UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811- 01677
John Hancock Capital Series
(Exact name of registrant as specified in charter)
200 Berkeley Street, Boston, Massachusetts 02116 (Address of principal executive offices) (Zip code)
Salvatore Schiavone
Treasurer
200 Berkeley Street
Boston, Massachusetts 02116
(Name and address of agent for service)
Registrant's telephone number, including area code: 617-543-9634
Date of fiscal year end: | October 31 |
Date of reporting period: | April 30, 2023 |
ITEM 1. REPORTS TO STOCKHOLDERS
The Registrant prepared the following semi-annual reports to shareholders for the period ended April 30, 2023:
John Hancock Classic Value Fund
John Hancock U.S. Global Leaders Growth Fund
Manulife Investment Management
John Hancock Investment Management
Head of Wealth and Asset Management,
United States and Europe
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 1 |
2 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
TOP 10 HOLDINGS AS OF 4/30/2023 (% of net assets) | |
Dow, Inc. | 5.0 |
Citigroup, Inc. | 4.5 |
Fresenius Medical Care AG & Company KGaA, ADR | 4.3 |
Wells Fargo & Company | 4.2 |
Lear Corp. | 4.1 |
General Electric Company | 4.0 |
Edison International | 3.9 |
Capital One Financial Corp. | 3.6 |
SS&C Technologies Holdings, Inc. | 3.5 |
Cognizant Technology Solutions Corp., Class A | 3.4 |
TOTAL | 40.5 |
Cash and cash equivalents are not included. |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 3 |
COUNTRY COMPOSITION AS OF 4/30/2023 (% of net assets) | |
United States | 83.9 |
Canada | 5.2 |
Germany | 4.3 |
Bermuda | 2.2 |
Ireland | 2.2 |
United Kingdom | 1.2 |
Switzerland | 1.0 |
TOTAL | 100.0 |
4 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 5 |
Account value on 11-1-2022 | Ending value on 4-30-2023 | Expenses paid during period ended 4-30-20231 | Annualized expense ratio | ||
Class A | Actual expenses/actual returns | $1,000.00 | $1,074.30 | $5.86 | 1.14% |
Hypothetical example | 1,000.00 | 1,019.10 | 5.71 | 1.14% | |
Class C | Actual expenses/actual returns | 1,000.00 | 1,070.40 | 9.70 | 1.89% |
Hypothetical example | 1,000.00 | 1,015.40 | 9.44 | 1.89% | |
Class I | Actual expenses/actual returns | 1,000.00 | 1,075.70 | 4.58 | 0.89% |
Hypothetical example | 1,000.00 | 1,020.40 | 4.46 | 0.89% | |
Class R2 | Actual expenses/actual returns | 1,000.00 | 1,073.80 | 6.53 | 1.27% |
Hypothetical example | 1,000.00 | 1,018.50 | 6.36 | 1.27% | |
Class R5 | Actual expenses/actual returns | 1,000.00 | 1,076.00 | 4.27 | 0.83% |
Hypothetical example | 1,000.00 | 1,020.70 | 4.16 | 0.83% | |
Class R6 | Actual expenses/actual returns | 1,000.00 | 1,076.30 | 4.07 | 0.79% |
Hypothetical example | 1,000.00 | 1,020.90 | 3.96 | 0.79% |
1 | Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). |
6 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
Shares | Value | ||||
Common stocks 98.6% | $1,520,665,068 | ||||
(Cost $1,153,919,590) | |||||
Communication services 1.5% | 23,188,280 | ||||
Media 1.5% | |||||
Charter Communications, Inc., Class A (A) | 62,892 | 23,188,280 | |||
Consumer discretionary 22.6% | 349,164,290 | ||||
Automobile components 6.0% | |||||
Lear Corp. | 501,367 | 64,004,511 | |||
Magna International, Inc. (B) | 553,912 | 28,892,050 | |||
Hotels, restaurants and leisure 3.3% | |||||
Booking Holdings, Inc. (A) | 18,712 | 50,266,233 | |||
Household durables 5.2% | |||||
Mohawk Industries, Inc. (A) | 327,302 | 34,661,282 | |||
Newell Brands, Inc. | 3,816,773 | 46,373,792 | |||
Textiles, apparel and luxury goods 8.1% | |||||
Gildan Activewear, Inc. (B) | 1,581,548 | 51,526,834 | |||
PVH Corp. | 345,624 | 29,657,995 | |||
Skechers USA, Inc., Class A (A) | 823,117 | 43,781,593 | |||
Energy 4.1% | 64,020,207 | ||||
Energy equipment and services 2.9% | |||||
Halliburton Company | 654,600 | 21,438,150 | |||
NOV, Inc. | 1,420,515 | 23,793,626 | |||
Oil, gas and consumable fuels 1.2% | |||||
Shell PLC, ADR | 303,137 | 18,788,431 | |||
Financials 31.9% | 491,747,363 | ||||
Banks 13.6% | |||||
Bank of America Corp. | 1,272,908 | 37,270,746 | |||
Citigroup, Inc. | 1,471,375 | 69,257,621 | |||
JPMorgan Chase & Co. | 276,539 | 38,228,751 | |||
Wells Fargo & Company | 1,630,328 | 64,805,538 | |||
Capital markets 2.8% | |||||
The Goldman Sachs Group, Inc. | 83,097 | 28,538,834 | |||
UBS Group AG | 723,659 | 14,654,095 | |||
Consumer finance 3.6% | |||||
Capital One Financial Corp. | 569,698 | 55,431,615 | |||
Financial services 4.8% | |||||
Equitable Holdings, Inc. | 1,578,524 | 41,025,839 | |||
Voya Financial, Inc. | 424,831 | 32,491,075 |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 7 |
Shares | Value | ||||
Financials (continued) | |||||
Insurance 7.1% | |||||
American International Group, Inc. | 665,488 | $35,297,484 | |||
Axis Capital Holdings, Ltd. | 609,098 | 34,438,401 | |||
MetLife, Inc. | 657,221 | 40,307,364 | |||
Health care 12.0% | 184,381,099 | ||||
Health care equipment and supplies 3.3% | |||||
GE HealthCare Technologies, Inc. (A) | 206,800 | 16,821,112 | |||
Medtronic PLC | 377,398 | 34,324,348 | |||
Health care providers and services 5.5% | |||||
Cardinal Health, Inc. | 210,727 | 17,300,687 | |||
Fresenius Medical Care AG & Company KGaA, ADR | 2,737,950 | 66,313,149 | |||
Pharmaceuticals 3.2% | |||||
Bristol-Myers Squibb Company | 552,313 | 36,877,939 | |||
Pfizer, Inc. | 327,690 | 12,743,864 | |||
Industrials 10.3% | 159,660,236 | ||||
Industrial conglomerates 4.0% | |||||
General Electric Company | 619,103 | 61,272,624 | |||
Machinery 2.8% | |||||
Wabtec Corp. | 452,651 | 44,210,423 | |||
Professional services 3.5% | |||||
SS&C Technologies Holdings, Inc. | 925,473 | 54,177,189 | |||
Information technology 7.3% | 112,493,552 | ||||
Electronic equipment, instruments and components 1.9% | |||||
TE Connectivity, Ltd. | 243,134 | 29,752,308 | |||
IT services 5.4% | |||||
Amdocs, Ltd. | 339,598 | 30,988,318 | |||
