Date of fiscal year end: | December 31 |
Date of reporting period: | December 31, 2023 |
United States and Europe
Manulife Investment Management
John Hancock Investment Management
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1 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 2 |
3 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
TOP 10 HOLDINGS AS OF 12/31/2023 (% of total investments) | |
Popular, Inc. | 1.5 |
Huntington Bancshares, Inc. | 1.5 |
KKR & Company, Inc. | 1.4 |
U.S. Bancorp | 1.4 |
WSFS Financial Corp. | 1.4 |
JPMorgan Chase & Co. | 1.4 |
M&T Bank Corp. | 1.4 |
Hancock Whitney Corp. | 1.4 |
Fifth Third Bancorp | 1.4 |
Bank of America Corp. | 1.4 |
TOTAL | 14.2 |
Cash and cash equivalents are not included. |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 4 |
5 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
Average annual total returns (%) | Cumulative total returns (%) | ||||
1-Year | 5-Year | 10-Year | 5-year | 10-Year | |
At Net asset value | 2.39 | 9.21 | 8.96 | 55.34 | 135.86 |
At Market price | -0.76 | 9.72 | 9.21 | 59.04 | 141.44 |
S&P Composite 1500 Banks Index | 9.00 | 8.00 | 7.80 | 46.93 | 111.96 |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 6 |
7 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
Shares | Value | ||||
Common stocks 110.9% (92.3% of Total investments) | $667,361,776 | ||||
(Cost $441,096,169) | |||||
Financials 110.3% | 663,952,044 | ||||
Banks 97.5% | |||||
1st Source Corp. | 120,335 | 6,612,408 | |||
Alpine Banks of Colorado, Class B | 173,462 | 4,943,667 | |||
American Business Bank (A) | 74,896 | 2,694,758 | |||
American National Bankshares, Inc. | 84,377 | 4,113,379 | |||
American Riviera Bancorp (A) | 218,459 | 3,604,574 | |||
Ameris Bancorp | 179,209 | 9,507,037 | |||
Atlantic Union Bankshares Corp. | 134,792 | 4,925,300 | |||
Avidbank Holdings, Inc. (A) | 257,070 | 5,493,586 | |||
Bank of America Corp. | 295,808 | 9,959,855 | |||
Bank of Idaho Holding Company (A) | 150,000 | 4,050,000 | |||
Bank of Marin Bancorp | 189,583 | 4,174,618 | |||
Bank7 Corp. | 116,363 | 3,182,528 | |||
Banner Corp. | 66,503 | 3,561,901 | |||
Bar Harbor Bankshares | 142,394 | 4,180,688 | |||
BayCom Corp. | 173,874 | 4,101,688 | |||
Bremer Financial Corp. (B)(C) | 41,667 | 4,229,159 | |||
Business First Bancshares, Inc. | 182,458 | 4,497,590 | |||
C&F Financial Corp. | 37,912 | 2,585,219 | |||
California BanCorp (A) | 121,815 | 3,016,139 | |||
Camden National Corp. | 68,551 | 2,579,574 | |||
CB Financial Services, Inc. | 57,155 | 1,361,432 | |||
Central Pacific Financial Corp. | 144,201 | 2,837,876 | |||
Central Valley Community Bancorp | 126,760 | 2,833,086 | |||
Citizens Community Bancorp, Inc. | 169,116 | 1,980,348 | |||
Citizens Financial Group, Inc. (D)(E) | 285,466 | 9,460,343 | |||
Civista Bancshares, Inc. | 183,001 | 3,374,538 | |||
Coastal Financial Corp. (A) | 132,503 | 5,884,458 | |||
Codorus Valley Bancorp, Inc. | 99,915 | 2,567,816 | |||
Colony Bankcorp, Inc. | 86,996 | 1,157,047 | |||
Columbia Banking System, Inc. | 269,124 | 7,180,228 | |||
Comerica, Inc. | 64,887 | 3,621,343 | |||
Community Heritage Financial, Inc. | 141,197 | 2,329,751 | |||
ConnectOne Bancorp, Inc. | 85,763 | 1,964,830 | |||
Cullen/Frost Bankers, Inc. | 87,349 | 9,476,493 | |||
CVB Financial Corp. | 222,784 | 4,498,009 | |||
Eagle Bancorp Montana, Inc. | 127,715 | 2,016,620 | |||
East West Bancorp, Inc. (E) | 57,098 | 4,108,201 | |||
Eastern Bankshares, Inc. | 416,161 | 5,909,486 | |||
Enterprise Bancorp, Inc. | 74,904 | 2,416,403 |
SEE NOTES TO FINANCIAL STATEMENTS | ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 8 |
Shares | Value | ||||
Financials (continued) | |||||
Banks (continued) | |||||
Equity Bancshares, Inc., Class A | 147,255 | $4,991,945 | |||
ESSA Bancorp, Inc. | 94,578 | 1,893,452 | |||
Evans Bancorp, Inc. | 69,760 | 2,199,533 | |||
Farmers & Merchants Bancorp, Inc. (D)(E) | 114,822 | 2,847,586 | |||
Farmers National Banc Corp. | 162,398 | 2,346,651 | |||
FFB Bancorp (A) | 82,186 | 6,244,525 | |||
Fifth Third Bancorp (D)(E) | 290,471 | 10,018,345 | |||
First Business Financial Services, Inc. | 91,858 | 3,683,506 | |||
First Commonwealth Financial Corp. | 311,718 | 4,812,926 | |||
First Community Corp. | 132,912 | 2,861,595 | |||
First Financial Bancorp | 345,565 | 8,207,169 | |||
First Horizon Corp. | 348,843 | 4,939,617 | |||
First Interstate BancSystem, Inc., Class A | 129,540 | 3,983,355 | |||
First Merchants Corp. | 152,194 | 5,643,354 | |||
First Mid Bancshares, Inc. | 76,166 | 2,639,914 | |||
First Northwest Bancorp | 52,942 | 843,895 | |||
First Reliance Bancshares, Inc. (A)(F) | 426,454 | 3,654,711 | |||
Flushing Financial Corp. | 118,649 | 1,955,336 | |||
German American Bancorp, Inc. (E) | 124,124 | 4,022,859 | |||
Great Southern Bancorp, Inc. | 40,257 | 2,389,253 | |||
Hancock Whitney Corp. | 206,285 | 10,023,388 | |||
HBT Financial, Inc. | 209,443 | 4,421,342 | |||
Heritage Commerce Corp. (E) | 513,678 | 5,095,686 | |||
Heritage Financial Corp. (E) | 90,346 | 1,932,501 | |||
Horizon Bancorp, Inc. | 378,518 | 5,416,593 | |||
Huntington Bancshares, Inc. (D)(E) | 842,465 | 10,716,155 | |||
InBankshares Corp. (A) | 207,676 | 1,661,408 | |||
Independent Bank Corp. (Massachusetts) (E) | 85,080 | 5,599,115 | |||
Independent Bank Corp. (Michigan) | 163,971 | 4,266,525 | |||
JPMorgan Chase & Co. (D)(E) | 60,031 | 10,211,273 | |||
KeyCorp (D)(E) | 673,808 | 9,702,835 | |||
Landmark Bancorp, Inc. | 64,780 | 1,255,436 | |||
Live Oak Bancshares, Inc. | 110,051 | 5,007,321 | |||
M&T Bank Corp. (D)(E) | 73,564 | 10,084,153 | |||
Metrocity Bankshares, Inc. | 65,263 | 1,567,617 | |||
Mid Penn Bancorp, Inc. | 71,323 | 1,731,722 | |||
MidWestOne Financial Group, Inc. | 133,914 | 3,603,626 | |||
NBT Bancorp, Inc. (D)(E) | 104,324 | 4,372,219 | |||
New York Community Bancorp, Inc. (D)(E) | 454,005 | 4,644,471 | |||
Nicolet Bankshares, Inc. (D)(E) | 90,381 | 7,273,863 | |||
Northrim BanCorp, Inc. | 92,403 | 5,286,376 | |||
Ohio Valley Banc Corp. | 79,347 | 1,824,981 | |||
Old National Bancorp | 359,938 | 6,079,353 |
9 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Shares | Value | ||||
Financials (continued) | |||||
Banks (continued) | |||||
Old Second Bancorp, Inc. | 351,764 | $5,431,236 | |||
OP Bancorp | 170,717 | 1,869,351 | |||
Orange County Bancorp, Inc. | 43,740 | 2,634,898 | |||
Pinnacle Financial Partners, Inc. (D)(E) | 112,170 | 9,783,467 | |||
Plumas Bancorp | 54,412 | 2,249,936 | |||
Popular, Inc. | 133,406 | 10,948,630 | |||
Premier Financial Corp. (D)(E) | 333,084 | 8,027,324 | |||
Prime Meridian Holding Company | 125,087 | 2,945,799 | |||
Private Bancorp of America, Inc. (A) | 116,752 | 4,086,320 | |||
Provident Financial Holdings, Inc. | 97,172 | 1,225,339 | |||
QCR Holdings, Inc. | 75,459 | 4,406,051 | |||
Red River Bancshares, Inc. | 58,027 | 3,255,895 | |||
Regions Financial Corp. | 481,460 | 9,330,695 | |||
Renasant Corp. | 144,643 | 4,871,576 | |||
Riverview Bancorp, Inc. | 368,806 | 2,360,358 | |||
SB Financial Group, Inc. | 257,156 | 3,919,057 | |||
Shore Bancshares, Inc. | 406,028 | 5,785,899 | |||
Sierra Bancorp | 163,038 | 3,676,507 | |||
South Atlantic Bancshares, Inc. | 289,568 | 3,691,992 | |||
Southern California Bancorp (A) | 261,632 | 4,539,315 | |||
Southern Missouri Bancorp, Inc. (D)(E) | 104,786 | 5,594,525 | |||
SouthState Corp. (D)(E) | 84,976 | 7,176,223 | |||
SpareBank 1 SR-Bank ASA | 127,986 | 1,623,119 | |||
Stock Yards Bancorp, Inc. (D)(E) | 79,829 | 4,110,395 | |||
Synovus Financial Corp. | 228,255 | 8,593,801 | |||
The First Bancorp, Inc. | 226,174 | 6,382,630 | |||
The First Bancshares, Inc. | 181,973 | 5,337,268 | |||
The PNC Financial Services Group, Inc. (D)(E) | 63,618 | 9,851,247 | |||
Timberland Bancorp, Inc. | 113,266 | 3,563,348 | |||
TriCo Bancshares | 193,684 | 8,322,601 | |||
Truist Financial Corp. | 215,638 | 7,961,355 | |||
U.S. Bancorp (D)(E) | 238,928 | 10,340,804 | |||
United BanCorp of Alabama, Inc., Class A | 168,566 | 7,012,346 | |||
Virginia National Bankshares Corp. | 82,690 | 2,842,882 | |||
Walden Mutual (A)(B)(C) | 100,000 | 667,800 | |||
Westamerica BanCorp | 112,746 | 6,360,002 | |||
Western Alliance Bancorp | 53,528 | 3,521,607 | |||
WSFS Financial Corp. | 222,325 | 10,211,387 | |||
WTB Financial Corp., Class B | 10,170 | 3,112,020 | |||
Zions Bancorp NA | 226,397 | 9,932,036 | |||
