Fund Fact Sheet Booklet

Manulife Investment-Linked Funds Fund Fact Sheet Booklet

www.manulife.com.my CONTENT

Introduction 3 Fund Key Information 4 Income Fund 5 Managed Fund 6 Manulife Dividend Fund 8 Manulife Flexi Invest Fund 9 Equity Fund 12 Dana Ekuiti Dinamik 14 Manulife Asia-Pacific REIT Fund 16 Manulife Global Equity Fund 17 Manulife Progress Fund 19 Manulife Asian Small Cap Growth Fund 21 Manulife Emerging Eastern Europe Fund 22 Manulife China Value Fund 24 Other Information 26 Appendix - Risk 27 General Risks 28 Specific Risks associated with the Fund 29 Specific Risks associated with the Target Fund 31 INTRODUCTION

Manulife Investment-Linked Fund Fact Sheet Booklet is designed to assist you in understanding the investment-linked fund(s)’ objective, strategy and risk associated, and to choose the right investment-linked fund(s) to suit your investment needs, objectives and risk appetites.

Manulife Insurance Berhad (“the Company”) offers a wide selection of professionally managed investment-linked funds from Fixed Income to Equity investing in both local and foreign markets. These funds are made available via our range of investment-linked insurance products. To find out more on our investment-linked insurance products, you can:

• call our Customer Careline at 03-2719 9112/ 1-300-13-2323, • get in touch with our professional Manulife Advisor, or • drop us an email via our Contact Us page

The information in this booklet is for general information only and is not to be construed as a contract and no consideration has been given to the particular personal objectives, financial situation or needs. You should consult our advisor to obtain financial advice that is tailored to suit your personal circumstances. You should also read this booklet together with the Product Disclosure Sheet for the investment-linked insurance products you are considering to apply.

Manulife Insurance Berhad (200801013654 (814942-M)) is a company licensed under the Financial Services Act 2013 and regulated by Bank Negara Malaysia. It is located at 16th floor, Menara Manulife, 6, Jalan Gelenggang, Damansara Heights, 50490 Kuala Lumpur. MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 3 Fund Key Information

No. Fund Category Geographical Risk Profile 1 Income Fund Bond Local Low

2 Managed Fund Balanced Local Moderate

3 Manulife Dividend Fund Equity – Feeder Fund Local and Foreign Moderate

4 Manulife Flexi Invest Fund Equity Local and Foreign Moderate to high

5 Equity Fund Equity Local Moderate to high

6 Dana Ekuiti Dinamik Equity Local Moderate to high

7 Manulife Asia-Pacific REIT Fund REIT – Feeder Fund Foreign Moderate to high

8 Manulife Global Equity Fund Equity – Feeder Fund Foreign Moderate to high

9 Manulife Progress Fund Equity – Feeder Fund Local High

10 Manulife Asian Small Cap Equity – Feeder Fund Foreign High Growth Fund

11 Manulife Emerging Eastern Equity – Feeder Fund Foreign High Europe Fund 12 Manulife China Value Fund Equity – Feeder Fund Foreign High

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 4 Income Fund Features of Fund Investment Objective This Fund seeks to provide a steady return to investors through accumulation of capital over the long term.

Investment Strategy & The Fund will principally be invested in fixed income securities, treasury products, money Approach market instruments, collective investment schemes and any other permissible instruments or investments allowed by Bank Negara Malaysia and/or relevant regulatory bodies. The fund invests only in Malaysian securities.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%)

Fixed Income 70 100 Money Market 0 30 (including Cash)

Performance Benchmark Maybank 12-months Fixed Deposit Rate Further information on the benchmark can be obtained from www.maybank2u.com

Target Market This Fund is suitable for investors seeking stability of principal and a higher return compared to bank deposits but with acceptable risk to capital invested.

Fund Manager Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad)

Launch Date 1 February 2002 Fees & Charges Fund Management Charge 0.75% per annum of Net Asset Value Fund Performance

Notice: Past performance of the fund is not an indication of its future performance

Year Actual Performance Benchmark 2011 3.10% 3.05% 2012 2.96% 3.15% 2013 1.17% 3.15% 2014 2.95% 3.22% 2015 3.02% 3.30% 2016 3.30% 3.22% 2017 4.31% 3.10% 2018 3.97% 3.33% 2019 7.96% 3.20% 2020 4.62% 2.22%

Source: Bloomberg This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan.

Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management

The allocation mixes between fixed income instruments and liquid assets, and the profile of bonds in the portfolio are determined based on the Fund Manager’s assessment of the economic conditions and investment prospects. The Fund Manager structures the investments of the Fund so that they are well diversified across a range of corporate bonds in order to minimize single issuer risk caused by specific risk exposure to any one company or group of companies. The investments of the Fund are also diversified across a range of sectors/industries to reduce sector/industry specific risk.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 5 Managed Fund

Features of Fund Investment Objective Managed Fund is an investment vehicle that enables investors to participate in the long-term growth of equities and, yet have the protection from a spread of fixed income securities.

Investment Strategy & The Fund invests in equities and fixed income instruments based on its assessment of the Approach respective market outlook. The Fund Manager uses a macro-economic ‘top-down’ approach to decide on strategic asset allocation. The Fund Manager constantly monitors and assesses the investment environment to identify emerging investment trends and themes. More importantly, the Fund Manager evaluates macroeconomic variables and its impact on the asset classes in the asset allocation process. The Fund Manager believes that given the increased interdependence among markets, a macro view of global financial markets is also critical to successful investment. In addition, any active and frequent trading strategy will depend on investment opportunities.

In equity stock selection process, the Fund Manager believes in a framework which emphasizes on superior growth profile, cashflow generative capabilities, management strength/track record and valuation. The Fund Manager emphasizes strongly on internal research. Frequent company visits are made in order to obtain local knowledge and corporate information. Besides using traditional valuation yardsticks such as growth rate, price earnings (P/E) ratio, price-to-book (P/BV) ratio and price/earnings to growth (PEG) ratio, the Fund Manager focuses on capital structure, intrinsic value, cash flow, replacement costs, revised net asset value (RNAV), management and potential growth and income trend.

When selecting fixed income investments, the Fund Manager adopts a prudent strategy in forming a portfolio of fixed income instruments, which is in accordance with the Fund’s investment objective and the Fund Manager’s assessment of investment prospects in line with the underlying interest rates and economic outlook.

The Fund invests mainly in Malaysian investments. Up to 30% of the Fund’s net asset value may be invested in foreign equity securities and/or fixed income instruments in the Asia-Pacific region. The Asia-Pacific region includes but is not limited to Australia, China, Hong Kong, India, Indonesia, Japan, New Zealand, the Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam.

The Fund may also invest in securities of companies that are domiciled in/ listed in or have significant operations in the Asia-Pacific region. In addition, the Fund may also invest in fixed income instruments issued by governments, agencies and/or corporate issuers in the Asia-Pacific region. The Fund may invest in the investments directly and/or via collective investment schemes.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Target Mix (%) Minimum (%) Maximum (%) Equity 50 35 65 Fixed Income 50 35 65

Target Market It is suitable for investors who seek a risk-reward balance between equities and fixed income securities.

Performance Benchmark 50% FTSE Bursa Malaysia Top 100 Index (Total Return Net of Tax) + 50% Maybank 12-months Fixed Deposit Rate The composite benchmark is only used as a reference for performance gauge purpose. The Fund is not managed against the composite benchmark.

