend articles or by-laws will generally be opposed if the complete article or by-law document is not included in the meeting materials for thorough review or referenced for ease of location on SEDAR, which is the equivalent to the U.S.' EDGAR System.

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Vote FOR proposals to adopt or amend articles/by-laws if the proposed amendment is limited to only that which is required by regulation or will simplify share registration.

#### Confidential Voting
Vote FOR shareholder proposals requesting that corporations adopt confidential voting, use independent vote tabulators, and use independent inspectors of election, as long as the proposal includes a provision for proxy contests as follows: In the case of a contested election, management should be permitted to request that the dissident group honor its confidential voting policy. If the dissidents agree, the policy remains in place. If the dissidents will not agree, the confidential voting policy is waived for that particular vote.

Generally, vote FOR management proposals to adopt confidential voting.

#### Poison Pills (Shareholder Rights Plans)
As required by the TSX, the adoption of a shareholder rights plan must be ratified by shareholders within six months of adoption.

Vote CASE-BY-CASE on management proposals to ratify a shareholder rights plan (poison pill) taking into account whether it conforms to 'new generation' rights plan best practice guidelines and its scope is limited to the following two specific purposes:

1. To give the board more time to find an alternative value enhancing transaction; and

2. To ensure the equal treatment of all shareholders.

Vote AGAINST plans that go beyond these purposes if:

1. The plan gives discretion to the board to either:

a. Determine whether actions by shareholders constitute a change in control;

b. Amend material provisions without shareholder approval;

c. Interpret other provisions;

d. Redeem the rights or waive the plan's application without a shareholder vote; or

e. Prevent a bid from going to shareholders.

2. The plan has any of the following characteristics:

a. Unacceptable key definitions;

b. Reference to Derivatives Contracts within the definition of Beneficial Owner;

c. Flip over provision;

d. Permitted bid minimum period greater than 105 days;

e. Maximum triggering threshold set at less than 20 percent of outstanding shares;

f. Does not permit partial bids;

g. Includes a Shareholder Endorsed Insider Bid (SEIB) provision;

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h. Bidder must frequently update holdings;

i. Requirement for a shareholder meeting to approve a bid; and

j. Requirement that the bidder provide evidence of financing.

3. The plan does not:

a. Include an exemption for a "permitted lock up agreement";

b. Include clear exemptions for money managers, pension funds, mutual funds, trustees, and custodians who are not making a takeover bid; and

c. Exclude reference to voting agreements among shareholders.

#### Exclusive Forum Proposals
Vote CASE-BY-CASE on proposals to adopt an exclusive forum by-law or to amend by-laws to add an exclusive forum provision, taking the following into consideration:

1. Jurisdiction of incorporation;

2. Board rationale for adopting exclusive forum;

3. Legal actions subject to the exclusive forum provision;

4. Evidence of past harm as a result of shareholder legal action against the company originating outside of the jurisdiction of incorporation;

5. Company corporate governance provisions and shareholder rights; or

6. Any other problematic provisions that raise concerns regarding shareholder rights.

III. Capital/ Restructuring

#### Increases in Authorized Capital
Vote CASE-BY-CASE on proposals to increase the number of shares of common stock authorized for issuance. Generally, vote FOR proposals to approve increased authorized capital if:

1. A company's shares are in danger of being de-listed; or

2. A company's ability to continue to operate as a going concern is uncertain.

Generally, vote AGAINST proposals to approve unlimited capital authorization.

#### Private Placement Issuances
Vote CASE-BY-CASE on private placement issuances taking into account:

1. Whether other resolutions are bundled with the issuance;

2. Whether the rationale for the private placement issuance is disclosed;

3. Dilution to existing shareholders' position;

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4. Issuance that represents no more than 30 percent of the company's outstanding shares on a non-diluted basis is considered generally acceptable;

5. Discount/premium in issuance price to the unaffected share price before the announcement of the private placement;

6. Market reaction: The market's response to the proposed private placement since announcement; and

7. Other applicable factors, including conflict of interest, change in control/management, evaluation of other alternatives.

Generally, vote FOR the private placement issuance if it is expected that the company will file for bankruptcy if the transaction is not approved or the company's auditor/management has indicated that the company has going concern issues.

#### Blank Check Preferred Stock
Vote AGAINST proposals to create unlimited blank check preferred shares or increase blank cheque preferred shares where:

1. The shares carry unspecified rights, restrictions, and terms; or

2. The company does not specify any specific purpose for the increase in such shares.

Generally, vote FOR proposals to create a reasonably limited number of preferred shares where both of the following apply:

1. The company has stated in writing and publicly disclosed that the shares will not be used for antitakeover purposes; and

2. The voting, conversion, and other rights, restrictions, and terms of such stock where specified in the articles, are reasonable.

#### Dual-class Stock
Vote AGAINST proposals to create a new class of common stock that will create a class of common shareholders with diminished or superior voting rights.

The following is an exceptional set of circumstances under which Boston Partners would generally support a dual class capital structure. Such a structure must meet all of the following criteria:

1. It is required due to foreign ownership restrictions and financing is required to be done out of country;

2. It is not designed to preserve the voting power of an insider or significant shareholder;

3. The subordinate class may elect some board nominees;

4. There is a sunset provision; and

5. There is a coattail provision that places a prohibition on any change in control transaction without approval of the subordinate class shareholders.

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#### Escrow Agreements
Vote AGAINST an amendment to an existing escrow agreement where the company is proposing to delete all performance-based release requirements in favor of time-driven release requirements.

IV. Compensation

#### Pay for Performance Evaluation
This policy will be applied at all S&P/TSX Composite Index Companies and for all management say-on-pay proposals (MSOP) resolutions.

On a CASE-BY-CASE basis, Boston Partners will evaluate the alignment of the CEO's total compensation with company performance over time, focusing particularly on companies that have underperformed their peers over a sustained period. From a shareholder's perspective, performance is predominantly gauged by the company's share price performance over time. Even when financial or operational measures are used as the basis for incentive awards, the achievement related to these measures should ultimately translate into superior shareholder returns in the long term.

Vote AGAINST MSOP proposals and/or vote WITHHOLD for compensation committee members (or, in rare cases where the full board is deemed responsible, all directors including the CEO) and/or AGAINST an equity-based incentive plan proposal if there is significant long-term misalignment between CEO pay and company performance.

The determination of long-term pay for performance alignment is a two-step process: step one is a quantitative screen, which includes a relative and absolute analysis on pay for performance, and step two is a qualitative assessment of the CEO's pay and company performance. A pay for performance disconnect will be determined as follows:

#### Step I: Quantitative Screen

#### Relative:
1. The Relative Degree of Alignment (RDA) is the difference between the company's annualized TSR rank and the CEO's annualized total pay rank within a peer group, each measured over a three-year period or less if pay or performance data is unavailable for the full three years;

2. The Financial Performance Assessment (FPA) is the ranking of CEO total pay and company financial performance within a peer group, each measured over a three-year period;

3. Multiple of Median (MOM) is the total compensation in the last reported fiscal year relative to the median compensation of the peer group; and

#### Absolute:
1. The CEO Pay-to-TSR Alignment (PTA) over the prior five fiscal years, i.e., the difference between absolute pay changes and absolute TSR changes during the prior five-year period (or less as company disclosure permits).

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#### Step II: Qualitative Analysis
Companies identified by the methodology as having potential misalignment will receive a qualitative assessment to determine the ultimate vote, considering a range of CASE-BY-CASE factors which may include:

1. The ratio of performance- to time-based equity grants and the overall mix of performance-based compensation relative to total compensation (considering whether the ratio is more than 50 percent); standard time-vested stock options and restricted shares are not considered to be performance-based for this consideration;

2. The quality of disclosure and appropriateness of the performance measure(s) and goal(s) utilized, so that shareholders can assess the rigor of the performance program. The use of non-GAAP financial metrics also makes it challenging for shareholders to ascertain the rigor of the program as shareholders often cannot tell the type of adjustments being made and if the adjustments were made consistently. Complete and transparent disclosure helps shareholders to better understand the company's pay for performance linkage;

3. The trend in other financial metrics, such as growth in revenue, earnings, return measures such as ROE, ROA, ROIC, etc.;

4. The use of discretionary out-of-plan payments or awards and the rationale provided as well as frequency of such payments or awards;

5. The trend considering prior years' P4P concern;

6. Extraordinary situation due to a new CEO in the last reported FY; and

7. Any other factors deemed relevant.

#### Problematic Pay Practices
Vote AGAINST MSOP resolutions and/or vote WITHHOLD for compensation committee members if the company has significant problematic compensation practices. Generally, vote AGAINST equity plans if the plan is a vehicle for problematic compensation practices.

Generally, vote based on the preponderance of problematic elements; however, certain adverse practices may warrant WITHHOLD or AGAINST votes on a stand-alone basis in particularly egregious cases. The following practices, while not an exhaustive list, are examples of problematic compensation practices that may warrant an AGAINST or WITHHOLD vote:

Poor disclosure practices: General omission of timely information necessary to understand the rationale for compensation setting process and outcomes, or omission of material contracts, agreements or shareholder disclosure documents;

New CEO with overly generous new hire package:

1. Excessive "make whole" provisions;

2. Any of the problematic pay practices listed in this policy;

Egregious employment contracts: Contracts containing multiyear guarantees for salary increases, bonuses, or equity compensation;

Employee Loans: Interest free or low interest loans extended by the company to employees for the purpose of exercising options or acquiring equity to meet holding requirements or as compensation;

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Excessive severance and/or change-in-control provisions:

1. Inclusion of excessive change-in-control or severance payments, especially those with a multiple in excess of 2X cash pay (salary + bonus);

2. Severance paid for a "performance termination" (i.e., due to the executive's failure to perform job functions at the appropriate level);

3. Employment or severance agreements that provide for modified single triggers, under which an executive may voluntarily leave following a change in control without cause and still receive the severance package;

4. Perquisites for former executives such as car allowance, personal use of corporate aircraft, or other inappropriate arrangements;

5. Change-in-control payouts without loss of job or substantial diminution of job duties (single-triggered);

Abnormally large bonus payouts without justifiable performance linkage or proper disclosure: Performance metrics that are changed, canceled, or replaced during the performance period without adequate explanation of the action and the link to performance;

Excessive perks: Overly generous cost and/or reimbursement of taxes for personal use of corporate aircraft, personal security systems maintenance and/or installation, car allowances, and/or other excessive arrangements relative to base salary;

Payment of dividends on performance awards: Performance award grants for which dividends are paid during the period before the performance criteria or goals have been achieved, and therefore not yet earned;

Problematic option granting practices:

1. Backdating options (i.e. retroactively setting a stock option's exercise price lower than the prevailing market value at the grant date);

2. Springloading options (i.e. timing the grant of options to effectively guarantee an increase in share price shortly after the grant date);

3. Cancellation and subsequent re-grant of options;

Internal Pay Disparity: Excessive differential between CEO total pay and that of next highest-paid named executive officer (NEO);

Absence of pay practices that discourage excessive risk taking:

1. These provisions include but are not limited to: clawbacks, holdbacks, stock ownership requirements, deferred bonus and equity award compensation practices, etc.;

2. Financial institutions will be expected to have adopted or at least addressed the provisions listed above in accordance with the Financial Stability Board's (FSB) Compensation Practices and standards for financial companies;

Other excessive compensation payouts or problematic pay practices at the company.

#### Equity-Based Compensation Plans
In addition to the General Policy, consider the following:

1. Plan Features:

a. Detailed disclosure regarding the treatment of outstanding awards under a change in control (CIC)

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b. No financial assistance to plan participants for the exercise or settlement of awards;

c. Public disclosure of the full text of the plan document; and

d. Reasonable share dilution from equity plans relative to market best practices. For Canada Venture Listed Companies, the basic dilution (i.e. not including warrants or shares reserved for equity compensation) represented by all equity compensation plans should not be greater than 10 percent.

e. For Canada Venture Listed Companies, generally vote AGAINST if the plan expressly permits the repricing of options without shareholder approval and the company has repriced options within the past three years; and the plan is a rolling equity plan that enables auto-replenishment of share reserves without requiring periodic shareholder approval of at least every three years (i.e., evergreen plan).

i. Generally, WITHHOLD votes from the continuing compensation committee members, (or, where no compensation committee has been identified, the board chair or full board), if the company maintains an evergreen plan (including those adopted prior to an initial public offering) and has not sought shareholder approval in the past two years and does not seek shareholder approval of the plan at the meeting.

2. Grant Practices:

a. Reasonable three-year average burn rate relative to market best practices (shouldn't exceed 3.5%);

b. Meaningful time vesting requirements for the CEO's most recent equity grants (three-year lookback);

c. The issuance of performance-based equity to the CEO;

d. A clawback provision applicable to equity awards; and

e. Post-exercise or post-settlement share-holding requirements (S&P/TSX Composite Index only).

Generally, vote AGAINST the plan proposal if the combination of above factors, as determined by an overall score, indicates that the plan is not in shareholders' best interests.

Overriding Negative Factors: In addition, vote AGAINST the plan if any of the following unacceptable factors have been identified:

1. Discretionary or insufficiently limited non- executive director participation;

2. An amendment provision which fails to adequately restrict the company's ability to amend the plan without shareholder approval;

3. A history of repricing stock options without shareholder approval (three-year look-back);

4. The plan is a vehicle for problematic pay practices, or a significant pay-for-performance disconnect under certain circumstances; or

5. Any other plan features that are determined to have a significant negative impact on shareholder interests.

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#### Plan Cost
Vote AGAINST equity plans if the cost is unreasonable.

#### Overriding Negative Factors

#### Plan Amendment Provisions
Vote AGAINST the approval of proposed Amendment Procedures that do not require shareholder approval for the following types of amendments under any security-based compensation arrangement, whether or not such approval is required under current regulatory rules:

1. Any increase in the number of shares reserved for issuance under a plan or plan maximum;

2. Any reduction in exercise price or cancellation and reissue of options or other entitlements;

3. Any amendment that extends the term of options beyond the original expiry;

4. Amendments to eligible participants that may permit the introduction or reintroduction of non- executive directors on a discretionary basis or amendments that increase limits previously imposed on non- executive director participation;

5. Any amendment which would permit options granted under the Plan to be transferable or assignable other than for normal estate settlement purposes; and

6. Amendments to the plan amendment provisions.

To clarify application of the above criteria, all items will apply to all equity-based compensation arrangements under which treasury shares are reserved for grants of, for example: restricted stock, restricted share units, or deferred share units, except those items that specifically refer to option grants.

#### Non- Executive Director (NED) Participation
Discretionary Participation

Vote AGAINST a management equity compensation plan that permits discretionary NED participation.

#### Limited Participation
Vote AGAINST an equity compensation plan proposal where:

1. The NED aggregate share reserve under the plan exceeds 1 percent of the outstanding common shares; or

2. The equity plan document does not specify an annual individual NED grant limit with a maximum value of (i) $100,000 worth of stock options, or (ii) $150,000 worth of shares.

The maximum annual individual NED limit should not exceed $150,000 under any type of equity compensation plan, of which no more than $100,000 of value may comprise stock options.

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#### Individual Grants
Vote AGAINST individual equity grants to NEDs in the following circumstances:

1. In conjunction with an equity compensation plan that is on the agenda at the shareholder meeting if voting AGAINST the underlying equity compensation plan; and

2. Outside of an equity compensation plan if the director's annual grant would exceed the above individual director limit.

Shares taken in lieu of cash fees and a one-time initial equity grant upon a director joining the board will not be included in the maximum award limit.

#### Employee Stock Purchase Plans (ESPPs, ESOPs)
Vote FOR broadly based (preferably all employees of the company with the exclusion of individuals with 5 percent or more beneficial ownership of the company) employee stock purchase plans where the following apply:

1. Reasonable limit on employee contribution (may be expressed as a fixed dollar amount or as a percentage of base salary excluding bonus, commissions and special compensation);

2. Employer contribution of up to 25 percent of employee contribution and no purchase price discount or employer contribution of more than 25 percent of employee contribution and SVT cost of the company's equity plans is within the allowable cap for the company;

3. Purchase price is at least 80 percent of fair market value with no employer contribution;

4. Potential dilution together with all other equity-based plans is 10 percent of outstanding common shares or less; and

5. The Plan Amendment Provision requires shareholder approval for amendments to:

a. The number of shares reserved for the plan;

b. The allowable purchase price discount;

c. The employer matching contribution amount.

Treasury funded ESPPs, as well as market purchase funded ESPPs requesting shareholder approval, will be considered to be incentive-based compensation if the employer match is greater than 25 percent of the employee contribution. In this case, Boston Partners will assess the SVT cost of the plan together with the company's other equity-based compensation plans.

Eligibility and administration are also key factors in determining the acceptability of an ESPP/ESOP plan.

#### Management Deferred Share Unit (DSU) Plans
Vote FOR deferred compensation plans if:

1. SVT cost of the plan does not exceed the company's allowable cap;

2. If the SVT cost cannot be calculated, potential dilution together with all other equity-based compensation is 10 percent of the outstanding common shares or less;

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3. NED participation is acceptably limited or the plan explicitly states that NEDs may only receive DSUs in lieu of cash in a value for value exchange (please refer to Overriding Negative Factors/NED Participation above);

4. The plan amendment provisions require shareholder approval for any amendment to:

5. Increase the number of shares reserved for issuance under the plan;

6. Change the eligible participants that may permit the introduction or reintroduction of non- executive directors on a discretionary basis or amendments that increase limits previously imposed on NED participation;

7. Amend the plan amendment provisions.

In addition, for Canada Venture Listed Companies, vote FOR deferred compensation plans if:

1. Potential dilution together with all other equity-based compensation is 10 percent of the outstanding common shares or less;

2. The average annual burn rate is no more than 3.5 percent per year (generally averaged over most recent three-year period and rounded to the nearest whole number for policy application purposes.

#### Non- Executive Director (NED) Deferred Share Unit (DSU) Plans
Vote FOR a NED deferred compensation plan if:

1. DSUs may ONLY be granted in lieu of cash fees on a value for value basis (no discretionary or other grants are permitted), and

2. Potential dilution together with all other equity-based compensation is 10 percent of the outstanding common shares or less.

Vote FOR NED deferred compensation plans that permit discretionary grants (not ONLY in lieu of cash fees) if:

1. Potential dilution together with all other equity-based compensation is 10 percent of the outstanding common shares or less;

2. If the plan includes a company matching or top-up provision, the SVT cost of the plan does not exceed the company's allowable cap;

3. NED participation is acceptably limited (please refer to Overriding Negative Factors/NED Participation above);

4. The plan amendment provisions require shareholder approval for any amendment to:

a. Increase the number of shares reserved for issuance under the plan; Change the eligible participants that may permit the introduction or reintroduction of non- executive directors on a discretionary basis or amendments that increase limits previously imposed on NED participation;

b. Amend the plan amendment provisions.

5. In addition, for Canada Venture Listed Companies, vote FOR deferred compensation plans if the average annual burn rate is no more than 3.5 percent per year (generally averaged over most recent three-year period and rounded to the nearest whole number for policy application purposes.

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Other elements of director compensation evaluated in conjunction with DSU plan proposals include:

1. Director stock ownership guidelines of a minimum of three times annual cash retainer;

2. Vesting schedule or mandatory deferral period which requires that shares in payment of deferred units may not be paid out until the end of board service;

3. The mix of remuneration between cash and equity; and

4. Other forms of equity-based compensation, i.e. stock options, restricted stock.

#### Problematic Director Compensation Practices
On a CASE-BY-CASE basis, generally vote WITHHOLD for members of the committee responsible for director compensation (or, where no such committee has been identified, the board chair or full board) where director compensation practices which pose a risk of compromising a non- executive director's independence or which otherwise appear problematic from the perspective of shareholders have been identified, including:

1. Excessive (relative to standard market practice) inducement grants issued upon the appointment or election of a new director to the board (consideration will be given to the form in which the compensation has been issued and the board's rationale for the inducement grant);

2. Performance-based equity grants to non- executive directors which could pose a risk of aligning directors' interests away from those of shareholders and toward those of management; and

3. Other significant problematic practices relating to director compensation.

#### Shareholder Proposals on Compensation
Vote on a CASE-BY-CASE basis for shareholder proposals targeting executive and director pay, taking into account the target company's performance, absolute and relative pay levels as well as the wording of the proposal itself.

Vote FOR shareholder proposals requesting that the exercise of some, but not all stock options be tied to the achievement of performance hurdles.

#### Shareholder Advisory Vote Proposals
Vote FOR shareholder proposals requesting the adoption of a non-binding advisory shareholder vote to ratify the report of the compensation committee.

Vote AGAINST shareholder proposals requesting a binding vote on executive or director compensation as being overly prescriptive and which may lead to shareholder micro-management of compensation issues that are more appropriately within the purview of the compensation committee of the board of directors.

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#### Supplemental Executive Retirement Plan (SERP) Proposals
Vote AGAINST shareholder proposals requesting the exclusion of bonus amounts and extra service credits to determine SERP payouts, unless the company's SERP disclosure includes the following problematic pay practices:

1. Inclusion of equity-based compensation in the pension calculation;

2. Inclusion of excessive bonus amounts in the pension calculation;

3. Addition of extra years' service credited in other than exceptional circumstances and without compelling rationale;

4. No absolute limit on SERP annual pension benefits (ideally expressed in dollar terms);

5. No reduction in benefits on a pro-rata basis in the case of early retirement.

In addition, consideration will also be given to the extent to which executive compensation is performance driven and "at risk," as well as whether bonus payouts can exceed 100 percent of base salary.

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#### CHINA AND HONG KONG
I. Board of Directors

#### Voting for Director Nominees in Uncontested Elections (Hong Kong)

#### Independence and Composition
Boston Partners applies a five-year cooling off period to former employees or executives when determining nominee independence in Hong Kong.

Generally, vote FOR the re/election of directors unless:

1. The nominee has been a partner of the company's auditor within the last three years, and serves on the audit committee;

2. Any non-independent director nominees where the board is less than one-third independent<sup>4</sup>;

3. The nominee is an executive director serving on the audit committee;

4. The nominee is an executive director serving on the remuneration committee or nomination committee, and the committee is not majority independent;

5. The nominee is a non-independent director serving as the chairman of the audit committee, remuneration committee, and/or nomination committee (except for a non-independent director serving as chairman of the nomination committee who also serves as the chairman of the board)

6. There is a conflict of interest with the resolution(s) to be discussed in the board or committee meeting

When the board does not have a formal audit committee, remuneration committee, and/or nomination committee, vote AGAINST if:

1. The nominee is an executive director and the board is not majority independent;

2. The nominee is a non-independent chairman of the board.

<sup>4</sup> Not applicable if the lack of board independence is due to the immediate retirement, abrupt resignation, or death of an independent non-executive director, provided that the company mentioned or announced a definite timeline of up to three months for the appointment of a new independent non-executive director to have adequate level of board independence. 

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Boston Partners will consider an independent non-executive director non-independent if such director serves as a director for more than nine years, and the company fails to disclose the reasons why such director should still be considered independent, or where such reasons raise concerns regarding the director's true level of independence.

Generally, Boston Partners will vote FOR the election of a CEO, managing director, executive chairman, or founder whose removal from the board would be expected to have a material negative impact on shareholder value.

II. Remuneration

#### Director Remuneration
Generally, vote FOR resolutions regarding directors' and supervisors' fees unless they are excessive relative to fees paid by other companies of similar size.

#### Equity-based Compensation
A-share Stock Option Schemes and Performance Share Schemes

Vote AGAINST a stock option and/or performance share scheme if:

1. Pricing Basis – The plan permits the exercise price of the stock options and/or grant price of the performance shares to be set at an unreasonable price compared to the market price without sufficient justification;

2. Dilution – The maximum dilution level for the scheme exceeds 10 percent of issued capital; or of 5 percent of issued capital for a mature company and 10 percent for a growth company. However, Boston Partners will support plans at mature companies with dilution levels up to 10 percent if the plan includes other positive features such as challenging performance criteria and meaningful vesting periods, as these features partially offset dilution concerns by reducing the likelihood that options will become exercisable unless there is a clear improvement in shareholder value;

3. Performance benchmark – The scheme is proposed in the second half of the year and the measurement of the company's financial performance starts from the same year. The rationale is that the company's financial performance has been largely determined for that particular year and thus by linking the vesting conditions of part of the options and/or performance shares to that year's financial performance, the company is providing incentives for the period of the second half only, which can either be too aggressive (if the target is far out of reach) or too insufficient (i.e., the target has already been reached); or

4. Incentive plan administration – Directors eligible to receive options and/or performance shares under the scheme are involved in the administration of the scheme are involved in the administration of the scheme.

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Additionally, in Hong Kong, generally vote FOR an equity-based compensation plan unless:

1. The maximum dilution level for the scheme, together with all outstanding schemes, exceeds 5 percent of issued capital for a mature company and 10 percent for a growth company. In addition, Boston Partners will support a plan's dilution limit that exceeds these thresholds if the annual grant limit under all plans is 0.5 percent or less for a mature company (1 percent or less for a mature company with clearly disclosed performance criteria) and 1 percent or less for a growth company.

2. The plan permits options to be issued with an exercise price at a discount to the current market price; or

3. Directors eligible to receive options or awards under the scheme are involved in the administration of the scheme and the administrator has the discretion over their awards.

#### Employee Stock Purchase Plans
Generally, vote FOR employee stock purchase plans (ESPPs) unless any of the following applies:

1. The total stock allocated to the ESPP exceeds 10 percent of the company's total shares outstanding at any given time;

2. The share purchase price is less than 90 percent of the market price (calculated as the average trading price 20 trading days prior to the pricing reference date pursuant to the CSRC's guidelines on private placements) when the share purchase is conducted solely through private placement;

3. The company's significant shareholders (i.e. individuals with 5 percent or more of beneficial ownership of the company) are involved as plan participants;

4. The ESPP is proposed in connection with an equity financing scheme which does not warrant shareholder support; or

5. The ESPP contains any other terms that are deemed disadvantageous to shareholders.

III. Capital Raising

#### Share Issuance Requests
Vote CASE-BY-CASE on share issuance request, with reference to the identity of the placees, the use of proceeds, and the company's past share issuance requests.

For Hong Kong, generally vote FOR the general share issuance mandate for companies that:

1. Limit the issuance request to 10 percent or less of the relevant class of issued share capital;

2. Limit the discount to 10 percent of the market price of shares (rather than the maximum 20 percent permitted by the Listing Rules); and

3. Have no history of renewing the general issuance mandate several times within a period of one year which may result in the share issuance limit exceeding 10 percent of the relevant class of issued share capital within the 12-month period.

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#### Share Repurchase Plans (Repurchase Mandate) (Hong Kong)
Generally, vote FOR resolutions seeking for share repurchase mandate.

#### Reissuance of Shares Repurchased (Share Reissuance Mandate) (Hong Kong)
Generally, vote FOR the share reissuance mandate for companies that:

1. Limit the aggregate issuance request – that is, for the general issuance mandate and the share reissuance mandate combined – to 10 percent or less of the relevant class of issued share capital;

2. Limit the discount to 10 percent of the market price of shares (rather than the maximum 20 percent permitted by the Listing Rules); and

3. Have no history of renewing the general issuance mandate several times within a period of one year.

#### A-share Private Placement Issuance Requests (Hong Kong)
Vote CASE-BY-CASE on share issuance requests, with reference to the identity of the places, the use of proceeds, and the company's past share issuance requests.

#### Adjustments of Conversion Price of Outstanding Convertible Bonds
Generally, vote AGAINST the downward adjustment of the conversion price of A-share convertible bonds unless the proposed adjusted conversion price is deemed reasonable given the company's justification; and the company is under extraordinary circumstances, such as liquidation or debt restructuring process due to financial distress.

#### Debt Issuance Request/Increase in Borrowing Powers
Vote CASE-BY-CASE on non-convertible debt issuance requests, proposals to approve the specific pledging of assets for debt and increases in borrowing power. Generally, vote FOR such requests if:

1. The size of the debt being requested is disclosed;

2. A credible reason for the need for additional funding is provided;

3. Details regarding the assets to be pledged are disclosed (for specific asset pledge proposals); and

4. There are no significant causes for shareholder concerns regarding the terms and conditions of the debt.

A vote AGAINST will be warranted only in extremely egregious cases or where the company fails to provide sufficient information to enable a meaningful shareholder review.

For the issuance of convertible debt instruments, as long as the maximum number of common shares that could be issued upon conversion is acceptable on equity issuance requests, a vote FOR will be warranted. Boston Partners will vote FOR proposals to restructure existing debt arrangements unless the terms of the restructuring would adversely affect the rights of shareholders.

Moreover, where a general authority to issue debt or pledge assets is requested, in addition to the above criteria, we will oppose such a proposal if it could result in a potentially excessive increase in debt. A potential increase in debt may be considered excessive when:

1. The proposed maximum amount is more than twice the company's total debt;

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2. It could result in the company's debt-to-equity ratio exceeding 300 percent (for non-financial companies); and

3. The maximum hypothetical debt-to-equity ratio is more than three times the industry and/or market norm.

If data on the normal level of debt in that particular industry or market is not available, only the company-specific information will be considered.

For Hong Kong, for proposals seeking a general authority to pledge assets for debt, the specific assets to be pledged need not be disclosed. However, in such cases, the authority should be limited such that it would not result in an excessive increase in debt. If the proposal grants excessive authority to the board or management, vote AGAINST.

In certain countries, shareholder approval is required when a company needs to secure a debt issuance with its assets. In many cases, this is a routine request and is a formality under the relevant law. When reviewing such proposals, Boston Partners takes into account the terms of the proposed debt issuance, the company's overall debt level, and the company's justification for the pledging of assets.

Boston Partners will vote AGAINST specific requests to pledge an asset in cases where no information regarding the size of the debt to be raised is disclosed, no credible explanation for the need of funding is provided, no details regarding the assets to be pledged are disclosed, or in extreme cases where shareholders' rights and economic interests could be negatively affected.

#### Provision of Guarantees/ Loan Guarantee Requests
Vote CASE-BY-CASE on proposals to provide loan guarantees for subsidiaries, affiliates, and related parties. Generally, vote AGAINST the provision of a guarantee where:

1. The identity of the entity receiving the guarantee is not disclosed;

2. The guarantee is being provided to a director, executive, parent company or affiliated entities where the company has no direct or indirect equity ownership; or

3. The guarantee is provided to an entity in which the company's ownership stake is less than 75 percent; and such guarantee is not proportionate to the company's equity stake or other parties have not provided a counter guarantee.

When the proposed guarantee does not fall into the above criteria, vote FOR such request provided that there are no significant concerns regarding the entity receiving the guarantee, the relationship between the listed company and the entity receiving the guarantee, the purpose of the guarantee, or the terms of the guarantee agreement. Examples of such concerns include a previous default by the entity receiving the guarantee or a sub-investment grade credit rating.

IV. Amendments to Articles of Association/ Company By-laws

#### Communist Party Committee
Generally, vote AGAINST proposals for article and/or by-law amendments regarding Party Committees where the proposed amendments lack transparency or are not considered to adequately provide for accountability and transparency to shareholders.

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#### Other Article of Association/By-law Amendments
Vote CASE-BY-CASE on Articles of Association/bylaw amendments.

In China, generally, vote FOR by-law amendments if:

1. They are driven by regulatory changes and are technical in nature; or

2. They are meant to update company-specific information in the by-laws such as registered capital, address, and business scope, etc.

Generally, vote AGAINST the amendments if:

1. The company has failed to provide either a comparison table or a summary of the proposed amendments; or

2. The amendments include the increase in the decision authority which is considered excessive and the company fails to provide a compelling justification.

Vote CASE-BY-CASE on the adoption of new constitutional document with no previous reference.

V. Related Party Transactions

#### Loan Financing Requests
Vote CASE-BY-CASE on loans and financing proposals.

In assessing requests for loan financing provided by a related party:

1. Boston Partners will examine stated uses of proceeds, the size or specific amount of the loan requested, and the interest rate to be charged. Boston Partners also gives importance to, and seeks disclosure on, the specific relation of the party providing the loan to the company.

In assessing requests to provide loan financing to a related party:

1. Boston Partners will examine stated uses of proceeds, the size or specific amount of the loan requested, and interest rates to be charged. Boston Partners also gives importance to, and seeks disclosure on, the specific relation of the party to be granted the loan by the company.

2. Boston Partner will generally vote AGAINST the provision of loans to clients, controlling shareholders, and actual controlling persons of the company.

3. Boston Partners will generally vote AGAINST the provision of loans to an entity in which the company's ownership stake is less than 75 percent and the financing provision is not proportionate to the company's equity stake.

#### Group Finance Companies
Vote AGAINST requests to deposit monies with a group finance company.

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VI. Proposals to Invest in Financial Products Using Idle Funds

Vote on proposals to invest in financial products using idle funds on a CASE-BY-CASE basis. Key factors for evaluating such requests include:

1. Any known concerns with previous investments;

2. The amount of the proposed investment relative to the company's assets;

3. Disclosure of the nature of the products in which the company proposes to invest; and

4. Disclosure of associated risks of the proposed investments and related risk management efforts by the company.

Generally, vote FOR such proposals unless the company fails to provide sufficient information to enable a meaningful shareholder or there are significant concerns with the company's previous similar investments.

#### CONTINENTAL EUROPE
Applies to: Austria, Belgium, Bulgaria, Croatia, the Czech Republic, Cyprus, Denmark, Estonia, the Faroe Islands, Finland, France, Germany, Greece, Greenland, Hungary, Iceland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, the Netherlands, Norway, Poland, Portugal, Romania, Spain, Slovakia, Slovenia, Sweden, and Switzerland. Also applies to the United Kingdom and Ireland to the extent policies are shared. For specific United Kingdom and Ireland policies, please see that section of the Policy.

I. Operational Items

#### Appointment of Auditors and Auditor Fees
Generally vote FOR proposals to (re)appoint auditors and/or proposals authorizing the board to

fix auditor fees, unless:

5. The name of the proposed auditors has not been published;

6. There are serious concerns about the effectiveness of the auditors;

7. The lead audit partner(s) has been linked with a significant auditing controversy;

8. There is reason to believe that the auditor has rendered an opinion which is neither accurate nor indicative of the company's financial position;

9. The lead audit partner(s) has previously served the company in an executive capacity or can otherwise be considered affiliated with the company;

10. The auditors are being changed without explanation;

11. Fees for non-audit services exceed either 100 percent of standard audit related fees or any stricter limit set in local best practice recommendations or law; or

12. The auditor has been engaged for more than 10 years without a public tender, or for more than 20 years (24 years in case of a joint audit) following a public tender after 10 years, for companies listed on a regulated market. A public commitment to conduct a tender process will be considered a mitigating factor.

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#### Approval of Non-financial Information Statement/ Report
Generally, vote FOR the approval of mandatory non-financial information statement/report, unless the independent assurance services provider has raised material concerns about the information presented.

II. Director Elections

#### Non-Contested Director Elections
Boston Partners may vote AGAINST proposals due to concerns related to at least one of the following specific factors, which are presented below as separate subsections.

#### Director Terms
1. Generally, vote AGAINST the election or re-election of any director when his/her term is not disclosed or when it exceeds four years and adequate explanation for non-compliance has not been provided. Under best practice recommendations, companies should shorten the terms for directors when the terms exceed the limits suggested by best practices. The policy will be applied to all companies in these markets, for bundled as well as unbundled items.

2. Vote AGAINST article amendment proposals to extend board terms.

#### Bundling of Proposals to Elect Directors
1. Directors should be elected individually.

2. For the markets of Bulgaria, Croatia, Czech Republic, Estonia, France, Germany, Hungary, Latvia, Lithuania, Poland\*, Romania, Slovakia, Slovenia, and Spain vote AGAINST the election or reelection of any directors if individual director elections are an established market practice and the company proposes a single slate of directors.

• \* Bundled director elections in Poland may be supported for companies that go beyond market practice by disclosing the names of nominees on a timely basis.

#### Board Independence
Boston Partners applies a five-year cooling off period to former executives when determining nominee independence in Continental Europe.

#### Widely-held Controlled Companies and Non widely-held Companies
Generally, vote AGAINST the election or reelection of any non-independent directors (excluding the CEO) if less than one-third of the board members are independent.

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#### Widely-held Non-controlled Companies
Generally, vote AGAINST the election or reelection of any non-independent directors (excluding the CEO) if fewer than 50 percent of the board members elected by shareholders– excluding, where relevant, employee shareholder representatives – would be independent (Portugal is excluded from this provision); or fewer than one-third of all board members would be independent.

#### Disclosure of Names of Nominees
Vote AGAINST the election or reelection of any and all director nominees when the names of the nominees are not available.

#### Election of a Former CEO as Chairman of the Board
Generally, vote AGAINST the (re)election of a former CEO to the supervisory board or board of directors in Germany, Austria, and the Netherlands if the former CEO is to be chair of the relevant board. Companies are expected to confirm prior to the general meeting that the former CEO will not be (re)appointed as chair of the relevant board.

Given the importance of board leadership, Boston Partners may consider that the chair of the board should be an independent non-executive director.

#### Voto di Lista (Italy)
Boston Partners will vote CASE-BY-CASE.

#### One Board Seat per Director
1. In cases where a director holds more than one board seat on a single board and the corresponding votes, manifested as one seat as a physical person plus an additional seat(s) as a representative of a legal entity, vote AGAINST the election/reelection of such legal entities and in favor of the physical person.

2. If the representative of the legal entity holds the position of CEO, generally vote in favor of the legal entity and AGAINST the election/reelection of the physical person.

#### Composition of Committees
1. For widely held companies, generally vote AGAINST the (re)election of any non-independent members of the audit committee if:

a. Fewer than 50 percent of the audit committee members, who are elected by shareholders– excluding, where relevant, employee shareholder representatives – would be independent; or

b. Fewer than one-third of all audit committee members would be independent.

For companies whose boards are legally required to have 50 percent of directors not elected by shareholders, the second criterion is not applicable.

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2. Generally, vote AGAINST the election or reelection of the non-independent member of the audit committee designated as chairman of that committee.

3. For widely held companies generally vote AGAINST the (re)election of any non-independent members of the remuneration committee if:

a. Fewer than 50 percent of the remuneration committee members, who are elected by shareholders– excluding, where relevant, employee shareholder representatives – would be independent; or

b. Fewer than one-third of all remuneration committee members would be independent.

For companies whose boards are legally required to have 50 percent of directors not elected by shareholders, the second criterion is not applicable.

4. Generally, vote AGAINST the (re)election of executives who serve on the company's audit or remuneration committee. Boston Partners may vote AGAINST if the disclosure is too poor to determine whether an executive serves or will serve on a committee. If a company does not have an audit or a remuneration committee, Boston Partners may consider that the entire board fulfills the role of a committee. In such case, Boston Partners may vote AGAINST the executives, including the CEO, up for election to the board.

5. Composition of Nominating Committee (Finland, Iceland, Sweden, and Norway)

a. Vote FOR proposals in Finland, Iceland, Norway, and Sweden to elect or appoint a nominating committee consisting mainly of non-board members.

b. Vote FOR shareholder proposals calling for disclosure of the names of the proposed candidates at the meeting, as well as the inclusion of a representative of minority shareholders in the committee.

c. Vote AGAINST proposals where the names of the candidates (in the case of an election) or the principles for the establishment of the committee have not been disclosed in a timely manner.

d. Vote AGAINST proposals in Sweden to elect or appoint such a committee if the company is on the MSCI-EAFE or local main index and the following conditions exist:

I. A member of the executive management would be a member of the committee;

II. More than one board member who is dependent on a major shareholder would be on the committee; or

III. The chair of the board would also be the chair of the committee.

e. In cases where the principles for the establishment of the nominating committee, rather than the election of the committee itself, are being voted on, vote AGAINST the adoption of the principles if any of the above conditions are met for the current committee, and there is no publicly available information indicating that this would no longer be the case for the new nominating committee.

#### Election of Censors (France)
Boston Partners will generally vote AGAINST proposals seeking shareholder approval to elect a censor, to amend by-laws to authorize the appointment of censors, or to extend the maximum number of censors to the board.

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Boston Partners will vote on a CASE-BY-CASE basis when the company provides assurance that the censor would serve on a short-term basis (maximum one year) with the intent to retain the nominee before his/her election as director. In this case, consideration shall also be given to the nominee's situation (notably overboarding or other factors of concern).

Vote AGAINST any proposal to renew the term of a censor or to extend the statutory term of censors.

#### Board Gender Diversity
Generally, vote AGAINST the chair of the nomination committee (or other directors on a CASE-BY-CASE basis) if:

1. The underrepresented gender accounts for less than 30 percent (or any higher domestic threshold) of shareholder-elected directors of a widely held company Excluding, where relevant, employee shareholder representatives.<sup>5</sup>

2. Both genders are not represented on the board of a non-widely-held company.

Mitigating factors may include:

1. Compliance with the relevant standard at the preceding annual meeting and a firm commitment, publicly available, to comply with the relevant standard within a year; or

2. Other relevant factors as applicable.

#### Committee of Representatives and Corporate Assembly Elections (Denmark and Norway)
For Norwegian and Danish companies where shareholders vote on elections for members of the corporate assembly or committee of representatives, but not directly on the board of directors, vote CASE-BY-CASE on corporate assembly and committee of representative elections based on the board of directors' compliance with Boston Partners' director election policy.

III. Capital Structure

#### Share Issuance Requests

#### General Issuances
Vote FOR issuance authorities with pre-emptive rights to a maximum of 50 percent over currently issued capital and as long as the share issuance authorities' periods are clearly disclosed (or implied by the application of a legal maximum duration) and in line with market-specific practices and/or recommended guidelines (e.g. issuance periods limited to 18 months for the Netherlands).

Vote FOR issuance authorities without pre-emptive rights to a maximum of 10 percent (or a lower limit if local market best practice recommendations provide) of currently issued capital as long as the share issuance authorities' periods are clearly disclosed (or implied by the application of a legal maximum duration) and in line with market-specific practices and/or recommended guidelines (e.g. issuance periods limited to 18 months for the Netherlands).

<sup>5</sup> In France, when employees exceed a given shareholding threshold in the company, they must be represented by employee shareholder representative(s) on the [supervisory] board.

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These thresholds are mutually exclusive. When calculating the defined limits, all authorized and conditional capital authorizations are considered, including existing authorizations that will remain valid beyond the concerned shareholders' meeting.

#### For French Companies
Vote FOR general issuance requests with preemptive rights, or without preemptive rights but with a binding "priority right," for a maximum of 50 percent over currently issued capital.

Generally, vote FOR general authorities to issue shares without preemptive rights up to a maximum of 10 percent of share capital. When companies are listed on a regulated market, the maximum discount on share issuance price proposed in the resolution must, in addition, comply with the legal discount (i.e., a maximum of 5 percent discount to the share listing price) for a vote FOR to be warranted.

#### Increases in Authorized Capital
Vote for proposals to increase authorized capital on a CASE-BY-CASE basis if such proposals do not include the authorization to issue shares from the (pre-)approved limit.

In case the proposals to increase authorized capital include the authorization to issue shares according to the (pre-) approved limit without obtaining separate shareholder approval, the general issuance policy applies.

IV. Compensation

#### Executive Compensation-related Proposals
Boston Partners will generally vote AGAINST a company's compensation-related proposal if such proposal fails to comply with one or a combination of several of the global principles and their corresponding rules:

1. Provide shareholders with clear and comprehensive compensation disclosures:

a. Information on compensation-related proposals shall be made available to shareholders in a timely manner;

b. The level of disclosure of the proposed compensation policy and remuneration report shall be sufficient for shareholders to make an informed decision and shall be in line with what local market best practice standards dictate;

i. Remuneration report disclosure is expected to include amongst others: amounts paid to executives, alignment between company performance and payout to executives, disclosure of variable incentive targets and according levels of achievement and performance awards made, after the relevant performance period (ex-post), and disclosure and explanation of use of any discretionary authority or derogation clause by the board or remuneration committee to adjust pay outcomes.

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ii. Companies are expected to provide meaningful information regarding the average remuneration of employees of the company, in a manner which permits comparison with directors' remuneration.

c. Companies shall adequately disclose all elements of the compensation, including:

i. Any short- or long-term compensation component must include a maximum award limit.

ii. Long-term incentive plans must provide sufficient disclosure of (i) the exercise price/strike price (options); (ii) discount on grant; (iii) grant date/period; (iv) exercise/vesting period; and, if applicable, (v) performance criteria.

iii. Discretionary payments, if applicable.

iv. The derogation policy, if applicable, which shall clearly define and limit any elements (e.g., base salary, STI, LTI, etc.) and extent (e.g., caps, weightings, etc.) to which derogations may apply.

2. Maintain appropriate pay structure with emphasis on long-term shareholder value:

a. The structure of the company's short-term incentive plan shall be appropriate.

b. The compensation policy must notably avoid guaranteed or discretionary compensation.

c. The structure of the company's long-term incentives shall be appropriate, including, but not limited to, dilution, vesting period, and, if applicable, performance conditions.

i. Equity-based plans or awards that are linked to long-term company performance will be evaluated using Boston Partners' General Policy for equity-based plans; and

ii. For awards granted to executives, generally require a clear link between shareholder value and awards, and stringent performance-based elements.

d. The balance between short- and long-term variable compensation shall be appropriate. The company's executive compensation policy must notably avoid disproportionate focus on short-term variable element(s).

3. Avoid arrangements that risk "pay for failure":

a. The board shall demonstrate good stewardship of investor's interests regarding executive compensation practices (principle being supported by Pay for Performance Evaluation).

i. There shall be a clear link between the company's performance and variable incentives. Financial and non-financial conditions, including ESG criteria, are relevant as long as they reward an effective performance in line with the purpose, strategy, and objectives adopted by the company.

ii. There shall not be significant discrepancies between the company's performance, financial and non-financial and real executive payouts.

iii. The level of pay for the CEO and members of executive management should not be excessive relative to peers, company performance, and market practices.

iv. Significant pay increases shall be explained by a detailed and compelling disclosure.

b. Termination payments (any payment linked to early termination of contracts for executive or managing directors, including payments related to the duration of a notice period or a non-competition clause included in the contract) must not be in excess of (i) 24 months' pay or of (ii) any more restrictive provision pursuant to local legal requirements and/or market best practices.

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c. Arrangements with a company executive regarding pensions and post-mandate exercise of equity-based awards must not result in an adverse impact on shareholders' interests or be misaligned with good market practices.

4. Maintain an independent and effective compensation committee:

a. No executives may serve on the compensation committee.

b. In certain markets the compensation committee shall be composed of a majority of independent members.

c. Compensation committees should use the discretion afforded them by shareholders to ensure that rewards properly reflect business performance.

In addition, Boston Partners will generally vote AGAINST a compensation-related proposal if such proposal is in breach of any other Boston Partners' voting policy.

#### Non-Executive Director Compensation
Though always seeking to avoid inappropriate pay to non-executive directors, Boston Partners will generally vote FOR proposals to award cash fees to non-executive directors, and will otherwise vote AGAINST where:

1. Documents (including general meeting documents, annual report) provided prior to the general meeting do not mention fees paid to non-executive directors.

2. Proposed amounts are excessive relative to other companies in the country or industry.

3. The company intends to increase the fees excessively in comparison with market/sector practices, without stating compelling reasons that justify the increase.

4. Proposals provide for the granting of stock options, performance-based places compensation (including stock appreciation rights and performance-vesting restricted stock), and performance-based cash to non-executive directors.

5. Proposals introduce retirement benefits for non-executive directors.

Boston Partners will vote on a CASE-BY-CASE basis where:

1. Proposals include both cash and share-based components to non-executive directors.

2. Proposals bundle compensation for both non-executive and executive directors into a single resolution.

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#### Equity-based Compensation Guidelines
Boston Partners will generally vote FOR equity-based compensation proposals of the like if the plan(s) is (are) in line with long-term shareholder interests and align the award with shareholder value. This assessment includes, but is not limited to, the following factors:

1. The volume of awards (to be) transferred to participants under all outstanding plans must not be excessive.

2. Awards must not exceed:

a. 5 percent of a company's issued share capital. This number can be up to 10 percent for high-growth companies or particularly well-designed plans (e.g., with challenging performance criteria, extended vesting/performance period, etc.);

b. The plan(s) must be sufficiently long-term in nature/structure: the vesting of awards (i) must occur no less than three years from the grant date, and (ii) if applicable, should be conditioned on meeting performance targets that are measured over a period of at least three consecutive years;

c. If applicable, performance criteria must be fully disclosed, measurable, quantifiable, and long-term oriented;

d. The awards must be granted at market price. Discounts, if any, must be mitigated by performance criteria or other features that justify such discount.

#### Compensation-Related Voting Sanctions
Should a company be deemed:

• To have egregious remuneration practices;

• To have failed to follow market practice by not submitting expected resolutions on executive compensation; or

• To have failed to respond to significant shareholder dissent on remuneration-related proposals;

an adverse vote could be applied to any of the following on a CASE-BY-CASE basis:

1. The (re)election of the chair of the remuneration committee or, where relevant, any other members of the remuneration committee;

2. The reelection of the board chair;

3. The discharge of directors; or

4. The annual report and accounts.

Other adverse recommendations under existing remuneration proposals (if any) should also be considered.

