John Hancock Fund Ad of Approach to Investing: Give Backstage Pass

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Investing advice on “Our Approach to Investing: We Give You a Backstage Pass,” a John Hancock Ad. Find this fund information in financial newspaper.

Investment Ad

John Hancock Ad: Give Backstage Pass
Source: Barron's
There is lot of investment ad if you read financial newspaper. To understand it, you need to review and research the fund in the advertisement. John Hancock advertised in Barron’s newspaper page 9 with title “Our Approach to Investing: We Give You a Backstage Pass.” on August 12, 2013. JHancock provides 1 mutual fund for you investment account: John Hancock Alternative Asset Allocation Fund.

This multialternative mutual fund is ranked among the top mutual fund in its category. I have provided the fund review below. You can find the information about the fund returns and fund profile. You should also read the fund prospectus and visit the fund website to understand more.

The advertisement is as follow:
Our approach to investing: We give you a backstage pass. 
John Hancock Alternative Asset Allocation Fund 
Morningstar Proprietary Ratings for Class I Shares as of 6/30/2013
Overall Rating: 5 stars (out of 131 multialternative funds) 
The fund provides unique access to 15 experienced asset managers and invests in 19 different alternative investments including key asset classes like currencies, natural resourcesm and commodities, plus unique strategies like absolute return and long/short.
Class A: JAAAX, Class C: JAACX, Class I: JAAIX, Class R6: JAARX 
There is a different approach to investing at John Hancock. We survey the industry for leading institutional asset managers with demonstrated track records, whether in-house or outside the company. 
John Hancock
The strategy includes variable annuities, retirement plans, college savings, and mutual funds. The John Hancock Alternative Asset Allocation Fund was established on January 2, 2009. 
For performance data current to the most recent month end, contact your financial professional or call John Hancock Funds at 1-800-225-5291. The performance data contained within this material represents past performance, which does not guarantee future results. The return and principal value of an investment will fluctuate so that shares, when redeemed, may be worth more or less than the original cost. The Fund’s current performance may be higher or lower and is subject to substantial changes...

John Hancock Fund

With $728 million of assets, John Hancock Alternative Asset Allocation Fund invests mainly in other funds in the John Hancock Funds complex and other investment companies, including exchange-traded funds (ETFs). It uses its assets to purchase international small-cap stocks, emerging-market equity, commodities, market neutral (long/short), global real estate, natural resources, TIPS, global bonds, high yield, bank loans, foreign currency trading strategies, absolute return strategies, managed futures, arbitrage strategies, tactical investment strategies and emerging-market debt. The fund’s yield is 1.60%.

The class A fund has a sales load of 5% and an expense ratio fee of 1.78%. The portfolio turnover rate is 34%. This John Hancock Alternative Asset Allocation has a 3-years annualized return of 4.95%. The fund’s past 5 years performance is as follow:
  • Year 2013: 2.35% (YTD)
  • Year 2012: 8.91%
  • Year 2011: -2.36%
  • Year 2010: 11.98%
  • Year 2009: 41.01%
The fund’s managers include Bob Boyda, Steve Medina, etc. The top 3 holdings are JHancock2 Currency Strategies NAV, JHancock2 Global Absolute Ret Strats NAV, and JHFunds2 Redwood NAV. The top 4 sectors are healthcare, technology, consumer cyclical, and financial services.

Bottom Line

  • This John Hancock Alternative Asset Allocation Fund has above average return. The risk profile is average. It does provide an alternative investment choice for investors.
  • This ad provides all the classes available to invest. This means you choose the class that is suitable for you. You can choose no load fund for your long term investment such as R6 class and Institutional Class. Class A and Class C have high expense ratio fee and sales load.
  • This fund invests in other John Hancock funds (i.e. also known as fund of funds). You might want to check the holdings to verify whether you have any overlaps if you have invest in other John Hancock mutual funds or ETFs.
  • The current Morningstar rating is only 4 stars, and is not 5 stars as of September 15, 2013.

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