Further information on the benchmark components can be obtained from www.bursamalaysia.com and www.maybank2u.com

Fund Manager Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad)

Launch Date 10 July 2000 Fees & Charges Fund Management Charge 1.35% per annum of Net Asset Value

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 6 Managed Fund (continued)

Fund Performance

Notice: Past performance of the fund is not an indication of its future performance

Year Actual Performance Benchmark* 2011 3.33% 3.03% 2012 9.13% 8.01% 2013 17.89% 11.09% 2014 1.11% -1.46% 2015 -2.63% 1.11% 2016 -3.40% 0.47% 2017 12.04% 11.28% 2018 -12.02% -3.13% 2019 3.42% 1.20% 2020 13.10% 5.38%

*Prior to 30 December 2015, the benchmark was 70% FBM 100 + 30% RAM QS MGS All. Source: Bloomberg

This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan. Additional Disclosure

• Derivatives such as currency forward contracts, currency swaps, FTSE Bursa Malaysia KLCI Futures, FTSE Bursa Malaysia KLCI Options, warrants, transferable subscription rights, and call warrants listed on Bursa Malaysia may be used for hedging purposes.

• No borrowing or leveraging for non-hedging purposes without the prior approval of the Company.

Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management

During times of adverse financial markets, economic and/or political conditions including extraordinary events, the Fund Manager may temporarily depart from the above Tactical Range by reallocating the Fund’s investments into more defensive instruments such as cash, money market and/or other fixed income instruments, provided always that the Fund Manager shall notify the Company of such tactic. This temporary defensive measure is to help mitigate adverse impact to the value of the Fund.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 7 Manulife Dividend Fund Features of Fund Investment Objective Manulife Dividend Fund (“the Fund”) is a feeder fund investing in the Manulife Investment Dividend Fund (“the Target Fund”), which aims to provide a steady recurring income that is potentially higher than the prevailing fixed deposit rates. At the same time, the Target Fund also attempts to attain medium-to long-term capital appreciation. Investment Strategy & The Target Fund invests in stocks which have good dividend payouts or have the potential Approach to become dividend yielding stocks and reasonable medium- to long-term capital appreciation opportunities. Stocks with good dividend payouts are those that have been paying consistent dividends over the last three to five years, and are expected to be able to sustain this trend at least over the next one year. In addition, any active and frequent trading strategy will depend on investment opportunities. The Target Fund may invest up to 25% of the Fund’s NAV in foreign equities of companies which are domiciled in/ listed in/ or have significant operations* in the Asia-Pacific region including but not limited to Australia, China, Hong Kong, India, Indonesia, Japan, New Zealand, the Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam. *Significant operations means the revenue, earnings, production facilities, assets and/or investments of a company are based in/ derived from the Asia Pacific region. The level of significance will be determined by the Fund Manager on a case-by-case basis based on his/her research and judgement.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5

Target Market The Fund is designed for investors who prefer a regular income stream, stable investment returns and potential for medium-to long-term capital appreciation between 3 and 5 years. It is suitable for conservative investors who seek relatively higher returns than fixed deposits but are averse to higher risks associated with high equity exposure. Performance Benchmark Manulife Investment Dividend Index, comprising of 90% FTSE Bursa Malaysia Top 100 Index + 10% Maybank 12-month fixed deposit rate Further information on this benchmark can be obtained from monthly fund fact sheet via www.manulife.com.my Fund Manager The fund manager for the Fund and Target Fund is Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad). Launch Date 3 July 2017 Fees & Charges Fund Management Charge 1.50% per annum of Net Asset Value Fund Performance Notice: Past performance of the fund is not an indication of its future performance Year Actual Performance Benchmark 2017 2.82%* 2.72% 2018 -11.93% -8.03% 2019 1.34% -2.27% 2020 6.14% 3.54%

*Fund Performance is from fund launch date until year end of the same year Source: Bloomberg This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan. Risks Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management The risk management strategies and techniques employed will be at the Target Fund level Investments of the Target Fund (i.e. Manulife Investment Dividend Fund) are managed in a way that is well diversified across a range of equities to minimize specific (unsystematic) risk exposure to any one company or group of companies. Investments of the Target Fund are also diversified across a range of sectors/industries to reduce sector/ industry specific risk. Additionally, under adverse market conditions (due to economic, political or any other negative conditions for investments), the Target Fund’s equity exposure may be temporarily lowered to below 70% of the Target Fund’s NAV and the surplus cash be placed in liquid assets.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 8 Manulife Flexi Invest Fund Features of Fund

Investment Objective The Fund aims to provide medium-to long-term capital appreciation.

Investment Strategy & Manulife Flexi Invest Fund may invest between 0 to 100% of the Fund’s NAV in equities Approach and equity related instruments and/or fixed income securities (including but not limited to money market instruments and other liquid assets).

The Fund may invest up to 30% of the Fund’s NAV in foreign markets as and when opportunities arise.

The Fund’s equity investment strategy focuses on achieving superior long-term risk- adjusted returns by exploiting inefficiencies in the capital markets through intensive, disciplined and consistent research. The Fund adopts a combination of top-down and bottom-up approach with focus on earnings/cash generation capabilities, growth drivers/ opportunities, scalability of business models, management’s strength/track record and valuation gaps. Emphasis is also given on proper risk management overlay to maximize risk-adjusted returns over the longer term.

The Fund’s fixed income investment strategy focuses on seeking the best possible risk- adjusted returns through in-depth market and proprietary credit research. This approach involves a combination of top-down and bottom-up approaches. The Investment Manager examines macroeconomic factors such as monetary policies, inflation rate and growth to form broad portfolio strategy and duration management purposes. Underlying credit risks and structure of individual securities are then assessed to identify investments with maximum risk-adjusted returns, while taking into account potential for capital appreciation due to improving credit or industry outlook.

Asset Allocation The Fund may invest between 0 to 100% of the Fund’s NAV in equities and equity related instruments and/or fixed income securities (including but not limited to money market instruments and other liquid assets).

Target Market The Fund is suitable for investors who seek capital appreciation and are willing to accept medium to high level of risk. The Fund is also suitable for investors who do not seek a regular income stream and ideally have a medium- to long-term investment horizon of between 3 and 5 years.

Performance Benchmark 50% FBM100 + 50% Maybank 12 - months Fixed Deposit Rate

The composite benchmark is only used as a reference for performance gauge purpose. The Fund is not managed against the composite benchmark.

Further information on the benchmark components can be obtained from www.bursamalaysia.com and www.maybank2u.com

Fund Manager Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad)

Launch Date 17 February 2012

Fees & Charges

Fund Management Charge 1.50% per annum of Net Asset Value

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 9 Manulife Flexi Invest Fund (continued)

Fund Performance

Notice: Past performance of the fund is not an indication of its future performance Year Actual Performance Benchmark 2012 6.17%* 4.78% 2013 12.29% 36.52% 2014 3.74% 6.45% 2015 15.79% 3.43% 2016 -0.90% -4.24% 2017 16.30% 7.86% 2018 -20.41% -3.00% 2019 6.91% 0.16% 2020 15.64% 3.35% *Fund Performance is from fund launch date until year end of the same year Source: Bloomberg This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan. Additional Disclosure Derivatives Contract • Investments in derivatives for the purpose of hedging of the risk exposures of the Fund are permitted subject to the requirements stipulated in the Revised Guidelines on Derivatives for Licensed Insurers. • Derivatives such as FTSE Bursa Malaysia KLCI Futures, FTSE Bursa Malaysia KLCI Options, warrants, transferable subscription rights, and call warrants listed on Bursa Malaysia may be used for hedging purposes. • No borrowing or leveraging for non-hedging purposes without the prior approval of the Company.

