Retirement Income 2040 Fund
Data updated: 2022-05-26
C000186191 — Retirement Income 2040 Fund. Target Date / Glide Path Allocation · $23.42M AUM. Holdings, fees, performance and SEC filings.
C000186191 Fund Overview
Retirement Income 2040 Fund is a US mutual fund managed by John Hancock Funds II, categorised as Target Date / Glide Path Allocation. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: John Hancock Funds II
- Category: Target Date / Glide Path Allocation
- Assets under management: $23.42M
- 1-year return: -1.6%
- SEC CIK: 0001331971
- SEC series ID: S000057749
- Share class ID: C000186191
C000186191 Investment Objective and Strategy
Retirement Income 2040 Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by John Hancock Funds II.
Investment objective
To maintain and maximize regular cash distributions through December 2040 and to grow such distributions over time.
Principal investment strategy
"Under normal market conditions, the fund invests in one or more underlying funds and other investments according to a ""spend-down"" (self-liquidating) distribution strategy designed to provide shareholders with regular cash distributions through December 2040. Distributions may include income, capital gains, and a return of capital. The fund anticipates that such distributions will be made on a quarterly basis, but the fund may increase or decrease distribution frequency in the future. The fund may allocate investments among asset classes including, but not limited to, equity, fixed-income, and cash and cash equivalents (including money market funds), as well as underlying funds that invest in such securities. The fund may invest in securities of domestic and foreign issuers of any market capitalization.
The fund's asset allocation strategy is designed to accommodate the fund's investment objective of maintaining and potentially increasing cash distributions through December 2040. The fund is not a traditional target date fund, in that it does not seek total return driven by a target retirement date. Rather, the manager uses a quantitative liability-driven investment (LDI) approach that seeks to manage duration and balance investment risk and return while providing distribution payments through December 2040. The fund's investment allocations may vary. The fund may focus its investments in a particular sector or sectors of the economy. The fund expects to allocate its assets broadly in its earlier years of operation. The manager intends to hold significant exposures to investment-grade fixed-income securities, combined with a smaller weighting of equity investments.
The fund intends to gain exposure to fixed-income investments with a wide range of durations. The fund anticipates that the average duration of fixed-income holdings across the portfolio will be longer initially than it will be as the fund approaches its investment horizon, with average duration decreasing over time. The fund typically will have a greater exposure to fixed-income securities than to equity securities, although these allocations are not static and may be changed at the manager's discretion. The fund's exposure to equity securities is designed to provide growth of capital, which may result in increased distributions over time. The fund may be exclusively or nearly exclusively exposed to fixed-income securities or cash and cash equivalents as it nears its investment horizon. The fund does not guarantee that any particular level of distributions will be maintained until December 2040.
The target distribution amount per share for the fund's scheduled distributions will be determined in advance based on considerations including fund performance and market conditions, although it may vary from year to year or more frequently at manager's discretion. While the fund seeks to generate a stable distribution with potential periodic increases over time, distribution amounts are not fixed and may not be the same for each distribution. In addition, the fund's net assets are expected to decline over the life of the fund, with all or substantially all of the fund's assets being distributed by December 2040. The fund anticipates that distributions will consist primarily of investment income, short-term and/or long-term capital gains, and return of capital. The portion of distributions treated as a return of capital for tax purposes may increase over time, particularly as the fund nears its investment horizon.
A return of capital is the return of all or a portion of a shareholder's investment in the fund. The fund may make one or more additional distributions annually consisting wholly or in part of realized capital gains, consistent with applicable law, to satisfy the requirements for eligibility as a regulated investment company that is accorded special tax treatment under the Internal Revenue Code of 1986, as amended, (the ""Code"") and to reduce or eliminate tax at the fund-level. For the strategy to work as intended, any such additional distribution should be reinvested in the fund. For more information about the fund's distribution policies, see ""Dividends and Account Policies"" on pages 30 to 31 of this prospectus. The fund may engage in derivative transactions, including foreign currency forward contracts, futures contracts, swaps, and options, to reduce risk, obtain efficient market exposure, and/or enhance investment returns."
C000186191 Performance
Total returns for C000186191 (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| 1 year | -1.6% |
| 3 years (annualised) | 2.8% |
C000186191 Risk Information
Risk metrics for C000186191, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 6.4%
C000186191 Costs and Fees
C000186191 costs about $49 per $10,000 invested per year in fund expenses.
- Net expense ratio: 0.49%
- Gross expense ratio: 1.04%
- Portfolio turnover: 26%
- Brokerage commissions: 0.00 bps of average net assets (SEC N-CEN)
C000186191 Cashflows
Over the 12 months to 2022-03, Retirement Income 2040 Fund had net outflows of $21.32K, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2022-03 | $1.02K |
| 2022-02 | $49 |
| 2022-01 | $887 |
| 2021-12 | $53 |
| 2021-11 | $64 |
| 2021-10 | −$1.39K |
C000186191 Debt Constituents
No individual debt constituents are reported in Retirement Income 2040 Fund's latest SEC N-PORT filing.
C000186191 Prospectus and SEC Filings
Official Retirement Income 2040 Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2021-04-26
- Prospectus (485BPOS) — filed 2020-05-15
- Prospectus supplement (497) — filed 2020-05-18
- Portfolio holdings (N-PORT) — filed 2022-05-26
- Portfolio holdings (N-PORT) — filed 2022-02-25
- Portfolio holdings (N-PORT) — filed 2021-11-26
- Annual census (N-CEN) — filed 2022-03-11
- Annual census (N-CEN) — filed 2021-03-10
Related Funds
Other Target Date / Glide Path Allocation funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.