Cognizant Technology Solutions Corp., Class A | 866,738 | 51,752,926 | |||
Materials 5.0% | 76,553,311 | ||||
Chemicals 5.0% | |||||
Dow, Inc. | 1,407,230 | 76,553,311 | |||
Utilities 3.9% | 59,456,730 | ||||
Electric utilities 3.9% | |||||
Edison International | 807,836 | 59,456,730 | |||
8 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Yield (%) | Shares | Value | |||
Short-term investments 1.6% | $23,960,343 | ||||
(Cost $23,956,569) | |||||
Short-term funds 1.6% | 23,960,343 | ||||
John Hancock Collateral Trust (C) | 4.9058(D) | 1,019,911 | 10,196,152 | ||
State Street Institutional Treasury Money Market Fund, Premier Class | 4.6703(D) | 13,764,191 | 13,764,191 |
Total investments (Cost $1,177,876,159) 100.2% | $1,544,625,411 | ||||
Other assets and liabilities, net (0.2%) | (2,701,385) | ||||
Total net assets 100.0% | $1,541,924,026 |
The percentage shown for each investment category is the total value of the category as a percentage of the net assets of the fund. | |
Security Abbreviations and Legend | |
ADR | American Depositary Receipt |
(A) | Non-income producing security. |
(B) | All or a portion of this security is on loan as of 4-30-23. |
(C) | Investment is an affiliate of the fund, the advisor and/or subadvisor. This security represents the investment of cash collateral received for securities lending. |
(D) | The rate shown is the annualized seven-day yield as of 4-30-23. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 9 |
Assets | |
Unaffiliated investments, at value (Cost $1,167,683,781) including $9,963,207 of securities loaned | $1,534,429,259 |
Affiliated investments, at value (Cost $10,192,378) | 10,196,152 |
Total investments, at value (Cost $1,177,876,159) | 1,544,625,411 |
Dividends and interest receivable | 2,594,045 |
Receivable for fund shares sold | 2,196,214 |
Receivable for investments sold | 4,894,802 |
Receivable for securities lending income | 4,078 |
Other assets | 291,565 |
Total assets | 1,554,606,115 |
Liabilities | |
Payable for investments purchased | 102,491 |
Payable for fund shares repurchased | 973,075 |
Payable upon return of securities loaned | 10,181,327 |
Payable to affiliates | |
Investment management fees | 890,539 |
Accounting and legal services fees | 83,177 |
Transfer agent fees | 128,909 |
Distribution and service fees | 71,451 |
Trustees’ fees | 2,789 |
Other liabilities and accrued expenses | 248,331 |
Total liabilities | 12,682,089 |
Net assets | $1,541,924,026 |
Net assets consist of | |
Paid-in capital | $1,149,326,803 |
Total distributable earnings (loss) | 392,597,223 |
Net assets | $1,541,924,026 |
10 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Net asset value per share | |
Based on net asset value and shares outstanding - the fund has an unlimited number of shares authorized with no par value | |
Class A ($327,823,001 ÷ 9,849,399 shares)1 | $33.28 |
Class C ($5,353,433 ÷ 164,476 shares)1 | $32.55 |
Class I ($1,087,269,294 ÷ 32,583,480 shares) | $33.37 |
Class R2 ($2,307,310 ÷ 69,435 shares) | $33.23 |
Class R5 ($208,029 ÷ 6,227 shares) | $33.41 |
Class R6 ($118,962,959 ÷ 3,560,322 shares) | $33.41 |
Maximum offering price per share | |
Class A (net asset value per share ÷ 95%)2 | $35.03 |
1 | Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge. |
2 | On single retail sales of less than $50,000. On sales of $50,000 or more and on group sales the offering price is reduced. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 11 |
Investment income | |
Dividends | $20,363,459 |
Interest | 388,929 |
Securities lending | 11,967 |
Less foreign taxes withheld | (145,721) |
Total investment income | 20,618,634 |
Expenses | |
Investment management fees | 5,965,733 |
Distribution and service fees | 451,827 |
Accounting and legal services fees | 153,869 |
Transfer agent fees | 902,449 |
Trustees’ fees | 22,904 |
Custodian fees | 87,800 |
State registration fees | 69,549 |
Printing and postage | 105,047 |
Professional fees | 72,165 |
Other | 108,898 |
Total expenses | 7,940,241 |
Less expense reductions | (60,393) |
Net expenses | 7,879,848 |
Net investment income | 12,738,786 |
Realized and unrealized gain (loss) | |
Net realized gain (loss) on | |
Unaffiliated investments | 67,581,952 |
Affiliated investments | 11,393 |
67,593,345 | |
Change in net unrealized appreciation (depreciation) of | |
Unaffiliated investments | 52,160,511 |
Affiliated investments | 3,774 |
52,164,285 | |
Net realized and unrealized gain | 119,757,630 |
Increase in net assets from operations | $132,496,416 |
12 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Six months ended 4-30-23 (unaudited) | Year ended 10-31-22 | |
Increase (decrease) in net assets | ||
From operations | ||
Net investment income | $12,738,786 | $33,847,027 |
Net realized gain | 67,593,345 | 284,899,919 |
Change in net unrealized appreciation (depreciation) | 52,164,285 | (500,441,788) |
Increase (decrease) in net assets resulting from operations | 132,496,416 | (181,694,842) |
Distributions to shareholders | ||
From earnings | ||
Class A | (54,064,048) | (2,438,172) |
Class C | (943,536) | — |
Class I | (213,626,082) | (20,948,946) |
Class R2 | (354,523) | (12,411) |
Class R5 | (30,934) | (1,644) |
Class R6 | (20,227,850) | (1,466,879) |
Total distributions | (289,246,973) | (24,868,052) |
From fund share transactions | (117,495,797) | (1,111,371,318) |
Total decrease | (274,246,354) | (1,317,934,212) |
Net assets | ||
Beginning of period | 1,816,170,380 | 3,134,104,592 |
End of period | $1,541,924,026 | $1,816,170,380 |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 13 |
CLASS A SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $37.10 | $40.19 | $23.99 | $31.31 | $31.52 | $32.32 |
Net investment income2 | 0.22 | 0.41 | 0.25 | 0.35 | 0.61 | 0.46 |
Net realized and unrealized gain (loss) on investments | 1.95 | (3.27) | 16.35 | (6.18) | (0.15) | (0.94) |
Total from investment operations | 2.17 | (2.86) | 16.60 | (5.83) | 0.46 | (0.48) |