Capital markets 8.3% | |||||
Ares Management Corp., Class A | 77,184 | 9,178,721 | |||
Brookfield Corp. (D)(E) | 124,500 | 4,994,940 |
SEE NOTES TO FINANCIAL STATEMENTS | ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 10 |
Shares | Value | ||||
Financials (continued) | |||||
Capital markets (continued) | |||||
KKR & Company, Inc. | 126,340 | $10,467,269 | |||
Oaktree Specialty Lending Corp. (D)(E) | 266,364 | 5,439,153 | |||
Onex Corp. | 105,066 | 7,336,898 | |||
Sixth Street Specialty Lending, Inc. | 217,057 | 4,688,431 | |||
The Carlyle Group, Inc. (D)(E) | 201,936 | 8,216,776 | |||
Consumer finance 1.4% | |||||
Discover Financial Services | 54,395 | 6,113,998 | |||
LendingClub Corp. (A) | 260,870 | 2,280,004 | |||
Financial services 1.3% | |||||
Eurazeo SE | 101,170 | 8,044,450 | |||
Insurance 1.8% | |||||
Assured Guaranty, Ltd. | 83,698 | 6,263,121 | |||
Skyward Specialty Insurance Group, Inc. (A) | 130,513 | 4,421,780 | |||
Real estate 0.6% | 3,409,732 | ||||
Industrial REITs 0.6% | |||||
Plymouth Industrial REIT, Inc. | 141,659 | 3,409,732 | |||
Preferred securities 5.6% (4.6% of Total investments) | $33,439,711 | ||||
(Cost $34,396,246) | |||||
Financials 4.9% | 29,628,725 | ||||
Banks 4.5% | |||||
Atlantic Union Bankshares Corp., 6.875% | 143,775 | 3,022,151 | |||
CNB Financial Corp., 7.125% | 69,615 | 1,512,038 | |||
First Business Financial Services, Inc., 7.000% (7.000% to 3-15-27, then 3 month CME Term SOFR + 5.390%) (C)(G) | 4,000 | 3,357,196 | |||
First Merchants Corp., 7.500% | 50,000 | 1,212,500 | |||
Midland States Bancorp, Inc., 7.750% (7.750% to 9-30-27, then 5 Year CMT + 4.713%) (D)(E) | 120,000 | 2,916,000 | |||
Northpointe Bancshares, Inc., 8.250% (8.250% to 12-30-25, then Overnight SOFR + 7.990%) (A)(G) | 160,000 | 3,680,000 | |||
Pinnacle Financial Partners, Inc., 6.750% | 71,825 | 1,623,245 | |||
Synovus Financial Corp., 5.875% (5.875% to 7-1-24, then 5 Year CMT + 4.127%) | 77,222 | 1,803,134 | |||
Tectonic Financial, Inc., 9.000% (9.000% to 5-15-24, then 3 month LIBOR + 6.720%) | 186,840 | 1,887,084 | |||
United Community Banks, Inc., 6.875% | 86,596 | 2,012,491 | |||
WaFd, Inc., 4.875% | 210,875 | 3,177,886 | |||
WesBanco, Inc., 6.750% (6.750% to 11-15-25, then 5 Year CMT + 6.557%) (D)(E) | 50,000 | 1,197,500 | |||
Mortgage real estate investment trusts 0.4% | |||||
Invesco Mortgage Capital, Inc., 7.750% (7.750% to 12-27-24, then 3 month LIBOR + 5.180%) | 99,000 | 2,227,500 |
11 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Shares | Value | ||||
Real estate 0.7% | $3,810,986 | ||||
Hotel and resort REITs 0.4% | |||||
Sotherly Hotels, Inc., 8.000% | 44,519 | 894,832 | |||
Sotherly Hotels, Inc., 8.250% | 59,188 | 1,251,234 | |||
Office REITs 0.3% | |||||
Hudson Pacific Properties, Inc., 4.750% | 118,838 | 1,664,920 | |||
Rate (%) | Maturity date | Par value^ | Value | ||
Corporate bonds 1.9% (1.6% of Total investments) | $11,481,246 | ||||
(Cost $10,912,012) | |||||
Financials 1.5% | 8,955,006 | ||||
Banks 1.5% | |||||
BNP Paribas SA (7.750% to 8-16-29, then 5 Year CMT + 4.899%) (G)(H) | 7.750 | 08-16-29 | 2,903,000 | 2,963,295 | |
BNP Paribas SA (9.250% to 11-17-27, then 5 Year CMT + 4.969%) (G)(H) | 9.250 | 11-17-27 | 832,000 | 889,712 | |
Cullen/Frost Capital Trust II (3 month CME Term SOFR + 1.812%) (I) | 7.189 | 03-01-34 | 3,000,000 | 2,617,599 | |
University Bancorp, Inc. (8.250% to 1-31-28, then 3 month CME Term SOFR + 4.870%) (G) | 8.250 | 01-31-33 | 2,500,000 | 2,484,400 | |
Real estate 0.4% | 2,526,240 | ||||
Retail REITs 0.4% | |||||
The Necessity Retail REIT, Inc. (G) | 4.500 | 09-30-28 | 3,000,000 | 2,526,240 | |
Convertible bonds 1.1% (0.9% of Total investments) | $6,554,121 | ||||
(Cost $6,475,614) | |||||
Financials 1.1% | 6,554,121 | ||||
Mortgage real estate investment trusts 1.1% | |||||
Blackstone Mortgage Trust, Inc. | 5.500 | 03-15-27 | 3,000,000 | 2,722,500 | |
Redwood Trust, Inc. | 7.750 | 06-15-27 | 4,179,000 | 3,831,621 | |
Certificate of deposit 0.0% (0.0% of Total investments) | $82,957 | ||||
(Cost $82,957) | |||||
East Boston Savings Bank | 2.960 | 11-03-25 | 1,944 | 1,944 | |
Eastern Savings Bank FSB | 0.200 | 04-24-25 | 1,970 | 1,970 | |
First Bank Richmond NA (C) | 3.500 | 12-05-25 | 22,466 | 22,466 | |
First Federal of Northern Michigan | 0.250 | 01-09-24 | 3,065 | 3,065 | |
First National Bank | 0.400 | 06-17-24 | 1,368 | 1,368 | |
First Savings Bank of Perkasie | 0.747 | 04-07-25 | 5,201 | 5,201 | |
Home National Bank | 5.100 | 11-06-24 | 22,034 | 22,034 | |
Hudson United Bank | 4.250 | 04-24-25 | 2,296 | 2,296 | |
Machias Savings Bank | 1.010 | 05-31-24 | 2,023 | 2,023 | |
Midstates Bank NA | 0.520 | 06-03-24 | 2,066 | 2,066 | |
Milford Federal Savings and Loan Bank | 0.500 | 04-29-24 | 2,075 | 2,075 | |
MutualOne Bank | 1.300 | 09-11-25 | 4,309 | 4,309 |
SEE NOTES TO FINANCIAL STATEMENTS | ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 12 |
Rate (%) | Maturity date | Par value^ | Value | ||
Newburyport Five Cents Savings Bank | 0.300 | 10-18-24 | 2,183 | $2,183 | |
Newtown Savings Bank | 0.250 | 06-03-24 | 2,001 | 2,001 | |
Newtown Savings Bank (C) | 0.250 | 08-29-24 | 3,905 | 3,905 | |
Sunshine Federal Savings and Loan Association | 0.500 | 05-12-25 | 2,108 | 2,108 | |
The Milford Bank | 0.100 | 06-12-25 | 1,943 | 1,943 |
Yield (%) | Shares | Value | |||
Short-term investments 0.7% (0.6% of Total investments) | $4,353,721 | ||||
(Cost $4,354,003) | |||||
Short-term funds 0.7% | 4,353,721 | ||||
John Hancock Collateral Trust (J) | 5.3645(K) | 435,363 | 4,353,721 |
Total investments (Cost $497,317,001) 120.2% | $723,273,532 | ||||
Other assets and liabilities, net (20.2%) | (121,522,493) | ||||
Total net assets 100.0% | $601,751,039 |
The percentage shown for each investment category is the total value of the category as a percentage of the net assets of the fund unless otherwise indicated. | |
^All par values are denominated in U.S. dollars unless otherwise indicated. | |
Security Abbreviations and Legend | |
CME | CME Group Published Rates |
CMT | Constant Maturity Treasury |
LIBOR | London Interbank Offered Rate |
SOFR | Secured Overnight Financing Rate |
(A) | Non-income producing security. |
(B) | Restricted security as to resale, excluding 144A securities. For more information on this security refer to the Notes to financial statements. |
(C) | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. Refer to Note 2 to the financial statements. |
(D) | All or a portion of this security is on loan as of 12-31-23, and is a component of the fund’s leverage under the Liquidity Agreement. |
(E) | All or a portion of this security is pledged as collateral pursuant to the Liquidity Agreement. Total collateral value at 12-31-23 was $130,623,842. A portion of the securities pledged as collateral were loaned pursuant to the Liquidity Agreement. The value of securities on loan amounted to $110,971,852. |
(F) | The fund owns 5% or more of the outstanding voting shares of the issuer and the security is considered an affiliate of the fund. For more information on this security refer to the Notes to financial statements. |
(G) | These securities are exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be resold, normally to qualified institutional buyers, in transactions exempt from registration. |
(H) | Perpetual bonds have no stated maturity date. Date shown as maturity date is next call date. |
(I) | Variable rate obligation. The coupon rate shown represents the rate at period end. |
(J) | Investment is an affiliate of the fund, the advisor and/or subadvisor. |
(K) | The rate shown is the annualized seven-day yield as of 12-31-23. |
13 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Interest rate swaps | ||||||||||
Counterparty (OTC)/ Centrally cleared | Notional amount | Currency | Payments made | Payments received | Fixed payment frequency | Floating payment frequency | Maturity date | Unamortized upfront payment paid (received) | Unrealized appreciation (depreciation) | Value |
Centrally cleared | 10,000,000 | USD | Fixed 3.874% | USD SOFR Compounded OIS (a) | Semi-Annual | Quarterly | Dec 2026 | — | $(50,969) | $(50,969) |
Centrally cleared | 10,000,000 | USD | Fixed 3.356% | USD SOFR Compounded OIS (a) | Semi-Annual | Quarterly | May 2028 | — | 104,055 | 104,055 |
