john hancock stable value fund financial statements
You want a fund where the primary objective is the preservation of capital, You want principal protection and steady returns regardless of the market environment, You want the security of an account value guaranteed by John Hancock. Weightings - Applicable to only the Target Date (Lifecycle Portfolio) and Target Risk (Lifestyle Portfolios) Each Target Risk/Target Date Portfolio has a target percentage allocation designed to meet the investment objectives of a corresponding investment orientation. NOTES TO FINANCIAL STATEMENTS . Investment style tells you whether the underlying fund invests in securities of companies that exhibit growth-style characteristics, such as above-average revenue and earnings growth, or in securities that exhibit value-style characteristics, such as shares considered to be underpriced in relation to fundamental measures such as revenues, earnings and assets. Withdrawals that are the result of plan sponsor actions may be subject to a market value adjustment or paid out in 5 installments over 60 months. The credit quality breakdown does not give effect to the impact of any credit derivative investments made by the fund.Moody's The rating scale, running from a high of Aaa to a low of C, comprises 21 notches. In either case, the redemption of your interest by the affected fund, as well as the investment of the redemption proceeds by the ''new'' fund, may result in transaction costs to the funds because the affected funds may find it necessary to sell securities and the ''new'' funds will find it necessary to invest the redemption proceeds. Performance information current to the most recent month-end is available on our website myplan.johnhancock.com. The transaction costs and potential market gains or losses could have an impact on the value of your investment in the affected fund and in the ''new'' fund, and such market gains or losses could also have an impact on the value of any existing investment that you or other investors may have in the ''new'' fund. 4A. If the sub-account inception date is after February 23, 2007, then the class introduction date is the same as the sub-account inception date.Returns for any period greater than one year are annualized. The objective of the John Hancock Stable Value Fund is preservation of capital and returns that beat money market funds over a full interest rate cycle. An investment in this portfolio is not insured or guaranteed by The Federal Deposit Insurance Corporation or any other government agency. Past performance is not a guarantee of future results. These charges, if included, would otherwise reduce the total return for a participant's account. John Hancock Stable Value Fund: Qualified retirement plans that select the John Hancock Stable Value Fund as an eligible investment option under the group annuity contract are restricted from selecting any fixed-income investment options for the plan deemed to be 'Competing', including (i) any book value fixed income Fund, (ii) any other fixed income Fund with a targeted average duration of two (2) years or less, including but not limited to, a money market Fund or a short-term bond Fund, or (iii) any guaranteed interest account (other than a ten (10) year maturity guaranteed interest account maintained by an affiliate of John Hancock Life Insurance Company (U.S.A.) originally offered prior to May 1, 2006). Such trade restrictions may be more restrictive than the above guidelinesRestricting the number of exchanges made during a defined periodRestricting the dollar amount of exchangeRestricting the method used to submit exchanges (e.g., requiring exchange requests to be submitted in writing via U.S. mail)Restricting exchanges into and out of certain investment options Participants can read about the short-term trading policy at myplan.johnhancock.com under the "modify your account - change account" feature. The John Hancock Stable Value Fund invests a portion of its assets in a separate investment account maintained by John Hancock Life & Health Insurance Company ('John Hancock Life & Health'), an affiliate of John Hancock USA, which has claimed an exclusion from the definition of the term 'Commodity Pool Operator' under CFTC Regulation 4.5 under the Commodity Exchange Act with respect to its . The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Net assets are more likely to decrease and fund expense ratios are more likely to increase when markets are volatile. The ticker symbols shown are for the underlying mutual fund, collective trusts or ETFs in which sub-accounts are invested. The Plan invests in the John Hancock Stable Value Fund which is a collective investment trust fund sponsored by John Hancock. Morningstar data is 2023 by Morningstar, Inc. All rights reserved. Due to abnormal market conditions or redemption activity the fund may temporarily invest in cash and cash equivalents. Neither John Hancock USA nor the Trustee guarantees the performance of the Stability Provider(s). Where the figures are different, the underlying fund has either waived a portion of, or capped its fees, and the result of