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, 2022 |
ITEM 1. REPORTS TO STOCKHOLDERS
The Registrant prepared 2 semi-annual reports to shareholders for the period ended April 30, 2022. The first report applies to Classic Value Fund and the second report applies U.S. Global Leaders Growth Fund of the Registrant.
President and CEO,
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 4/30/2022 (% of net assets) | |
American International Group, Inc. | 4.6 |
General Electric Company | 4.6 |
Edison International | 4.0 |
Newell Brands, Inc. | 4.0 |
Wells Fargo & Company | 3.9 |
Amdocs, Ltd. | 3.8 |
Wabtec Corp. | 3.7 |
Citigroup, Inc. | 3.6 |
NRG Energy, Inc. | 3.6 |
Lear Corp. | 3.6 |
TOTAL | 39.4 |
Cash and cash equivalents are not included. |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 3 |
COUNTRY COMPOSITION AS OF 4/30/2022 (% of net assets) | |
United States | 89.8 |
Bermuda | 2.7 |
Germany | 2.5 |
Canada | 2.2 |
Switzerland | 1.6 |
United Kingdom | 1.2 |
TOTAL | 100.0 |
4 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
Average annual total returns (%) with maximum sales charge | Cumulative total returns (%) with maximum sales charge | ||||||
1-year | 5-year | 10-year | 6-month | 5-year | 10-year | ||
Class A | -2.33 | 6.32 | 9.46 | -8.05 | 35.85 | 146.83 | |
Class C | 1.05 | 6.61 | 9.20 | -4.55 | 37.73 | 141.05 | |
Class I1 | 3.08 | 7.69 | 10.31 | -3.08 | 44.82 | 166.86 | |
Class R21 | 2.68 | 7.27 | 9.94 | -3.28 | 42.03 | 157.87 | |
Class R51 | 3.12 | 7.75 | 10.39 | -3.08 | 45.23 | 168.70 | |
Class R61 | 3.18 | 7.80 | 10.43 | -3.05 | 45.58 | 169.59 | |
Index† | 1.32 | 9.06 | 11.17 | -3.94 | 54.26 | 188.23 |
Class A | Class C | Class I | Class R2 | Class R5 | Class R6 | |
Gross (%) | 1.13 | 1.88 | 0.88 | 1.28 | 0.83 | 0.78 |
Net (%) | 1.12 | 1.87 | 0.87 | 1.27 | 0.82 | 0.77 |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 5 |
Start date | With maximum sales charge ($) | Without sales charge ($) | Index ($) | |
Class C2 | 4-30-12 | 24,105 | 24,105 | 28,823 |
Class I1 | 4-30-12 | 26,686 | 26,686 | 28,823 |
Class R21 | 4-30-12 | 25,787 | 25,787 | 28,823 |
Class R51 | 4-30-12 | 26,870 | 26,870 | 28,823 |
Class R61 | 4-30-12 | 26,959 | 26,959 | 28,823 |
1 | For certain types of investors, as described in the fund’s prospectus. |
2 | The contingent deferred sales charge is not applicable. |
6 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 7 |
Account value on 11-1-2021 | Ending value on 4-30-2022 | Expenses paid during period ended 4-30-20221 | Annualized expense ratio | ||
Class A | Actual expenses/actual returns | $1,000.00 | $968.00 | $5.42 | 1.11% |
Hypothetical example | 1,000.00 | 1,019.30 | 5.56 | 1.11% | |
Class C | Actual expenses/actual returns | 1,000.00 | 964.10 | 9.06 | 1.86% |
Hypothetical example | 1,000.00 | 1,015.60 | 9.30 | 1.86% | |
Class I | Actual expenses/actual returns | 1,000.00 | 969.20 | 4.20 | 0.86% |
Hypothetical example | 1,000.00 | 1,020.50 | 4.31 | 0.86% | |
Class R2 | Actual expenses/actual returns | 1,000.00 | 967.20 | 6.05 | 1.24% |
Hypothetical example | 1,000.00 | 1,018.60 | 6.21 | 1.24% | |
Class R5 | Actual expenses/actual returns | 1,000.00 | 969.20 | 3.91 | 0.80% |
Hypothetical example | 1,000.00 | 1,020.80 | 4.01 | 0.80% | |
Class R6 | Actual expenses/actual returns | 1,000.00 | 969.50 | 3.66 | 0.75% |
Hypothetical example | 1,000.00 | 1,021.10 | 3.76 | 0.75% |
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). |
8 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
Shares | Value | ||||
Common stocks 99.3% | $2,689,368,581 | ||||
(Cost $2,118,740,289) | |||||
Consumer discretionary 17.8% | 480,697,364 | ||||
Auto components 3.6% | |||||
Lear Corp. | 754,364 | 96,513,330 | |||
Automobiles 0.4% | |||||
Ford Motor Company | 683,551 | 9,679,082 | |||
Hotels, restaurants and leisure 1.5% | |||||
Booking Holdings, Inc. (A) | 19,009 | 42,015,783 | |||
Household durables 5.7% | |||||
Mohawk Industries, Inc. (A) | 327,302 | 46,169,220 | |||
Newell Brands, Inc. | 4,621,395 | 106,985,294 | |||
Textiles, apparel and luxury goods 6.6% | |||||
Gildan Activewear, Inc. | 1,775,939 | 60,168,813 | |||
PVH Corp. | 835,956 | 60,840,878 | |||
Skechers USA, Inc., Class A (A) | 1,522,845 | 58,324,964 | |||
Energy 9.5% | 257,650,763 | ||||
Energy equipment and services 6.2% | |||||
Baker Hughes Company | 1,049,691 | 32,561,415 | |||
Halliburton Company | 2,160,100 | 76,942,762 | |||
NOV, Inc. | 3,194,817 | 57,922,032 | |||
Oil, gas and consumable fuels 3.3% | |||||
Exxon Mobil Corp. | 676,020 | 57,630,705 | |||
Shell PLC, ADR | 610,029 | 32,593,849 | |||
Financials 31.1% | 843,492,140 | ||||
Banks 10.6% | |||||
Bank of America Corp. | 1,108,315 | 39,544,679 | |||
Citigroup, Inc. | 2,049,670 | 98,814,591 | |||
JPMorgan Chase & Co. | 376,462 | 44,934,504 | |||
Wells Fargo & Company | 2,408,692 | 105,091,232 | |||
Capital markets 2.9% | |||||
The Goldman Sachs Group, Inc. | 116,799 | 35,680,927 | |||
UBS Group AG | 2,531,472 | 42,629,988 | |||
Consumer finance 2.1% | |||||
Capital One Financial Corp. | 467,446 | 58,253,121 | |||
Diversified financial services 5.1% | |||||
Equitable Holdings, Inc. | 2,704,745 | 77,977,798 | |||