Centrally cleared | 15,000,000 | USD | Fixed 1.220% | USD SOFR Compounded OIS + 0.262% (a) | Semi-Annual | Quarterly | Mar 2030 | $(4,063) | 2,107,394 | 2,103,331 |
Centrally cleared | 25,000,000 | USD | Fixed 1.136% | USD SOFR Compounded OIS + 0.262% (a) | Semi-Annual | Quarterly | Mar 2030 | (6,492) | 3,630,287 | 3,623,795 |
Centrally cleared | 25,000,000 | USD | Fixed 1.077% | USD SOFR Compounded OIS + 0.262% (a) | Semi-Annual | Quarterly | Mar 2030 | (6,379) | 3,715,074 | 3,708,695 |
$(16,934) | $9,505,841 | $9,488,907 |
(a) | At 12-31-23, the overnight SOFR was 5.380%. |
Derivatives Currency Abbreviations | |
USD | U.S. Dollar |
Derivatives Abbreviations | |
OIS | Overnight Index Swap |
OTC | Over-the-counter |
SOFR | Secured Overnight Financing Rate |
SEE NOTES TO FINANCIAL STATEMENTS | ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 14 |
Assets | |
Unaffiliated investments, at value (Cost $489,080,031) | $715,265,100 |
Affiliated investments, at value (Cost $8,236,970) | 8,008,432 |
Total investments, at value (Cost $497,317,001) | 723,273,532 |
Receivable for centrally cleared swaps | 2,553,449 |
Cash | 132,879 |
Dividends and interest receivable | 1,533,194 |
Receivable from affiliates | 89,084 |
Other assets | 148,344 |
Total assets | 727,730,482 |
Liabilities | |
Liquidity agreement | 125,000,000 |
Interest payable | 647,986 |
Payable to affiliates | |
Administrative services fees | 148,473 |
Trustees’ fees | 814 |
Other liabilities and accrued expenses | 182,170 |
Total liabilities | 125,979,443 |
Net assets | $601,751,039 |
Net assets consist of | |
Paid-in capital | $366,396,833 |
Total distributable earnings (loss) | 235,354,206 |
Net assets | $601,751,039 |
Net asset value per share | |
Based on 19,686,612 shares of beneficial interest outstanding - unlimited number of shares authorized with no par value | $30.57 |
15 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Investment income | |
Dividends | $23,121,815 |
Interest | 819,973 |
Dividends from affiliated investments | 205,546 |
Less foreign taxes withheld | (101,459) |
Total investment income | 24,045,875 |
Expenses | |
Investment management fees | 7,325,861 |
Interest expense | 7,246,102 |
Administrative services fees | 1,645,296 |
Transfer agent fees | 25,072 |
Trustees’ fees | 46,880 |
Custodian fees | 76,622 |
Printing and postage | 154,519 |
Professional fees | 233,994 |
Stock exchange listing fees | 23,751 |
Other | 30,334 |
Total expenses | 16,808,431 |
Less expense reductions | (1,036,495) |
Net expenses | 15,771,936 |
Net investment income | 8,273,939 |
Realized and unrealized gain (loss) | |
Net realized gain (loss) on | |
Unaffiliated investments and foreign currency transactions | 35,048,414 |
Affiliated investments | (1,056) |
Swap contracts | 2,786,075 |
37,833,433 | |
Change in net unrealized appreciation (depreciation) of | |
Unaffiliated investments and translation of assets and liabilities in foreign currencies | (35,741,100) |
Affiliated investments | (43,254) |
Swap contracts | (1,686,228) |
(37,470,582) | |
Net realized and unrealized gain | 362,851 |
Increase in net assets from operations | $8,636,790 |
SEE NOTES TO FINANCIAL STATEMENTS | ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 16 |
Year ended 12-31-23 | Year ended 12-31-22 | |
Increase (decrease) in net assets | ||
From operations | ||
Net investment income | $8,273,939 | $9,621,893 |
Net realized gain | 37,833,433 | 32,002,379 |
Change in net unrealized appreciation (depreciation) | (37,470,582) | (128,541,647) |
Increase (decrease) in net assets resulting from operations | 8,636,790 | (86,917,375) |
Distributions to shareholders | ||
From earnings | (50,807,042) | (47,926,823) |
Total distributions | (50,807,042) | (47,926,823) |
Fund share transactions | ||
Issued in shelf offering | 9,223,955 | 6,595,560 |
Issued pursuant to Dividend Reinvestment Plan | 2,568,882 | 3,138,679 |
Total from fund share transactions | 11,792,837 | 9,734,239 |
Total decrease | (30,377,415) | (125,109,959) |
Net assets | ||
Beginning of year | 632,128,454 | 757,238,413 |
End of year | $601,751,039 | $632,128,454 |
Share activity | ||
Shares outstanding | ||
Beginning of year | 19,263,174 | 19,014,318 |
Issued in shelf offering | 325,851 | 156,533 |
Issued pursuant to Dividend Reinvestment Plan | 97,587 | 92,323 |
End of year | 19,686,612 | 19,263,174 |
17 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
Cash flows from operating activities | |
Net increase in net assets from operations | $8,636,790 |
Adjustments to reconcile net increase in net assets from operations to net cash provided by operating activities: | |
Long-term investments purchased | (87,735,125) |
Long-term investments sold | 119,362,593 |
Net purchases and sales of short-term investments | (3,115,422) |
Net amortization of premium (discount) | (164,255) |
(Increase) Decrease in assets: | |
Receivable for centrally cleared swaps | (205,542) |
Dividends and interest receivable | (36,824) |
Receivable from affiliates | 9,230 |
Other assets | 58,034 |
Increase (Decrease) in liabilities: | |
Payable for investments purchased | (10,145) |
Interest payable | 118,889 |
Payable to affiliates | (14,722) |
Other liabilities and accrued expenses | 120,872 |
Net change in unrealized (appreciation) depreciation on: | |
Investments | 35,786,468 |
Net realized (gain) loss on: | |
Investments | (35,054,980) |
Proceeds received as return of capital | 299,439 |
Net cash provided by operating activities | $38,055,300 |
Cash flows provided by (used in) financing activities | |
Distributions to shareholders | $(48,238,160) |
Fund shares issued in shelf offering | 9,223,955 |
Net cash used in financing activities | $(39,014,205) |
Net decrease in cash | $(958,905) |
Cash at beginning of year | $1,091,784 |
Cash at end of year | $132,879 |
Supplemental disclosure of cash flow information: | |
Cash paid for interest | $(7,127,213) |
Noncash financing activities not included herein consists of reinvestment of distributions | $2,568,882 |
SEE NOTES TO FINANCIAL STATEMENTS | ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 18 |
Period ended | 12-31-23 | 12-31-22 | 12-31-21 | 12-31-20 | 12-31-19 |
Per share operating performance | |||||
Net asset value, beginning of period | $32.82 | $39.82 | $28.48 | $36.38 | $29.06 |
Net investment income 1 | 0.42 | 0.50 | 0.54 | 0.60 | 0.50 |
Net realized and unrealized gain (loss) on investments | (0.11) 2 | (5.03) | 12.96 | (6.30) | 9.02 |
Total from investment operations | 0.31 | (4.53) | 13.50 | (5.70) | 9.52 |
Less distributions | |||||
From net investment income | (0.62) | (0.47) | (0.62) | (0.65) | (0.48) |
From net realized gain | (1.98) | (2.03) | (1.58) | (1.55) | (1.72) |
Total distributions | (2.60) | (2.50) | (2.20) | (2.20) | (2.20) |
Premium from shares sold through shelf offering | 0.04 | 0.03 | 0.04 | — | — |
Net asset value, end of period | $30.57 | $32.82 | $39.82 | $28.48 | $36.38 |
Per share market value, end of period | $30.08 | $33.31 | $46.59 | $30.35 | $36.30 |
Total return at net asset value (%) 3,4 | 2.39 | (11.39) | 47.83 | (13.38) | 33.71 |
Total return at market value (%) 3 | (0.76) | (23.11) | 62.31 | (7.49) | 38.81 |
Ratios and supplemental data | |||||
Net assets, end of period (in millions) | $602 | $632 | $757 | $535 | $680 |
Ratios (as a percentage of average net assets): | |||||
Expenses before reductions | 3.16 | 2.12 | 1.78 | 2.21 | 2.27 |
Expenses including reductions 5 | 2.96 | 1.93 | 1.60 | 2.01 | 2.08 |
Net investment income | 1.55 | 1.41 | 1.45 | 2.50 | 1.52 |
Portfolio turnover (%) | 13 | 10 | 14 | 10 | 13 |
Senior securities | |||||
Total debt outstanding end of period (in millions) | $125 | $125 | $125 | $125 | $125 |
Asset coverage per $1,000 of debt 6 | $5,814 | $6,057 | $7,058 | $5,278 | $6,440 |
1 | Based on average daily shares outstanding. |
2 | The amount shown for a share outstanding does not correspond with the aggregate net gain (loss) on investments for the period due to the timing of the sales and repurchases of shares in relation to fluctuating market values of the investments of the fund. |
3 | Total return based on net asset value reflects changes in the fund’s net asset value during each period. Total return based on market value reflects changes in market value. Each figure assumes that distributions from income, capital gains and tax return of capital, if any, were reinvested. |