#### Stock Option Plans – Adjustment for Dividend (Nordic Region)
Vote AGAINST stock option plans in Denmark, Finland, Norway, and Sweden if evidence is found that they contain provisions that may result in a disconnect between shareholder value and employee/executive reward. This includes one or a combination of the following:

1. Adjusting the strike price for future ordinary dividends AND including expected dividend yield above 0 percent when determining the number of options awarded under the plan;

2. Having significantly higher expected dividends than actual historical dividends;

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3. Favorably adjusting the terms of existing options plans without valid reason; and/or

4. Any other provisions or performance measures that result in undue award.

Boston Partners will make an exception if a company proposes to reduce the strike price by the amount of future special (extraordinary) dividends only.

Generally, vote AGAINST if the potential increase of share capital amounts to more than 5 percent for mature companies or 10 percent for growth companies or if options may be exercised below the market price of the share at the date of grant, or that employee options do not lapse if employment is terminated.

#### Share Matching Plans (Sweden and Norway)
Boston Partners considers the following factors when evaluating share matching plans:

1. For every share matching plan, Boston Partners requires a holding period.

2. For plans without performance criteria, the shares must be purchased at market price.

3. For broad-based share matching plans directed at all employees, Boston Partners accepts an arrangement up to a 1:1 ratio, i.e. no more than one free share is awarded for every share purchased at market value.

4. In addition, for plans directed at executives, we require that sufficiently challenging performance criteria be attached to the plan. Higher discounts demand proportionally higher performance criteria.

The dilution of the plan when combined with the dilution from any other proposed or outstanding employee stock purchase/stock matching plans, must comply with Boston Partners guidelines.

V. Other Items

#### Antitakeover Mechanisms
For the Netherlands, votes regarding management proposals to approve protective preference shares will be determined on a CASE-BY-CASE basis. In general, Boston Partners will vote FOR protective preference shares (PPS) only if:

1. The supervisory board needs to approve an issuance of shares and the supervisory board is independent within the meaning Boston Partners' guidelines and the Dutch Corporate Governance Code (i.e. a maximum of one member can be non-independent);

2. No call / put option agreement exists between the company and a foundation for the issuance of PPS;

3. The issuance authority is for a maximum of 18 months;

4. The board of the company-friendly foundation is fully independent;

5. There are no priority shares or other egregious protective or entrenchment tools;

6. The company states specifically that the issue of PPS is not meant to block a takeover, but will only be used to investigate alternative bids or to negotiate a better deal;

7. The foundation buying the PPS does not have as a statutory goal to block a takeover; and

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8. The PPS will be outstanding for a period of maximum 6 months (an EGM must be called to determine the continued use of such shares after this period).

For French companies listed on a regulated market, generally vote AGAINST any general authorities impacting the share capital (i.e. authorities for share repurchase plans and any general share issuances with or without preemptive rights) if they can be used for antitakeover purposes without shareholders' prior explicit approval.

#### Authority to Reduce Minimum Notice Period for Calling a Meeting
A FOR vote to approve the "enabling" authority proposal would be on the basis that Boston Partners would generally expect companies to call EGMs/GMs using a notice period of less than 21 days only in limited circumstances where a shorter notice period will be to the advantage of shareholders as a whole, for example, to keep a period of uncertainty about the future of the company to a minimum. This is particularly true of capital raising proposals or other price sensitive transactions. By definition, annual general meetings, being regular meetings of the company, should not merit a notice period of less than 21 days.

In a market where local legislation permits an EGM/GM to be called at no less than 14-days' notice, Boston will generally vote FOR a resolution to approve the enabling authority if the company discloses that the shorter notice period of between 20 and 14 days would not be used as a matter of routine for such meetings, but only when the flexibility is merited by the business of the meeting. Where the proposal(s) at a given EGM/GM is (are) not time-sensitive, such as the approval of incentive plans, Boston Partners would not expect a company to invoke the shorter notice notwithstanding any prior approval of the enabling authority proposal by shareholders.

In evaluating an enabling authority proposal, Boston Partners would first require that the company make a clear disclosure of its compliance with any hurdle conditions for the authority imposed by applicable law, such as the provision of an electronic voting facility for shareholders. In addition, with the exception of the first annual general meeting at which approval of the enabling authority is sought following implementation of the European Shareholder Rights Directive, when evaluating an enabling authority proposal Boston Partners will take into consideration the company's use (if any) of shorter notice periods in the preceding year to ensure that such shorter notice periods were invoked solely in connection with genuinely time-sensitive matters. Where the company has not limited its use of the shorter notice periods to such time sensitive-matters and fails to provide a clear explanation for this, Boston Partners will consider a vote AGAINST the enabling authority for the coming year.

#### Auditor Report Including Related Party Transactions (France)
Boston Partners will review all auditor reports on related-party transactions and screen for and evaluate agreements with respect to the following issues:

1. Director Remuneration

2. Consulting Services

3. Liability Coverage

4. Certain Business Transactions

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In general, Boston Partners expects companies to provide the following regarding related-party transactions:

1. Adequate disclosure of terms under listed transactions (including individual details of any consulting, or other remuneration agreements with directors and for any asset sales and/or acquisitions);

2. Sufficient justification on transactions that appear to be unrelated to operations and/or not in shareholders' best interests;

3. Fairness opinion (if applicable in special business transactions); and

4. Any other relevant information that may affect or impair shareholder value, rights, and/or judgment.

In the event that the company fails to provide an annual report in a timely manner, generally at least 21 days prior to the meeting, Boston Partners will vote AGAINST these proposals.

#### EUROPE, THE MIDDLE EAST, AND AFRICA
Applies to: Markets in South-Eastern Europe and the Near East; Albania, Bahrain, Belarus, Bosnia, Botswana, Burkina Faso, Egypt, Gabon, Georgia, Ghana, Ivory Coast, Jordan, Kenya, Kosovo, Kuwait, Lebanon, Macedonia, Malawi, Mauritius, Montenegro, Morocco, Namibia, Nigeria, Oman, Qatar, Rwanda, Saudi Arabia, Senegal, Tanzania, Togo, Tunisia, Turkey, Ukraine, Uganda, United Arab Emirates, Zambia, and Zimbabwe. Also applies to Russia and Kazakhstan, and Israel to the extent policies are shared. For specific Russia and Kazakhstan, and Israel policies, please see those sections of the Policy.

I. Operational Items

#### Financial Results/Director and Auditor Reports
Vote FOR approval of financial statements and director and auditor reports, unless:

1. There are concerns about the accounts presented or audit procedures used; or

2. The company is not responsive to shareholder questions about specific items that should be publicly disclosed.

Generally, vote for approval of the corporate governance and/or the board report, unless information about corporate governance practices to be included in those reports has not been publicly disclosed by the company in a timely manner.

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#### Appointment of Auditors and Auditor Fees
Vote FOR the (re)election of auditors and/or proposals authorizing the board to fix auditor fees, unless: for widely-held companies, fees (if disclosed) for non-audit services exceed either 100 percent of standard audit-related fees or any stricter limit set in local best practice recommendations or law.

#### Donations
Vote FOR proposals seeking the approval of donations for the fiscal year under review unless:

1. The amount of donations for the fiscal year in review is not publicly available at the time of analysis; or

2. There are controversies surrounding the company's use of donations.

Vote FOR proposals seeking the approval of donations for the upcoming fiscal year unless:

1. The company does not provide a cap for the amount of future donations, and there is no disclosure regarding donations being made under the fiscal year in review; or

2. There are controversies surrounding the company's use of donations.

II. Board of Directors

#### Board Independence
Boston Partners applies a five-year cooling off period to former executives when determining nominee independence in Europe, the Middle East, and Africa.

If a nominee cannot be categorized, Boston Partners will consider that nominee as non-independent and include that nominee in the calculation of overall board independence.

Generally, vote AGAINST the election or reelection of any non-independent directors (excluding the CEO) if overall board independence is less than one-third, excluding, where relevant, employee shareholder representatives.

Vote FOR (AGAINST) employee or labor representatives if they sit on either the audit or compensation committee and are (not) required by law to be on these committees.

#### Committee Independence
Vote AGAINST proposals seeking the election of non-independent members of the audit committee if:

1. Fewer than one-third of all audit committee members<sup>6</sup> excluding, where relevant, employee shareholder representatives, would be independent; or

2. A non-independent member is being presented for election or reelection as the audit committee chair.

This policy applies to bundled and unbundled items.

<sup>6</sup> For Saudi Arabian companies, Boston Partners will include external (non-board members) nominees in the assessment of the audit committee's level of independence.

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For companies incorporated in Turkey, vote AGAINST the (re)election of any non-independent members of the audit committee.

Vote AGAINST the (re)election of executives who serve on the company's audit committee. Vote AGAINST if the disclosure is insufficient to determine whether an executive serves or will serve on the audit committee. If Boston Partners believes the entire board fulfills the audit committee role, vote AGAINST any executives, including the CEO.

For Nigerian companies, vote FOR the election of shareholders' representatives as members of the statutory audit committee unless the names of the proposed candidates are not publicly disclosed in a timely manner or there are specific concerns about the candidates.

#### Cumulative Voting System
When directors are elected through a cumulative voting system, or when the number of nominees exceeds the number of board vacancies vote CASE-BY-CASE on directors, taking into consideration additional factors to identify the nominees best suited to add value for shareholders.

Generally, ABSTAIN votes from all candidates if the disclosure provided by the company is not sufficient to allow the assessment of independence and the support of all proposed candidates on equal terms.

If the disclosure is sufficient to allow an assessment of the independence of proposed candidates, generally vote in favor of the following types of candidates:

1. Candidates who can be identified as representatives of minority shareholders of the company, or independent candidates.

2. Candidates whose professional background may have the following benefits:

a. Increasing the diversity of incumbent directors ' professional profiles and skills (thanks to their financial expertise, international experience, executive positions/directorships at other listed companies, or other relevant factors).

b. Bringing to the current board of directors relevant experience in areas linked to the company's business, evidenced by current or past board memberships or management functions at other companies.

3. Incumbent board members and candidates explicitly supported by the company's management.

III. Capital Structure

#### Capital Structures
Vote FOR resolutions that seek to maintain or convert to a one-share, one-vote capital structure.

Vote AGAINST requests for the creation or continuation of dual-class capital structures or the creation of new or additional super-voting shares.

#### Preferred Stock
Vote AGAINST the creation of a new class of preference shares that would carry superior voting rights to the common shares.

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Vote AGAINST the creation of blank check preferred stock unless the board clearly states that the authorization will not be used to thwart a takeover bid.

Vote proposals to increase blank check preferred authorizations on a CASE-BY-CASE basis.

#### Debt Issuance Requests
Vote non-convertible debt issuance requests on a CASE-BY-CASE basis, with or without preemptive rights.

Vote FOR the creation/issuance of convertible debt instruments as long as the maximum number of common shares that could be issued upon conversion meets guidelines on equity issuance requests.

Vote FOR proposals to restructure existing debt arrangements unless the terms of the restructuring would adversely affect the rights of shareholders.

IV. Compensation

Vote FOR proposals to award cash fees to non-executive directors unless:

1. The board fees paid for the fiscal year under review are not disclosed in a timely manner;

2. The proposed amounts are excessive relative to similarly sized companies in the same market/sector, with no justification provided by the company; or

3. There is significant concern on the company's past practices regarding directors' remuneration.

In case there is a significant increase in fees with limited or no justification, vote on the proposal on a CASE-BY-CASE basis.

Vote non-executive director compensation proposals that include both cash and share-based components on a CASE-BY-CASE basis.

Vote proposals that bundle compensation for both non-executive and executive directors into a single resolution on a CASE-BY-CASE basis.

Vote AGAINST proposals to introduce retirement benefits for non-executive directors.

#### Remuneration Policy/Report
Vote CASE-BY-CASE on compensation related-proposal including both non-executive and executive directors (or executive directors only) taking into account the following factors:

1. Information on compensation-related proposals shall be made publicly available in a timely manner;

2. The level of disclosure of the proposed compensation policy shall be sufficient for shareholders to make an informed decision and shall be in line with what local best market practice standards dictate;

3. Companies shall adequately disclose all elements of the compensation, including any short- or long-term compensation component.

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When assessing a company's remuneration policy and/or report, generally vote AGAINST if the level of disclosure around the policy and/or the application of the policy is below what is required for shareholders to make an informed judgment. In the event of satisfactory disclosure, vote FOR the approval of the executive remuneration policy and/or the remuneration report on a CASE-BY-CASE approach paying particular attention as to whether the proposed policy and/ or amendments are aligned with shareholders' interest.

V. Other Items

#### Related-Party Transactions
In the case of Nigerian companies, vote FOR proposals relating to renewal of the general mandate for the company to enter into recurrent transactions with related parties necessary for its day-to-day operations in the absence of any concerns with the related party transactions concluded pursuant to the general mandate.

#### INDIA
I. Board of Directors

#### Executive Appointment
Vote FOR executive appointment and remuneration proposals, unless there is evidence of problems in the past or significant concerns with the individual's qualifications, proposed remuneration, or performance or the position.

#### Election of Directors

#### Accountability
Generally, vote AGAINST directors who are not liable to retire by rotation and whose continuation on the board will not be subject to shareholder review and approval going forward.

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#### Composition

#### Separation of Roles of Chair and CEO
For the NIFTY 500 and BSE 500 companies, vote AGAINST the board chair and the chair of the nomination committee (or a senior member of the nomination committee on a CASE-BY-CASE basis) up for reelection, if there is no separation of roles between the CEO and chairperson, as required under the applicable regulations.

II. Remuneration

#### Director Commission and Executive Compensation

#### Fees for Non-executive Directors
For aggregate non-executive director remuneration, generally, vote FOR resolutions regarding director fees unless there is a clear indication that directors are being rewarded for poor performance, or the fees are excessive relative to fees paid by other companies of similar size.

For individual non-executive director remuneration, vote on a case-to-case basis depending on the role and contribution of the concerned director, company performance, the quantum of proposed remuneration, peer benchmarking, and the overall pay structure.

#### Executive Compensation
Generally, vote AGAINST the payment of remuneration in excess of the minimum remuneration and the waiver of recovery of excess remuneration paid to executives in the event of loss or inadequate profit unless compelling justification is provided in support of the proposal.

Any increases in total remuneration for executives should not be out of line with general increases at the company. Vote CASE-BY-CASE on executive compensation proposals considering whether:

1. Quantum of pay and proposed hike is reasonable and commensurate with the size and scale of company;

2. Past remuneration has been aligned with performance;

3. Pay is benchmarked to industry/market peers;

4. Pay as a multiple of median employee pay is reasonable;

5. The proposed pay structure has sufficient degree of variable pay;

6. Terms of LTIP/stock option plans are disclosed;

7. The award levels for the different components of variable pay are clearly defined and capped;

8. Performance conditions have been stated;

9. Malus/clawback/deferred pay provisions are in place; and

10. The board has unreasonable level of discretion and flexibility in deciding the final pay.

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#### Equity Compensation Plans
Generally, vote FOR option plans and restricted share plans.

Vote AGAINST an option plan if:

1. The maximum dilution level for the plan exceeds:

a. 5 percent of issued share capital for a mature company (this may be increased to 10 percent if the plan includes other positive features such as a challenging performance criteria and meaningful vesting periods as these partially offset dilution concerns by reducing the likelihood that options will become exercisable or performance shares are issued unless there is a clear improvement in shareholder value);

b. 10 percent for a growth company; or

2. The plan permits options to be issued with an exercise price at a discount to the current market price.

Vote AGAINST a restricted share plan if:

1. The maximum dilution level for the plan exceeds 5 percent of issued share capital for a mature company or 10 percent for a growth company; or

2. The plan does not include a challenging performance criteria and meaningful vesting periods to partially offset dilution concerns by reducing the likelihood that performance shares are issued unless there is a clear improvement in shareholder value.

III. Share Issuance Requests

#### Preferential Issuance Requests and Preferential Issuance of Warrants
Vote CASE-BY-CASE on requests for preferential issuance (private placements) and issuance of preferential warrants.

#### Specific Issuance Requests
Vote CASE-BY-CASE on issuances of shares for specific purposes.

IV. Debt Issuance Requests

#### Debt Related Proposals
In evaluating debt-related proposals, consider the following factors:

1. Rationale/use of proceeds: Why does the company need additional capital? How will that capital be used?

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2. Terms of the debts: Are the debt instruments convertible into equity? What are the interest rate and maturity dates? Any call or put options? Often these terms will not be determined until the time of issuance of debt instruments (or when the actual loan agreement is signed). The terms of the debts would generally be determined by the market conditions, and lack of disclosure concerning these terms should not be a cause for significant concern so long as the debt is not convertible into equity.

3. Size: At a minimum, the size of the debt issuance/potential borrowing should be disclosed.

4. The company's financial position: What is the company's current leverage and how does that compare to its peers?

5. The risk of non-approval: What might happen if the proposal is not approved? Are there any alternative sources of funding? Could the company continue to fund its operations? Would it hinder the company's ability to realize opportunities?

A distinction should be made between a specific debt issuance or pledging of assets, and authority to issue or increase debt; as in the case of specific equity issuances and requests for authority to issue equity.

#### Increase in Borrowing Powers
Vote FOR proposals to approve increases in a company's borrowing powers if:

1. The size of the debt being requested is disclosed;

2. A credible reason for the need for additional funding is provided;

3. The potential increase in debt is not excessive; and

4. There are no significant causes for shareholder concern regarding the terms and conditions of the debt.

For non-financial companies, the following criteria are used to assess whether the potential increase in debt is considered excessive:

1. The proposed maximum amount is more than twice the company's total debt;

2. It could result in the company's debt-to-equity ratio, or gearing level, exceeding 300 percent; and

3. The maximum hypothetical debt-to-equity ratio is more than three times the industry and/or market norm.

Generally, vote FOR debt-related proposals of financial companies taking into account the current financial standing of the company, including but not limited to:

1. The capital adequacy to risk (weighted) assets; or

2. Capital adequacy ratio vis-à-vis the regulatory norm;

3. Revenue growth; and

4. Asset base.

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#### Pledging of Assets for Debt
Vote FOR proposals to approve the specific pledging of assets for debt if:

1. The size of the debt being requested is disclosed;

2. A credible reason for the need for additional funding is provided;

3. Details regarding the assets to be pledged are disclosed; and

4. There are no significant causes for shareholder concern regarding the terms and conditions of the debt.

For proposals seeking a general authority to pledge assets for debt, the specific assets to be pledged need not be disclosed. However, in such cases, the authority should be limited such that it would not result in an excessive increase in debt. Vote AGAINST proposals that grant excessive authority to the board or management.

#### Financial Assistance
Vote CASE-BY-CASE on requests for financial assistance. Generally, vote AGAINST the provision of a guarantee where:

1. The identity of the entity receiving the guarantee is not disclosed;

2. The guarantee is being provided to a director, executive, parent company, or affiliated entities where the company has no direct or indirect equity ownership; or

3. The guarantee is provided to an entity in which the company's ownership stake is less than 75 percent; and such guarantee is not proportionate to the company's equity stake or other parties have not provided a counter guarantee.

When the proposed guarantee does not fall into the above criteria, generally vote FOR the request provided that there are no significant concerns regarding the entity receiving the guarantee, the relationship between the listed company and the entity receiving the guarantee, the purpose of the guarantee, or the terms of the guarantee agreement. Examples of such concerns include a previous default by the entity receiving the guarantee or a sub-investment grade credit rating.

V. Miscellaneous

#### Accept Financial Statements and Statutory Reports
Generally, vote FOR the approval of financial statements and statutory reports, unless:

1. There are concerns about the accounts presented or audit procedures used; or

2. There has been an accounting fraud or materials misstatement during the year.

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#### Acceptance of Deposits
Generally, vote AGAINST proposals to accept deposits from shareholders and/or the public, unless there are no significant causes for shareholder concern regarding the terms and conditions of the deposit. Sufficient information regarding the deposits must be disclosed, including:

1. Justification for the need for additional funding; and

2. The interest rate offered, which must not exceed the interest rate prescribed by the Reserve Bank of India (RBI) for acceptance of deposits by non-banking financial companies (NBFCs).

#### Charitable Donations
Vote AGAINST proposed charitable donations, unless:

1. Adequate disclosure on the rationale for the donation and exact term of the authority are provided in the meeting materials, and

2. The party receiving the charitable donation is an independent third party.

#### Increase in Foreign Shareholding Limit
Vote FOR requests for increases in foreign shareholder limits, unless there are outstanding issues concerning the company.

#### ISRAEL
I. Operational Items

#### Appointment of Auditors and Auditor Fees
Vote FOR the (re)election of auditors and/or proposals authorizing the board to fix auditor fees, unless: There are serious concerns about the procedures used by the auditor; There is reason to believe that the auditor has rendered an opinion which is neither accurate nor indicative of the company's financial position; External auditors have previously served the company in an executive capacity or can otherwise be considered affiliated with the company; The name(s) of the proposed auditors has not been published; The auditors are being changed without explanation; Fees for non-audit services exceed standard annual audit-related fees (only applies to companies listed on any country main index); Audit fees are undisclosed; or Audit fees are being reported together with tax/other fees.

II. Compensation

#### Executive Compensation-related Proposals
Boston Partners will generally vote AGAINST a company's compensation-related proposal if such proposal fails to comply with one or a combination of several of the global principles and their corresponding rules:

1. Provide shareholders with clear and comprehensive compensation disclosures:

a. Information on compensation-related proposals shall be made available to shareholders in a timely manner;

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b. The level of disclosure of the proposed compensation policy shall be sufficient for shareholders to make an informed decision and shall be in line with what local market best practice standards dictate;

c. Companies shall adequately disclose all elements of the compensation, including:

i. Any short- or long-term compensation component must include a maximum award limit.

ii. Long-term incentive plans must provide sufficient disclosure of (i) the exercise price/strike price (options); (ii) discount on grant; (iii) grant date/period; (iv) exercise/vesting period; and, if applicable, (v) performance criteria.

iii. Discretionary payments, if applicable.

2. Maintain appropriate pay structure with emphasis on long-term shareholder value:

a. The structure of the company's short-term incentive plan shall be appropriate.

b. The compensation policy must notably avoid guaranteed or discretionary compensation.

c. The structure of the company's long-term incentives shall be appropriate, including, but not limited to, dilution, vesting period, and, if applicable, performance conditions.

i. Equity-based plans or awards that are linked to long-term company performance will be evaluated using Boston Partners' General Policy for equity-based plans; and

ii. For awards granted to executives, generally require a clear link between shareholder value and awards, and stringent performance-based elements.

d. The balance between short- and long-term variable compensation shall be appropriate. The company's executive compensation policy must notably avoid disproportionate focus on short-term variable element(s).

3. Avoid arrangements that risk "pay for failure":

a. The board shall demonstrate good stewardship of investor's interests regarding executive compensation practices (principle being supported by Pay for Performance Evaluation).

i. There shall be a clear link between the company's performance and variable awards.

ii. There shall not be significant discrepancies between the company's performance and real executive payouts.

iii. The level of pay for the CEO and members of executive management should not be excessive relative to peers, company performance, and market practices.

iv. Significant pay increases shall be explained by a detailed and compelling disclosure.

b. Termination payments (any payment linked to early termination of contracts for executive or managing directors, including payments related to the duration of a notice period or a non-competition clause included in the contract) must not be in excess of (i) 24 months' pay or of (ii) any more restrictive provision pursuant to local legal requirements and/or market best practices.

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c. Arrangements with a company executive regarding pensions and post-mandate exercise of equity-based awards must not result in an adverse impact on shareholders' interests or be misaligned with good market practices.

4. Maintain an independent and effective compensation committee:

a. No executives may serve on the compensation committee.

b. In certain markets the compensation committee shall be composed of a majority of independent members.

c. Compensation committees should use the discretion afforded them by shareholders to ensure that rewards properly reflect business performance.

In addition, Boston Partners will generally vote AGAINST a compensation-related proposal if such proposal is in breach of any other Boston Partners' voting policy.

#### Non-Executive Director Compensation
Though always seeking to avoid inappropriate pay to non-executive directors, Boston Partners will generally vote FOR proposals to award cash fees to non-executive directors, and will otherwise vote AGAINST where:

1. Documents (including general meeting documents, annual report) provided prior to the general meeting do not mention fees paid to non-executive directors.

2. Proposed amounts are excessive relative to other companies in the country or industry.

3. The company intends to increase the fees excessively in comparison with market/sector practices, without stating compelling reasons that justify the increase.

4. Proposals provide for the granting of stock options, performance-based places compensation (including stock appreciation rights and performance-vesting restricted stock), and performance-based cash to non-executive directors.

5. Proposals introduce retirement benefits for non-executive directors.

#### Equity-based Compensation Guidelines
Vote FOR equity- based compensation proposals for employees if the plan(s) are in line with long-term shareholder interests and align the award with shareholder value.

Boston Partners will vote AGAINST plans if the three-year average burn rate exceeds 3.5 percent.

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#### JAPAN
I. Routine Miscellaneous

#### Income Allocation
Generally, vote FOR approval of income allocation, unless:

1. Payout ratio is consistently low without adequate justification; or

2. Payout ratio is too high, potentially damaging financial health.

#### Election of Statutory Auditors
Generally, vote FOR the election of statutory auditors, unless:

1. The outside statutory auditor nominee is regarded as non-independent; or

2. The outside statutory nominee attended less than 75 percent of meetings of the board of directors or board of statutory auditors during the year under review; or

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3. The statutory auditor is judged to be responsible for clear mismanagement or shareholder-unfriendly behavior.

4. Egregious actions related to a statutory auditor's service on other boards that raise substantial doubt about his or her ability to effectively oversee management and serve the best interests of shareholders at any company.

II. Election of Directors

#### Voting on Director Nominees in Uncontested Elections
There are three policies for director elections in Japan: one for companies with a statutory auditor board structure, one for companies with a U.S.-type three committee structure, and one for companies with a board with audit committee structure.

1. At companies with a statutory auditor structure: vote FOR the election of directors, except:

a) Top executive(s) at a company that has underperformed in terms of capital efficiency (i.e., when the company has posted average return on equity (ROE) of less than five percent over the last five fiscal years), unless an improvement is observed;

b) For meetings on or after Feb. 1, 2022, top executive(s) at a company that allocates a significant portion (20 percent or more) of its net assets to cross-shareholdings. Exceptions may be considered for cases such as where the top executive has newly joined the company in connection with a bailout or restructuring;

c) Top executive(s) if the board, after the shareholder meeting, will not include at least two outside directors and, for meetings on or after Feb. 1, 2022, at least one-third of the board members will not be outside directors;

d) Top executive(s) at a company that has a controlling shareholder, where the board, after the shareholder meeting, will not include at least two independent directors and at least one-third of the board members will be independent directors;

e) Top executive(s) who are responsible for not implementing a shareholder proposal which has received a majority of votes cast, or not putting a similar proposal on the ballot as a management proposal the following year (with a management recommendation of FOR), when that proposal is deemed to be in the interest of independent shareholders; or

f) An outside director nominee who attended less than 75 percent of board meetings during the year under review.

2. At companies with a U.S.-type three committee structure: (In addition to the guidelines for companies with a statutory auditor structure) vote FOR the election of directors, except:

a) Where an outside director nominee is regarded as non-independent and the board, after the shareholder meeting, is not majority independent;

b) Top executive(s) if at least one-third of the board members, after the shareholder meeting, will not be outside directors; or

c) Where the company has a controlling shareholder, a director nominee sits on the nomination committee and is an insider, or non-independent outsider, when the board, after the shareholder meeting, does not include at least two independent directors and at least one-third of the board members will be independent directors.

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3. At companies with a board with audit committee structure: (In addition to the guidelines for companies with a statutory auditor structure) vote FOR the election of directors, except:

a. Where an outside director nominee who is also nominated as an audit committee member (outside director nominees who are not nominated as audit committee members are not subject to this policy) is regarded as non-independent; or

b. Top executive(s) if at least one-third of the board members, after the shareholder meeting, will not be outside directors.

III. Article Amendments

#### Adoption of a U.S.-style Three Committee Board Structure
Generally, vote FOR the adoption of a U.S. style, three-committee board structure.

#### Adoption of a Board with Audit Committee Structure
Generally, vote FOR an article amendment to adopt a board with audit committee structure. However, if the adoption of the new governance structure would eliminate shareholders' ability to submit shareholder proposals on income allocation, vote AGAINST the article amendments. Vote CASE-BY-CASE if the board currently has a three-committee structure.

#### Increase in Authorized Capital
Generally, vote CASE-BY-CASE on this request if the company explicitly provides reasons for the increase.

If the company does not provide reasons for the increase, generally vote FOR proposals to increase authorized capital, unless the increase is intended for a poison pill.

#### Creation/Modification of Preferred Shares/Class Shares
Generally, vote CASE-BY-CASE on this request.

#### Repurchase of Shares at Board's Discretion
Vote CASE-BY-CASE on article amendments to give the board discretionary authority over share repurchases, taking into account the company's:

1. Balance sheet conditions;

2. Capital efficiency and return on equity;

3. Past share buybacks and dividend payouts;

4. Board composition;

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5. Shareholding structure; and

6. Other relevant factors.

Generally, vote AGAINST these amendments if shareholders will lose the ability to submit shareholder proposals on share repurchases.

#### Allow Company to Make Rules Governing the Exercise of Shareholders' Rights
Generally, vote AGAINST this change.

#### Limit Rights of Odd Shareholders
Generally, vote FOR this change.

#### Amendments Related to Takeover Defenses
Generally, vote FOR this proposal, unless Boston Partners opposes or has opposed the poison pill proposal by itself.

#### Decrease in Maximum Board Size
Generally, vote FOR this proposal, unless the decrease eliminates all vacant seats, leaving no flexibility to add shareholder nominees or other outsiders to the board without removing an incumbent director.

#### Supermajority Vote Requirement to Remove a Director
Generally, vote AGAINST proposals seeking a supermajority requirement to remove a director.

#### Creation of Advisory Positions (Sodanyaku or Komon)
Generally, vote AGAINST amendments to articles of incorporation to create new advisory positions such as "sodanyaku" or "komon," unless the advisors will serve on the board of directors and thus be accountable to shareholders.

#### Payment of Dividends at the Board's Discretion
Generally, vote AGAINST proposals allowing the board to pay dividends at its discretion. However, if the company employs board with committee structure and the proposal would not eliminate shareholders' ability to submit shareholder proposals on income allocation, vote FOR the article amendments.

#### Management Buyout Related Amendments
Generally, vote CASE-BY-CASE on management related buyout amendments.

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IV. Compensation

#### Annual Bonuses for Directors/Statutory Auditors
Vote FOR approval of annual bonuses, unless recipients include those who are judged to be responsible for clear mismanagement or shareholder-unfriendly behavior.

#### Retirement Bonuses
Generally, vote FOR approval of retirement bonuses, unless:

1. Recipients include outsiders; or

2. Neither the individual payments nor the aggregate amount of the payments is disclosed; or

3. Recipients include those who are judged to be responsible for clear mismanagement or shareholder-unfriendly behavior.

#### Special Payments in Connection with Abolition of Retirement Bonus System
Generally, vote FOR approval of special payments in connection with abolition of retirement bonus system, unless:

1. Recipients include outsiders; or

2. Neither the individual payments nor the aggregate amount of the payments is disclosed; or

3. Recipients include those who are judged to be responsible for clear mismanagement or shareholder-unfriendly behavior.

#### Stock Option Plans/Deep-Discounted Stock Option Plans

#### Stock Option Plans
Generally, vote FOR approval of stock option plans, unless:

1. Total dilution from proposed plan(s) and previous option plans exceeds 5 percent for mature companies, or 10 percent for growth companies; or;

2. Recipients include individuals who are not in a position to affect the company's stock price, including employees of business partners or unspecified "collaborators;" or

3. The maximum number of options that can be issued per year is not disclosed.

#### Deep-Discounted Stock Option Plans
Generally, vote FOR approval of deep-discounted stock option plans10, unless:

1. Total dilution from proposed plan(s) and previous option plans exceeds 5 percent for mature companies, or 10 percent for growth companies; or

2. Recipients include individuals who are not in a position to affect the company's stock price, including employees of business partners or unspecified "collaborators;" or

3. The maximum number of options that can be issued per year is not disclosed; or

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4. No specific performance hurdles are specified (However, if the vesting period before exercise lasts for at least three years, this policy may not apply).

#### Director Compensation Ceiling
Generally, vote FOR proposals seeking to increase director fees, if:

1. The specific reason(s) for the increase are explained; or

2. The company is introducing or increasing a ceiling for performance-based compensation.

Vote CASE-BY-CASE on proposals seeking to increase director fees, taking into account the company's stock price performance and capital efficiency if:

1. The proposals are intended to increase fixed cash compensation or do not specify whether it is fixed or performance-based compensation which will be increased.

Generally, vote AGAINST proposals seeking to increase director fees if there are serious concerns about corporate malfeasance.

#### Statutory Auditor Compensation Ceiling
Generally, vote FOR proposals seeking to increase statutory auditor compensation ceiling, unless statutory auditors are judged to be responsible for clear mismanagement or shareholder-unfriendly behavior

#### KOREA
I. Election of Directors

#### Director Elections

#### Independence
Boston Partners applies a five-year cooling off period to former employees or executives when determining nominee independence in Korea.

Vote AGAINST any non-independent director nominees where the board is less than majority-independent (in the case of large companies) or less than 25 percent independent (in the case of small companies).

#### Composition
For cases where the election of multiple directors are presented as a bundled item, vote AGAINST the entire slate of directors if one of the nominees presents any governance concerns.

#### Voting on Director Nominees in Contested Elections
Vote CASE-BY-CASE, determining which directors are best suited to add value for shareholders. The analysis will generally be based on, but not limited to, the following major decision factors:

1. Management's track record;

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2. Background to the contested election;

3. Nominee qualifications and any compensatory arrangements;

4. Strategic plan of dissident slate and quality of the critique against management;

5. Likelihood that the proposed goals and objectives can be achieved (both slates); and

6. Stock ownership positions.

II. Audit Related

#### Election of Audit Committee Member(s)
Vote CASE-BY-CASE on the election of audit committee members. Consider the history of a particular director when deciding whether to vote in favor of his/her (re)election.

For small companies, Boston Partners will vote AGAINST a non-independent director nominee if the audit committee is less than two-thirds independent.

#### Election of Internal Auditor(s)/ Establishment of Audit Committees
Vote CASE-BY-CASE on the election of internal auditor(s). Consider the history of a particular internal auditor when deciding whether to vote in favor of his or her (re)election.

Under Korean law, small companies are required to appoint at least one internal auditor. These companies may alternatively choose to establish an audit committee. For those small companies which choose to create an audit committee in place of the internal auditor system vote FOR the election of an inside director as an audit committee member only if the company's audit committee, after the election, satisfies the legal requirement.

Generally, vote FOR the establishment of an audit committee as a replacement for the internal auditor system.

III. Capital Structure/Restructuring

#### Stock Split
Generally, vote FOR stock splits or reverse stock splits unless there is potential dilution impact on existing shareholders as a result of stock split and/or reverse stock split.

#### Spinoff Agreement
Generally, vote FOR the approval of a spinoff agreement, unless:

1. The impact on earnings or voting rights for one class of shareholders is disproportionate to the relative contributions of the group;

2. The company's structure following the spinoff does not reflect good corporate governance;

3. There are concerns over the process of negotiation that may have had an adverse impact on the valuation of the terms of the offer; and/or

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4. The company does not provide sufficient information upon request to make an informed voting decision.

5. There is an accompanying reduction in capital.

#### Reduction in Capital Accompanied by Cash Consideration
Generally, vote FOR proposals to reduce a company's capital that accompany return of funds to shareholders and are part of a capital-management strategy and an alternative to a buyback or a special dividend. Such a resolution is normally implemented proportionately AGAINST all outstanding capital, and therefore do not involve any material change relative to shareholder value.

#### Reduction in Capital Not Accompanied by Cash Consideration
Generally, vote FOR proposals to reduce capital that do not involve any funds being returned to shareholders. A company may take this action if its net assets are in danger of falling below the aggregate of its liabilities and its stated capital. Such proposals are considered to be routine accounting measures.

#### Merger Agreement, Sales/ Acquisition of Company Assets, and Formation of Holding Company
Generally, vote FOR the approval of a sale of company assets, merger agreement, and/or formation of a holding company, unless:

1. The impact on earnings or voting rights for one class of shareholders is disproportionate to the relative contributions of the group;

2. The company's structure following such transactions does not reflect good corporate governance;

3. There are concerns over the process of negotiation that may have had an adverse impact on the valuation of the terms of the offer;

4. The company does not provide sufficient information upon request to make an informed voting decision; and/or

5. The proposed buyback price carries a significant premium at the date of writing, conferring on shareholders a trading opportunity.

IV. Compensation

#### Remuneration Cap for Directors
Generally, vote FOR approval of the remuneration cap for directors, unless:

1. The proposed cap on directors' remuneration is excessive relative to peer companies' remuneration without reasonable justification; or

2. The company is asking for an increase in the remuneration cap where the company has not provided a reasonable justification for the proposed increase.

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#### Remuneration Cap for Internal Auditors
Generally, vote FOR the remuneration cap for internal auditors, unless:

1. The proposed remuneration cap for internal auditors is excessive relative to peer companies' remuneration caps without reasonable justification; or

2. The company is asking for an increase in the remuneration cap where the company has not provided a reasonable justification for the proposed increase; or

3. There are serious concerns about the statutory reports presented or audit procedures used.

#### Stock Option Grants
In Korea, the manner in which stock options are granted and exercised is stipulated under the law.

Under Korean law, companies are allowed to grant stock options up to 15 percent of the total number of issued shares pursuant to a shareholder meeting resolution. The board is also allowed to grant stock options up to 3 percent of the total issued shares and to seek shareholders' approval retrospectively at the first general meeting after the grant.

Generally, vote FOR stock option grant proposals, unless:

1. The maximum dilution level under the plan exceeds 5 percent of issued capital for a mature company; or

2. The maximum dilution level under the plan exceeds 10 percent for a growth company.

#### Amendments to Terms of Severance Payments to Executives
Generally, vote FOR the establishment of, or amendments, to executives' severance payment terms, unless:

1. The company fails to provide any information in regard to the changes to the terms of severance payments to executives;

2. The negative provisions proposed in a resolution outweigh any positive ones; and/or

3. The company proposes to introduce a new clause that is effectively a golden parachute clause.

#### Stock Option Programs for the Employee Stock Ownership Plan
Generally, vote FOR article amendments to establish stock option programs for the Employee Stock Ownership Plan if:

1. The company explicitly states that shareholders' approval will be required for the board to grant stock options to individual members of the employee stock ownership plan pursuant to the Framework Act on Labor Welfare, either prior to the grant or retrospectively at the earliest general meeting; and

2. The maximum dilution level under the program does not exceed 5 percent of issued capital for a mature company and 10 percent for a growth company.

#### Golden Parachute Clause
Generally, vote AGAINST proposals to introduce a provision that entitles the company's directors to an excessive level of remuneration in the event that they are dismissed or terminated.

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V. Routine/Miscellaneous

#### Authorizing Board to Approve Financial Statements and Income Allocation
Generally, vote AGAINST proposals to introduce a provision that gives the board of directors the authority to approve financial statements and income allocation (including dividend payout). Insertion of such a clause would potentially take away shareholders' right to approve the company's dividend payment decision without any countervailing benefits.

#### RUSSIA AND KAZAKHSTAN
I. Operation Items

#### Financial Results/Director and Auditor Reports
Vote FOR approval of financial statements and director and auditor reports, unless the financial statements and/or auditor's report are not disclosed or are incomplete.

#### Appointment of Auditors and Auditor Fees
For widely-held companies, vote AGAINST the authorization of auditor fees, or AGAINST the election of auditors if the authorization of auditor fees is not presented as a separate item, if:

1. Non-audit fees exceed audit-related fees (or any stricter limit under local law or best practice); or

2. Audit fees are not disclosed.

#### Appointment of Audit Commission
Vote FOR the election of the audit commission members where the number of nominees is equal to the number of seats on the audit commission unless:

1. Adequate disclosure, including the nominees' names, has not been provided in a timely manner;

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2. There are serious concerns about the work and/or the composition of the audit commission;

3. There are serious concerns about the statutory reports presented or the audit procedures used;

4. There are serious concerns over questionable finances or restatements.

Where the number of nominees exceeds the number of seats on the audit commission, vote on a CASE-BY-CASE basis considering the following factors:

1. Nominees' independence and potential conflicts of interest;

2. Nominees' qualifications, experience, and past track records;

3. Current composition of the audit commission.

#### Early Termination of the Audit Commission
Vote FOR the early termination of powers of the audit commission unless there are any concerns with the proposal.

II. Board of Directors

#### Cumulative Voting System
Where the number of candidates is equal to the number of board seats, vote FOR all independent director nominees.

Where the number of candidates exceeds the number of board seats, vote FOR all or a limited number of the independent director nominees considering factors including, but not limited to, the following:

1. Past composition of the board, including proportion of the independent directors vis-a-vis the size of the board;

2. Nominee(s) qualification, knowledge, and experience;

3. Attendance record of the director nominees;

4. Company's free float.

Where none of the director nominees can be classified as independent Boston Partners will consider factors including, but not limited to, the following when deciding whether to vote in favor of a candidate's (re)election:

1. A director nominee, while not classified as independent per Boston Partners' classification of directors, has been classified as independent per company's director classification criteria and/or any other directors classification criteria widely used in the market;

2. A director nominee possesses adequate qualification, knowledge and experience;

3. There are no specific concerns about the individual, such as criminal wrongdoing or breach of fiduciary responsibilities.

At companies on the main index, Boston Partners may vote AGAINST all nominees, if none of the proposed candidates can be classified as independent non-executive directors.

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Vote CASE-BY-CASE for contested elections of directors, e.g. the election of shareholder nominees or the dismissal of incumbent directors, determining which directors may be best suited to add value for shareholders.

For the companies that have a status of an International Company re-domiciliated to Russia and choose to follow the regulation of a country from which they have re-domiciliated, vote in accordance with the Country Guidelines applicable to the company prior to its re-domiciliation.

#### Early Termination of Powers of Board of Directors
Vote FOR the early termination of powers of the board of directors where such a proposal is supported by compelling justification.

Vote AGAINST proposals seeking to alter the composition of the board and resulting in majority shareholder increasing its influence on the board.

#### Election of General Director (CEO)
Vote FOR the election of the general director, unless there are significant concerns with the proposed candidate and/or compelling controversies with the election process exist.

#### Early Termination of Powers of General Director (CEO)
Vote FOR (AGAINST) the early termination of powers of the general director where such a proposal is (is not) supported by compelling justification.

III. Compensation

Vote compensation plans on a CASE-BY-CASE basis.

#### Non-Executive Director Compensation
Generally, vote FOR proposals to award cash fees to non-executive directors, and will otherwise vote AGAINST where:

1. Documents (including general meeting documents, annual report) provided prior to the general meeting do not mention fees paid to non-executive directors.

2. Proposed amounts are excessive relative to other companies in the country or industry.

3. The company intends to increase the fees excessively in comparison with market/sector practices, without stating compelling reasons that justify the increase.

4. Proposals provide for the granting of stock options, performance-based places compensation (including stock appreciation rights and performance-vesting restricted stock), and performance-based cash to non-executive directors.

5. Proposals introduce retirement benefits for non-executive directors.

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#### Equity-based Compensation Guidelines
Boston Partners will generally vote FOR equity-based compensation proposals for employees if the plan(s) are in line with long-term shareholder interests and align the award with shareholder value. This assessment includes, but is not limited to, the following factors:

1. The volume of awards transferred to participants must not be excessive;

2. The potential volume of fully diluted issued share capital from equity-based compensation plans must not exceed the following guidelines:

a. The shares reserved for all share plans may not exceed 5 percent of a company's issued share capital, except in the case of high-growth companies or particularly well-designed plans, in which case we allow dilution of between 5 and 10 percent. In this case, we will need to have performance conditions attached to the plans which should be acceptable;

b. The plan(s) must be sufficiently long-term in nature/structure: the minimum vesting period must be no less than three years from date of grant;

c. The awards must be granted at market price. Discounts, if any, must be mitigated by performance criteria or other features that justify such discount;

3. If applicable, performance standards must be fully disclosed, quantified, and long-term, with relative performance measures preferred.

#### SINGAPORE
I. Board of Directors

#### Voting for Director Nominees in Uncontested Elections- Independence and Composition
Boston Partners applies a five-year cooling off period to former employees or executives when determining nominee independence in Singapore.

Generally, vote FOR the re-election of directors, unless:

1. The nominee has been a partner of the company's auditor within the last three years, and serves on the audit committee;

2. Any non-independent director nominees where the board is less than one-third independent<sup>7</sup>;

<sup>7</sup> Not applicable if the lack of board independence is due to the immediate retirement, abrupt resignation, or death of an independent non-executive director, provided that the company mentioned or announced a definite timeline of up to three months for the appointment of a new independent non-executive director to have adequate level of board independence. 

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3. The nominee is a member of the nomination committee and the board does not have a lead/senior independent director and/or the board is less than majority independent under the following scenarios:

a. The chairman and the CEO are the same person;

b. The chairman and the CEO are immediate family members;

c. The chairman is part of the management team; or

d. The chairman is not an independent director.

4. The nominee is an executive director serving on the audit, remuneration, and/or nomination committee;

5. The nominee is a non-independent director serving as the chairman of the audit committee, remuneration committee, and/or nomination committee.

6. There is a conflict of interest in the resolution(s) to be discussed in the board or committee meeting.

When the board does not have a formal audit committee, remuneration committee, and/or nomination committee, vote AGAINST if:

1. The nominee is an executive director;

2. The nominee is a non-independent chairman of the board.

Boston Partners will consider an independent non-executive director non-independent if such director serves as a director for more than nine years, and the company fails to disclose the reasons why such director should still be considered independent, or where such reasons raise concerns regarding the director's true level of independence.

Boston Partners will generally vote FOR the election of a CEO, managing director, executive chairman, or founder whose removal from the board would be expected to have a material negative impact on shareholder value

II. Remuneration

#### Director Remuneration
Generally, vote FOR resolutions regarding directors' and supervisors' fees unless they are excessive relative to fees paid by other companies of similar size.

#### Equity Compensation Plans
Generally, vote FOR an equity-based compensation plan unless:

1. The maximum dilution level for the scheme, together with all outstanding schemes, exceeds 5 percent of issued capital for a mature company and 10 percent for a growth company. In addition, Boston Partners will support a plan's dilution limit that exceeds these thresholds if the annual grant limit under all plans is 0.5 percent or less for a mature company (1 percent or less for a mature company with clearly disclosed performance criteria) and 1 percent or less for a growth company.

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2. The plan permits options to be issued with an exercise price at a discount to the current market price; or

3. Directors eligible to receive options or awards under the scheme are involved in the administration of the scheme and the administrator has the discretion over their awards.

III. Share Issuance Requests

#### Issuance Requests
For companies listed on the Mainboard of the Singapore Exchange, generally vote FOR a general issuance of equity or equity-linked securities without preemptive rights when the share issuance limit is not more than 10 percent of the company's issued share capital and 50 percent with preemptive rights.

For companies listed on the Catalist market of the SGX, generally vote FOR a general issuance of equity or equity-linked securities without preemptive rights when the share issuance limit is not more than 10 percent of the company's issued share capital and 50 percent with preemptive rights.

#### General Issuance Requests – Real Estate Investment Trusts
Generally, vote FOR a general issuance of equity or equity-linked securities without preemptive rights when the share issuance limit is not more than 10 percent of the company's issued share capital and 50 percent with preemptive rights for all Singapore companies..

For Singapore companies listed on the Catalist market of the SGX, generally vote FOR a general issuance of equity or equity-linked securities without preemptive rights when the share issuance limit is not more than 10 percent of the company's issued share capital and 50 percent with preemptive rights. For Real Estate Investment Trusts, generally vote FOR a general issuance of equity or equity-linked securities without preemptive rights when the unit issuance limit is not more than 10 percent of its issued unit capital and 50 percent with preemptive rights.

#### Specific Issuance Requests
For issuance requests relating equity compensation plans, apply the policy on equity compensation plans. For other issuance requests, vote on a CASE-BY-CASE basis.

#### Share Repurchase Plans
Generally, vote FOR resolutions authorizing the company to repurchase its own shares, unless the premium over the average trading price of the shares as implied by the price limit for on-market repurchases exceeds 5 percent or the premium over the overage trading price of the shares as implied by the price limit for off-market repurchased exceeds 20 percent.

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IV. Articles and By-law Amendments

Vote CASE-BY-CASE on proposed amendments to the Articles and By-Laws based on the details of the proposed amendments provided by the company.

In the absence of adequate information that would specify the details of proposed amendments, generally vote AGAINST:

1. The proposed amendments;

2. The adoption of new Articles of Association; or

3. The replacement of the current constitutional document.

Vote CASE-BY-CASE on the adoption of new constitutional document with no previous reference.

V. Related Party Transactions

Generally, vote FOR mandate for recurrent interested-party transactions if such transactions are carried out at arms-length and on normal commercial terms.

#### SOUTH AFRICA
I. Operational Items

#### Authority to Ratify and Execute Approved Resolutions
Vote FOR the authority to ratify and execute approved resolutions, unless opposing all other items on the agenda.

II. Board of Directors

#### Voting on Director Nominees in Uncontested Elections
Boston Partners applies a five-year cooling off period to former executives when determining nominee independence in South Africa. Boston Partners applies a three-year cooling off period to immediate family members, auditors, and senior legal advisors.