Collective Investment The Fund Manager may invest, but not limited to the following CIS while ensuring Schemes (CIS) investment in the CIS is meeting the Fund’s investment objectives and strategy: Collective Investment Schemes Type Manulife Investment Bond Fund • Fund Manager: Manulife Investment Management (M) Berhad • Historical performance*: Bond Year 2016 2017 2018 2019 2020 (Malaysia) Performance 4.41% 4.46% 4.39% 8.23% 5.42%

Manulife Investment As-Saad • Fund Manager: Manulife Investment Management (M) Berhad • Historical performance*: Islamic Bond v Year 2016 2017 2018 2019 2020 (Sukuk) v Performance 3.17% 4.32% 4.40% 8.44% 5.80%

Manulife Bond Plus Fund • Fund Manager: Manulife Investment Management (M) Berhad • Historical performance*: Bond v Year 2016 2017 2018 2019 2020 (Malaysia) v Performance 2.54% 4.07% 4.21% 8.64% 4.46%

Manulife Asia Total Return Bond Fund • Fund Manager: Manulife Investment Management (M) Berhad • Historical performance*: Feeder Fund v Year 2016 2017 2018 2019^ 2020 (Bond) v Performance N/A N/A N/A 5.11% 8.46%

* Source: Lipper. Please note that past performance of the fund is not an indication of its future performance and the performance of the fund is not guaranteed. ^ Since fund inception on 18 February 2019, based on performance of RM-Hedged Class. Notes: • The total value of the investments in any of the above CIS will not exceed 10% of the fund’s NAV. • The fund management fees of the above CIS shall not cause the Fund Management Charge of the Fund to be higher. • Further information on respective CIS and it’s benchmark can be obtained from the fund manager website at www.manulifeinvestment.com.my

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 10 Manulife Flexi Invest Fund (continued)

Risks

Please refer to the Appendix for the risks involved and the risk descriptions.

Risk Management The Fund Manager actively monitors the investments to manage the risks of equity investments of the Fund. The level of equity investments changes as the Fund Manager purchases and/or sells equity investments. If the investment climate and the prospect of equity investments are unfavourable, the Fund Manager may sell down equity investments position in the Fund and reduce the Fund’s exposure in equity investments. This strategy will mitigate the potential loss which may arise when share prices decline. The Fund Manager also structures the investments of the Fund so that they are well diversified across a range of securities in order to reduce specific (unsystematic) risk exposure to any one company or group of companies. The investments of the Fund are also diversified across a range of sectors or industry to reduce sector or industry specific risk.

For fixed income securities and money market instruments, the Fund Manager focuses on managing credit risk where credit analysis will be conducted on the issuer(s) to determine its ability to service promised coupon and principal payments.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 11 Equity Fund Features of Fund Investment Objective The Fund is an investment vehicle that enables investors to capitalise on the dynamic broad-based growth through equity investments in various sectors of the Malaysian economy that are listed on Bursa Malaysia.

Investment Strategy & To meet its investment objective, the Fund Manager will invest at least 50% of the Fund’s Approach assets in equities and equity-related securities.

The Fund’s investment strategy aims at achieving long-term risk-adjusted returns by exploiting potential inefficiencies in the capital markets through intensive, disciplined and consistent research. The Fund adopts a combination of top-down and bottom-up approaches. The top-down approach examines global and local macro-economic factors such as interest rate trends, inflation rates, supply demand trends, commodities trends and industry outlook and trends. As for the bottom-up approach, the Fund Manager evaluates securities of the companies based on those companies individual attributes such as earnings/ cash generation capabilities, growth drivers/ opportunities, scalability of business models, management’s strengths/ track records and valuation gaps. Emphasis is also given to portfolio diversification and using proper risk management to maximize long term risk-adjusted returns. In addition, any active and frequent trading strategy will depend on investment opportunities.

The Fund may invest in collective investment schemes provided it is consistent with the investment objective of the Fund.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Equity 50 100

Target Market It is suitable for investors who seek medium to long-term capital appreciation and are able to tolerate short-term volatility.

Performance Benchmark FTSE Bursa Malaysia Top 100 Index (Total Return Net of Tax) The benchmark is only used as a reference for performance gauge purpose. The Fund is not managed against the composite benchmark. Further information on benchmarks can be obtained from www.bursamalaysia.com

Fund Manager Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad)

Launch Date 10 July 2000 Fees & Charges Fund Management Charge 1.50% per annum of Net Asset Value Fund Performance Notice: Past performance of the fund is not an indication of its future performance Year Actual Performance Benchmark 2011 4.70% 1.94% 2012 12.30% 9.60% 2013 19.92% 11.39% 2014 -1.18% -6.17% 2015 -3.31% 0.04% 2016 -4.65% -0.43% 2017 13.16% 14.94% 2018 -10.26% -5.92% 2019 0.73% 0.29% 2020 15.48% 6.25% Source: Bloomberg

This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 12 Equity Fund (continued)

Additional Disclosure

Derivatives Contract • Investments in derivatives for the purpose of hedging of the risk exposures of the Fund are permitted subject to the requirements stipulated in the Revised Guidelines on Derivatives for Licensed Insurers. • Derivatives such as FTSE Bursa Malaysia KLCI Futures, FTSE Bursa Malaysia KLCI Options, warrants, transferable subscription rights, and call warrants listed on Bursa Malaysia may be used for hedging purposes. • No borrowing or leveraging for non-hedging purposes without the prior approval of the Company.

Risks

Please refer to the Appendix for the risks involved and the risk descriptions.

Risk Management

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 13 Dana Ekuiti Dinamik Features of Fund Investment Objective The Fund is an investment vehicle that seeks to maximise medium to long term capital appreciation by investing in Shariah-approved equity and equity-related securities listed on Bursa Malaysia.

Investment Strategy & The Fund aims to achieve its objective by investing a minimum of 80% up to a maximum of 100% Approach of its NAV in Shariah-compliant equities and/or equity-related securities. The balance of the Fund’s NAV will be invested in Islamic money market instruments or placed in Islamic deposits. The Fund’s investment strategy aims at achieving long-term risk-adjusted returns by exploiting potential inefficiencies in the capital markets through intensive, disciplined and consistent research. The Fund adopts a combination of top-down and bottom-up approaches. The top-down approach examines global and local macro-economic factors such as interest rate trends, inflation rates, supply demand trends, commodities trends and industry outlook and trends. As for the bottom-up approach, the Fund Manager evaluates Shariah-compliant securities of companies based on those companies individual attributes such as earnings/ cash generation capabilities, growth drivers/ opportunities, scalability of business models, management’s strengths/ track records and valuation gaps. Emphasis is also given to portfolio diversification and using proper risk management to maximize long term risk-adjusted returns. In addition, any active and frequent trading strategy will depend on investment opportunities. The Fund Manager may also invest in Shariah-compliant collective investment schemes provided it is consistent with the Fund’s investment objectives.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Target Mix (%) Minimum (%) Maximum (%) Shariah-approved equity 90 80 100 Islamic money market 10 0 20

Target Market It is suitable for investors who seek medium to long-term capital appreciation Shariah- based investments and are able to tolerate short-term volatility.

Performance Benchmark FTSE Bursa Malaysia Emas Shariah Index (Total Return Net of Tax) The benchmark is only used as a reference for performance gauge purpose. The Fund is not managed against the composite benchmark. Further information on benchmarks can be obtained from www.bursamalaysia.com Fund Manager Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad)

Launch Date 6 October 2003 Fees & Charges Fund Management Charge 1.50% per annum of Net Asset Value Fund Performance

Notice: Past performance of the fund is not an indication of its future performance

Year Actual Performance Benchmark 2011 5.85% 4.28% 2012 15.77% 11.85% 2013 29.54% 13.29% 2014 0.13% -4.17% 2015 7.25% 4.71% 2016 -4.59% -3.76% 2017 15.13% 12.59% 2018 -16.43% -10.39% 2019 7.22% 5.95% 2020 18.20% 11.94%

Source: Bloomberg This is strictly based the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 14 Dana Ekuiti Dinamik (continued)

Additional Disclosure

Derivatives Contract • Investments in derivatives for the purpose of hedging of the risk exposures of the Fund are permitted subject to the requirements stipulated in the Revised Guidelines on Derivatives for Licensed Insurers. • Derivatives such as FTSE Bursa Malaysia KLCI Futures, FTSE Bursa Malaysia KLCI Options, warrants, transferable subscription rights, and call warrants listed on Bursa Malaysia may be used for hedging purposes provided it is Shariah-approved. • No borrowing or leveraging for non-hedging purposes without the prior approval of the Company.

Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management

Although the Fund invest in Shariah-approved securities, the investment-linked insurance plan that is tied to this fund is not a Shariah-compliant product.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 15 Manulife Asia-Pacific REIT Fund Features of Fund Investment Objective Manulife Asia-Pacific REIT Fund (“the Fund”) is a feeder fund investing in the Manulife Investment Asia-Pacific REIT Fund (“the Target Fund”), which aims to provide long-term capital appreciation and sustainable income through a combined investment in other collective investment schemes, namely REITs and infrastructure funds/ trusts. Investment Strategy & The Target Fund invests in REITs and infrastructure funds/ trusts and related instruments Approach attached to the invested REITs and infrastructure funds/ trusts that are listed on approved Asia-Pacific stock exchanges. The Target Fund focuses on REITs and infrastructure funds/ trusts that display a potential for capital appreciation via asset growth. The underlying assets of infrastructure funds/ trusts will comprise of listed equities of companies which focus primarily on but are not limited to utilities, transportation/ logistics and communications: • Utilities include facilities for the recycling, treatment, distribution and supply of water, as well as facilities for the generation, transmission, distribution and supply of electricity and gas. • Transportation/ logistics include toll roads, railways, storage terminals, airports and seaports. • Communications comprise broadcast transmission infrastructures, satellite systems and terrestrial wireline and wireless network infrastructures. The Target Fund Manager focuses primarily on Australia, China, Hong Kong, Indonesia, Malaysia, the Philippines, Singapore, South Korea, Taiwan and Thailand.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5 Target Market The Fund is suitable for investors who wish to have investment exposure through a diversified portfolio of REITs and infrastructure funds/ trusts within the Asia-Pacific region. The Fund may also appeal to investors who are seeking a sustainable distribution of income and long- term capital growth with medium- to long-term investment horizon of between 3 and 5 years. Performance Benchmark Manulife Investment Asia REIT Ex Japan Index Further information on the benchmark can be obtained from monthly fund fact sheet via www.manulife.com.my Fund Manager The fund manager for the Fund and the Target Fund is Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad). Prior to 1 October 2017, Manulife Investment Management (Singapore) Pte. Ltd. (formerly known as Manulife Asset Management (Singapore) Pte. Ltd.) was the investment manager of the Target Fund. Launch Date 3 July 2017 Fees & Charges Fund Management Charge 1.50% per annum of Net Asset Value Fund Performance Notice: Past performance of the fund is not an indication of its future performance Year Actual Performance Benchmark 2017 2.42%* 4.81% 2018 -0.35% -2.75% 2019 14.43% 13.75% 2020 -4.99% -12.91% *Fund Performance is from fund launch date until year end of the same year Source: Bloomberg This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan. Risks Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management The risk management strategies and techniques employed will be at the Target Fund level. The fund manager of the Target Fund together with its central compliance personnel monitors daily market valuations closely to help manage the risks of the Target Fund. Although the Target Fund primarily invests in REITs and infrastructure funds/ trusts, the Target Fund’s fund manager may take a defensive view by increasing the cash exposure that may be inconsistent with the Target Fund’s principal strategy in attempting to respond to unfavourable market conditions. In addition, the Target Fund’s fund manager also adopts an active and frequent trading strategy to manage the Target Fund. This strategy will minimize the potential loss that may arise from such adverse conditions. The most prevalent risk would be associated with currencies given that the Target Fund is investment in several different countries. On a day-to-day basis, the Target Fund’s fund manager does not hedge their foreign currency exposure unless it will help mitigate adverse currency movements. The Target Fund’s fund manager also diversifies its investments across a range of funds to spread and minimize specific or unsystematic risk. Diversification across different Asia-Pacific markets also helps to mitigate any country risk that may arise.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 16 Manulife Global Equity Fund Features of Fund Investment Objective Manulife Global Equity Fund (“the Fund”) is a feeder fund investing in the AllianceBernstein (AB) SICAV I - Low Volatility Equity Portfolio (“the Target Fund”), which seeks to provide capital appreciation by investing in global equities.

Investment Strategy & The Target Fund seeks to identify equity securities that it believes have fundamentally lower Approach volatility and less downside risks in the future. The fund manager of the Target Fund uses its proprietary risk and return models as well as its judgment and experience in managing investment portfolios to construct the Target Fund that seeks to minimize volatility while maximizing quality exposure. The Target Fund will predominantly invest in equity securities of companies in developed markets, however the Target Fund is not restricted from purchasing equity securities in any country, including emerging markets. The Target Fund may invest in securities, including but not limited to (i) common and preferred stocks (including American depositary receipts and global depositary receipts), (ii) currency spot and forward contracts, (iii) stock index futures, (iv) stock options, (v) exchange-traded funds, (vi) warrants, rights, initial public offerings, and private placements, including new issues and secondary offerings, (vii) securities convertible into common stock and (viii) participation notes and /or other synthetic foreign equity securities. The Target Fund may not invest more than 10% of its net assets in units or shares of another undertaking for collective investment in transferable securities (UCITS) or other undertaking for collective investment (UCIs). The Target Fund may not invest more than 10% of its net assets in securities which have a lack of liquidity. However, the fund manager of the Target Fund will ensure at any time the overall liquidity of the Target Fund is maintained. The Target Fund may, as a temporary defensive measure or to provide for redemptions or in anticipation of investment in various international markets, hold cash or cash equivalents and short-term fixed-income securities, including money market securities.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5

Target Market The Fund is suitable for investors who seek capital appreciation over long term, are willing to accept higher level of risk and wish to seek investment exposure in diversified global market. The Fund is also suitable for investors who have a long-term investment horizon of at least 5 years.

Performance Benchmark MSCI World Index Further information on the benchmark can be obtained from monthly fund fact sheet via www.manulife.com.my

Fund Manager The fund manager of the Fund is Manulife Investment Management (M) Berhad and the fund manager of the Target Fund is AllianceBernstein L.P.

Launch Date 1 May 2021 Fees & Charges

Fund Management Charge 1.50% per annum of Net Asset Value

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 17 Manulife Global Equity Fund (continued) Fund Performance Notice: Past performance of the fund is not an indication of its future performance

Past performance of the Target Fund

Year Actual Performance Benchmark 2013 26.23% 26.68% 2014 10.82% 4.94% 2015 6.30% -0.87% 2016 4.57% 7.51% 2017 20.24% 22.40% 2018 -3.49% -8.71% 2019 26.05% 27.67% 2020 6.21% 15.90% Source: Bloomberg This is strictly based on the performance of the Target Fund and not the returns earned on the actual premiums paid of the investment-linked plan.

Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management The risk management strategies and techniques employed will be at the Target Fund level. The management company of the Target Fund will implement a risk management process which enables it to monitor and measure at any time, the risk of its investment positions and their contribution to the overall risk profile. The methodology used in order to monitor the global exposure resulting from the use of financial derivative instruments is the commitment approach.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 18 Manulife Progress Fund Features of Fund Investment Objective Manulife Progress Fund (“the Fund”) is a feeder fund investing in the Manulife Investment Progress Fund (“the Target Fund”), which seeks to provide investors with steady long-term capital growth at a reasonable level of risk by investing in a diversified portfolio of small to medium size public-listed companies listed on the Bursa Malaysia.