4 | Total returns would have been lower had certain expenses not been reduced during the applicable periods. |
5 | Expenses including reductions excluding interest expense were 1.60%, 1.47%, 1.47%, 1.69% and 1.50% for the periods ended 12-31-23, 12-31-22, 12-31-21, 12-31-20 and 12-31-19, respectively. |
6 | Asset coverage equals the total net assets plus borrowings divided by the borrowings of the fund outstanding at period end (Note 8). As debt outstanding changes, the level of invested assets may change accordingly. Asset coverage ratio provides a measure of leverage. |
19 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT | SEE NOTES TO FINANCIAL STATEMENTS |
ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 20 |
Total value at 12-31-23 | Level 1 quoted price | Level 2 significant observable inputs | Level 3 significant unobservable inputs | |
Investments in securities: | ||||
Assets | ||||
Common stocks | ||||
Financials | ||||
Banks | $586,506,503 | $579,986,425 | $1,623,119 | $4,896,959 |
Capital markets | 50,322,188 | 50,322,188 | — | — |
Consumer finance | 8,394,002 | 8,394,002 | — | — |
Financial services | 8,044,450 | — | 8,044,450 | — |
Insurance | 10,684,901 | 10,684,901 | — | — |
Real estate | ||||
Industrial REITs | 3,409,732 | 3,409,732 | — | — |
Preferred securities | ||||
Financials | ||||
Banks | 27,401,225 | 20,364,029 | 3,680,000 | 3,357,196 |
Mortgage real estate investment trusts | 2,227,500 | 2,227,500 | — | — |
Real estate | ||||
Hotel and resort REITs | 2,146,066 | 2,146,066 | — | — |
Office REITs | 1,664,920 | 1,664,920 | — | — |
Corporate bonds | 11,481,246 | — | 11,481,246 | — |
Convertible bonds | 6,554,121 | — | 6,554,121 | — |
Certificate of deposit | 82,957 | — | 56,586 | 26,371 |
Short-term investments | 4,353,721 | 4,353,721 | — | — |
Total investments in securities | $723,273,532 | $683,553,484 | $31,439,522 | $8,280,526 |
Derivatives: | ||||
Assets | ||||
Swap contracts | $9,539,876 | — | $9,539,876 | — |
Liabilities | ||||
Swap contracts | (50,969) | — | (50,969) | — |
21 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT |
Common stocks | Preferred securities | Certificate of deposit | Total | |
Balance as of 12-31-22 | $6,139,314 | $3,574,533 | $4,265 | $9,718,112 |
Realized gain (loss) | — | — | — | — |
Change in unrealized appreciation (depreciation) | (1,242,355) | (217,337) | — | (1,459,692) |
Purchases | — | — | 26,371 | 26,371 |
Sales | — | — | (4,265) | (4,265) |
Transfers into Level 3 | — | — | — | — |
Transfers out of Level 3 | — | — | — | — |
Balance as of 12-31-23 | $4,896,959 | $3,357,196 | $26,371 | $8,280,526 |
Change in unrealized appreciation (depreciation) at period end 1 | $(1,242,355) | $(217,337) | — | $(1,459,692) |
1 | Change in unrealized appreciation (depreciation) attributable to Level 3 securities held at period end. This balance is included in change in unrealized appreciation (depreciation) on the Statement of operations. |
Fair Value at 12-31-23 | Valuation technique | Significant unobservable inputs | Input/Range* | Input weighted average* | |
Common Stocks | $4,896,959 | Market Comparable | Price/Book Value multiple Discount | 1.06x - 1.08x 18% | 1.08x 18% |
Preferred Securities | $3,357,196 | Bond Comparable | Benchmark Option Adjusted Spread (OAS) Implied OAS premium | 466.59 135% | 466.59 135% |
Certificate of deposit | $26,371 | Transactions Indicative of Value | Prior/recent transactions | $100 | $100 |
Total | $8,280,526 |
Significant Unobservable Input | Impact to Valuation if input had increased | Impact to Valuation if input had decreased |
Benchmark Option Adjusted Spread (OAS) | Increase | Decrease |
Discount | Decrease | Increase |
Implied OAS premium | Increase | Decrease |
Price/Book Value multiple | Increase | Decrease |
ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 22 |
Significant Unobservable Input | Impact to Valuation if input had increased | Impact to Valuation if input had decreased |
Prior/recent transactions | Increase | Decrease |
23 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT |
December 31, 2023 | December 31, 2022 | |
Ordinary income | $12,123,860 | $8,945,964 |
Long-term capital gains | 38,683,182 | 38,980,859 |
Total | $50,807,042 | $47,926,823 |
ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 24 |
25 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT |
Risk | Statement of assets and liabilities location | Financial instruments location | Assets derivatives fair value | Liabilities derivatives fair value |
Interest rate | Swap contracts, at value 1 | Interest rate swaps | $9,539,876 | $(50,969) |
1 | Reflects cumulative value of swap contracts. Receivable/payable for centrally cleared swaps, which includes value and margin, are shown separately on the Statement of assets and liabilities. |
Statement of operations location - Net realized gain (loss) on: | |
Risk | Swap contracts |
Interest rate | $2,786,075 |
Statement of operations location - Change in net unrealized appreciation (depreciation) of: | |
Risk | Swap contracts |
Interest rate | $(1,686,228) |
ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 26 |
27 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT |
• | the likelihood of greater volatility of NAV and market price of shares; |
• | fluctuations in the interest rate paid for the use of the LA; |
• | increased operating costs, which may reduce the fund’s total return; |
• | the potential for a decline in the value of an investment acquired through leverage, while the fund’s obligations under such leverage remains fixed; and |
• | the fund is more likely to have to sell securities in a volatile market in order to meet asset coverage or other debt compliance requirements. |
ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 28 |
29 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT |
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 | 435,363 | $1,253,479 | $121,078,470 | $(117,976,563) | $(1,056) | $(609) | $205,546 | — | $4,353,721 |
Issuer, Description | Original acquisition date | Acquisition cost | Beginning share amount | Shares purchased | Shares sold | Ending share amount | Value as a percentage of net assets | Ending value |
Bremer Financial Corp. | 10-25-19 | $5,000,040 | 41,667 | — | — | 41,667 | 0.7% | $4,229,159 |
Walden Mutual | 9-1-22 | 1,000,000 | 100,000 | — | — | 100,000 | 0.1% | 667,800 |
$4,896,959 |
ANNUAL REPORT | JOHN HANCOCK Financial Opportunities Fund | 30 |
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 |
First Reliance Bancshares, Inc. | 426,454 | $3,697,356 | — | — | — | $(42,645) | — | — | $3,654,711 |
31 | JOHN HANCOCK Financial Opportunities Fund | ANNUAL REPORT |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 32 |
33 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 34 |
ESG factors may be applied according to the manager’s integrated investment process may not include U.S. Treasuries, government securities, or other asset classes. ESG factors may include, but are not limited to, matters regarding board diversity, climate change policies, and supply chain and human rights policies. Incorporating ESG criteria and making
investment decisions based on certain ESG characteristics, as determined by the Advisor, carries the risk that the fund may perform differently, including underperforming funds that do not utilize ESG criteria or funds that utilize different ESG criteria. Integration of ESG factors into the fund’s investment process may result in a manager making different
investments for the fund than for a fund with a similar investment universe and/or investment style that does not incorporate such considerations in its investment strategy or processes, and the fund’s investment performance may be affected. Because ESG factors are one of many considerations for the fund, the manager may nonetheless include
companies with low ESG characteristics or exclude companies with high ESG characteristics in the fund’s investments.
35 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 36 |
37 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
Payment Date | Distributions |
March 31, 2023 | $0.6500 |
June 30, 2023 | 0.6500 |
September 29, 2023 | 0.6500 |
December 29, 2023 | 0.6500 |
Total | $2.6000 |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 38 |