Voya Financial, Inc. | 936,509 | 59,131,178 | |||
Insurance 10.4% | |||||
American International Group, Inc. | 2,143,220 | 125,399,802 |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 9 |
Shares | Value | ||||
Financials (continued) | |||||
Insurance (continued) | |||||
Axis Capital Holdings, Ltd. | 1,265,612 | $72,557,536 | |||
MetLife, Inc. | 1,270,962 | 83,476,784 | |||
Health care 9.6% | 258,624,627 | ||||
Health care providers and services 5.9% | |||||
Cardinal Health, Inc. | 514,702 | 29,878,451 | |||
Fresenius Medical Care AG & Company KGaA, ADR | 2,175,230 | 67,279,864 | |||
McKesson Corp. | 197,365 | 61,106,178 | |||
Pharmaceuticals 3.7% | |||||
Bristol-Myers Squibb Company | 901,141 | 67,828,883 | |||
Pfizer, Inc. | 662,956 | 32,531,251 | |||
Industrials 9.3% | 252,145,384 | ||||
Aerospace and defense 1.0% | |||||
Textron, Inc. | 414,320 | 28,691,660 | |||
Industrial conglomerates 4.6% | |||||
General Electric Company | 1,666,382 | 124,228,778 | |||
Machinery 3.7% | |||||
Wabtec Corp. | 1,103,603 | 99,224,946 | |||
Information technology 11.5% | 312,070,592 | ||||
IT services 7.1% | |||||
Amdocs, Ltd. | 1,269,981 | 101,204,786 | |||
Cognizant Technology Solutions Corp., Class A | 1,110,802 | 89,863,882 | |||
Software 2.4% | |||||
SS&C Technologies Holdings, Inc. | 1,013,432 | 65,528,513 | |||
Technology hardware, storage and peripherals 2.0% | |||||
Hewlett Packard Enterprise Company | 3,599,832 | 55,473,411 | |||
Materials 2.9% | 78,464,348 | ||||
Chemicals 2.9% | |||||
Dow, Inc. | 1,179,915 | 78,464,348 | |||
Utilities 7.6% | 206,223,363 | ||||
Electric utilities 7.6% | |||||
Edison International | 1,583,913 | 108,957,375 | |||
NRG Energy, Inc. | 2,709,359 | 97,265,988 | |||
Yield (%) | Shares | Value | |||
Short-term investments 0.4% | $10,273,171 | ||||
(Cost $10,273,171) | |||||
Short-term funds 0.4% | 10,273,171 | ||||
State Street Institutional Treasury Money Market Fund, Premier Class | 0.3529(B) | 10,273,171 | 10,273,171 |
10 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Total investments (Cost $2,129,013,460) 99.7% | $2,699,641,752 | ||||
Other assets and liabilities, net 0.3% | 9,223,180 | ||||
Total net assets 100.0% | $2,708,864,932 |
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) | The rate shown is the annualized seven-day yield as of 4-30-22. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 11 |
Assets | |
Unaffiliated investments, at value (Cost $2,129,013,460) | $2,699,641,752 |
Dividends and interest receivable | 4,275,443 |
Receivable for fund shares sold | 4,420,657 |
Receivable for investments sold | 5,330,895 |
Other assets | 175,341 |
Total assets | 2,713,844,088 |
Liabilities | |
Payable for investments purchased | 4,456 |
Payable for fund shares repurchased | 2,421,592 |
Payable to affiliates | |
Investment management fees | 1,675,446 |
Accounting and legal services fees | 161,162 |
Transfer agent fees | 256,175 |
Distribution and service fees | 91,536 |
Trustees’ fees | 609 |
Other liabilities and accrued expenses | 368,180 |
Total liabilities | 4,979,156 |
Net assets | $2,708,864,932 |
Net assets consist of | |
Paid-in capital | $2,051,377,443 |
Total distributable earnings (loss) | 657,487,489 |
Net assets | $2,708,864,932 |
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 ($389,025,660 ÷ 10,060,436 shares)1 | $38.67 |
Class C ($7,469,613 ÷ 197,023 shares)1 | $37.91 |
Class I ($2,161,558,301 ÷ 55,760,470 shares) | $38.77 |
Class R2 ($2,466,409 ÷ 63,894 shares) | $38.60 |
Class R5 ($184,224 ÷ 4,748 shares) | $38.80 |
Class R6 ($148,160,725 ÷ 3,817,671 shares) | $38.81 |
Maximum offering price per share | |
Class A (net asset value per share ÷ 95%)2 | $40.71 |
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. |
12 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Investment income | |
Dividends | $32,635,031 |
Interest | 8,303 |
Less foreign taxes withheld | (222,835) |
Total investment income | 32,420,499 |
Expenses | |
Investment management fees | 10,964,943 |
Distribution and service fees | 568,933 |
Accounting and legal services fees | 212,675 |
Transfer agent fees | 1,662,820 |
Trustees’ fees | 24,202 |
Custodian fees | 157,706 |
State registration fees | 113,034 |
Printing and postage | 107,592 |
Professional fees | 63,153 |
Other | 49,146 |
Total expenses | 13,924,204 |
Less expense reductions | (138,644) |
Net expenses | 13,785,560 |
Net investment income | 18,634,939 |
Realized and unrealized gain (loss) | |
Net realized gain (loss) on | |
Unaffiliated investments and foreign currency transactions | 152,208,391 |
152,208,391 | |
Change in net unrealized appreciation (depreciation) of | |
Unaffiliated investments | (244,398,463) |
(244,398,463) | |
Net realized and unrealized loss | (92,190,072) |
Decrease in net assets from operations | $(73,555,133) |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 13 |
Six months ended 4-30-22 (unaudited) | Year ended 10-31-21 | |
Increase (decrease) in net assets | ||
From operations | ||
Net investment income | $18,634,939 | $21,420,226 |
Net realized gain | 152,208,391 | 85,139,746 |
Change in net unrealized appreciation (depreciation) | (244,398,463) | 931,556,032 |