Investment Strategy & The Target Fund invests in a diversified portfolio of small to medium size companies listed Approach in Bursa Malaysia which are not part of the FTSE Bursa Malaysia KLCI Index (“FBM KLCI”) constituents (at the point of purchase). The Fund Manager adopts a bottom-up approach in identifying companies with exceptional growth and visible earnings prospects during the stock selection process. Its value-based approach, on the other hand, seeks out companies which the Fund Manager considers are undervalued relative to their assessed true value. The primary focus is on the underlying growth fundamental of the company and its valuation relative to its intrinsic value although other factors such as macroeconomic variables, liquidity conditions and political risk factors are also considered important.

The Fund Manager emphasizes strongly on internal research. Frequent company visits are made in order to obtain local knowledge and corporate information. Besides using traditional valuation yardsticks such as growth rate, price earnings (P/E) ratio, price to book (P/B) ratio and price/earnings to growth (PEG) ratio, the Fund Manager focuses on the company’s capital structure, intrinsic value, cash flow, replacement costs, revised net asset value (RNAV), management and potential growth trend. In addition, any active trading strategy will depend on investment opportunities or valuations.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5

Target Market The Fund is designed for investors who are willing to accept a higher level of risk and for investors who seek capital appreciation from their investments. These investors should also have low income range and ideally have a medium to long term investment horizon of between 3 and 5 years. Performance Benchmark 50% FTSE Bursa Malaysia Mid 70 Index + 50% FTSE Bursa Malaysia Small Cap Index Further information on the benchmark components can be obtained from www.bursamalaysia.com

Fund Manager The fund manager for the Fund and Target Fund is Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad).

Launch Date 12 January 2015 Fees & Charges Fund Management Charge 1.50% per annum of Net Asset Value Fund Performance

Notice: Past performance of the fund is not an indication of its future performance

Year Actual Performance Benchmark 2015 21.73%* 3.43% 2016 -3.42% -4.24% 2017 15.03% 19.65% 2018 -20.6% -26.49% 2019 8.99% 16.86% 2020 13.95% 8.54%

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 19 Manulife Progress Fund (continued)

Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management

The risk management strategies and techniques employed will be at the Target Fund level. Investments of the Target Fund are actively monitored by the Target Fund’s fund manager to manage the risks of the Target Fund’s equity investments. Although the Target Fund primarily invests in Malaysian equities, the level of equity investments changes as its fund manager purchases and/or sells equities. If the investment climate is unfavourable and the prospectus of equity investments is not promising, the fund manager may sell equities of the Target Fund and temporarily reduce the Target Fund’s exposure in equity investments to below 70% of the Target Fund’s NAV. This strategy will minimize the potential loss which may arise when share prices decline. Investments of the Target Fund are managed in a way that is well diversified across a range of equities to minimize specific (unsystematic) risk exposure to any one company or group of companies. Investments of the Target Fund are also diversified across a range of sectors/industries to reduce sector/industry specific risk.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 20 Manulife Asian Small Cap Growth Fund Features of Fund Investment Objective Manulife Asian Small Cap Growth Fund (“the Fund”) is a feeder fund investing in the Manulife Global Fund - Asian Small Cap Equity Fund (institutional share class) (“the Target Fund”), which aims to provide long-term capital growth for those investors who hold a long term investment view and are prepared to accept significant fluctuations in the value of their investments. The Target Fund’s investment portfolio will be made on a diversified basis, for which at least 70% of its net assets will be invested in equity and equity related investments of smaller capitalisation companies in the Asian and/ or Pacific region. Such equity and equity related securities include common stocks, preferred stocks and depositary receipts.

Investment Strategy & While the Target Fund will invest in accordance with its investment objective and strategy, Approach subject to applicable laws and regulations, the Target Fund is not otherwise subject to any limitation on the portion of its net assets that may be invested in any one country or sector. Hence, the Target Fund may invest more than 30% of its net assets in issuers located in any of the People’s Republic of China (“PRC”), South Korea, Australia, Taiwan and Hong Kong. The Target Fund’s investments may be denominated in any currency. The Target Fund may invest directly in certain China A-Shares listed on the Shanghai Stock Exchange (“SSE”) or the Shenzhen Stock Exchange (“SZSE”) via Shanghai-Hong Kong Stock Connect or Shenzhen-Hong Kong Stock Connect respectively (collectively, “Stock Connect”). In any event where the Target Fund invests in China A-Shares, it is expected that the Target Fund will not hold more than 30% of its net assets in China A-Shares. It is not the intention of the Target Fund to invest more than 10% of its net assets in securities issued, or guaranteed, by any single sovereign (including the relevant government, public or local authority) which has a credit rating that is below investment grade (i.e. below Baa3 by Moody’s or BBB- Standard & Poor’s or Fitch). Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5

Target Market Investors who hold a long term investment view and are prepared to accept significant fluctuations in the value of their investments. Performance Benchmark MSCI AC Asia Pacific ex Japan Small Cap Index Further information on benchmarks can be obtained from monthly fund fact sheet via www.manulife.com.my Fund Manager The Fund Manager of the Feeder Fund is Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad). The Fund Manager of the Target Fund is Manulife Investment Management (Hong Kong) Limited (formerly known as Manulife Asset Management (Hong Kong) Limited). Launch Date 12 January 2015 (Fund discontinued on 10 Feb 2021) Fees & Charges Fund Management Charge 1.50% per annum of the Net Asset Value Fund Performance Notice: Past performance of the fund is not an indication of its future performance Year Actual Performance Benchmark 2015 -0.35%* 14.85% 2016 -1.61% 5.20% 2017 26.01% 19.56% 2018 -21.63% -16.16% 2019 6.89% 9.44% 2020 24.07% 23.90% *Fund Performance is from fund launch date until year end of the same year Source: Bloomberg This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan. Risks Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management The risk management strategies and techniques employed will be at the Target Fund level. The management company of the Target Fund will implement a risk management process which enables it to monitor and measure at any time, the risk of its investment positions and their contribution to the overall risk profile. It shall cover the global exposure of the Target Fund on general and specific market risks, the counterparty risks, as well as the concentration risk associated with all positions.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 21 Manulife Emerging Eastern Europe Fund Features of Fund Investment Objective Manulife Emerging Eastern Europe Fund aims to achieve capital growth through investing at least 70% of its net assets in equity and equity related securities which are listed or traded on the stock exchanges of Central and Eastern European countries, including, without limitation, those in Austria, Bulgaria, Croatia, Czech Republic, Estonia, Greece, Hungary, Latvia, Lithuania, Poland, Romania, Russia, Slovak Republic, Slovenia, and Turkey. Such equity and equity related securities include common stocks, preferred stocks and depositary receipts. It is intended that the Manulife Emerging Eastern Europe Fund is a feeder fund that invests in Manulife Global Fund-Emerging Eastern Europe A Share (“the Target Fund”).

Investment Strategy & The Target Fund’s investment in Russian securities which are traded only in Russia (other Approach than those listed or traded on regulated markets) will, at no time, represent more than 10% of the Target Fund’s net assets, and in accordance with its prospectus. While the Target Fund will invest in accordance with its investment objective and strategy, subject to applicable laws and regulations, the Target Fund is not otherwise subject to any limitation on the portion of its net assets that may be invested in any one country or sector and in issuers of any market capitalization. Hence, the Target Fund may invest more than 30% of its net assets in issuers located in any of Russia and Turkey, and due to the nature of the Target Fund’s investment portfolio, securities of small and medium sized companies may represent, at times, more than 30% of the Target Fund’s net assets. The Target Fund’s investments may be denominated in any currency.

