HPS

John Hancock Preferred Income Fund III (HPS) is a diversified, closed-end management investment company that seeks to provide high current income consistent with preservation of capital. The fund invests primarily in preferred securities and other income-producing instruments issued by U.S. and non-U.S. companies, including traditional preferred stocks, hybrid preferred securities, and contingent capital securities. Managed by John Hancock Investment Management LLC, a subsidiary of Manulife Financial Corporation, the fund employs active portfolio management strategies to navigate the preferred securities market across various sectors including financials, utilities, energy, and real estate. HPS typically maintains a portfolio of 150-250 holdings to achieve diversification while seeking securities that offer attractive risk-adjusted yields. The fund utilizes leverage through borrowings to potentially enhance income generation, though this also increases investment risk and volatility. As a closed-end fund, HPS trades on the New York Stock Exchange with shares that may trade at premiums or discounts to net asset value based on market demand. The fund pays monthly distributions to shareholders and provides quarterly reports detailing portfolio composition, sector allocations, and performance metrics. Investment decisions incorporate credit analysis, relative value assessments, and macroeconomic considerations to position the portfolio across the preferred securities capital structure.