Generally, vote FOR the election/ reelection of directors unless the director is a non-independent NED:

1. Serving on the audit committee (unless there is a separate annual general meeting proposal specifically covering his/her election as an audit committee member);

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2. Serving on the remuneration or nomination committee and there is no majority of independent NEDs on the committee. However, such a consideration should take into account the potential implications for the board's Black Economic Empowerment (BEE) credentials; or

3. The majority of NEDs on the board are not independent. However, such a consideration should take into account the potential implications for the board's BEE credentials.

#### Accountability
Do not support bundled elections.

Alternative Directors: Proposals to re-elect alternate directors will take into account the vote that applies for the director for whom they serve as an alternate. In addition, the specific nature of the alternate role will be considered, for example whether or not the individual serves as a genuine alternate (i.e. only attending board and committee meetings in the absence of a particular director) or appears to have a broader board position.

#### Audit Committee Elections
Vote for the re-election of the audit committee and/or audit committee members, unless:

1. Committee member elections are bundled into a single voting item, and the committee includes one or more non-independent NEDs;

2. Committee members are elected individually, and the audit committee member is a non-independent NED;

3. The board chair is a member of the audit committee, in line with the position stated in King IV. Boston Partners will only apply this provision to large, widely held companies;

4. Repeated absences (less than 75 percent attendance) at committee meetings have not been explained; or

5. There are serious concerns about the accounts presented, the audit procedures used, or some other feature for which the audit committee has responsibility.

Companies (other than those covered by the Banks Act) must establish an audit committee of at least three members, which must be elected by shareholders at the AGM (CA s94).

#### Social and Ethics Committee Elections
Vote FOR the reelection of the social and ethics committee and/or social and ethics committee members, unless:

1. The committee does not satisfy the minimum guidelines for membership, as set out in South African company law; or

2. Serious concerns have been raised with the work of the committee during the year.

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III. Capital Structure

#### Share Issuance Authorities
Vote FOR a general authority to place authorized but unissued ordinary shares under the control of the directors, unless:

1. The authority is over a number of shares equivalent to more than 10 percent of the current issued share capital;

2. The authority would allow shares to be used for share incentive scheme purposes and the underlying scheme(s) raises concern; or

3. The company used the authority during the previous year in a manner deemed not be in shareholders' best interests.

Vote FOR a general authority to issue ordinary shares for cash, unless:

1. The authority is over a number of shares equivalent to more than 10 percent of the current issued share capital; or

2. The company used the authority during the previous year in a manner deemed not to be in shareholders' interests.

Vote FOR a general authority to issue preference shares, unless:

1. Following the issue, preference shares would comprise greater than 50 percent of the company's issued share capital; or

2. The terms of the preference shares would adversely affect the rights of existing shareholders.

3. The issue of shares pursuant to a specific transaction will be considered on a CASE-BY-CASE basis, depending on the merits of the underlying deal.

#### Share Buyback Authorities
Vote FOR a general share buyback authority, unless:

1. The company wishes to repurchase more than 20 percent of its issued share capital over the year;

2. The repurchase can be used for takeover defenses; or

3. There is clear evidence of abuse.

IV. Remuneration

#### Fees for Non-Executive Directors
Vote FOR the fees payable to non-executive directors unless the proposed fees are excessive, relative to similarly-sized companies in the same sector. Fees should specifically relate to an individual's responsibilities as a non-executive director on the board; open-ended authorities covering ad hoc or consultancy work are generally not supported due to the potential impact on director independence.

#### Approval of Remuneration Policy
When assessing a company's remuneration policy, Boston Partners will generally vote AGAINST if the level of disclosure around the policy is below what is required for shareholders to make an informed judgment. In the event of satisfactory disclosure, Boston Partners will vote FOR the approval of the executive remuneration policy on a CASE-BY-CASE approach, paying particular attention as to whether:

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1. The company operates long-term incentive schemes (including matching shares) which do not have performance conditions attached for all or a substantial proportion of awards;

2. The vesting period for long-term incentive schemes is set at less than three years;

3. Long-term schemes include an element of retesting;

4. The policy provides for grants of share options at a discount to market value;

5. The potential maximum dilution under all share incentive schemes exceeds 5 percent of the issued share capital of a large, widely held company, or 10 percent in the case of an emerging high-growth company, and there are no mitigating circumstances (e.g. stringent performance measures);

6. The quality of disclosure around the severance provisions of the executive directors' service contracts, including any potential termination payments, is considered inadequate;

7. The policy is in any way not considered aligned with shareholder interests.

In circumstances where a company has demonstrated a significant shift towards good practice, it may be appropriate for Boston Partners to support remuneration policy resolution, notwithstanding the presence of some historical issues of concern.

#### Approval of Implementation Report
When assessing the implementation report, Boston Partners will generally vote AGAINST if the level of disclosure regarding the application of the policy is below what is required for shareholders to make an informed judgment. In the event of satisfactory disclosure, Boston Partners will vote FOR the approval of the implementation report on a CASE-BY-CASE approach, paying particular attention as to whether:

1. Large increases in fixed remuneration have been implemented which have not been adequately explained;

2. The company has made bonus payments, but these have not been clearly linked to performance (including guaranteed bonuses or transaction bonuses);

3. The company has made ex-gratia payments or one-off special awards to executives during the year which have not been adequately explained;

4. The performance conditions for long-term incentive schemes, where applicable, are not disclosed, or are not considered sufficiently challenging or relevant;

5. Significant termination-related or restraint of trade payments have been made to executive directors, and the reasons for these are not disclosed or, where they are disclosed, do not adequately justify the size of the payment;

6. Discretion has been used during the year in a manner not considered consistent with shareholder interests, or the application of the policy is in any way not considered aligned with shareholder interests, with particular attention given to any payments or decisions which have been made outside of the policy framework previously communicated to shareholders.

In circumstances where a company has demonstrated a significant shift towards good practice, it may be appropriate for Boston Partners to support for the implementation report resolution, notwithstanding the presence of some historical issues of concern.

In cases where a serious breach of good practice is identified, and typically where issues have been raised over a number of years, the chair of the remuneration committee (or, where relevant, other members of the remuneration committee) may receive a negative vote.

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#### New Equity Incentive Scheme or Amendment to Existing Scheme
Boston Partners evaluates management proposals seeking approval for a share incentive scheme on a CASE-BY-CASE basis. When judging such items, Boston Partners will generally vote AGAINST if the level of disclosure on the proposal is below what is required for shareholders to make an informed judgment on the scheme. In the event of satisfactory disclosure, Boston Partners will vote FOR the proposal unless one or more of the following apply:

1. Performance conditions do not apply, have not been disclosed or are not considered sufficiently challenging or relevant.

2. Performance conditions can be retested.

3. Performance is measured over a period shorter than three years.

4. The plan allows for option repricing or issue of options at a discount or backdating of options.

5. The potential maximum dilution under all share incentive schemes exceeds 5 percent of the issued share capital of a large, widely held company, or 10 percent in the case of an emerging high-growth company, and there are no mitigating circumstances (e.g. stringent performance measures).

6. The scheme provides for potentially excessive individual reward or has no caps on individual participation.

7. The scheme rules allow for accelerated vesting upon termination (including change of control) without reference to relevant performance criteria. In addition, best practice suggests that "good leaver" treatment should include appropriate pro-rating to outstanding long-term incentive awards to reflect any reduced time in service.

8. NEDs can participate in the scheme.

9. The scheme is in any way not considered aligned with shareholder interests.

Proposals to amend a scheme will involve an assessment of the nature of the amendment.

#### Financial Assistance
Vote FOR a general authority to provide financial assistance, unless:

1. As part of the authority, the company requests a general authority to provide financial assistance to directors, and this is not limited to participation in incentive schemes;

2. The authority would facilitate the operation of an incentive scheme(s) which raises governance concerns, with particular attention given to any schemes which authorize the provision of preferential loans to directors; or

3. As part of the authority, the company seeks approval to provide financial assistance "to any person".

Evidence that the company has used a previous authority in a manner deemed not to be in shareholders' interests would warrant further review and analysis.

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V. Other Items

#### New Memorandum of Incorporation (MOI)/ Amendments to the MOI
Vote on a new MOI or on amendments to the MOI on a CASE-BY-CASE basis, depending on the impact on shareholder rights.

Boston Partners will normally vote AGAINST a MOI which limits retirement by rotation to non-executive directors only.

#### Black Economic Empowerment (BEE) Transactions
Vote on BEE transactions on a CASE-BY-CASE basis. Factors considered include the overall dilutive impact, the structure of the transaction and the identity of the company's chosen BEE partners. Proposals which are genuinely broad-based are more appealing than those which stand to benefit a narrow group of investors, as are those which have a long-term timeframe.

#### Social and Ethics Committee Report
Vote FOR the report of the social and ethics committee, unless:

1. The report does not include details of how the committee has undertaken the functions prescribed to it by South African company law; or

2. Serious concerns have been raised with the work of the committee during the year.

#### TAIWAN
I. Allocation of Income and Dividends

#### Allocation of Income and Dividends
Generally, vote FOR approval of the allocation of income and dividends.

When distributing earnings and dividends, companies usually provide shareholders one or a combination of the following:

1. Cash dividends from earnings;

2. Cash dividends from capital reserves;

3. New shares from capital reserves;

4. Stock dividends.

When losses are posted for the year, companies are required to submit the loss offsetting proposals, usually included in the statement of profit and loss appropriation, for shareholder approval, along with the business operations reports and financial statements.

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#### Cash Dividends or New Shares from Capital and Legal Reserves
Generally, vote FOR proposals to distribute dividends or new shares from capital and legal reserves.

#### Stock Dividends
Resolution Type: Special

Generally, vote FOR proposals to distribute stock dividends.

II. Capital Reduction

Generally, vote FOR the capital reduction to offset losses or to distribute cash to shareholders unless:

1. The proposed capital reduction is not conducted on a proportionate basis according to the shareholding structure of the company but instead favors certain shareholders; or

2. The proposed cash distribution is expected to negatively affect the company's day-to-day operations.

III. Amendments to Company Articles/By-laws

#### Cash Dividend Distribution Plans
Generally, vote AGAINST proposals for article amendments to grant the board full discretion to decide on the company's cash dividend distribution plan without shareholder approval.

IV. Capital Raising

Generally, vote FOR general authority to issue shares if:

1. A general share issuance mandate that includes a private placement as one of the financing channels if the resulting dilution is limited to no more than 10 percent.

2. A general mandate for public share issuance if the issue size is limited to no more than 20 percent of the existing issued share capital.

Vote CASE-BY-CASE on requests to issue shares for a specific purpose such as the financing of a particular project, an acquisition, or a merger.

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V. Compensation

#### Equity Based Compensation
Vote CASE-BY-CASE on employee restricted stocks and/or employee stock warrant plans. Vote AGAINST the employee restricted stocks plan and/or employee stock warrants plan if any of the following features is not met:

1. Existing substantial shareholders are restricted in participation;

2. Presence of challenging performance hurdles if awards are issued or exercised for free or at a deep discount; or

3. Reasonable vesting period (at least two years) is set.

VI. Release of Restrictions on Directors Competitive Activities

Vote AGAINST release of restrictions on competitive activities of directors if:

1. There is lack of disclosure on the key information including identities of the directors in question, current positions in the company, and outside boards they are serving on; or

2. The non-nomination system is employed by the company for the director election.

#### UNITED KINGDOM AND IRELAND
I. Operational Items

#### Accept Financial Statements and Statutory Reports
Generally vote FOR approval of financial statements and statutory reports, unless:

1. There are concerns about the accounts presented or audit procedures used; or

2. There has been an accounting fraud or material misstatement during the year.

The overall quality of disclosure will also be considered, and the weakest examples, such as where the meeting documents are not released in time for investors to review these ahead of the meeting, are likely to attract a negative vote recommendation. Other minimum disclosure requirements include:

1. The identity of all the directors, their board roles, committee memberships and independence classification;

2. List of major shareholders;

3. Attendance at board and committee meetings; and

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4. Details of compliance against a "recognized corporate governance code" (as required by the AIM Rules).

In addition, with effect from financial years beginning on or after 1 April 2024, the 2023 QCA Code recommends that smaller companies put their remuneration reports and remuneration policies to advisory shareholder votes and subject all Board Directors to annual re-election. However, where no appropriate resolution to target an investor's specific concern is on the ballot, ISS may recommend a vote against this resolution. Specific concerns include:

1. Absence of sufficient independent representation on the board and the key committees (if the relevant director is not standing for election/re-election)

2. Absence of regular re-election for all directors (once every three years at a minimum); and

3. Remuneration not aligned with expected market practice (if there is no remuneration report or remuneration policy resolution on the agenda).

Concerns raised in the first year may not lead to a negative vote recommendation; this is more likely in the event of repeated concerns identified over a number of years.

II. The Board of Directors

#### Board Diversity

#### Gender Diversity
Generally, vote AGAINST the chair of the nomination committee (or other directors on a CASE-BY-CASE basis) in the following cases

1. The company is a constituent of the FTSE 350 (excluding investment trusts) and the board does not comprise at least 33 percent representation of women.

2. The company (excluding investment trusts) is a constituent of any of the following, and there is not at least one woman on the board:

a. FTSE Small Cap;

b. ISEQ 20;

c. Listed on the AIM with a market capitalization of over GBP 500 million.

Mitigating factors include:

1. Compliance with the relevant board diversity standard at the preceding annual general meeting and a firm commitment, publicly available, to comply with the relevant standard within a year.

2. Other relevant factors as applicable.

#### Racial/Ethnic Diversity
Generally, vote AGAINST the chair of the nomination committee and the Board Chair (or other directors on a case-by-case basis) if the company is a constituent of the FTSE 100 index (excluding investment companies) and has not appointed at least one individual from a racial/ethnic minority background to the board.

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There is an expectation for constituents of the following indices (excluding investment companies) to appoint at least one individual from an ethnic minority background to the board by 2024:

1. FTSE 250 index;

2. FTSE SmallCap;

3. ISEQ 20;

4. Listed on the AIM with a market capitalization of over GBP 500 million.

The abovementioned companies are expected to publicly disclose a roadmap to compliance with best market practice standards of having at least one director from an ethnic minority background by 2024.

#### Board Independence and Tenure
Directors are assessed on a CASE-BY-CASE basis, although a non-executive director is likely to be considered as non-independent if one (or more) of the issues listed below apply, in accordance with the U.K. Governance Code. The director nominee:

1. Has been an employee of the company or group during the last five (5) years;

2. Has, or a connected person has had, within the last three (3) years, a material business relationship with the company either directly, or as a partner, shareholder, director or senior employee of a body that has such a relationship with the company;

3. Has received or receives additional remuneration from the company apart from a director's fee, participates in the company's share option or performance-related pay schemes, or is a member of the company's pension scheme;

4. Has close family ties with any of the company's advisers, directors or senior employees;

5. Holds cross-directorships or has significant links with other directors through involvement in other companies or bodies;

6. Represents a significant shareholder;

7. Is attested by the board to be a non-independent non-executive director;

8. Is a former board chair; or

9. Has a substantial personal shareholding of greater than 1 percent (greater than three percent for small companies; greater than 1 percent for investment companies provided the investment trust is listed in the FTSE All-Share index); or

10. Tenure.

Also, the non-executive director of either a venture capital trust or an investment trust is likely to be considered as non-independent if he or she holds a directorship in one or more investment companies or venture capital trusts managed by the same manager, or they have a relationship with the investment manager.

At investment trusts, tenure is not taken into account when assessing independence. However, classified boards are an issue of concern. As a result, if more than half the board has served in excess of nine years, a negative vote would over time be applied to the chairman's re-election.

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Non-executive directors that have served concurrently with an executive director for over nine (9) years, are deemed non-independent.

If a non-executive director has served for fifteen (15) years on the board, Boston Partners deems such individuals as non-independent.

The board chair should not remain in post for more than nine (9) years from the date of their first appointment to the board. However, their appointment can be extended for a limited time particularly in those cases where the chair was an existing non-executive director on appointment, to facilitate effective succession planning and the development of a diverse board. Vote CASE-BY-CASE on the re-election of a tenured chair taking into account:

1. Succession planning;

2. Diversity; and

3. Board independence.

#### Board and Committee Composition
Generally, vote AGAINST any non-independent, non-executive director whose presence on the board, audit, or remuneration committee renders the board or committee insufficiently independent, unless the company discloses details of how the issue of concern will be resolved by the next annual general meeting.

Non-independent non-executive directors serving on the nomination committee are assessed on a CASE-BY-CASE basis.

For all companies with a premium listing, at least half the board should comprise non-executive directors determined by the board to be independent.

For companies in the FTSE 350, the audit committee should comprise at least three non-executive directors, and all members should be independent. The board chair should not be a member of the audit committee. The remuneration committee should also comprise at least three non-executive directors and again, all members should be independent. In addition, the board chair may also be a member of, but not chair the remuneration committee if he or she was considered independent on appointment as chair. A majority of the nomination committee should be independent non-executive directors.

For companies in the FTSE All Share below the FTSE 350, the board should establish audit and remuneration committees with at least two members on each committee, all of whom should be independent non-executive directors. The board chair may be a member of, but not chair, of the remuneration committee in addition to the independent non-executive directors, provided he or she was considered independent on appointment as chair. A majority of the nomination committee should be independent non-executive directors.

For FTSE Fledgling companies, the audit and remuneration committees should be fully independent and should include a minimum of two independent non-executives. The majority of the members of the nomination committee should be independent. The chair may sit on the remuneration committee (but not the audit committee) provided that he/she continues to be considered independent.

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III. Compensation

#### Remuneration Policy
Vote the resolution to approve the remuneration policy on a CASE-BY-CASE approach, paying particular attention as to whether:

1. The overall remuneration policy or specific scheme structures are not over-complex, have an appropriate long-term focus and have been sufficiently justified in light of the company's specific circumstances and strategic objectives;

2. The company's approach to fixed remuneration is appropriate, with a particular focus on the extent to which pension contributions are aligned with those available to the wider workforce, as recommended by the UK Code;

3. The award levels for the different components of variable pay are capped, and the quantum is reasonable when compared to peers, and any increase in the level of certainty of reward is accompanied by a material reduction in the size of awards;

4. Increases to the maximum award levels for the LTIP and bonus have been adequately explained;

5. Performance conditions for all elements of variable pay are clearly aligned with the company's strategic objectives, with vesting levels and holding periods that are in line with UK good practice;

6. Change of control, good leaver and malus/clawback provisions are in line with standard practice in the UK market;

7. The shareholding requirement for executive directors is a minimum of 200 percent of base salary, with an appropriate post-employment shareholding requirement in place;

8. Service contracts contain notice periods of no more than twelve months' duration and potential termination payments are linked to fixed pay with no contractual entitlements to unearned bonus on termination;

9. Non-executive directors do not receive any performance-related remuneration beyond their standard fees;

10. The treatment of new joiners is appropriate, with particular attention paid to the use of buy-out awards, and that the potential for any additional awards is capped;

11. The remuneration committee seeks to reserve a degree of discretion in line with standard UK practice; and

12. There are no issues in the policy which would be of concern to shareholders.

Where a policy contains multiple areas of non-compliance with good practice, the vote will reflect the severity of the issues identified. A small number of minor breaches may still result in an overall FOR vote, whereas a single, serious deviation may be sufficient to justify an AGAINST vote.

The binding vote on the remuneration policy is forward-looking and in most cases will apply for three years. Therefore, many shareholders will want to ensure that the policy takes into account good market practice in a number of key areas including:

1. The start and end date of the policy;

2. Base salaries;

3. Benefits and pensions;

4. Annual bonus;

5. Long-term incentive plans (LTIP);

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6. Claw back provisions;

7. Good leavers;

8. Change in control;

9. Shareholding requirement;

10. Executive directors' service contracts, including exit payments;

11. Arrangements for new joiners;

12. Discretion;

13. Non-executive director pay; and

14. All-employee schemes.

For smaller companies, a negative vote would be considered if any of the following applied:

1. Executive directors are not employed under formal service contracts, or their service contracts, in the event of termination, provide for more than 12 months' notice;

2. Vesting of incentive awards is not conditional on the achievement of performance hurdles;

3. Incentive awards are not subject to a performance or vesting period of at least three years;

4. Re-testing is allowed throughout the performance period; or

5. There are any other serious issues with the policy when measured against good market practice.

#### Remuneration Report
Vote the resolution to approve the remuneration report on a CASE-BY-CASE approach, paying particular attention as to whether:

1. Any increases, either to fixed or variable remuneration, for the year under review or the upcoming year were well-explained and not excessive;

2. The bonus received and/or the proportion of the LTIP which vested was a fair reflection of the performance achieved;

3. Performance targets are measured over an appropriate period and are sufficiently stretching;

4. Targets for the bonus or the LTIP are disclosed in an appropriate level of detail;

5. Any exit payments to good leavers were reasonable, with appropriate pro-rating (if any) applied to outstanding long-term share awards;

6. Any special arrangements for new joiners were in line with good market practice;

7. The remuneration committee exercised discretion appropriately; and

8. There are no issues in the report which would be of concern to shareholders.

Where the report contains multiple areas of non-compliance with good practice, the vote will reflect the severity of the issues identified. A small number of minor breaches may still result in an overall FOR vote, whereas a single, serious deviation may be sufficient to justify an AGAINST vote.

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For small companies, when assessing remuneration report resolutions, a negative vote would be considered if any of the following applied:

1. Disclosure of pay practices is poor. This would include if the individual emoluments paid to each director are not disclosed, or if the performance metrics which applied to LTIP awards made during the year under review are not disclosed;

2. NEDs have received performance-related pay during the year under review;

3. Options have been re-priced during the period under review;

4. Re-testing is allowed throughout the performance period;

5. Share awards granted to executive directors during the year under review feature a performance period of less than three years; or

6. There are any other serious issues with the report when measured against good market practice.

The award of options to NEDs is not in line with best practice as it can cause a potential conflict of interest that may affect an NED's independent judgment. Therefore, NEDs should be remunerated with basic fees only, in the form of cash and/or shares.

#### Approval of a New or Amended LTIP
Vote the resolution to approve a new or amended LTIP on a CASE-BY-CASE approach, paying particular attention as to whether:

1. The LTIP is aligned with the company's strategy, is not over-complex and fosters an appropriately long-term mindset;

2. The proposed award levels are appropriate, and, in the case of an amended plan, any increases to the previous award levels are well-explained;

3. Any increase in the level of certainty of reward is matched by a material reduction in the size of awards;

4. The maximum payout is capped;

5. The LTIP is in line with the current remuneration policy;

6. Change of control, good leaver, and malus/clawback provisions are present and the terms are in line with standard practice in the UK market;

7. The remuneration committee seeks to reserve a degree of discretion in line with standard UK practice;

8. The scheme is operating within dilution limits of no more than 10 percent of the issued share capital to be issued under all incentive schemes in any rolling 10-year period; and

9. There are no issues with the plan which would be of concern to shareholders.

Where the plan contains multiple areas of non-compliance with good practice, the vote will reflect the severity of the issues identified. A small number of minor breaches may still result in an overall FOR vote, whereas a single, serious deviation may be sufficient to justify an AGAINST vote.

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IV. Capital Structure

#### Authorize Issue of Equity with and without Pre-emptive Rights
Generally, vote FOR a resolution to authorize the issuance of equity, unless:

1. The general issuance authority exceeds one-third (33 percent) of the issued share capital. Assuming it is no more than one-third, a further one-third of the issued share capital may also be applied to a fully pre-emptive rights issue taking the acceptable aggregate authority to two-thirds (66 percent); or

2. For small companies, the routine authority to disapply preemption rights exceeds 10 percent of the issued share capital in any one year. For larger companies, the routine authority to disapply preemption rights exceeds 10 percent of the issued share capital, provided that any amount above 5 percent is to be used for the purposes of an acquisition or a specified capital investment.

For investment companies, generally, vote FOR a resolution to authorize the issuance of equity if there is a firm commitment from the board that shares would only be issues at the price at or above net asset value. Otherwise, generally vote FOR a resolution to authorize the issuance of equity, unless:

1. The general issuance authority exceeds one-third (33 percent) of the issued share capital. Assuming it is no more than one-third, a further one-third of the issued share capital may also be applied to a fully pre-emptive rights issue taking the acceptable aggregate authority to two-thirds (66 percent); or

2. The routine authority to disapply preemption rights exceeds 5 percent of the issued share capital in any one year.

#### Authorize Market Purchase of Ordinary Shares
Generally, vote FOR the resolution to authorize the market purchase of ordinary shares, unless:

1. The authority requested exceeds the levels permitted under the Listing Rules; or

2. The company seeks an authority covering a period longer than 18 months.

Boston Partners will generally support this resolution if it is in line with the Listing Rules LR 12.4.1 which allows companies to buy back up to 15 percent of their shares in any given year, provided that the maximum price paid is not more than 5 percent above the average trading price.

Under the Companies Act 2006, the share buyback authority cannot be for a period longer than five years. Boston Partners recommends that the renewal of such authorities be requested annually, and that the duration be no longer than 18 months or until the next annual general meeting, if sooner. However, Boston Partners will support a five-year authority if, in practice, the company has a history of reverting to shareholders annually.

V. Other Items

#### Authorize EU Political Donations and Expenditure
Generally, vote FOR the resolution to authorize EU political donations and expenditure, unless:

1. The company made explicit donations to political parties or election candidates during the year under review;

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2. The duration of the authority sought exceeds one year and the company has not clarified that separate authorization will be sought at the following annual general meeting should the authority be used; or

3. No cap is set on the level of donations.

#### Continuation of Investment Trust
For investment companies, Boston partners will vote FOR when the board has tabled the resolution to comply with the requirement in the trust's articles of association that this vote be put to shareholders at regular intervals, and there are no issues of concern.

If the board has called a special meeting, due to the shares trading at a discount to net asset value over a prolonged period, Boston Partners will consider the issues on a CASE-BY-CASE basis.

#### END

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#### GRAHAM CAPITAL MANAGEMENT, L.P.

#### Effective February 2021
**1.**  **<u>PROXY VOTING AND CLASS ACTIONS</u>** 

**A.** **General** 

Graham has adopted policies and procedures (the "Proxy Voting Policies and Procedures") which have been designed to ensure that Graham complies with the requirements of Rule 206(4)-6 and Rule 204-2(c)(2) under the Advisers Act, and reflect Graham's commitment to vote all Client securities for which it exercises voting authority in a manner consistent with the best interest of the Client. Employees who have the authority to vote Client securities must familiarize themselves with and strictly adhere to Graham's Proxy Voting Policies and Procedures.

Although the Advisers Act does not obligate advisers to adopt policies and procedures in respect of participating in class actions, in its capacity as a fiduciary to its Clients Graham has nonetheless adopted such policies and procedures.

**B.** **Proxy Voting Policies and Procedures** 

Graham has selected and retained ISS Governance Services to assist in the proxy voting process. The CCO manages Graham's relationship with ISS. The CCO ensures that ISS votes all proxies according to Graham's general guidance, and retains all required documentation associated with proxy voting.

Graham has approved a list of proxy voting guidelines that ISS generally follows when recommending how to vote on particular proxies. The following guidelines reflect ISS' general approach on certain key proxy proposals; however, these guidelines represent only a small number of proposals and the guidelines are much broader in scope and more detailed.

• <u>Auditor Ratification</u>. ISS generally recommends to vote FOR proposals to ratify auditors except where (i) the auditor has a financial interest or association with the company, (ii) there is reason to believe the auditor has rendered an opinion that is neither accurate nor indicative of the company's financial position, (iii) poor accounting practices have been identified that rise to a serious level of concern or (iv) fees for non-audit services are excessive;

• <u>Board of Directors</u>. ISS generally recommends to vote FOR director nominees except where (i) the board lacks accountability coupled with sustained poor performance relative to peers, (ii) the board demonstrates a lack of responsiveness (e.g., in responding to shareholder proposals, takeover offers, issues that resulted in one or more directors receiving more than 50% withhold/against votes, etc.), (iii) there are defects in the composition of the board (e.g., unacceptable attendance at board and committee meetings, directors serve on excessive number of boards of other companies, etc.), and (iv) the board lacks sufficient controls or features to ensure its independence;

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• <u>Capital Structure Changes</u>. ISS generally recommends to vote (i) FOR proposals to increase the number of shares where the primary purpose is to issue shares in connection with a transaction on the same ballot, (ii) AGAINST proposals to increase the number of shares of a class with superior voting rights, (iii) AGAINST proposals to increase the number of shares if a vote for a reverse stock split is on the same ballot, and (iv) AGAINST proposals to create a new class of common stock, except under certain conditions;

• <u>Executive Compensation</u>. ISS Generally recommends to vote (i) AGAINST advisory votes on executive compensation if there is a significant misalignment between CEO pay and company performance, the company maintains problematic pay practices or the board exhibits a significant level of poor communications and responsiveness to shareholders, (ii) AGAINST/WITHHOLD from the members of the compensation committee or full board as applicable where there is no management-say-on pay item on the ballot, and in other instances, and (iii) AGAINST an equity plan if there is a performance misalignment and the CEO's pay is skewed towards non-performance based equity awards.

Portfolio Managers that wish to deviate from ISS's proxy recommendations must provide the CCO with a written explanation of the reason for the deviation, as well as a representation that the employee and Graham are not conflicted in making the chosen voting decision.

Because Graham generally will vote proxies based upon the recommendations of ISS, there is little to no risk of a conflict of interest arising. However, in instances that might involve a conflict of interest between Graham and its Clients, such as where a portfolio manager wishes to deviate from ISS's recommendation or such other instances as Graham may determine, the CCO, in conjunction with the compliance committee as appropriate, will review the relevant facts and determine whether or not a material conflict of interest may arise due to business, personal or family relationships of Graham, its owners, its employees or its affiliates, with persons having an interest in the outcome of the vote. If a material conflict exists, Graham will take steps to ensure that its voting decision is based on the best interests of the Client and is not a product of the conflict. Graham shall keep appropriate records demonstrating how such conflicts were resolved.

ISS will retain, on Graham's behalf, the following information in connection with each proxy vote:

• The Issuer's name;

• The security ticker symbol or CUSIP, as applicable;

• The shareholder meeting date;

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• The number of shares that Graham voted;

• A brief identification of the matter voted on;

• Whether the matter was proposed by the Issuer or a security holder;

• Whether Graham cast a vote;

• How Graham cast its vote (for the proposal, against the proposal, or abstain); and

• Whether Graham cast its vote with or against management.

With respect to each registered investment company for which Graham provides discretionary subadvisory services, Graham will provide each fund with a copy of Graham's proxy voting policy. In addition, when requested, Graham will provide such funds with information concerning Graham's proxy voting policy and voting results as required to enable such funds to file periodic proxy voting reports.

**C.** **Class Actions** 

As a fiduciary, Graham always seeks to act in the best interest of its Clients, with good faith, loyalty, and due care. Accordingly, with respect to class actions involving any Graham Funds, Graham will determine whether the fund will (a) participate in a recovery achieved through a class action, (b) opt out of the class action and separately pursue its own remedy, or (c) opt out of the class action and not pursue its own remedy. Graham's legal department oversees the completion of Proof of Claim forms and any associated documentation the submission of such documents to the claim administrator, and the receipt of any recovered monies. Graham will maintain documentation associated with participation in class actions by any Graham Funds. Consistent with its procedures for selecting and monitoring service providers and its fiduciary obligation to Clients, Graham may utilize third-party service providers to facilitate the processing and administration of class action claims.

Graham, for itself or on behalf of its funds, generally does not serve as the lead plaintiff in class actions because the costs of such participation typically exceed any extra benefits that accrue to lead plaintiffs.

**D.** **Disclosures to Investors** 

Graham includes a description of its policies and procedures regarding proxy voting and class actions in Part 2 of the Form ADV, along with a statement that Investors can contact Graham to obtain a copy of these policies and procedures and information about how Graham voted proxies.

Any request for information about proxy voting or class actions should be promptly forwarded to the CCO, who will respond to any such requests.

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As a matter of policy, Graham does not disclose how it expects to vote on upcoming proxies. Additionally, Graham does not disclose the way it voted proxies to unaffiliated third parties without a legitimate need to know such information.

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| ![LOGO](g466944dsp001aa.jpg) | ![LOGO](g466944g0409230640616.jpg) | ![LOGO](g466944g0409230640436.jpg) |
| ![LOGO](g466944dsp001aa.jpg) | **Global proxy voting policy and procedures**<br>**February 2025 edition** | **Global proxy voting policy and procedures**<br>**February 2025 edition** |

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![LOGO](g466944dsp2.jpg)

#### Executive summary
Each investment team at Manulife Investment Management (Manulife IM)<sup>1</sup> is responsible for investing in line with its investment strategy and clients' objectives. Manulife IM's approach to proxy voting leverages the skills and knowledge of multiple individuals and teams across the company, including those with expertise on investments, legal matters, corporate governance, environmental matters, social issues, and investment stewardship. Manulife IM's proxy voting practices align with our organizational structure and consider financially material factors in support of long-term value.

This global proxy voting policy and procedures (policy) applies to each of the Manulife IM advisory affiliates listed in Appendix A. In seeking to adhere to local regulatory requirements of the jurisdiction in which an advisory affiliate operates, additional procedures specific to that affiliate may be implemented to ensure compliance, where applicable. The policy is not intended to cover every possible situation that may arise in the course of business, but rather to act as a decision-making guide. It is therefore subject to change and interpretation from time to time as facts and circumstances dictate.

Manulife IM sets forth broad proxy voting guidelines in our separate <u>Manulife</u> <u>IM</u> <u>global</u> <u>proxy</u> <u>voting</u> <u>guidelines</u> (the guidelines). The guidelines express

our general approach to specific proxy voting proposals and subject matter and are intended to be read in conjunction with our various issue-specific statements.<sup>2</sup> The guidelines are an important public disclosure reflecting what we, as fiduciaries, believe drive long-term value, and we vote consistently with those principles. While the guidelines broadly indicate our approach to voting on environmental, social, and governance (ESG) integrated strategies,<sup>3</sup> we also maintain some additional and differentiated voting guidelines for our thematic strategies. Our thematic strategies are those investment strategies that focus on specific ESG issues or trends.<sup>4</sup> An active decision to invest in a company reflects a positive conviction in the investee company and usually in the incumbent management team and, therefore, we often support management's voting recommendations, but management recommendations are only one of the factors we consider. Public disclosure of our voting guidelines is intended to assist portfolio company management in understanding our perspective and ensure an effective dialogue. Manulife IM applies these guidelines with discretion, such that investment professionals may consider the facts and circumstances of individual ballot items.

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| **1** | Manulife Investment Management is the unified global brand for Manulife's global wealth and asset management business, which serves individual investors and institutional clients in three businesses: retirement, retail, and institutional asset management (public markets and private markets).  |

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| **2** | Our issue-specific statements include, as examples, our climate <u>change</u> <u>statement</u>, our <u>nature</u> <u>statement</u>, and our <u>executive</u> <u>compensation</u> <u>statement</u>.  |

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| **3** | Including ESG integration and quantitative screening.  |

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| **4** | Including sustainable, sustainable thematic, and impact (e.g., clean energy, climate mitigation).  |

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#### Statement of policy
&nbsp;&nbsp;&nbsp;&nbsp;• The right to vote is a basic component of share ownership and is an important control. Where clients delegate proxy voting authority to Manulife IM, Manulife IM has an obligation to manage voting rights in a manner consistent with our fiduciary responsibilities.

&nbsp;&nbsp;&nbsp;&nbsp;• Manulife IM seeks to achieve the stated objective of the investment strategy for our clients throughout the investment process, including through proxy voting and wider stewardship.

&nbsp;&nbsp;&nbsp;&nbsp;• We encourage good corporate governance at companies as we believe it enhances longer-term resilience by positioning companies to best manage risks and supporting long-term shareholder value.

&nbsp;&nbsp;&nbsp;&nbsp;• Where we believe that sustainability factors can materially affect financial value, we integrate financially material sustainability risks and opportunities into our investing processes.

&nbsp;&nbsp;&nbsp;&nbsp;• We look to establish constructive relationships with boards of companies in which we invest and look to integrate those dialogues into our proxy voting decision-making process.<sup>5</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;• We strive to leverage a range of expertise in our company across our decision-making.

&nbsp;&nbsp;&nbsp;&nbsp;• Where Manulife IM is granted and accepts responsibility for voting proxies for client accounts, we will seek to ensure proxies are received, voted, or not voted with a view to maximize the economic value.

&nbsp;&nbsp;&nbsp;&nbsp;• Manulife IM has implemented processes to prevent and mitigate identified potential conflicts.

&nbsp;&nbsp;&nbsp;&nbsp;• Manulife IM will disclose information about our proxy voting policies and procedures to our clients.

&nbsp;&nbsp;&nbsp;&nbsp;• By articulating public positions on a range of issues, developed by an appropriate range of expertise, Manulife IM articulates our opinion on how a range of issues may affect investors financially.

&nbsp;&nbsp;&nbsp;&nbsp;• Manulife IM will maintain records relating to proxy voting.

#### Standards

#### Scope of proxy voting authority
Manulife IM's authority to vote proxies is determined by our agreements with clients. Where Manulife IM is granted and accepts responsibility for voting proxies for client accounts, we will seek to ensure proxies are received and voted in the best interests of clients with a view to maximize the economic value of their investments unless we determine that it is in the best interests of clients to refrain from voting a given proxy. We believe that our proxy voting policies and procedures are reasonably designed to ensure that proxy voting is conducted in the best interest of clients and in accordance with our fiduciary duties and any applicable rules and regulations.

When clients have granted Manulife IM authority to vote securities in their accounts, we will vote in accordance with our proxy voting policy and standards, and clients cannot direct our vote in a particular proxy solicitation. Clients who have not provided us authority to vote securities in their accounts should reach out to their other service providers. We will not generally provide advice on proxy voting to clients who have not granted us voting authority.

#### Receipt of ballots and proxy materials
Except in instances in which a client retains voting authority, Manulife IM will instruct custodians of client accounts to forward all proxy statements and materials received in respect of client accounts to the proxy voting service provider. Proxies received are reconciled against the client's holdings, and the custodian bank will be notified if proxies have not been forwarded to the proxy service provider when due.

#### Use of a proxy voting services provider
Manulife IM has deployed the services of a proxy voting services provider to ensure the timely casting of votes, to provide relevant and timely proxy voting research to inform our voting decisions, and to keep associated records. In addition to fulfilling other responsibilities, the proxy voting service provider has been engaged by Manulife IM to:

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| **5** | For more information on our engagement activities please see the <u>Manulife</u> <u>Investment</u> <u>Management</u> <u>global</u> <u>issuer</u> <u>engagement</u> <u>policy</u>.  |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;• provide research and make voting recommendations, taking into account the product's strategy. Manulife IM has adopted the Institutional Shareholder Services (ISS) Benchmark Policy for our ESG integrated strategies3 and the ISS Sustainability Policy for our thematic strategies.4 These policies were selected as their underlying principles, and recommendations are aligned with the strategies with which they are paired. Both policies are reviewed on a regular basis to ensure broad alignment with the various Manulife IM issue-specific statements;

&nbsp;&nbsp;&nbsp;&nbsp;• ensure proxies are voted and submitted in a timely manner;

&nbsp;&nbsp;&nbsp;&nbsp;• provide alerts when companies file additional materials related to proxy voting matters;

&nbsp;&nbsp;&nbsp;&nbsp;• perform other administrative functions of proxy voting;

&nbsp;&nbsp;&nbsp;&nbsp;• maintain records of proxy statements and provide copies of such proxy statements promptly on request;

&nbsp;&nbsp;&nbsp;&nbsp;• maintain records of votes cast; and

&nbsp;&nbsp;&nbsp;&nbsp;• provide recommendations with respect to proxy voting matters in general.

Through the proxy voting execution process, the proxy voting services provider populates initial recommended voting decisions using the relevant policy that considers a range of issues.

These voting recommendations are then submitted, processed, and ultimately tabulated. Manulife IM retains the authority and operational functionality to submit different voting instructions after these initial recommendations from the proxy voting services provider have been submitted based on Manulife IM's assessment of each situation. As Manulife IM reviews voting recommendations and decisions, as articulated below, Manulife IM may change voting instructions based on those reviews.

#### Vote review and decision process
The firm actively reviews voting options where Manulife IM holds a significant ownership position in an investment. A significant ownership position in an investment is defined as those cases in which Manulife IM holds at least 2% of a company's issued share capital in aggregate across all Manulife IM client accounts. The investment professionals may also review other proxy voting items for their holdings and may make voting suggestions and/or determinations as discussed further below. Where Manulife IM holds a significant ownership position in a company, the investment professional is notified of the matter and the related voting proposals are reviewed.

Manulife IM investment professionals apply the expertise of individuals across the organization in conducting proxy voting research and providing advice. Any such advice is supplemental to the research and recommendations provided by our proxy voting services provider and review by investment professionals.

Manulife IM investment professionals may seek internal review by and advice from the sustainability team when it considers the facts and circumstances of an individual ballot item. After considering all available information, the investment professional will make a voting decision. Where the vote is different from the initial recommendation provided by the proxy voting services provider, the sustainability team will execute the change and record the rationale for the decision.

On occasion, there may be proxy votes that are not within the research and recommendation coverage universe of the proxy voting services provider. Investment professionals responsible for the proxy votes will provide voting recommendations to the Manulife IM proxy operations team, which will execute the votes accordingly.

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#### Securities lending
Manulife IM clients retain the authority and may choose to lend shareholdings. Manulife IM, however, generally retains the ability to restrict shares from being lent and to recall shares on loan in order to preserve proxy voting rights. Manulife IM is focused in particular on preserving voting rights for companies in which the firm holds 2% or more of a company's voting shares aggregated across client accounts. Manulife IM has a process in place to systematically restrict and recall shares on a best-efforts basis for those companies in which we own an aggregate of 2% or more across all Manulife IM client accounts.

#### Where Manulife IM may refrain from voting
Manulife IM may refrain from voting a proxy where we have agreed with a client in advance to limit the situations in which we will execute votes. Manulife IM may also refrain from voting due to logistical considerations that may have a detrimental effect on our ability to vote. These issues may include, but are not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;• costs associated with voting the proxy exceed the expected benefits to clients;

&nbsp;&nbsp;&nbsp;&nbsp;• underlying securities that have been lent out pursuant to a client's securities that are on loan according to a client's securities lending program and have not been subject to recall;

&nbsp;&nbsp;&nbsp;&nbsp;• short notice of a shareholder meeting;

&nbsp;&nbsp;&nbsp;&nbsp;• requirements to vote proxies in person;

&nbsp;&nbsp;&nbsp;&nbsp;• restrictions on a nonnational's ability to exercise votes, determined by local market regulation;

&nbsp;&nbsp;&nbsp;&nbsp;• restrictions on the sale of securities in proximity to the shareholder meeting (i.e., share blocking);

&nbsp;&nbsp;&nbsp;&nbsp;• requirements to disclose commercially sensitive information that may be made public (i.e., reregistration);

&nbsp;&nbsp;&nbsp;&nbsp;• requirements to provide local agents with the power of attorney to facilitate the voting instructions (such proxies are voted on a best-efforts basis);

&nbsp;&nbsp;&nbsp;&nbsp;• insufficient information available to confirm Manulife IM is authorized to execute voting rights for certain shares; or

&nbsp;&nbsp;&nbsp;&nbsp;• the inability of a client's custodian to forward and process proxies electronically.

#### Manulife IM does not engage in empty voting
Manulife IM does not engage in the practice of empty voting.<sup>6</sup> Manulife IM advisory affiliates are prohibited from creating large hedge positions solely to gain the vote while avoiding economic exposure to the market. Manulife IM will not knowingly vote borrowed shares (shares borrowed for short sales and hedging transactions).

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| **6** | Empty voting is a term embracing a variety of factual circumstances that result in a partial, or total, separation of the right to vote at a shareholders meeting from beneficial ownership of the shares on the meeting date.  |

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#### Conflicts of interest
Manulife IM has a fiduciary duty to our clients. We recognize that conflicts of interest may arise in our proxy voting activities, and we seek to identify, disclose, and mitigate potential conflicts in accordance with our fiduciary responsibilities.

We have identified the following potential conflicts of interest related to our proxy voting activities:

&nbsp;&nbsp;&nbsp;&nbsp;• Voting at a company that is the sponsor of one of our institutional clients or where the company otherwise has a material commercial relationship with either Manulife Financial Corporation (MFC) or another member of the Manulife group, and Manulife IM could be unduly influenced by the relationship

&nbsp;&nbsp;&nbsp;&nbsp;• Manulife IM employees could have a material relationship with a company, which could affect voting activities

Manulife IM has implemented processes to prevent and mitigate identified potential conflicts:

&nbsp;&nbsp;&nbsp;&nbsp;• Each Manulife IM employee is subject to a global code of ethics and general principles of business conduct, which reinforces fiduciary obligations and reminds employees of the requirement to put the interests of our clients first. Where a material conflict is identified between an employee and a company, the conflict must be disclosed to the employee's manager and our legal/compliance departments as needed to determine if it is appropriate for such employee to influence vote decisions for that company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;• Manulife IM uses an organizational structure that separates reporting lines for the sustainability team and investment professionals from sales and vendor functions in order to minimize real, or potential, conflicts of interest and to help ensure that voting is conducted in the best interest of the underlying clients.

&nbsp;&nbsp;&nbsp;&nbsp;• Voting decisions are executed independently of our parent company, MFC, or any of its related entities.

#### Voting shares of MFC
MFC is the publicly listed parent company of Manulife IM. Generally, legislation restricts the ability of a public company (and its subsidiaries) to hold shares in itself within its own accounts. Accordingly, the MFC share investment policy outlines the limited circumstances in which MFC, or its subsidiaries, may or may not invest or hold shares in MFC on behalf of MFC or its subsidiaries.<sup>7</sup>

The MFC share investment policy does not apply to investments made on behalf of unaffiliated third parties, which remain assets of the client.8 Such investing may be restricted, however, by specific client guidelines, other Manulife IM policies, or other applicable laws.

Where Manulife IM is charged with voting MFC shares, we will seek to either vote shares in line with the voting recommendations of our external proxy voting service provider or not execute those votes in order to mitigate any conflict of interest.

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| **7** | This includes general funds, affiliated segregated funds or separate accounts, and affiliated mutual / pooled funds. **8** This includes assets managed or advised for unaffiliated third parties, such as unaffiliated mutual/pooled funds and unaffiliated institutional advisory portfolios.  |

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#### Policy responsibility and oversight
The public markets sustainability committee (SC) oversees and monitors this policy and Manulife IM's proxy voting function, as well as the third-party proxy voting service provider.

Manulife IM's proxy operations team is responsible for the daily administration of proxy voting operational matters while the sustainability team is responsible for research and analysis of voting decisions and execution of changed votes. Significant proxy voting issues identified by Manulife IM's proxy operations team are escalated to the sustainability team and may be reviewed by compliance and the SC.

The SC is responsible for the proper oversight of any service providers hired by Manulife IM to assist it in the proxy voting process. This oversight includes:

• **Annual due diligence:** Manulife IM conducts an annual due diligence review of the proxy voting service provider. This oversight includes an evaluation of the service provider's

industry reputation, points of risk, compliance with laws and regulations, and technology infrastructure. Manulife IM also reviews the service provider's capabilities to meet Manulife IM's requirements, including reporting competencies, the adequacy and quality of the service provider's staffing and personnel, the quality and accuracy of sources of data and information, the strength of policies and procedures that enable it to make proxy voting recommendations based on current and accurate information, and the strength of policies and procedures to address conflicts of interest of the service provider related to its voting recommendations.

• **Regular updates:** Manulife IM requests that the proxy voting service provider deliver updates regarding any business changes that alter the service provider's ability to provide independent proxy voting advice and services aligned with our policies.

#### Recordkeeping and reporting
Manulife IM provides clients with a copy of the proxy voting policy on request, and the proxy voting policy is also available on our <u>website</u>. Manulife IM describes our proxy voting processes to our clients in the relevant or required disclosure documents and discloses to our clients the process to obtain information on how Manulife IM voted that client's proxies.

Manulife IM keeps records of our proxy voting activities, which include proxy voting policies and procedures, records of votes cast on behalf of clients, records of client requests for proxy

voting information, and any documents generated in making a vote decision. These documents may be available for inspection by regulatory authorities or government agencies.

Manulife IM discloses <u>voting</u> <u>records</u>, and those records are updated on a monthly basis. The voting records generally reflect the voting decisions made for retail, institutional, and other client funds in the aggregate.

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![LOGO](g466944dsp2.jpg)

#### Policy amendments and exceptions
This policy is subject to periodic review by the SC in addition to a review a minimum of every three years. The SC may recommend and approve amendments to this policy.

Any deviation from this policy will only be permitted with the prior approval of the global chief investment officer in consultation with the chief sustainability officer, Manulife IM.

#### Appendix A

#### Manulife IM advisory affiliates in scope of policy and investment management business only
Manulife Investment Management Limited

Manulife Investment Management (North America) Limited

Manulife Investment Management (Hong Kong) Limited

PT Manulife Aset Manajemen Indonesia1

Manulife Investment Management (Japan) Limited

Manulife Investment Management (Malaysia) Bhd. Manulife Investment Management and Trust Corporation

Manulife Investment Management (Singapore) Pte. Ltd.