Increase (decrease) in net assets resulting from operations | (73,555,133) | 1,038,116,004 |
Distributions to shareholders | ||
From earnings | ||
Class A | (2,438,172) | (4,101,322) |
Class C | — | (65,101) |
Class I | (20,948,946) | (16,915,922) |
Class R2 | (12,411) | (24,215) |
Class R5 | (1,644) | (571) |
Class R6 | (1,466,879) | (5,106,400) |
Total distributions | (24,868,052) | (26,213,531) |
From fund share transactions | (326,816,475) | 724,480,300 |
Total increase (decrease) | (425,239,660) | 1,736,382,773 |
Net assets | ||
Beginning of period | 3,134,104,592 | 1,397,721,819 |
End of period | $2,708,864,932 | $3,134,104,592 |
14 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS A SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $40.19 | $23.99 | $31.31 | $31.52 | $32.32 | $26.12 |
Net investment income2 | 0.20 | 0.25 | 0.35 | 0.61 | 0.46 | 0.34 |
Net realized and unrealized gain (loss) on investments | (1.49) | 16.35 | (6.18) | (0.15) | (0.94) | 6.38 |
Total from investment operations | (1.29) | 16.60 | (5.83) | 0.46 | (0.48) | 6.72 |
Less distributions | ||||||
From net investment income | (0.23) | (0.40) | (0.78) | (0.39) | (0.32) | (0.52) |
From net realized gain | — | — | (0.71) | (0.28) | — | — |
Total distributions | (0.23) | (0.40) | (1.49) | (0.67) | (0.32) | (0.52) |
Net asset value, end of period | $38.67 | $40.19 | $23.99 | $31.31 | $31.52 | $32.32 |
Total return (%)3,4 | (3.20)5 | 69.72 | (19.83) | 1.67 | (1.53) | 25.91 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $389 | $416 | $249 | $334 | $348 | $354 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.126 | 1.15 | 1.19 | 1.18 | 1.17 | 1.18 |
Expenses including reductions | 1.116 | 1.14 | 1.18 | 1.17 | 1.16 | 1.17 |
Net investment income | 0.996 | 0.68 | 1.36 | 2.00 | 1.37 | 1.12 |
Portfolio turnover (%) | 10 | 25 | 35 | 35 | 28 | 45 |
1 | Six months ended 4-30-22. 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 C SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $39.32 | $23.50 | $30.72 | $30.89 | $31.69 | $25.65 |
Net investment income (loss)2 | 0.05 | (0.02) | 0.18 | 0.39 | 0.26 | 0.11 |
Net realized and unrealized gain (loss) on investments | (1.46) | 16.06 | (6.14) | (0.14) | (0.97) | 6.27 |
Total from investment operations | (1.41) | 16.04 | (5.96) | 0.25 | (0.71) | 6.38 |
Less distributions | ||||||
From net investment income | — | (0.22) | (0.55) | (0.14) | (0.09) | (0.34) |
From net realized gain | — | — | (0.71) | (0.28) | — | — |
Total distributions | — | (0.22) | (1.26) | (0.42) | (0.09) | (0.34) |
Net asset value, end of period | $37.91 | $39.32 | $23.50 | $30.72 | $30.89 | $31.69 |
Total return (%)3,4 | (3.59)5 | 68.52 | (20.47) | 0.92 | (2.25) | 24.96 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $7 | $8 | $9 | $20 | $26 | $75 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.876 | 1.90 | 1.94 | 1.93 | 1.92 | 1.93 |
Expenses including reductions | 1.866 | 1.89 | 1.93 | 1.92 | 1.91 | 1.92 |
Net investment income (loss) | 0.246 | (0.05) | 0.67 | 1.31 | 0.76 | 0.38 |
Portfolio turnover (%) | 10 | 25 | 35 | 35 | 28 | 45 |
1 | Six months ended 4-30-22. 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. |
16 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS I SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $40.34 | $24.06 | $31.40 | $31.62 | $32.42 | $26.19 |
Net investment income2 | 0.25 | 0.34 | 0.43 | 0.69 | 0.55 | 0.41 |
Net realized and unrealized gain (loss) on investments | (1.49) | 16.41 | (6.20) | (0.16) | (0.95) | 6.41 |
Total from investment operations | (1.24) | 16.75 | (5.77) | 0.53 | (0.40) | 6.82 |
Less distributions | ||||||
From net investment income | (0.33) | (0.47) | (0.86) | (0.47) | (0.40) | (0.59) |
From net realized gain | — | — | (0.71) | (0.28) | — | — |
Total distributions | (0.33) | (0.47) | (1.57) | (0.75) | (0.40) | (0.59) |
Net asset value, end of period | $38.77 | $40.34 | $24.06 | $31.40 | $31.62 | $32.42 |
Total return (%)3 | (3.08)4 | 70.19 | (19.65) | 1.93 | (1.29) | 26.24 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $2,162 | $2,545 | $886 | $1,429 | $1,518 | $1,767 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.875 | 0.90 | 0.94 | 0.94 | 0.93 | 0.92 |
Expenses including reductions | 0.865 | 0.89 | 0.93 | 0.93 | 0.92 | 0.91 |
Net investment income | 1.235 | 0.92 | 1.66 | 2.24 | 1.62 | 1.35 |
Portfolio turnover (%) | 10 | 25 | 35 | 35 | 28 | 45 |
1 | Six months ended 4-30-22. 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 | 17 |
CLASS R2 SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $40.10 | $23.93 | $31.23 | $31.44 | $32.24 | $26.07 |
Net investment income2 | 0.17 | 0.20 | 0.35 | 0.47 | 0.40 | 0.25 |
Net realized and unrealized gain (loss) on investments | (1.49) | 16.34 | (6.20) | (0.06) | (0.92) | 6.41 |
Total from investment operations | (1.32) | 16.54 | (5.85) | 0.41 | (0.52) | 6.66 |
Less distributions | ||||||
From net investment income | (0.18) | (0.37) | (0.74) | (0.34) | (0.28) | (0.49) |
From net realized gain | — | — | (0.71) | (0.28) | — | — |
Total distributions | (0.18) | (0.37) | (1.45) | (0.62) | (0.28) | (0.49) |
