BOSTON, Dec. 8 /PRNewswire-FirstCall/ -- John Hancock Tax-Advantaged Global Shareholder Yield Fund (the "Fund"), a closed-end fund managed by John Hancock Advisers, LLC, announced today that its Board of Trustees, in evaluating strategic options to enhance shareholder value and potentially decrease the discount between the market price and the net asset value ("NAV") of the Fund's common shares, has renewed the Fund's share repurchase plan which is set to expire on December 31, 2009. As renewed, the Fund may purchase, in the open market, up to an additional 10% of its outstanding common shares between January 1, 2010 and December 31, 2010 (based on common shares outstanding as of December 31, 2009).
The share repurchase plan seeks to enhance shareholder value and narrow the Fund's discount to NAV. The plan allows the Fund to acquire its own shares in the open market at a discount to NAV, which seeks to increase the NAV per share. It could also have the benefit of providing additional liquidity in the trading of the common shares.
Since the plan commenced in December 2008, the Fund has been repurchasing shares to seek to enhance shareholder value, and through November 30, 2009 the Fund has repurchased 17,400 shares, or 0.19% of total outstanding shares.
There is no assurance that the Fund will purchase shares at any specific discount levels or in any specific amounts. The Fund's repurchase activity will be disclosed in its shareholder report for the relevant fiscal period. There is no assurance 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, or that the plan will enhance shareholder value over the long-term.
Investment Team Commentary
Epoch Investment Partners ("Epoch"), one of the Fund's sub-advisers, believes that the portfolio is well-positioned to benefit from a reappraisal of factors that have driven the impressive rally in markets since March 2009. Epoch believes that markets are discounting an overly rosy scenario for prospects for the economy, and Epoch expects the momentum-led equity market rally to give way to more somber realities as the year winds down.
The Fund's investment objective is to provide total return consisting of a high level of current income and gains and long term capital appreciation. The Fund will seek to achieve favorable after-tax returns for its shareholders by seeking to minimize the federal income tax consequences on income and gains generated by the Fund. There can be no assurance that the Fund will achieve its investment objective. Under normal market conditions, the Fund will invest at least 80% of its total assets in a diversified portfolio of dividend-paying stocks of issuers located throughout the world. The Fund also intends to write call options on a variety of broad-based securities indices.
The views of the Epoch Investment Partners investment team reflect its own opinions and they are in no way guarantees of future events, and are not intended to be used as an investment advice or a recommendation regarding any specific security. They are also subject to change at any time as market and other conditions warrant.
Statements in this press release that are not historical facts are forward-looking statements as defined by the United States securities laws. You should exercise caution in interpreting and relying on forward-looking statements because they are subject to uncertainties and other factors which are, in some cases, beyond the Fund's control and could cause actual results to differ materially from those set forth in the forward-looking statements.
Past performance is no guarantee of future results. Before investing, prospective investors should consider carefully the Fund's objective, risks, and charges and expenses. For more complete information about the Fund, please contact your financial advisor.
About John Hancock Funds
The Boston-based mutual fund business unit of John Hancock Financial, John Hancock Funds, manages more than $50.5 billion in open-end funds, closed-end funds, private accounts, retirement plans and related party assets for individual and institutional investors at September 30, 2009.
About John Hancock Financial and Manulife Financial Corporation
John Hancock Financial is a unit of Manulife Financial Corporation, a leading Canadian-based financial services group serving millions of customers in 22 countries and territories worldwide. Operating as Manulife Financial in Canada and in most of Asia, and primarily as John Hancock in the United States, Manulife Financial Corporation 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$437 billion (US$407 billion) at September 30, 2009.
Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE and PSE, and under '945' 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 Tax-Advantaged Global Shareholder Yield Fund
CONTACT: Media, Alex Chen, +1-617-663-2412, Investor Contact:
1-800-843-0090, John Hancock Tax-Advantaged Global Shareholder Yield Fund
Web Site: http://www.johnhancock.com/