Manulife IM (Switzerland) LLC

Manulife Investment Management (Taiwan) Co., Ltd.<sup>1</sup>

Manulife Investment Management (Europe) Limited

Manulife Investment Management (US) LLC

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| **1** | By reason of certain local regulations and laws with respect to voting, for example, manual/physical voting processes or the absence of a third-party proxy voting service provider for those jurisdictions, PT Manulife Aset Manajemen Indonesia does not engage a third-party service provider to assist in their proxy voting processes. Manulife Investment Management (Taiwan) Co., Ltd. uses the third-party proxy voting service provider to execute votes for non-Taiwanese entities only.  |

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GLBL-86315 03/25 AODA

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#### PICTET ASSET MANAGEMENT SA

#### January 2023
4. PROXY VOTING (Chapter contained in our <u>Responsible Investment Policy – January 2023)</u>

4.1 Scope

The following principles are used to define the securities eligible for proxy voting<sup>9</sup>:

• For actively managed funds, we aim to vote on 100% of equity holdings.

• For passively managed funds, we aim to vote on companies representing 80% of underlying benchmarks by weight<sup>10</sup>. This target may be revised upwards or downwards for specific strategies depending on factors such as portfolio size, geography or market capitalization.

• For segregated accounts, including mandates and third-party (i.e. sub-advisory) mutual funds managed by Pictet Asset Management, clients who delegate the exercise of voting rights to us have the choice between Pictet Asset Management's voting guidelines or their own voting guidelines.

4.2 Purpose

The overarching purpose of our voting is to protect and promote the rights and long-term interests of our clients as shareholders. We consider it our responsibility to engage with and challenge companies' management to ensure that the issuers we invest in on our clients' behalf are well-run, adhere to their strategy and deliver shareholder value. We aim to support a strong culture of corporate governance, effective management of environmental and social issues and comprehensive reporting according to credible standards.

4.3 Voting Guidelines

In line with Good Corporate Governance Practices<sup>11</sup>, our proxy voting upholds best practice in corporate governance including board and management, executive remuneration, risk management and shareholder rights. Given that the long-term interests of shareholders are the paramount objective, we do not always support the management of companies and may vote against management from time to time. We also reserve the right to deviate from our voting guidelines to take into account company-specific circumstances.

The complete version of these guidelines can be found under the following links:

<u>https://www.issgovernance.com/file/policy/active/specialty/Sustainability-International-Voting-Guide-lines.pdf</u> 

<u>https://www.issgovernance.com/file/policy/active/specialty/Sustainability-US-Voting-Guidelines.pdf</u>

Pictet Asset Management's voting guidelines are reviewed every year and adapted as appropriate to reflect the specificities of certain regions and/or ownership structures.

4.4 Research & Decision Making

To assist us in performing our proxy voting responsibilities, Pictet Asset Management uses the services of third-party specialists to provide research and to facilitate the execution of voting decisions at all relevant company meetings worldwide.

<sup>9</sup> This activity does not include indirect investments through third-party funds that we invest in on behalf of our clients, where we expect those managers to exercise their votes according to their own policy and report accordingly to relevant Pictet Asset Management entities. 

<sup>10</sup> We do not exercise voting rights in share blocking markets across passive strategies.

<sup>11</sup> See *Appendix D* for further details on Good Corporate Governance Practices.

![LOGO](g466944g0127171920022.jpg)

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PICTET ASSET MANAGEMENT

Third party specialists are tasked with collecting meeting notices for all holdings and researching the implications of every resolution according to voting guidelines defined by Pictet Asset Management. All recommendations are communicated to relevant investment teams and the Environmental Social Governance (ESG) team.

Pictet Asset Management retains full discretion over all voting decisions and always reserves the right to deviate from third party voting recommendations, on a case-by-case basis, in order to act in the best interests of our clients. Such divergences may be initiated by investment teams or by the ESG team and must be supported by written rationale.

In instances when consensus cannot be reached between the investments teams and ESG team, the decision is escalated to relevant Chief Investment Officers (CIOs) and, if necessary, the Head of Investments.

4.5 Security Lending

Security lending can impair our ability to execute our voting rights. As a result, investment teams wishing to exercise full voting rights have two options:

• Recalling shares on loan on a case-by-case basis

• Removing a portfolio from the securities lending pool

4.6 Shareholder Resolutions

Shareholder resolutions at Annual General Meetings (AGMs)/Extraordinary General Meetings (EGMs) are evaluated in accordance with Pictet Asset Management's voting guidelines. Evaluations are based on their own merits and are supported when they would improve the company's corporate governance or business profile at a reasonable cost.

Pictet Asset Management does not usually assume the role of an activist investor and does not initiate shareholder resolutions or shareholder groups. However, Pictet Asset Management may consider supporting the submission of shareholder resolutions initiated by third-parties, or joining shareholder groups, based on the following criteria:

• How would the proposal enhance or protect shareholder value in the short-term and long-term?

• Liquidity and other technical issues that may impact specific portfolios, such as a share blocking period between the submission and the general assembly.

• Legal and compliance issues (such as concert party action or transparency requirements relating to ownership size).

Supporting the submission of a shareholder resolution, including the number of shares and corresponding accounts earmarked to support the submission, is subject to agreement by relevant investment teams and the ESG team. In cases where no consensus is reached, the decision is escalated to the relevant Chief Investment Officer and, if necessary, the Head of Investments.

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Proxy Voting

Revised November 2025

<u>INTRODUCTION</u> 

As a registered investment adviser and fiduciary, Pzena Investment Management, LLC ("PIM") exercises our responsibility, where applicable, to vote in a manner that, in our judgement, is solely in the client's best interest and will maximize long-term shareholder value. The following policies and procedures have been established to ensure decision making is consistent with PIM's fiduciary responsibilities and applicable regulations under the Investment Company Act, Advisers Act and ERISA.

<u>GENERAL APPROACH</u> 

Each proxy that comes to PIM to be voted shall be evaluated per the prudent process described below, in terms of what is in the best interest of our clients. We deem the best interest of clients to be solely that which maximizes shareholder value and yields the best economic results (e.g., higher stock prices, long-term financial health, and stability). We will not subordinate the interests of our clients to any non-pecuniary interests nor will we promote non-pecuniary benefits or goals unrelated to our clients' long-term financial interests.

PIM's standard Investment Advisory Agreement provides that until notified by the client to the contrary, PIM shall have the right to vote all proxies for securities held in that client's account. Where PIM has voting responsibility on behalf of a client, and absent any client-specific instructions, we generally follow the Voting Guidelines ("Guidelines") set forth below. These Guidelines, however, are not intended as rigid rules and do not cover all possible proxy topics. Each proxy issue will be considered individually and PIM reserves the right to evaluate each proxy vote on a case-by-case basis, as long as voting decisions reflect what is in the best interest of our clients.

To the extent that, in voting proxies for an account subject to ERISA, PIM determines that ERISA would require voting a proxy in a manner different from these Guidelines, PIM may override these Guidelines as necessary in order to comply with ERISA. Additionally, because clients, including ERISA clients, do not pay any additional fees or expenses specifically related to our proxy voting, there is not a need to consider the costs related to proxy voting impacting the value of an investment or investment performance.

In those instances where PIM does not have proxy voting responsibility, we shall forward any proxy materials to the client or to such other person as the client designates.

<u>Proxy Voting Limitations</u> 

While, subject to the considerations discussed above, PIM uses our best efforts to vote proxies, in certain circumstances it may be impractical or impossible to do so. Such instances include but are not limited to share blocking, securities lending, if PIM concludes that abstention is in our clients' economic interests and/or the value of the portfolio holding is indeterminable or insignificant.

Compliance Manual 1 Version 5.0

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<u>VOTING GUIDELINES</u> 

The following Guidelines summarize PIM's positions on various issues of concern to investors and give an indication of how portfolio securities generally will be voted. These Guidelines are not exhaustive and do not cover all potential voting issues or the intricacies that may surround individual proxy votes. Actual proxy votes may also differ from the Guidelines presented, as we will evaluate each individual proxy on its own merit.,

It is also worth noting that PIM considers the reputation, experience and competence of a company's management and board when it researches and evaluates the merits of investing in a particular security. In general, PIM has confidence in the abilities and motives of the board and management of the companies in which we invest.

1) ROUTINE BUSINESS

PIM will typically vote in accordance with the board and management on the items below and other routine issues when adequate information on the proposal is provided.

i. Change in date and place of annual meeting (if not associated with a takeover);

ii. Change in company name;

iii. Approval of financial statements;

iv. Reincorporation (unless to prevent takeover attempts);

v. Stock splits; or

vi. Amend bylaws/articles of association to bring in line with changes in local laws and regulations.

PIM will oppose vague, overly broad, open-ended, or general "other business" proposals for which insufficient detail or explanation is provided or risks or consequences of a vote in favor cannot be ascertained.

2) CAPITAL STRUCTURE

#### Stock Issuance
PIM will consider on a case-by-case basis all proposals to increase the issuance of common stock, considering company-specific factors that include, at a minimum:

i. Past board performance (use of authorized shares during the prior three years);

ii. Stated purpose for the increase;

iii. Risks to shareholders of not approving the request; or

iv. Potential dilutive impact.

Compliance Manual 2 Version 5.0

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PIM will generally vote for such proposals (without preemptive rights) up to a maximum of 20% more than currently issued capital over a specified period, while taking into account management's prior use of these preemptive rights. PIM will, however, vote against such proposals if restrictions on discounts are inadequate (i.e., discount limit is not stated or is in excess of 10% of the market price) and/or the limit on the number of times the mandate may be refreshed is not in line with local market practices.

3) AUDIT SERVICES

PIM is likely to support the approval of auditors unless,

i. Independence is compromised;

ii. Non-audit ("other") fees are greater than the sum of the audit fees<sup>1</sup>, audit-related fees<sup>2</sup> and permissible tax fees<sup>3</sup>;

iii. There is reason to believe the independent auditor has rendered an opinion which is neither accurate nor indicative of the company's financial position; or

iv. Serious concerns about accounting practices are identified, such as fraud, misapplication of Generally Accepted Accounting Principles ("GAAP") and material weaknesses identified in Section 404 disclosures of the Sarbanes-Oxley Act of 2002.

PIM will also apply a case-by-case assessment to shareholder proposals asking companies to prohibit their auditors from engaging in non-audit services (or capping the level of non-audit services), taking into account whether the non-audit fees are excessive (per the formula above) and whether the company has policies and procedures in place to limit non-audit services or otherwise prevent conflicts of interest.

4) COMPENSATION

PIM supports reasonable incentive programs designed to attract and retain key talent. PIM typically supports management's discretion to set compensation for executive officers, so long as the plan aligns management and shareholder interests. PIM evaluates each plan in detail to assess whether the plan provides adequate incentive to reward long-term performance and the impact on shareholder value (e.g. dilution).

#### Say on Pay
PIM prefers a shareholder vote on compensation plans to provide a mechanism to register discontent with the plan itself or management team performance. As long as such proposals are non-binding and worded in a generic manner (unrestrictive to actual company plans), PIM will support them. In evaluating these proposals, PIM will generally consider, at minimum: company performance, pay practices relative to industry peers, potentially problematic pay practices and/or past unresponsive behavior.

<sup>1</sup> Audit fees shall mean fees for statutory audits, comfort letters, attest services, consents, and review of filings with the SEC

<sup>2</sup> Audit-related fees shall mean fees for employee benefit plan audits, due diligence related to M&A, audits in connection with acquisitions, internal control reviews, consultation on financial accounting and reporting standards

<sup>3</sup> Tax fees shall mean fees for tax compliance (tax returns, claims for refunds and tax payment planning) and tax consultation and planning (assistance with tax audits and appeals, tax advice relating to M&A, employee benefit plans and requests for rulings or technical advice from taxing authorities) 

Compliance Manual 3 Version 5.0

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Circumstances where PIM may oppose these proposals include:

i. Restricts the company's ability to hire new, suitable management; or

ii. Restricts an otherwise responsible management team in some other way harmful to the company.

#### Pay for Performance
Maintaining appropriate pay-for-performance alignment means executive pay practices must be designed to attract, retain, and appropriately motivate the key employees who drive shareholder value creation over the long term. Our evaluation of this issue will take into consideration, among other factors, the link between pay and performance; the mix between fixed and variable pay; performance goals; vesting schedule; equity-based plan costs; and dilution.

#### Incentive Options
PIM is generally supportive of incentive options that provide the appropriate degree of pay-for-performance alignment (as per the above) and are therefore in shareholder best interest. PIM will vote on a case-by-case basis depending on certain plan features and equity grant practices, where positive factors may counterbalance negative factors, and vice versa.

However, the following would generally cause PIM to vote against a management incentive arrangement:

i. The proposed plan is in excess of 10% of shares;

ii. The 3-year average burn rate has been substantially above industry norms;

iii. The new plan replaces an existing plan before the existing plan's termination date and some other terms of the new plan are likely to be adverse to the maximization of investment returns; or

iv. The proposed plan resets options, or similarly compensates executives, for declines in a company's stock price. This includes circumstances where a plan calls for exchanging a lower number of options with lower strike prices for an existing larger volume of options with high strike prices, even when the option valuations might be considered the same total value. However, this would not include instances where such a plan seeks to retain key executives who have been undercompensated in the past.

#### Golden Parachutes / Severance Agreements
PIM will vote on a case-by-case basis, considering at minimum existing change-in-control arrangements maintained with named executive officers and new or extended arrangements.

PIM will generally vote against such proposals if:

i. The proposed arrangement is excessive or not reasonable in light of similar arrangements for other executives in the company or in the company's industry;

ii. The proposed parachute or severance arrangement is considerably more financially attractive than continued employment. Although PIM will apply a case-by-case analysis of this issue, as a general rule, a proposed severance arrangement which is three or more times greater than the affected executive's then-current compensation shall be voted against; or

Compliance Manual 4 Version 5.0

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iii. The triggering mechanism in the proposed arrangement is solely within the recipient's control (e.g., resignation).

#### Tax Deductibility
Votes to amend existing plans to increase shares reserved and to qualify for tax deductibility under the provisions of Section 162(m) should be considered on a case-by-case basis, considering the overall impact of the amendment(s).

5) BOARD 

#### Director Elections
PIM generally will evaluate director nominees individually and as a group based on our assessment of record and reputation, business knowledge and background, shareholder value mindedness, accessibility, corporate governance abilities, time commitment, attention and awareness, independence, and character. PIM will apply a case-by-case approach to determine whether to vote for or against directors nominated by outside parties whose interests may conflict with our interests as shareholders, regardless of whether management agrees with the nomination.

#### Board Independence
PIM will generally withhold votes from or vote against any insiders and affiliated outsiders on boards that are not at least majority independent. PIM also prefers companies to have audit committees composed of entirely independent directors.

PIM may vote in favor of any such directors in exceptional circumstances where the company has shown significant improvement.

Compliance Manual 5 Version 5.0

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#### Board Size
PIM believes there is no optimal size or composition that fits every company. However, PIM prefers that the number of directors cannot be altered significantly without shareholder approval; otherwise, potentially allowing the size of the board to be used as an anti-takeover defense.

#### Board Tenure
PIM believes that any restrictions on a director's tenure, such as a mandatory retirement age or length of service limits, could harm shareholder interests by forcing experienced and knowledgeable directors off the board. However, PIM prefers that boards do not have more than 50% of members serving for longer than ten years to avoid board entrenchment and 'group-think'.

#### Chairman/CEO
PIM will evaluate and vote proposals to separate the Chairman and CEO positions in a company on a case-by-case basis based on our assessment of the strength of the company's governing structure, the independence of the board and compliance with local listing requirements, among other factors. When the positions of Chairman and CEO are combined, PIM prefers that the company has a lead independent director to provide some independent oversight.

#### Cumulative Voting
PIM will generally vote against proposals to establish cumulative voting, as this leads to misaligned voting and economic interest in a company. PIM will, however, vote in favor of proposals for cumulative voting at controlled companies where insider voting power is greater than 50%.

#### Director Over-Boarding
PIM will vote such proposals on a case-by-case basis but prefers that directors do not sit on more than three additional boards. In evaluating these proposals PIM will consider, at minimum, management tenure, director business expertise and director performance.

#### Classified Boards
PIM generally opposes classified boards because this makes a change in board control more difficult and hence may reduce the accountability of the board to shareholders. However, these proposals will be evaluated on a case-by-case basis and will consider, at minimum, company and director performance.

#### Board Diversity
PIM is generally supportive of a diverse board (age, experience, race, gender etc.) that is representative of its customers and stakeholders. That said, PIM does not believe in board quotas or any restrictions on director tenure that could harm shareholder interests by preventing qualified board candidates from being nominated or forcing experienced or knowledgeable directors off the board.

Compliance Manual 6 Version 5.0

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6) SHAREHOLDER RIGHTS

In general PIM does not support any proposals designed to limit shareholder rights; below we have outlined some of the issues we consider most important.

#### Special Meetings
PIM generally supports proposals enabling shareholders to call a special meeting of a company so long as at least a 15% threshold with a one-year holding period is necessary for shareholders to do so. However, on a case-by-case basis, a 10% threshold may be deemed more appropriate should particular circumstances warrant; for example, in instances where executive compensation or governance has been an issue for a company.

#### One Share, One Vote
PIM is generally opposed to proposals to create dual-class capitalization structures as these provide disparate voting rights to different groups of shareholders with similar economic investments. However, PIM will review proposals to eliminate a dual-class structure on a case-by-case basis, considering, at minimum, management's prior record.

#### Supermajority
PIM does not support supermajority voting provisions with respect to corporate governance issues unless it would be in the best interest of shareholders. In general, vesting a minority with veto power over shareholder decisions could deter tender offers and hence adversely affect shareholder value.

#### Proxy Access
PIM will assess these proposals on a case-by-case basis, but generally supports proxy access proposals that include an ownership level and holding period of at least 3% for three years or 10% for one year.

7) SOCIAL/ENVIRONMENTAL

PIM will consider environmental and social proposals on their own merits and make a case-by-case assessment. PIM will consider supporting proposals that address material issues if we believe they will protect and/or enhance the long-term value of the company.

While PIM is generally supportive of resolutions seeking additional ESG disclosures, such proposals will be evaluated on a case-by-case basis, taking into consideration whether the requested disclosure is material, incremental and of reasonable cost to the business.

Compliance Manual 7 Version 5.0

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8) ANTI-TAKEOVER

PIM generally supports anti-takeover measures that are in the best interest of shareholders and does not support anti-takeover measures such as poison pills that entrench management and/or thwart maximization of investment returns.

<u>ROLES & RESPONSIBILITIES</u> 

<u>Role of ISS</u> 

PIM has engaged Institutional Shareholder Services ("ISS") to provide a proxy analysis with research and a vote recommendation for each shareholder meeting of the companies in our client portfolios. In engaging and continuing to engage ISS, PIM has determined that, where applicable, ISS proxy voting guidelines are consistent with ERISA's fiduciary duties including that the votes are made in the best interest of our clients, focus on yielding the best economic results for our clients. ISS also votes, records and generates a voting activity report for our clients, and assists us with recordkeeping and the mechanics of voting. In no circumstance shall ISS have the authority to vote proxies except in accordance with standing or specific instructions given to it by PIM. PIM retains responsibility for instructing ISS how to vote, and we still apply our own Guidelines as set forth herein. PIM does not utilize pre-population or automated voting except as a safeguard mechanism designed to ensure that, in the unlikely event that we fail to submit vote instructions for a particular proxy, our shares will still get voted. If PIM does not issue instructions for a particular vote, the default is for ISS to mark the ballots in accordance with our Guidelines (when they specifically cover the item being voted on), and to refer all other items back to PIM for instruction (when there is no PIM policy covering the vote).

When voting a proxy for a security that PIM's Research team does not cover, we will vote in accordance with our Guidelines (when they specifically cover the item being voted on) and defer to ISS's recommendations on all other items.

PIM has also engaged ISS to assist in meeting the annual Form N-PX filing requirement for Advisers finalized by the SEC to take effect for the 2024 reporting cycle (see Regulatory Reporting).

Periodically, PIM's Vendor Management Committee conducts a due diligence review of ISS, through which it reviews and evaluates certain key policies and procedures submitted to us by ISS. PIM's Proxy Coordinator reconciles votable holdings against the ISS portal sharecount before each meeting. PIM also samples and reviews proxy votes when testing our Proxy Voting Policy, as part of our regular compliance testing procedures. Further, PIM reviews ISS' procedures for receiving additional information from issuers after a proxy has been sent, incorporating that information into its recommendations, and sending that information and/or updated recommendations to PIM.

Compliance Manual 8 Version 5.0

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<u>Role of Analyst</u> 

The analyst who is responsible for covering the company also votes the associated proxies since they have first-hand in-depth knowledge of the company. In evaluating proxy issues, the analyst will utilize a variety of sources to help come to a decision:

i. Information gathered through in-depth research and ongoing company analyses performed by our investment team in making buy, sell and hold decisions for our client portfolios. This process includes regular external engagements with senior management of portfolio companies and internal discussions with Portfolio Managers ("PMs") and the Chief Investment Officer ("CIO"), as needed;

ii. ISS reports to help identify and flag factual issues of relevance and importance;

iii. Information from other sources, including the management of a company presenting a proposal, shareholder groups, and other independent proxy research services; and/or

iv. Where applicable, any specific guidelines designated in writing by a client.

<u>Proxy Voting Committee</u> 

To help make sure that PIM votes client proxies in accordance with our fiduciary obligation to maximize shareholder value, we have established a Proxy Voting Committee ("the Committee") which is responsible for overseeing the Guidelines. The Committee consists of representatives from Legal, Compliance, Research, and Operations, including our Chief Compliance Officer ("CCO"), Director of Research ("DOR"), and at least one PM (who represents the interests of all PIM's portfolio managers and is responsible for obtaining and expressing their opinions at committee meetings). The Committee will meet at least once annually and as often as necessary to oversee our approach to proxy voting.

The DOR is responsible for monitoring the analyst's compliance with the Guidelines, the CCO is responsible for monitoring overall compliance with these procedures and an internally-designated "Proxy Coordinator" is responsible for day-to-day proxy voting activities.

<u>CONFLICTS OF INTEREST</u> 

PIM is sensitive to conflicts of interest that may arise in the proxy voting process. PIM believes that application of the Guidelines should, in most cases, adequately address any potential conflicts of interest. However, if an actual or potential material conflict of interest has been identified, PIM has put in place a variety of different mitigation strategies as outlined below.

A potential material conflict of interest could exist in the following situations:

i. PIM manages any pension or other assets affiliated with a publicly traded company, and also holds that company's or an affiliated company's securities in one or more client portfolios;

ii. PIM has a client relationship with an individual who is a corporate director, or a candidate for a corporate directorship of a public company whose securities are in one or more client portfolios; or

iii. A PIM officer, director or employee, or an immediate family member thereof is a corporate director, or a candidate for a corporate directorship of a public company whose securities are in one or more client portfolios. For purposes hereof, an immediate family member is generally defined as a spouse, child, parent, or sibling.

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If a potential material conflict of interest exists, the following procedures will be followed:

i. If our proposed vote is consistent with the Guidelines, above, we will vote in accordance with our proposed vote;

ii. If our proposed vote is inconsistent with or not covered by our Guidelines, but is consistent with the recommendations of ISS, we will vote in accordance with ISS recommendations; and

iii. If our proposed vote is inconsistent with or not covered by our Guidelines, and is inconsistent with the recommendations of ISS, the CCO and the DOR (or their respective designees) (the "Conflicts Committee") will review the potential conflict and determine whether the potential conflict is material.

a. If the Conflicts Committee determines that the potential conflict is not material, we will vote in accordance with the proposed vote.

b. If the Conflicts Committee determines the potential conflict is material, the Conflicts Committee will review the proposed vote, the analysis and rationale for the vote recommendation, the recommendations of ISS and any other information the Conflicts Committee may deem necessary in order to determine whether the proposed vote is reasonable and not influenced by any material conflicts of interest. The Conflicts Committee may seek to interview the research analysts or portfolio managers or any other party it may deem necessary for making its determination.

i. If the Conflicts Committee determines the proposed vote is reasonable and not influenced by any conflicts of interest, we will vote in accordance with our proposed vote.

ii. If the Conflicts Committee cannot determine that the proposed vote is reasonable and not influenced by any conflict of interest, the Conflicts Committee will determine the best course of action in the best interest of the clients, which may include deferring to the ISS recommendation or notifying each client who holds the relevant securities of the potential conflict, to seek such client's voting instruction.

On an annual basis, we will review and assess the conflicts policies and Code of Conduct that ISS posts on its website for sufficiency in addressing potential conflict of interest, self-dealing and improper influence issues that may affect voting recommendations by ISS. PIM will also periodically review samples of ISS' recommendations for voting proxies, after the vote has occurred, to ensure that ISS' recommendations are consistent with ISS' proxy voting guidelines, as applicable. PIM's analysts also incorporate information regarding ISS' potential conflicts of interest into their process when evaluating and voting proxies, and on a annual basis, our DOR reviews an updated list of ISS' significant client relationships.

<u>Other Situations</u> 

#### Client Conflict
Where PIM manages the assets of a proponent of a shareholder proposal for a company whose securities are in one or more client portfolios, the following guidance should be followed:

i. The identity of the proponent of a shareholder proposal shall not be given any substantive weight (either positive or negative) and shall not otherwise influence an analyst's determination whether a vote for or against a proposal is in the best interest of our clients.

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ii. Where PIM determines that it is in the best interest of our clients to vote against that proposal, a designated member of PIM's client service team will notify the client-proponent and give that client the option to direct PIM in writing to vote the client's proxy differently than it is voting the proxies of our other clients.

iii. If the proponent of a shareholder proposal is a PIM client whose assets under management with PIM constitute 30% or more of PIM's total assets under management, and PIM has determined that it is in the best interest of our clients to vote for that proposal, PIM will disclose its intention to vote for such proposal to each additional client who also holds the securities of the company soliciting the vote on such proposal and for whom PIM has authority to vote proxies. If a client does not object to the vote within three business days of delivery of such disclosure, PIM will be free to vote such client's proxy as stated in such disclosure.

#### Analyst Conflict
If the analyst voting the proxy also beneficially owns shares of the company in his/her personal trading accounts, they must notify the Proxy Coordinator and the DOR must sign off on the analyst's votes for that company. It is the responsibility of each analyst to disclose such personal interest and obtain such approval. Any other owner, partner, officer, director, or employee of PIM who has a personal or financial interest in the outcome of the vote is prohibited from attempting to influence the proxy voting decision of PIM personnel responsible for voting client securities.

<u>VOTING PROCEDURES</u>

If an analyst desires to vote contrary to the Guidelines set forth in this proxy voting policy or the written proxy voting policy designated by a specific client, the analyst will discuss the vote with the CIO, and/or DOR and/or a PM for the strategy in which the security is held. The CIO, DOR and/or the PM, shall, in turn, determine how to vote the proxy based on the analyst's recommendation and the long-term economic impact such vote will have on the securities held in client portfolios. If the CIO, DOR and/or the PM agree with the analyst's recommendation and determine that a contrary vote is advisable the analyst will provide written documentation of the reasons for the vote.

#### Vote Processing
It is understood that PIM's and ISS' ability to commence voting proxies for new or transferred accounts is dependent upon the actions of custodian's and banks in updating their records and forwarding proxies. PIM will not be liable for any action or inaction by any Custodian or bank with respect to proxy ballots and voting.

#### Client Communication
PIM will include a copy of these proxy voting policies and procedures, as they may be amended from time to time, in each new account pack sent to prospective clients. We also will update our ADV disclosures regarding these policies and procedures to reflect any material additions or other changes to them, as needed. Such ADV disclosures will include an explanation of how to request copies of these policies and procedures as well as any other disclosures required by Rule 206(4)-6 of the Advisers Act.

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#### Return Proxies
The CCO, Proxy Coordinator, or designee shall send or cause to be sent (or otherwise communicate) all votes to the company or companies soliciting the proxies within the applicable time period designated for return of such votes, unless not possible to do so due to late receipt or other exigent circumstances.

<u>CORPORATE ACTIONS</u> 

PIM is responsible for monitoring both mandatory (e.g. calls, cash dividends, exchanges, mergers, spin-offs, stock dividends and stock splits) and voluntary (e.g. rights offerings, exchange offerings, and tender offers) corporate actions. Operations personnel will ensure that all corporate actions received are promptly reviewed and recorded in PIM's portfolio accounting system, and properly executed by the custodian banks for all eligible portfolios. On a daily basis, a file of PIM's security database is sent to a third-party service, Vantage, via an automated upload which then provides corporate action information for securities included in the file. This information is received and acted upon by the Operations personnel responsible for corporate action processing. In addition, PIM receives details on voluntary and mandatory corporate actions from the custodian banks via email or online system and all available data is used to properly understand each corporate event.

#### Voluntary Corporate Actions
The Portfolio Management team is responsible for providing guidance to Operations on the course of action to be taken for each voluntary corporate action received in accordance with the standards described above for proxy voting, including, but not limited to, acting in the best interest of clients to maximize long-term shareholder value and yield the best economic results. In some instances, if consistent with such standards, the Portfolio Management team may maintain standing instructions on particular event types. As appropriate, Legal and Compliance may be consulted to determine whether certain clients may participate in certain corporate actions. Operations personnel will then notify each custodian bank, either through an online interface, via email, or with a signed faxed document of the election selected. Once all necessary information is received and the corporate action has been vetted, the event is processed in the portfolio accounting system and filed electronically. A log of holdings information related to the corporate action is maintained for each portfolio in order to confirm accuracy of processing.

<u>CLASS ACTIONS</u> 

PIM shall not have any responsibility to initiate, consider or participate in any bankruptcy, class action or other litigation against or involving any issue of securities held in or formerly held in a client account or to advise or take any action on behalf of a client or former client with respect to any such actions or litigation.

<u>RECORD KEEPING</u> 

PIM or ISS, on PIM's behalf, maintains (i) copies of the proxy materials received by PIM for client securities; (ii) records of proxies that were not received and what actions were taken to obtain them; (iii) votes cast on behalf of clients by account; (iv) records of any correspondence made regarding specific proxies and the voting thereof; (v) client requests for proxy voting information (including reports to mutual fund clients for whom PIM has proxy voting authority containing information they need to satisfy their annual reporting obligations under Rule 30b-1-4 and to complete Form N-PX); (vi) documents prepared by PIM to inform and/or memorialize a voting decision, including these policies and procedures and any documentation related to a material conflict of interest; and (vii) records of any deviations from broad Guidelines. Such records will be maintained for a minimum of six years.

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<u>POLICY REVIEW</u> 

The Proxy Voting Committee reviews these Voting Guidelines and procedures at least annually and makes such changes as it deems appropriate, considering current trends and developments in corporate governance and related issues, as well as operational issues facing PIM and applicable regulations under the Investment Company Act, Advisers Act and ERISA.

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#### SUSTAINABLE GROWTH ADVISERS LP

#### Amendment Dated April 8, 2020
5.2.8 Proxy Voting Policies and Procedures

Sustainable Growth recognizes that the act of managing assets of clients consisting of equity securities can include the voting of proxies related to such equity securities. Each client can either: (i) delegate the power to vote proxies to the adviser; or (ii) retain the authority to vote his or her proxy. Where a client has delegated the power to vote proxies in his or her account, Sustainable Growth will vote the proxies in a manner that is in the best interests of the client. When Sustainable Growth has such responsibility, it will follow the Proxy Voting Policies and Procedures.

Sustainable Growth when administering the voting of proxies will comply with "Commission Guidance Regarding Proxy Voting Responsibilities of Investment Advisers" (August 29, 2019). Sustainable Growth may also take into consideration proxy voting guidance of other regulators including the EU, UK, Canadian and Australia regulatory authorities (as applicable).

5.2.8.1 Proxy Voting

5.2.8.1.1 Proxy Voting Responsibility

At the inception of each investment adviser-client relationship, Sustainable Growth shall require the client to indicate whether the client or Sustainable Growth is responsible for voting proxies in one or more of the following documents:

• Client's investment advisory contract; or

• Separate agreement between client and Sustainable Growth authorizing Sustainable Growth to vote client's proxies.

5.2.8.1.2 Client Responsibility to Vote Proxies

If Sustainable Growth receives proxies related to a client's securities and Sustainable Growth is not responsible for voting such proxies, Sustainable Growth shall make arrangements with the client and/or client's custodian or take such other steps to ensure that the client timely receives such proxies.

5.2.8.1.3 Firm Responsibility to Vote Proxies

Unless the power to vote proxies for a client is reserved to that client (or in the case of an employee benefit plan, the plan's trustee or other fiduciaries), Sustainable Growth is responsible for voting the proxies related to that account. When exercising its authority to vote proxies, Sustainable Growth shall:

• satisfy its duties of care and loyalty to each client with respect to voting that client's proxies;

• conduct a reasonable investigation into matters on which Sustainable Growth votes;

• consider whether voting all of its clients' shares the same and/or in accordance with a uniform voting policy would be in the best interest of each of its clients, including the potential effect of the vote on the value of a client's investments that have different investment objectives;

• make the determination with respect to each proxy vote that its vote or recommendation is in the best interest of the client; and

• not place its own interests ahead of the interests of any client with respect to any proxy vote or recommendation.

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5.2.8.1.4 Proxy Voting Responsibility Monitoring

The Portfolio Manager shall maintain records identifying those clients where Sustainable Growth exercises proxy voting authority and those clients where Sustainable Growth does not have such authority.

5.2.8.2 Retaining Third Party Proxy Advisory Firms

Sustainable Growth may retain a third-party company ("Third Party Proxy Advisory Firm") to provide it with research and recommendations with voting client proxies only after Sustainable Growth:

• Obtains and reviews the proxy voting policies and procedures of the Third Party Proxy Advisory Firm (or summaries of such policies and procedures), and finds them acceptable and in the best interests of its clients;

• Determines that the Third Party Proxy Advisory Firm has the capacity and competency to analyze proxy issues;

• Considers the following:

• the adequacy and quality of the Third Party Proxy Advisory Firm's staffing, personnel, and technology;

• how the Third Party Proxy Advisory Firm incorporates appropriate input in formulating its methodologies and construction of issuer peer groups;

• where relevant, how the Third Party Proxy Advisory Firm, in constructing peer groups, takes into account the unique characteristics regarding the issuer, to the extent available, such as the issuer's size; its governance structure; its industry and any particular practices unique to that industry; its history; and its financial position;

• the extent to which the Third Party Proxy Advisory Proxy Firm has adequately disclosed its methodologies in formulating voting recommendations;

• the nature of any third-party information sources that the Third Party Proxy Advisory Firm uses as a basis for its voting recommendations; and

• how the Third Party Proxy Advisory Firm would expect to engage with issuers and third parties;

• Obtains sufficient information from the Third Party Proxy Advisory Firm initially and on an ongoing basis to conclude that the Third Party Proxy Advisory Firm is independent and can make recommendations in an impartial manner;

• Requires the Third Party Proxy Advisory Firm to disclose any relevant facts concerning the Firm's relationships with issuers of publicly traded securities that are the subject of the proxy, such as the amount of compensation the Third Party Proxy Advisory Firm receives from such issuers;

• Obtains representations from the Third Party Proxy Advisory Firm that it faced no conflict of interest with respect to recommendations or votes and that it will promptly inform Sustainable Growth if there is a conflict of interest; and

• Obtains representations from the Third Party Proxy Advisory Firm that no member of its staff providing services to issuers of publicly traded companies play a role in the preparation of its analyses or vote on proxy issues.

5.2.8.3 Third Party Proxy Advisory Firm Advice

In the event Sustainable Growth retains a Third-Party Proxy Advisory Firm to assist it in voting proxies received from issuers, Sustainable Growth shall:

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• vote proxies in a manner that is in the best interest of its clients;

• exercise its independent judgment when deciding how to vote a proxy, while taking into account recommendations from the Third-Party Proxy Advisory Firm;

• periodically review:

• the internal guidelines published by the Third-Party Proxy Advisory Firm to ensure the firm is following its guidelines, including how such firm addresses conflicts of interest;

• reports prepared by the Third-Party Proxy Advisory Firm for accuracy;

• the Third-Party Proxy Advisory Firm's efforts to correct any identified material deficiencies in the Third-Party Proxy Advisory Firm's analysis;

• periodically review the Third Party Proxy Advisory Firm's disclosure to Sustainable Growth regarding the sources of information and methodologies used in formulating voting recommendations or executing voting instructions;

• request the Third Party Proxy Advisory Firm to notify Sustainable Growth regarding business changes it considers relevant (*e.g.,* with respect to the Third Party Proxy Advisory Firm's capacity and competency to provide independent proxy voting advice or carry out voting instructions);

• inquire whether the Third Party Proxy Advisory Firm appropriately updates its methodologies, guidelines, and voting recommendations on an ongoing basis, including in response to feedback from issuers and their shareholders; and

• periodically review how Sustainable Growth has voted client proxies and compare to the recommendations of the Third-Party Proxy Advisory Firm and, if applicable, investigate high correlations between its votes and Third Party Proxy Advisory Firm recommendations (which may suggest "rote" reliance on proxy advisory firms).

5.2.8.3 Proxy Voting Guidelines

Sustainable Growth shall vote proxies related to securities held by any client in a manner solely in the best interests of the client. Sustainable Growth shall consider only those factors that relate to the client's investment, including how its vote will economically impact and affect the value of the client's investment. Proxy votes will be cast in favor of proposals that maintain or strengthen the shared interests of shareholders and management, increase shareholder value, and maintain or increase the rights of shareholders. Proxy votes will be cast against proposals having the opposite effect. In voting on each and every issue, Sustainable Growth shall vote in a prudent and diligent fashion and only after a careful evaluation of the issue presented on the ballot.

Prior to electing to follow any specific guidelines, Sustainable Growth will:

• Determine the impact of following such guidelines on all clients, including whether the guidelines would be more appropriate for one group of clients and not for others;

• Identify any direct or indirect benefits that might flow to Sustainable Growth as a result of choosing one guideline over other guidelines;

• Address any conflicts of interest raised by the selection of such guidelines by following the Proxy Voting Conflicts of Interest section of these Procedures; and

• Refrain from using such guidelines if it provides an advantage to one group of clients while disadvantaging or otherwise not being in the best interest of any of the remaining clients.

Sustainable Growth has adopted the following specific voting guidelines:

5.2.8.3.1 Corporate Governance

Unless exceptional circumstances exist, Sustainable Growth will vote against proposals that make it more difficult to replace Board members, including proposals to:

• Stagger the Board

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• Overweight management on the Board

• Introduce cumulative voting

• Introduce unequal voting rights

• Create super majority voting

• Establish pre-emptive rights

5.2.8.3.2 Takeovers

Sustainable Growth will vote against proposals that make it more difficult for a company to be taken over by outsiders, and in favor of proposals that attempt to do the opposite.

5.2.8.3.3 Capital Structure

Sustainable Growth will vote against proposals to move the company to another jurisdiction less favorable to shareholders' interests, or to restructure classes of stock in such a way as to benefit one class of shareholders at the expense of another, such as dual classes (A and B shares) of stock.

5.2.8.3.4 Outside Directors

Sustainable Growth will vote against any proposal to allow the Chief Executive Officer of a company to appoint outside directors, and in favor of any proposal to eliminate this ability.

5.2.8.3.5 Social & Environmental Considerations

Sustainable Growth takes into consideration environmental, social and governance issues both in its investment process and proxy voting. Sustainable Growth will generally support standards-based ESG proposals that enhance long-term shareholder value while aligning the interests of an issuer with those of society at large. In particular, Sustainable Growth will focus on proxy proposals seeking greater transparency and adherence to internationally recognized standards and principals.

In determining how to vote Sustainable Growth will analyze and consider the following:

• Whether the proposal is well framed and reasonable

• Whether the proposal (if adopted) would have either a positive/negative impact on the issuer's short or long term share value

• The percentage of sales, assets and/or earnings affected

• Whether the issuer already has already appropriately or adequately addressed the matter(s) at issue

• The issuer's analysis and recommendation on the proposal

• The issuer's past practices with respect to the proposal (ie., past controversies, fines, litigation with respect to any such environmental and/or social practices)

• How other companies have addressed similar issues and proposals

• Other risk factors including economic and reputational risks that may impact the issuer's business

5.2.8.4 Proxy Voting Conflicts of Interest

Sustainable Growth recognizes that conflicts between itself and clients may arise in voting the proxies of issuers of equity securities and that these conflicts must be addressed. The designated Investment Committee member is responsible for identifying potential conflicts of interest in regard to the proxy voting process. Where appropriate, Sustainable Growth will use one of the following methods to resolve such conflicts, provided such method results in a decision to vote the proxies that is based on the clients' best interest and is not the product of the conflict:

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1. provide the client with sufficient information regarding the shareholder vote and Sustainable Growth's potential conflict to the client and obtain the client's consent before voting;

2. vote securities based on a pre-determined voting policy;

3. vote client securities based upon the recommendations of a Third-Party Proxy Advisory that itself does not have a conflict of interest; or

4. request the client to engage another party to determine how the proxies should be voted.

<u>Third Party Proxy Advisory Firm</u> 

If Sustainable Growth utilizes a Third Party Proxy Advisory Firm, Sustainable Growth will review such firm's policies and procedures regarding how it identifies and addresses conflicts of interest.

5.2.8.5 Proxy Voting Review

Sustainable Growth periodically will review the votes cast for clients.

Sustainable Growth will test whether its casting of votes on behalf of clients is consistently following its voting policies and procedures including:

• sampling proxy votes that relate to proposals that may require more issuer-specific analysis (*e.g.,* mergers and acquisition transactions, dissolutions, conversions, or consolidations); and

• sampling proxy votes to determine whether they were consistent with its voting policies and procedures and in its client's best interest.

<u>Third-Party Proxy Advisory Firm Voting</u> 

If Sustainable Growth retains a Third-Party Proxy Advisory Firm to provide voting recommendations, Sustainable Growth will periodically evaluate whether the Third-Party Proxy Advisory Firm's voting recommendations are consistent with its voting policies and procedures and in the client's best interest.

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| **WELLINGTON MANAGEMENT COMPANY** | <br>WELLINGTON<br> MANAGEMENT<sup>®</sup> |
| Wellington Management<br> 2024 Global Proxy Voting Guidelines<br>| <br>WELLINGTON<br> MANAGEMENT<sup>®</sup> |

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WELLINGTON'S PHILOSOPHY

Wellington Management is a long-term steward of our clients' assets and aims to vote proxies for which we have voting authority in the best financial interest of clients.

These guidelines are based on Wellington Management's fiduciary obligation to act in the best financial interest of its clients as shareholders and while written to apply globally, we consider jurisdictional differences to make informed decisions. Enumerated below are issues specific to the Japanese market given we have formulated more detailed expectations of this region.

Wellington Management votes proxies for each client for which it has voting authority based on Wellington Management's evaluation of the best long-term economic interests of shareholders, in the exercise of its independent business judgment, and without regard to the relationship of the issuer of the proxy to the client, Wellington Management, or Wellington Management's affiliates.

It should be noted that the following are guidelines, not rigid rules, and Wellington Management reserves the right in all cases to deviate from the general direction set out below where doing so is in the best interest of its clients.

OUR APPROACH TO STEWARDSHIP

The goal of our stewardship activities is to support decisions that we believe will maximize investment returns for our clients over the long term.

The mechanisms we use to implement our stewardship activities vary by asset class. Engagement applies to all our investments across equity and credit, in both private and public markets. Proxy voting applies mostly to public equities.

Stewardship extends to any area that may affect the long-term sustainable financial return of an investment. Stewardship can be accomplished through research and constructive dialogue with company management and boards, by monitoring company behavior through informed active ownership, and by emphasizing management accountability for important issues via our proxy votes, which have long been part of Wellington's investment ethos. Please refer to our Engagement Policy for more information on how engagement is conducted at Wellington.

OUR APPROACH TO VOTING

We vote proxies in what we consider to be the best financial interests of our clients. Our approach to voting is investment-led and serves as an influential component of our engagement and escalation strategy. The Investment Stewardship Committee, a cross-functional group of experienced professionals, oversees Wellington Management's stewardship activities with regards to proxy voting and engagement practices.

Generally, routine issues which can be addressed by the proxy voting guidance below are voted by means of standing instructions communicated to our primary voting agent. Some votes warrant analysis of specific facts and circumstances and therefore are reviewed individually. We examine such proposals on their merits and take voting action in a manner that best serves the financial interests of our clients. When forming our voting decisions, we may leverage sources including internal research notes, third-party voting research and company engagement. While manual votes are often resolved by investment research teams, each portfolio manager is empowered to make a final decision for their relevant client portfolio(s), absent a material conflict of interest. Proactive portfolio manager input is sought under certain circumstances, which may include consideration of position size and proposal subject matter and nature. Where portfolio manager input is proactively sought, deliberation across the firm may occur. This

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2024 Global Proxy Voting Guidelines

collaboration does not prioritize consensus across the firm above all other interests but rather seeks to inform portfolio managers' decisions by allowing them to consider multiple perspectives. Consistent with our community-of- boutiques model, portfolio managers may occasionally arrive at different voting conclusions for their clients, resulting in different decisions for the same vote. Robust voting procedures and the deliberation that occurs before a vote decision are aligned with our role as active owners and fiduciaries for our clients.

We generally support shareholder proposals if we determine that their adoption would promote long-term shareholder value. In making this determination, we consider numerous factors, including but not limited to the anticipated benefits of the proposal to the company; whether the proposal addresses the general interests of the company's shareholders and not just those of the shareholder proponents; whether the company is currently addressing the issue motivating the proposal or has engaged with the shareholder proponents; whether the company can implement the proposal effectively; and whether the proposal's adoption would impose material costs on the company or result in unintended consequences.

In addition, because proxy voting provides only limited means (i.e., voting ''for'' or ''against'') to express our views on a particular issue, we may support shareholder proposals in cases where we do not support every recommended action or where the proposal is accompanied by a supporting statement that we do not support so long as we are directionally aligned with the issue motivating the proposal. In these cases, we aim to engage directly with the company to clarify the nuanced view our vote represents.

Please refer to our Global Proxy Policy and Procedures for further background on the process and governance of our voting approach.

Detailed below are the principles which we consider when deciding how to vote.

VOTING GUIDELINES

#### BOARD COMPOSITION AND ROLE OF DIRECTORS
Effective boards should act in shareholders' best economic interests and possess the relevant skills to implement the company's strategy.

We consider shareholders' ability to elect directors annually an important right and, accordingly, generally support proposals to enable annual director elections and declassify boards.

We may withhold votes from directors for being unresponsive to shareholders or for failing to make progress on issues material to maximizing investment returns. We may also withhold votes from directors who fail to implement shareholder proposals that if adopted would promote long-term shareholder value and have received majority support or have implemented poison pills without shareholder approval.

Time commitments

We expect directors to have the time and energy to fully commit to their board-related responsibilities and not be over-stretched with an excessive number of external directorships. We may vote against directors when serving on five or more public company boards; and public company executives when serving on three or more public company boards, including their own.

We consider the roles of board chair and chair of the audit committee as equivalent to an additional board seat when evaluating the overboarding matrix for non-executives. We may take into consideration that certain directorships, such as Special Purpose Acquisition Companies (SPACs) and investment companies, are usually less demanding.

Directors should also attend at least 75% of scheduled board meetings. If they fail to do so, we may vote against their re-election.

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Succession planning and board refreshment

We do not have specific voting policies relating to director age or tenure. We prefer to take a holistic view, evaluating whether the company is balancing the perspectives of new directors with the institutional knowledge of longer-serving board members. Succession planning is a key topic during many of our board engagements.

We generally expect companies to refresh their board membership every five years and may vote against the chair of the nominating committee for failure to implement. We believe a degree of director turnover allows companies to strengthen board diversity and add new skillsets to the board to enhance their oversight and adapt to evolving strategies.

Boards should offer transparency around their process to evaluate director performance and independence, conducting a rigorous regular evaluation of the board, key committees as well as individual directors, which is responsive to shareholder input. We believe externally facilitated board evaluations may contribute to companies retaining an appropriate mix of skills, experience and diversity on their boards over time.

In certain markets companies are governed by multi-tiered boards, with each tier having different responsibilities. We hold supervisory board members to similar standards, subject to prevailing local governance best practices.

Board independence

In our view, boards perform best when composed of an appropriate combination of executive and non-executive (in particular independent non-executive) directors to challenge and counsel management.

To determine appropriate minimum levels of board independence, we look to prevailing market best practices; two- thirds in the US, for example, and majority in the UK and France. In addition to the overall independence at the board level, we also consider the independence of audit, compensation, and nominating committees. Where independence falls short of our expectations, we may withhold approval for non-independent directors or those responsible for the board composition. We typically vote in support of shareholder proposals calling for improved independence.

We believe that having an independent chair is the preferred structure for board leadership. Having an independent chair avoids the inherent conflict of self-oversight and helps ensure robust debate and diversity of thought in the boardroom. We will generally support proposals to separate the chair and CEO or establish a lead director but may support the involvement of an outgoing CEO as executive chair for a limited period to ensure a smooth transition to new management.

Board diversity

We believe boards which reflect a wide range of perspectives are best positioned to create shareholder value. Appointing boards that thoughtfully debate company strategy and direction is not possible unless boards elect highly qualified and diverse directors. By setting a leadership example, boardrooms with a wide range of experiences, expertise, and perspectives encourage an organizational culture that promotes diverse thinkers, enabling better strategic decisions and the navigation of increasingly complex issues facing companies today.