Less distributions | ||||||
From net investment income | (0.60) | (0.23) | (0.40) | (0.78) | (0.39) | (0.32) |
From net realized gain | (5.39) | — | — | (0.71) | (0.28) | — |
Total distributions | (5.99) | (0.23) | (0.40) | (1.49) | (0.67) | (0.32) |
Net asset value, end of period | $33.28 | $37.10 | $40.19 | $23.99 | $31.31 | $31.52 |
Total return (%)3,4 | 7.435 | (7.13) | 69.72 | (19.83) | 1.67 | (1.53) |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $328 | $346 | $416 | $249 | $334 | $348 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.156 | 1.13 | 1.15 | 1.19 | 1.18 | 1.17 |
Expenses including reductions | 1.146 | 1.13 | 1.14 | 1.18 | 1.17 | 1.16 |
Net investment income | 1.326 | 1.07 | 0.68 | 1.36 | 2.00 | 1.37 |
Portfolio turnover (%) | 11 | 18 | 25 | 35 | 35 | 28 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Does not reflect the effect of sales charges, if any. |
5 | Not annualized. |
6 | Annualized. |
14 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS C SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $36.24 | $39.32 | $23.50 | $30.72 | $30.89 | $31.69 |
Net investment income (loss)2 | 0.10 | 0.12 | (0.02) | 0.18 | 0.39 | 0.26 |
Net realized and unrealized gain (loss) on investments | 1.91 | (3.20) | 16.06 | (6.14) | (0.14) | (0.97) |
Total from investment operations | 2.01 | (3.08) | 16.04 | (5.96) | 0.25 | (0.71) |
Less distributions | ||||||
From net investment income | (0.31) | — | (0.22) | (0.55) | (0.14) | (0.09) |
From net realized gain | (5.39) | — | — | (0.71) | (0.28) | — |
Total distributions | (5.70) | — | (0.22) | (1.26) | (0.42) | (0.09) |
Net asset value, end of period | $32.55 | $36.24 | $39.32 | $23.50 | $30.72 | $30.89 |
Total return (%)3,4 | 7.045 | (7.83) | 68.52 | (20.47) | 0.92 | (2.25) |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $5 | $7 | $8 | $9 | $20 | $26 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.906 | 1.88 | 1.90 | 1.94 | 1.93 | 1.92 |
Expenses including reductions | 1.896 | 1.88 | 1.89 | 1.93 | 1.92 | 1.91 |
Net investment income (loss) | 0.586 | 0.32 | (0.05) | 0.67 | 1.31 | 0.76 |
Portfolio turnover (%) | 11 | 18 | 25 | 35 | 35 | 28 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Does not reflect the effect of sales charges, if any. |
5 | Not annualized. |
6 | Annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 15 |
CLASS I SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $37.24 | $40.34 | $24.06 | $31.40 | $31.62 | $32.42 |
Net investment income2 | 0.27 | 0.51 | 0.34 | 0.43 | 0.69 | 0.55 |
Net realized and unrealized gain (loss) on investments | 1.95 | (3.28) | 16.41 | (6.20) | (0.16) | (0.95) |
Total from investment operations | 2.22 | (2.77) | 16.75 | (5.77) | 0.53 | (0.40) |
Less distributions | ||||||
From net investment income | (0.70) | (0.33) | (0.47) | (0.86) | (0.47) | (0.40) |
From net realized gain | (5.39) | — | — | (0.71) | (0.28) | — |
Total distributions | (6.09) | (0.33) | (0.47) | (1.57) | (0.75) | (0.40) |
Net asset value, end of period | $33.37 | $37.24 | $40.34 | $24.06 | $31.40 | $31.62 |
Total return (%)3 | 7.574 | (6.90) | 70.19 | (19.65) | 1.93 | (1.29) |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $1,087 | $1,335 | $2,545 | $886 | $1,429 | $1,518 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.905 | 0.88 | 0.90 | 0.94 | 0.94 | 0.93 |
Expenses including reductions | 0.895 | 0.88 | 0.89 | 0.93 | 0.93 | 0.92 |
Net investment income | 1.565 | 1.31 | 0.92 | 1.66 | 2.24 | 1.62 |
Portfolio turnover (%) | 11 | 18 | 25 | 35 | 35 | 28 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Annualized. |
16 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS R2 SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $37.01 | $40.10 | $23.93 | $31.23 | $31.44 | $32.24 |
Net investment income2 | 0.20 | 0.36 | 0.20 | 0.35 | 0.47 | 0.40 |
Net realized and unrealized gain (loss) on investments | 1.95 | (3.27) | 16.34 | (6.20) | (0.06) | (0.92) |
Total from investment operations | 2.15 | (2.91) | 16.54 | (5.85) | 0.41 | (0.52) |
Less distributions | ||||||
From net investment income | (0.54) | (0.18) | (0.37) | (0.74) | (0.34) | (0.28) |
From net realized gain | (5.39) | — | — | (0.71) | (0.28) | — |
Total distributions | (5.93) | (0.18) | (0.37) | (1.45) | (0.62) | (0.28) |
Net asset value, end of period | $33.23 | $37.01 | $40.10 | $23.93 | $31.23 | $31.44 |
Total return (%)3 | 7.384 | (7.27) | 69.57 | (19.93) | 1.50 | (1.66) |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $2 | $2 | $3 | $2 | $—5 | $9 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.286 | 1.26 | 1.28 | 1.32 | 1.30 | 1.32 |
Expenses including reductions | 1.276 | 1.25 | 1.27 | 1.31 | 1.29 | 1.31 |
Net investment income | 1.176 | 0.94 | 0.56 | 1.39 | 1.50 | 1.21 |
Portfolio turnover (%) | 11 | 18 | 25 | 35 | 35 | 28 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Less than $500,000. |
6 | Annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 17 |
CLASS R5 SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $37.29 | $40.39 | $24.09 | $31.42 | $31.65 | $32.44 |
Net investment income2 | 0.27 | 0.52 | 0.36 | 0.49 | 0.66 | 0.57 |
Net realized and unrealized gain (loss) on investments | 1.95 | (3.27) | 16.42 | (6.24) | (0.12) | (0.94) |
Total from investment operations | 2.22 | (2.75) | 16.78 | (5.75) | 0.54 | (0.37) |
Less distributions | ||||||
From net investment income | (0.71) | (0.35) | (0.48) | (0.87) | (0.49) | (0.42) |
From net realized gain | (5.39) | — | — | (0.71) | (0.28) | — |
Total distributions | (6.10) | (0.35) | (0.48) | (1.58) | (0.77) | (0.42) |
Net asset value, end of period | $33.41 | $37.29 | $40.39 | $24.09 | $31.42 | $31.65 |
Total return (%)3 | 7.604 | (6.85) | 70.30 | (19.56) | 1.97 | (1.22) |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $—5 | $—5 | $—5 | $—5 | $—5 | $—5 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.846 | 0.83 | 0.85 | 0.87 | 0.88 | 0.87 |