Net asset value, end of period | $38.60 | $40.10 | $23.93 | $31.23 | $31.44 | $32.24 |
Total return (%)3 | (3.28)4 | 69.57 | (19.93) | 1.50 | (1.66) | 25.71 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $2 | $3 | $2 | $—5 | $9 | $7 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.256 | 1.28 | 1.32 | 1.30 | 1.32 | 1.33 |
Expenses including reductions | 1.246 | 1.27 | 1.31 | 1.29 | 1.31 | 1.32 |
Net investment income | 0.866 | 0.56 | 1.39 | 1.50 | 1.21 | 0.84 |
Portfolio turnover (%) | 10 | 25 | 35 | 35 | 28 | 45 |
1 | Six months ended 4-30-22. 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 R5 SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $40.39 | $24.09 | $31.42 | $31.65 | $32.44 | $26.21 |
Net investment income2 | 0.24 | 0.36 | 0.49 | 0.66 | 0.57 | 0.43 |
Net realized and unrealized gain (loss) on investments | (1.48) | 16.42 | (6.24) | (0.12) | (0.94) | 6.40 |
Total from investment operations | (1.24) | 16.78 | (5.75) | 0.54 | (0.37) | 6.83 |
Less distributions | ||||||
From net investment income | (0.35) | (0.48) | (0.87) | (0.49) | (0.42) | (0.60) |
From net realized gain | — | — | (0.71) | (0.28) | — | — |
Total distributions | (0.35) | (0.48) | (1.58) | (0.77) | (0.42) | (0.60) |
Net asset value, end of period | $38.80 | $40.39 | $24.09 | $31.42 | $31.65 | $32.44 |
Total return (%)3 | (3.08)4 | 70.30 | (19.56) | 1.97 | (1.22) | 26.27 |
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 | 0.816 | 0.85 | 0.87 | 0.88 | 0.87 | 0.88 |
Expenses including reductions | 0.806 | 0.84 | 0.86 | 0.87 | 0.87 | 0.87 |
Net investment income | 1.216 | 0.97 | 1.81 | 2.17 | 1.68 | 1.40 |
Portfolio turnover (%) | 10 | 25 | 35 | 35 | 28 | 45 |
1 | Six months ended 4-30-22. 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 | 19 |
CLASS R6 SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $40.41 | $24.09 | $31.43 | $31.67 | $32.46 | $26.21 |
Net investment income2 | 0.27 | 0.38 | 0.46 | 0.72 | 0.57 | 0.47 |
Net realized and unrealized gain (loss) on investments | (1.50) | 16.43 | (6.20) | (0.17) | (0.93) | 6.39 |
Total from investment operations | (1.23) | 16.81 | (5.74) | 0.55 | (0.36) | 6.86 |
Less distributions | ||||||
From net investment income | (0.37) | (0.49) | (0.89) | (0.51) | (0.43) | (0.61) |
From net realized gain | — | — | (0.71) | (0.28) | — | — |
Total distributions | (0.37) | (0.49) | (1.60) | (0.79) | (0.43) | (0.61) |
Net asset value, end of period | $38.81 | $40.41 | $24.09 | $31.43 | $31.67 | $32.46 |
Total return (%)3 | (3.05)4 | 70.41 | (19.55) | 1.99 | (1.17) | 26.41 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $148 | $163 | $253 | $360 | $384 | $1 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.765 | 0.80 | 0.83 | 0.83 | 0.82 | 0.83 |
Expenses including reductions | 0.755 | 0.79 | 0.82 | 0.82 | 0.81 | 0.81 |
Net investment income | 1.345 | 1.08 | 1.76 | 2.36 | 1.71 | 1.53 |
Portfolio turnover (%) | 10 | 25 | 35 | 35 | 28 | 45 |
1 | Six months ended 4-30-22. 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. |
20 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 21 |
22 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 23 |
Class | Expense reduction |
Class A | $18,700 |
Class C | 359 |
Class I | 112,285 |
Class R2 | 118 |
Class | Expense reduction |
Class R5 | $7 |
Class R6 | 7,175 |
Total | $138,644 |
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% |
24 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
Class | Distribution and service fees | Transfer agent fees |
Class A | $522,408 | $235,823 |
Class C | 40,118 | 4,527 |
Class I | — | 1,415,434 |
Class R2 | 6,368 | 113 |
Class R5 | 39 | 7 |
Class R6 | — | 6,916 |
Total | $568,933 | $1,662,820 |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 25 |
Borrower or Lender | Weighted Average Loan Balance | Days Outstanding | Weighted Average Interest Rate | Interest Income (Expense) |
Borrower | $56,516,667 | 3 | 0.551% | ($2,594) |
Six Months Ended 4-30-22 | Year Ended 10-31-21 | |||
Shares | Amount | Shares | Amount | |
Class A shares | ||||
Sold | 1,222,680 | $49,292,723 | 2,223,561 | $82,492,088 |
Distributions reinvested | 59,621 | 2,304,966 | 124,813 | 3,859,214 |
Repurchased | (1,570,005) | (63,805,831) | (2,361,505) | (84,198,147) |
Net increase (decrease) | (287,704) | $(12,208,142) | (13,131) | $2,153,155 |
Class C shares | ||||
Sold | 31,556 | $1,252,740 | 42,546 | $1,511,229 |
Distributions reinvested | — | — | 2,016 | 61,371 |
Repurchased | (37,693) | (1,513,562) | (205,848) | (6,878,936) |
Net decrease | (6,137) | $(260,822) | (161,286) | $(5,306,336) |
Class I shares | ||||
Sold | 8,077,367 | $328,982,869 | 37,294,494 | $1,347,834,877 |
Distributions reinvested | 528,953 | 20,481,044 | 525,243 | 16,261,523 |
Repurchased | (15,923,082) | (655,220,406) | (11,553,859) | (405,141,492) |
Net increase (decrease) | (7,316,762) | $(305,756,493) | 26,265,878 | $958,954,908 |
Class R2 shares | ||||
Sold | 2,401 | $97,971 | 15,222 | $561,583 |
Distributions reinvested | 303 | 11,694 | 751 | 23,187 |
Repurchased | (6,111) | (239,978) | (22,830) | (732,442) |
Net decrease | (3,407) | $(130,313) | (6,857) | $(147,672) |
Class R5 shares | ||||