We think it is not in shareholders' best interests for the full board to be comprised of directors who all share the same background, experience, and personal characteristics (e.g., gender, race, ethnicity, and age). We expect our portfolio companies to be thoughtful and intentional in considering the widest possible pool of skilled candidates who bring diverse perspectives into the boardroom. We encourage companies to disclose the composition and qualifications of their board and to communicate their ambitions and strategies for creating and fostering a diverse board.

We reserve the right to vote against the re-election of the Nominating/Governance Committee Chair when the board is not meeting local market standards from a diversity perspective. We expect a minimum of 20% gender diversity at major indices such as the S&P 500 and encourage boards to strive for 30% gender diversity. From 2025, we may vote against the re-election of the Nominating/Governance Committee Chair at major indices not meeting this 30% goal.

3 <br> As of April

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Outside of the above major indices and absent a market-defined standard, we may vote against the reelection of the Nominating/Governance Committee Chair where no gender-diverse directors are represented on a board.

We reserve the right to vote against the reelection of the Nominating/Governance Committee Chair at US large cap and FTSE 100 companies that failed to appoint at least one director from a minority ethnic group and fail to provide clear and compelling reason for being unable to do so. We will continue to engage on diversity of the board in other markets and may vote against the re-election of directors where we fail to see improvements.

Majority vote on election of directors

Because we believe the election of directors by a majority of votes cast is the appropriate standard, we will generally support proposals that seek to adopt such a standard. Our support will typically extend to situations where the relevant company has an existing resignation policy for directors that receive a majority of ''withhold'' votes. We believe majority voting should be defined in the company's charter and not simply in its corporate governance policy.

Generally, we oppose proposals that fail to provide for the exceptional use of a plurality standard in the case of contested elections. Further, we will not support proposals that seek to adopt a standard of majority of votes outstanding (total votes eligible as opposed to votes cast). We likely will support shareholder and management proposals to remove existing supermajority vote requirements.

Contested director elections

We approach contested director elections on a case-by-case basis, considering the specific circumstances of each situation to determine what we believe to be in the best financial interest of our clients. In each case, we welcome the opportunity to engage with both the company and the proponent to ensure that we understand both perspectives and are making an informed decision on our clients' behalf.

COMPENSATION

Executive compensation plans establish the incentive structure that plays a role in strategy-setting, decision-making, and risk management. While design and structure vary widely, we believe the most effective compensation plans attract and retain high-caliber executives, foster a culture of performance and accountability, and align management's interests with those of long-term shareholders.

Due to each company's unique circumstances and wide range of plan structures, Wellington determines support for a compensation plan on a case-by-case basis. We support plans that we believe lead to long-term value creation for our clients and the right to vote on compensation plans annually.

In evaluating compensation plans, we consider the following attributes in the context of the company's business, size, industry, and geographic location:

<u>Alignment</u> — We believe in pay-for-performance and encourage plan structures that align executive compensation with shareholder experience. We compare total compensation to performance metrics on an absolute and relative basis over various timeframes, and we look for a strong positive correlation. To ensure shareholder alignment, executives should maintain meaningful equity ownership in the company while they are employed, and for a period thereafter.

<u>Transparency</u> — We expect compensation committees to articulate the decision-making process and rationale behind the plan structure, and to provide adequate disclosure so shareholders can evaluate actual compensation relative to the committee's intentions. Disclosure should include how metrics, targets, and timeframes are chosen, and detail desired outcomes. We also seek to understand how the compensation committee determines the target level of compensation and constructs the peer group for benchmarking purposes.

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<u>Structure</u> — The plan should be clear and comprehensible. We look for a mix of cash versus equity, fixed versus variable, and short- versus long-term pay that incentivizes appropriate risk-taking and aligns with industry practice. Performance targets should be achievable but rigorous, and equity awards should be subject to performance and/or vesting periods of at least three years, to discourage executives from managing the business with a near-term focus. Unless otherwise specified by local market regulators, performance-based compensation should be based on metrics that are objective, rigorous, and tied to shareholder value creation. Qualitative goals, including material environmental and social considerations material to financial performance, may be acceptable if a compensation committee has demonstrated a fair and consistent approach to evaluating qualitative performance and applying discretion over time.

<u>Accountability</u> — Compensation committees should be able to use discretion, positive and negative, to ensure compensation aligns with performance and provide a cogent explanation to shareholders. We generally oppose one- time awards aimed at retention or achieving a pre-determined goal. Barring an extenuating circumstance, we view retesting provisions unfavorably.

Approving equity incentive plans

A well-designed equity incentive plan facilitates the alignment of interests of long-term shareholders, management, employees, and directors. We evaluate equity-based compensation plans on a case-by-case basis, considering projected plan costs, plan features, and grant practices. We will reconsider our support for a plan if we believe these factors, on balance, are not in the best financial interest of shareholders. Specific items of concern may include excessive cost or dilution, unfavorable change-in-control features, insufficient performance conditions, holding/vesting periods, or stock ownership requirements, repricing stock options/stock appreciation rights (SARs) without prior shareholder approval, or automatic share replenishment (an ''evergreen'' feature).

Employee stock purchase plans

We generally support employee stock purchase plans, as they may align employees' interests with those of shareholders. That said, we typically vote against plans that do not offer shares to a broad group of employees (e.g., if only executives can participate) or plans that offer shares at a significant discount.

Non-executive director compensation

We expect companies to disclose non-executive director compensation and we prefer the use of an annual retainer or fee, delivered as cash, equity, or a combination. We do not believe non-executive directors should receive performance-based compensation, as this creates a potential conflict of interest. Non-executive directors oversee executive compensation plans; their objectivity is compromised if they design a plan that they also participate in.

Severance arrangements

We are mindful of the board's need for flexibility in recruitment and retention but will oppose excessively generous arrangements unless agreements encourage management to negotiate in shareholders' best financial interest. We generally support proposals calling for shareholder ratification of severance arrangements.

Retirement bonuses (Japan)

Misaligned compensation which is based on tenure and seniority may compromise director independence. We generally vote against directors and statutory auditors if retirement bonuses are given to outgoing directors.

Claw-back policies

We believe companies should be able to recoup incentive compensation from members of management who received awards based on fraudulent activities, accounting misstatements, or breaches in standards of conduct that lead to corporate reputational damage. We generally support shareholder proposals requesting that a company establish a robust claw-back provision if existing policies do not cover these circumstances. We also support proposals seeking greater transparency about the application of claw back policies.

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2024 Global Proxy Voting Guidelines

Audit quality and oversight

Scrutiny of auditors, particularly audit quality and oversight, has been increasing. When we assess financial statement reporting and audit quality, we will generally support management's choice of auditors, unless the auditors have demonstrated failure to act in shareholders' best economic interest. We also pay close attention to the non-audit services provided by auditors and consider the potential for the revenue from those services to create conflicts of interest that could compromise the integrity of financial statement audits.

#### SHAREHOLDER RIGHTS
Shareholder rights plans

Also known as poison pills, these plans can enable boards of directors to negotiate higher takeover prices on behalf of shareholders. Such plans also may be misused, however, as a means of entrenching management. Consequently, we may support plans that include a shareholder approval requirement, a sunset provision, or a permitted bid feature (e.g., bids that are made for all shares and demonstrate evidence of financing must be submitted to a shareholder vote).

Because boards generally have the authority to adopt shareholder rights plans without shareholder approval, we are equally vigilant in our assessment of requests for authorization of blank-check preferred shares.

Multiple voting rights

We generally support one share, one vote structures. The growing practice of going public with a dual-class share structure can raise governance and performance concerns. In our view, dual-class shares can create misalignment between shareholders' economic stake and their voting power and can grant control to a small number of insiders who may make decisions that are not in the interests of all shareholders.

We generally prefer that companies dispense with dual-class share structures but we recognize that newly listed companies may benefit from a premium by building in some protection for founders for a limited time after their IPO. The Council of Institutional Investors, a nonprofit association of pension funds, endowments, and foundations, recommends that newly public companies that adopt structures with unequal voting rights do away with the structure within seven years of going public. We believe such sunset clauses are a reasonable compromise between founders seeking to defend against takeover attempts in pivotal early years, and shareholders demanding a mechanism for holding management accountable, especially in the event of leadership changes.

Similarly, we generally do not support the introduction of loyalty shares, which grant increased voting rights to investors who hold shares over multiple years.

Proxy access

We believe shareholders should have the right to nominate director candidates on the management's proxy card. We will generally support shareholder proposals seeking proxy access unless the existing policy is already in-line with market norms.

Special meeting rights

We believe the right to call a special meeting is an important shareholder right, and we will generally support such proposals to establish this right at companies that lack this facility. We will generally support a proposal lowering thresholds where the current level exceeds 15% and the proposal calls for a 10%+ threshold, taking into consideration the make-up of the existing shareholder base and the company's general responsiveness to shareholders. If shareholders are granted the right to call special meetings, we generally do not support written consent.

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2024 Global Proxy Voting Guidelines

Virtual meetings

Many companies established virtual-only shareholder meetings over the course of the recent Covid-19 pandemic. Virtual attendance allows investors to participate in more meetings and reduces the need for travel. We generally prefer shareholder meetings to take place in a hybrid format (virtual and in-person) where possible, allowing all shareholders, whether they attend in person or virtually, to ask questions. We expect companies hosting virtual-only shareholder meetings to provide a clear rationale underpinning their decision to do so, provide a live video stream of proceedings and offer transparency on how questions may be submitted and are selected for discussion.

We may oppose amendments to articles of association permitting virtual-only meetings where we perceive shareholder rights to be at risk. We may also support relevant shareholder proposals requesting companies to facilitate the ability to attend in-person.

#### CAPITAL STRUCTURE AND CAPITAL ALLOCATION
Mergers and acquisitions

We approach votes to approve mergers and acquisitions on a case-by-case basis, considering the specific circumstances of each proposal to determine what we believe to be in the best financial interest of our clients.

Increases in authorized common stock

We generally support requests for increases up to 100% of the shares with preemption rights. Exceptions will be made when the company has clearly articulated a reasonable need for a greater increase. Conversely, at companies trading in less liquid markets, we may impose a lower threshold. When companies seek to issue shares without preemptive rights, we consider potential dilution and generally support requests when dilution is below 20%. For issuance with preemptive rights, we review on a case-by-case basis, considering the size of issuance relative to peers.

#### ENVIRONMENTAL TOPICS
We assess portfolio companies' performance on environmental issues we deem to be material to long-term financial performance.

Climate change

As an asset manager entrusted with investing on our clients' behalf, we aim to assess, monitor, and manage the potential effects of climate change on our investment processes and financial returns of client portfolios. Proxy voting is a tool we use for managing climate-related investment risks, as part of our overall stewardship process.

In general, we expect companies facing material climate risks to communicate credible transition plans consistent with the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD). Appropriate reporting on climate readiness assists our investment professionals in understanding a company's strategy to adapt to or mitigate material climate-related risks. In addition, we may also vote against directors at companies facing material climate risks where the disclosure of transition plans meaningfully lag our expectations.

*Emissions disclosure* 

We generally encourage companies to disclose material Scope 1, 2, and 3 emissions. While we recognize the challenges associated with collecting Scope 3 emissions data, disclosure of material Scope 3 emissions has the potential to assist us with the assessment of the transition risks applicable to an issuer. Disclosure of both overall categories of Scope 3 emissions —upstream and downstream —with context and granularity from companies with significant Scope 3 sources enhances our ability to evaluate investment risks and opportunities. We generally encourage companies to adopt emerging global standards for measurement and disclosure of emissions such as those being developed by the International Sustainability Standards Board (ISSB).

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2024 Global Proxy Voting Guidelines

We view disclosure of material Scope 1 and 2 emissions as a baseline expectation where measurement practices are well-defined and attainable. We will generally vote against the re-election of the Chair of MSCI World companies and large cap companies in Emerging Markets which do not disclose material Scope 1 and 2 emissions, have not made a commitment to do so and where emissions intensity is material to financial performance.

*Net-zero targets* 

We encourage companies with material emissions to set a credible, science-based decarbonization glidepath, with an interim and long-term target, that comprises all categories of material emissions and is consistent with the ambition to achieve net zero emissions by 2050 or sooner. For certain companies with material emissions, we may vote against the company chair where quantitative emission reduction targets have not been reasonably defined. Companies may find value in aligning transition plans with best practice frameworks relevant to their industry and business model such as the Science Based Targets initiative (SBTi).

We generally support shareholder proposals that promote long-term shareholder value and ask companies facing material climate risks for improved disclosure on climate risk management or alignment of business strategies with the Paris Agreement or similar language.

Biodiversity

Many companies are dependent on natural capital and biodiversity as key inputs either through direct resource extraction or their supply chain. Business activities may also impact the capacity of nature to provide social and economic functions. We recognize that biodiversity impact and loss can be challenging to quantify and measure, but we believe companies should assess environmental inputs and outputs. We encourage companies to report on financially material impacts and dependencies on natural capital relevant to their business.

Other environmental shareholder proposals

For other environmental proposals covering themes including biodiversity, natural capital, deforestation, water usage, (plastic) packaging as well as palm oil, we take a case-by-case approach and will generally support proposals calling for companies to provide disclosure where this is additive to the company's existing efforts, the proposed information pertains to a material financial impact and in our view is of economic benefit to investors.

#### SOCIAL TOPICS
Corporate culture, human capital, and diversity, equity, & inclusion

Through engagement we emphasize to management the importance of how they invest in and cultivate their human capital to perpetuate a strong culture. We assess culture holistically from an alignment of management incentives, responsiveness to employee feedback, evidence of an equitable and sound talent management strategy and commitment to diversity, equity, and inclusion practices that promote shareholder value. We value transparency and use of key performance indicators.

A well-articulated culture statement and talent attraction, retention and development strategy suggest that a company appreciates culture and talent as competitive advantages that can drive long-term value creation. It also sends a strong message when management compensation is linked, when appropriate, to employee satisfaction. If the company conducts regular employee engagement surveys, we look for leadership to disclose the results both positive and negative so we can monitor patterns and assess whether they are implementing changes based on the feedback they receive. We consider workplace locations and how a company balances attracting talent with the costs of operating in desirable cities.

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We maintain that a deliberate human capital management strategy should foster a collaborative, productive workplace in which all talent can thrive. One ongoing engagement issue that pertains to human capital management is diversity, equity, and inclusion (DEI). We see DEI practices as a material input to long-term financial performance, so as our clients' fiduciaries, we seek to better understand how and to what extent a company's approach to diversity is integrated with talent management at all levels. This is significantly aided when there is consistent, robust disclosure in place. A sound long-term plan holds more weight than a company's current demographics, so we look for a demonstrable DEI strategy that seeks to improve shareholder value over time and align management incentives accordingly. To that end, we expect companies in the US to publicly disclose their EEO-1 reporting and all companies to disclose their DEI strategy.

Gender and racial pay equity are important parts of our assessment of a company's diversity efforts. Pay inequity can impact shareholder value by exposing a company to challenges with recruiting & retaining talent, job dissatisfaction, workforce turnover, and costly lawsuits. Consequently, we may support proposals asking for improved transparency on a company's gender and/or racial pay gap if existing disclosures are lagging best practice and if the company has not articulated its efforts to promote equal opportunities to advance to senior roles.

We believe diversity among directors, leaders, and employees contributes positively to shareholder value by imbuing a company with myriad perspectives that help it better navigate complex challenges. A strong culture of diversity and inclusion begins in the boardroom. See the Board Diversity section above for more on our approach.

Stakeholders and risk management

In recent years, discourse on opioids, firearms, and sexual harassment has brought the potential for social externalities —the negative effects that companies can have on society through their products, cultures, or policies — into sharp focus. These nuanced, often misunderstood issues can affect the value of corporate securities.

We encourage companies facing these risks to disclose related risk management strategies. When a company faces litigation or negative press, we inquire about lessons learned and request evidence of substantive changes that aim to prevent recurrence and mitigate downside risk. In these cases, we may also support proposals requesting enhanced disclosure on actions taken by management.

Human rights

Following the 2015 passage of the UK's Modern Slavery Act, a handful of countries have passed laws requiring companies to report on how they are addressing risks related to human rights abuses in their global supply chains. While human rights have been a part of our research and engagement in this context, we seek to assess companies' exposures to these risks, determine the sectors for which this risk is most material (highest possibility of supply-chain exposure), enhance our own engagement questions, and potentially work with external data providers to gain insights on specific companies or industries. To help us assess company practices and drive more substantive engagement with companies on this issue, we will generally support proposals requesting enhanced disclosure on companies' approach to mitigating the risk of human rights violations in their business.

Cybersecurity

Robust cybersecurity practices are imperative for maintaining customer trust, preserving brand strength, and mitigating regulatory risk. Companies that fail to strengthen their cybersecurity platforms may end up bearing large costs. Through engagement, we aim to compare companies' approaches to cyber threats, regardless of region or sector, to distinguish businesses that lag from those that are better prepared.

Political contributions and lobbying

We generally support shareholder proposals asking for enhanced disclosure and board oversight of a company's political and lobbying activities where existing disclosure and board oversight are inadequate. This is because sufficient disclosure and board oversight are necessary to evaluate whether and ensure that these activities align with the company's stated strategy and promote shareholder value.

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2024 Global Proxy Voting Guidelines

#### JAPAN-SPECIFIC TOPICS
Capital allocation

We hold board chairs accountable for persistently low returns on equity (ROE) in Japan, using a five-year average ROE of below 5% as a guide. Our assessment of a company's capital stewardship complements our assessment of board effectiveness without dictating specific capital allocation decisions. We may make exceptions where ROE is improving, where a long-cycle business warrants a different standard, or where new management is in place, and we feel they should not be punished for the past CEO/Chair's record.

Cross-shareholdings

Cross-shareholdings reduce management accountability by creating a cushion of cross-over investor support. We may vote against the highest-ranking director up for re-election for companies where management has allocated a significant portion (20% or more) of net assets to cross-shareholdings. When considering this issue, we will take into account a company's trajectory in reducing cross-shareholdings over time as well as legitimate business reasons given to retain specific shareholdings.

Board diversity

We look for boards on the Japanese Prime Market to have a minimum 10% gender diversity, not inclusive of statutory auditors. For companies on the Non-Prime Market, we will also look for boards to have a minimum 10% gender diversity, inclusive of statutory auditors as applicable. We may vote against the chair of the board (or CEO in the absence of a board chair) where the board fails to meet this level. We expect to be able to support directors where a credible plan has been adopted to increase gender diversity ahead of the next meeting.

Board independence

We reserve the right to vote against the chair of the board or the most senior executive up for election at Japanese companies if the board of directors fails to meet the following independence expectations:

• For companies on the Prime Market without a controlling shareholder, we expect the board to be comprised of at least one-third independent directors.

• For companies on the Prime Market with a controlling shareholder, we expect the board to be majority independent.

• For companies on the Non-Prime Market with a controlling shareholder, we expect the board to be comprised of at least one-third independent directors.

• For companies on the Non-Prime Market without a controlling shareholder and a two-tiered board, we expect combined one-third independence of the board of directors and the board of statutory auditors, and at least two independent outside directors.

• For companies on the Non-Prime Market without a controlling shareholder and a one-tiered board (with either one or three committees), we expect one-third independence.

We continue to require a majority of the board of statutory auditors to be independent, regardless of the market segments. We further encourage Japanese companies to establish nomination/compensation committees, and to clearly describe the role of the board chair in terms of setting the board agenda and driving accountability.

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2024 Global Proxy Voting Guidelines

Important Information

Wellington Management Company LLP (WMC) is an independently owned investment adviser registered with the US Securities and Exchange Commission (SEC). WMC is also registered with the US Commodity Futures Trading Commission (CFTC) as a commodity trading advisor (CTA) and serves as a CTA to certain clients including commodity pools operated by registered commodity pool operators. WMC provides commodity trading advice to all other clients in reliance on exemptions from CTA registration. WMC, along with its affiliates (collectively, Wellington Management), provides investment management and investment advisory services to institutions around the world. Wellington Management Group LLP (WMG), a Massachusetts limited liability partnership, serves as the ultimate parent holding company of the Wellington Management global organization. All of the partners are full-time professional members of Wellington Management. Located in Boston, Massachusetts, Wellington Management also has offices in Chicago, Illinois; New York, New York; Radnor, Pennsylvania; San Francisco, California; DIFC, Dubai; Frankfurt; Hong Kong; London; Luxembourg; Madrid; Milan; Shanghai; Singapore; Sydney; Tokyo; Toronto; and Zurich.

This material is prepared for, and authorized for internal use by, designated institutional and professional investors and their consultants or for such other use as may be authorized by Wellington Management. This material and/or its contents are current at the time of writing and may not be reproduced or distributed in whole or in part, for any purpose, without the express written consent of Wellington Management. This material is not intended to constitute investment advice or an offer to sell, or the solicitation of an offer to purchase shares or other securities. Investors should always obtain and read an up-to-date investment services description or prospectus before deciding whether to appoint an investment manager or to invest in a fund. Any views expressed herein are those of the author(s), are based on available information, and are subject to change without notice. Individual portfolio management teams may hold different views and may make different investment decisions for different clients.

<sup>©</sup>2024 Wellington Management Company LLP. All rights reserved.

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**Part C**

**Other Information**

**Item 28. Exhibits** 

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| | |
|:---|:---|
| 99.(a) | &nbsp;&nbsp; Amended and Restated Declaration of Trust dated January 22, 2016. – [<u>previously filed as exhibit 99.(a) to post-effective</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816007641/e432371_ex99-a.htm)<br> [<u>amendment no. 78 filed on February 26, 2016, accession number 0001133228-16-007641</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816007641/e432371_ex99-a.htm).<br>|
| 99.(a).1 | &nbsp;&nbsp; Amendment dated December 13, 2018 to the Amended and Restated Declaration of Trust dated January 22, 2016. – <br> [<u>previously filed as exhibit 99.(a).1 to post-effective amendment no. 89 filed on February 28, 2019, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322819000764/html765_ex99-a1.htm)<br> [<u>0001133228-19-000764</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322819000764/html765_ex99-a1.htm).<br>|
| 99.(b) | &nbsp;&nbsp; Amended and Restated By-Laws dated March 8, 2005. – [<u>previously filed as exhibit 99.(b) to post-effective amendment no.</u>](https://www.sec.gov/Archives/edgar/data/743861/000101052106000153/ex99b.txt)<br> [<u>57 filed on March 1, 2006, accession number 0001010521-06-000153</u>](https://www.sec.gov/Archives/edgar/data/743861/000101052106000153/ex99b.txt).<br>|
| 99.(b).1 | &nbsp;&nbsp; Amendment dated March 11, 2008 to the Amended and Restated By-Laws dated March 8, 2005. – [<u>previously filed as</u>](https://www.sec.gov/Archives/edgar/data/743861/000095013509001291/b74218a1exv99wxbyx1y.htm)<br> [<u>exhibit 99.(b).1 to post-effective amendment no. 60 filed on February 26, 2009, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000095013509001291/b74218a1exv99wxbyx1y.htm)<br> [<u>0000950135-09-001291</u>](https://www.sec.gov/Archives/edgar/data/743861/000095013509001291/b74218a1exv99wxbyx1y.htm).<br>|
| 99.(b).2 | &nbsp;&nbsp; Amendment dated June 9, 2009 to the Amended and Restated By-Laws dated March 8, 2005. – [<u>previously filed as exhibit</u>](https://www.sec.gov/Archives/edgar/data/743861/000095012309071522/b78400a1exv99wxbyw2.htm)<br> [<u>99.(b).2 to post-effective amendment no. 61 filed on December 17, 2009, accession number 0000950123-09-071522</u>](https://www.sec.gov/Archives/edgar/data/743861/000095012309071522/b78400a1exv99wxbyw2.htm).<br>|
| 99.(b).3 | &nbsp;&nbsp; Amendment dated August 31, 2010 to the Amended and Restated By-Laws dated March 5, 2005. – [<u>previously filed as</u>](https://www.sec.gov/Archives/edgar/data/743861/000095012311017981/b84532a1exv99wxbyw3.htm)<br> [<u>exhibit 99.(b).3 to post-effective amendment no. 63 filed on February 24, 2011, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000095012311017981/b84532a1exv99wxbyw3.htm)<br> [<u>0000950123-11-017981</u>](https://www.sec.gov/Archives/edgar/data/743861/000095012311017981/b84532a1exv99wxbyw3.htm).<br>|
| 99.(b).4 | &nbsp;&nbsp; Amendment dated March 10, 2016 to the Amended and Restated By-laws dated March 8, 2005. – [<u>previously filed as</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816010460/e442683_ex99-b4.htm)<br> [<u>exhibit 99.(b).4 to post-effective amendment no. 80 filed on June 24, 2016, accession number.</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816010460/e442683_ex99-b4.htm)<br> [<u>0001133228-16-010460</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816010460/e442683_ex99-b4.htm).<br>|
| 99.(c) | Instruments Defining Rights of Securities Holders. See exhibits 99.(a) and 99.(b). |
| 99.(d) | &nbsp;&nbsp; Investment Advisory Contracts. Amended and Restated Advisory Agreement dated June 30, 2020 between John Hancock <br> Investment Trust II (the "Registrant") and John Hancock Investment Management LLC (the "Advisor"). – [<u>previously filed as</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99d.htm)<br> [<u>exhibit 99.(d) to post-effective amendment no. 93 filed on February 24, 2021, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99d.htm)<br> [<u>0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99d.htm).<br>|
| 99.(d).1 | &nbsp;&nbsp; Sub-Advisory Agreement dated December 31, 2005 between the Registrant, the Advisor, and Manulife Investment <br> Management (US) LLC<sup>1</sup> on behalf of John Hancock Financial Industries Fund and John Hancock Regional Bank Fund. – <br> [<u>previously filed as exhibit 99.(d).3 to post-effective amendment no. 57 filed on March 1, 2006, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000101052106000153/ex99d3.txt)<br> [<u>0001010521-06-000153</u>](https://www.sec.gov/Archives/edgar/data/743861/000101052106000153/ex99d3.txt).<br>|
| 99.(d).2 | &nbsp;&nbsp; Amendment dated May 17, 2013 to the Sub-Advisory Agreement dated December 31, 2005 between the Registrant, the <br> Advisor, and Manulife Investment Management (US) LLC on behalf of John Hancock Financial Industries Fund and John <br> Hancock Regional Bank Fund. – [<u>previously filed as exhibit 99.(d).2 to post-effective amendment no. 74 filed on</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-d2.htm)<br> [<u>February 26, 2014, accession number 0001133228-14-000828</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-d2.htm).<br>|
| 99.(d).3 | &nbsp;&nbsp; Amendment dated June 25, 2014 to the Sub-Advisory Agreement dated December 31, 2005 between the Registrant, the <br> Advisor, and Manulife Investment Management (US) LLC on behalf of John Hancock Financial Industries Fund. – [<u>previously</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322815000572/e402243_ex99d4.htm)<br> [<u>filed as exhibit 99.(d).4 to post-effective amendment no. 77 filed on February 25, 2015, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322815000572/e402243_ex99d4.htm)<br> [<u>0001133228-15-000572</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322815000572/e402243_ex99d4.htm).<br>|
| 99.(e) | &nbsp;&nbsp; Underwriting Contracts. Amended and Restated Distribution Agreement dated June 30, 2020 between the Registrant and <br> John Hancock Investment Management Distributors LLC (the "Distributor"). – [<u>previously filed as exhibit 99.(e) to</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99e.htm)<br> [<u>post-effective amendment no. 93 filed on February 24, 2021, accession number 0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99e.htm).<br>|
| 99.(f) | Not Applicable. |
| 99.(g) | &nbsp;&nbsp; Custodian Agreement. Master Custodian Agreement dated September 10, 2008 between John Hancock Mutual Funds and <br> State Street Bank and Trust Company. – [<u>previously filed as exhibit 99.(g) to post-effective amendment no. 60 filed on</u>](https://www.sec.gov/Archives/edgar/data/743861/000095013509001291/b74218a1exv99wxgy.htm)<br> [<u>February 26, 2009, accession number 0000950135-09-001291</u>](https://www.sec.gov/Archives/edgar/data/743861/000095013509001291/b74218a1exv99wxgy.htm).<br>|

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**C-1**

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| | |
|:---|:---|
| 99.(g).1 | &nbsp;&nbsp; Amendment dated October 1, 2015 to the Master Custodian Agreement dated September 10, 2008 between the <br> Registrant and State Street Bank and Trust Company. – [<u>previously filed as exhibit 99.(g).1 to post-effective amendment no.</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816010460/e442683_ex99-g1.htm)<br> [<u>80 filed on June 24, 2016, accession number. 0001133228-16-010460</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322816010460/e442683_ex99-g1.htm).<br>|
| 99.(h) | &nbsp;&nbsp; Other Material Contracts. Service Agreement between Charles Schwab & Co., Inc. and John Hancock Financial Industries. <br> – [<u>previously filed as exhibit 99.(h).2 to post-effective amendment no. 45 filed on December 13, 2000, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000101052100000484/0001010521-00-000484-0002.txt)<br> [<u>0001010521-00-000484</u>](https://www.sec.gov/Archives/edgar/data/743861/000101052100000484/0001010521-00-000484-0002.txt).<br>|
| 99.(h).1 | &nbsp;&nbsp; Amended and Restated Transfer Agency and Service Agreement dated July 1, 2013 between John Hancock Mutual Funds <br> advised by John Hancock Investment Management LLC and John Hancock Signature Services, Inc. – [<u>previously filed as</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-h1.htm)<br> [<u>exhibit 99.(h).1 to post-effective amendment no. 74 filed on February 26, 2014, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-h1.htm)<br> [<u>0001133228-14-000828</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-h1.htm).<br>|
| 99.(h).2 | &nbsp;&nbsp; Amendment dated October 1, 2013 to the Amended and Restated Transfer Agency Agreement. – [<u>previously filed as exhibit</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-h2.htm)<br> [<u>99.(h).2 to post-effective amendment no. 74 filed on February 26, 2014, accession number 0001133228-14-000828</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322814000828/e369425_ex99-h2.htm).<br>|
| 99.(h).3 | &nbsp;&nbsp; Amended and Restated Service Agreement dated June 30, 2020 between the Registrant and the Advisor. – [<u>previously filed</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99h3.htm)<br> [<u>as exhibit 99.(h).3 to post-effective amendment no. 93 filed on February 24, 2021, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99h3.htm)<br> [<u>0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99h3.htm).<br>|
| 99.(h).4 | &nbsp;&nbsp; Service Agreement dated June 30, 2020 among the Registrant, the Advisor, and the Registrant's Chief Compliance Officer. <br> – [<u>previously filed as exhibit 99.(h).4 to post-effective amendment no. 93 filed on February 24, 2021, accession number</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99h4.htm)<br> [<u>0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99h4.htm).<br>|
| 99.(h).5 | &nbsp;&nbsp; Form of Expense Limitation Letter Agreement and Voluntary Expense Limitation Notice dated December 11, 2025 <br> between the Registrant and the Advisor. – [**<u>FILED HEREWITH</u>**](d29800dex99h5.htm).<br>|
| 99.(h).6 | Agreement to Waive Advisory Fees and Reimburse Expenses dated June 26, 2025. – [**<u>FILED HEREWITH</u>**](d29800dex99h6.htm). |
| 99.(h).7 | &nbsp;&nbsp; Fund of Funds Investment Agreement dated December 28, 2021 between the Registrant and Fidelity Rutland Square Trust <br> II relating to John Hancock Regional Bank Fund. – [<u>previously filed as exhibit 99.(h).7 to post-effective amendment no. 94</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322822000822/jhitii-html4413_ex99h7.htm)<br> [<u>filed on February 24, 2022, accession number 0001133228-22-000822</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322822000822/jhitii-html4413_ex99h7.htm).<br>|
| 99.(h).8 | &nbsp;&nbsp; Fund of Funds Investment Agreement dated January 19, 2022 between the Registrant and John Hancock Variable <br> Insurance Trust. – [<u>previously filed as exhibit 99.(h).8 to post-effective amendment no. 94 filed on February 24, 2022,</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322822000822/jhitii-html4413_ex99h8.htm)<br> [<u>accession number 0001133228-22-000822</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322822000822/jhitii-html4413_ex99h8.htm).<br>|
| 99.(i) | Legal Opinion. – [**<u>FILED HEREWITH</u>**](d29800dex99i.htm). |
| 99.(j) | Consent of Independent Registered Public Accounting Firm, PricewaterhouseCoopers LLP. – [**<u>FILED HEREWITH</u>**](d29800dex99j.htm). |
| 99.(k) | Not Applicable. |
| 99.(l) | Not Applicable. |
| 99.(m) | &nbsp;&nbsp; Plans of Distribution pursuant to Rule 12b-1. Amended and Restated Plan of Distribution pursuant to Rule 12b-1 dated <br> June 30, 2020 relating to Class A Shares of John Hancock Financial Industries Fund. – [<u>previously filed as exhibit 99.(m) to</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m.htm)<br> [<u>post-effective amendment no. 93 filed on February 24, 2021, accession number 0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m.htm).<br>|
| 99.(m).1 | &nbsp;&nbsp; Amended and Restated Plan of Distribution pursuant to Rule 12b-1 dated June 30, 2020 relating to Class A Shares of John <br> Hancock Regional Bank Fund. – [<u>previously filed as exhibit 99.(m).1 to post-effective amendment no. 93 filed on</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m1.htm)<br> [<u>February 24, 2021, accession number 0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m1.htm).<br>|
| 99.(m).2 | &nbsp;&nbsp; Amended and Restated Plan of Distribution pursuant to Rule 12b-1 dated June 30, 2020 relating to Class C Shares of <br> John Hancock Financial Industries Fund. – [<u>previously filed as exhibit 99.(m).2 to post-effective amendment no. 93 filed on</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m2.htm)<br> [<u>February 24, 2021, accession number 0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m2.htm).<br>|
| 99.(m).3 | &nbsp;&nbsp; Amended and Restated Plan of Distribution pursuant to Rule 12b-1 dated June 30, 2020 relating to Class C Shares of <br> John Hancock Regional Bank Fund. – [<u>previously filed as exhibit 99.(m).3 to post-effective amendment no. 93 filed on</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m3.htm)<br> [<u>February 24, 2021, accession number 0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99m3.htm).<br>|
| 99.(m).4 | &nbsp;&nbsp; Form of Rule 12b-1 Fee Waiver Letter Agreement dated December 11, 2025, between the Registrant and the Distributor. – <br> [**<u>FILED HEREWITH</u>**](d29800dex99m4.htm).<br>|

---

**C-2**

------

---

| | |
|:---|:---|
| 99.(n) | &nbsp;&nbsp; Rule 18f-3 Plan. Amended and Restated Multiple Class Plan pursuant to Rule 18f-3 dated October 23, 2020 ("18f-3 Plan") <br> for John Hancock Mutual Funds advised by John Hancock Investment Management LLC. – [<u>previously filed as exhibit 99.(n)</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99n.htm)<br> [<u>to post-effective amendment no. 93 filed on February 24, 2021, accession number 0001133228-21-000883</u>](https://www.sec.gov/Archives/edgar/data/743861/000113322821000883/jhitii-html3345_ex99n.htm).<br>|
| 99.(o) | Not Applicable. |
| 99.(p) | &nbsp;&nbsp; Codes of Ethics. Code of Ethics dated January 1, 2008 (as revised April 1, 2024) of John Hancock Investment <br> Management LLC, John Hancock Variable Trust Advisers LLC, John Hancock Investment Management Distributors LLC, <br> John Hancock Distributors, LLC, and each open-end fund, closed-end fund, and exchange traded fund advised by a John <br> Hancock advisor. – [**<u>FILED HEREWITH</u>**](d29800dex99p.htm).<br>|
| 99.(p).1 | &nbsp;&nbsp; Code of Ethics for Global Wealth and Asset Management and General Account Investments (Manulife Investment <br> Management (US) LLC) dated April 1, 2024. – [<u>previously filed as exhibit 99.(p).1 to post-effective amendment no. 97 filed</u>](https://www.sec.gov/Archives/edgar/data/743861/000119312525036720/d916555dex99p1.htm)<br> [<u>on February 26, 2025, accession number 0001193125-25-036720</u>](https://www.sec.gov/Archives/edgar/data/743861/000119312525036720/d916555dex99p1.htm).<br>|
| 99.(p).2 | &nbsp;&nbsp; Code of Ethics for the Independent Trustees of the John Hancock Funds Effective December 6, 2005 Amended and <br> Restated January 1, 2026. – [**<u>FILED HEREWITH</u>**](d29800dex99p2.htm).<br>|
| 99.(q) | Power of Attorney dated December 11, 2025. – [**<u>FILED HEREWITH</u>**](d29800dex99q.htm). |

---

**1**

Prior to May 7, 2019, Manulife Investment Management (US) LLC was known as John Hancock Asset Management a division of Manulife Asset Management (US) LLC (formerly known as Sovereign Asset Management, LLC).

**Item 29. Persons Controlled by or Under Common Control with the Fund**

John Hancock Investment Management LLC is the Advisor to the Registrant. 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 ("MFC"), a publicly traded company based in Toronto, Canada. A corporate organization list is set forth below.

**C-3**

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![](g467671orgchart.jpg)

**C-4**

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**Item 30. Indemnification**

Indemnification provisions relating to the Registrant's Trustees, officers, employees and agents are set forth in Article IV of the Registrant's Declaration of Trust included as Exhibit (a) herein.

Under Section 12 of the Distribution Agreement, John Hancock Investment Management Distributors LLC has agreed to indemnify the Registrant and its Trustees, officers and controlling persons against claims arising out of certain acts and statements of John Hancock Investment Management Distributors LLC.

Section 9(a) of the By-Laws of John Hancock Life Insurance Company (U.S.A.) (the "Insurance Company") provides, in effect, that the Insurance Company will, subject to limitations of law, indemnify each present and former director, officer and employee of the Insurance Company who serves as a Trustee or officer of the Registrant at the direction or request of the Insurance Company against litigation expenses and liabilities incurred while acting as such, except that such indemnification does not cover any expense or liability incurred or imposed in connection with any matter as to which such person shall be finally adjudicated not to have acted in good faith in the reasonable belief that his action was in the best interests of the Insurance Company. In addition, no such person will be indemnified by the Insurance Company in respect of any final adjudication unless such settlement shall have been approved as in the best interests of the Insurance Company either by vote of the Board of Directors at a meeting composed of directors who have no interest in the outcome of such vote, or by vote of the policyholders. The Insurance Company may pay expenses incurred in defending an action or claim in advance of its final disposition, but only upon receipt of an undertaking by the person indemnified to repay such payment if he should be determined not to be entitled to indemnification.

Article V of the Limited Liability Company Agreement of John Hancock Investment Management LLC provides as follows:

"Section 5.06. Indemnity and Exculpation."

&nbsp;&nbsp;&nbsp;&nbsp;(a) No Indemnitee, and no shareholder, director, officer, member, manager, partner, agent, representative, employee or Affiliate of an Indemnitee, shall have any liability to the Company or to any Member for any loss suffered by the Company (or the Corporation) which arises out of any action or inaction by such Indemnitee with respect to the Company (or the Corporation) if such Indemnitee so acted or omitted to act (i) in the good faith (A) belief that such course of conduct was in, or was not opposed to, the best interests of the Company (or the Corporation), or (B) reliance on the provisions of this Agreement, and (ii) such course of conduct did not constitute gross negligence or willful misconduct of such Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall, to the fullest extent permitted by applicable law, indemnify each person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that he is or was, or has agreed to become, a Director or Officer, or is or was serving, or has agreed to serve, at the request of the Company (or previously at the request of the Corporation), as a director, officer, manager or trustee of, or in a similar capacity with, another corporation, partnership, limited liability company, joint venture, trust or other enterprise (including any employee benefit plan) (all such persons being referred to hereafter as an "Indemnitee"), or by reason of any action alleged to have been taken or omitted in such capacity, against all expenses (including attorneys' fees), judgments, fines and amounts paid in settlement actually and reasonably incurred by or on behalf of an Indemnitee in connection with such action, suit or proceeding and any appeal therefrom.

&nbsp;&nbsp;&nbsp;&nbsp;(c) As a condition precedent to his right to be indemnified, the Indemnitee must notify the Company in writing as soon as practicable of any action, suit, proceeding or investigation involving him for which indemnity hereunder will or could be sought. With respect to any action, suit, proceeding or investigation of which the Company is so notified, the Company will be entitled to participate therein at its own expense and/or to assume the defense thereof at its own expense, with legal counsel reasonably acceptable to the Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event that the Company does not assume the defense of any action, suit, proceeding or investigation of which the Company receives notice under this Section 5.06, the Company shall pay in advance of the final disposition of such matter any expenses (including attorneys' fees) incurred by an Indemnitee in defending a civil or criminal action, suit, proceeding or investigation or any appeal therefrom; provided, however, that the payment of such expenses incurred by an Indemnitee in advance of the final disposition of such matter shall be made only upon receipt of an undertaking by or on behalf of the Indemnitee to repay all amounts so advanced in the event that it shall ultimately be determined that the Indemnitee is not entitled to be indemnified by the Company as authorized in this Section 5.06, which undertaking shall be accepted without reference to the financial ability of the Indemnitee to make such repayment; and further provided that no such advancement of expenses shall be made if it is determined that (i) the Indemnitee did not act in good faith and in a manner he reasonably believed to be in, or not opposed to, the best interests of the Company, or (ii) with respect to any criminal action or proceeding, the Indemnitee had reasonable cause to believe his conduct was unlawful.

**C-5**

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;(e) The Company shall not indemnify an Indemnitee seeking indemnification in connection with a proceeding (or part thereof) initiated by such Indemnitee unless the initiation thereof was approved by the Board of Directors. In addition, the Company shall not indemnify an Indemnitee to the extent such Indemnitee is reimbursed from the proceeds of insurance, and in the event the Company makes any indemnification payments to an Indemnitee and such Indemnitee is subsequently reimbursed from the proceeds of insurance, such Indemnitee shall promptly refund such indemnification payments to the Company to the extent of such insurance reimbursement.

&nbsp;&nbsp;&nbsp;&nbsp;(f) All determinations hereunder as to the entitlement of an Indemnitee to indemnification or advancement of expenses shall be made in each instance by (a) a majority vote of the Directors consisting of persons who are not at that time parties to the action, suit or proceeding in question ("Disinterested Directors"), whether or not a quorum, (b) a majority vote of a quorum of the outstanding Common Shares, which quorum shall consist of Members who are not at that time parties to the action, suit or proceeding in question, (c) independent legal counsel (who may, to the extent permitted by law, be regular legal counsel to the Company), or (d) a court of competent jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;(g) The indemnification rights provided in this Section 5.06 (i) shall not be deemed exclusive of any other rights to which an Indemnitee may be entitled under any law, agreement or vote of Members or Disinterested Directors or otherwise, and (ii) shall inure to the benefit of the heirs, executors and administrators of the Indemnitees. The Company may, to the extent authorized from time to time by its Board of Directors, grant indemnification rights to other employees or agents of the Company or other persons serving the Company and such rights may be equivalent to, or greater or less than, those set forth in this Section 5.06. Any indemnification to be provided hereunder may be provided although the person to be indemnified is no longer a Director or Officer.

Insofar as indemnification for liability arising under the Securities Act of 1933, as amended ("Securities Act"), may be permitted to Trustees, officers and controlling persons of the Registrant pursuant to the provisions described in this Item 30, the Registrant has been advised that in the opinion of the Securities and Exchange Commission ("SEC") such indemnification is against public policy as expressed in the Securities Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred or paid by a Trustee, officer or controlling person of the Registrant in the successful defense of any action, suit or proceeding) is asserted by such Trustee, officer or controlling person in connection with the securities being registered, the Registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Securities Act and will be governed by the final adjudication of such issue.

**Item 31. Business and Other Connections of Investment Adviser**

See "Fund Details" in the Prospectuses and "Investment Advisory and Other Services" in the Statement of Additional Information for information regarding the business of John Hancock Investment Management LLC (the "Advisor") and Manulife Investment Management (US) LLC (the "Subadvisor"). For information as to the business, profession, vocation or employment of a substantial nature of each director, officer or partner of the Advisor and of the Subadvisor, reference is made to the respective Form ADV, as amended, filed under the Investment Advisers Act of 1940, each of which is incorporated herein by reference. The Investment Advisers Act of 1940 file number for the Advisor is 801-8124 and the file number for the Subadvisor is 801-42023.

**Item 32. Principal Underwriters**

(a) John Hancock Investment Management Distributors LLC acts as principal underwriter for the Registrant and also serves as principal underwriter or distributor of shares for John Hancock Bond Trust, John Hancock California Tax-Free Income Fund, John Hancock Capital Series, John Hancock Current Interest, John Hancock Funds II, John Hancock Funds III, John Hancock Investment Trust, John Hancock Municipal Securities Trust, John Hancock Sovereign Bond Fund, and John Hancock Strategic Series.

(b) The following table presents certain information with respect to each director and officer of John Hancock Investment Management Distributors LLC. The principal business address of each director and officer is 200 Berkeley Street, Boston, Massachusetts 02116.

---

| | | |
|:---|:---|:---|
| **Name** | &nbsp;&nbsp; **Positions And Offices**<br> **With the Underwriter**<br>| &nbsp;&nbsp; **Positions And Offices**<br> **With the Registrant**<br>|
| Kristie Feinberg | Director and Chairman | &nbsp;&nbsp; Trustee and President (Chief Executive Officer <br> and Principal Executive Officer)<br>|
| Andy McFetridge | Director | None |

---

**C-6**

------

---

| | | |
|:---|:---|:---|
| **Name** | &nbsp;&nbsp; **Positions And Offices**<br> **With the Underwriter**<br>| &nbsp;&nbsp; **Positions And Offices**<br> **With the Registrant**<br>|
| Gina Goldych Walters | Director | Vice President, Investments |
| Jeff Duckworth | President and Chief Executive Officer | None |
| Kinga Kapuscinski | Secretary and Chief Legal Counsel | Assistant Secretary |
| James Bogle | Financial and Operations Principal | None |
| Effie Georgountzos | Treasurer | None |
| Robert Hartigan | Chief Compliance Officer | None |
| Erica Blake | Assistant Secretary | None |
| Dan Carlson | Assistant Secretary | None |
| Khimmara Greer | Assistant Secretary | Assistant Secretary |

---

(c) None

**Item 33. Location of Accounts and Records**

All applicable accounts, books and documents required to be maintained by the Registrant by Section 31(a) of the Investment Company Act of 1940, as amended, and the Rules promulgated thereunder are in the possession and custody of the Registrant's custodian State Street Bank and Trust Company, One Congress Street, Suite 1, Boston, Massachusetts 02114-2016 and its transfer agent, John Hancock Signature Services, Inc., P.O. Box 219909, Kansas City, MO 64121-9909, with the exception of certain corporate documents and portfolio trading documents which are in the possession and custody of John Hancock Investment Management LLC (the "Advisor") at 200 Berkeley Street, Boston, Massachusetts, 02116, and Manulife Investment Management (US) LLC (the "Subadvisor") at 197 Clarendon Street, Boston, Massachusetts 02116. The Registrant is informed that all applicable accounts, books and documents required to be maintained by registered investment advisors are in the custody and possession of the Advisor and the Subadvisor.

**Item 34. Management Services**

None

**Item 35. Undertakings**

None

**C-7**

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**SIGNATURES**

Pursuant to the requirements of the Securities Act of 1933, as amended (the "1933 Act"), and the Investment Company Act of 1940, as amended, the Registrant certifies that it meets all of the requirements for effectiveness of this Post-Effective Amendment to the Registration Statement on Form N-1A under Rule 485(b) under the 1933 Act ("Registration Statement") and has duly caused this Registration Statement to be signed on its behalf by the undersigned, duly authorized, in the City of Boston and The Commonwealth of Massachusetts, on the 25<sup>th</sup> day of February, 2026.

---

| | |
|:---|:---|
| **JOHN HANCOCK INVESTMENT TRUST II** | **JOHN HANCOCK INVESTMENT TRUST II** |
| By: | /s/ Kristie M. Feinberg |
|  | Name: Kristie M. Feinberg<br> Title: President (Chief Executive Officer and Principal <br> Executive Officer) and Trustee<br>|

---

Pursuant to the requirements of the 1933 Act, this Registration Statement has been signed below by the following persons in the capacities and on the date(s) indicated.