It is not the intention of the Target Fund to investment more than 10% of its net assets in securities issued, or guaranteed, by any single sovereign (including the relevant government, public or local authority) which has a credit rating that is below investment grade (i.e. below Baa3 by Moody’s or BBB- by S&P or Fitch).

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5

Target Market The Fund is suitable for investors who seek capital appreciation over long term and are willing to accept higher level of risk. The Fund is also suitable for investors who have a long term investment horizon of at least 5 years.

Performance Benchmark MSCI Emerging Europe 10/40 Index

Further information on benchmarks can be obtained from monthly fund fact sheet via www.manulife.com.my

Fund Manager The Fund Manager for the Fund is Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad). The Fund Manager for the Target fund is Fiera Capital (UK) Limited (formerly known as Charlemagne Capital (UK) Limited).

Launch Date 12 November 2007 (Fund discontinued on 10 Feb 2021) Fees & Charges Fund Management Charge 1.50% per annum of Net Asset Value

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 22 Manulife Emerging Eastern Europe Fund (continued)

Fund Performance Notice: Past performance of the fund is not an indication of its future performance

Year Actual Performance Benchmark 2011 -22.92% -20.87% 2012 14.33% 9.15% 2013 12.11% 4.46% 2014 -27.34% -35.96% 2015 7.13% 12.81% 2016 23.99% 38.92% 2017 9.39% 1.81% 2018 -15.04% -6.38% 2019 26.71% 25.58% 2020 -4.41% -17.04%

Source: Bloomberg This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan.

Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management

The risk management strategies and techniques employed will be at the Target Fund level.

The management company of the Target Fund will implement a risk management process which enables it to monitor and measure at any time, the risk of its investment positions and their contribution to the overall risk profile. It shall cover the global exposure of the Target Fund on general and specific market risks, the counterparty risks, as well as the concentration risk associated with all positions and include, if applicable, a process for accurate and independent assessment of the value of any over-the-counter derivative instruments.

The Target Fund adopts a commitment approach for its global exposure calculation, and does not expect to leverage. The commitment approach is a methodology used to determine global risk exposure of the Target Fund, whereby financial derivative instruments (FDIs) position of the Target Fund is converted into the market value of the equivalent position in the underlying asset(s) of the FDI.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 23 Manulife China Value Fund Features of Fund Investment Objective Manulife China Value Fund (“the Fund”) is a feeder fund investing in the Manulife Investment Greater China Fund (“the Target Fund”), which aims to provide capital growth over the medium to long term by investing in larger capitalized companies in the Greater China region namely China, Hong Kong and Taiwan markets, as well as China-based companies listed on approved overseas markets1. 1 Foreign markets where the regulatory authority is an ordinary or associate member of International Organization of Securities Commissions (IOSCO).

Investment Strategy & The Target Fund invests mainly in large capitalized companies to achieve capital growth Approach over the medium to long-term. The Target Fund focuses on the Greater China region, namely China, Hong Kong and Taiwan markets, as well as China-based companies (companies that derive more than 50% of assets and/or earnings from China) listed on approved overseas markets1.

The Target Fund may also invest in collective investment schemes as well as unlisted equities with attractive potential returns, particularly companies that are seeking a listing within one year.

The Target Fund Manager focuses on large capitalised companies with exceptional growth and visible earnings prospects and/or companies which are undervalued relative to their assess true values and/or net asset backing. The Target Fund Manager also emphasises on companies with good management, strong niche and those that are leaders with a dominant market share in their respective countries. In addition, any active and frequent trading strategy will depend on investment opportunities.

Asset Allocation Tactical Range (% of Fund’s NAV) Type of Asset Minimum (%) Maximum (%) Target Fund 95 100 Cash 0 5

Performance Benchmark MSCI Golden Dragon Index (effective 17 November 2017). Further information on the benchmark can be obtained from monthly fund fact sheet via www.manulife.com.my

Fund Manager The Fund Manager for the Fund is Manulife Investment Management (M) Berhad (formerly known as Manulife Asset Management Services Berhad). MIMMB is also the Manager for the Target Fund, and has appointed Manulife Investment Management (Hong Kong) Limited (formerly known as Manulife Asset Management (Hong Kong) Limited) as the Fund Manager for the Target Fund.

Launch Date 12 November 2007 Fees & Charges

Fund Management Charge 1.50% per annum of Net Asset Value

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 24 Manulife China Value Fund (continued)

Fund Performance

Notice: Past performance of the fund is not an indication of its future performance

Year Actual Performance Benchmark* 2011 -16.65% -18.05% 2012 5.53% 15.03% 2013 15.75% 11.30% 2014 12.06% 11.80% 2015 13.47% 10.60% 2016 -0.90% 7.10% 2017 18.81% 21.39% 2018 -14.96% -15.06% 2019 18.87% 19.42% 2020 33.70% 23.42%

*Prior to 17 November 2017, the benchmark was FTSE All World Greater China Index. Source: Lipper IM and Manulife Investment Management (M) Berhad

This is strictly based on the performance of the investment-linked fund and not the returns earned on the actual premiums paid of the investment-linked plan. Risks

Please refer to the Appendix for the risks involved and the risk descriptions. Risk Management The risk management strategies and techniques employed will be at the Target Fund level. Risks faced by the Target Fund are managed by employing asset allocation, liquidity management and diversification strategies. The Target Fund’s fund manager may reduce equity exposures when a severe downturn in the equity markets is expected and liquidity risks are high. Investments of the Target Fund are monitored closely to ensure potential returns are maximized in spite of political risk, regulatory risk, foreign exchange risk and liquidity risk as a result of foreign market investments. The Target Fund focuses on markets where the prospects are promising and where political and regulatory risks are anticipated to be within acceptable levels.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 25 Other Information

1. Basis & Frequency of Unit Valuation

Under normal circumstances, the valuation of the assets of the Fund shall be made daily to determine the Net Asset Value. However, Manulife Insurance Berhad (“the Company”) may value the Fund less frequently due to circumstances that make it impossible to value the Fund daily, including but not limited to temporary trading suspension of the exchanges, in which the Fund are invested. In any event, the Fund shall be valued at least once a week. Whenever appropriate, the Company may seek the services of external persons and/or firms to obtain the valuation of the Fund’s assets, and shall comply with the applicable laws and practices.

The value of the Funds shall be equal to the following: (a) the fair market value of all the Fund’s assets at the close of the business day immediately preceding the Valuation Date, or where appropriate, such value as determined by the Company at its absolute discretion, or where necessary after considering advice from external consultants; LESS (b) the amount which the Company shall determine to be the Liabilities of the Funds on the Business Day immediately preceding the Valuation Date; LESS (c) Fund Management Charge (evenly distributed throughout the year).

To recoup the transaction costs of acquiring and disposing of assets, the Company will impose a dilution fee or transaction cost which is due at the same time payment is made for the sale and repurchase of units. The dilution fee or transaction cost charged will be allocated back to the unit fund.

For the Net Asset Value per unit of each Investment-linked Fund, please visit www.manulife.com.my. In addition, this is also being published on Berita Harian and New Straits Times on the last business day of every quarter.

2. Basis of Calculation of Past Performances

Net Asset Value for Year n Past Performance = _ 1 × 100% ( Net Asset Value for Year n _ 1 )

3. Exceptional Circumstances

In the event of circumstances beyond the Company’s control, such as stock market volatility or lack of liquidity or temporary trading suspension, or other events that the Company considers cancellation of units to be detrimental to the interests of policy owners as a whole, the payment of benefits from the policy (other than Death Benefit and Disability Benefit) may be deferred for a period not exceeding six (6) months from the date the payment would have taken place under normal circumstances. In the event of exceptional circumstances, such as high volume of sales of investment in a short period of time, the Company reserves the right to defer or suspend the issuance or redemption of units. The Company also reserves the right to split or combine existing units or make any changes that may be required due to legislation and regulatory requirements.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 26 Appendix - Risk:

The table sets out the risks of investing in each of the funds. Do note that this list is not exhaustive.