Sold | 3,351 | $132,279 | 332 | $11,942 |
Distributions reinvested | 42 | 1,644 | 18 | 571 |
Repurchased | (112) | (4,679) | (14) | (507) |
Net increase | 3,281 | $129,244 | 336 | $12,006 |
26 | JOHN HANCOCK Classic Value Fund | SEMIANNUAL REPORT |
Six Months Ended 4-30-22 | Year Ended 10-31-21 | |||
Shares | Amount | Shares | Amount | |
Class R6 shares | ||||
Sold | 296,436 | $12,110,294 | 2,794,605 | $99,870,055 |
Distributions reinvested | 37,698 | 1,460,808 | 164,411 | 5,095,082 |
Repurchased | (545,680) | (22,161,051) | (9,435,751) | (336,150,898) |
Net decrease | (211,546) | $(8,589,949) | (6,476,735) | $(231,185,761) |
Total net increase (decrease) | (7,822,275) | $(326,816,475) | 19,608,205 | $724,480,300 |
SEMIANNUAL REPORT | JOHN HANCOCK Classic Value Fund | 27 |
• | 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; |
• | The Fund did not report any breaches of the 15% limit on illiquid investments that would require reporting to the Securities and Exchange Commission; |
28 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
• | 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. |
SEMIANNUAL REPORT | JOHN HANCOCK CLASSIC VALUE FUND | 29 |
Steven R. Pruchansky, Vice Chairperson
Andrew G. Arnott†
James R. Boyle
Peter S. Burgess*
William H. Cunningham*
Grace K. Fey
Marianne Harrison†
Deborah C. Jackson
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 |
30 | JOHN HANCOCK CLASSIC VALUE FUND | SEMIANNUAL REPORT |
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
MF2181557 | 38SA 4/22 |
President and CEO,
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 4/30/2022 (% of net assets) | |
UnitedHealth Group, Inc. | 5.6 |
Visa, Inc., Class A | 5.3 |
Amazon.com, Inc. | 5.3 |
Microsoft Corp. | 5.3 |
Danaher Corp. | 4.0 |
Intuit, Inc. | 3.9 |
Ball Corp. | 3.9 |
Alphabet, Inc., Class C | 3.9 |
MSCI, Inc. | 3.8 |
Yum! Brands, Inc. | 3.7 |
TOTAL | 44.7 |
Cash and cash equivalents are not included. |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 3 |
Average annual total returns (%) with maximum sales charge | Cumulative total returns (%) with maximum sales charge | ||||||
1-year | 5-year | 10-year | 6-month | 5-year | 10-year | ||
Class A | -18.97 | 12.65 | 12.10 | -27.29 | 81.37 | 213.47 | |
Class C | -16.10 | 12.95 | 11.84 | -24.43 | 83.86 | 206.16 | |
Class I1 | -14.49 | 14.09 | 12.98 | -23.36 | 93.29 | 238.82 | |
Class R21 | -14.79 | 13.66 | 12.56 | -23.49 | 89.68 | 226.55 | |
Class R61 | -14.40 | 14.21 | 13.10 | -23.33 | 94.32 | 242.39 | |
Index 1† | -5.35 | 17.28 | 15.56 | -17.84 | 121.89 | 324.80 | |
Index 2† | 0.21 | 13.66 | 13.67 | -9.65 | 89.68 | 260.05 |
Class A | Class C | Class I | Class R2 | Class R6 | |
Gross (%) | 1.13 | 1.88 | 0.88 | 1.28 | 0.78 |
Net (%) | 1.13 | 1.88 | 0.88 | 1.27 | 0.77 |
4 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
Start date | With maximum sales charge ($) | Without sales charge ($) | Index 1 ($) | Index 2 ($) | |
Class C2 | 4-30-12 | 30,616 | 30,616 | 42,480 | 36,005 |
Class I1 | 4-30-12 | 33,882 | 33,882 | 42,480 | 36,005 |
Class R21 | 4-30-12 | 32,655 | 32,655 | 42,480 | 36,005 |
Class R61 | 4-30-12 | 34,239 | 34,239 | 42,480 | 36,005 |
1 | For certain types of investors, as described in the fund’s prospectus. |
2 | The contingent deferred sales charge is not applicable. |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 5 |
6 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
Account value on 11-1-2021 | Ending value on 4-30-2022 | Expenses paid during period ended 4-30-20221 | Annualized expense ratio | ||
Class A | Actual expenses/actual returns | $1,000.00 | $765.40 | $4.90 | 1.12% |
Hypothetical example | 1,000.00 | 1,019.20 | 5.61 | 1.12% | |
Class C | Actual expenses/actual returns | 1,000.00 | 762.50 | 8.17 | 1.87% |
Hypothetical example | 1,000.00 | 1,015.50 | 9.35 | 1.87% | |
Class I | Actual expenses/actual returns | 1,000.00 | 766.40 | 3.81 | 0.87% |
Hypothetical example | 1,000.00 | 1,020.50 | 4.36 | 0.87% | |
Class R2 | Actual expenses/actual returns | 1,000.00 | 765.10 | 5.38 | 1.23% |
Hypothetical example | 1,000.00 | 1,018.70 | 6.16 | 1.23% | |
Class R6 | Actual expenses/actual returns | 1,000.00 | 766.70 | 3.33 | 0.76% |
Hypothetical example | 1,000.00 | 1,021.00 | 3.81 | 0.76% |
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 | 7 |
Shares | Value | ||||
Common stocks 96.2% | $2,240,901,258 | ||||
(Cost $1,699,960,894) | |||||
Communication services 9.8% | 228,715,860 | ||||
Entertainment 3.3% | |||||
Netflix, Inc. (A) | 167,366 | 31,859,792 | |||
The Walt Disney Company (A) | 399,535 | 44,600,092 | |||
Interactive media and services 6.5% | |||||
Alphabet, Inc., Class C (A) | 39,702 | 91,288,000 | |||
Match Group, Inc. (A) | 770,284 | 60,967,976 | |||
Consumer discretionary 9.0% | 210,137,905 | ||||
Hotels, restaurants and leisure 3.7% | |||||
Yum! Brands, Inc. | 741,124 | 86,718,919 | |||
Internet and direct marketing retail 5.3% | |||||
Amazon.com, Inc. (A) | 49,653 | 123,418,986 | |||
Financials 9.6% | 223,568,812 | ||||
Capital markets 6.9% | |||||
MSCI, Inc. | 209,514 | 88,257,773 | |||
S&P Global, Inc. | 191,506 | 72,102,009 | |||
Consumer finance 2.7% | |||||
