BOSTON , Dec. 31, 2024 /PRNewswire/ - John Hancock Hedged Equity & Income Fund (NYSE: HEQ) (the "Fund"), a closed-end fund managed by John Hancock Investment Management LLC (the "Adviser") and subadvised by Wellington Management Company LLP (the "Subadviser"), announced today sources of its quarterly distribution of $0.2500 per share paid to all shareholders of record as of December 12, 2024, pursuant to the Fund's managed distribution plan. This press release is issued as required by an exemptive order granted to the Fund by the U.S. Securities and Exchange Commission.
BOSTON , Sept. 30, 2024 /PRNewswire/ - John Hancock Hedged Equity & Income Fund (NYSE: HEQ) (the "Fund"), a closed-end fund managed by John Hancock Investment Management LLC (the "Adviser") and subadvised by Wellington Management Company LLP (the "Subadviser"), announced today sources of its quarterly distribution of $0.2500 per share paid to all shareholders of record as of September 13, 2024, pursuant to the Fund's managed distribution plan.
John Hancock Hedged Equity & Income Fund joins the penalty box of distribution cutters, leading to a deep discount. Limited recovery in the broader market outside of mega-cap growth names keeps pressure on equity funds invested more broadly. HEQ's low beta and derivatives hedge strategy may limit downside risk, but caution should be considered as I don't believe this is a buy-and-hold type of fund.
HEQ: Weak Equity CEF Cutting Its Distribution
The John Hancock Hedged Equity & Income Fund is designed to hedge one's portfolio, investing in a diversified mix of value-oriented sectors and employing options writing and futures contracts strategies. The fund's deep discount and history of touching premium levels make it a potentially strong entry point for investors looking to diversify and hedge their portfolio against a potential market drop. However, HEQ is not recommended as a long-term buy-and-hold position but rather as a tactical trading opportunity due to its hedging strategy and limited upside potential in bull markets.