---

| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| /s/ Kristie M. Feinberg | President<br> (Chief Executive Officer and Principal Executive Officer) and Trustee | February 25, 2026 |
| Kristie M. Feinberg | President<br> (Chief Executive Officer and Principal Executive Officer) and Trustee | February 25, 2026 |
| /s/ Fernando A. Silva | Chief Financial Officer<br> (Principal Financial Officer and Principal Accounting Officer) | February 25, 2026 |
| Fernando A. Silva | Chief Financial Officer<br> (Principal Financial Officer and Principal Accounting Officer) | February 25, 2026 |
| /s/ Andrew G. Arnott\* | Trustee | February 25, 2026 |
| Andrew G. Arnott | Trustee | February 25, 2026 |
| /s/ William K. Bacic\* | Trustee | February 25, 2026 |
| William K. Bacic | Trustee | February 25, 2026 |
| /s/ James R. Boyle\* | Trustee | February 25, 2026 |
| James R. Boyle | Trustee | February 25, 2026 |
| /s/ Noni Ellison McKee\* | Trustee | February 25, 2026 |
| Noni Ellison McKee | Trustee | February 25, 2026 |
| /s/ Grace K. Fey\* | Trustee | February 25, 2026 |
| Grace K. Fey | Trustee | February 25, 2026 |
| /s/ Dean C. Garfield\* | Trustee | February 25, 2026 |
| Dean C. Garfield | Trustee | February 25, 2026 |
| /s/ Christine L. Hurtsellers\* | Trustee | February 25, 2026 |
| Christine L. Hurtsellers | Trustee | February 25, 2026 |
| /s/ Deborah C. Jackson\* | Trustee | February 25, 2026 |
| Deborah C. Jackson | Trustee | February 25, 2026 |
| /s/ Hassell H. McClellan\* | Trustee | February 25, 2026 |
| Hassell H. McClellan | Trustee | February 25, 2026 |
| /s/ Kenneth J. Phelan\* | Trustee | February 25, 2026 |
| Kenneth J. Phelan | Trustee | February 25, 2026 |
| /s/ Frances G. Rathke\* | Trustee | February 25, 2026 |
| Frances G. Rathke | Trustee | February 25, 2026 |

---

**C-8**

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---

| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| /s/ Thomas R. Wright\* | Trustee | February 25, 2026 |
| Thomas R. Wright | Trustee | February 25, 2026 |

---

**\***

By: Power of Attorney.

---

| | |
|:---|:---|
| By: | /s/ Mara Moldwin |
|  | Mara Moldwin<br> Attorney-In-Fact<br>|

---

**\***

Pursuant to Power of Attorney filed herewith.

**C-9**

------

**Exhibit Index** 

---

| | |
|:---|:---|
| 99.(h).5 | &nbsp;&nbsp; [<u>Form of Expense Limitation Letter Agreement and Voluntary Expense Limitation Notice dated December 11, 2025</u>](d29800dex99h5.htm)<br> [<u>between the Registrant and the Advisor</u>](d29800dex99h5.htm)<br>|
| 99.(h).6 | [<u>Agreement to Waive Advisory Fees and Reimburse Expenses dated June 26, 2025</u>](d29800dex99h6.htm) |
| 99.(i) | [<u>Legal Opinion</u>](d29800dex99i.htm) |
| 99.(j) | [<u>Consent of Independent Registered Public Accounting Firm, PricewaterhouseCoopers LLP</u>](d29800dex99j.htm) |
| 99.(m).4 | [<u>Form of Rule 12b-1 Fee Waiver Letter Agreement dated December 11, 2025, between the Registrant and the Distributor</u>](d29800dex99m4.htm) |
| 99.(p) | &nbsp;&nbsp; [<u>Code of Ethics dated January 1, 2008 (as revised April 1, 2024) of John Hancock Investment Management LLC, John</u>](d29800dex99p.htm)<br> [<u>Hancock Variable Trust Advisers LLC, John Hancock Investment Management Distributors LLC, John Hancock Distributors,</u>](d29800dex99p.htm)<br> [<u>LLC, and each open-end fund, closed-end fund, and exchange traded fund advised by a John Hancock advisor</u>](d29800dex99p.htm)<br>|
| 99.(p).2 | &nbsp;&nbsp; [<u>Code of Ethics for the Independent Trustees of the John Hancock Funds Effective December 6, 2005 Amended and</u>](d29800dex99p2.htm)<br> [<u>Restated January 1, 2026</u>](d29800dex99p2.htm)<br>|
| 99.(q) | [<u>Power of Attorney dated December 11, 2025</u>](d29800dex99q.htm) |

---

**C-10**

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## Ex-99.(H)(5)

---

| | |
|:---|:---|
| **John Hancock Investment Management LLC**<br> 200 Berkeley Street<br> Boston, MA 02116 | ![LOGO](g18463g0223205411091.jpg) |

---

December 11, 2025

To the Trustees of

John Hancock Funds

200 Berkeley Street

Boston, MA 02116

Re: <u>Form of Expense Limitation Letter Agreement and Voluntary Expense Limitation Notice</u>

With reference to each of the Advisory Agreements approved by the Board or entered into by and between John Hancock Investment Management LLC (the "Adviser") and each of the trusts listed in <u>Appendix A</u> to this letter (each, a "Trust" and collectively, the "Trusts"), on behalf of each of their respective series listed in <u>Appendix A</u> (each, a "Fund" and collectively, the "Funds"), we hereby notify you as follows:

1. The Adviser agrees to contractually waive its advisory fees or, to the extent necessary, reimburse other expenses of each Fund as set forth in <u>Appendix B</u>, <u>Appendix</u> <u>C</u>, <u>Appendix D</u>, <u>Appendix E</u>, and <u>Appendix F</u> hereto.

2. The Adviser agrees to voluntarily waive its advisory fees or, to the extent necessary, reimburse other expenses of each Fund as set forth in <u>Appendix G</u>, <u>Appendix H</u>, <u>Appendix I</u>, and <u>Appendix J</u> hereto.

3. We understand and intend that the Trusts will rely on this undertaking in overseeing the preparation and filing of Post-effective Amendments to the Registration Statement on Form N-1A for the Trusts and the Funds with the Securities and Exchange Commission, in accruing each Fund's expenses for purposes of calculating its net and gross asset value per share, and for other purposes permitted under Form N-1A and/or the Investment Company Act of 1940, as amended, and we expressly permit the Trusts so to rely.

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| | |
|:---|:---|
| Very truly yours, | Very truly yours, |
| JOHN HANCOCK INVESTMENT MANAGEMENT LLC | JOHN HANCOCK INVESTMENT MANAGEMENT LLC |
| By: |  |
|  | Effie Georgountzos |
|  | Chief Financial Officer |

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Agreed and Accepted

on behalf of each applicable Trust listed in <u>Appendix A</u>

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| | |
|:---|:---|
| By: |  |
|  | Fernando A. Silva |
|  | Chief Financial Officer |

---

A copy of the document establishing each Trust is filed with the Secretary of The Commonwealth of Massachusetts. This Agreement is executed by the officer in his capacity as such and not as an individual and is not binding upon any of the Trustees, officers or shareholders of the Trusts individually but only upon the assets of the Funds.

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**<u>APPENDIX A</u>**

**TRUSTS** and Funds

**JOHN HANCOCK BOND TRUST** 

John Hancock High Yield Fund

John Hancock Investment Grade Bond Fund

John Hancock Short Duration Bond Fund

**JOHN HANCOCK CALIFORNIA TAX-FREE INCOME FUND** 

John Hancock California Municipal Bond Fund

**JOHN HANCOCK CAPITAL SERIES** 

John Hancock Classic Value Fund

John Hancock U.S. Global Leaders Growth Fund

**JOHN HANCOCK CURRENT INTEREST** 

John Hancock Money Market Fund

**JOHN HANCOCK EXCHANGE-TRADED FUND TRUST** 

John Hancock Core Bond ETF

John Hancock Core Plus Bond ETF

John Hancock Corporate Bond ETF

John Hancock Disciplined Value International Select ETF

John Hancock Disciplined Value Select ETF

John Hancock Dynamic Municipal Bond ETF

John Hancock Fundamental All Cap Core ETF

John Hancock Global Senior Loan ETF

John Hancock High Yield ETF

John Hancock International High Dividend ETF

John Hancock Mortgage-Backed Securities ETF

John Hancock Multifactor Developed International ETF

John Hancock Multifactor Emerging Markets ETF

John Hancock Multifactor Large Cap ETF

John Hancock Multifactor Mid Cap ETF

John Hancock Multifactor Small Cap ETF

John Hancock Preferred Income ETF

John Hancock U.S. High Dividend ETF

**JOHN HANCOCK INVESTMENT TRUST** 

John Hancock Balanced Fund

John Hancock Disciplined Value Global Long/Short Fund

John Hancock Disciplined Value International Fund

John Hancock Diversified Macro Fund

John Hancock Diversified Real Assets Fund

John Hancock Emerging Markets Equity Fund

John Hancock ESG Large Cap Core Fund

John Hancock Fundamental Equity Income Fund

John Hancock Fundamental Large Cap Core Fund

John Hancock Global Climate Action Fund

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John Hancock Global Environmental Opportunities Fund

John Hancock Infrastructure Fund

John Hancock International Dynamic Growth Fund

John Hancock Mid Cap Growth Fund

John Hancock Small Cap Core Fund

**JOHN HANCOCK INVESTMENT TRUST II** 

John Hancock Financial Industries Fund

John Hancock Regional Bank Fund

**JOHN HANCOCK MUNICIPAL SECURITIES TRUST** 

John Hancock High Yield Municipal Bond Fund

John Hancock Municipal Opportunities Fund

John Hancock Short Duration Municipal Opportunities Fund

**JOHN HANCOCK SOVEREIGN BOND FUND** 

John Hancock Bond Fund

**JOHN HANCOCK STRATEGIC SERIES** 

John Hancock Income Fund

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**<u>APPENDIX B</u>**

**Fund Level Contractual Limitation on Fund Level Expenses** 

For purposes of this Appendix:

The Adviser contractually 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 "Expenses" of the Fund exceed the percentage of average daily net assets (on an annualized basis) of the Fund as set forth in the table below. "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) Rule 12b-1 fees, (f) transfer agent fees and service fees, (g) shareholder servicing fees, (h) borrowing costs, (i) prime brokerage fees, (j) acquired fund fees and expenses paid indirectly, and (k) short dividend expense.

"Expense Limit" means the percentage of a Fund's average daily net assets (on an annualized basis) set forth below.

The current expense limitation agreement expires on the date specified, unless renewed by mutual agreement of the Fund and the Adviser based upon a determination that this is appropriate under the circumstances at that time.

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| | | |
|:---|:---|:---|
| **Fund** | **Limit on Fund Level<br>Expenses** | **Expiration Date of<br>Expense Limit** |
|  California Municipal Bond Fund | 0.44% | 9/30/2026 |
|  Disciplined Value Global Long/Short Fund | 1.53% | 7/31/2026 |
|  ESG Large Cap Core Fund | 0.75% | 2/28/2027<sup>1</sup> |
|  Fundamental Equity Income Fund | 0.71% | 7/31/2026 |
|  Global Climate Action Fund | 0.84% | 7/31/2026 |
|  Global Environmental Opportunities Fund | 0.84% | 2/28/2027<sup>1</sup> |
|  High Yield Municipal Bond Fund | 0.45% | 9/30/2026 |
|  International Dynamic Growth Fund | 0.83% | 2/28/2027<sup>1</sup> |
|  Investment Grade Bond Fund | 0.38% | 9/30/2026 |
|  Municipal Opportunities Fund | 0.50% | 9/30/2026 |
|  Short Duration Bond Fund | 0.29% | 9/30/2025 |
|  Short Duration Municipal Opportunities Bond Fund | 0.38% | 9/30/2026 |

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<sup>1</sup> At the December 9-11, 2025 meeting of the Board of Trustees of the Trust, the Adviser notified the Board of, and the Board approved, the renewal of the contractual limit on fund level expenses for ESG Large Cap Core Fund (0.75%); Global Environmental Opportunities Fund (0.84%); and International Dynamic Growth Fund (0.83%), each with an expiration date of February 28, 2027, each effective upon the current expiration date of February 28, 2026. 

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**<u>APPENDIX C</u>**

**Fund Level Contractual Limitation on Total Operating Expenses** 

For purposes of this Appendix:

The Adviser contractually 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 "Expenses" of the Fund exceed the percentage of average daily net assets (on an annualized basis) of the Fund as set forth in the table below. "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) borrowing costs, (f) prime brokerage fees, (g) acquired fund fees and expenses paid indirectly, and (h) short dividend expense.

"Expense Limit" means the percentage of a Fund's average daily net assets (on an annualized basis) set forth below.

The current expense limitation agreement expires on the date specified, unless renewed by mutual agreement of the Fund and the Adviser based upon a determination that this is appropriate under the circumstances at that time.

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| | | |
|:---|:---|:---|
| **Fund** | **Limit on Fund Level<br>Expenses** | **Expiration Date of<br>Expense Limit** |
|  John Hancock Core Bond ETF | 0.29% | 8/31/2026 |
|  John Hancock Core Plus Bond ETF | 0.36% | 8/31/2026 |
|  John Hancock Corporate Bond ETF | 0.29% | 8/31/2026 |
|  John Hancock Disciplined Value International Select ETF | 0.69% | 8/31/2026 |
|  John Hancock Disciplined Value Select ETF | 0.56% | 8/31/2026 |
|  John Hancock Dynamic Municipal Bond ETF | 0.39% | 8/31/2026 |
|  John Hancock Fundamental All Cap Core ETF | 0.72% | 8/31/2026 |
|  John Hancock Global Senior Loan ETF | 0.59% | 8/31/2026 |
|  John Hancock High Yield ETF | 0.52% | 8/31/2026 |
|  John Hancock International High Dividend ETF | 0.46% | 8/31/2026 |
|  John Hancock Mortgage-Backed Securities ETF | 0.39% | 8/31/2026 |
|  John Hancock Multifactor Large Cap ETF | 0.29% | 8/31/2026 |
|  John Hancock Multifactor Mid Cap ETF | 0.42% | 8/31/2025 |
|  John Hancock Multifactor Developed International ETF | 0.39% | 8/31/2026 |
|  John Hancock Multifactor Emerging Markets ETF | 0.49% | 8/31/2026 |
|  John Hancock Multifactor Small Cap ETF | 0.42% | 8/31/2026 |
|  John Hancock Preferred Income ETF | 0.54% | 8/31/2026 |
|  John Hancock U.S. High Dividend ETF | 0.34% | 8/31/2026 |

---

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**<u>APPENDIX D</u>**

**Class Level Contractual Total Operating Expense Limitations** 

For purposes of this Appendix:

"Expenses" means all the expenses of a class of shares of a Fund (including those expenses of the Fund attributable to such class) but excluding: (i) taxes; (ii) portfolio brokerage commissions; (iii) interest expense; (iv) litigation and indemnification expenses and other extraordinary expenses not incurred in the ordinary course of the Fund's business; (v) acquired fund fees and expenses paid indirectly; (vi) borrowing costs; (vii) prime brokerage fees; (viii) short dividend expense; and (ix) fees under any agreements or plans of the Fund dealing with services for shareholders and others with beneficial interests in shares of the Fund.

"Expense Limit" means the percentage of average daily net assets (on an annualized basis) attributable to a class of shares of the Funds set forth below.

The Adviser contractually agrees to waive advisory fees or, if necessary, reimburse expenses or make payment to a specific class of shares of the Fund (up to the amount of the expenses relating solely to such class of shares), in an amount equal to the amount by which the Expenses of such class of shares exceed the Expense Limit for such class set forth in the table below. The current expense limitation agreements expire on the dates specified, unless renewed by mutual agreement of the Fund and the Adviser based upon a determination that this is appropriate under the circumstances at that time.

The Expense Limit for the classes of shares of the Funds indicated below for the purposes of this Appendix shall be as follows:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Fund** | **Class<br>A** | **Class<br>C** | **Class<br>I** | **Class<br>R2** | **Class<br>R4** | **Class<br>R6** | **Class**<br>**NAV** | **Expiration Date<br>of Expense Limit** |
|  Fundamental Large Cap Core Fund | N/A | N/A | 0.78% | N/A | N/A | N/A | N/A | 2/28/2026 |
|  Investment Grade Bond Fund | N/A | N/A | 0.49% | N/A | N/A | N/A | N/A | 9/30/2026 |

---

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**<u>APPENDIX E</u>**

**Fund Level Contractual Limit on Other Expenses** 

For purposes of this Appendix:

The Adviser contractually 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 "Expenses" of the Fund exceed the percentage of average daily net assets (on an annualized basis) of the Fund as set forth in the table below. "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) advisory fees, (f) Rule 12b-1 fees, (g) transfer agent fees and service fees, (h) shareholder servicing fees, (i) borrowing costs, (j) prime brokerage fees, (k) acquired fund fees and expenses paid indirectly, and (l) short dividend expense.

"Expense Limit" means the percentage of a Fund's average daily net assets (on an annualized basis) set forth below.

The current expense limitation agreement expires on the date specified, unless renewed by mutual agreement of the Fund and the Adviser based upon a determination that this is appropriate under the circumstances at that time.

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| | | |
|:---|:---|:---|
| **Fund** | **Limit on Other**<br> **Expenses** | **Expiration Date of**<br> **Expense Limit** |

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**<u>APPENDIX F</u>**

**Fund Level Contractual Investment Management Fee Waivers** 

The Adviser agrees to reduce **John Hancock Diversified Real Assets Fund's** management fee by an annual rate of 0.05% of the Fund's average daily net assets. The reduction will continue until at least July 31, 2026.

The Adviser agrees to reduce **John Hancock Emerging Markets Equity Fund's** management fee by an annual rate of 0.15% of the Fund's average daily net assets. The reduction will continue until at least February 28, 2027.<sup>1</sup>

The Adviser agrees to reduce **John Hancock Mid Cap Growth Fund's** management fee by an annual rate of 0.07% of the Fund's average daily net assets. The reduction will continue until at least July 31, 2026.

<sup>1</sup> At the December 9-11, 2025 meeting of the Board of Trustees of the Trust, the Adviser notified the Board of, and the Board approved, the renewal of the advisory waiver for John Hancock Emerging Markets Equity Fund (0.15%), with an expiration date of February 28, 2027, effective upon the current expiration date of February 28, 2026. 

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**<u>APPENDIX G</u>**

**Class Level Voluntary Total Operating Expense Limitations\*** 

For purposes of this Appendix:

"Expenses" means all the expenses of a class of shares of the Fund (including those expenses of the Fund attributable to such class) but excluding: (i) taxes; (ii) portfolio brokerage commissions; (iii) interest expense; (iv) litigation and indemnification expenses and other extraordinary expenses not incurred in the ordinary course of the Fund's business; (v) acquired fund fees and expenses paid indirectly; (vi) short dividend expense; and (vii) fees under any agreements or plans of the Fund dealing with services for shareholders and others with beneficial interests in shares of the Fund.

"Expense Limit" means the percentage of average daily net assets (on an annualized basis) attributable to a class of shares of the Fund set forth below.

The Adviser voluntarily agrees to waive advisory fees or, if necessary, reimburse expenses or make payment to a specific class of shares of the Fund (up to the amount of the expenses relating solely to such class of shares), in an amount equal to the amount by which the Expenses of such class of shares exceed the Expense Limit for such class set forth in the table below.

The Expense Limit for the classes of shares of the Fund indicated below for the purposes of this Appendix shall be as follows:

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Fund** | **Classes**<br> **A** | **B** | **I** | **R2** | **R4** | **R5** | **R6** |
|  N/A |  |  |  |  |  |  |  |

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\* These fee waivers and/or expense reimbursements are voluntary and may be amended or terminated at any time by the Adviser on notice to the Trust

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**<u>APPENDIX H</u>**

**Fund Level Voluntary Limit on Other Expenses\*** 

For purposes of this Appendix:

The Adviser 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 the percentage of average daily net assets (on an annualized basis) of the Fund as set forth in the table below. "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) Rule 12b-1 fees, (g) transfer agent fees and service fees, (h) shareholder servicing fees, (i) borrowing costs, (j) prime brokerage fees, (k) acquired fund fees and expenses paid indirectly, and (l) short dividend expense.

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| | |
|:---|:---|
| **Fund** | **Limit on Other<br>Expenses** |
|  Balanced Fund | 0.20% |
|  Classic Value Fund | 0.20% |
|  Disciplined Value International Fund | 0.25% |
|  Diversified Macro Fund | 0.20% |
|  Emerging Markets Equity Fund | 0.25% |
|  Financial Industries Fund | 0.20% |
|  Fundamental Large Cap Core Fund | 0.20% |
|  Infrastructure Fund | 0.25% |
|  Regional Bank Fund | 0.20% |
|  Small Cap Core Fund | 0.20% |
|  Short Duration Bond Fund | 0.15% |
|  U.S. Global Leaders Growth Fund | 0.20% |
|  Bond Fund | 0.15% |
|  High Yield Fund | 0.15% |
|  Income Fund | 0.15% |
|  Money Market Fund | 0.15% |

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\* These fee waivers and/or expense reimbursements are voluntary and may be amended or terminated at any time by the Adviser on notice to the Trust.

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**<u>APPENDIX I</u>**

**Voluntary Money Market Fund Expense Limitation Agreement** 

For **John Hancock Money Market Fund**, the Adviser and its affiliates may voluntarily waive a portion of their fees (including, but not limited to, distribution and service (Rule 12b-1) fees) and/or reimburse certain expenses to the extent necessary to assist the Fund in attempting to avoid a negative yield. In addition, the Adviser and its affiliates have voluntarily agreed to waive a portion of their fees (including, but not limited to, Rule 12b-1 fees) and/or reimburse certain expenses to the extent necessary to assist the fund in attempting to achieve a positive yield. These fee waivers and/or expense reimbursements are voluntary and may be amended or terminated at any time by the Adviser on notice to the Trust.

## Ex-99.(H)(6)

June 26, 2025

To the Trustees of the John Hancock Group of Funds

200 Berkeley Street

Boston, MA 02116

Re: <u>Agreement to Waive Advisory Fees and Reimburse Expenses</u> 

John Hancock Variable Trust Advisers LLC (formerly John Hancock Investment Management Services, LLC) and John Hancock Investment Management LLC (formerly John Hancock Advisers, LLC) (collectively, the "Advisers"), each an investment adviser to the investment companies listed in Appendix A (collectively, the "John Hancock Funds"), hereby notify you as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Each Adviser agrees to waive its management fee for a John Hancock Fund portfolio, as applicable, or otherwise reimburse the expenses of that portfolio as set forth below (the "Reimbursement").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The Reimbursement shall apply to all John Hancock Fund portfolios in existence on the date of this Agreement, except those noted below, and to all future John Hancock Fund portfolios to which an Adviser agrees this Agreement should apply (the "Participating Portfolios").

The Reimbursement shall not apply to the following John Hancock Variable Insurance Trust portfolios:

Each Managed Volatility Portfolio

Each Lifestyle Portfolio

The reimbursement shall not apply to the following John Hancock Funds II portfolios:

Each Preservation Blend Portfolio (formerly, the Multi-Index Preservation Portfolios)

Each Multimanager Lifestyle Portfolio

Each Lifestyle Blend Portfolio (formerly, the Multi-Index Lifestyle Portfolios)

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Each Multimanager Lifetime Portfolio

Each Lifetime Blend Portfolio (formerly, the Multi-Index Lifetime Portfolios)

Alternative Asset Allocation Fund

The Reimbursement shall not apply to John Hancock Collateral Trust.

The Reimbursement shall not apply to the following John Hancock Strategic Series portfolios:

John Hancock Managed Account Shares Investment-Grade Corporate Bond Portfolio

John Hancock Managed Account Shares Securitized Debt Portfolio

John Hancock Managed Account Shares Non-Investment-Grade Corporate Bond Portfolio

John Hancock Managed Account Shares Non-Investment-Grade Municipal Bond Portfolio

John Hancock Managed Account Shares Bond Completion Portfolio

The Reimbursement shall not apply to the Manulife Private Credit Plus Fund.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The Reimbursement shall equal on an annualized basis:

0.01% of that portion of the aggregate net assets of all the Participating Portfolios that exceeds $75 billion but is less than or equal to $125 billion;

0.0125% of that portion of the aggregate net assets of all the Participating Portfolios that exceeds $125 billion but is less than or equal to $150 billion;

0.0150% of that portion of the aggregate net assets of all the Participating Portfolios that exceeds $150 billion but is less than or equal to $175 billion;

0.0175% of that portion of the aggregate net assets of all the Participating Portfolios that exceeds $175 billion but is less than or equal to $200 billion;

0.02% of that portion of the aggregate net assets of all the Participating Portfolios that exceeds $200 billion but is less than or equal to $225 billion; and

0.0225% of that portion of the aggregate net assets of all the Participating Portfolios that exceeds $225 billion.

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The amount of the Reimbursement shall be calculated daily and allocated among all the Participating Portfolios in proportion to the daily net assets of each such portfolio, except as noted. With respect to Participating Portfolios that pay advisory fees based on managed assets, "aggregate net assets" above is defined to include managed assets, as defined in each such Participating Portfolio's respective Advisory Agreement. With respect to John Hancock Marathon Asset-Based Lending Fund, "daily net assets" as described above shall be calculated based on the prior month's managed asset value and then adjusted as necessary following the end of each monthly period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The Reimbursement with respect to each Participating Portfolio expires on July 31, 2027 unless renewed by mutual agreement of the John Hancock Funds and the Advisers based upon a determination that this is appropriate under the circumstances at the time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. This Agreement is effective as of June 26, 2025 and supersedes the prior Letter Agreement from the Adviser to the Trustees relating to the same subject matter.

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| | |
|:---|:---|
| Very truly yours, | Very truly yours, |
| John Hancock Variable Trust Advisers LLC | John Hancock Variable Trust Advisers LLC |
| By: | /s/ Jay Aronowitz |
|  | Jay Aronowitz |
| John Hancock Investment Management LLC | John Hancock Investment Management LLC |
| By: | /s/ Jay Aronowitz |
|  | Jay Aronowitz |

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ACCEPTED BY:

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| | |
|:---|:---|
| John Hancock Asset-Based Lending Fund<br> John Hancock Asset Backed Securities Fund | John Hancock Investment Trust<br> John Hancock Investment Trust II<br> John Hancock Investors Trust |
| John Hancock Bond Trust | John Hancock Multi Asset Credit Fund |
| John Hancock California Tax-Free Income Fund | John Hancock Municipal Securities Trust<br> John Hancock Preferred Income Fund |
| John Hancock Capital Series | John Hancock Preferred Income Fund II |
| John Hancock Current Interest | John Hancock Preferred Income Fund III |
| John Hancock Exchange-Traded Fund Trust | John Hancock Premium Dividend Fund |
| John Hancock Financial Opportunities Fund | John Hancock Sovereign Bond Fund<br> John Hancock Strategic Series |
| John Hancock Funds II<br> John Hancock Funds III | John Hancock Tax-Advantaged Dividend Income Fund |
| John Hancock Hedged Equity & Income Fund | John Hancock Variable Insurance Trust |
| John Hancock Income Securities Trust |  |

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| | |
|:---|:---|
| On behalf of each of its series identified as a Participating Portfolio | On behalf of each of its series identified as a Participating Portfolio |
| By: | /s/ Kristie Feinberg |
|  | Kristie Feinberg |

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**Appendix A** 

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| | |
|:---|:---|
| John Hancock Asset-Based Lending Fund<br> John Hancock Asset Backed Securities Fund | John Hancock Investment Trust<br> John Hancock Investment Trust II<br> John Hancock Investors Trust |
| John Hancock Bond Trust | John Hancock Multi Asset Credit Fund |
| John Hancock California Tax-Free Income Fund | John Hancock Municipal Securities Trust |
| John Hancock Capital Series | John Hancock Preferred Income Fund |
| John Hancock Current Interest | John Hancock Preferred Income Fund II |
| John Hancock Exchange-Traded Fund Trust | John Hancock Preferred Income Fund III<br> John Hancock Premium Dividend Fund |
| John Hancock Financial Opportunities Fund | John Hancock Sovereign Bond Fund<br> John Hancock Strategic Series |
| John Hancock Funds II<br> John Hancock Funds III | John Hancock Tax-Advantaged Dividend Income Fund |
| John Hancock Hedged Equity & Income Fund | John Hancock Variable Insurance Trust |
| John Hancock Income Securities Trust |  |

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## Ex-99.(I)

Exhibit 99(i)

**JOHN HANCOCK INVESTMENT TRUST II** <br>**200 Berkeley Street** <br>**Boston, Massachusetts 02116**

February 25, 2026

To whom it may concern:

John Hancock Investment Trust II (the "Trust") is a voluntary association (commonly referred to as a "business trust") established under Massachusetts law with the powers and authority set forth under its Amended and Restated Declaration of Trust dated January 22, 2016, as amended from time to time (the "Declaration of Trust"). The Trustees of the Trust have the powers set forth in the Declaration of Trust, subject to the terms, provisions and conditions therein provided.

As provided in the Declaration of Trust, the Trustees may authorize one or more series or classes of shares, without par value, the number of shares of each series or class authorized is unlimited, and the Trustees may from time to time issue and sell or cause to be issued and sold shares of the Trust for cash or for property. All such shares, when so issued, shall be fully paid and non-assessable by the Trust.

This opinion is furnished in connection with the shares of the Trust to be offered and sold pursuant to Post-Effective Amendment No. 98 to the Trust's Registration Statement under the Securities Act of 1933, as amended, and Amendment No. 98 to its Registration Statement under the Investment Company Act of 1940, as amended, as may be supplemented from time to time (the "Registration Statement").

I am a member of the Massachusetts bar and have acted as internal legal counsel to the Trust in connection with the preparation of the Registration Statement. I have examined originals, or copies, certified or otherwise identified to my satisfaction, of such certificates, records and other documents as I have deemed necessary or appropriate for the purpose of this opinion.

Based upon the foregoing, and with respect to existing Massachusetts law (other than the Massachusetts Uniform Securities Act), only to the extent that Massachusetts law may be applicable and without reference to the laws of the other several states or of the United States of America, I am of the opinion that the Shares, when issued, sold and consideration therefore is paid in accordance with the Registration Statement, will be legally issued, fully paid and non-assessable by the Trust. In this regard, however, I note that the Trust is a Massachusetts business trust and, under certain circumstances, shareholders of a Massachusetts business trust could be held personally liable for the obligations of the Trust.

I consent to the filing of this opinion with the U.S. Securities and Exchange Commission as an exhibit to the Registration Statement.

Very truly yours,

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| |
|:---|
| /s/ Mara Moldwin |
| Mara Moldwin<br> Assistant Secretary and Counsel<br> John Hancock Investment Trust II<br>|

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## Ex-99.(J)

<u>CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM</u> 

We hereby consent to the incorporation by reference in this Registration Statement on Form N-1A of John Hancock Investment Trust II of our reports dated December 11, 2025, relating to the financial statements and financial highlights, of each of the funds listed in Appendix A (collectively, the "Funds"), which appear in John Hancock Investment Trust II's Certified Shareholder Report on Form N-CSR for the year ended October 31, 2025. We also consent to the references to us under the headings "Financial Highlights", "Independent Registered Public Accounting Firm" and "Policy Regarding Disclosure of Portfolio Holdings" in such Registration Statement.

/s/ PricewaterhouseCoopers LLP

Boston, Massachusetts

February 23, 2026

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| | | |
|:---|:---|:---|
|  **Appendix A** | **Appendix A** | **Appendix A** |
| **Trust** | **Fund Name** | **Report Date** |
| John Hancock Investment Trust II | John Hancock Financial Industries Fund | December 11, 2025 |
| John Hancock Investment Trust II | John Hancock Regional Bank Fund | December 11, 2025 |

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## Ex-99.(M)(4)

**John Hancock Investment Management Distributors LLC** 

200 Berkeley Street

Boston, MA 02116

![LOGO](g18463g0223205411091.jpg)

December 11, 2025

To the Trustees of

John Hancock Funds

200 Berkeley Street

Boston, MA 02116

Re: <u>Form of Rule 12b-1 Fee Waiver Letter Agreement</u>

With reference to each of the Distribution Plans entered into by and between John Hancock Investment Management Distributors LLC (the "Distributor") and each of the trusts listed in <u>Appendix A</u> to this letter (each, a "Trust" and collectively, the "Trusts"), on behalf of each of their respective series listed in <u>Appendix A</u> (each, a "Fund" and collectively, the "Funds"), we hereby notify you as follows:

1. The Distributor agrees to contractually waive and limit its Rule 12b-1 distribution fees and/or service fees to the extent necessary to achieve the aggregate Rule 12b-1 distribution and service fees of each Fund as set forth in <u>Appendix B</u> hereto. The expense waiver agreements expire on the dates specified, unless renewed by mutual agreement of the Fund and the Distributor based upon a determination that this is appropriate under the circumstances at that time.

2. We understand and intend that the Trusts will rely on this undertaking in overseeing the preparation and filing of Post-effective Amendments to the Registration Statements on Form N-1A for the Trusts and the Funds with the Securities and Exchange Commission, in accruing each Fund's expenses for purposes of calculating its net and gross asset value per share, and for other purposes permitted under Form N-1A and/or the Investment Company Act of 1940, as amended, and we expressly permit the Trusts so to rely.

---

| | |
|:---|:---|
| Sincerely, | Sincerely, |
| JOHN HANCOCK INVESTMENT MANAGEMENT DISTRIBUTORS LLC | JOHN HANCOCK INVESTMENT MANAGEMENT DISTRIBUTORS LLC |
| By: |  |
|  | Effie Georgountzos |
|  | Chief Financial Officer |

---

------

**John Hancock Investment Management Distributors LLC** 

200 Berkeley Street

Boston, MA 02116

![LOGO](g18463g0223205411091.jpg)

Agreed and Accepted

on behalf of each applicable Trust listed in <u>Appendix A</u>

---

| | |
|:---|:---|
| By: |  |
|  | Fernando A. Silva |
|  | Chief Financial Officer |

---

------

A copy of the document establishing each Trust is filed with the Secretary of The Commonwealth of Massachusetts. This Agreement is executed by the officer in his capacity as such and not as an individual and is not binding upon any of the Trustees, officers or shareholders of the Trusts individually but only upon the assets of the Funds.

------

**<u>APPENDIX A</u>**

**TRUSTS** and Funds

**JOHN HANCOCK BOND TRUST** 

John Hancock High Yield Fund

John Hancock Investment Grade Bond Fund

John Hancock Short Duration Bond Fund

**JOHN HANCOCK CALIFORNIA TAX-FREE INCOME FUND** 

John Hancock California Municipal Bond Fund

**JOHN HANCOCK CAPITAL SERIES** 

John Hancock Classic Value Fund

John Hancock U.S. Global Leaders Growth Fund

**JOHN HANCOCK CURRENT INTEREST** 

John Hancock Money Market Fund

**JOHN HANCOCK INVESTMENT TRUST** 

John Hancock Balanced Fund

John Hancock Disciplined Value International Fund

John Hancock Diversified Macro Fund

John Hancock Diversified Real Assets Fund

John Hancock Emerging Markets Equity Fund

John Hancock ESG Large Cap Core Fund

John Hancock Fundamental Equity Income Fund

John Hancock Fundamental Large Cap Core Fund

John Hancock Global Environmental Opportunities Fund

John Hancock Infrastructure Fund

John Hancock International Dynamic Growth Fund

John Hancock Mid Cap Growth Fund

John Hancock Small Cap Core Fund

**JOHN HANCOCK INVESTMENT TRUST II** 

John Hancock Financial Industries Fund

John Hancock Regional Bank Fund

**JOHN HANCOCK MUNICIPAL SECURITIES TRUST** 

John Hancock High Yield Municipal Bond Fund

John Hancock Municipal Opportunities Fund

John Hancock Short Duration Municipal Opportunities Fund

**JOHN HANCOCK SOVEREIGN BOND FUND** 

John Hancock Bond Fund

**JOHN HANCOCK STRATEGIC SERIES** 

John Hancock Income Fund

------

**<u>APPENDIX B</u>**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Fund** | **Class A** | **Class B** | **Class C** | **Class R4** | **Expiration Date of<br>Waiver/Limit** |
|  Balanced Fund | N/A | N/A | N/A | 0.15% | 2/28/2027<sup>1</sup> |
|  Disciplined Value International Fund | N/A | N/A | N/A | 0.15% | 2/28/2027<sup>1</sup> |
|  Emerging Markets Equity Fund | N/A | N/A | N/A | 0.15% | 2/28/2027<sup>1</sup> |
|  Fundamental Large Cap Core Fund | N/A | N/A | N/A | 0.15% | 2/28/2027<sup>1</sup> |
|  Bond Fund | N/A | N/A | N/A | 0.15% | 9/30/2026 |
|  California Municipal Bond Fund (formerly, California Tax-Free Income Fund) | N/A | N/A | 0.90% | N/A | 9/30/2026 |
|  High Yield Municipal Bond Fund | 0.15% | N/A | 0.90% | N/A | 9/30/2026 |
|  Income Fund | N/A | N/A | N/A | 0.15% | 9/30/2026 |
|  Investment Grade Bond Fund | N/A | N/A | N/A | 0.15% | 9/30/2026 |
|  Municipal Opportunities Fund (formerly, Tax-Free Bond) | 0.15% | N/A | 0.90% | N/A | 9/30/2026 |
|  Money Market Fund | 0.00% | N/A | 0.00% | N/A | 7/31/2026 |
|  Short Duration Municipal Opportunities Fund | 0.15% | N/A | 0.90% | N/A | 9/30/2026 |

---

<sup>1</sup> At the December 9-11, 2025 meeting of the Board of Trustees of the Trust, the Distributor notified the Board of, and the Board approved, the extension of the limit of the Rule 12b-1 distribution fees and/or services fees for Class R4 Shares (0.15%) of Balanced Fund, Disciplined Value International Fund, Emerging Markets Equity Fund, and Fundamental Large Cap Core Fund, each with an expiration date of February 28, 2027, each effective upon the current expiration date of February 28, 2026.

## Ex-99.(P)

**John Hancock Code of Ethics** 

**January 1, 2008** 

**Revised April 01, 2024** 

**This is the Code of Ethics for the following:** 

**John Hancock Investment Management, LLC** 

**and** 

**John Hancock Variable Trust Advisers, LLC,** 

**(each, a "John Hancock Adviser")** 

**and** 

**John Hancock Investment Management** 

**Distributors, LLC** 

**John Hancock Distributors, LLC,** 

**each open-end fund, closed-end fund, and exchange traded** 

**fund advised by a John Hancock Adviser** 

**(the "John Hancock Affiliated Funds"),** 

**(together, called "John Hancock")** 

**<u>Introduction</u>** 

John Hancock is required by law to adopt a Code of Ethics. The purpose of a Code of Ethics is to ensure that companies and their Covered Persons comply with all applicable laws and to prevent abuses in the investment advisory business that can arise when conflicts of interest exist between the employees of an investment advisor and its clients. By adopting and enforcing a Code of Ethics, we strengthen the trust and confidence entrusted in us by demonstrating that at John Hancock, client interests come first.

The Code of Ethics ("the Code") that follows is a code of ethics, adopted by John Hancock, and also adopted by other affiliated Manulife registered investment advisers under its Global Wealth and Asset Management and General Account Investments divisions. The Code represents a balancing of important interests. On the one hand, as registered investment advisers, the John Hancock Advisers owe a duty of undivided loyalty to their clients and must avoid even the appearance of a conflict that might be perceived as abusing the trust they have placed in John Hancock. On the other hand, the John Hancock Advisers do not want to prevent conscientious professionals from investing for their own accounts where conflicts do not exist or that are immaterial to investment decisions affecting the John Hancock Advisers' clients.

------

When conflicting interests cannot be reconciled, the Code makes clear that, first and foremost, Covered Persons owe a fiduciary duty to John Hancock clients. In most cases, this means that the affected employee will be required to forego conflicting personal securities transactions. In some cases, personal investments will be permitted, but only in a manner, which, because of the circumstances and applicable controls, cannot reasonably be perceived as adversely affecting John Hancock client portfolios or taking unfair advantage of the relationship John Hancock employees have to John Hancock clients.

The Code contains specific rules prohibiting defined types of conflicts. Since every potential conflict cannot be anticipated by the Code, it also contains general provisions prohibiting conflict situations. In view of these general provisions, it is critical that any Covered Person who is in doubt about the applicability of the Code in a given situation seek a determination from Chief Compliance Officer (CCO), designee, or the Code Administrator about the propriety of the conduct in advance.

It is critical that the Code be strictly observed. Not only will adherence to the Code ensure that John Hancock renders the best possible service to its clients, but it will also help to ensure that no individual is liable for violations of law.

Adherence to this policy is a fundamental condition of employment at John Hancock. Every Covered Person is expected to adhere to the requirements of the Code despite any inconvenience that may be involved. Any Covered Person failing to do so may be subject to disciplinary action, including financial penalties and termination of employment as determined by the CCO, designee, or Ethics Oversight Committee.

**Sub-adviser Compliance** 

A sub-adviser to a John Hancock Affiliated Fund has a number of Code of Ethics responsibilities:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The sub-adviser must have adopted their own code of ethics in accordance
with Rule 204A-1(b) under the Advisers Act which has been approved by the Board of Trustees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• On a quarterly basis, each sub-adviser certifies compliance with their
Code of Ethics or reports material violations if such have occurred; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each sub-advisor must report quarterly to the CCO (or designee), any material changes to its Code of Ethics.

**Adoption and Approval** 

The Board of a John Hancock Affiliated Fund, including a majority of the Fund's Independent Board Members, must approve the Code of Ethics of the Fund's adviser, sub-adviser or principal underwriter (if an affiliate of the underwriter serves as a Board member or officer of the Fund or the adviser) before initially retaining its services.

Each material change to a Code of Ethics of a sub-adviser to a fund must be approved by the Board of the John Hancock Affiliated Fund, including a majority of the Fund's Independent Board Members, no later than six months after adoption of the material change.

The Board may only approve the Code if they determine that the Code:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Contains provisions reasonably necessary to prevent the subadviser's Access Persons (as defined in Rule
17j-1 under the 1940 Act and Rule 204A-1 under the Advisers Act) from engaging in any conduct prohibited by Rule 17j-1 and 204A-1;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Requires the sub-adviser's Access Persons to make reports to at least the extent required in Rule 17j-1(d)
and Rule 204A-1(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Requires the sub-adviser to institute appropriate procedures for review
of these reports by management or compliance personnel (as contemplated by Rule 17j-1(d)(3) and Rule 204 A- 1(a)(3));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Provides for notification of the sub-adviser's Access Persons in
accordance with Rule 17j-1(d)(4) and Rule 204A-1(a)(5);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Requires the sub-adviser's Access Persons who are Investment
Personnel to obtain the pre- clearances required by Rule 17j-1(e); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Requires the sub-adviser's Access Persons to obtain the
pre-clearances required by Rule 204A- 1(c).

**Sub-adviser Reporting & Recordkeeping Requirements** 

Each sub-adviser must complete an annual Code of Ethics questionnaire and certification as to their compliance under Rule 17j-1 and summary of any violation to the relevant John Hancock Adviser, whom present summaries to the Board of Trustees annually during their 2<sup>nd</sup> quarter meeting (which is typically held in June).

**Reporting to the Board** 

No less frequently than annually, the Office of the CCO will furnish to the Board of Trustees a written report that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• describes issues that arose during the previous year under the Code of Ethics or the related procedures,
including, but not limited to, information about material Code or procedure violations, as well as any sanctions imposed in response to the material violations, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certifies that each entity, including the sub-advisers have adopted
procedures reasonably necessary to prevent its Access Persons from violating its Code of Ethics,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any material changes to the Code are presented to the Trustees within six months for their approval.