American Express Company | 361,794 | 63,209,030 | |||
Health care 24.5% | 569,497,894 | ||||
Biotechnology 3.0% | |||||
Regeneron Pharmaceuticals, Inc. (A) | 105,609 | 69,607,948 | |||
Health care equipment and supplies 5.9% | |||||
Abbott Laboratories | 725,809 | 82,379,322 | |||
Intuitive Surgical, Inc. (A) | 228,696 | 54,726,953 | |||
Health care providers and services 5.6% | |||||
UnitedHealth Group, Inc. | 257,288 | 130,843,812 | |||
Life sciences tools and services 10.0% | |||||
Danaher Corp. | 366,805 | 92,115,740 | |||
Illumina, Inc. (A) | 183,337 | 54,386,921 | |||
Thermo Fisher Scientific, Inc. | 154,520 | 85,437,198 | |||
Information technology 30.2% | 703,645,275 | ||||
IT services 10.5% | |||||
FleetCor Technologies, Inc. (A) | 320,929 | 80,078,204 | |||
PayPal Holdings, Inc. (A) | 468,784 | 41,220,177 | |||
Visa, Inc., Class A | 579,358 | 123,478,571 | |||
Software 19.7% | |||||
Autodesk, Inc. (A) | 445,160 | 84,259,885 |
8 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Shares | Value | ||||
Information technology (continued) | |||||
Software (continued) | |||||
Intuit, Inc. | 218,566 | $91,524,513 | |||
Microsoft Corp. | 438,946 | 121,816,294 | |||
salesforce.com, Inc. (A) | 439,853 | 77,387,737 | |||
Workday, Inc., Class A (A) | 405,805 | 83,879,894 | |||
Materials 9.9% | 230,074,442 | ||||
Chemicals 6.0% | |||||
Ecolab, Inc. | 411,990 | 69,766,387 | |||
The Sherwin-Williams Company | 250,792 | 68,957,768 | |||
Containers and packaging 3.9% | |||||
Ball Corp. | 1,125,558 | 91,350,287 | |||
Real estate 3.2% | 75,261,070 | ||||
Equity real estate investment trusts 3.2% | |||||
Equinix, Inc. | 104,663 | 75,261,070 | |||
Yield (%) | Shares | Value | |||
Short-term investments 3.8% | $88,542,217 | ||||
(Cost $88,542,217) | |||||
Short-term funds 3.8% | 88,542,217 | ||||
State Street Institutional U.S. Government Money Market Fund, Premier Class | 0.2918(B) | 88,542,217 | 88,542,217 |
Total investments (Cost $1,788,503,111) 100.0% | $2,329,443,475 | ||||
Other assets and liabilities, net (0.0%) | (687,849) | ||||
Total net assets 100.0% | $2,328,755,626 |
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 4-30-22. |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 9 |
Assets | |
Unaffiliated investments, at value (Cost $1,788,503,111) | $2,329,443,475 |
Dividends and interest receivable | 932,730 |
Receivable for fund shares sold | 3,443,879 |
Other assets | 170,135 |
Total assets | 2,333,990,219 |
Liabilities | |
Payable for investments purchased | 15,593 |
Payable for fund shares repurchased | 2,848,651 |
Payable to affiliates | |
Investment management fees | 1,458,212 |
Accounting and legal services fees | 128,731 |
Transfer agent fees | 195,301 |
Distribution and service fees | 242,542 |
Trustees’ fees | 523 |
Other liabilities and accrued expenses | 345,040 |
Total liabilities | 5,234,593 |
Net assets | $2,328,755,626 |
Net assets consist of | |
Paid-in capital | $1,743,650,354 |
Total distributable earnings (loss) | 585,105,272 |
Net assets | $2,328,755,626 |
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 ($895,340,444 ÷ 16,726,266 shares)1 | $53.53 |
Class C ($45,992,593 ÷ 1,151,204 shares)1 | $39.95 |
Class I ($1,006,163,300 ÷ 16,800,069 shares) | $59.89 |
Class R2 ($1,582,755 ÷ 27,623 shares) | $57.30 |
Class R6 ($379,676,534 ÷ 6,260,953 shares) | $60.64 |
Maximum offering price per share | |
Class A (net asset value per share ÷ 95%)2 | $56.35 |
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. |
10 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Investment income | |
Dividends | $5,762,597 |
Interest | 27,187 |
Total investment income | 5,789,784 |
Expenses | |
Investment management fees | 9,156,445 |
Distribution and service fees | 1,649,060 |
Accounting and legal services fees | 173,961 |
Transfer agent fees | 1,201,144 |
Trustees’ fees | 21,127 |
Custodian fees | 146,304 |
State registration fees | 70,028 |
Printing and postage | 63,758 |
Professional fees | 61,320 |
Other | 40,874 |
Total expenses | 12,584,021 |
Less expense reductions | (114,098) |
Net expenses | 12,469,923 |
Net investment loss | (6,680,139) |
Realized and unrealized gain (loss) | |
Net realized gain (loss) on | |
Unaffiliated investments | 52,096,175 |
52,096,175 | |
Change in net unrealized appreciation (depreciation) of | |
Unaffiliated investments | (722,829,793) |
(722,829,793) | |
Net realized and unrealized loss | (670,733,618) |
Decrease in net assets from operations | $(677,413,757) |
SEE NOTES TO FINANCIAL STATEMENTS | SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 11 |
Six months ended 4-30-22 (unaudited) | Year ended 10-31-21 | |
Increase (decrease) in net assets | ||
From operations | ||
Net investment loss | $(6,680,139) | $(11,080,705) |
Net realized gain | 52,096,175 | 240,922,574 |
Change in net unrealized appreciation (depreciation) | (722,829,793) | 505,467,834 |
Increase (decrease) in net assets resulting from operations | (677,413,757) | 735,309,703 |
Distributions to shareholders | ||
From earnings | ||
Class A | (95,750,763) | (106,669,651) |
Class C | (7,666,046) | (10,575,186) |
Class I | (74,374,728) | (69,671,379) |
