The John Hancock Hedged Equity & Income Fund (NYSE: HEQ) is a closed-end management investment company that seeks to provide shareholders with a high level of income coupled with the potential for capital appreciation. Listed on the New York Stock Exchange, the fund is managed by John Hancock Investment Management, a subsidiary of Manulife Financial. The fund’s investment objective emphasizes total return, balancing dividend and option premium income with equity market participation.
The fund pursues its goal by investing primarily in a diversified portfolio of U.S. large-capitalization common stocks. To enhance returns and manage volatility, the portfolio management team employs an options-based hedging strategy. Covered call writing is used to generate additional income from eligible equity holdings, while protective put options may be purchased to mitigate downside risk. The combination of these overlays aims to smooth return volatility and deliver a more consistent income stream than a traditional equity-only fund.
John Hancock Hedged Equity & Income Fund leverages the research and risk-management infrastructure of its parent organization. The fund’s management team draws on fundamental equity analysis, quantitative screening and disciplined risk controls to select positions across multiple sectors. The fund may also invest in preferred stocks, foreign securities and fixed-income instruments, subject to its charter, to further diversify its sources of yield and return potential.
Primarily serving U.S. individual and institutional investors, the fund offers daily liquidity through its listing on the NYSE. Investors seeking a balanced approach to equity investing—one that emphasizes income generation and capital preservation—may find the fund’s hedged equity strategy aligned with their long-term objectives. As part of the broader John Hancock mutual fund family, HEQ benefits from the firm’s global resources and commitment to research-driven portfolio management.
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