Senior securities | 12-31-18 | 12-31-17 | 12-31-16 | 12-31-15 | 10-31-15 | 10-31-14 |
Total debt outstanding end of period (in millions) | $120 | $110 | $110 | $110 | $110 | $110 |
Asset coverage per $1,000 of debt 1 | $5,522 | $7,265 | $6,922 | $5,419 | $5,385 | $5,244 |
39 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
1 | Asset coverage equals the total net assets plus borrowings divided by the borrowings of the fund outstanding at period end (Note 8). As debt outstanding changes, the level of invested assets may change accordingly. Asset coverage ratio provides a measure of leverage. |
Shareholder Transaction Expenses | |
Sales load ( as a percentage of offering price )1 | — % |
Offering expenses ( as a percentage of offering price )1 | — |
Dividend Reinvestment Plan fees 2 | None |
Annual Expenses ( Percentage of Net Assets Attributable to Common Shares ) | |
Management fees 3 | 1.38 % |
Interest payments on borrowed funds 4 | 1.36 % |
Other expenses | 0.42 % |
Total Annual Operating Expenses | 3.16 % |
Contractual Expense Reimbursement 5 | (0.20) % |
Total Annual Fund Operating Expenses After Expense Reimbursements | 2.96 % |
1 | If common shares are sold to or through underwriters, the fund’s prospectus will set forth any applicable sales load and the estimated offering expenses. |
2 | Participants in the fund’s dividend reinvestment plan do not pay brokerage charges with respect to common shares issued directly by the fund. However, whenever common shares are purchased or sold on the NYSE or otherwise on the open market, each participant will pay a pro rata portion of brokerage trading fees, currently $0.05 per share purchased or sold. Brokerage trading fees will be deducted from amounts to be invested. Shareholders participating in the Plan may buy additional common shares of the fund through the Plan at any time and will be charged a $5 transaction fee plus $0.05 per share brokerage trading fee for each order. See “Dividends and distributions” and “Dividend reinvestment plan”. |
3 | See "Note 5 – Fees and transactions with affiliates.” |
4 | The fund uses leverage by borrowing under a liquidity agreement. “Interest payments on borrowed funds” includes all interest paid in connection with outstanding loans. See “Note 8 - “Liquidity Agreement.” |
5 | The Advisor has contractually agreed to waive a portion of its management fee and/or reimburse expenses for certain funds of the John Hancock group of funds complex, including the fund (the participating portfolios). This waiver is based upon aggregate managed assets of all the participating portfolios. The amount of the reimbursement is calculated daily and allocated among all the participating portfolios in proportion to the daily net assets of each fund. During the year ended December 31, 2023, this waiver amounted to 0.01% of the fund’s average daily net assets. This arrangement expires on July 31, 2025, unless renewed by mutual agreement of the fund and the Advisor based upon a determination that this is appropriate under the circumstances at that time.The Advisor contractually agrees to limit its administration fee to 0.10% of the fund’s average weekly gross assets. This agreement expires on April 30, 2025, unless renewed by mutual agreement of the fund and the Advisor based upon a determination that this is appropriate under the circumstances at that time. |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 40 |
1 Year | 3 Years | 5 Years | 10 Years | |
Total Expenses | $30 | $96 | $164 | $345 |
Market Price | NAV per Share on Date of Market Price High and Low | Premium/(Discount) on Date of Market Price High and Low | ||||
Fiscal Quarter Ended | High | Low | High | Low | High | Low |
March 31, 2022 | 52.03 | 40.20 | 42.91 | 37.50 | 21.25% | 7.20% |
June 30, 2022 | 40.80 | 32.16 | 36.22 | 31.13 | 12.64% | 3.31% |
September 30, 2022 | 39.84 | 31.20 | 36.43 | 31.49 | 9.36% | -0.92% |
December 31, 2022 | 36.52 | 30.14 | 36.11 | 31.69 | 1.14% | -4.89% |
March 31, 2023 | 38.20 | 28.14 | 34.51 | 25.52 | 10.69% | 10.27% |
June 30, 2023 | 30.54 | 22.99 | 26.36 | 21.82 | 15.86% | 5.36% |
41 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
Market Price | NAV per Share on Date of Market Price High and Low | Premium/(Discount) on Date of Market Price High and Low | ||||
Fiscal Quarter Ended | High | Low | High | Low | High | Low |
September 30, 2023 | 31.05 | 25.11 | 28.52 | 24.25 | 8.87% | 3.55% |
December 31, 2023 | 30.96 | 23.12 | 30.47 | 23.04 | 1.61% | 0.35% |
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150 Royall Street, Suite 101
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ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 42 |
Independent Trustees | ||
Name, year of birth Position(s) held with fund Principal occupation(s) and other directorships during past 5 years | Trustee of the Trust since 1 | Number of John Hancock funds overseen by Trustee |
Hassell H. McClellan, 2 Born: 1945 | 2012 | 182 |
Trustee and Chairperson of the Board | ||
Director/Trustee, Virtus Funds (2008-2020); Director, The Barnes Group (2010-2021); Associate Professor, The Wallace E. Carroll School of Management, Boston College (retired 2013). Trustee (since 2005) and Chairperson of the Board (since 2017) of various trusts within the John Hancock Fund Complex. | ||
James R. Boyle, Born: 1959 | 2015 | 178 |
Trustee | ||
Board Member, United of Omaha Life Insurance Company (since 2022). Board Member, Mutual of Omaha Investor Services, Inc. (since 2022). Foresters Financial, Chief Executive Officer (2018–2022) and board member (2017–2022). Manulife Financial and John Hancock, more than 20 years, retiring in 2012 as Chief Executive Officer, John Hancock and Senior Executive Vice President, Manulife Financial. Trustee of various trusts within the John Hancock Fund Complex (2005–2014 and since 2015). | ||
William H. Cunningham, 3 Born: 1944 | 1995 | 180 |
Trustee | ||
Professor, University of Texas, Austin, Texas (since 1971); former Chancellor, University of Texas System and former President of the University of Texas, Austin, Texas; Director (since 2006), Lincoln National Corporation (insurance); Director, Southwest Airlines (since 2000). Trustee of various trusts within the John Hancock Fund Complex (since 1986). | ||
Noni L. Ellison, Born: 1971 | 2022 | 178 |
Trustee | ||
Senior Vice President, General Counsel & Corporate Secretary, Tractor Supply Company (rural lifestyle retailer) (since 2021); General Counsel, Chief Compliance Officer & Corporate Secretary, Carestream Dental, L.L.C. (2017–2021); Associate General Counsel & Assistant Corporate Secretary, W.W. Grainger, Inc. (global industrial supplier) (2015–2017); Board Member, Goodwill of North Georgia, 2018 (FY2019)–2020 (FY2021); Board Member, Howard University School of Law Board of Visitors (since 2021); Board Member, University of Chicago Law School Board of Visitors (since 2016); Board member, Children’s Healthcare of Atlanta Foundation Board (2021–2023). Trustee of various trusts within the John Hancock Fund Complex (since 2022). | ||
Grace K. Fey, Born: 1946 | 2012 | 182 |
Trustee | ||
Chief Executive Officer, Grace Fey Advisors (since 2007); Director and Executive Vice President, Frontier Capital Management Company (1988–2007); Director, Fiduciary Trust (since 2009). Trustee of various trusts within the John Hancock Fund Complex (since 2008). | ||
Dean C. Garfield, Born: 1968 | 2022 | 178 |
Trustee | ||
Vice President, Netflix, Inc. (since 2019); President & Chief Executive Officer, Information Technology Industry Council (2009–2019); NYU School of Law Board of Trustees (since 2021); Member, U.S. Department of Transportation, Advisory Committee on Automation (since 2021); President of the United States Trade Advisory Council (2010–2018); Board Member, College for Every Student (2017–2021); Board Member, The Seed School of Washington, D.C. (2012–2017); Advisory Board Member of the Block Center for Technology and Society (since 2019). Trustee of various trusts within the John Hancock Fund Complex (since 2022). |
43 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
Independent Trustees (continued) | ||
Name, year of birth Position(s) held with fund Principal occupation(s) and other directorships during past 5 years | Trustee of the Trust since 1 | Number of John Hancock funds overseen by Trustee |