Expenses including reductions | 0.836 | 0.82 | 0.84 | 0.86 | 0.87 | 0.87 |
Net investment income | 1.616 | 1.34 | 0.97 | 1.81 | 2.17 | 1.68 |
Portfolio turnover (%) | 11 | 18 | 25 | 35 | 35 | 28 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Less than $500,000. |
6 | Annualized. |
18 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS R6 SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $37.30 | $40.41 | $24.09 | $31.43 | $31.67 | $32.46 |
Net investment income2 | 0.29 | 0.55 | 0.38 | 0.46 | 0.72 | 0.57 |
Net realized and unrealized gain (loss) on investments | 1.94 | (3.29) | 16.43 | (6.20) | (0.17) | (0.93) |
Total from investment operations | 2.23 | (2.74) | 16.81 | (5.74) | 0.55 | (0.36) |
Less distributions | ||||||
From net investment income | (0.73) | (0.37) | (0.49) | (0.89) | (0.51) | (0.43) |
From net realized gain | (5.39) | — | — | (0.71) | (0.28) | — |
Total distributions | (6.12) | (0.37) | (0.49) | (1.60) | (0.79) | (0.43) |
Net asset value, end of period | $33.41 | $37.30 | $40.41 | $24.09 | $31.43 | $31.67 |
Total return (%)3 | 7.634 | (6.83) | 70.41 | (19.55) | 1.99 | (1.17) |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $119 | $126 | $163 | $253 | $360 | $384 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.795 | 0.78 | 0.80 | 0.83 | 0.83 | 0.82 |
Expenses including reductions | 0.795 | 0.77 | 0.79 | 0.82 | 0.82 | 0.81 |
Net investment income | 1.675 | 1.42 | 1.08 | 1.76 | 2.36 | 1.71 |
Portfolio turnover (%) | 11 | 18 | 25 | 35 | 35 | 28 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 19 |
20 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 21 |
22 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
Class | Expense reduction |
Class A | $11,988 |
Class C | 216 |
Class I | 43,833 |
Class R2 | 82 |
Class | Expense reduction |
Class R5 | $7 |
Class R6 | 4,267 |
Total | $60,393 |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 23 |
Class | Rule 12b-1 Fee | Service fee |
Class A | 0.25% | — |
Class C | 1.00% | — |
Class R2 | 0.25% | 0.25% |
Class R5 | — | 0.05% |
Class | Distribution and service fees | Transfer agent fees |
Class A | $416,183 | $191,338 |
Class C | 30,056 | 3,453 |
Class I | — | 701,545 |
Class R2 | 5,542 | 115 |
Class R5 | 46 | 10 |
Class R6 | — | 5,988 |
Total | $451,827 | $902,449 |
24 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
Borrower or Lender | Weighted Average Loan Balance | Days Outstanding | Weighted Average Interest Rate | Interest Income (Expense) |
Borrower | $57,840,000 | 10 | 4.095% | ($65,800) |
Six Months Ended 4-30-23 | Year Ended 10-31-22 | |||
Shares | Amount | Shares | Amount | |
Class A shares | ||||
Sold | 453,335 | $15,126,722 | 2,118,340 | $82,117,373 |
Distributions reinvested | 1,678,901 | 50,870,710 | 59,621 | 2,304,966 |
Repurchased | (1,611,284) | (53,531,978) | (3,197,654) | (122,911,844) |
Net increase (decrease) | 520,952 | $12,465,454 | (1,019,693) | $(38,489,505) |
Class C shares | ||||
Sold | 16,825 | $552,939 | 44,521 | $1,732,946 |
Distributions reinvested | 28,421 | 844,401 | — | — |
Repurchased | (61,068) | (2,078,610) | (67,383) | (2,582,490) |
Net decrease | (15,822) | $(681,270) | (22,862) | $(849,544) |
Class I shares | ||||
Sold | 4,213,823 | $144,356,473 | 11,409,844 | $452,041,877 |
Distributions reinvested | 6,811,886 | 206,740,734 | 528,953 | 20,481,044 |
Repurchased | (14,289,011) | (485,098,344) | (39,169,247) | (1,519,699,928) |
Net decrease | (3,263,302) | $(134,001,137) | (27,230,450) | $(1,047,177,007) |
Class R2 shares | ||||
Sold | 1,788 | $59,443 | 6,863 | $258,070 |
Distributions reinvested | 11,435 | 346,032 | 303 | 11,694 |
Repurchased | (4,979) | (170,212) | (13,276) | (505,727) |
Net increase (decrease) | 8,244 | $235,263 | (6,110) | $(235,963) |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 25 |
Six Months Ended 4-30-23 | Year Ended 10-31-22 | |||
Shares | Amount | Shares | Amount | |
Class R5 shares | ||||
Sold | 238 | $8,260 | 3,622 | $142,326 |
Distributions reinvested | 1,018 | 30,934 | 42 | 1,644 |
Repurchased | (27) | (869) | (133) | (5,431) |
Net increase | 1,229 | $38,325 | 3,531 | $138,539 |
Class R6 shares | ||||
Sold | 358,589 | $12,076,322 | 416,114 | $16,580,094 |
Distributions reinvested | 663,391 | 20,153,804 | 37,698 | 1,460,808 |
Repurchased | (843,937) | (27,782,558) | (1,100,750) | (42,798,740) |
Net increase (decrease) | 178,043 | $4,447,568 | (646,938) | $(24,757,838) |
Total net decrease | (2,570,656) | $(117,495,797) | (28,922,522) | $(1,111,371,318) |
Dividends and distributions | |||||||||
Affiliate | Ending share amount | Beginning value | Cost of purchases | Proceeds from shares sold | Realized gain (loss) | Change in unrealized appreciation (depreciation) | Income distributions received | Capital gain distributions received | Ending value |
John Hancock Collateral Trust* | 1,019,911 | — | $99,434,786 | $(89,253,801) | $11,393 | $3,774 | $11,967 | — | $10,196,152 |
* | Refer to the Securities lending note within Note 2 for details regarding this investment. |
26 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
• | The Fund’s investment strategy remained appropriate for an open-end fund structure; |
• | The Fund was able to meet requests for redemption without significant dilution of remaining shareholders’ interests in the Fund; |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 27 |
• | The Fund did not experience any breaches of the 15% limit on illiquid investments, or any applicable HLIM, that would require reporting to the Securities and Exchange Commission; |
• | The Fund continued to qualify as a Primarily Highly Liquid Fund under the Liquidity Rule and therefore is not required to establish a HLIM; and |
• | The Chief Compliance Officer’s office, as a part of their annual Rule 38a-1 assessment of the Fund’s policies and procedures, reviewed the LRMP’s control environment and deemed it to be operating effectively and in compliance with the Board approved procedures. |