------

![LOGO](g466944page008.jpg)

Global Wealth and Asset Management and General Account Investments Code of Ethics

------

![LOGO](g466944page009.jpg)

Every day we make individual choices which reflect on the collective reputation of the Manulife and John Hancock brands. Our global standards for business ethics and our well-regarded reputation for integrity differentiates our brands in the marketplace, and are critical factors to our past and future success. We are proud of Manulife's culture of doing business the right way and underscore the need to continue to conduct our business in this manner. To this end, Global Wealth and Asset Management and General Account Investments have adopted this code of ethics to promote compliance with applicable law, as well as to address certain potential and actual conflicts of interest which can arise between our personal interests and the interests of our Clients. This code of ethics has been designed to reflect our values as a global organization and demonstrate the importance of the trust our Clients have placed in Manulife and the duties we owe to our Clients. Paul Lorentz President & CEO, Global Wealth and Asset Management Scott Hartz Chief Investment Officer Manulife Financial Corporation

------

**Table of Contents** 

------

---

| | |
|:---|:---|
| **1. [Purpose](#jh_coe466944_1)** | 7 |
| **2. [Code Applicability](#jh_coe466944_2)** | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 [GWAM AND GA ASSOCIATE](#jh_coe466944_3) | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 [GWAM AND GA ACCESS PERSON ("ACCESS PERSON")](#jh_coe466944_4) | 9 |
| **3. [Access Classification Levels and Applicable Rules](#jh_coe466944_5)** | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 [ACCESS CLASSIFICATION LEVELS – SCHEMATIC](#jh_coe466944_6) | 11 |
| **4. [General Principles of Business Conduct](#jh_coe466944_7)** | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 [GENERAL PRINCIPLES OF BUSINESS CONDUCT](#jh_coe466944_8) | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 [PERSONAL TRADING CONFLICTS OF INTEREST](#jh_coe466944_9) | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 [CONFIDENTIAL INVESTMENT INFORMATION](#jh_coe466944_10) | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 [MNPI RELATED TO MANULIFE SECURITIES AND MANULIFE AFFILIATED FUNDS](#jh_coe466944_11) | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5 [FALSE RUMOURS](#jh_coe466944_12) | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6 [SUPERVISORY OVERSIGHT](#jh_coe466944_13) | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7 [SPECIAL REQUIREMENTS FOR REAL ASSETS](#jh_coe466944_14) | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8 [SHARED BUSINESS ENTERTAINMENT AND GIFTS](#jh_coe466944_15) | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9 [PAY TO PLAY](#jh_coe466944_16) | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.10 [OUTSIDE BUSINESS ACTIVITIES](#jh_coe466944_17) | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.11 [REPORTING VIOLATIONS OF THE CODE](#jh_coe466944_18) | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.12 [INITIAL CODE CERTIFICATION](#jh_coe466944_19) | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.13 [QUARTERLY CODE CERTIFICATION](#jh_coe466944_20) | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.14 [ANNUAL CODE CERTIFICATION](#jh_coe466944_21) | 17 |
| **5. [Personal Trading Rules](#jh_coe466944_22)** | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 [NO LIABILITY FOR LOSSES](#jh_coe466944_23) | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 [WHAT SECURITIES ARE SUBJECT TO THE PERSONAL TRADING RULES?](#jh_coe466944_24) | 18 |

---

Code of Ethics Rev. 04.01.2024 3

------

**Table of Contents** 

------

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 [REQUIREMENT TO REPORT SECURITIES ACCOUNTS](#jh_coe466944_25) | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3.1 [MANAGED ACCOUNTS](#jh_coe466944_26) | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3.2 [MANAGED ACCOUNT QUALIFICATION PROCESS](#jh_coe466944_27) | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 [DUPLICATE TRANSACTION CONFIRMATIONS AND STATEMENTS](#jh_coe466944_28) | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 [U.S.-BASED PREFERRED BROKERAGE ACCOUNT REQUIREMENT](#jh_coe466944_29) | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 [INITIAL HOLDINGS REPORT AND CERTIFICATION](#jh_coe466944_30) | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 [QUARTERLY TRANSACTIONS REPORT AND CERTIFICATION](#jh_coe466944_31) | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 [REPORTING OF SECURITIES AS GIFTS, DONATIONS AND INHERITANCES](#jh_coe466944_32) | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 [ANNUAL HOLDINGS REPORT AND CERTIFICATION](#jh_coe466944_33) | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 [ACCESS PERSON'S RESPONSIBILITY REGARDING TRANSACTIONS AND HOLDINGS DATA](#jh_coe466944_34) | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11 [PRE-CLEARANCE APPROVAL REQUIREMENT](#jh_coe466944_35) | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12 [TERMS OF PRE-CLEARANCE](#jh_coe466944_36) | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.1 [SAME DAY APPROVAL WINDOW](#jh_coe466944_37) | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.2 [RESTRICTION ON SECURITIES UNDER ACTIVE CONSIDERATION](#jh_coe466944_38) | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.3 [LIMIT ORDERS AND SPECIAL ORDERS](#jh_coe466944_39) | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.5 [INITIAL PUBLIC OFFERINGS & INITIAL COIN OFFERINGS & PRIVATE PLACEMENTS](#jh_coe466944_40) | 24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.6 [INITIAL PUBLIC OFFERINGS, INITIAL COIN OFFERINGS & PRIVATE PLACEMENT APPROVALS](#jh_coe466944_41) | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13 [INVESTMENT CLUBS](#jh_coe466944_42) | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.14 [OWNERSHIP BAN: SECURITIES OF JOHN HANCOCK FUNDS SUB-ADVISERS](#jh_coe466944_43) | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.15 [RESTRICTIONS ON MANULIFE SECURITIES](#jh_coe466944_44) | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.15.1 [REQUIREMENT TO PRE-CLEAR SALES OF MFC SHARES IN THE GSOP PROGRAM](#jh_coe466944_45) | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.16 [SHORT TERM PROFIT BAN ("60 DAY RULE")](#jh_coe466944_46) | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17 [SAME DAY FIRM TRADE RULE](#jh_coe466944_47) | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17.1 [MARKET CAP SECURITIES EXCEPTION](#jh_coe466944_48) | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.18 [EXCESSIVE TRADING IS DISCOURAGED](#jh_coe466944_49) | 28 |

---

4 Code of Ethics Rev. 04.01.2024

------

**Table of Contents** 

------

---

| | |
|:---|:---|
| **6. [Additional Personal Trading Rules for Front-Office Access Persons](#jh_coe466944_50)** | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 [15 DAY FIRM TRADE RULE](#jh_coe466944_51) | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.1 [MARKET CAP SECURITIES EXCEPTION](#jh_coe466944_52) | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.2 [DE MINIMIS TRADING EXCEPTION](#jh_coe466944_53) | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 [INITIAL PUBLIC OFFERING BAN](#jh_coe466944_54) | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 [ADDITIONAL RESTRICTIONS – HONG KONG-BASED ACCESS PERSONS ONLY](#jh_coe466944_55) | 30 |
| **7. [Additional Personal Trading Rules for MIM Public Markets Front-Office Access Persons](#jh_coe466944_56)** | 31 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 [MIM PUBLIC MARKETS INVESTMENT TEAM HOLD UNTIL SOLD RULE](#jh_coe466944_57) | 31 |
| **8. [Administration of the Code](#jh_coe466944_58)** | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 [PENALTIES FOR CODE VIOLATIONS](#jh_coe466944_59) | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 [EXEMPTIONS AND APPEALS](#jh_coe466944_60) | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 [CODE AMENDMENTS](#jh_coe466944_61) | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 [PRIVACY](#jh_coe466944_62) | 33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 [CODE ADMINISTRATION](#jh_coe466944_63) | 34 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.1 [CONTACT](#jh_coe466944_64) | 34 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 [RECORDKEEPING](#jh_coe466944_65) | 34 |
|  **[Appendix A](#jh_coe466944_66)** | **35** |
|  [Definitions of Italicized Code of Ethics Terms](#jh_coe466944_67) | 35 |
|  **[Appendix B](#jh_coe466944_68)** | **41** |
|  [<sup>1</sup>Legal Entity Adoption of the Code](#jh_coe466944_69) | 41 |
|  **[Appendix C](#jh_coe466944_70)** | **43** |
|  [Securities Reporting & Pre-Clearance Summary Chart](#jh_coe466944_71) | 43 |

---

Code of Ethics Rev. 04.01.2024 5

------

![LOGO](g466944page016.jpg)

------

---

| | | |
|:---|:---|:---|
| **1. Purpose** | Global Wealth and Asset Management ("GWAM") and General Account Investments ("GA") and certain regulated entities listed in Appendix B (together the "*Firm*") have adopted this Code of Ethics (the "Code") to promote compliance with applicable law.1 | Global Wealth and Asset Management ("GWAM") and General Account Investments ("GA") and certain regulated entities listed in Appendix B (together the "*Firm*") have adopted this Code of Ethics (the "Code") to promote compliance with applicable law.1 |
|  | This Code is separate and distinct from the Manulife Code of Business Conduct and Ethics. It is a supplementary standard of business conduct for asset managers and their employees to prevent those abuses in the investment management business that can arise when certain conflicts of interest exist between an investment manager, including its personnel and affiliates, and accounts managed for its *Clients.* | By adopting and enforcing this Code, we strengthen the trust and confidence entrusted in us by demonstrating that at *Manulife, Client* interests come first. |

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 1 This Code has been designed to be applicable across GWAM and GA and certain regulated entities listed in Appendix B (together the "*Firm*"), however it is being implemented in a multi-phased, multi-year project. In the interim, *Associates* may be subject to another code of ethics. See Appendix B for the legal entities that have adopted this Code to date.<br>

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| | | |
|:---|:---|:---|
| **2. Code Applicability** | This Code is applicable to Associates of the Firm. Adherence to the General Principles of Business Conduct, and other provisions of this Code as applicable, are a condition of employment. | This Code is applicable to Associates of the Firm. Adherence to the General Principles of Business Conduct, and other provisions of this Code as applicable, are a condition of employment. |
|  | **2.1 GWAM AND GA ASSOCIATE** | **2.2 GWAM AND GA ACCESS PERSON ("ACCESS PERSON")** |
|  | *Associates are:* |  |
|  | (i) any partner, officer, director, or other person occupying a similar status or performing similar functions of the *Firm*<br>(ii) an employee of the *Firm*<br>(iii) any person who provides investment advice on behalf of the *Firm* and is subject to the supervision and control of the *Firm*<br>(iv) any person meeting the definition of *Access Person*<br>(v) an *Advisory Person of a Fund*<br>(vi) certain *Manulife Affiliate* persons who engage, directly or indirectly, in the *Firm's* investment advisory activities and<br>(vii) any other person who the *Code Administrator* deems an *Associate*. 2 | Additionally, *Associates* who have access to certain investment information and the investment decision-making process are further classified by the *Code Administrator* into one of three *Access Person* levels and therefore subject to the personal trading rules and obligations of their *Access Person* classification level. |

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 2 The *Code Administrator* may modify the requirements of this Code for those *Associates* whose covered status is expected not to exceed 90 days (for instance contractors, co-ops and interns) or in instances where a person is subject to another code of ethics or fiduciary duty and where the modification is not otherwise specifically prohibited by law. In reliance on an SEC no-action letter, the *Code Administrator* may include in the definition of "*Associate*" any person of a *Manulife Affiliate* who is engaged, directly or indirectly in the *Firm's* investment advisory activities.<br>

10. `

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**3.** **Access Classification Levels and Applicable Rules** 

*Associates* are categorized into one of the following Access Classification Levels for purposes of applying the rules in this Code:

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| | | |
|:---|:---|:---|
| ACCESS<br>CLASSIFICATION<br>LEVELS | DEFINITION | APPLICABLE<br>SECTION(S) OF<br>RULES IN THIS<br>CODE |
| Non-*Access Person* | *Associates* (as defined in Section 2.1) who are not deemed to be an *Access Person*. | Section 4 |
| Regular *Access Person* | Any Associate who, in connection with their regular functions or duties: (i) has or may have access to non-public information regarding the purchase or sale of securities or non-public information regarding the portfolio holdings of Client or Firm accounts (ii) has or may have access to material, non-public Securities information (including material non-public information regarding affiliated mutual funds, ETFs, etc).<br>Examples: Sales, Marketing, Product, Client Service, IT, Finance, Operations, Legal, Compliance, Risk, Audit and certain related support staff. | Section 4<br>Section 5 |
| General Account/ *Manulife* Investment Management Private Markets ("MIM Private Markets") Front- Office *Access Person* | Any GA or MIM Private Markets *Associate* who, in connection with their regular functions or duties, makes or participates in/supports making recommendations regarding the purchase or sale of *Securities* for *Client* or *Firm* accounts, or provides direct administrative support to a General Account/MIM Private Markets *Associate* who makes or participates in/supports recommendations.<br>Examples: Portfolio Management, Analysts, Traders, Credit, ALM, Real Estate, Commercial Mortgages and certain related support staff | Section 4<br>Section 5<br>Section 6 |
| *Manulife* Investment Management Public Markets ("MIM Public Markets") Front-Office *Access Person* | Any MIM Public Markets *Associate* who, in connection with their regular functions or duties, makes or participates in/supports making recommendations regarding the purchase or sale of *Securities* for *Client* or *Firm* accounts, or provides direct administrative support to a MIM Public Markets *Associate* who makes or participates in/supports recommendations.<br>Examples: Portfolio Managers, Analysts, Traders and certain related support staff | Section 4<br>Section 5<br>Section 6<br>Section 7 |

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**3.1** **ACCESS CLASSIFICATION LEVELS – SCHEMATIC** 

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| | | | | |
|:---|:---|:---|:---|:---|
| ACCESS CLASSIFICATION<br> LEVELS | GENERAL PRINCIPLES OF<br> BUSINESS CONDUCT<br> (SECTION 4) | PERSONAL TRADING<br> RULES<br> (SECTION 5) | ADDITIONAL PERSONAL<br> TRADING RULES<br> (SECTION 6) | ADDITIONAL PERSONAL<br> TRADING RULES<br> (SECTION 7) |
| Non-*Access Person* | ![LOGO](g466944dsp21.jpg) |  |  |  |
| Regular *Access Person* | ![LOGO](g466944dsp21.jpg) | ![LOGO](g466944dsp21.jpg) |  |  |
| GA/MIM Private Markets Front-Office *Access Person* | ![LOGO](g466944dsp21.jpg) | ![LOGO](g466944dsp21.jpg) | ![LOGO](g466944dsp21.jpg) |  |
| MIM Public Markets Front- Office *Access Person* | ![LOGO](g466944dsp21.jpg) | ![LOGO](g466944dsp21.jpg) | ![LOGO](g466944dsp21.jpg) | ![LOGO](g466944dsp21.jpg) |

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| | |
|:---|:---|
| **4. General Principles of Business** | The rules in this Section are applicable to all Access Classification Levels: |
|  | • Non-*Access Person* |
|  | • Regular *Access Person* |
|  | • GA/MIM Private Markets Front-Office *Access Person* |
| *Applicable to All Access Classification Levels* | • MIM Public Markets Front-Office *Access Person.* |
| *Applicable to All Access Classification Levels* | <br> **4.1 GENERAL PRINCIPLES OF BUSINESS CONDUCT**<br>|
| *Applicable to All Access Classification Levels* | Adherence to the General Principles of Business Conduct and other provisions of this Code is a condition of employment. Additionally, while the Code contains specific restrictions and limitations designed to prevent certain defined types of conflicts, the *Firm* recognizes that not every potential conflict of interest can be anticipated by the Code. Therefore, it is critical that the Code's General Principles of Business Conduct be followed in the absence of a specific Code requirement or limitation. |
|  | Each *Associate* is expected to adhere to a high standard of professional and ethical conduct and should be sensitive to situations that may give rise to an actual conflict or the appearance of a conflict with the accounts we manage, or situations that have the potential to cause damage to Manulife or a *Manulife Affiliates' reputation*. To this end, each *Associate* must act with integrity, honesty and in an ethical manner. The following General Principles of Business Conduct govern the activities of our business and every *Associate:* |
|  | • We have a fiduciary duty to place the interests of our *Clients* first. Consistent with our fiduciary duty, we must also never (i) employ any device, scheme or artifice to |

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defraud a *Client* (ii) make any untrue statement of a material fact to the *Client* or an account we manage or omit to state a material fact necessary in order to make the statements made to a *Client*, in light of the circumstances under which they are made, not misleading

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

• All personal *Securities* transactions must be conducted consistent with the applicable provisions of the Code, and in such a manner as to avoid any actual or potential conflict of interest and any other abuse of
trust or responsibility.

• We should not take inappropriate advantage of our position or engage in any fraudulent or manipulative practice (such as front-running or manipulative market timing) with respect to the accounts we manage.

• We must treat as confidential any non-public or confidential information concerning the identity of *Security* holdings and financial circumstances of the *Firm* or our *Clients.* 

• We must comply with all applicable laws including applicable domestic and foreign *Securities Law* s.

**4.2 PERSONAL TRADING CONFLICTS OF INTEREST** 

The Code represents a balancing of important interests. On the one hand, we owe a duty of loyalty to our *Clients*, and we must avoid even the appearance of a conflict that might be perceived as abusing the trust *Clients* have placed in us. On the other hand, the *Firm* does not want to prevent conscientious professionals from investing for their own accounts where conflicts do not exist or are immaterial to investment decisions affecting our *Clients* or the accounts we manage.

When conflicting interests cannot be reconciled, the Code makes clear that,

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first and foremost, *Associates* owe a fiduciary duty to our *Clients*, and the accounts we manage. In most cases, this means that the affected *Associates* will be required to forego conflicting *Securities* transactions. In some cases, personal investments will be permitted, but only in a manner, which, because of the circumstances and applicable controls, cannot reasonably be perceived as adversely affecting *Client* portfolios or taking unfair advantage of the account relationship.

**4.3 CONFIDENTIAL INVESTMENT INFORMATION** 

Information acquired by *Associates* in connection with their duties for the *Firm* including information regarding actual or contemplated investment decisions, non-public portfolio composition, proprietary research, research recommendations, investment recommendations, or *Firm* or *Client* interests, is confidential and may not be used in any way that might be contrary to, or in conflict with the interests of the accounts we manage. Additionally, *Associates* are reminded that certain *Clients* have specifically required their relationship with us to be treated confidentially.

**4.4 MNPI RELATED TO MANULIFE SECURITIES AND MANULIFE AFFILIATED FUNDS** 

Material, non-public information ("MNPI") related to *Manulife Securities, Manulife Affiliated Mutual Funds, or Affiliated Regulated Closed-End Funds* acquired by *Associates* in connection with their duties for the *Firm* is confidential and may not be used for direct or indirect personal or family benefit including personal trading.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**4.4.1 DISCLOSURE OF PORTFOLIO HOLDINGS PROCEDURES – JOHN HANCOCK FUNDS** 

The Boards of Directors/Trustees of all John Hancock Affiliated Funds advised by JHIM, LLC and/or JHVTA, LLC. have adopted procedures

designed to ensure non-public information regarding Fund portfolio holdings are not disclosed except in limited circumstances to any person, including affiliated persons, on a "need to know" basis (i.e., the person receiving the information must have a legitimate business purpose for obtaining the information prior to it being publicly available and you must have a legitimate business purpose for disclosing the information in this manner). Non-public information regarding Fund portfolio holdings is confidential and the intent of the procedures is to guard against selective disclosure of such information in a manner that would not be in the best interest of Fund shareholders. Please consult with the John Hancock Funds CCO for more information.

**4.5 FALSE RUMOURS** 

The *Securities Law*s prohibit the deliberate or reckless use of manipulative devices or activities with an intention to affect the *Securities* markets, including the intentional creation or spreading of false or unfounded rumors or other information. Accordingly, *Associates* may not communicate information regarding companies, *Securities*, or markets that they know to be false.

**4.6 SUPERVISORY OVERSIGHT** 

All *Associates* with managerial responsibility are responsible for the reasonable supervision of their staff to prevent and detect violations of this Code and applicable rules and regulations. Failure to perform adequate oversight can result in the manager being held personally liable by regulators for violations of the *Securities Law*s and the Code.

**4.7 SPECIAL REQUIREMENTS FOR REAL ASSETS** 

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*Associates* are prohibited from knowingly engaging in for (direct or indirect) personal or family benefit any of the following activities:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

• Employing, hiring, or contracting with vendors for the provision of goods or services to *Manulife* or *Manulife* -managed properties or businesses;

• Utilizing for personal purposes the paid or unpaid services of a *Manulife* or *Manulife* -managed property vendor (including the services of the vendor's employees);

• Purchasing or selling property adjacent to existing or proposed *Manulife* or *Manulife* -managed properties or businesses;

• Purchasing, selling, or transferring mineral or other land-related rights impacting existing or proposed *Manulife* or *Manulife* -managed properties or businesses;

• Leasing a real estate interest to or from a *Manulife* or *Manulife* - managed property; or

• Exploiting *Manulife* or *Manulife* - managed properties or assets (including rental space and equipment or supplies) for personal use.

**4.8 SHARED BUSINESS ENTERTAINMENT AND GIFTS** 

The *Firm* has adopted the "GLOBAL ENTERTAINMENT & GIFT POLICY." Although the *Firm* recognizes that the giving or receiving of shared business entertainment and modest

gifts is a customary way to strengthen business relationships, and with some restrictions, is a lawful and proper business practice, they have adopted the policy to:

• Protect *Associates* from being improperly influenced (or perceived to be improperly influenced) in the discharge of their responsibilities because of excessive or improper shared business entertainment or gifts
from a business partner or *Client*;

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• Ensure that the giving of shared business entertainment or gifts to business partners or *Clients* does not exclude the *Firm* from certain investment management and business opportunities; and

• Ensure that *Associates* do not engage in shared business entertainment or gift practices that constitute (or appear to constitute) a corrupt business practice, including bribery.

All *Associates* must abide by the specific standards and disclosure requirements of the "GLOBAL ENTERTAINMENT & GIFT POLICY."

Additionally, *Associates* are required to report their shared business entertainment and gift activity in *StarCompliance*, the Code of Ethics administrative system, as well as certify to their adherence to the "GLOBAL ENTERTAINMENT & GIFT POLICY" on a quarterly basis.

Certain associates may have additional requirements and/or restrictions regarding entertainment and gifts pursuant to specific legal entity policies in which they are covered associates, including Financial Industry Regulatory Authority ("FINRA") registered associates.

**4.9 PAY TO PLAY** 

The *Firm* has adopted the "PAY TO PLAY POLICY" to ensure that certain GWAM and GA legal entities (each a "U.S. Adviser") comply with applicable pay to play laws and are not disqualified from pursuing new government *Client* opportunities (including public pension fund *Clients*), or from receiving advisory compensation from existing government *Clients*.

The Policy outlines its applicability to certain U.S. Advisers and *Associates* of those U.S. Advisers that must comply with the specific standards and requirements of the policy.

Additionally, *Associates* are required to pre-clear and report their political contributions and certify to their adherence to the "PAY TO PLAY POLICY" in *StarCompliance* on a quarterly and annual basis.

**4.10 OUTSIDE BUSINESS ACTIVITIES** 

The *Firm* has established a reporting and pre-clearance process to identify and address certain actual or potential conflicts of interest related to an *Associate*'s outside business activities.

*Associates* are required to pre-clear and disclose in *StarCompliance* their outside employment positions, board or officer positions with a business or charitable organization, positions with portfolio companies or other portfolio advisory positions, positions on loan or creditor committees, positions with government or quasi-government bodies, and board or officer positions with industry or professional organizations (including any positions of influence that conflict with your role at the firm). This includes activities on both a paid and unpaid basis.

Additionally, *Associates* are required to certify that they have disclosed all outside business activities in *StarCompliance* on a quarterly and annual basis.

**4.11 REPORTING VIOLATIONS OF THE CODE** 

*Associates* who know or have reason to believe that the Code has been or may be violated must bring such actual or potential violations to the immediate attention of the *Code Administrator* and/or the relevant *Chief Compliance Officer*.

*Associates* are encouraged to communicate with the *Code Administrator* and/or the relevant *Chief Compliance Officer*, if they have a doubt about a provision of the Code

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pertinent to a specific situation,

business practice or potential conflict of interest.

It is a violation of the Code for an *Associate* to deliberately fail to report a violation or deliberately withhold relevant or material information concerning a violation of the Code.

No person will be subject to penalty or reprisal for reporting in good faith suspected violations of the Code.

Additionally, unethical, unprofessional, illegal, fraudulent or other questionable behavior may also be anonymously reported by visiting the confidential Manulife Ethics Hotline at <u>www.ManulifeEthics.com</u>.

**4.12 INITIAL CODE CERTIFICATION** 

Within 10 calendar days after designation as an Access Person, each Associate is required to certify in StarCompliance their initial receipt of the Code including that they have read and understood the Code and agree to comply with the applicable provisions of the Code.

**4.13 QUARTERLY CODE CERTIFICATION** 

Each *Associate* is required to certify in *StarCompliance* on a quarterly basis that they are in compliance with the applicable provisions of the Code.

**4.14 ANNUAL CODE CERTIFICATION** 

Each *Associate*, on an annual basis, is required to certify in *StarCompliance* that they have

read and understood the Code, have complied with the applicable provisions of the Code (or have disclosed any failure to comply with the provisions of the Code to the *Code Administrator*) during the past year.

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|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **5. Personal Trading Rules**<br> *Applicable to All*<br> *Access Persons* | The rules in this Section are applicable to the following Access Classification Levels:<br>• Regular Access Person<br>• General Account/MIM Private Markets Front-Office Access Person<br>• MIM Public Markets Front-Office Access Person |
|  | **5.1 NO LIABILITY FOR LOSSES**<br>*Manulife and/or Clients* will not be liable for any losses incurred or profits avoided by any Access Person or Household Family Member resulting from the implementation or enforcement of the Code. The definition of a *Household Family Member* includes an Access Person's spouse, significant other, minor children or other family members who also share the same household with the Access Person. Access Persons must understand that their ability (as well as the ability of their *Household Family Members*) to buy and sell Securities may be limited by the Code and that trading activity by the *Firm*, Clients and/or other *Manulife Affiliates* may affect the timing of when an Access Person (as well as a *Household Family Member*) can buy or sell a particular *Security*. |
|  | **5.2 WHAT SECURITIES ARE SUBJECT TO THE PERSONAL TRADING RULES?**<br>*Securities* in which the *Access Person* has a *Beneficial Interest* are subject to the Code's personal trading restrictions and requirements. An *Access* Person is deemed to have a *Beneficial Interest* in any Security where the *Access Person* controls or can directly or indirectly profit or share in the profit derived from a |

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transaction in a Security. An Access Person is presumed to have a *Beneficial Interest* in the following *Securities*:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

• *Securities* owned by an *Access Person* in their name;

• *Securities* owned by *Household Family Members*;

• *Securities* owned by an *Access Person* indirectly through an account or investment vehicle for their benefit, such as an IRA/RRSP/ RESP/ISA/SIPP, family trust, or family partnership;

• *Securities* in which the *Access Person* has a joint ownership interest, such as *Securities* owned in a joint brokerage account; and

• *Securities* over which the *Access Person* has discretion or gives advice (other than for a *Firm* or *Client* account). This includes Securities owned by trusts, private foundations, or other
charitable accounts for which the *Access Person* has investment discretion.

**5.3 REQUIREMENT TO REPORT SECURITIES ACCOUNTS** 

*Access Persons* are required to report the name of the broker, dealer, bank, or other entity with which the *Access Person* maintains an account in which any *Securities* are or can be held for the *Access Person*'s *Beneficial Interest* (including accounts of *Household Family Members*).

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*Access Persons* are required to report all *Securities* accounts within 10 calendar days of initially being designated an *Access Person*. After this initial report of *Securities* accounts, any *Securities* accounts opened in the future time must be reported no later than 10 calendar days following the opening of the account or prior to the first discretionary transaction in the account (whichever comes first).

The following is a non-exhaustive list of commonly reported *Securities* Accounts:

• Brokerage Accounts

• *Mutual Fund* Only Accounts

• Custodial *Securities* Accounts

• *Manulife* GSOP Plan Accounts

• Certain 529 Plans (plans affiliated with or plans with investment options managed by *Manulife* or a *Manulife* -affiliated entity)

• IRA Accounts

• Stock Purchase Plans

• Transfer Agent Accounts

• Variable Life or Annuity Insurance Policies with underlying *Affiliated Mutual Fund* investment options

• *Manulife* Loan Program *Mutual Fund* Account

• John Hancock Unified 401k Plan/ *Manulife* RPS

• Registered Savings Plan (RRSP/ RESP/TFSA)

• Uncertified Book Entry *Securities* 

• Physical possession of certified Securities

• Employee Stock Option Account

• U.K. Individual Savings Account (ISA)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

• U.K. Self Invested Pension Plan (SIPP)

As an *Access Person*, you are also required to inform any broker/dealer when you open a new account that you are employed by a financial institution and also whether you are registered with a broker/dealer. As an *Access Person*, you should refrain from undertaking personal investment transactions with the same individual *employee* at a broker-dealer firm with whom you conduct business with on behalf of the firm

**5.3.1 MANAGED ACCOUNTS** 

As outlined in Section 5.3 above, the requirement to report accounts in which any *Securities* are or can be held for the *Access Person's Beneficial Interest* includes Managed Accounts (accounts where a professional money manager is charged with sole discretionary authority over the account). However, *Securities* transactions in Managed Accounts may be exempt from Section 5.11:

Pre-Clearance Approval Requirement (below) provided the *Code Administrator* qualifies the account to be a Managed Account.

**5.3.2 MANAGED ACCOUNT QUALIFICATION PROCESS** 

The *Code Administrator* may qualify an account to be a Managed Account provided the *Access Person* furnishes a copy of the client Advisory Agreement for the Managed Account. The *Code Administrator* will review the agreement to determine if the account qualifies to be a Managed Account. Once the *Code Administrator* approves an account to be a Managed Account, any *Securities* transactions in the Managed Account are exempt from Section 5.11: Pre-Clearance Approval Requirement.

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**5.4 DUPLICATE TRANSACTION CONFIRMATIONS AND STATEMENTS** 

*Access Persons* must arrange for the *Code Administrator* to receive duplicate copies of trade confirmations of *Reportable Securities* transactions and periodic account statements for any *Reportable Securities* accounts in which the *Access Person* has a *Beneficial Interest* in, if the account holds, or has the ability to hold, *Reportable Securities*. This requirement also applies to the *Securities* confirmations and statements of *Household Family Members*.3

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**5.5 U.S.-BASED PREFERRED BROKERAGE ACCOUNT REQUIREMENT** 

U.S.-based *Access Persons* are required to maintain all *Reportable Securities* accounts (including the *Reportable Securities* accounts of *Household Family Members*) at one of the *firm's Preferred Brokers* unless the account has been qualified by the *Code Administrator* as an *Exempt Securities Account*. A current list of the *Firm's Preferred Brokers* can be found on *StarCompliance* or by contacting the *Code Administrator*.

Upon designation as an *Access Person*, a person has 45 calendar days to

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

(i) transfer all assets to a *Preferred Broker* and close the non-compliant account or (ii) qualify any non- compliant *Securities* account as an *Exempt Securities Account*.

**5.6 INITIAL HOLDINGS REPORT AND CERTIFICATION** 

After reporting all *Reportable Securities* accounts (as outlined in Section 5.3) *Access Persons* must file an Initial Holdings Report. This Initial Holdings Report is due within 10 calendar days after the person became an *Access Person* and the submitted information must be current as of a date no more than 45 calendar days prior to the date the person became an *Access Person*.

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| 3 | The *Code Administrator* may rely on the operating groups of *Manulife*/John Hancock for administration of trading activity limitations and monitoring of market timing policies for *Manulife Affiliated Mutual Funds*. To the extent the *Code Administrator* has ready access to *Securities* transaction and holdings information, the *Code Administrator* is not required to obtain duplicate paper confirmations or statements for such accounts.  |

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An *Access Person* is required to submit with their Initial Holdings Report a certification that they have disclosed or reported all required *Reportable Securities* holdings and all *Reportable Securities* accounts in which they have a *Beneficial Interest* (including *Household Family Member* accounts).

The Initial Holdings Report must include: (i) the title and type of each *Reportable Security* in which the *Access Person* has any *Beneficial Interest,* (ii) the exchange ticker symbol or CUSIP number and the number of shares or principal amount of each *Reportable Security* (each as applicable), (iii) the name of any broker, dealer, bank, or other entity with which the *Access Person* maintains an account in which any *Reportable Securities* are or can be held for the *Access Person*'s direct or indirect *Beneficial Interest*, and (iv) the date the report is submitted by the *Access Person*.

**5.7 QUARTERLY TRANSACTIONS REPORT AND CERTIFICATION** 

*Access Persons* must file a Quarterly Transaction Report that discloses certain information about each *Reportable Security* transaction in which they have (or as a result of the transaction acquired) a *Beneficial Interest* (including transactions for *Household Family Members*) during the quarter covered by the Quarterly Transaction Report.

Each *Access Person*'s Quarterly Transaction Report is due within 30 calendar days after the end of each calendar quarter. Each *Access Person*'s Quarterly Transaction report must also include a certification that the submitted Quarterly Transaction Report includes all information required to be reported. In connection with the Quarterly Transaction Report

Certification, *Access Persons* are required to certify to the accuracy of the listing of *Securities* accounts displayed in *StarCompliance*.

The Quarterly Transaction report must include: (i) the date of the transaction ("trade date"), (ii) the title of the *Reportable Security*, (iii) the exchange ticker symbol or CUSIP number, the interest rate and maturity date, the number of shares or principal amount of each *Reportable Security*, the type of transaction or acquisition, the price at which the transaction was effected (each as applicable), (iv) the name of any broker, dealer, bank, or other entity with or through which the transaction was effected, and (v) the date the report is submitted by the *Access Person*.

**5.8 REPORTING OF SECURITIES AS GIFTS, DONATIONS AND INHERITANCES** 

An *Access Person*'s gift or donation of a *Pre-Clearable Security* is considered a "sale" event (this includes gifts or donations by *Household Family Members*) and therefore is subject to pre-clearance approval prior to making the gift or donation. Refer to Section 5.11: Pre-Clearance Approval Requirement. Additionally, any approved gift or donation event of a *Reportable Security* must be accurately reflected in the next Quarterly Transaction Report (Refer to Section 5.7).

The receipt of a gift or inheritance of *Reportable Securities* should be promptly reported to the *Code Administrator* to ensure the new holding is accurately accounted for. However, the receipt of a gift or inheritance is not subject to pre- clearance.

**5.9 ANNUAL HOLDINGS REPORT AND CERTIFICATION** 

*Access Persons* must file an Annual Holdings Report.

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The Annual Holdings Report is due within 45 calendar days of December 31st and must be current as of a date no more than 45 calendar days prior to the date this information is reported. Each *Access Person* must submit each Annual Holdings Report with a certification that they have reported all required *Reportable Securities* holdings and *Securities* accounts for which the *Access Person* holds a *Beneficial Interest* (including the applicable holdings and accounts of *Household Family Members*).

The Annual Holdings Report must include: (i) the title and type of each *Reportable Security* in which the *Access Person* has any *Beneficial Interest*, (ii) the exchange ticker symbol or CUSIP number and the number of shares or principal amount of each *Reportable Security* (each as applicable), (iii) the name of any broker, dealer, bank, or other entity with which the *Access Person* maintains an account in which any *Reportable Securities* are or can be held for the *Access Person*'s direct or indirect *Beneficial Interest*, and (iv) the date the report is submitted by the *Access Person*.

**5.10 ACCESS PERSON'S RESPONSIBILITY REGARDING TRANSACTIONS AND HOLDINGS DATA** 

As a convenience to *Access Persons*, the *Code Administrator* works with certain brokers to obtain *Securities* transactions and holdings data to pre-populate Quarterly Transaction and Annual Holdings Reports in *StarCompliance* (where available). However, the pre-populated data may contain omissions or inaccuracies. It is each *Access Person*'s responsibility to contact the *Code Administrator* to correct any inaccurate transactions or holdings data prior to submitting a report or certification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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**5.11 PRE-CLEARANCE APPROVAL REQUIREMENT** 

*Access Persons* may not purchase, sell or otherwise acquire or dispose of any *Security* in which they have (or because of such transaction will establish) a *Beneficial Interest* without obtaining advance pre-clearance approval for such transaction from *StarCompliance* (or the *Code Administrator*) unless the *Security* transaction is exempt from the Code's pre-clearance requirement. Remember, *Access Persons* are required to obtain pre-clearance approval for all *Securities* transactions of persons who qualify as a *Household Family Member* of the *Access Person* unless the *Security* transaction is exempt from the Code's pre-clearance requirement.

Refer to APPENDIX C for a list of *Securities* and *Securities* transactions exempt from the pre-clearance requirement.

**5.12 TERMS OF PRE-CLEARANCE** 

During the pre-clearance process, *Access Persons* will be required to attest to the following terms of pre- clearance:

**5.12.1 SAME DAY APPROVAL WINDOW** 

The pre-clearance approval is valid only for the same day it is granted.

**5.12.2 RESTRICTION ON SECURITIES UNDER ACTIVE CONSIDERATION** 

Access Persons may not purchase, sell or otherwise dispose of any Security in which the Access Person has (or because of such transaction will establish) Beneficial Interest if the Access Person at the time of the transaction has actual knowledge that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

• the *Security* (or a related *Security*) is under *Active Consideration for Purchase or Sale* by or on behalf of the *Firm* or any *Client* account;

• the *Security* is on an MNPI Restricted Trading List; and/or

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• the *Access Person* is in possession of material non- public information regarding the *Security*.

**5.12.3 LIMIT ORDERS AND SPECIAL ORDERS** 

Due to the same-day approval window outlined in Section 5.12.1, multi-day special orders such as "good until cancelled orders" or "limit orders" are prohibited. "Day orders" (i.e., orders that automatically expire at the end of the trading day session) are allowed, however the onus is on the *Access Person* to check the status of day orders at the end of the trading day to ensure any orders that have not been executed are cancelled. If a trade order is left open beyond the same-day pre-clearance window, any resulting executed trade will constitute a Code violation.

**5.12.4 MIM PUBLIC MARKETS INVESTMENT TEAM HOLD UNTIL SOLD RULE** 

Please note this term of pre- clearance is **<u>only</u>** applicable to the following Classification Level: **MIM Public Markets Front-Office Access Persons.**

Refer to Section 7.1 – MIM Public Markets *Investment Team* Hold Until Sold Rule.

As outlined in Section 7.1, MIM Public Markets Front-Office Access Persons associated with an *Investment Team* (including Household Family Members) are not permitted to sell a holding if the same holding is held in a *Client* account managed by the MIM Public Markets Front-Office Access Person's *Investment Team*.

**5.12.5 INITIAL PUBLIC OFFERINGS & INITIAL COIN OFFERINGS & PRIVATE PLACEMENTS** 

As outlined in Section 5.11, Access Persons must obtain advance pre- clearance approval for transactions of reportable Securities. This includes Initial Public Offerings, Initial Coin Offerings, and Private Placements.

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Please note that the following Classification Levels may not participate in Initial Public Offerings (Refer to Section 6.2 – Initial Public Offering Ban):

• General Account/MIM Private Markets Front-Office *Access Person* 

• MIM Public Markets Front-Office *Access Person*.

**5.12.6 INITIAL PUBLIC OFFERINGS, INITIAL COIN OFFERINGS & PRIVATE PLACEMENT APPROVALS** 

As part of the pre-clearance process, pre-clearance requests for Initial Public Offerings, Initial Coin Offerings and Private Placements will be subject to the approval of the relevant Chief Investment Officer or designee.

Pre-clearance approvals for Initial Public Offerings, Initial Coin Offerings and Private Placements are valid for the duration of the subscription period.

**5.13 INVESTMENT CLUBS** 

*Access Persons* (including *Household Family Members*) are prohibited from participating or holding an interest in any *Investment Club*.

**5.14 OWNERSHIP BAN: SECURITIES OF JOHN HANCOCK FUNDS SUB-ADVISERS** 

Please note: This ownership ban is <u>only</u> applicable to the following Classification Level: **Regular Access Persons.**

Regular Access Persons are prohibited from owning securities of any sub-adviser of a John Hancock Affiliated Fund advised by JHIM, LLC and/or JHVTA, LLC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**5.15 RESTRICTIONS ON MANULIFE SECURITIES** 

The Corporate Law Department has a Policy entitled: Manulife Financial Corporation ("MFC"): Insider Trading & Reporting Policy. This Policy prohibits *Manulife* employees from speculating in MFC *Securities*. Speculation includes the purchase or sale of MFC *Securities* with the

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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intention of reselling or buying back in a relatively short period of time in the expectation of a rise or fall in the market price of such *Securities*, buying or selling options, or short selling. The Policy also outlines requirements for *Manulife* employees that are deemed to be "Reporting Insiders" and/or "Designated Employees." Questions related to this Policy and whether you have been deemed a "Reporting Insider" and/or "Designated Employees" should be directed to the Corporate Law Department or to the General Counsel.

Notwithstanding the above, *Access Persons* are subject to pre-clearance requirements for transactions in MFC *Securities*, just like any other *Security* (refer to Section 5.11: Pre-Clearance Approval Requirement).

**5.15.1 REQUIREMENT TO PRE-CLEAR SALES OF MFC SHARES IN THE GSOP PROGRAM** 

*Access Persons* <u>are</u> required to pre-clear sales of MFC Shares in the MFC Global Share Ownership Program (GSOP).

Refer to Section 5.11: Pre-Clearance Approval Requirement.

*Access Persons* are <u>not</u> required to pre- clear purchases of MFC Shares in the MFC GSOP.

**5.16 SHORT TERM PROFIT BAN ("60 DAY RULE")** 

*Access Persons* (including *Household Family Members*) cannot directly or indirectly profit from a discretionary purchase and sale of the *same Pre- Clearable Security* within 60 calendar days. However, Pre-Clearable *Securities* whose issuer's market capitalization is $5 Billion USD or more at the time of the transaction are exempt from the 60 Day Rule.

A voluntary transaction related to a derivative *Security* (including options) which results in a profit is permitted so long as the voluntary transaction occurs more than 60 calendar days after the initial related transaction event.

The following *Securities* activities are exempt from the 60-Day Rule:

![LOGO](g466944dsp37.jpg)

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• All money market fund transactions

• *Automatic Investment Plan* transactions (including payroll deduction purchases)

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• Dividend reinvestment purchase transactions

• Issuer *Pro Rata Discretionary Transactions* 

• Involuntary issuer transactions (i.e. stock dividends, stock splits/ reverse splits or other similar

• reorganizations or distributions, call of a debt *security*, and spin-offs of shares to existing holders)

• Automatic purchases into a default investment option by a retirement plan

• Other involuntary purchase or sales activity not at the direction of the *Access Person* or the *Access Person* 's *Household Family Member*.

Conversely, giving gifts and donations of *Securities* are considered "Sales" and are not exempt from the 60-Day Rule.

The *Code Administrator* in consultation with the relevant *Chief Compliance Officer* may approve waivers to the 60 Day Rule.

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![LOGO](g466944dsp39.jpg)

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**5.17 SAME DAY FIRM TRADE RULE** 

*Access Persons* (and *Household Family Members*) may not purchase, sell or otherwise acquire or dispose of any *Pre-Clearable Security* in which they have (or as a result of such transaction will establish) a *Beneficial Interest* if that same or Related *Pre-Clearable Security* traded in a *Client* or *Firm* account on the same day the *Access Person* (or *Household Family Member*) transacts unless (1) the *Access Person* has no actual knowledge that the same or Related *Pre-Clearable Security* is under *Active Consideration for Purchase or Sale* by an account and (2) the transaction can satisfy the following exception:

**5.17.1 MARKET CAP SECURITIES EXCEPTION** 

May permit the transaction if the *Access Person's* pre-clearance request is in the *Securities* of an issuer whose market capitalization is at least $5B USD or more.

If a *Client* or *Firm* account trades in a *Pre-Clearable Security* during the pre-clearance window and an *Access Person* successfully obtained pre-clearance approval of a trade, the *Access Person* may still be required to demonstrate that they did not know that the same or Related *Pre-Clearable Security* was under *Active Consideration for Purchase* or *Sale* for an account at the time of the personal trade. *Access Persons* failing to demonstrate to the *firm* "no knowledge" when requested may be required to sell any *Security* purchased and/or disgorge any profits realized as a result of a transaction being found by the *Firm* to have violated the Same Day Firm Trade Rule.

Please note that the following Access Person Classification Levels are subject to a stricter Firm Trade Rule. (Refer to Section 6.1 - 15 Day Firm Trade Rule.):

• General Account/MIM Private Markets Front-Office *Access Person* 

• MIM Public Markets Front-Office *Access Person*.

**5.18 EXCESSIVE TRADING IS DISCOURAGED** 

While active personal trading may not in and of itself raise issues under the *Securities Law*s, a high volume of personal trading by an *Access Person* can be time consuming and can increase the possibility of actual or apparent conflicts with portfolio transactions. Accordingly, high levels of discretionary personal trading activity by an *Access Person* is strongly discouraged and will be subjected to enhanced scrutiny including reporting to the *Ethics Oversight Committee*. Additionally, limitations may be imposed on the number of *Pre-Clearable Securities* pre-clearance requests permitted during a given period for *Access Persons*.

**5.19 INFORMATION BARRIERS** 

The *Firm* has adopted the "INFORMATION BARRIER POLICY" to establish, maintain, and enforce information barriers reasonably designed to meet its business needs and satisfy its contractual and regulatory obligations. In addition, the policy establishes safeguards and controls to ensure the integrity of these information barriers and prevent the improper transfer or sharing of sensitive information between business units.

*Access Persons* must comply with the specific standards and requirements of the "INFORMATION BARRIER POLICY".

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|:---|:---|:---|
| **6. Additional Personal Trading Rules for Front-Office Access Persons** | The rules in this Section are applicable to the following Access Classification Levels: | The rules in this Section are applicable to the following Access Classification Levels: |
| **6. Additional Personal Trading Rules for Front-Office Access Persons** | • General Account/MIM Private Markets Front-Office *Access Person* | • General Account/MIM Private Markets Front-Office *Access Person* |
| **6. Additional Personal Trading Rules for Front-Office Access Persons** | • MIM Public Markets Front-Office *Access Person.* | • MIM Public Markets Front-Office *Access Person.* |
| **6. Additional Personal Trading Rules for Front-Office Access Persons** | **6.1 15 DAY FIRM TRADE RULE** | shares. |
| <br> *Applicable to all General Account/MIM Private Markets Front-Office Access Persons and all MIM Public Markets Front-Office Access Persons* | Front-Office *Access Persons* (and *Household Family Members*) may not purchase, sell or otherwise acquire or dispose of any *Pre-Clearable Security* in which they have (or as a result of such transaction will establish) a *Beneficial Interest* if that same or Related *Pre-Clearable Security* traded in a *Client* or *Firm* account 7 calendar days before such a transaction (or will trade in a *Client* or *Firm* account 7 days following such a transaction) unless (1) the Front-Office *Access Person* has no actual knowledge that the same or Related | If a *Client* or *Firm* account trades in a *Pre-Clearable Security* during the pre-clearance window and a Front-Office *Access Person* successfully obtained pre-clearance approval of a trade, the Front-Office *Access Person* may still be required to demonstrate that they did not know that the same or Related *Pre-Clearable Security* was under Active Consideration for |
|  | *Pre-Clearable Security* is under *Active Consideration for Purchase or Sale* by an account and (2) the transaction can satisfy one of the following exceptions: |  |
|  | **6.1.1 MARKET CAP SECURITIES EXCEPTION** |  |
|  | May permit the transaction if the Front- Office Access Person's pre-clearance request is in the Securities of an issuer whose market capitalization is at least $5B USD or more. |  |
|  | **6.1.2 DE MINIMIS TRADING EXCEPTION** |  |
|  | May permit the transaction if all of the Front-Office *Access Person's* aggregate total same-day pre-clearance requests for the same or Related *Pre-Clearable Security* have a transaction market value of less than $25,000 USD and (in the case of equities) the same day transactions in the *Pre-Clearable Security* total no more than 500 equity |  |

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*Purchase* or *Sale* for an account at the time of the personal trade. Front-Office *Access Persons* failing to demonstrate to the Firm "no knowledge" when requested may be required to sell any *Security* purchased and/or disgorge any profits realized as a result of a transaction being found by the *Firm* to have violated the 15 Day Firm Trade Rule.

**6.2 INITIAL PUBLIC OFFERING BAN** 

Front-Office *Access Persons* may not directly or indirectly acquire a *Beneficial Interest* in a *Security* through an *Initial Public Offering* (IPO). Consequently Front-Office *Access Persons* (including *Household Family Members*) must wait to purchase newly-issued IPO *Securities* until the next business (trading) day following the offering date of the IPO.

**6.3 ADDITIONAL RESTRICTIONS – HONG KONG-BASED ACCESS PERSONS ONLY** 

*Access Persons* who are employees or *supporting staff* of SFC-licensed entities in Hong Kong must comply with the requirements in the "*Staff Ethics*" section of the *Fund Manager* Code of Conduct issued by the SFC.

Hong Kong-based Front-office *Access Persons* (and their Household Family Members) are prohibited from: (i) short selling any *Security*, (ii) delay in the settlement of personal transactions beyond the normal settlement time for the relevant market and (iii) cross trades between *Access Persons* and *Client accounts*. MPF Accounts held by Hong-Kong-based *Access Persons* are excluded from the commonly reported *Securities* Accounts listed in Section 5.3 of the Code, and domestic helpers are not regarded as *Household Family Members*.

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|:---|:---|
| **7. Additional Personal Trading Rules for MIM Public Markets Front-Office Access Persons**<br>*Applicable to all MIM Public Markets Front-Office Access Persons* | The rules in this Section are applicable to the following Access Classification Levels:<br>• MIM Public Markets Front-Office *Access Person*.<br>**7.1 MIM PUBLIC MARKETS INVESTMENT TEAM HOLD UNTIL SOLD RULE**<br>MIM Public Markets Front-Office *Access Persons* associated with an *Investment Team* (including *Household Family Members*) are not permitted to sell a *Pre- Clearable Security* holding in which they have a *Beneficial Interest* if (i) the same *Security* is held in a *Client* account managed by the MIM Public Markets Front-Office *Access Person's Investment Team* and (ii) the MIM Public Markets Front- Office *Access Person* (or *Household Family Member*) purchased the *Security* after the date of the Code's initial adoption or the date the person was named to the relevant *Investment Team* (whichever date is later). |

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| **8. Administration of the Code** | **8.1 PENALTIES FOR CODE VIOLATIONS**<br>Penalties for violating the *Securities Law*s can be severe, both for the individuals involved and their employers. A person can be subject to penalties even if they did not personally benefit from the violation. Penalties may include civil injunctions, payment of profits made or losses avoided ("disgorgement"), jail sentences, fines for the person committing the violation, and fines for the employer or other controlling person.<br>In addition, any violation of the Code is subject to the imposition of sanctions by the *Firm* as may be deemed appropriate under the circumstances by the *Firm*. These sanctions could include, without limitation, bans on personal trading (including *Household Family Member* trading), disgorgement of trading profits, and personnel action, including termination of employment, where appropriate.<br>**8.2 EXEMPTIONS AND APPEALS**<br>In cases of hardship, exemptions from Code provisions may be granted by the *Code Administrator*, in consultation with the relevant *Chief Compliance Officer*, where warranted by applicable facts and circumstances, if permitted by law, and if the *Code Administrator* and/or *Ethics Oversight Committee* determines an exemption would be in accordance with the spirit of the General Principles of the Code and the *Securities Law*s. *Associates* and *Access Persons* may direct their request for an exemption to the *Code Administrator* or the relevant *Chief Compliance Officer*. The *Code Administrator* and/ or *Ethics Oversight Committee* is also authorized to modify the personal trading provisions of this Code where local law would prohibit the application of a specific provision.<br>If an *Associate* or *Access Person* believes that a Code-related request for exemption has been incorrectly denied by the *Code Administrator* and/or *Ethics Oversight Committee*, or that a Code-related action is not warranted, they may make a written appeal of the |

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decision or action within 30-days of the decision or action to the *Ethics Oversight Committee*. The *Code Administrator* will arrange an appropriate forum or communication for the consideration of appeals.

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**8.3 CODE AMENDMENTS** 

The *Code Administrator*, in consultation with the relevant *Chief Compliance Officer*, is permitted to approve non-material amendments to the Code and the *Ethics Oversight Committee* (or relevant Board, if applicable) is responsible for approving any material amendments.

For certain *Affiliated Mutual Fund* and *Affiliated Registered Closed-End Fund Clients*, the respective Board of Trustees must approve any material changes to the Code within 6 months of the adoption of the material change in accordance with the requirements of SEC Rule 17j-1 under the Investment Company Act of 1940.

**8.4 PRIVACY** 

All confidential information received by the *Code Administrator* or Code service providers is kept confidential and will only be disclosed to others as required to administer this Code, or to report violations to the *Ethics Oversight Committee*, management, regulators, or other legal authority.

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![LOGO](g466944dsp47.jpg)

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**8.5 CODE ADMINISTRATION** 

The *Firm's* relevant *Chief Compliance Officers*, together with the *Code Administrator*, maintain responsibility for establishing policies and procedures for the administration of the Code; monitoring and testing for Code compliance; ensuring Code training is provided to *Associates* and *Access Persons* (to include an initial training upon being deemed an Access Person and an annual training thereafter); granting exemptions to any provision of the Code, on an individual or class basis; and considering and recommending material amendments to the Code to the *Ethics Oversight Committee* (or relevant Board, if applicable).

The *Ethics Oversight Committee* (or relevant Board, if applicable) retains the ultimate discretion as to the interpretation the Code's provisions in any given situation, rendering material sanctions for violations of the Code, and rendering final judgments on any *Associate*'s or *Access Person*'s appeal of any decision or ordinary sanction imposed by the *Code Administrator*.

**8.5.1 CONTACT** 

The *Code Administrator* can be contacted at The Code of Ethics, Global Center of Expertise - <u>INVDIVCodeofEthics@manulife.com</u>

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**8.6 RECORDKEEPING** 

The *Code Administrator* maintains or causes to be maintained, the following records: (1) a copy of the Code or any predecessor code of ethics which has been in effect during the most recent 7-year period; (2) a record of any violation of the Code, or any predecessor code of ethics, and of any action taken as a result of such violation in the 7-year period following the end of the fiscal year in which the violation took place; (3) a list of all persons currently or within the most recent 7-year period who were required to make reports pursuant to the Code (or any predecessor Code) and the person(s) who were responsible for reviewing these reports; (4) copies of all acknowledgements of each person's receipt of the Code, Initial and Annual Holdings Reports, Quarterly Transaction Reports, and duplicate brokerage confirmations and *Securities* account statements (as applicable) filed during the most recent 7-year period; and (5) a record of the approval of, and rationale supporting, the acquisition of *Securities* by *Access Persons* in an *Initial Public Offering* or *Limited Offering* for at least 7 years after the end of the fiscal year in which the approval is granted.

Code records will be maintained for the first 2 years in an office of the *Firm* (in paper or accessible electronically) and in an easily accessible place for the time period as required by any applicable regulations thereafter.

