BOSTON, May 1 /PRNewswire-FirstCall/ -- John Hancock Tax-Advantaged Dividend Income Fund (the "Fund") declared its monthly distribution today as follows:
Declaration Date: May 1, 2009 Ex Date: May 7, 2009 Record Date: May 11, 2009 Payment Date: May 29, 2009 Annualized Current Distribution Rate Change Rate at From Previous Ticker Fund Name Amount Market* Month HTD Tax-Advantaged Dividend Income $0.0910 13.06% - *Based on April 30, 2009 closing market price of $8.36
On April 28, 2009, the Fund's shareholders approved a proposal to appoint Analytic Investors, Inc. as a subadviser to the Fund to manage a new options overlay strategy. The goal of the options strategy is to seek to enhance risk-adjusted returns, reduce overall portfolio volatility and generate tax-advantaged gains for current distributions from options premiums gained by writing (selling) call options on a variety of both U.S. and non-U.S. broad-based securities indices on a portion of the Fund's asset value. There is no guarantee that the Fund will achieve its option strategy goals. The amount of the value of the Fund's assets that will be subject to index call options is expected to vary over time based upon U.S. and foreign equity market conditions and other factors. In this regard, John Hancock Advisers, LLC, the Fund's investment adviser (the "Adviser") may determine to not implement, or discontinue, the options strategy for the Fund at any time in the Adviser's sole discretion. Subadvisory fees payable to Analytic Investors, Inc. will be borne by the Adviser, will not be charged to this Fund and will not result in higher fees for shareholders.
In addition, as previously reported, the Board approved the renewal of the Fund's share repurchase program which allows the Fund to purchase, in the open market, up to 10% of its outstanding shares through December 31, 2009. The plan allows the Fund to acquire its own shares in the open market at a discount to NAV, which is intended to increase the NAV per share. It could also have the benefit of providing additional liquidity in the trading of the common shares. There is no assurance that the Fund will purchase shares at any specific discount levels or in any specific amounts or that the market price of the Fund's shares, either absolutely or relative to net asset value, will increase as a result of any share repurchases.
The Fund's investment objective is to provide a high level of after-tax total return from dividend income and capital appreciation. Under normal market conditions, the Fund invests at least 80% of its assets in dividend-paying common and preferred securities that the Adviser believes at the time of acquisition are eligible to pay dividends which, for individual shareholders, qualify for U.S. federal income taxation at rates applicable to long-term capital gains, which currently are taxed at a maximum rate of 15%.
The distribution will be made from current income, supplemented by realized long-term capital gains, to the extent permitted by law, realized short-term capital gains and, to the extent necessary, return of capital. The ultimate composition of the distribution may vary because it may be materially impacted by future realized capital gains or losses, and income from holdings. As required under the Investment Company Act of 1940, the Fund will provide a notice to shareholders at the time of payment of a distribution that may not consist solely of net income. Such notification will also be posted to the Fund's website at http://www.jhfunds.com/ where it will be viewable under the "Funds & Performance" tab, by clicking on "Closed-End Funds" and then "19(a) Distribution Notices". The notice is for informational purposes only and should not be used to prepare tax returns as the estimates indicated in the notice may differ from the ultimate federal income tax characterization of distributions reported to shareholders on Form 1099 DIV at the end of the calendar year. As noted, distributions may include return of capital. Investors should understand that return of capital is not a distribution from income or gains from the Fund.
About John Hancock Funds
The Boston-based mutual fund business unit of John Hancock Financial, John Hancock Funds manages more than $38.8 billion in open-end funds, closed-end funds, private accounts, retirement plans and related party assets for individual and institutional investors at December 31, 2008.
About John Hancock Financial and Manulife Financial Corporation
John Hancock Financial is a unit of Manulife Financial Corporation (the Company), a leading Canadian-based financial services group serving millions of customers in 19 countries and territories worldwide. Operating as Manulife Financial in Canada and in most of Asia, and primarily as John Hancock in the United States, the Company offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were Cdn$405 billion (US$330 billion) at December 31, 2008.
Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE and PSE, and under '0945' on the SEHK. Manulife Financial can be found on the Internet at http://www.manulife.com/.
The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers a broad range of financial products and services, including life insurance, fixed and variable annuities, fixed products, mutual funds, 401(k) plans, long-term care insurance, college savings, and other forms of business insurance. Additional information about John Hancock may be found at http://www.johnhancock.com/.
John Hancock Funds
CONTACT: Media: Jay Aronowitz, +1-617-663-2702, or Investors:
+1-800-843-0090
Web Site: http://www.johnhancock.com/