Type of Risk Income Fund Income Managed Fund Manulife Dividend Fund Equity Fund Dana Ekuiti Dinamik Manulife Flexi Invest Fund Manulife Progress Fund Manulife Asian Small Cap Growth Fund Manulife Asia - Fund REIT Pacific Manulife China Value Fund Manulife Emerging Eastern Europe Fund Manulife Global Equity Fund

A. General Risk

1. Market Risk 3 3 3 3 3 3 3 3 3 3 3 3 2. Manager’s Risk 3 3 3 3 3 3 3 3 3 3 3 3 3. Liquidity Risk 3 3 3 3 3 3 3 3 3 3 3 3

B. Specific Risks associated with the Fund

1. Credit and Default Risk 3 3 3 3 2. Interest Rate Risk 3 3 3 3 3. Country Risk 3 3 3 3 3 3 3 4. Currency Risk 3 3 3 3 3 3 3 5. Stock Specific Risk 3 3 3 3 3 3 3 3 6. Small-to-Medium -Size Companies Risk 3 3 3 7. Derivatives Risk 3 3 3 3 8. Reclassification of Shariah Status Risk 3

C. Specific Risks associated with the Target Fund

1. Emerging Markets Risk 3 3 3 2. Natural Resources Sector Risk 3 3 3. Mainland China Investment Risks 3 4. Mainland China Tax Risk 3 5. Risks Associated with Investments 3 via Stock Connect 6. Risks Associated with Investments in REITs 3 7. Equity Securities Risk 3 8. Derivatives Risk 3 9. Over-The-Counter Derivatives Counterparty Risk 3 10. Smaller Capitalization Risk 3 11. Turnover Risk 3

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 27 General Risks

1 Market Risk Market risk refers to the possibility that an investment will lose its value because of a general decline in financial markets, due to economic, political and/or other factors, which will result in a decline in the Funds’ Net Asset Value.

2 Manager’s Risk This risk refers to the day-to-day management of the Funds by the Manager which will impact the performance of the Funds. For example, investment decisions undertaken by the Manager as a result of an incorrect view of the market or any non-compliance with internal policies, investment mandate, the deed, relevant law or guidelines due to factors such as human error or weaknesses in operational process and systems, may adversely affect the performance of the Funds.

For Fund that may invest into collective investment schemes (CIS), the Fund Manager has no control over the investment techniques and knowledge, operational controls and management of the CIS which feeds into another CIS (“Target CIS”) managed by another party. In the event of mismanagement of the Target CIS, the Fund’s NAV would be affected negatively. Should such a situation arise, the Fund Manager will seek for another Target CIS.

3 Liquidity Risk Liquidity risk refers to the ease of liquidating an asset depending on the asset’s volume traded in the market. If the Fund holds assets that are illiquid, or are difficult to dispose of, the value of the Fund will be negatively affected when it has to sell such assets at unfavourable prices.

For the respective Target Fund of Manulife Asian Small Cap Growth Fund and Manulife Emerging Eastern Europe Fund, the trading volume on some of the markets through which the Target Fund may invest may be substantially less than that in the world’s leading stock markets. Accordingly, the accumulation and disposal of holdings in some investments may be time-consuming and may need to be conducted at unfavourable prices. Liquidity may also be less and volatility of prices greater than in the leading markets as a result of a high degree of concentration of market capitalization and trading volume in a small number of companies.

The Target Fund may invest in companies which are less well established in their early stages of development. These companies may often experience significant price volatility and potential lack of liquidity due to the low trading volume of their securities.

The absence of adequate liquidity may also arise when a particular security is difficult to sell at the desired moment during particular periods or in particular market conditions. In a down market, higher-risk securities and derivatives could become harder to value or sell at a fair price. Liquidity risk tends to compound other risks. For example, if the Target Fund has a position in an illiquid asset, its limited ability to liquidate that position at short notice will compound its market risk.

Where the Target Fund focuses on a specific geographic region, or market/industry sector, it may be subject to greater concentration risks than funds which have broadly diversified investments.

As such, investors should note that investment in the Target Fund is not a bank deposit and is not insured or guaranteed by any deposit insurance or government agency. Prices may fall in value as rapidly as they may rise and it may not always be possible to dispose of such securities during such falls.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 28 Specific Risks associated with the Fund

1 Credit and Default Risk Credit risk relates to the creditworthiness of the issuers of the fixed income instruments and their expected ability to make timely payment of interest/ profit and/or principal. Any adverse situations faced by the issuer may impact the value as well as liquidity of the fixed income instrument. In the case of rated debt instruments, this may lead to a credit downgrade. Default risk relates to the risk that an issuer of a fixed income instrument either defaulting on payments or failing to make payments in a timely manner which will in turn adversely affect the value of the fixed income instruments. This could adversely affect the value of the Funds. Such risk could be mitigated through vigorous credit analysis and having regular updates on the business profile and the financial position of the issuer or counterparty of the fixed income instruments.

2 Interest Rate Risk Interest rate risk refers to the impact of interest rate changes on the valuation of fixed income instruments. When interest rates rise, fixed income instruments prices generally decline and this may lower the market value of the Fund’s investment in fixed income instruments. The reverse may apply when interest rates fall. In order to mitigate interest rate risk, the Fund Manager will need to manage the fixed income portfolio taking into account the coupon rate and time to maturity of the fixed income instruments. The rates for deposits are normally fixed during the specific and agreed tenure. Hence, any changes in the prevailing level of interest rates will not impact the earlier deposit rates that have been agreed between the Fund Manager and the financial institutions. However, in the event of rising interest rates, the Fund will lose the opportunity to earn higher interest during the specific tenure. The above interest rate is a general economic indicator that will have an impact on the management of the Funds regardless of whether it is Shariah-compliant. It does not in any way suggest that an Islamic Fund will invest in conventional financial instruments. All the investments carried out for the Islamic Funds are in accordance with Shariah requirements.

3 Country Risk Investments of the Funds in any country may be affected by changes in the economic and political climate, restriction on currency repatriation or other developments in the law or regulations of the countries in which the Funds invest in. For example, the deteriorating economic condition of such countries may adversely affect the value of the investments undertaken by the Funds in those affected countries. This in turn may cause the NAV of the Funds or prices of Units to fall.

4 Currency Risk As the investments of the Fund may be denominated in currencies other than Ringgit Malaysia (RM), any fluctuation in the exchange rate between the RM and the currencies in which the investments are denominated may have an impact on the value of these investments. Investors should be aware that if the currencies in which the investments are denominated depreciate against the RM, this will have an adverse effect on the NAV of the Fund in RM and vice versa. Investors should note that any gains or losses arising from the fluctuation in the exchange rate may further increase or decrease the returns of the investment. Hedging may be applied to mitigate the currency risk. However, investors are unable to enjoy upside from any currency appreciation. For the respective Target Fund of Manulife Asian Small Cap Growth Fund and Manulife Emerging Eastern Europe Fund, the Target Fund’s assets may be invested primarily in securities denominated in currencies other than its relevant currency of account and any income or realization proceeds received by the Target Fund from these investments will be received in those currencies, some of which may fall in value against the currency of account. The Target Fund will compute its net asset value and make any distributions in the relevant currency of account and there is, therefore, a currency exchange risk, which may affect the value of the shares to the extent that the Target Fund makes such investments, as a result of fluctuations in exchange rates between the currency of account of the relevant Target Fund and any other currency. In addition, foreign exchange control in any country may cause difficulties in the repatriation of funds from such countries.