28 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
Steven R. Pruchansky, Vice Chairperson
Andrew G. Arnott†
James R. Boyle
William H. Cunningham*
Grace K. Fey
Noni L. Ellison^
Dean C. Garfield^
Marianne Harrison†,#
Deborah C. Jackson
Patricia Lizarraga*,^
Paul Lorentz‡
Frances G. Rathke*
Gregory A. Russo
President
Chief Financial Officer
Treasurer
Secretary and Chief Legal Officer
Chief Compliance Officer
Richard S. Pzena
Benjamin S. Silver, CFA, CPA
You can also contact us: | ||
800-225-5291 | Regular mail: | Express mail: |
jhinvestments.com | John Hancock Signature Services, Inc. P.O. Box 219909 Kansas City, MO 64121-9909 | John Hancock Signature Services, Inc. 430 W 7th Street Suite 219909 Kansas City, MO 64105-1407 |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 29 |
GOVERNANCE FUNDS
with a heritage of financial stewardship dating back to 1862. Helping
our shareholders pursue their financial goals is at the core of everything
we do. It’s why we support the role of professional financial advice
and operate with the highest standards of conduct and integrity.
We search the world to find proven portfolio teams with specialized
expertise for every strategy we offer, then we apply robust investment
oversight to ensure they continue to meet our uncompromising
standards and serve the best interests of our shareholders.
a diverse set of investments backed by some of the world’s best
managers, along with strong risk-adjusted returns across asset classes.
200 Berkeley Street, Boston, MA 02116-5010, 800-225-5291, jhinvestments.com
MF2879744 | 38SA 4/23 |
Manulife Investment Management
John Hancock Investment Management
Head of Wealth and Asset Management,
United States and Europe
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 1 |
2 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
TOP 10 HOLDINGS AS OF 4/30/2023 (% of net assets) | |
Amazon.com, Inc. | 5.7 |
Microsoft Corp. | 5.4 |
Visa, Inc., Class A | 5.1 |
Alphabet, Inc., Class C | 4.2 |
S&P Global, Inc. | 4.0 |
UnitedHealth Group, Inc. | 4.0 |
Workday, Inc., Class A | 3.8 |
Ecolab, Inc. | 3.8 |
Intuit, Inc. | 3.7 |
Yum! Brands, Inc. | 3.6 |
TOTAL | 43.3 |
Cash and cash equivalents are not included. |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 3 |
4 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
Account value on 11-1-2022 | Ending value on 4-30-2023 | Expenses paid during period ended 4-30-20231 | Annualized expense ratio | ||
Class A | Actual expenses/actual returns | $1,000.00 | $1,094.60 | $5.92 | 1.14% |
Hypothetical example | 1,000.00 | 1,019.10 | 5.71 | 1.14% | |
Class C | Actual expenses/actual returns | 1,000.00 | 1,090.70 | 9.80 | 1.89% |
Hypothetical example | 1,000.00 | 1,015.40 | 9.44 | 1.89% | |
Class I | Actual expenses/actual returns | 1,000.00 | 1,096.20 | 4.63 | 0.89% |
Hypothetical example | 1,000.00 | 1,020.40 | 4.46 | 0.89% | |
Class R2 | Actual expenses/actual returns | 1,000.00 | 1,094.40 | 6.44 | 1.24% |
Hypothetical example | 1,000.00 | 1,018.60 | 6.21 | 1.24% | |
Class R6 | Actual expenses/actual returns | 1,000.00 | 1,096.60 | 4.05 | 0.78% |
Hypothetical example | 1,000.00 | 1,020.90 | 3.91 | 0.78% |
1 | Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 5 |
Shares | Value | ||||
Common stocks 98.5% | $2,226,784,520 | ||||
(Cost $1,542,914,701) | |||||
Communication services 6.6% | 148,477,444 | ||||
Entertainment 2.4% | |||||
Netflix, Inc. (A) | 166,136 | 54,813,250 | |||
Interactive media and services 4.2% | |||||
Alphabet, Inc., Class C (A) | 865,498 | 93,664,194 | |||
Consumer discretionary 12.6% | 283,470,751 | ||||
Broadline retail 5.7% | |||||
Amazon.com, Inc. (A) | 1,219,893 | 128,637,717 | |||
Hotels, restaurants and leisure 6.9% | |||||
Starbucks Corp. | 642,661 | 73,449,726 | |||
Yum! Brands, Inc. | 578,911 | 81,383,308 | |||
Consumer staples 2.9% | 64,964,184 | ||||
Consumer staples distribution and retail 2.9% | |||||
Dollar General Corp. | 293,345 | 64,964,184 | |||
Financials 21.2% | 480,101,468 | ||||
Capital markets 7.5% | |||||
MSCI, Inc. | 163,560 | 78,909,522 | |||
S&P Global, Inc. | 249,889 | 90,604,754 | |||
Consumer finance 2.6% | |||||
American Express Company | 361,794 | 58,371,844 | |||
Financial services 7.7% | |||||
FleetCor Technologies, Inc. (A) | 269,737 | 57,702,139 | |||
Visa, Inc., Class A | 499,543 | 116,258,642 | |||
Insurance 3.4% | |||||
Aon PLC, Class A | 240,650 | 78,254,567 | |||
Health care 19.3% | 436,902,822 | ||||
Biotechnology 2.9% | |||||
Regeneron Pharmaceuticals, Inc. (A) | 82,990 | 66,540,552 | |||
Health care equipment and supplies 3.0% | |||||
Intuitive Surgical, Inc. (A) | 228,089 | 68,704,969 | |||
Health care providers and services 4.0% | |||||
UnitedHealth Group, Inc. | 183,147 | 90,124,807 | |||
Life sciences tools and services 9.4% | |||||
Danaher Corp. | 326,683 | 77,394,470 | |||
IQVIA Holdings, Inc. (A) | 295,308 | 55,585,825 | |||
Thermo Fisher Scientific, Inc. | 141,561 | 78,552,199 |
6 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Shares | Value | ||||
Information technology 23.4% | $528,967,055 | ||||
Software 23.4% | |||||
Adobe, Inc. (A) | 120,008 | 45,310,220 | |||
Autodesk, Inc. (A) | 326,525 | 63,603,805 | |||
Intuit, Inc. | 185,410 | 82,312,770 | |||
Microsoft Corp. | 398,247 | 122,365,373 | |||
Salesforce, Inc. (A) | 363,268 | 72,061,473 | |||
ServiceNow, Inc. (A) | 124,594 | 57,240,975 | |||
Workday, Inc., Class A (A) | 462,407 | 86,072,439 | |||
Materials 9.0% | 204,080,389 | ||||
Chemicals 6.3% | |||||
Ecolab, Inc. | 503,517 | 84,510,293 | |||
The Sherwin-Williams Company | 240,693 | 57,174,215 | |||
Containers and packaging 2.7% | |||||
Ball Corp. | 1,173,296 | 62,395,881 | |||
Real estate 3.5% | 79,820,407 | ||||
Specialized REITs 3.5% | |||||
Equinix, Inc. | 110,237 | 79,820,407 | |||
Yield (%) | Shares | Value | |||