Class R2 | (174,297) | (207,377) |
Class R6 | (35,337,999) | (36,789,623) |
Total distributions | (213,303,833) | (223,913,216) |
From fund share transactions | 392,083,307 | 296,431,706 |
Total increase (decrease) | (498,634,283) | 807,828,193 |
Net assets | ||
Beginning of period | 2,827,389,909 | 2,019,561,716 |
End of period | $2,328,755,626 | $2,827,389,909 |
12 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS A SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $76.20 | $62.60 | $51.76 | $49.26 | $47.15 | $41.00 |
Net investment loss2 | (0.21) | (0.39) | (0.22) | (0.05) | (0.07) | (0.05) |
Net realized and unrealized gain (loss) on investments | (16.44) | 21.14 | 14.56 | 8.18 | 5.51 | 8.31 |
Total from investment operations | (16.65) | 20.75 | 14.34 | 8.13 | 5.44 | 8.26 |
Less distributions | ||||||
From net realized gain | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) | (2.11) |
Net asset value, end of period | $53.53 | $76.20 | $62.60 | $51.76 | $49.26 | $47.15 |
Total return (%)3,4 | (23.46)5 | 35.67 | 29.28 | 18.96 | 12.11 | 21.12 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $895 | $1,217 | $921 | $707 | $612 | $577 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.136 | 1.13 | 1.16 | 1.16 | 1.16 | 1.17 |
Expenses including reductions | 1.126 | 1.13 | 1.15 | 1.15 | 1.15 | 1.16 |
Net investment loss | (0.66)6 | (0.57) | (0.40) | (0.11) | (0.14) | (0.12) |
Portfolio turnover (%) | 18 | 32 | 50 | 32 | 42 | 41 |
1 | Six months ended 4-30-22. 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 | 13 |
CLASS C SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $58.66 | $50.00 | $42.31 | $41.59 | $40.59 | $35.84 |
Net investment loss2 | (0.34) | (0.70) | (0.51) | (0.34) | (0.37) | (0.32) |
Net realized and unrealized gain (loss) on investments | (12.35) | 16.51 | 11.70 | 6.69 | 4.70 | 7.18 |
Total from investment operations | (12.69) | 15.81 | 11.19 | 6.35 | 4.33 | 6.86 |
Less distributions | ||||||
From net realized gain | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) | (2.11) |
Net asset value, end of period | $39.95 | $58.66 | $50.00 | $42.31 | $41.59 | $40.59 |
Total return (%)3,4 | (23.75)5 | 34.66 | 28.30 | 18.07 | 11.28 | 20.21 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $46 | $79 | $82 | $69 | $70 | $102 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.886 | 1.88 | 1.91 | 1.91 | 1.91 | 1.92 |
Expenses including reductions | 1.876 | 1.88 | 1.90 | 1.90 | 1.90 | 1.91 |
Net investment loss | (1.41)6 | (1.32) | (1.15) | (0.85) | (0.91) | (0.86) |
Portfolio turnover (%) | 18 | 32 | 50 | 32 | 42 | 41 |
1 | Six months ended 4-30-22. 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 U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS I SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $84.41 | $68.49 | $56.19 | $52.86 | $50.25 | $43.45 |
Net investment income (loss)2 | (0.15) | (0.25) | (0.09) | 0.09 | 0.05 | 0.06 |
Net realized and unrealized gain (loss) on investments | (18.35) | 23.32 | 15.89 | 8.87 | 5.89 | 8.85 |
Total from investment operations | (18.50) | 23.07 | 15.80 | 8.96 | 5.94 | 8.91 |
Less distributions | ||||||
From net realized gain | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) | (2.11) |
Net asset value, end of period | $59.89 | $84.41 | $68.49 | $56.19 | $52.86 | $50.25 |
Total return (%)3 | (23.36)4 | 36.01 | 29.58 | 19.26 | 12.37 | 21.44 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $1,006 | $1,027 | $662 | $572 | $694 | $751 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.885 | 0.88 | 0.91 | 0.92 | 0.92 | 0.91 |
Expenses including reductions | 0.875 | 0.88 | 0.90 | 0.91 | 0.91 | 0.90 |
Net investment income (loss) | (0.42)5 | (0.32) | (0.15) | 0.17 | 0.09 | 0.13 |
Portfolio turnover (%) | 18 | 32 | 50 | 32 | 42 | 41 |
1 | Six months ended 4-30-22. 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 |
CLASS R2 SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $81.16 | $66.33 | $54.71 | $51.80 | $49.48 | $42.99 |
Net investment loss2 | (0.27) | (0.50) | (0.31) | (0.12) | (0.14) | (0.12) |
Net realized and unrealized gain (loss) on investments | (17.57) | 22.48 | 15.43 | 8.66 | 5.79 | 8.72 |
Total from investment operations | (17.84) | 21.98 | 15.12 | 8.54 | 5.65 | 8.60 |
Less distributions | ||||||
From net realized gain | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) | (2.11) |
Net asset value, end of period | $57.30 | $81.16 | $66.33 | $54.71 | $51.80 | $49.48 |
Total return (%)3 | (23.49)4 | 35.50 | 29.11 | 18.81 | 11.95 | 20.93 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $2 | $2 | $2 | $1 | $2 | $5 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 1.245 | 1.25 | 1.28 | 1.29 | 1.30 | 1.31 |
Expenses including reductions | 1.235 | 1.24 | 1.27 | 1.28 | 1.29 | 1.30 |
Net investment loss | (0.77)5 | (0.68) | (0.53) | (0.23) | (0.28) | (0.26) |
Portfolio turnover (%) | 18 | 32 | 50 | 32 | 42 | 41 |
1 | Six months ended 4-30-22. 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 U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
CLASS R6 SHARES Period ended | 4-30-221 | 10-31-21 | 10-31-20 | 10-31-19 | 10-31-18 | 10-31-17 |
