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Name Title John Hancock Investments Date

Name Title John Hancock Investments Date. Three things to know about market volatility. 1. We are going to live with it for a while. 2. A traditional asset mix was no match for it in 2008. 3. Cash is not the answer for long-term investors. We are going to live with it for a while. 1.

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Name Title John Hancock Investments Date

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  1. Name Title John Hancock Investments Date

  2. Three things to know about market volatility 1 • We are going to live with it for a while 2 • A traditional asset mix was no match for it in 2008 3 • Cash is not the answer for long-term investors

  3. We are going to live with it for a while 1 • The level of stock market volatility in recent years is unprecedented • S&P 500 Index, 1950 through 2013 (trading days per year with greater than +/–2% returns) Lehman Brothers bankruptcy Enron, WorldCom bankruptcies European sovereign debt crisis begins September 11 terrorist attacks Black Monday stock market crash Unemployment hits 10% President Kennedy assassinated Tech bubble bursts President Nixon resigns Korean War begins Long-Term Capital Management collapses U.S. debt downgraded President Clinton impeached Oil crisis Warsaw Pact signed Soviets launch Sputnik Asian currency crisis Cuban missile crisis Iran hostage crisis Vietnam War escalates 2013 RECESSION 7/53–5/54 RECESSION 8/57–4/58 RECESSION 4/60–2/61 RECESSION 12/69–11/70 RECESSION 11/73–3/75 RECESSION 1/80–7/80 RECESSION 7/81–11/82 RECESSION 7/90–3/91 RECESSION 3/01–11/01 RECESSION 12/07–6/09 Source: FactSet, John Hancock Investments, as of 2013. It is not possible to invest directly in an index. See slides 15 and 16for index definitions.

  4. 2 A traditional asset mix was no match for it in 2008 • Nowhere to hide Total returns by asset class (2008) U.S.bonds TIPS –10% –20% High-yieldbonds –30% Bankloans U.S.stocks U.S.realestate –40% Int’lstocks GlobalREITs Naturalresources Int’lsmallcap –50% Emerging-market stocks –60% Source: FactSet, as of 2013. Please see slides 15and 16 for index definitions. Diversification does not guarantee investment returns and does not eliminate the risk of loss.

  5. 3 Cash is not the answer for long-term investors • How long does it take to recover from losses? Source: John Hancock Investments. For illustration purposes only.

  6. Half of the biggest market swings since 1950 occurred in the past 10 years • Investors face a choice: Double-down Try to rebuild account values through more aggressive strategies Retreat Preserve assets with ultraconservative— and low return—investments Invest smarter Take advantage of investments and strategies to pursue positive returns with less volatility Source: FactSet, as of 12/31/13. Since 1950, 23 of the top 50 daily gains and 27 of the top 50 daily losses in the S&P 500 Index occurred between 2004 and 2013.

  7. Consider alternatives to traditional markets • Alternatives have generated returns independent of traditional markets Growth of $100,000 (12/31/99 to 9/30/14) Source: Morningstar Direct, as of 9/30/14. The diversified alternatives portfolio is represented by an equal-weighted blend of all nine alternative categories shown in the above chart. Please see slides 15 and 16 for index and asset class definitions. It is not possible to invest directly in an index. Diversification does ensure a profit or protect against a loss. Standard deviation measures performance fluctuation, may not be indicative of future risk, and is not a predictor of returns. Correlation is a statistical measure that describes how investments move in relation to each other, which ranges from –1.00 to 1.00. The closer the number is to 1.00 or –1.00, the more closely the two investments are related. Past performance does not guarantee future results.

  8. The benefits of being different • Many alternative assets and strategies have shown low correlation to stocks • Correlation Source: Morningstar Direct, as of 9/30/14. Please see slides 15 and 16 for asset class definitions. It is in not possible to invest directly in an index. Diversification does ensure a profit or protect against a loss. Past performance does not guarantee future results.

  9. The average university endowment had a 53% allocation to alternative investments in 2013 • Endowment asset allocation in 2013 • Survey of 831 universities What institutional investors have known for some time Defined benefit plans, university endowments, and other institutional investors have used alternatives for years as a way to help: 53% Alternative strategies • Manage volatility • Make their annual payouts to retirees • Build assets 18% International equities 16% Domestic equities 10% Fixed income 3% Short-term securities Source: National Association of College and University Business Officers, 2014.