Short-term investments 1.6% | $34,969,981 | ||||
(Cost $34,969,981) | |||||
Short-term funds 1.6% | 34,969,981 | ||||
State Street Institutional U.S. Government Money Market Fund, Premier Class | 4.7429(B) | 34,969,981 | 34,969,981 |
Total investments (Cost $1,577,884,682) 100.1% | $2,261,754,501 | ||||
Other assets and liabilities, net (0.1%) | (1,533,676) | ||||
Total net assets 100.0% | $2,260,220,825 |
The percentage shown for each investment category is the total value of the category as a percentage of the net assets of the fund. | |
Security Abbreviations and Legend | |
(A) | Non-income producing security. |
(B) | The rate shown is the annualized seven-day yield as of 4-30-23. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 7 |
Assets | |
Unaffiliated investments, at value (Cost $1,577,884,682) | $2,261,754,501 |
Dividends and interest receivable | 879,384 |
Receivable for fund shares sold | 2,351,462 |
Other assets | 297,587 |
Total assets | 2,265,282,934 |
Liabilities | |
Payable for investments purchased | 80,141 |
Payable for fund shares repurchased | 2,933,648 |
Payable to affiliates | |
Investment management fees | 1,345,799 |
Accounting and legal services fees | 133,328 |
Transfer agent fees | 176,681 |
Distribution and service fees | 192,532 |
Trustees’ fees | 1,646 |
Other liabilities and accrued expenses | 198,334 |
Total liabilities | 5,062,109 |
Net assets | $2,260,220,825 |
Net assets consist of | |
Paid-in capital | $1,687,901,552 |
Total distributable earnings (loss) | 572,319,273 |
Net assets | $2,260,220,825 |
Net asset value per share | |
Based on net asset value and shares outstanding - the fund has an unlimited number of shares authorized with no par value | |
Class A ($808,916,850 ÷ 15,198,193 shares)1 | $53.22 |
Class C ($31,935,253 ÷ 810,009 shares)1 | $39.43 |
Class I ($1,061,355,656 ÷ 17,778,616 shares) | $59.70 |
Class R2 ($1,557,866 ÷ 27,371 shares) | $56.92 |
Class R6 ($356,455,200 ÷ 5,890,594 shares) | $60.51 |
Maximum offering price per share | |
Class A (net asset value per share ÷ 95%)2 | $56.02 |
1 | Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge. |
2 | On single retail sales of less than $50,000. On sales of $50,000 or more and on group sales the offering price is reduced. |
8 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Investment income | |
Dividends | $7,466,718 |
Interest | 665,058 |
Securities lending | 2,328 |
Total investment income | 8,134,104 |
Expenses | |
Investment management fees | 7,946,445 |
Distribution and service fees | 1,144,759 |
Accounting and legal services fees | 214,078 |
Transfer agent fees | 1,084,834 |
Trustees’ fees | 27,501 |
Custodian fees | 125,465 |
State registration fees | 65,070 |
Printing and postage | 83,482 |
Professional fees | 59,845 |
Other | 37,857 |
Total expenses | 10,789,336 |
Less expense reductions | (79,034) |
Net expenses | 10,710,302 |
Net investment loss | (2,576,198) |
Realized and unrealized gain (loss) | |
Net realized gain (loss) on | |
Unaffiliated investments | (69,983,555) |
Affiliated investments | 1,166 |
(69,982,389) | |
Change in net unrealized appreciation (depreciation) of | |
Unaffiliated investments | 276,659,345 |
276,659,345 | |
Net realized and unrealized gain | 206,676,956 |
Increase in net assets from operations | $204,100,758 |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 9 |
Six months ended 4-30-23 (unaudited) | Year ended 10-31-22 | |
Increase (decrease) in net assets | ||
From operations | ||
Net investment loss | $(2,576,198) | $(10,433,037) |
Net realized loss | (69,982,389) | (29,569,831) |
Change in net unrealized appreciation (depreciation) | 276,659,345 | (856,559,683) |
Increase (decrease) in net assets resulting from operations | 204,100,758 | (896,562,551) |
Distributions to shareholders | ||
From earnings | ||
Class A | — | (95,750,763) |
Class C | — | (7,666,046) |
Class I | — | (74,374,728) |
Class R2 | — | (174,297) |
Class R6 | — | (35,337,999) |
Total distributions | — | (213,303,833) |
From fund share transactions | (123,700,634) | 462,297,176 |
Total increase (decrease) | 80,400,124 | (647,569,208) |
Net assets | ||
Beginning of period | 2,179,820,701 | 2,827,389,909 |
End of period | $2,260,220,825 | $2,179,820,701 |
10 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS A SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $48.62 | $76.20 | $62.60 | $51.76 | $49.26 | $47.15 |
Net investment loss2 | (0.10) | (0.33) | (0.39) | (0.22) | (0.05) | (0.07) |
Net realized and unrealized gain (loss) on investments | 4.70 | (21.23) | 21.14 | 14.56 | 8.18 | 5.51 |
Total from investment operations | 4.60 | (21.56) | 20.75 | 14.34 | 8.13 | 5.44 |
Less distributions | ||||||
From net realized gain | — | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) |
Net asset value, end of period | $53.22 | $48.62 | $76.20 | $62.60 | $51.76 | $49.26 |
Total return (%)3,4 | 9.465 | (30.48) | 35.67 | 29.28 | 18.96 | 12.11 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $809 | $775 | $1,217 | $921 | $707 | $612 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.146 | 1.14 | 1.13 | 1.16 | 1.16 | 1.16 |
Expenses including reductions | 1.146 | 1.13 | 1.13 | 1.15 | 1.15 | 1.15 |
Net investment loss | (0.40)6 | (0.59) | (0.57) | (0.40) | (0.11) | (0.14) |
Portfolio turnover (%) | 12 | 31 | 32 | 50 | 32 | 42 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Does not reflect the effect of sales charges, if any. |
5 | Not annualized. |
6 | Annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 11 |
CLASS C SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $36.15 | $58.66 | $50.00 | $42.31 | $41.59 | $40.59 |
Net investment loss2 | (0.21) | (0.59) | (0.70) | (0.51) | (0.34) | (0.37) |
Net realized and unrealized gain (loss) on investments | 3.49 | (15.90) | 16.51 | 11.70 | 6.69 | 4.70 |
Total from investment operations | 3.28 | (16.49) | 15.81 | 11.19 | 6.35 | 4.33 |