such fee waiver or cap is reflected in the net expense ratio.The waiver or cap is subject to expiration, in which case the Expense Ratio and performance of the sub account may be impacted. As a result of this review, or if requested by a fund company, additional restrictions may be imposed on a participant's retirement account, including but not limited to:Applying redemption fees and/or trade restrictions as requested by the underlying fund manager. Contact your John Hancock representative if you wish to obtain a copy.Units of the Fund have not been registered under the Securities Act of 1933, as amended, or under the securities laws of any other jurisdiction; and the Fund is not registered under the Investment Company Act of 1940, as amended, or other applicable law, and participants are not entitled to the protections of such Act. This category can include corporate or government ultrashort bond portfolios, but it excludes international, convertible, multisector, and high yield bond portfolios. The performance data presented represents past performance. Asset class/Investment style : Asset class refers to the broad category of investments the portfolio, or underlying fund, currently holds. Please change your search terms and try new. Thus, the ability of a stable value fund to pay withdrawals at book value depends on the ability of the Stability Provider(s) to make payments under the Stabilizing Agreements. The John Hancock Stable Value Guaranteed Income Fund seeks to preserve capital and provide stability of principal while earning current income that exceeds money market rates over the long term. Peer groups are unmanaged and cannot be invested in directly. Moody's appends numerical modifiers 1, 2, and 3 to each generic rating classification from Aa through Caa. The statements in this letter represent the views of the Division of Investment Management. 128. Peer Group Performance: With respect to the Funds that display a Peer Group Performance. Investment style tells you whether the underlying fund invests in securities of companies that exhibit growth-style characteristics, such as above-average revenue and earnings growth, or in securities that exhibit value-style characteristics, such as shares considered to be underpriced in relation to fundamental measures such as revenues, earnings and assets. The prospectuses (or Offering Memorandum/Trust Documents) for the sub-accounts underlying funds contain complete details on investment objectives, risks, fees, charges and expenses as well as other information about the underlying funds which should be carefully considered before investing. Index Performance: With respect to the Funds that display an index performance. Refer to the prospectus of the underlying fund for details.When calculating the Expense Ratio of the sub-account, the net expense ratio of the underlying fund is used. Risk of Increase in Expenses for Sub-Account. If the sub-account inception date is after February 23, 2007, then the class introduction date is the same as the sub-account inception date. The availability of products, Funds and contract features may be subject to Broker-Dealer Firm approval, State approval, Broker Licensing requirements, tax law requirements, or other contract-related requirements. "John Hancock Stable Value Guaranteed Income Fund provides an option to retirement . Many fixed income investments face the risk that the securities will decline in value because of changes in interest rates. For these services, John Hancock and its affiliates receive additional fees which are included in the underlying fund expense ratio (i.e. Significant Scale : redemption fees), associated with the investment optionsselected under your Contract. Allocating assets to only one or a small number of the investment options (other than an asset allocation investment option such as a target date or target risk option) should not be considered a balanced investment program. Manager or Sub-Adviser refers to the manager of the underlying fund, or to the sub-adviser of the underlying John Hancock Trust, John Hancock Funds II, or John Hancock Funds III fund in which the sub-account invests. These charges, if included, would otherwise reduce the total return for a participants account. 1A. Learn More Performance charts for John Hancock Stable Value Portfolio Fund (JSJWX) including intraday, historical and comparison charts, technical analysis and trend lines. This category can include corporate or government ultrashort bond portfolios, but it excludes international, convertible, multisector, and high yield bond portfolios. Withdrawals or transfers initiated by participants will generally be paid at book value, except where they are the result of plan sponsor actions. Listed holdings do not represent all of the holdings in the underlying fund. Investments in the Fund will accrue interest at the applicable monthly crediting rate, which rate will be set based upon a formula but may be adjusted from time to time as agreed upon by the Stability Provider(s) and John Hancock Life Insurance Company (USA). + When contributions are allocated to Funds under your employer's