Deborah C. Jackson, Born: 1952 | 2008 | 180 |
Trustee | ||
President, Cambridge College, Cambridge, Massachusetts (2011-2023); Board of Directors, Amwell Corporation (since 2020); Board of Directors, Massachusetts Women’s Forum (2018-2020); Board of Directors, National Association of Corporate Directors/New England (2015-2020); Chief Executive Officer, American Red Cross of Massachusetts Bay (2002–2011); Board of Directors of Eastern Bank Corporation (since 2001); Board of Directors of Eastern Bank Charitable Foundation (since 2001); Board of Directors of Boston Stock Exchange (2002–2008); Board of Directors of Harvard Pilgrim Healthcare (health benefits company) (2007–2011). Trustee of various trusts within the John Hancock Fund Complex (since 2008). | ||
Steven R. Pruchansky, Born: 1944 | 1994 | 178 |
Trustee and Vice Chairperson of the Board | ||
Managing Director, Pru Realty (since 2017); Chairman and Chief Executive Officer, Greenscapes of Southwest Florida, Inc. (2014-2020); Director and President, Greenscapes of Southwest Florida, Inc. (until 2000); Member, Board of Advisors, First American Bank (until 2010); Managing Director, Jon James, LLC (real estate) (since 2000); Partner, Right Funding, LLC (2014-2017); Director, First Signature Bank & Trust Company (until 1991); Director, Mast Realty Trust (until 1994); President, Maxwell Building Corp. (until 1991). Trustee (since 1992), Chairperson of the Board (2011–2012), and Vice Chairperson of the Board (since 2012) of various trusts within the John Hancock Fund Complex. | ||
Frances G. Rathke, 3 Born: 1960 | 2020 | 178 |
Trustee | ||
Director, Audit Committee Chair, Oatly Group AB (plant-based drink company) (since 2021); Director, Audit Committee Chair and Compensation Committee Member, Green Mountain Power Corporation (since 2016); Director, Treasurer and Finance & Audit Committee Chair, Flynn Center for Performing Arts (since 2016); Director and Audit Committee Chair, Planet Fitness (since 2016); Chief Financial Officer and Treasurer, Keurig Green Mountain, Inc. (2003-retired 2015). Trustee of various trusts within the John Hancock Fund Complex (since 2020). | ||
Gregory A. Russo, Born: 1949 | 2008 | 178 |
Trustee | ||
Director and Audit Committee Chairman (2012-2020), and Member, Audit Committee and Finance Committee (2011-2020), NCH Healthcare System, Inc. (holding company for multi-entity healthcare system); Director and Member (2012-2018), and Finance Committee Chairman (2014-2018), The Moorings, Inc. (nonprofit continuing care community); Global Vice Chairman, Risk & Regulatory Matters, KPMG LLP (KPMG) (2002–2006); Vice Chairman, Industrial Markets, KPMG (1998–2002). Trustee of various trusts within the John Hancock Fund Complex (since 2008). |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 44 |
Non-Independent Trustees 4 | ||
Name, year of birth Position(s) held with fund Principal occupation(s) and other directorships during past 5 years | Trustee of the Trust since 1 | Number of John Hancock funds overseen by Trustee |
Andrew G. Arnott, Born: 1971 | 2017 | 180 |
Non-Independent Trustee | ||
Global Head of Retail for Manulife (since 2022); Head of Wealth and Asset Management, United States and Europe, for John Hancock and Manulife (2018-2023); Director and Chairman, John Hancock Investment Management LLC (2005-2023, including prior positions); Director and Chairman, John Hancock Variable Trust Advisers LLC (2006-2023, including prior positions); Director and Chairman, John Hancock Investment Management Distributors LLC (2004-2023, including prior positions); President of various trusts within the John Hancock Fund Complex (2007-2023, including prior positions). Trustee of various trusts within the John Hancock Fund Complex (since 2017). | ||
Paul Lorentz, Born: 1968 | 2022 | 178 |
Non-Independent Trustee | ||
Global Head, Manulife Wealth and Asset Management (since 2017); General Manager, Manulife, Individual Wealth Management and Insurance (2013–2017); President, Manulife Investments (2010–2016). Trustee of various trusts within the John Hancock Fund Complex (since 2022). |
Principal officers who are not Trustees | |
Name, year of birth Position(s) held with fund Principal occupation(s) during past 5 years | Current Position(s) with the Trust since |
Kristie M. Feinberg, Born: 1975 | 2023 |
President | |
Head of Wealth and Asset Management, United States and Europe, for John Hancock and Manulife (since 2023); Director and Chairman, John Hancock Investment Management LLC (since 2023); Director and Chairman, John Hancock Variable Trust Advisers LLC (since 2023); Director and Chairman, John Hancock Investment Management Distributors LLC (since 2023); CFO and Global Head of Strategy, Manulife Investment Management (2021-2023, including prior positions); CFO Americas & Global Head of Treasury, Invesco, Ltd., Invesco US (2019-2020, including prior positions); Senior Vice President, Corporate Treasurer and Business Controller, Oppenheimer Funds (2001-2019, including prior positions); President of various trusts within the John Hancock Fund Complex (since 2023). | |
Charles A. Rizzo, Born: 1957 | 2007 |
Chief Financial Officer | |
Vice President, John Hancock Financial Services (since 2008); Senior Vice President, John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC (since 2008); Chief Financial Officer of various trusts within the John Hancock Fund Complex (since 2007). | |
Salvatore Schiavone, Born: 1965 | 2010 |
Treasurer | |
Assistant Vice President, John Hancock Financial Services (since 2007); Vice President, John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC (since 2007); Treasurer of various trusts within the John Hancock Fund Complex (since 2007, including prior positions). |
45 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
Principal officers who are not Trustees (continued) | |
Name, year of birth Position(s) held with fund Principal occupation(s) during past 5 years | Current Position(s) with the Trust since |
Christopher (Kit) Sechler, Born: 1973 | 2018 |
Secretary and Chief Legal Officer | |
Vice President and Deputy Chief Counsel, John Hancock Investment Management (since 2015); Assistant Vice President and Senior Counsel (2009–2015), John Hancock Investment Management; Assistant Secretary of John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC (since 2009); Chief Legal Officer and Secretary of various trusts within the John Hancock Fund Complex (since 2009, including prior positions). | |
Trevor Swanberg, Born: 1979 | 2020 |
Chief Compliance Officer | |
Chief Compliance Officer, John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC (since 2020); Deputy Chief Compliance Officer, John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC (2019–2020); Assistant Chief Compliance Officer, John Hancock Investment Management LLC and John Hancock Variable Trust Advisers LLC (2016–2019); Vice President, State Street Global Advisors (2015–2016); Chief Compliance Officer of various trusts within the John Hancock Fund Complex (since 2016, including prior positions). |
1 | Ms. Ellison and Ms. Rathke serve as Trustees for a term expiring in 2024; Mr. Arnott, Mr. Garfield, Ms. Jackson, and Mr. Pruchansky serve as Trustees for a term expiring in 2025; Mr. Boyle, Dr. Cunningham, Ms. Fey, Mr. Lorentz, Dr. McClellan and Mr. Russo serve as Trustees for a term expiring in 2026; Mr. Boyle has served as Trustee at various times prior to date listed in the table. |
2 | Member of the Audit Committee as of September 26, 2023. |
3 | Member of the Audit Committee. |
4 | The Trustee is a Non-Independent Trustee due to current or former positions with the Advisor and certain of its affiliates. |
ANNUAL REPORT | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | 46 |
James R. Boyle
William H. Cunningham
Noni L. Ellison
Grace K. Fey
Dean C. Garfield
Deborah C. Jackson
Paul Lorentz
Frances G. Rathke
Gregory A. Russo
Ryan P. Lentell, CFA
You can also contact us: | ||
800-852-0218 | Regular mail: | Express mail: |
jhinvestments.com | Computershare P.O. Box 43006 Providence, RI 02940-3078 | Computershare 150 Royall St., Suite 101 Canton, MA 02021 |
47 | JOHN HANCOCK FINANCIAL OPPORTUNITIES FUND | ANNUAL REPORT |
GOVERNANCE FUNDS
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.