Less distributions | ||||||
From net realized gain | — | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) |
Net asset value, end of period | $39.43 | $36.15 | $58.66 | $50.00 | $42.31 | $41.59 |
Total return (%)3,4 | 9.075 | (31.00) | 34.66 | 28.30 | 18.07 | 11.28 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $32 | $34 | $79 | $82 | $69 | $70 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.896 | 1.89 | 1.88 | 1.91 | 1.91 | 1.91 |
Expenses including reductions | 1.896 | 1.88 | 1.88 | 1.90 | 1.90 | 1.90 |
Net investment loss | (1.14)6 | (1.34) | (1.32) | (1.15) | (0.85) | (0.91) |
Portfolio turnover (%) | 12 | 31 | 32 | 50 | 32 | 42 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Does not reflect the effect of sales charges, if any. |
5 | Not annualized. |
6 | Annualized. |
12 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS I SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $54.46 | $84.41 | $68.49 | $56.19 | $52.86 | $50.25 |
Net investment income (loss)2 | (0.04) | (0.20) | (0.25) | (0.09) | 0.09 | 0.05 |
Net realized and unrealized gain (loss) on investments | 5.28 | (23.73) | 23.32 | 15.89 | 8.87 | 5.89 |
Total from investment operations | 5.24 | (23.93) | 23.07 | 15.80 | 8.96 | 5.94 |
Less distributions | ||||||
From net realized gain | — | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) |
Net asset value, end of period | $59.70 | $54.46 | $84.41 | $68.49 | $56.19 | $52.86 |
Total return (%)3 | 9.624 | (30.31) | 36.01 | 29.58 | 19.26 | 12.37 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $1,061 | $1,037 | $1,027 | $662 | $572 | $694 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.895 | 0.89 | 0.88 | 0.91 | 0.92 | 0.92 |
Expenses including reductions | 0.895 | 0.88 | 0.88 | 0.90 | 0.91 | 0.91 |
Net investment income (loss) | (0.15)5 | (0.32) | (0.32) | (0.15) | 0.17 | 0.09 |
Portfolio turnover (%) | 12 | 31 | 32 | 50 | 32 | 42 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 13 |
CLASS R2 SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $52.01 | $81.16 | $66.33 | $54.71 | $51.80 | $49.48 |
Net investment loss2 | (0.13) | (0.43) | (0.50) | (0.31) | (0.12) | (0.14) |
Net realized and unrealized gain (loss) on investments | 5.04 | (22.70) | 22.48 | 15.43 | 8.66 | 5.79 |
Total from investment operations | 4.91 | (23.13) | 21.98 | 15.12 | 8.54 | 5.65 |
Less distributions | ||||||
From net realized gain | — | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) |
Net asset value, end of period | $56.92 | $52.01 | $81.16 | $66.33 | $54.71 | $51.80 |
Total return (%)3 | 9.444 | (30.56) | 35.50 | 29.11 | 18.81 | 11.95 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $2 | $1 | $2 | $2 | $1 | $2 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.245 | 1.24 | 1.25 | 1.28 | 1.29 | 1.30 |
Expenses including reductions | 1.245 | 1.23 | 1.24 | 1.27 | 1.28 | 1.29 |
Net investment loss | (0.50)5 | (0.70) | (0.68) | (0.53) | (0.23) | (0.28) |
Portfolio turnover (%) | 12 | 31 | 32 | 50 | 32 | 42 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Annualized. |
14 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS R6 SHARES Period ended | 4-30-231 | 10-31-22 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 |
Per share operating performance | ||||||
Net asset value, beginning of period | $55.18 | $85.35 | $69.12 | $56.61 | $53.17 | $50.47 |
Net investment income (loss)2 | (0.01) | (0.15) | (0.17) | (0.03) | 0.13 | 0.11 |
Net realized and unrealized gain (loss) on investments | 5.34 | (24.00) | 23.55 | 16.04 | 8.94 | 5.92 |
Total from investment operations | 5.33 | (24.15) | 23.38 | 16.01 | 9.07 | 6.03 |
Less distributions | ||||||
From net realized gain | — | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) |
Net asset value, end of period | $60.51 | $55.18 | $85.35 | $69.12 | $56.61 | $53.17 |
Total return (%)3 | 9.664 | (30.23) | 36.14 | 29.74 | 19.37 | 12.50 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $356 | $332 | $501 | $353 | $199 | $143 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.795 | 0.78 | 0.78 | 0.80 | 0.81 | 0.81 |
Expenses including reductions | 0.785 | 0.77 | 0.77 | 0.79 | 0.80 | 0.80 |
Net investment income (loss) | (0.04)5 | (0.23) | (0.22) | (0.06) | 0.24 | 0.21 |
Portfolio turnover (%) | 12 | 31 | 32 | 50 | 32 | 42 |
1 | Six months ended 4-30-23. Unaudited. |
2 | Based on average daily shares outstanding. |
3 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
4 | Not annualized. |
5 | Annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 15 |
16 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 17 |
18 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
Class | Expense reduction |
Class A | $28,089 |
Class C | 1,179 |
Class I | 37,470 |
Class | Expense reduction |
Class R2 | $52 |
Class R6 | 12,244 |
Total | $79,034 |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 19 |
Class | Rule 12b-1 Fee | Service fee |
Class A | 0.25% | — |
Class C | 1.00% | — |
Class R2 | 0.25% | 0.25% |
Class | Distribution and service fees | Transfer agent fees |
Class A | $977,152 | $449,257 |
Class C | 164,296 | 18,886 |
Class I | — | 599,353 |
Class R2 | 3,311 | 74 |
Class R6 | — | 17,264 |
Total | $1,144,759 | $1,084,834 |
20 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
Six Months Ended 4-30-23 | Year Ended 10-31-22 | |||
Shares | Amount | Shares | Amount | |
Class A shares | ||||
Sold | 574,907 | $29,025,814 | 1,362,617 | $78,622,809 |
Distributions reinvested | — | — | 1,370,191 | 92,076,866 |
Repurchased | (1,321,749) | (66,727,269) | (2,765,251) | (155,995,173) |
Net increase (decrease) | (746,842) | $(37,701,455) | (32,443) | $14,704,502 |
Class C shares | ||||
Sold | 38,123 | $1,433,723 | 99,093 | $4,440,724 |
Distributions reinvested | — | — | 146,090 | 7,348,338 |
Repurchased | (182,089) | (6,848,267) | (646,311) | (28,564,307) |
Net decrease | (143,966) | $(5,414,544) | (401,128) | $(16,775,245) |