Per share operating performance | ||||||
Net asset value, beginning of period | $85.35 | $69.12 | $56.61 | $53.17 | $50.47 | $43.59 |
Net investment income (loss)2 | (0.11) | (0.17) | (0.03) | 0.13 | 0.11 | 0.11 |
Net realized and unrealized gain (loss) on investments | (18.58) | 23.55 | 16.04 | 8.94 | 5.92 | 8.88 |
Total from investment operations | (18.69) | 23.38 | 16.01 | 9.07 | 6.03 | 8.99 |
Less distributions | ||||||
From net realized gain | (6.02) | (7.15) | (3.50) | (5.63) | (3.33) | (2.11) |
Net asset value, end of period | $60.64 | $85.35 | $69.12 | $56.61 | $53.17 | $50.47 |
Total return (%)3 | (23.33)4 | 36.14 | 29.74 | 19.37 | 12.50 | 21.56 |
Ratios and supplemental data | ||||||
Net assets, end of period (in millions) | $380 | $501 | $353 | $199 | $143 | $6 |
Ratios (as a percentage of average net assets): | ||||||
Expenses before reductions | 0.775 | 0.78 | 0.80 | 0.81 | 0.81 | 0.82 |
Expenses including reductions | 0.765 | 0.77 | 0.79 | 0.80 | 0.80 | 0.80 |
Net investment income (loss) | (0.31)5 | (0.22) | (0.06) | 0.24 | 0.21 | 0.23 |
Portfolio turnover (%) | 18 | 32 | 50 | 32 | 42 | 41 |
1 | Six months ended 4-30-22. 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 | 17 |
18 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 19 |
20 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
Class | Expense reduction |
Class A | $47,833 |
Class C | 2,795 |
Class I | 43,403 |
Class | Expense reduction |
Class R2 | $91 |
Class R6 | 19,976 |
Total | $114,098 |
Class | Rule 12b-1 Fee | Service fee |
Class A | 0.25% | — |
Class C | 1.00% | — |
Class R2 | 0.25% | 0.25% |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 21 |
Class | Distribution and service fees | Transfer agent fees |
Class A | $1,333,168 | $600,835 |
Class C | 311,122 | 35,021 |
Class I | — | 546,025 |
Class R2 | 4,770 | 88 |
Class R6 | — | 19,175 |
Total | $1,649,060 | $1,201,144 |
Six Months Ended 4-30-22 | Year Ended 10-31-21 | |||
Shares | Amount | Shares | Amount | |
Class A shares | ||||
Sold | 714,230 | $46,084,677 | 1,956,885 | $132,033,131 |
Distributions reinvested | 1,370,191 | 92,076,801 | 1,644,933 | 102,676,732 |
Repurchased | (1,335,633) | (85,523,660) | (2,341,045) | (158,754,561) |
Net increase | 748,788 | $52,637,818 | 1,260,773 | $75,955,302 |
Class C shares | ||||
Sold | 56,270 | $2,813,750 | 370,756 | $19,155,351 |
Distributions reinvested | 146,090 | 7,348,338 | 212,087 | 10,258,648 |
Repurchased | (406,259) | (19,713,315) | (862,214) | (45,520,770) |
Net decrease | (203,899) | $(9,551,227) | (279,371) | $(16,106,771) |
22 | JOHN HANCOCK U.S. Global Leaders Growth Fund | SEMIANNUAL REPORT |
Six Months Ended 4-30-22 | Year Ended 10-31-21 | |||
Shares | Amount | Shares | Amount | |
Class I shares | ||||
Sold | 5,484,015 | $372,796,722 | 4,251,475 | $316,735,228 |
Distributions reinvested | 959,820 | 72,101,700 | 969,993 | 66,929,518 |
Repurchased | (1,809,304) | (125,862,429) | (2,716,780) | (201,775,992) |
Net increase | 4,634,531 | $319,035,993 | 2,504,688 | $181,888,754 |
Class R2 shares | ||||
Sold | 2,408 | $162,217 | 9,173 | $655,457 |
Distributions reinvested | 2,161 | 155,504 | 2,430 | 161,714 |
Repurchased | (5,891) | (380,447) | (10,173) | (704,380) |
Net increase (decrease) | (1,322) | $(62,726) | 1,430 | $112,791 |
Class R6 shares | ||||
Sold | 628,565 | $45,318,492 | 1,551,659 | $117,549,138 |
Distributions reinvested | 464,157 | 35,289,864 | 526,889 | 36,729,467 |
Repurchased | (705,041) | (50,584,907) | (1,313,678) | (99,696,975) |
Net increase | 387,681 | $30,023,449 | 764,870 | $54,581,630 |
Total net increase | 5,565,779 | $392,083,307 | 4,252,390 | $296,431,706 |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. Global Leaders Growth Fund | 23 |
• | 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; |
• | The Fund did not report any breaches of the 15% limit on illiquid investments that would require reporting to the Securities and Exchange Commission; |
24 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
• | 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. |
SEMIANNUAL REPORT | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | 25 |
Steven R. Pruchansky, Vice Chairperson
Andrew G. Arnott†
James R. Boyle
Peter S. Burgess*
William H. Cunningham*
Grace K. Fey
Marianne Harrison†
Deborah C. Jackson
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 |
26 | JOHN HANCOCK U.S. GLOBAL LEADERS GROWTH FUND | SEMIANNUAL REPORT |
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
MF2182062 | 26SA 4/22 |
ITEM 2. CODE OF ETHICS.
(a)Not Applicable
(b)Not Applicable
(c)Not Applicable
(d)Not Applicable
(e)Not Applicable
(f)Not Applicable
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not Applicable
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a)Not Applicable
(b)Not Applicable
(c)Not Applicable
(d)Not Applicable
(e)Not Applicable
(f)Not Applicable.
(g)Not Applicable
(h)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 6, 2022 |
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 6, 2022 |
By: | /s/ Charles A. Rizzo |
| ----------------------------- |
| Charles A. Rizzo |
| Chief Financial Officer |
Date: | June 6, 2022 |