  10. Adding alternatives can help dampen portfolio volatility • A portfolio that included alternatives produced higher risk-adjusted returns Traditional portfolio Traditional portfolio plus alternatives Stocks Bonds Diversified alternatives Performance results since 2000 Source: FactSet and Morningstar Direct, as of 9/30/14. Diversified alternatives is represented by an equal-weighted blend of all nine alternative categories shown on slides 7 and 8. Please see slides 15 and 16 for index and asset class definitions. It is not possible to invest directly in an index. Performance figures assume reinvestment of dividends and capital gains. This chart is for illustrative purposes only and does not represent the performance of any John Hancock fund. Diversification does ensure a profit or protect against a loss. Past performance does not guarantee future results. 1 Sharpe ratio is a measure of excess return per unit of risk, as defined by standard deviation. A higher Sharpe ratio suggests better risk-adjusted performance. 2 Standard deviation measures performance fluctuation—generally, the higher the standard deviation, the greater the expected volatility.

  11. Investing in alternatives with John Hancock Investments The past performance shown here reflects reinvested distributions and the beneficial effect of any expense reductions, and does not guarantee future results. Returns for periods shorter than one year are cumulative, and results for other share classes will vary. Shares will fluctuate in value and, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance cited, and can be found at jhinvestments.com or by calling 800-225-5291.

  12. Investing in alternatives with John Hancock Investments 1 Prior to 1/31/14, the fund was named John Hancock Currency Strategies Fund. The past performance shown here reflects reinvested distributions and the beneficial effect of any expense reductions, and does not guarantee future results. Returns for periods shorter than one year are cumulative, and results for other share classes will vary. Shares will fluctuate in value and, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance cited, and can be found at jhinvestments.com or by calling 800-225-5291.

  13. Investing in alternatives with John Hancock Investments The past performance shown here reflects reinvested distributions and the beneficial effect of any expense reductions, and does not guarantee future results. Returns for periods shorter than one year are cumulative, and results for other share classes will vary. Shares will fluctuate in value and, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance cited, and can be found at jhinvestments.com or by calling 800-225-5291.

  14. Investing in alternatives with John Hancock Investments 1 Performance information prior to 12/20/10 reflects an allocation to a different mix of underlying funds and would have been different if the fund had been allocated to its current mix of underlying funds. 2 Represents the effect of a fee waiver and/or expense reimbursement through 12/31/14 for Class A shares, and is subject to change. The past performance shown here reflects reinvested distributions and the beneficial effect of any expense reductions, and does not guarantee future results. Returns for periods shorter than one year are cumulative, and results for other share classes will vary. Shares will fluctuate in value and, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance cited, and can be found at jhinvestments.com or by calling 800-225-5291.

  15. Index and term definitions Bank loans are represented by the Barclays U.S. High-Yield Loan Index, which tracks the performance of U.S. dollar-denominated, below-investment-grade-rated corporate debt publicly issued in the U.S. domestic market. Commodities are represented by the Morningstar Commodities Index, a broadly representative benchmark of commodities traded via futures contracts on U.S. exchanges. Emerging-market bonds are represented by the J.P. Morgan Emerging Markets Bond Index (EMBI) Global Index, a market-capitalization-weighted index that tracks the performance of U.S. dollar-denominated Brady bonds, Eurobonds, and traded loans issued by sovereign and quasisovereign entities. Emerging-market stocks are represented on slide 4 by the MSCI Emerging Markets Index and by the MSCI Emerging Markets Investable Market Index on slides 7 and 8, both of which are designed to track the performance of publicly traded large- and mid-cap emerging-market stocks. Global real estate investment trusts (REITs) are represented on slide 4 by the Dow Jones Wilshire Global REIT Index, a measure of the types of global real estate securities that represent the ownership and operation of commercial or residential real estate, and on slides 7 and 8 by the FTSE NAREIT All REITs Index, a market-capitalization-weighted index that includes all tax-qualified REITs. Gold is represented by the Morningstar Gold Commodity Index, a subset of the Morningstar Commodities Index. High-yield bonds are represented by the Bank of America Merrill Lynch U.S. High Yield Master II Index, which tracks the performance of globally issued, U.S. dollar-denominated high-yield bonds. International small cap is represented by the MSCI Europe, Australasia, and Far East (EAFE) Small Cap Index tracks the performance of publicly traded small-cap stocks of companies in those regions. Total returns are calculated gross of foreign withholding tax on dividends. International stocks are represented by the MSCI Europe, Australasia, and Far East (EAFE) Growth Index tracks the performance of publicly traded growth-oriented large- and mid-cap stocks of companies in those regions. Total returns are calculated gross of foreign withholding tax on dividends. Macro strategies are represented by the HFRI Macro Index, which involves making leveraged bets on anticipated price movements of stock markets, interest rates, foreign exchange, and physical commodities. It is not possible to invest directly in an index. Past performance does not guarantee future results.