Class I shares | ||||
Sold | 2,030,766 | $114,974,384 | 10,791,716 | $670,984,487 |
Distributions reinvested | — | — | 959,820 | 72,101,700 |
Repurchased | (3,290,346) | (188,336,098) | (4,878,878) | (294,832,431) |
Net increase (decrease) | (1,259,580) | $(73,361,714) | 6,872,658 | $448,253,756 |
Class R2 shares | ||||
Sold | 699 | $37,553 | 3,975 | $243,971 |
Distributions reinvested | — | — | 2,161 | 155,504 |
Repurchased | (443) | (23,899) | (7,966) | (491,575) |
Net increase (decrease) | 256 | $13,654 | (1,830) | $(92,100) |
Class R6 shares | ||||
Sold | 592,978 | $34,012,313 | 1,190,877 | $77,083,838 |
Distributions reinvested | — | — | 464,157 | 35,289,864 |
Repurchased | (717,917) | (41,248,888) | (1,512,773) | (96,167,439) |
Net increase (decrease) | (124,939) | $(7,236,575) | 142,261 | $16,206,263 |
Total net increase (decrease) | (2,275,071) | $(123,700,634) | 6,579,518 | $462,297,176 |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 21 |
Dividends and distributions | |||||||||
Affiliate | Ending share amount | Beginning value | Cost of purchases | Proceeds from shares sold | Realized gain (loss) | Change in unrealized appreciation (depreciation) | Income distributions received | Capital gain distributions received | Ending value |
John Hancock Collateral Trust* | — | — | $20,886,105 | $(20,887,271) | $1,166 | — | $2,328 | — | — |
* | Refer to the Securities lending note within Note 2 for details regarding this investment. |
22 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
• | The Fund’s investment strategy remained appropriate for an open-end fund structure; |
• | The Fund was able to meet requests for redemption without significant dilution of remaining shareholders’ interests in the Fund; |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 23 |
• | The Fund did not experience any breaches of the 15% limit on illiquid investments, or any applicable HLIM, that would require reporting to the Securities and Exchange Commission; |
• | The Fund continued to qualify as a Primarily Highly Liquid Fund under the Liquidity Rule and therefore is not required to establish a HLIM; and |
• | The Chief Compliance Officer’s office, as a part of their annual Rule 38a-1 assessment of the Fund’s policies and procedures, reviewed the LRMP’s control environment and deemed it to be operating effectively and in compliance with the Board approved procedures. |
24 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
Steven R. Pruchansky, Vice Chairperson
Andrew G. Arnott†
James R. Boyle
William H. Cunningham*
Grace K. Fey
Noni L. Ellison^
Dean C. Garfield^
Marianne Harrison†,#
Deborah C. Jackson
Patricia Lizarraga*,^
Paul Lorentz‡
Frances G. Rathke*
Gregory A. Russo
President
Chief Financial Officer
Treasurer
Secretary and Chief Legal Officer
Chief Compliance Officer
Kishore Rao
Robert L. Rohn
You can also contact us: | ||
800-225-5291 | Regular mail: | Express mail: |
jhinvestments.com | John Hancock Signature Services, Inc. P.O. Box 219909 Kansas City, MO 64121-9909 | John Hancock Signature Services, Inc. 430 W 7th Street Suite 219909 Kansas City, MO 64105-1407 |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 25 |
GOVERNANCE FUNDS
with a heritage of financial stewardship dating back to 1862. Helping
our shareholders pursue their financial goals is at the core of everything
we do. It’s why we support the role of professional financial advice
and operate with the highest standards of conduct and integrity.
We search the world to find proven portfolio teams with specialized
expertise for every strategy we offer, then we apply robust investment
oversight to ensure they continue to meet our uncompromising
standards and serve the best interests of our shareholders.
a diverse set of investments backed by some of the world’s best
managers, along with strong risk-adjusted returns across asset classes.
200 Berkeley Street, Boston, MA 02116-5010, 800-225-5291, jhinvestments.com
MF2879876 | 26SA 4/23 |
ITEM 2. CODE OF ETHICS.
Not Applicable
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not Applicable
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not Applicable
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
Not Applicable
ITEM 6. SCHEDULE OF INVESTMENTS.
(a)Not applicable
(b)Not applicable
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED- END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
The registrant has adopted procedures by which shareholders may recommend nominees to the registrant's Board of Trustees. A copy of the procedures is filed as an exhibit to this Form N-CSR. See attached "John Hancock Funds – Nominating, Governance and Administration Committee Charter."
ITEM 11. CONTROLS AND PROCEDURES.
(a)Based upon their evaluation of the registrant's disclosure controls and procedures as conducted within 90 days of the filing date of this Form N-CSR, the registrant's principal executive officer and principal financial officer have concluded that those disclosure controls and procedures provide reasonable assurance that the material information required to be disclosed by the registrant on this report is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms.
(b)There were no changes in the registrant's internal control over financial reporting that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting.
ITEM 12. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 13. EXHIBITS.
(a)(1) Not applicable.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
John Hancock Capital Series
By: | /s/ Andrew Arnott |
| -------------------------- |
| Andrew Arnott |
| President |
Date: | June 1, 2023 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/ Andrew Arnott |
| --------------------------- |
| Andrew Arnott |
| President |
Date: | June 1, 2023 |
By: | /s/ Charles A. Rizzo |
| ----------------------------- |
| Charles A. Rizzo |
| Chief Financial Officer |
Date: | June 1, 2023 |