group annuity contract with John Hancock, they will be held in a sub-account (also referred to as "Fund"), which invests in shares of the specified underlying mutual fund, collective trust, ETF or a combination of these. If a 5 year Standard Deviation is not available for a Morningstar Category, then the 5 year Standard Deviation of the underlying fund's Morningstar Category Index is used to determine the Fund's risk category. Investments in the Fund will accrue interest at the applicable monthly crediting rate, which rate will be set based upon a formula but may be adjusted from time to time as agreed upon by the Stability Provider(s) and John Hancock Life Insurance Company (U.S.A.). . Funds are placed in a category based on their portfolio statistics and compositions over the past three years. The John Hancock Stable Value Fund is invested primarily in benefit responsive contracts issued by state regulated insurance companies and banks, including but not limited to John Hancock Life & Health Insurance Company. Withdrawals caused by the Plan sponsor may either be paid out immediately (subject to a market value adjustment) or at the full contract value over a period of five years. New York Life maintains the Plan's contributions in a separate account. Like money market, stable value pays interest and offers a fixed net asset value. MetLife says that more than eight in 10 defined contribution plan sponsors offer stable value funds as an option to preserve capital, and retirement savers would do well to consider adding this asset class to the mix if it's not already part of their portfolio. The fixed income portfolios. Returns for any period greater than one year are annualized. Securities are offered through John Hancock Distributors LLC, member FINRA, SIPC.NOT FDIC INSURED. The underlying fund company has not reviewed the sub-accounts performance. However, the default of a Stability Provider and an inability to obtain a replacement Stabilizing Agreement could render the fund unable to pay withdrawals at book value. Source: Morningstar Direct for Mutual Funds, as of the most recent month end. Why stable value? The credit quality breakdown does not give effect to the impact of any credit derivative investments made by the fund.Moody'sThe rating scale, running from a high of Aaa to a low of C, comprises 21 notches. Past performance is no guarantee of future results.Morningstar assigns categories by placing funds into peer groups based on their underlying holdings. If John Hancock were to fail, there is no certainty that the guarantee could be honored. John Hancock does not provide advice regarding appropriate investment allocations. The stable value fund is managed by Galliard, a subsidiary of Wells Fargo Bank, N.A., custodian for the fund. NOTE F - NEW YORK LIFE STABLE VALUE FUND . Morningstar calculates monthly breakpoints using the effective duration of the Morningstar Core Bond Index in determining duration assignment. The contracts provide daily liquidity at their contract value. It is divided into two sections, investment grade and speculative grade. Actively managed investments are subject to the risk that the investment managers usage of investment techniques and risk analysis to make investment decisions fails to perform as expected, which may cause the relevant portfolio to lose money or underperform investments with similar objectives and strategies or the market in general. The fund expects that the use of Stabilizing Agreements will (when combined with any benefit responsive contracts and short-term investments held as underlying investments), under most circumstances, permit the fund to pay all withdrawals from the fund at book value. The ticker symbols shown are for the underlying mutual fund, collective trusts or ETFs in which sub-accounts are invested. The highest speculative-grade rating is Ba1. Investment grade categories indicate relatively low to moderate credit risk, while ratings in the speculative categories either signal a higher level of credit risk or that a default has already occurred.S&PCredit ratings of AA- or better are considered to be high credit quality; credit ratings of BBB- are good credit quality and the lowest category of investment grade; credit ratings BB+ and below are lower-rated securities (junk bonds); and credit ratings of CCC+ or below have high default risk. The information shown is based on the most recent available information for the underlying mutual fund, collective trust, or ETF (collectively referred to as underlying fund) as of the date of printing and is subject to change. Crediting Rate is set on January 1 and July 1 of each year. Fund Expense Ratio or FER). In the event John Hancock is able to earn more than the crediting rate and the expense of operating the fund, John Hancock will keep that difference as its compensation. For more information or to order prospectuses for the underlying investments, call 800-395-1113 and speak to a client account representative. For the protection of the participants, account changes are subject to the following short-term trading guidelines when exchanging investment options