FridayOL

Despite a challenging first quarter in 2025, the John Hancock Multimanager Lifestyle Balanced Portfolio demonstrated resilience, delivering a negative total return while outperforming its benchmark. This quarterly commentary provides a detailed analysis of the fund's performance, discussing the key market drivers, investment decisions, and outlook for the remainder of the year. We’ll explore how our multi-manager approach and dynamic asset allocation strategy helped navigate volatility and position the portfolio for long-term success.

Market Overview: Q1 2025

The first three months of 2025 presented a complex environment for investors. Rising inflation concerns, fluctuating interest rates, and geopolitical uncertainties contributed to market volatility across various asset classes. Equity markets experienced periods of both gains and losses, while fixed income struggled with the impact of rising yields. Commodity prices also saw significant swings, adding to the overall uncertainty.

Portfolio Performance & Strategy

Against this backdrop, the John Hancock Multimanager Lifestyle Balanced Portfolio's negative total return, while disappointing, reflects a deliberate strategy to manage risk and protect capital. Our multi-manager approach, which leverages the expertise of a diverse group of investment managers, allowed us to identify and capitalize on opportunities while mitigating potential downside risks.

Specifically, our allocation to [mention a specific asset class or manager that contributed positively, e.g., defensive equities or a particular bond manager] helped cushion the impact of the broader market decline. Conversely, [mention a specific area that underperformed and why, e.g., exposure to emerging markets] proved to be a drag on performance. We are actively reviewing our allocation in these areas to optimize future returns.

Dynamic Asset Allocation in Action

A key element of our Lifestyle Balanced Portfolio is its dynamic asset allocation strategy. This approach allows us to adjust the portfolio's mix of assets based on changing market conditions and our outlook for future returns. During Q1 2025, we [describe specific adjustments made, e.g., reduced exposure to cyclical sectors and increased allocation to high-quality bonds]. These adjustments were designed to [explain the rationale behind the changes, e.g., reduce portfolio volatility and preserve capital].

Looking Ahead: Q2 2025 and Beyond

The path forward remains uncertain. We anticipate continued volatility in the near term as investors grapple with [mention key challenges, e.g., inflation, interest rates, and geopolitical risks]. However, we believe that the long-term fundamentals of the global economy remain sound.

We will continue to focus on [mention key priorities, e.g., identifying attractive investment opportunities, managing risk effectively, and delivering long-term value to our investors]. Our multi-manager approach and dynamic asset allocation strategy are well-suited to navigate these challenges and position the portfolio for success in the years to come.

Read the full Q1 2025 commentary for a more detailed analysis.