  16. Index and term definitions Market neutral strategies are represented by the HFRI Equity Market Neutral Index, which seeks to profit by exploiting pricing inefficiencies between related equity securities, neutralizing exposure to market risk by combining long and short positions. Merger arbitrage strategiesare represented by the HFRI Merger Arbitrage Index, sometimes called risk arbitrage, which involves investment in event-driven situations such as leveraged buyouts, mergers, and hostile takeovers. Natural resources are represented by the MSCI Natural Resources Index, which features equity securities of companies engaged in the natural resources industry. Relative value strategiesare represented by the HFRI Relative Value Index, which maintains positions predicated on realization of a valuation discrepancy in the relationship between multiple securities. TIPS(Treasury Inflation Protected Securities) are represented by the Barclays U.S. Treasury U.S. TIPS Index, an unmanaged index that consists of inflation-protected securities issued by the U.S. Treasury. U.S. bonds are represented by the Barclays U.S. Aggregate Bond Index, which tracks the performance of U.S. investment-grade bonds in government, asset-backed, and corporate debt markets. U.S. stocks are represented by the S&P 500 Index, which tracks the performance of 500 of the largest publicly traded companies in the United States. U.S. real estate is represented by the FTSE NAREIT Equity REIT Index, an unmanaged index consisting of the most actively traded REITs. A diversified alternatives portfolio, an equal weighting of all of the above indexes. It is not possible to invest directly in an index. Past performance does not guarantee future results.

  17. A word about risk Absolute return funds are not designed to outperform stocks and bonds in strong markets. They employ certain techniques intended to reduce risk and volatility and provide protection against a decline in assets. There is no guarantee that the fund will achieve its objectives. The use of hedging and derivatives may increase volatility and costs. The issuer or grantor of a security, or counterparty to a transaction, may be unable or unwilling to make principal, interest, or settlement payments. Currency transactions are affected by fluctuations in exchange rates, which may adversely affect the U.S. dollar value of a fund’s investments. Illiquid securities may be difficult to sell at a price approximating their value. Investments in higher-yielding, lower-rated securities include a higher risk of default. Absolute Return Currency Fund will use currency transactions to seek to achieve gains. However, losses could exceed the amount invested in the currency instruments. Technical Opportunities Fund may invest its assets in a small number of issuers. Performance could suffer significantly from adverse events affecting these issuers. A portfolio concentrated in one sector or that holds a limited number of securities may fluctuate more than a diversified portfolio. Frequent trading may increase fund transaction costs. Owning an ETF generally reflects the risks of owning the underlying securities it is designed to track. The fund may invest in IPOs, which are frequently volatile in price and may lead to increased portfolio turnover. The fund can invest up to 100% of its assets in cash, which may cause the fund to not meet its investment objective. Alternative Asset Allocation Fund’s performance depends on the advisor’s skill in determining the strategic asset class allocations, the mix of underlying funds, and the performance of those underlying funds. The underlying funds’ performance may be lower than the performance of the asset class they were selected to represent. The fund is subject to the same risks as the underlying funds in which it invests: Stocks and bonds can decline due to adverse issuer, market, regulatory, or economic developments; foreign investing, especially in emerging markets, has additional risks, such as currency and market volatility and political and social instability; the securities of small-capitalization companies are subject to higher volatility than larger, more established companies; and high-yield bonds are subject to additional risks, such as increased risk of default. Fixed-income investments are subject to interest-rate and credit risk; their value will normally decline as interest rates rise or if a creditor is unable or unwilling to make principal or interest payments.

  18. A fund’s investment objectives, risks, charges, and expenses should be considered carefully before investing. The prospectus contains this and other important information about the fund. To obtain a prospectus, contact your financial professional, call John Hancock Investments at 800-225-5291, or visit our website at jhinvestments.com. Please read the prospectus carefully before investing or sending money. John Hancock Funds, LLC ▪ Member FINRA, SIPC • 601 Congress Street ▪ Boston, MA 02210-2805 ▪ 800-225-5291 ▪ jhinvestments.com NOT FDIC INSURED. MAY LOSE VALUE. NO BANK GUARANTEE. NOT INSURED BY ANY GOVERNMENT AGENCY. • MF204444 DPCPPT 10/14

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