John Hancock Investment Management launches International High Dividend ETF
BOSTON, December 21, 2022—John Hancock Investment Management, a company of Manulife Investment Management, announced today that it has launched John Hancock International High Dividend ETF (NYSE: JHID). The new ETF is actively managed and subadvised by Manulife Investment Management (US) LLC, John Hancock Investment Management's affiliated asset manager.
The investment objective of JHID is to seek a high level of current income, with long-term growth of capital as a secondary objective. Under normal market conditions, the fund invests at least 80% of its net assets in dividend-paying large- and mid-cap equity securities of non-U.S. developed-market companies. These dividend-paying large- and mid-cap equity securities are incorporated in, or have their primary listing exchange in, developed markets, excluding the United States.
“We’re pleased to expand our ETF suite, and once again tap the expertise of our affiliated asset manager, Manulife Investment Management, and its systematic equity portfolio management team,” said Steve Deroian, co-head of retail product, John Hancock Investment Management. “We’re aware of the hurdles investors faced this year with unique market conditions persisting and overall returns being challenged. We anticipate a demand for equity income to continue into 2023 and beyond as investors refocus their portfolios.”
The portfolio managers of JHID are Geoff Kelley, CFA, senior portfolio manager, global head of strategic asset allocation and systematic equity, multi-asset solutions team; Boncana Maiga, CFA, CIM, portfolio manager; and Ashikhusein Shahpurwala, CFA, PRM, managing director and senior portfolio manager.
“According to Morningstar data, $45 billion has flowed into dividend-focused ETFs over the first 10 months of this year alone,” added Jeff Duckworth, president, U.S. intermediary distribution, John Hancock Investment Management.* “We’re pleased to provide investors with another potential yield solution that may help them address their needs for both income and diversification through exposure to non-U.S. developed-market companies.”
With this announcement, John Hancock Investment Management's ETFs total 10 funds, including the multifactor equity suite subadvised by Dimensional Fund Advisors and the income-focused ETFs subadvised by Manulife Investment Management.
*Morningstar data as of 10/31/22 shows dividend-focused ETFs represented by ETFs with Morningstar objective “equity income.”
Investing involves risks, including the potential loss of principal. There is no guarantee that a fund’s investment strategy will be successful. Foreign investing, especially in emerging markets, has additional risks, such as currency and market volatility and political and social instability. The fund may cease or reduce the level of its distribution if income or dividends paid from its investments decline. The value of a company’s equity securities is subject to change in the company’s financial condition and overall market and economic conditions. Quantitative models may not accurately predict future market movements or characteristics, which may negatively affect performance. The stock prices of midsize companies can change more frequently and dramatically than those of large companies, and large company stocks could fall out of favor. Preferred stock dividends are payable only if declared by the issuer’s board and may be subject to redemption provisions. Convertible securities generally offer lower interest or dividend yields than nonconvertible fixed-income securities of similar credit quality because of the potential for capital appreciation. The market values of convertible securities tend to decline as interest rates increase and, conversely, to increase as interest rates decline. Warrant prices may be more volatile than the price of the underlying securities and may offer greater potential for capital appreciation as well as capital loss. Warrant holders do not have dividends, voting rights, or rights to the assets of an issuer, and warrants cease to have value if not exercised prior to the expiration date. REITs may decline in value, just like direct ownership of real estate. The use of hedging and derivatives could produce disproportionate gains or losses and may increase costs. It is possible that an active trading market for fund shares will not develop, which may hurt your ability to buy or sell fund shares, particularly in times of market stress. Trading securities actively can increase transaction costs, therefore lowering performance and taxable distributions. 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. A portfolio concentrated in one sector that holds a limited number of securities may fluctuate more than a more broadly diversified fund. Fund distributions generally depend on income from underlying investments and may vary or cease altogether in the future. Shares may trade at a premium or discount to their NAV in the secondary market. These variations may be greater when markets are volatile or subject to unusual conditions. There can be no assurance that active trading markets for the shares will develop or be maintained by market makers or authorized participants. Please see the fund’s prospectus for additional risks.
Request a prospectus or summary prospectus from your financial professional, by visiting jhinvestments.com/etf, or by calling us at 800-225-5291. The prospectus and summary prospectus include investment objectives, risks, fees, expenses, and other information about the fund that you should consider carefully before investing. Please read the prospectus and summary prospectus carefully before investing.
This press release is not an offer to sell these securities and is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted.
John Hancock ETFs are distributed by Foreside Fund Services, LLC in the United States, and are subadvised by Dimensional Fund Advisors LP or our affiliate Manulife Investment Management (US) LLC. Foreside is not affiliated with John Hancock Investment Management Distributors LLC, Manulife Investment Management (US) LLC, or Dimensional Fund Advisors LP.
Shares of the ETF are not redeemable with the ETF other than in creation unit aggregations. Instead, investors must buy or sell the ETF shares in the secondary market at market price (not NAV) through a broker-dealer. In doing so, the investor may incur brokerage commissions and may pay more than net asset value when buying and may receive less than net asset value when selling.
Statements in this press release that are not historical facts are forward-looking statements as defined by the United States securities laws. You should exercise caution in interpreting and relying on forward-looking statements because they are subject to uncertainties and other factors which are, in some cases, beyond the ETF's control and could cause actual results to differ materially from those set forth in the forward-looking statements.
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 global brand for the global wealth and asset management segment of Manulife Financial Corporation. We draw on more than a century of financial stewardship and the full resources of our parent company to serve individuals, institutions, and retirement plan members worldwide. Headquartered in Toronto, our leading capabilities in public and private markets are strengthened by an investment footprint that spans 19 geographies. We complement these capabilities by providing access to a network of unaffiliated asset managers from around the world. We're committed to investing responsibly across our businesses. We develop innovative global frameworks for sustainable investing, collaboratively engage with companies in our securities portfolios, and maintain a high standard of stewardship where we own and operate assets, and we believe in supporting financial well-being through our workplace retirement plans. Today, plan sponsors around the world rely on our retirement plan administration and investment expertise to help their employees plan for, save for, and live a better retirement. Not all offerings are available in all jurisdictions. For additional information, please visit manulifeim.com.
Manulife, Manulife Investment Management, Stylized M Design, and Manulife Investment Management & Stylized M Design are trademarks of The Manufacturers Life Insurance Company and are used by it, and by its affiliates under license.