under your company's qualified retirement plan account with John Hancock. John Hancock and its affiliates provide advisory and/or sub-advisory services for the underlying fund. Morningstar ratings are applicable to the underlying only and reflect historical risk-adjusted performance as of the most recent calendar quarter-end. These charges, if included, would otherwise reduce the total return for a participants account. The risk category in which a Fund is placed is determined based on where the 10 year Standard Deviation (defined below) of the underlying fund's Morningstar Category falls on the following scale: if the 10 year Standard Deviation of the underlying fund's Morningstar Category is 15.00 or higher, the Fund is classified as "Aggressive;" between 13.00 and 14.99 as "Growth;" between 7.00 and 12.99 as "Growth & Income;" between 2.00 and 6.99 as "Income;" and 1.99 and below as "Conservative." This letter is not a rule, regulation or statement of the Commission, and the Commission has neither approved nor . Information Concerning John Hancocks Short-Term Trading Policy The group annuity contract is not designed for short-term trading. Redemption fees or market value adjustments associated with exchanges from particular investment options are described on applicable fund sheets, which are available online. 26. Date sub-account or Guaranteed Interest Account first available under group annuity contract. Crediting Rate is set in advance and is guaranteed by John Hancock Life Insurance Company (USA) and will not be less than 1%. The availability of products, Funds and contract features may be subject to Broker-Dealer Firm approval, State approval, Broker Licensing requirements, tax law requirements, or other contract-related requirements. Depending on the Funds selected or recommended by the plan fiduciaries (and whether or not any Funds are recommended or selected), John Hancock and its affiliates may receive additional compensation from the Funds, in the form of 12b-1 fees, transfer agent fees, investment management fees, or otherwise. A.M. Best RatingAM Best's methodologies for rating is a comprehensive overview of the credit rating process, which consists of quantitative and qualitative evaluations of balance sheet strength, operating performance, business profile, and enterprise risk management.Fitch RatingsThe terms investment grade and speculative grade have established themselves over time as shorthand to describe the categories AAA to BBB (investment grade) and BB to D (speculative grade). 1 Stable value funds have a low sensitivity to interest-rate changes Withdrawals that are the result of plan sponsor actions may be subject to a market value adjustment or paid out after a 12-month delay.The FER for the underlying fund includes an advisory fee payable to John Hancock Life Insurance Company (U.S.A.) for services provided to the Trustee, as well as a management fee to John Hancock USA and/or its affiliates in connection with the management of one of the underlying investments. Allocation percentages may vary or be adjusted due to market or economic conditions or other reasons as set out in the prospectus. Crediting Rate is an Approximation. The Signature Menu was introduced December 8, 2014. p45. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Because the fund invests in the separate account, the value of the fund and its ability to honor withdrawal requests from plan participants depends, in part, on the performance of JHLH. 142. The underlying mutual fund, collective trust, or ETF has the right to restrict trade activity without prior notice if a participant's trading is determined to be in excess of their exchange policy, as stated in the prospectus or offering memorandum. **A funds investment objectives, risks, charges, and expenses should be considered carefully before investing. John Hancock Credit Risk. ***Morningstar Portfolio Ratings All Morningstar data is 2023 by Morningstar, Inc. All rights reserved. In particular, allocating assets to a small number of options concentrated in particular business or market sectors will subject your account to increased risk and volatility. The Expense Ratio ("ER") shown represents the total annual operating expenses for the investment options made available by John Hancock. The issuer of a security may repay principal more slowly than expected because of rising interest rates. Tableofcontents 2 Your fund at a glance 4 Management's discussion of fund performance 6 A look at performance 8 Your expenses 10 Fund's investments 13 Financial statements 16 Financial highlights 21 Notes to financial statements 29 Report of independent registered public accounting firm 30 Tax information 31 Shareholder meeting 32 Evaluation of advisory and subadvisory agreements by the . Peer Group Performance: With respect to the Funds that display a Peer Group Performance. Generally, fixed income investments will decrease in value when interest rates rise (and increase in value when interest rates fall). Stable value funds are a type of principal preservation investment available to 401 (k) plans, pensions, and other institutional funds.