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**Appendix A** 

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**Definitions of Italicized Code of Ethics Terms** 

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|:---|:---|
| Access Person | *Access Persons* are any *Associate* who, in connection with their regular functions or duties: (i) has regular access to non-public information regarding the purchase or sale of *securities* or non-public information regarding the portfolio holdings of *Client* or *Firm* accounts, (ii) has a job function that relates to the making (or participating in making) of recommendations regarding the purchase or sale of *Securities* for *Firm* or *Client* accounts, or (iii) regularly has or may have access to material, non-public *securities* information. See Section 3: Access Classification Levels<br> and Applicable Rules. |
| Active Consideration for Purchase or Sale | A *Security* is under *Active Consideration for Purchase or Sale* once an analyst wishes to recommend or a portfolio manager forms a specific intent to purchase or sell a *Security* for a *Client* or *Firm* account. |
| Advisory Person of a Fund | An *Advisory Person of a Fund* is (i) any "*Access Person*" of the *Fund* (as defined by SEC Rule 17j- 1), (i) any director, officer, general partner, or employee of a *Fund* or its investment adviser (or of any company in a control relationship to the *Fund* or its investment adviser who, in connection with their regular functions or duties, makes, participates in, or obtains information regarding the purchase or sale of "covered *securities*" (as defined by SEC Rule 17j-1) by the *Fund*, or whose functions relate to the making of any recommendations with respect to such purchases or sales; or (iii) any natural person in a control relationship to the *Fund* or investment adviser who obtains information regarding recommendations made to the *Fund* with regard to the purchase or sale of covered *securities*. Note: *Advisory Persons of a Fund* that are also personnel of John Hancock Investment Management, LLC ("JHIM LLC") are covered under a separate joint *Fund* and JHIM LLC code of ethics. Additionally, *Advisory Persons of a Fund* that are also independent trustees of a *Fund* are covered under a separate *Fund* independent trustee code of ethics. |
| Affiliated Mutual Fund | Any *Mutual Fund* for which *Manulife* serves as an investment adviser (or sub-adviser) or whose investment adviser (or sub-adviser) controls, is controlled by, or is under common control with *Manulife*. (e.g., *Manulife* or John Hancock *Mutual Funds*). |
| Affiliated Registered Closed-End Fund | Any U.S. registered *Closed-End Investment Company* or business development company for which *Manulife* serves as an investment adviser (or sub-adviser) (e.g., John Hancock GA Mortgage Trust, etc). |
| Associate | *Associates* are: (i) any partner, officer, director, or other person occupying a similar status or performing similar functions of the *Firm* (ii) an employee of the *Firm* (iii) any person who provides investment advice on behalf of the *Firm* and is subject to the supervision and control of the *Firm*<br> (iv) any person meeting the definition of *Access Person*; (v) an *Advisory Person of a Fund*; (vi) certain *Manulife Affiliate* persons who engage, directly or indirectly, in the *Firm's* investment advisory activities; and (vii) any other person who the *Code Administrator* deems an *Associate*.<br> See Section 3.1. |
| Automatic Investment Plan | A program in which regular periodic purchases (or withdrawals) are made automatically in (or from) investment accounts in accordance with a predetermined schedule and allocation. Examples include automatic dividend reinvestment plans and payroll deduction purchase plans. |

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|:---|:---|
| Beneficial Interest | An *Access Person* is deemed to have a *Beneficial Interest* in any transaction in which the *Access Person* controls or has the opportunity to directly or indirectly profit or share in the profit derived from the *Securities* transacted. An *Access Person* is presumed to have a *Beneficial Interest* in the following *Securities* and related transaction activities: (1) *Securities* owned by an *Access Person* in their name; (ii) *Securities* (and *Securities* accounts) owned by *Household Family Members*; (iii) *Securities* owned by an *Access Person* indirectly through an account or investment vehicle for their benefit, such as an IRA/RRSP/RESP/ISA/SIPP, family trust or family partnership; (iv) *Securities* owned in which the *Access Person* has a joint ownership interest, such as *Securities* owned in a joint brokerage account; and (v) *Securities* over which the *Access Person* has discretion or gives advice (other than *Firm* or *Client* accounts) and includes *Securities* owned by trusts, private foundations or other charitable accounts for which the *Access Person* has investment discretion. *Beneficial Interest* is interpreted in the same manner under the Code as it would be under Rule 16a-1(a)(2) under the U.S. *Securities* Exchange Act of 1934. |
| Chief Compliance Officer | The term *Chief Compliance Officer* refers to the *Chief Compliance Officer* of each applicable entity adopting this Code. |
| Client | For purposes of this Code, the term "*Client*" means the specific person or entity that has an investment advisory or investment sub-advisory services agreement (or supervised investment delegation affiliate arrangement) with a specific entity adopting this Code. The term "*Client*" also includes a Fund. |
| Closed-End Investment Company | A *Closed-Fund Investment Company* is a registered investment company that issues a fixed number of shares and is usually traded on a major stock exchange. In contrast, an open- end investment company (i.e., *mutual fund*) continuously offers new shares to the public and repurchases shares at net asset value. Note: Many REITs are *Closed-End Investment Companies*. |
| Code Administrator | *Code Administrator* refers to the person (or persons) primarily responsible for the day-to-day administration of the Code. The Code Administrator can be contacted at The Code of Ethics, Global Center of Expertise - <u>INVDIVCodeofEthics@manulife.com</u>. |
| Cryptocurrencies | A *cryptocurrency* (or crypto currency) is a digital asset designed to work as a medium of exchange that uses strong cryptography to secure financial transactions, control the creation of additional units, and verify the transfer of assets. *Cryptocurrencies* use decentralized control as opposed to centralized digital currency and central banking systems. The decentralized control of each *cryptocurrency* works through distributed ledger technology, typically a blockchain, that serves as a public financial transaction database. |
| Direct Obligations of the Government of the<br> U.S. or U.K. | Any *Security* directly issued or guaranteed as to principal or interest by the United States. Examples of direct obligations include Cash Management Bills, Treasury Bills, Notes and Bonds, and STRIPS. It is important to note that Federal National Mortgage Association (Fannie Mae), and Federal Home Loan Mortgage Corporation (Freddie Mac) *Securities* are not Direct Obligations of the Government of the United States. Direct Obligations of the U.K. refers to the following list of *Securities* issued and guaranteed by the United Kingdom Treasury: Premium Savings Bonds, Index Linked Savings Certificates, Fixed Interest Savings Certificates, Guaranteed Equity Bonds, Capital Bonds, Children's Bonus Bonds, Fixed Rate Savings Bonds, Income Bonds, and Pensioners Guaranteed Income Bonds. Refer to M&G Investment Management Ltd. SEC No-Action Letter (Sept. 10, 2002). |
| Ethics Oversight Committee | The *Ethics Oversight Committee* is an ad hoc or standing compliance committee composed of *Code Administrator* personnel, relevant *Chief Compliance Officers* and certain senior management. |

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| Exchange-Traded Fund (ETF) | An *Exchange-Traded Fund* (ETF) is an investment fund traded on stock exchanges. An ETF holds assets such as stocks, commodities or bonds. Most ETF's track an index, such as a stock index or bond index. ETF transactions require annual and quarterly reporting, as well as advance pre- clearance approval. Refer to APPENDIX C for further information on reporting ETF transactions and holdings. |

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| Exempt Securities Accounts | With written approval from the *Code Administrator*, U.S.-based *Access Persons* (and *Household Family Members*) subject to the *Preferred Broker* Requirement of Section 5.5 are permitted to maintain a *Securities* account with an entity other than with a *Preferred Broker*, if the *Securities* account can meet one of the following exemptions: (i) it contains only *Securities* that can't be transferred; (ii) it exists solely for products or services that one of the *Preferred Brokers* cannot provide; (iii) it exists solely because your spouse's or significant other's employer prohibits external covered accounts; (iv) it is managed by a third-party registered investment adviser; (v) it is restricted to trading interests in 529 College Savings Plans; (vi) it is associated with an ESOP (employee stock option plan) or an ESPP (employee stock purchase plan); (vii) employee<br> sponsored phantom stock or option plan; (viii) it is required by a direct purchase plan, a dividend reinvestment plan, or an *Automatic Investment Plan* with a public company in which regularly scheduled investments are made or planned; (ix) it is a *Mutual Fund* only account; (x) it is required by a trust agreement; (xi) it is *associate*d with an estate of which the *Access Person* is the executor, but not a beneficiary, and involvement with the account is temporary; (xii) transferring the account would be inconsistent with other applicable rules; or (xii) other exception approved by<br> the *Code Administrator*. |
| Firm | Global Wealth and Asset Management ("GWAM") and General Account Investments ("GA") business groups and the entities listed in Appendix B of this Code. |
| Fund(s) | *Fund* (or collectively Funds) means the John Hancock GA Mortgage Trust, Manulife Private Credit Fund, and John Hancock GA Senior Loan Trust. |
| High Quality Short Term Debt Instrument | Any instrument that has a maturity at issuance of less than 366 days and that is rated in one of the two highest rating categories by a nationally recognized rating organization (e.g., S&P, Moody's, Fitch, A.M. Best). |
| Household Family Member | An *Access Person*'s spouse, "significant other," minor children, or other family member who also shares the same household with the *Access Person*. An *Access Person*'s "significant other" is defined as a person who (i) shares the same household with the *Access Person*; (ii) shares living expenses with the *Access Person*; and (iii) is in a committed personal relationship with the *Access Person* and there is an intention to remain in the relationship indefinitely.<br>The *Code Administrator*, after reviewing all the pertinent facts and circumstances, may determine, if not prohibited by applicable law, that an indirect *Beneficial Interest* over *Securities* held by members of the *Access Person*'s *Household Family Members* does not exist or is too remote for purposes of the Code's requirements. |
| Initial Coin Offering | An *Initial Coin Offering* (ICO) is the *cryptocurrency* industry's equivalent to an *Initial Public Offering* (IPO) (see IPO definition below). ICOs act as a way to raise funds, where a company looking to raise money to create a new coin, app, or service launches an ICO. Interested investors can buy into the offering and receive a new *cryptocurrency* token issued by the company. This token may have some utility in using the product or service the company is offering, or it may just represent a stake in the company or project. |
| Initial Public Offering | An offering of *Securities* registered under the U.S. *Securities* Act of 1933 (or comparable non-U.S. registration statute or regime), the issuer of which, immediately before the registration, was not subject to the reporting requirements of Sections 13 or 15(d) of the U.S. *Securities* Exchange Act of 1934 (or comparable non-U.S. compulsory reporting requirements). |
| Investment Club | A group of people who pool their assets in order to make joint decisions (typically a vote) on which *Securities* to buy, hold or sell. |

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| | |
|:---|:---|
| Investment Team | An individual *Investment Team* describes the grouping of analysts and portfolio managers who make or participate in making recommendations regarding the purchase or sale of *securities* for designated *Client* accounts. The *Code Administrator* or CCO may also assign certain traders to specific *Investment Teams* if the trader regularly participates in the *Security* recommendation process with the analysts or portfolio managers. |
| Limited Offering | A *Securities* offering that is exempt from registration under the U.S. *Securities* Act of 1933, pursuant to Section 4(2) or Section 4(6) or pursuant to Rule 504, Rule 505, or Rule 506 under the *Securities* Act of 1933, or equivalent foreign statute or regulation. Also known as a *private placement Security* (e.g., private investment *funds*, "hedge *funds*," limited partnerships, etc.) |
| Manulife | *Manulife* Financial Corporation. |
| Manulife Affiliate | All persons or entities controlled by *Manulife*. |
| Mutual Fund | (a) Any U.S. registered open-end investment management company (i.e., *mutual fund*); or<br>(b) a Canadian or foreign regulated *mutual fund* (UCITs etc.) which meets the following 4 requirements: (i) redemption on demand at the net asset value of *fund* shares, (ii) forward pricing reflecting the net asset value of *fund* shares, (iii) daily calculation of the *fund*'s net asset value<br> in a manner consistent with principles and rules adopted under the Investment Company Act of 1940, and (iv) absence of a secondary market. Refer to SEC No-Action Letter, Manufacturers<br> Adviser Corp., Sept. 10, 2002. |
| No Direct or Indirect Control Over Account | Purchases, sales or dispositions of *Securities* over which a person has no direct or indirect influence or control (e.g., a "blind trust" or certain managed accounts which the *Access Person* has obtained from the *Code Administrator* a written exemption). |
| Pre-Clearable Security | All *Securities* except those *Securities* listed on APPENDIX C of the Code as exempt from the pre- clearance requirements of the Code. |
| Preferred Brokers | A current list of *Preferred Brokers* can be found on *StarCompliance* or by contacting the *Code Administrator*. Refer to Section 5.5 for further information regarding the U.S.-Based *Preferred Broker*age Account requirements. |
| Private Placement | *Private Placement* (or non-public offering) is a funding round of *Securities* which are not sold through a public offering, but rather through a private offering, mostly to a small number of chosen investors. |
| Pro Rata Discretionary Transactions | Purchases or other acquisitions or dispositions of *Securities* resulting from the discretionary exercise of rights acquired from an issuer as part of a pro rata distribution to all holders of a class of *Securities* of the issuer. (e.g., discretionary participation in takeovers, rights & tender/ exchange offerings). |
| Reportable Security | All *Securities* except those *Securities* listed as exempt from the Initial and Annual Holdings Report and Quarterly Transaction Report requirements on APPENDIX C of the Code. |
| Same (or Related) Pre- Clearable Security | For an equity *Security*, the *Same Pre-Clearable Security* would include all other equity *securities* of the same issuer or, other instrument whose value is derived from the value of the issuer's equity *Securities*. For a debt *Security*, the *Same Pre-Clearable Security* would include all other debt instruments of the same issuer as well as any instrument whose value is derived from the credit, value or reference to the issuer's debt. |

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| | |
|:---|:---|
| Security (Securities) | A "*security*" as defined by Section 1(1) of the Ontario *Securities* Act, the Hong Kong *Securities* and Futures Ordinance, Section 3(a)(10) or the Investment Advisers Act of 1940. Examples include but are not limited to: any note, stock, treasury stock, security future, bond, debenture, evidence of indebtedness, *mutual funds*, closed-end *funds*, unit investment trusts, REITS, ETFs, commodity *funds*, broker CDs, certificate of interest or participation in any profit-sharing agreement, collateral-trust certificate, pre-organization certificate or subscription, transferable share, investment contract, *security*-based swap, voting-trust certificate, certificate of deposit for a *security*, fractional undivided interest in oil, gas, or other mineral rights, any put, call, straddle, option, or privilege on any "*security*" (including a certificate of deposit) or on any group or index of *securities* (including any interest therein or based on the value thereof), or any put, call, straddle, option, or privileged entered into on a national *securities* exchange related to foreign currency, or, in general, any interest or instrument commonly known as a "*security*", or any certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase any of the foregoing. References to a *Security* also includes any warrant for, option in, or "*security*" or other instrument immediately convertible into or whose value is derived from that "*security*" and any instrument or right which is equivalent to that "*security*." The definition of *Security* applies regardless of the registration status or domicile of registration of the *Security* (i.e., the term *Security* includes both *private placements*/ limited partnership interests and publicly-traded *securities* as well as domestic and foreign *Securities*). For purposes of this Code, the definition of *Securities* also includes other instruments and interests labeled as reportable on APPENDIX C of this Code. |
| Securities Laws | The *Securities Law*s include various domestic and foreign *securities*-related laws, statutes and rules/regulations that govern the *Firm's* investment management activities and includes: Ontario *Securities* Act, U.K. Financial Services Authority regulations, the *Securities* and Futures Ordinance of Hong Kong, *Securities* and Futures Act (Singapore), the *Securities* Act of 1933 (U.S.), the *Securities* Exchange Act of 1934 (U.S.), the Sarbanes-Oxley Act of 2002 (U.S.), the Investment Company Act of 1940 (U.S.), the Investment Advisers Act of 1940 (U.S.), Title V of the Gramm- Leach-Bliley Act (U.S.), and the Bank Secrecy Act (U.S.) (as it applies to *funds* and investment advisers). |
| StarCompliance | The web-based reporting and certification system used by the *Firm* to facilitate compliance with certain reporting and pre-clearance obligations imposed under the Code (a.k.a., Star). The *Code Administrator* may approve alternate reporting methods if deemed appropriate. |

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**Appendix B** 

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**<sup>1</sup>Legal Entity Adoption of the Code** 

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| | | |
|:---|:---|:---|
| LEGAL ENTITY: | JURISDICTION/<br>COUNTRY | INITIAL ADOPTION<br>DATE |
| Hancock Natural Resource Group, Inc. | U.S. | April 6, 2020 |
| John Hancock GA Mortgage Trust | U.S. | April 6, 2020 |
| John Hancock GA Senior Loan Trust | U.S. | April 6, 2020 |
| Manulife Asset Management and Trust Corporation | Philippines | April 6, 2020 |
| Manulife Data Services Inc. | Barbados | April 6, 2020 |
| Manulife General Account Investments (HK) Limited | Hong Kong | April 6, 2020 |
| Manulife Investment Management (Hong Kong) Limited | Hong Kong | April 6, 2020 |
| Manulife General Account Investments (Singapore) Pte. Ltd. | Singapore | April 6, 2020 |
| Manulife Investment Management (Singapore) Pte. Ltd | Singapore | April 6, 2020 |
| Manulife IM (Switzerland) LLC | Switzerland | April 6, 2020 |
| Manulife Investment (Shanghai) Limited Company | China | April 6, 2020 |
| Manulife Investment Management (Europe) Limited | U.K. | April 6, 2020 |
| Manulife Investment Management (Ireland) Limited | Ireland | April 6, 2020 |
| Manulife Investment Management (North America) Limited | Canada | April 6, 2020 |
| Manulife Investment Management (US) LLC | U.S. | April 6, 2020 |
| Manulife Investment Management Distributors Inc. | Canada | April 6, 2020 |
| Manulife Investment Management Limited | Canada | April 6, 2020 |
| Manulife Investment Management Private Markets (Canada) Corp | Canada | April 6, 2020 |
| Manulife Investment Management Private Markets (US) LLC | U.S. | April 6, 2020 |
| Manulife Investment Management Private Markets Holdings (US) LLC | U.S. | April 6, 2020 |
| Manulife Overseas Investment Fund Management (Shanghai) Limited Company | China | April 6, 2020 |
| Manulife US Real Estate Management Pte, Ltd. (Definition of *Associate* only includes officers and employees of the entity). | Singapore | April 6, 2020 |
| The General Account Investments and the Manulife Investment Management Private Markets Groups of John Hancock Life Insurance Company (U.S.A.) | U.S. | April 6, 2020 |
| The General Account Investments and the Manulife Investment Management Private Markets Groups of The Manufacturers Life Insurance Company | Canada | April 6, 2020 |
| John Hancock Personal Financial Services, LLC | U.S | April 5, 2021 |
| Manulife Private Credit Fund | U.S | July 19, 2023 |
| Manulife John Hancock Brokerage Services LLC | U.S. | October 6, 2023 |
| John Hancock Investment Management, LLC | U.S | April 1, 2024 |
| John Hancock Variable Trust Advisers, LLC | U.S | April 1, 2024 |
| Each open-end fund, closed-end fund, and exchange traded fund advised by a John Hancock Funds Adviser (the "John Hancock Affiliated Funds") | U.S | April 1, 2024 |

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41.0 ------

John Hancock Investment Management Distributors, LLC John Hancock Distributors, LLC U.S. April 1, 2024

<sup>1</sup> This Code has been designed to be applicable across GWAM and GA and certain regulated entities listed in Appendix B (together the "*Firm*"), however it is being implemented in a multi-phased, multi-year project.

42.0 ------

**Appendix C** 

**Securities Reporting & Pre-Clearance Summary Chart** 

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| | | | |
|:---|:---|:---|:---|
| Only applicable to *Access Persons* in the following Access Classification Levels:<br>• Regular *Access Person*<br>• General Account/MIM Private Markets Front-Office *Access Person*<br>• MIM Public Markets Front-Office *Access Person*. | *Reportable Security?* **Initial and Annual Holdings**<br> **Reports** | *Reportable Security?* **Quarterly Transaction Reports** | Pre-Clearable Security? |
| Unless otherwise indicated on this chart, (i) all *Securities* positions must be reported initially and annually thereafter, (ii) all *Securities* transactions must receive advance pre-clearance approval, and (iii) all *Securities* transactions must be reported quarterly (italicized terms are defined in the Code). | Does the *Access Person* need to report the following types of *Securities* holdings? | Does the *Access Person* need to report transactions in the following types of *Securities*? | Does the *Access Person* need to obtain pre- clearance approval prior to transacting in the following types of *Securities*? |
| **Government** *Securities* | **Government** *Securities* | **Government** *Securities* | **Government** *Securities* |
| Direct Obligations of the Government of the U.S. or U.K. | No | No | No |
| State, Province or Municipal Bonds | Yes | Yes | Yes |
| Direct Obligations of the Governments of Canada, Japan, Germany, France or Italy | Yes | Yes | Yes |
| **Money Market Instruments/Commodities/Currency** | **Money Market Instruments/Commodities/Currency** | **Money Market Instruments/Commodities/Currency** | **Money Market Instruments/Commodities/Currency** |
| Bankers Acceptances | No | No | No |
| Bank Certificates of Deposit | No | No | No |
| Brokerage Certificates of Deposit | Yes | Yes | No |
| Commercial Paper | No | No | No |
| High Quality Short-Term Debt Instruments | No | No | No |
| Repurchase Agreements | No | No | No |
| Money Market *Funds* (including Money Market *Affiliated Mutual Funds*) | No | No | No |
| Physical Commodities and Options and Futures on Commodities (not commodity ETFs or closed-end *funds*) | No | No | No |
| Foreign and Domestic Currency Holdings/Transactions. This includes currency options (unless they are traded on a national securities exchange) and futures. | No | No | No |

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| | | | |
|:---|:---|:---|:---|
| *Cryptocurrencies* (only *Initial Coin Offerings* "ICO's" are reportable and pre-clearable) | No | No | No |
| Only applicable to *Access Persons* in the following Access Classification Levels:<br>• Regular *Access Person*<br>• General Account/MIM Private Markets Front-Office *Access Person*<br>• MIM Public Markets Front-Office *Access Person*. | *Reportable Security?* **Initial and Annual Holdings Reports** | *Reportable Security?* **Quarterly Transaction Reports** | Pre-Clearable<br> Security? |
| Unless otherwise indicated on this chart, (i) all *Securities* positions must be reported initially and annually thereafter, (ii) all *Securities* transactions must receive advance pre-clearance approval, and (iii) all *Securities* transactions must be reported quarterly (italicized terms are defined in the Code). | Does the *Access Person* need to report the following types of *Securities* holdings? | Does the *Access Person* need to report transactions in the following types of *Securities*? | Does the *Access Person* need to obtain pre- clearance approval prior to transacting in the following types of *Securities*? |
| **IPOs / ICOs,** *Private Placements* **/** *Limited Offerings* |  |  |  |
| IPOs & ICOs<br> (Note: IPO's are prohibited for the following Classification Levels: GA/ MIM Private Markets Front-Office *Access Persons* & MIM Public Markets Front-Office *Access Persons*) | Yes | Yes | Yes |
| Private Placements/Private Funds/Limited Offerings | Yes | Yes | Yes |
| **Issuer Event Transactions /** *Automatic Investment Plans* |  |  |  |
| Involuntary Issuer Transactions and Holdings (stock dividends, stock splits/reverse splits, or other similar reorganizations or distributions, call of a debt *security*, and spin-offs of shares to existing holders) | Yes | Yes | No |
| Issuer *Pro Rata Discretionary Transactions*/Elections (purchases or other acquisitions or dispositions resulting from the discretionary exercise of rights acquired from an issuer as part of a pro rata distribution to all holders of a class of *Securities* of such issuer) (e.g., discretionary participation in takeovers, rights & tender/exchange offerings) | Yes | Yes | Yes. Pre-clearance approval for discretionary elections should be sought by manually phoning or emailing the *Code Administrator* directly. It is important to contact the *Code Administrator* to avoid having your request improperly denied. |

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| | | | |
|:---|:---|:---|:---|
| Automatic Investment Plans<br> (a program in which regular periodic purchases or withdrawals are made automatically in (or from) investment accounts in accordance with a predetermined schedule and allocation)<br> (for *Mutual Funds* AIPs Refer to below) | Yes.<br> You must add up all of the Plan transactions for the year and reflect the activity on the Annual Holdings Report | No.<br> You do not need to report automatic (non-discretionary) Plan transactions on the Quarterly Transaction Report | No. However, transactions that override the automatic preset schedule (discretionary purchases /sales, discretionary changes in individual *security* selection) must be pre-cleared. Note: You do not need to pre-clear a change to your money contribution level into a Plan. |
| Only applicable to *Access Persons* in the following Access Classification Levels:<br>• Regular *Access Person*<br>• General Account/MIM Private Markets Front-Office *Access Person*<br>• MIM Public Markets Front-Office *Access Person*. | *Reportable Security?* **Initial and Annual Holdings Reports** | *Reportable Security?* **Quarterly Transaction Reports** | Pre-Clearable<br> Security? |
| Unless otherwise indicated on this chart, (i) all *Securities* positions must be reported initially and annually thereafter, (ii) all *Securities* transactions must receive advance pre-clearance approval, and (iii) all *Securities* transactions must be reported quarterly (italicized terms are defined in the Code). | Does the *Access Person* need to report the following types of *Securities* holdings? | Does the *Access Person* need to report transactions in the following types of *Securities*? | Does the *Access Person* need to obtain pre- clearance approval prior to transacting in the following<br> types of *Securities*? |
| **Issuer Event Transactions /** *Automatic Investment Plans* | **Issuer Event Transactions /** *Automatic Investment Plans* | **Issuer Event Transactions /** *Automatic Investment Plans* | **Issuer Event Transactions /** *Automatic Investment Plans* |
| Dividend Reinvestment Plan Automatic Transactions | Yes | No | No |
| Issuer Direct Stock Plan Automatic Transactions | Yes | No | No |
| Issuer Direct Stock Plan Non-Automatic Transactions (discretionary transactions) | Yes | Yes | Yes. A pre-cleared transaction instruction is valid until executed by the Plan. |
| **Investment Company** *Securities* | **Investment Company** *Securities* | **Investment Company** *Securities* | **Investment Company** *Securities* |
| *Closed-End Investment Companies* | Yes | Yes | Yes |
| Exchange Traded Funds (ETFs) and Exchange Traded Notes | Yes | Yes | Yes |
| Money Market Funds (including Money Market *Affiliated Mutual Funds*) | No | No | No |
| *Mutual Funds* (non-affiliated) | No | No | No |
| *Affiliated Mutual Funds* | Yes | Yes | No |

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| | | | |
|:---|:---|:---|:---|
| *Affiliated Mutual Funds* interests held by or through the *Manulife* Registered Pension Plan (RPS), *Manulife* Registered Retirement Savings Plan (RRSP), John Hancock Unified 401k Plan, other employer- sponsored retirement plan, 529/RESP plan, or any other account. | Yes | Yes, however do not report automatic transactions/ rebalances (in accordance with<br> a predetermined schedule/ allocation) on the Quarterly<br> Transaction Report | No |
| *Affiliated Mutual Funds* held through a variable (annuity or life) insurance product separate account/unit investment trust | Yes (report *Affiliated Mutual Fund* unit values) | Yes, however do not report automatic transactions/ rebalances (in accordance with<br> a predetermined schedule/ allocation) on the Quarterly<br> Transaction Report | No |
| Only applicable to *Access Persons* in the following Access Classification Levels:<br>• Regular *Access Person*<br>• General Account/Private Markets Front-Office *Access Person*<br>• MIM Public Markets Front-Office *Access Person*. | *Reportable Security?* **Initial and Annual Holdings Reports** | *Reportable Security?* **Quarterly Transaction Reports** | Pre-Clearable<br> Security? |
| Unless otherwise indicated on this chart, (i) all *Securities* positions must be reported initially and annually thereafter, (ii) all *Securities* transactions must receive advance pre-clearance approval, and (iii) all *Securities* transactions must be reported quarterly (italicized terms are defined in the Code). | Does the *Access Person* need to report the following types of *Securities* holdings? | Does the *Access Person* need to report transactions in the following types of *Securities*? | Does the *Access Person* need to obtain pre- clearance approval prior to transacting in the following types of *Securities*? |
| Employee Compensation Instruments | Employee Compensation Instruments | Employee Compensation Instruments | Employee Compensation Instruments |
| MFC Shares in the MFC Global Share Ownership Plan (GSOP) | Yes | Automated Purchases—No<br> Sales—Yes | Automated Purchases—No<br> Sales—Yes. A pre-cleared transaction<br> instruction is valid until executed by<br> the Plan. |
| MFC Restricted Share Units (RSU), Deferred Share Units (DSU), or Performance Share Units (PSU) | No | No | No |
| Options Acquired from MFC or Other Public Company Employer as Part of Employee Compensation (MFC Solium Account options) | Yes | Yes | No |
| Employer Phantom Stock/Phantom Option Interest (granted as compensation to employee, only employer can redeem interest and interest is non-transferable) | No | No | No |

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| | | | |
|:---|:---|:---|:---|
| Employer (non-MFC) Stock Grant (unvested grant of employer stock, vesting event, sales of vested shares) | Unvested and Vested Amounts— Yes | Grants—No Vesting Events —<br> No (however if upon vesting the shares are transferred to a brokerage account then yes) | Automatic Grants— No Automatic Vesting Event—No<br> **<u>Sale of Vested Shares:</u>**<br> Yes—if employee directs sale, No—if employer automatically sells vested without direction from employee) |

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| | | | |
|:---|:---|:---|:---|
| Only applicable to *Access Persons* in the following Access Classification Levels:<br>• Regular *Access Person*<br>• General Account/Private Markets Front-Office *Access Person*<br>• MIM Public Markets Front-Office *Access Person*. | *Reportable Security?* **Initial and Annual Holdings**<br> **Reports** | *Reportable Security?* **Quarterly Transaction Reports** | Pre-Clearable<br> Security? |
| Unless otherwise indicated on this chart, (i) all *Securities* positions must be reported initially and annually thereafter, (ii) all *Securities* transactions must receive advance pre-clearance approval, and (iii) all *Securities* transactions must be reported quarterly (italicized terms are defined in the Code). | Does the *Access Person* need to report the following types of *Securities* holdings? | Does the *Access Person* need to report transactions in the following types of *Securities*? | Does the *Access Person* need to obtain pre- clearance approval prior to transacting in the following types of *Securities*? |
| **Gifts / Blind Trusts / Managed Accounts** | **Gifts / Blind Trusts / Managed Accounts** | **Gifts / Blind Trusts / Managed Accounts** | **Gifts / Blind Trusts / Managed Accounts** |
| Gifts, Inheritances, or Donations of *Reportable Securities*<br> (received or given) | Yes | Yes | *Securities* Gifts & Inheritances Received—No *Securities* Given or Donated—Yes |
| *No Direct or Indirect Control Over Account* (*Securities* held in, purchased/sold for an account where a person does not have direct or indirect influence or investment/ proxy voting control, e.g., Blind Trusts, Certain Managed Accounts) | No | No | No\*<br>\*However, you must report initial and annual holdings in (as well as pre-clear and report quarterly transactions for) a Managed Account unless the *Access Person* has obtained a specific written pre-clearance or reporting exemption from the *Code*<br> *Administrator*. |

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48.0

## Ex-99.(P)(2)

**Code of Ethics for the Independent Trustees of the** 

**John Hancock Funds** 

**Effective December 6, 2005** 

**Amended and Restated January 1, 2026** 

The Board of Trustees (the "Board") of the John Hancock Funds<sup>1</sup> has adopted this code of ethics (this "Code"), exclusively with respect to Trustees who are not "interested persons," as defined in Section 2(a)(19) of the Investment Company Act of 1940 (the "1940 Act"), of the John Hancock Funds (the "Independent Trustees" or "you"). This Code is intended to comply with the requirements of Rule 17j-1 under the 1940 Act insofar as they apply to the Independent Trustees.

The Board recognizes that the John Hancock Funds' officers and access persons (with the exception of the Independent Trustees) are covered by a separate code of ethics adopted by the Board, which is applicable to John Hancock Investment Management, LLC and John Hancock Variable Trust Advisers, LLC (each, a "John Hancock Adviser"), John Hancock Investment Management Distributors, LLC, John Hancock Distributors, LLC and each of the John Hancock Funds. The Board also recognizes that access persons who are employees of a sub-adviser to the John Hancock Funds are covered under a separate code of ethics approved by the Board. The Board, after considering the limited nature of access by the Independent Trustees to current information with respect to security transactions being effected or considered on behalf of the John Hancock Funds, has adopted this Code specifically and separately to cover the Independent Trustees.

Please note that the policies described below apply to all accounts over which you have a beneficial interest. Normally, you will be deemed to have a beneficial interest in your personal accounts, those of a spouse, "significant other," minor children or family members sharing your household, as well as all accounts over which you have discretion or give advice.

If you have any questions regarding your responsibilities under this Code of Ethics, please contact Trevor Swanberg at 617-572-7149 or tswanberg@jhancock.com

Set forth below are policies applicable to the Independent Trustees.

**I. Statements of Policy** 

**A. General Principles** 

It is unlawful for any Independent Trustee covered by this Code, directly or indirectly, in connection with his or her purchase or sale of a security held or to be acquired by a John Hancock Fund, to:

• employ any device, scheme or artifice to defraud a John Hancock Fund;

• make any untrue statement of a material fact to a John Hancock Fund or omit to state a material fact necessary in
order to make the statements made to a John Hancock Fund, in light of the circumstances under which they are made, not misleading;

<sup>1</sup> As used in this Code, the "John Hancock Funds," or the "Funds," refer to each open-end and closed-end fund that is listed, or that is a series of a trust listed, in Appendix A hereto, as may be updated from time to time by the Chief Compliance Officer of the John Hancock Funds.

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• engage in any act, practice or course of business that operates or would operate as a fraud or deceit on a John
Hancock Fund; or

• engage in any manipulative practice with respect to a John Hancock Fund.

The General Principles discussed above govern all conduct, whether or not the conduct is also covered by more specific standards and procedures in this Code. Failure to comply with this Code may result in disciplinary action as determined by the Board, including potentially removal from the Board in accordance with the terms of the John Hancock Fund charter documents.

**B. Transactions in John Hancock Funds** 

The Independent Trustees are subject to the same policies against excessive trading of shares of the open-end John Hancock Funds that apply to all shareholders of the open-end John Hancock Funds, as applicable. These policies are described in the John Hancock Funds' prospectuses and are subject to change. Additional restrictions on trading of closed-end and open-end John Hancock Funds are discussed in Section II.C.

**C. Transactions in securities of Advisers, Subadvisers and Principal Underwriters** 

As an Independent Trustee, you are prohibited from purchasing any security issued by:

(1) the controlling parent of the John Hancock Advisers;

(2) any subadviser of a John Hancock Fund;

(3) the controlling parent of any subadviser;

(4) any principal underwriter of a John Hancock Fund, including prospective principal underwriters of John Hancock closed-end funds;

(5) the controlling parent of any principal underwriter.

A complete list of these issuers can be found in Appendix B.

**D. Annual Certification** 

On an annual basis, you must provide a certification at a date designated by the Chief Compliance Officer of the John Hancock Funds that:

(1) you have read and understand this Code;

(2) you acknowledge that you are subject to its requirements; and

(3) you have complied, to the best of your knowledge, with its requirements.

You are required to make this certification to demonstrate that you understand the importance of these policies and your responsibilities under the Code.

**E. Quarterly Transaction Reports** 

You will not generally be required to submit quarterly transaction reports. You will, however, be required to submit a quarterly transaction report if you knew (or, in the ordinary course of fulfilling your official duties as an Independent Trustee, should have known) that during the 15 calendar days immediately before or after you trade a security described in **Section II.A** of this Code, either:

(i) the subadviser of a John Hancock Fund purchased or sold the same security on behalf of such Fund, or

(ii) the subadviser of a John Hancock Fund actively considered the purchase or sale of the same security on behalf of such Fund;

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provided that, monitoring of the publication of portfolio holdings of series of John Hancock Exchange-Traded Fund Trust (the "John Hancock ETFs") is not construed to be within the ordinary course of fulfilling the duties of a trustee, therefore the publication or availability of such portfolio holdings shall not be construed to impart actual or constructive knowledge of the John Hancock ETFs' portfolio transactions on a trustee.

If these circumstances occur, it is your responsibility to contact the Chief Compliance Officer of the John Hancock Funds and he will assist you with the requirements of the quarterly transaction report.

You must submit a quarterly transaction report within 30 calendar days after the end of a calendar quarter if required in the limited circumstances described above. This report must cover all transactions during the calendar quarter that are personal securities transactions, as described below in **Section II** of this Code.

If you are required to submit a quarterly transaction report, the report must include the following information about each transaction described above:

• the date of the transaction, the title, and as applicable, the exchange ticker symbol or CUSIP number, interest
rate and maturity date (if applicable), number of shares, and principal amount of each reportable security involved;

• the nature of the transaction (i.e., purchase, sale or any other type of acquisition or disposition);

• the price at which the transaction was effected;

• the name of the broker, dealer or bank with or through which the transaction was effected; and

• the date that you submit the report.

With respect to any account in which you have traded securities for which you must submit a quarterly transaction report, the quarterly transaction report must also include the following account information:

• the name of the broker, dealer or bank with whom you have established an account;

• the account number and account registration;

• the date the account was established; and

• the date that you submit the report.

**II. Personal Securities Transactions** 

A Personal Securities Transaction is a transaction in a security in which an Independent Trustee subject to this Code has a beneficial interest. Normally, this includes securities transactions in your personal accounts, those of a spouse, "significant other," minor children or family members sharing your household, as well as all accounts over which you have discretion or give advice. Accounts over which you have no direct or indirect influence or control are exempt. For discretionary accounts, this is defined as:

1) Not being able to suggest that the trustee or third-party discretionary manager make any particular purchases or sales of securities;

2) Not being able to direct the trustee or third-party discretionary manager to make any particular purchases or sales of securities; and

3) You did not consult with the trustee or third-party discretionary manager as to the particular allocation of investments to be made in your account.

To prevent potential violations of this Code, you are strongly encouraged to request clarification for any transactions or accounts that are in question.

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**A. Covered Personal Securities Transactions** 

Except as noted below, Personal Securities Transactions include transactions in all securities, including:

• Stocks or bonds;

• Government securities that are not direct obligations of the U.S. government, such as Fannie Mae or municipal
securities;

• Shares of all closed-end funds;

• Shares of the John Hancock Funds, as well as any other open-end mutual funds, including John Hancock ETF's,
that are advised or sub-advised by a John Hancock Adviser or by John Hancock or Manulife entities (other than money market funds);

• Options on securities, on indexes, and on currencies;

• All kinds of limited partnerships;

Exchange Traded Funds formed as unit investment trusts;

• Foreign unit trusts and foreign mutual funds;

• Private investment funds and hedge funds; and

• Futures, investment contracts or any other instrument that is considered a "security" under the
Investment Company Act of 1940.

**B. Exempt Personal Securities Transactions** 

Personal Securities Transactions do not include transactions in the following securities:

• Direct obligations of the U.S. government (*e.g.*, treasury securities);

• Bankers' acceptances, bank certificates of deposit, commercial paper, and high quality short-term debt
obligations, including repurchase agreements;

• Shares of any open-end mutual funds, including exchange-traded funds, that are not advised or sub-advised by a
John Hancock Adviser or by John Hancock or Manulife entities;

• Shares issued by money market funds; and

• Securities in accounts over which you have no direct or indirect influence or control.

**C. Restrictions on Trading in John Hancock Funds** 

1. <u>General</u>. You may not buy or sell shares of John Hancock Funds, or tip others who then trade in such
Funds, on the basis of material non-public information ("Inside Information"). This concern is most pronounced with respect to closed-end John Hancock Funds ("Closed-End Funds") and the John Hancock ETFs because their shares trade on a secondary market. However, it is also applicable to all John Hancock mutual funds.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. <u>Material Information</u>. Information is considered "material" if a reasonable investor would
consider it important in making a decision to buy, sell or hold shares of a Fund. Positive or negative information may be "material."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. <u>Non-public Information</u>. Information is considered "non-public" if it has not been broadly
and publicly disseminated for a sufficient period to be reflected in the price of the Fund. Information remains "non-public" until it has been "publicly disclosed," meaning that it has been broadly distributed to the public
in a non-exclusionary manner, such as via a press release or inclusion of such information in a filing with the Securities and Exchange Commission. In the case of the John Hancock ETFs, holdings information posted to the Funds' website is
considered to have been "publicly disseminated."

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. <u>Examples</u>. Inside Information may include such things as news about acquisitions, Closed-End Fund tender offers, financial results, changes in dividends or distributions, Closed-End Fund share buy-backs, important management changes, anticipated litigation
recoveries, or any other information that is likely to be considered material to a Fund.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. <u>Further Guidance</u>. If you are uncertain as to whether information is Inside Information, you should
presume that the information is both material and non-public, and that it is Inside Information. In such cases, you should refrain from trading until you consult legal counsel or the Chief Compliance Officer for further guidance on information that
may be deemed Inside Information.

2. <u>Closed-End, and John Hancock ETF's Blackout Periods and Trading Guidelines</u>. You may not trade in shares of Closed-End Funds during the following blackout periods (each, a "Blackout Period"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. <u>Regular Meetings</u>. The Independent Trustees may not engage in any transactions in shares of the Closed-End Funds at any time between (x) the earlier of (A) the date Board meeting information is received by the Trustee, or (B) the date the Independent Trustees are advised that Board meeting
information is posted to the website where Board materials are made available, and (y) 10 calendar days after the dates of a regular meeting of the Board. To clarify, assuming a meeting begins on a Monday and concludes at mid-day on the next day, Independent Trustees may not transact in Closed-End Fund or John Hancock ETF shares before the second subsequent Monday.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. <u>Special Meetings</u>. Upon receipt of the materials for a special meeting of the Board or a committee
thereof, Independent Trustees may not engage in any transactions in Closed-End Fund or John Hancock ETF shares at any time from the date of receipt of such materials until after the tenth calendar day after the date of such meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. <u>Financial Statements Review</u>. The Independent Trustees may not engage in any transactions in shares of a Closed-End Fund or John Hancock ETF's at any time between:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the earlier of (A) the date on which a semiannual or an annual shareholder report that contains financial statements for a Closed-End Fund or John Hancock ETF is received by the Trustee, or (B) the date the Independent Trustees are advised that a semiannual or an annual shareholder report that contains financial statements for a Closed-End Fund or John Hancock ETF is posted to the website where Board materials are made available, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) two (2) business days after the date on which the semi-annual or annual shareholder report for the Closed-End Fund or John Hancock ETF is publicly available on John Hancock Funds website or through another method consistent with Regulation FD.

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3. <u>Other Restricted Periods</u>. The Chief Compliance Officer of the John Hancock Funds may, from time to time,
restrict the purchase of one or more John Hancock Funds, including open-end John Hancock Funds, if he or she believes after consulting with counsel to the John Hancock Funds that the Independent Trustees may
have knowledge of Inside Information regarding such John Hancock Fund(s). The Chief Compliance Officer will provide the Independent Trustees prior notice of any such restrictions.

**III. Administration of the Code of Ethics** 

**A. Review of Reports** 

The Chief Compliance Officer of the John Hancock Funds shall review any reports delivered by an Independent Trustee pursuant to this Code. Any such review shall give special attention to evidence, if any, of conflicts or potential conflicts with the securities transactions of the John Hancock Funds or violations or potential violations of the antifraud provisions of the federal securities law or this Code.

**B. Investigations of Potential Violations** 

The Chief Compliance Officer shall investigate any potential violation of the provisions of this Code. After completion of any such investigation, the Chief Compliance Officer shall determine whether a violation has occurred and, if so, make a report to the Board or, if appropriate, the Compliance Committee of the Board. The Board shall determine what action should be taken in response to a violation of this Code.

**C. Annual Reports** 

At least on an annual basis, the Chief Compliance Officer shall provide the Board with (i) a written report that describes issues that arose under this Code since the prior such report, including, but not limited to, information relating to material violations of this Code and any actions taken, and (ii) a certification that the John Hancock Funds have adopted procedures reasonably necessary to prevent the Independent Trustees from violating this Code.

**D. Record Retention Requirements** 

The Chief Compliance Officer shall maintain the following records at the John Hancock Funds' principal place of business, and shall make these records available to the Securities and Exchange Commission at any time and from time to time for reasonable periodic, special or other examination:

• A copy of this Code that is currently in effect, or at any time within the past five years was in effect;

• A record of any violation of this Code, and any action taken as a result of a violation, must be maintained in an
easily accessible place for at least five years after the end of the fiscal year in which the violation occurs;

• A copy of each quarterly transaction report made by an Independent Trustee under this Code;

• A copy of each annual report and certification described in **Section III.C** of this Code; and

• A record of all Independent Trustees, currently or within the past five years, who are subject to this Code, and
of individual(s) who are responsible for reviewing reports made under this Code.

**E. Amendments** 

Any amendments to this Code must be approved by a majority of the Independent Trustees.

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**Appendix A** 

**<u>John Hancock Funds</u>** 

John Hancock Variable Insurance Trust

John Hancock Funds II

John Hancock Funds III

John Hancock Bond Trust

John Hancock California Tax-Free Income Fund

John Hancock Capital Series

John Hancock Collateral Trust

John Hancock Current Interest

John Hancock Exchange-Traded Fund Trust

John Hancock Investment Trust

John Hancock Investment Trust II

John Hancock Municipal Securities Trust

John Hancock Sovereign Bond Fund

John Hancock Strategic Series

John Hancock Financial Opportunities Fund

John Hancock Hedged Equity & Income Trust

John Hancock Income Securities Trust

John Hancock Investors Trust

John Hancock Preferred Income Fund

John Hancock Preferred Income Fund II

John Hancock Preferred Income Fund III

John Hancock Premium Dividend Fund

John Hancock Tax-Advantaged Dividend Income Fund

John Hancock Tax-Advantaged Global Shareholder Yield Fund

## Ex-99.(Q)

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| | |
|:---|:---|
| **John Hancock Bond Trust** | **John Hancock Funds III** |
| **John Hancock California Tax-Free Income Fund** | **John Hancock Investment Trust** |
| **John Hancock Capital Series** | **John Hancock Investment Trust II** |
| **John Hancock Collateral Trust** | **John Hancock Municipal Securities Trust** |
| **John Hancock Current Interest** | **John Hancock Sovereign Bond Fund** |
| **John Hancock Exchange-Traded Fund Trust** | **John Hancock Strategic Series** |
| **John Hancock Funds II** | **John Hancock Variable Insurance Trust** |

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*(each a "Trust" and collectively the "Trusts")* 

**POWER OF ATTORNEY** 

The undersigned does hereby constitute and appoint Thomas Dee, Khimmara Greer, Kinga Kapuscinski, Nicholas J. Kolokithas, Mara Moldwin, Harsha Pulluru, Christopher L. Sechler, Betsy Anne Seel and Steven Sunnerberg, each individually, his or her true and lawful attorney-in-fact and agent (each an "Attorney-in-Fact") with power of substitution or re-substitution, in any and all capacities, including without limitation in the applicable undersigned's capacity as president or chief financial officer of each Trust, in the furtherance of the business and affairs of each Trust: (i) to execute any and all instruments which said Attorney-in-Fact may deem necessary or advisable or which may be required to comply with the Securities Act of 1933, as amended, the Investment Company Act of 1940, as amended, and the Securities Exchange Act of 1934, as amended (collectively the "Acts"), and any other applicable federal securities laws, or rules, regulations or requirements of the U.S. Securities and Exchange Commission ("SEC") in respect thereof, in connection with the filing and effectiveness of the Trust's Registration Statement on Form N-lA regarding the registration of each Trust or series thereof or its shares of beneficial interest, and any and all amendments thereto, including without limitation any reports, forms or other filings required by the Acts or any other applicable federal securities laws, or rules, regulations or requirements of the SEC, and to do generally all such things in my name and on my behalf in the capacity indicated below to enable each Trust to comply with the Acts, and all requirements of the SEC thereunder; and (ii) to execute any and all state regulatory or other required filings, including all applications with regulatory authorities, state charter or organizational documents and any amendments or supplements thereto, to be executed by, on behalf of, or for the benefit of, each Trust. The undersigned hereby grants to each Attorney-in-Fact full power and authority to do and perform each and every act and thing contemplated above, as fully and to all intents and purposes as the undersigned might or could do in person, and hereby ratifies and confirms all that said Attorneys-in-Fact, individually or collectively, may lawfully do or cause to be done by virtue hereof.

This Power of Attorney shall be revocable with respect to an undersigned at any time by a writing signed by such undersigned and shall terminate automatically with respect to an undersigned if such undersigned ceases to be a Trustee or Officer of the Trust.

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Dated: December 11, 2025.

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| | | |
|:---|:---|:---|
| **Name** | **Signature** | **Title** |
| Kristie M. Feinberg | /s/ Kristie M. Feinberg | President and Trustee |
| Fernando A. Silva | /s/ Fernando A. Silva | Chief Financial Officer<br> (Principal Financial Officer and Principal Accounting Officer) |
| Andrew G. Arnott | /s/ Andrew G. Arnott | Trustee |
| William K. Bacic | /s/ William K. Bacic | Trustee |
| James R. Boyle | /s/ James R. Boyle | Trustee |
| William H. Cunningham | /s/ William H. Cunningham | Trustee |
| Noni Ellison McKee | /s/ Noni Ellison McKee | Trustee |
| Grace K. Fey | /s/ Grace K. Fey | Trustee |
| Dean C. Garfield | /s/ Dean C. Garfield | Trustee |
| Christine L. Hurtsellers | /s/ Christine L. Hurtsellers | Trustee |
| Deborah C. Jackson | /s/ Deborah C. Jackson | Trustee |
| Hassell H. McClellan | /s/ Hassell H. McClellan | Trustee |
| Kenneth J. Phelan | /s/ Kenneth J. Phelan | Trustee |
| Frances G. Rathke | /s/ Frances G. Rathke | Trustee |
| Thomas R. Wright | /s/ Thomas R. Wright | Trustee |

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