MF3308516 | P9A 12/23 |
ITEM 2. CODE OF ETHICS.
As of the end of the period, December 31, 2023, the registrant has adopted a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its Chief Executive Officer, Chief Financial Officer and Treasurer (respectively, the principal executive officer, the principal financial officer and the principal accounting officer, the "Covered Officers"). A copy of the code of ethics is filed as an exhibit to this Form N-CSR.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Frances G. Rathke is the audit committee financial expert and is "independent", pursuant to general instructions on Form N-CSR Item 3.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Audit Fees
The aggregate fees billed for professional services rendered by the principal accountant(s) for John Hancock Financial Opportunities Fund for the audit of the registrant's annual financial statements or services that are normally provided by the accountant(s) in connection with statutory and regulatory filings or engagements amounted to $48,623 for the fiscal period ended December 31, 2023, and $46,611 for the fiscal year ended December 31, 2022. These fees were billed to the registrant and were approved by the registrant's audit committee.
(b) Audit-Related Services
The aggregate fees for John Hancock Financial Opportunities Fund for audit-related fees amounted to $12 for the fiscal year ended December 31, 2023, and $1,805 for the fiscal year ended December 31, 2022. These fees were billed to the registrant or to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant ("control affiliates"). The nature of the services provided was related to a software licensing fee.
(c) Tax Fees
The aggregate fees for John Hancock Financial Opportunities Fund billed for professional services rendered by the principal accountant(s) for the tax compliance, tax advice and tax planning ("tax fees") amounted to $4,254 for the fiscal period ended December 31, 2023
and $4,110 for the fiscal period ended December 31, 2022. The nature of the services comprising the tax fees was the review of the registrant's tax returns and tax distribution requirements. These fees were billed to the registrant and were approved by the registrant's audit committee.
(d) All Other Fees
All other fees for John Hancock Financial Opportunities Fund billed to the registrant or control affiliates for products and services provided by the principal accountant were $369 for the fiscal year ended December 31, 2023 and $163 for the fiscal year ended December 31, 2022. The nature of the services comprising all other fees is advisory services provided to the investment manager. These fees were approved by the registrant's audit committee.
(e)(1) Audit Committee Pre-Approval Policies and Procedures:
The trust's Audit Committee must pre-approve all audit and non-audit services provided by the independent registered public accounting firm (the "Auditor") relating to the operations or financial reporting of the funds. Prior to the commencement of any audit or non-audit services to a fund, the Audit Committee reviews the services to determine whether they are appropriate and permissible under applicable law.
The trust's Audit Committee has adopted policies and procedures to, among other purposes, provide a framework for the Committee's consideration of audit-related and non-audit services by the Auditor. The policies and procedures require that any audit-related and non-audit service provided by the Auditor and any non-audit service provided by the Auditor to a fund service provider that relates directly to the operations and financial reporting of a fund are subject to approval by the Audit Committee before such service is provided. Audit-related services provided by the Auditor that are expected to exceed $25,000 per instance/per fund are subject to specific pre-approval by the Audit Committee. Tax services provided by the Auditor that are expected to exceed $30,000 per instance/per fund are subject to specific pre-approval by the Audit Committee.
All audit services, as well as the audit-related and non-audit services that are expected to exceed the amounts stated above, must be approved in advance of provision of the service by formal resolution of the Audit Committee. At the regularly scheduled Audit Committee meetings, the Committee reviews a report summarizing the services, including fees, provided by the Auditor.
(e)(2) Services approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X: Audit-Related Fees, Tax Fees and All Other Fees:
There were no amounts that were approved by the Audit Committee pursuant to the de minimis exception under Rule 2-01 of Regulation S-X.
(f)According to the registrant's principal accountant, for the fiscal year ended December 31, 2023, the percentage of hours spent on the audit of the registrant's financial statements for the most recent fiscal year that were attributed to work performed by persons who were not full-time, permanent employees of principal accountant was less than 50%.
(g)The aggregate non-audit fees billed by the registrant's accountant(s) for services rendered to the registrant and rendered to the registrant's control affiliates for each of the last two fiscal years of the registrant were $1,370,062 for the fiscal year ended December 31, 2023 and $1,328,389 for the fiscal year ended December 31, 2022.
(h)The audit committee of the registrant has considered the non-audit services provided by the registrant's principal accountant(s) to the control affiliates and has determined that the services that were not pre-approved are compatible with maintaining the principal accountant(s)' independence.
(i)Not applicable.
(j)Not applicable.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
The registrant has a separately-designated standing audit committee comprised of independent trustees. The members of the audit committee are as follows:
Frances G. Rathke – Chairperson William H. Cunningham
Hassell H. McClellan, effective September 26, 2023
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.
See attached exhibit "Proxy Voting Policies and Procedures"
ITEM 8.
PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Information about the Manulife Investment Management (US) LLC ("Manulife IM (US)") portfolio managers
Below is a list of the Manulife Investment Management (US) LLC "Manulife IM (US)" portfolio managers who share joint responsibility for the day-to-day investment management of the Fund subject to oversight by John Hancock Investment Management LLC (the "Adviser"). It provides a brief summary of their business careers over the past five years. The information provided is as of the filing date of this N-CSR.
Susan A. Curry
Managing Director and Portfolio Manager
Manulife Investment Management (US) LLC since 2006
Managed the Fund since 2004
Began business career in 1993
Ryan P. Lentell, CFA
Managing Director and Portfolio Manager
Manulife Investment Management (US) LLC since 2008
Managed the Fund since 2008
Began business career in 1999
Other Accounts the Portfolio Managers are Managing
The table below indicates, for each portfolio manager, information about the accounts over which the portfolio manager has day-to-day investment responsibility. All information on the number of accounts and total assets in the table is as of December 31, 2023. For purposes of the table, "Other Pooled Investment Vehicles" may include investment partnerships and group trusts, and "Other Accounts" may include separate accounts for institutions or individuals, insurance company general or separate accounts, pension funds and other similar institutional accounts.
| Registered Investment | Other Pooled Investment |
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| Companies | Vehicles |
| Other Accounts | ||
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| Total |
| Total |
| Total |
| Number of | Assets | Number of | Assets | Number of | Assets |
| Accounts | $Million | Accounts | $Million | Accounts | $Million |
Susan A. Curry | 3 | 4,482 | 2 | 191 | 1 | <1 |
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Ryan P. Lentell, | 3 | 1,441 | 2 | 191 | 0 | 0 |
CFA |
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Accounts within the total accounts that are subject to a performance-based advisory fee: 0.
Conflicts of Interest. When a portfolio manager is responsible for the management of more than one account, the potential arises for the portfolio manager to favor one account over another. The principal types of potential conflicts of interest that may arise are discussed below. For the reasons outlined below, the Fund does not believe that any material conflicts are likely to arise out of a portfolio manager's responsibility for the management of the Fund as well as one or more other accounts. The Advisor and Subadvisor have adopted procedures that are intended to monitor compliance with the policies referred to in the following paragraphs. Generally, the risks of such conflicts of interests are increased to the extent that a portfolio manager has a financial
incentive to favor one account over another. The Advisor and Subadvisor have structured their compensation arrangements in a manner that is intended to limit such potential for conflicts of interests. See "Compensation of Portfolio Managers" below.
