John Hancock Investment Management Celebrates 50-year Anniversary of Bond Fund
John Hancock Investment Management, a company of Manulife Investment Management, announced today that John Hancock Bond Fund (JHBIX) has celebrated its 50-year anniversary. As of October 31, 2023, the fund received a 4-star overall rating out of 567 funds in the intermediate core-plus bond fund Morningstar category. It was rated 3 stars out of 567 funds for the 3-year period, 3 stars out of 532 funds for the 5-year period, and 4 stars out of 375 funds for the 10-year period.* The hypothetical growth of a $10,000 investment at fund inception on November 9, 1973, would be more than $239,000 as of September 30, 2023.
“John Hancock Bond Fund is one of the oldest fixed-income funds in its peer group and countless market participants have turned to the fund over five decades to help construct more diversified portfolios with income potential that sit at the core of various types of investment strategies,” said Kristie Feinberg, president and CEO, John Hancock Investment Management, and head of the U.S. and Europe, Manulife Investment Management. “The current market may be uncertain, but high-quality fixed-income allocations may bring relative performance to a portfolio, as compared with riskier assets, in a volatile macroeconomic environment.”
The fund seeks high current income consistent with a prudent level of risk by pursuing a variety of opportunities offered primarily by the U.S. government, corporate bonds, and securitized assets. The Manulife Investment Management team, led by veteran Senior Portfolio Managers and Co-Heads of U.S. Core and Core-Plus Fixed Income Howard C. Greene, CFA, and Jeffrey N. Given, CFA, and includes Portfolio Managers Pranay Sonalkar, CFA, and Connor Minnaar, CFA, has more than 100 years of combined management experience, and the co-heads of the team have an average tenure of 20 years managing the fund.
The team’s investment process is consistent and follows a fundamentally driven approach that focuses on security selection and sector allocation as the primary driver of returns while striving to take a prudent approach to managing risk exposure. The fund has outperformed the Morningstar intermediate core-plus bond fund category average 95% of the time over all rolling 5-year periods as of September 30, 2023, under the current portfolio management team leadership.1
“After a nearly 40-year bull market for fixed income ended only recently, bonds are generating investor demand as current high interest rates have created new opportunities for investors,” added Howard. “Bond yields are at their highest level in a decade or more and, in addition to these yields, prices are trading well below their historical averages.”
“Through the years, we’ve continued to believe that the best offense is a good defense,” added Jeff. “The team will remain patient and continue to prioritize quality and liquidity in security selection within the portfolio, so we’re well positioned for whatever lies ahead.”
Find more information on the management team’s investment outlook here.
John Hancock Bond Fund (JHBIX)2
Average annual total returns (%)
as of 9/30/23
Net (what you pay): 0.47%3
Life of fund
Without sales charge
The performance data shown represents past performance, which does not guarantee future results. Investment returns and principal value will fluctuate, so that investors' shares, when sold, may be worth more or less than their original cost. See performance data current to the most recent month end, which may be higher or lower than that cited. Performance figures assume that all distributions are reinvested.
*For each managed product, including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts, with at least a 3-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-Adjusted Return that accounts for variation in a fund's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. Exchange-traded funds and open-end mutual funds are considered a single population for comparative purposes. The top 10.0% of funds in each category, the next 22.5%, 35.0%, 22.5%, and bottom 10.0% receive 5, 4, 3, 2, or 1 star(s), respectively. The overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its 3-, 5-, and 10-year (if applicable) Morningstar Rating metrics. The rating formula most heavily weights the 3-year rating using the following calculation: 100% 3-year rating for 36 to 59 months of total returns, 60% 5-year rating/40% 3-year rating for 60 to 119 months of total returns, and 50% 10-year rating/30% 5-year rating/20% 3-year rating for 120 or more months of total returns. For complete performance information, visit jhinvestments.com. Other share classes may be rated differently. All funds may experience periods of negative performance. Past performance does not guarantee future results.
© 2023 Morningstar, Inc. All rights reserved. The information contained herein (1) is proprietary to Morningstar and/or its content providers, (2) may not be copied or distributed, and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance does not guarantee future results.
Fixed-income investments are subject to interest-rate and credit risk; their value will normally decline as interest rates rise or if an issuer is unable or unwilling to make principal or interest payments. Investments in higher-yielding, lower-rated securities include a higher risk of default. Foreign investing, especially in emerging markets, has additional risks, such as currency and market volatility and political and social instability. Mortgage- and asset-backed securities may be sensitive to changes in interest rates, and may be subject to early repayment and the market’s perception of issuer creditworthiness. Liquidity—the extent to which a security may be sold or a derivative position closed without negatively affecting its market value, if at all—may be impaired by reduced trading volume, heightened volatility, rising interest rates, and other market conditions. The use of hedging and derivatives could produce disproportionate gains or losses and may increase costs. Fund distributions generally depend on income from underlying investments and may vary or cease altogether in the future. Please see the fund’s prospectus for additional risks.
Request a prospectus or summary prospectus from your financial professional, by visiting jhinvestments.com, or by calling us at 800-225-5291. The prospectus includes investment objectives, risks, fees, expenses, and other information that you should consider carefully before investing.
John Hancock Investment Management Distributors LLC, Member FINRA, SIPC
200 Berkeley Street, Boston, MA, 800-225-6020, jhinvestments.com
About John Hancock Investment Management
A company of Manulife Investment Management, we serve investors through a unique multimanager approach, complementing our extensive in-house capabilities with an unrivaled network of specialized asset managers, backed by some of the most rigorous investment oversight in the industry. The result is a diverse lineup of time-tested investments from a premier asset manager with a heritage of financial stewardship.
About Manulife Investment Management
Manulife Investment Management is the brand for the global wealth and asset management segment of Manulife Financial Corporation. Our mission is to make decisions easier and lives better by empowering investors for a better tomorrow. Serving more than 17 million individuals, institutions, and retirement plan members, we believe our global reach, complementary businesses, and the strength of our parent company position us to help investors capitalize on today’s emerging global trends. We provide our clients access to public and private investment solutions across equities, fixed income, multi-asset, alternative, and sustainability-linked strategies, such as natural capital, to help them make more informed financial decisions and achieve their investment objectives. Not all offerings are available in all jurisdictions. For additional information, please visit manulifeim.com.
1 Morningstar, as of 10/01/2002. Based on Class I share total returns. Results for other periods will vary. Other share classes may be rated differently. Past performance does not guarantee future results. 2. 11/9/73 is the inception date for the oldest class of shares, Class A shares. Class I shares were first offered on 9/4/01; returns prior to this date are those of Class A shares and have not been adjusted for expenses; otherwise, returns would vary. 3. “Net (what you pay) is contractual through 7/31/25 and is subject to change.