•A portfolio manager could favor one account over another in allocating new investment opportunities that have limited supply, such as initial public offerings and private placements. If, for example, an initial public offering that was expected to appreciate in value significantly shortly after the offering was allocated to a single account, that account may be expected to have better investment performance than other accounts that did not receive an allocation on the initial public offering. The Subadvisor has policies that require a portfolio manager to allocate such investment opportunities in an equitable manner and generally to allocate such investments proportionately among all accounts with similar investment objectives.
•A portfolio manager could favor one account over another in the order in which trades for the accounts are placed. If a portfolio manager determines to purchase a security for more than one account in an aggregate amount that may influence the market price of the security, accounts that purchased or sold the security first may receive a more favorable price than accounts that made subsequent transactions. The less liquid the market for the security or the greater the percentage that the proposed aggregate purchases or sales represent of average daily trading volume, the greater the potential for accounts that make subsequent purchases or sales to receive a less favorable price. When a portfolio manager intends to trade the same security for more than one account, the policies of the Subadvisor generally require that such trades be "bunched," which means that the trades for the individual accounts are aggregated and each account receives the same price. There are some types of accounts as to which bunching may not be possible for contractual reasons (such as directed brokerage arrangements). Circumstances may also arise where the trader believes that bunching the orders may not result in the best possible price. Where those accounts or circumstances are involved, the Subadvisor will place the order in a manner intended to result in as favorable a price as possible for such client.
•A portfolio manager could favor an account if the portfolio manager's compensation is tied to the performance of that account rather than all accounts managed by the portfolio manager. If, for example, the portfolio manager receives a bonus based upon the performance of certain accounts relative to a benchmark while other accounts are disregarded for this purpose, the portfolio manager will have a financial incentive to seek to have the accounts that determine the portfolio manager's bonus achieve the best possible performance to the possible detriment of other accounts. Similarly, if the Subadvisor receives a performance-based advisory fee, the portfolio manager may favor that account, whether or not the performance of that account directly determines the portfolio manager's compensation. The investment performance on specific accounts is not a factor in determining the portfolio manager's compensation. See "Compensation of Portfolio Managers" below. Neither the Advisor nor the Subadvisor receives a performance-based fee with respect to any of the accounts managed by the portfolio managers.
•A portfolio manager could favor an account if the portfolio manager has a beneficial interest in the account, in order to benefit a large client or to compensate a client that had poor returns. For example, if the portfolio manager held an interest in an investment partnership that was one of the accounts managed by the portfolio manager, the portfolio manager would have an economic incentive to favor the account in which the portfolio manager held an interest. The Subadvisor imposes certain trading restrictions and reporting requirements for accounts in which a portfolio manager or certain family
members have a personal interest in order to confirm that such accounts are not favored over other accounts.
•If the different accounts have materially and potentially conflicting investment objectives or strategies, a conflict of interest may arise. For example, if a portfolio manager purchases a security for one account and sells the same security short for another account, such trading pattern could disadvantage either the account that is long or short. In making portfolio manager assignments, the Subadvisor seeks to avoid such potentially conflicting situations. However, where a portfolio manager is responsible for accounts with differing investment objectives and policies, it is possible that the portfolio manager will conclude that it is in the best interest of one account to sell a portfolio security while another account continues to hold or increase the holding in such security.
Compensation of Portfolio Managers. The Subadvisor has adopted a system of compensation for portfolio managers and others involved in the investment process that is applied systematically among investment professionals. At the Subadvisor, the structure of compensation of investment professionals is currently composed of the following basic components: base salary and short- and long-term incentives. The following describes each component of the compensation package for the individuals identified as a portfolio manager for the Funds.
•Base salary. Base compensation is fixed and normally reevaluated on an annual basis. The Subadvisor seeks to set compensation at market rates, taking into account the experience and responsibilities of the investment professional.
•Incentives. Only investment professionals are eligible to participate in the short-and long-term incentive plan. Under the plan, investment professionals are eligible for an annual cash award. The plan is intended to provide a competitive level of annual bonus compensation that is tied to the investment professional achieving superior investment performance and aligns the financial incentives of the Subadvisor and the investment professional. Any bonus under the plan is completely discretionary, with a maximum annual bonus that may be well in excess of base salary. Payout of a portion of this bonus may be deferred for up to five years. While the amount of any bonus is discretionary, the following factors are generally used in determining bonuses under the plan:
•Investment Performance: The investment performance of all accounts managed by the investment professional over one, three and five-year periods are considered. With respect to fixed income accounts, relative yields are also used to measure performance. The pre-tax performance of each account is measured relative to an appropriate benchmark and universe as identified in the table below.
•Financial Performance: The profitability of the Subadvisor and its parent company are also considered in determining bonus awards.
•In addition to the above, compensation may also include a revenue component for an investment team derived from a number of factors including, but not limited to client assets under management, investment performance, and firm metrics.
•Manulife Equity Awards. A limited number of senior investment professionals may receive options to purchase shares of Manulife Financial stock. Generally, such option would permit the investment professional to purchase a set amount of stock at the market price on the date of grant. The option can be exercised for a set period (normally a number of years or until termination of employment) and the investment
professional would exercise the option if the market value of Manulife Financial stock increases. Some investment professionals may receive restricted stock grants, where the investment professional is entitled to receive the stock at no or nominal cost, provided that the stock is forgone if the investment professional's employment is terminated prior to a vesting date.
•Deferred Incentives. Investment professionals may receive deferred incentives which are fully invested in strategies managed by the team/individuals as well as other Manulife Asset Management strategies.
The Subadvisor also permits investment professionals to participate on a voluntary basis in a deferred compensation plan, under which the investment professional may elect on an annual basis to defer receipt of a portion of their compensation until retirement. Participation in the plan is voluntary.
Share Ownership by Portfolio Managers. For purposes of these tables, "similarly managed accounts" include all accounts that are managed (i) by the same portfolio managers that are jointly and primarily responsible for the day-to-day management of the Fund; and (ii) with an investment style, objective, policies and strategies substantially similar to those that are used to manage the Fund.
Portfolio | Range of Beneficial | Range of Beneficial Ownership |
Manager | Ownership | in Similarly Managed Accounts |
Susan A. Curry | $10,001-$50,000 | $500,001-$1,000,000 |
Ryan P. Lentell, CFA | $100,001-$500,000 | $Over $1,000,000 |
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS
(a)Not applicable.
REGISTRANT PURCHASES OF EQUITY SECURITIES
|
|
| Total Number | Maximum |
|
|
| of | Number |
|
|
| Shares | of Shares that |
|
|
| Purchased | May |
| Total | Average | as Part of | Yet Be |
| Number of | Price | Publicly | Purchased |
| Shares |
| Announced | Under the |
Period | Purchased | per Share | Plans* | Plans |
Jan-23 | - | - | - | 1,926,317 |
Feb-23 | - | - | - | 1,926,317 |
Mar-23 | - | - | - | 1,926,317 |
Apr-23 | - | - | - | 1,926,317 |
May-23 | - | - | - | 1,926,317 |
Jun-23 | - | - | - | 1,926,317 |
Jul-23 | - | - | - | 1,926,317 |
Aug-23 | - | - | - | 1,926,317 |
Sep-23 | - | - | - | 1,926,317 |
Oct-23 | - | - | - | 1,926,317 |
Nov-23 | - | - | - | 1,926,317 |
Dec-23 | - | - | - | 1,926,317 |
Total | - | - |
|
|
*In May 2009, the Board of Trustees approved a share repurchase plan, which was subsequently reviewed by the Board of Trustees each year in December. Under the current share repurchase plan, the Fund may purchase in the open market up to 10% of its outstanding common shares as of December 31, 2023 (shares that may yet be purchased under the current plan are 1,968,661 shares). The current plan is in effect between January 1, 2024 and December 31, 2024.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
(a)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 and Governance 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.
The Fund did not participate directly in securities lending activities. See Note 8 to financial statements in Item 1.
Not Applicable
ITEM 13. EXHIBITS.
(a)(1) Code of Ethics for Covered Officers is attached.
(c)(1) Proxy Voting Policies and Procedures are attached.
(d) Exhibit 99. CONSENT - Consent of Independent Registered Public Accounting Firm
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 Financial Opportunities Fund
By: | /s/ Kristie M. Feinberg |
| ------------------------------ |
| Kristie M. Feinberg |
| President |
Date: | February 16, 2024 |
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/ Kristie M. Feinberg |
| ------------------------------ |
| Kristie M. Feinberg |
| President |
Date: | February 16, 2024 |
By: | /s/ Charles A. Rizzo |
| -------------------------------- |
| Charles A. Rizzo |
| Chief Financial Officer |
Date: | February 16, 2024 |