5 Stock Specific Risk Prices of a particular stock may fluctuate in response to the circumstances affecting individual companies such as adverse financial performance, news of a possible merger or loss of key personnel of a company. Any adverse price movements of such stock will adversely affect the Fund’s NAV.

6 Small-to-Medium-Size The Fund may be exposed to the risk of investing in small and medium market Companies Risk capitalisation companies. Generally, the smaller the market capitalisation of a company, the less liquid are its shares being traded. Such companies’ stocks are also usually more volatile than their larger counterparts, and hence more risky. The risk is managed through carefully selecting and diversifying investments within the Funds’ portfolio. For the respective Target Fund of Manulife Asian Small Cap Growth Fund and Manulife Emerging Eastern Europe Fund, the Target Fund may invest in, but is not restricted to, the securities of small and medium sized companies in the relevant markets. This can involve greater risk than is customarily associated with investment in larger and more established companies. In particular, smaller companies often have limited product lines, markets or financial resources, with less research information available about the company, and their management may be dependent on a few key individuals.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 29 Specific Risks associated with the Fund (continued)

7 Derivatives Risk The Fund Manager may use derivatives such as futures and options, to hedge against adverse movements in currency exchange rates. This involves special risks, including but not limited to: • the risk of loss from default by the counterparty, typically as a consequence of insolvency or failed settlement; and • the risk of the supply and demand factors in the derivatives market and in other related markets impacting the liquidity of the derivatives market adversely, which in turn would adversely affect derivatives pricing and the Fund.

The Fund Manager will only enter into hedging transactions where the counterparty is a financial institution with minimum long-term credit rating by any domestic or global rating agency which indicates strong capacity for timely payment of financial obligations. In the event were the counterparty or issuer’s rating falls below the minimum required or it ceases to be rated, the Fund Manager will liquidate its position within 6 months or sooner, unless the Trustee considers it to be in the best interest of investors to do otherwise.

To mitigate these risks, all investment in derivatives will be closely monitored or efforts will be taken to unwind such positions if there is material adverse change to an issuer.

8 Reclassification of Shariah This is the risk that the currently held Shariah-compliant securities in the portfolio of Status Risk Islamic Funds may be reclassified to be Shariah non-compliant in the periodic review of the securities by the Shariah Advisory Council of the Securities Commission Malaysia, the Shariah Adviser or the Shariah boards of the relevant Islamic indices. If this occurs, the Fund Manager will take the necessary steps to dispose of such securities. There may be opportunity loss to the Funds due to the Funds not being allowed to retain the excess capital gains derived from the disposal of the Shariah non-compliant securities. The value of the Funds may also be adversely affected in the event of a disposal of Shariah non-compliant securities at a price lower than the investment cost.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 30 Specific Risks associated with the Target Fund

1 Emerging Markets Risk Investors should note that the portfolio of Target Funds may be invested in what are commonly referred to as emerging economies or markets, where special risks (including higher stock price volatility, lower liquidity of stocks, political and social uncertainties, and currency risks) may be substantially higher than the risks normally associated with the world’s mature economies or major stock markets. Further, certain emerging economies are exposed to the risks of high inflation and interest rates, large amount of external debt; and such factors may affect the overall economy stability.

In respect of certain emerging economies or markets in which the Target Funds may invest, the Target Funds may be exposed to higher risks than in developed economies or markets, in particular for the acts or omissions of its service providers, agents, correspondents or delegates as a result of the protection against liquidation, bankruptcy or insolvency of such persons. Information collected and received from such service providers, agents, correspondents or delegates may be less reliable than similar information on agents, correspondents or delegates in more developed economies or markets where reporting standards and requirements may be more stringent.

Investors should note that accounting, auditing and financial reporting standards, practices and disclosure requirements applicable to some companies in the emerging economies or markets in which the Target Funds may invest may differ from countries with more developed financial markets, and less information may be available to investors, which may also be out of date.

The value of a Target Fund’s assets may be affected by uncertainties such as changes in government policies, taxation legislation, currency repatriation restrictions and other developments in politics, law or regulations of the emerging economies or markets in which the Target Fund may invest and, in particular, by changes in legislation relating to the level of foreign ownership in the companies in these economies or markets, possible nationalization of their industries, expropriation of assets and confiscatory taxation.

2 Natural Resources The Target Funds may carry a much greater risk of adverse developments than a fund that Sector Risk invests in a wider variety of industries. The securities of companies in the natural resources sector may experience more price volatility than securities of companies in other industries. Some of the commodities used as raw materials or produced by these companies are subject to broad price fluctuations as a result of industry wide supply and demand factors. As a result, companies in the natural resources sector often have limited pricing power over supplies or for the products that they sell which can affect their profitability. Concentration in the securities of companies with substantial natural resources assets will expose the Target Fund to price movements of natural resources to a greater extent than a more broadly diversified mutual fund. There is a risk that the Target Funds will perform poorly during an economic downturn or a slump in demand for natural resources.

3 Mainland China Investing in the securities markets in Mainland China is subject to the risks of investing in Investment Risk emerging markets generally as well as to specific risks relating to the Mainland China market.

Investors should note that the legal system and regulatory framework of Mainland China are still developing, making it more difficult to obtain and/or enforce judgments and such could limit the legal protection available to investors. Military conflicts, either internal or with other countries, are also a risk. In addition, currency fluctuations, currency convertibility and fluctuations in inflation and interest rates have had, and may continue to have, negative effects on the economy and securities markets of Mainland China. Mainland China’s economic growth has historically been driven in a large degree by exports to the U.S. and other major export markets. Therefore, a slow-down in the global economy may have a negative impact on the continued growth of the Chinese economy.

For further information on Mainland China Investment Risk, please refer to the Target Fund’s latest prospectus available in www.manulifefunds.com.hk

4 Mainland China Tax Risk Please refer to the Target Fund’s latest prospectus available in www.manulifefunds.com.hk for general information relating to Mainland China Tax Risk.

The Fund Manager of the Target Fund does not currently make any tax provision in respect of any potential PRC withholding income tax, enterprise income tax, value-added tax and surtaxes; however, the Fund Manager reserves the right to do so when it thinks appropriate. The amount of any such tax provision will be disclosed in the accounts of the Target Fund.

The tax laws, regulations and practice in Mainland China are constantly changing, and they may be changed with retrospective effect. In this connection, the Target Fund may be subject to additional taxation that is not anticipated as at the date hereof or when the relevant investments are made, valued or disposed of. The income from and/or the value of the relevant investments in the Target Fund may be reduced by any of those changes.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 31 Specific Risks associated with the Target Fund (continued)

5 Risks Associated with The Target Fund may also seek to implement its investment program through investing in Investments via the SSE or the SZSE via the Hong Kong Exchanges and Clearing Limited (“HKEx”). Under Stock Connect the “northbound trading link” of Shanghai-Hong Kong Stock Connect or Shenzhen-Hong Kong Stock Connect respectively, Hong Kong and international investors (including the Target Fund) are able to trade certain eligible SSE-listed stocks (the “SSE Securities”) or SZSE-listed stocks (the “SZSE Securities”) (the list of eligible securities being subject to review from time to time) through Hong Kong brokers, who route the transactions through the HKEx to the SSE or the SZSE, as the case may be. For each of Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect, investors are able to trade China A-Shares subject to a daily maximum of RMB13 billion.

Investment in Stock Connect securities is subject to various risks associated with the legal and technical framework of Stock Connect.

Investors should note that Stock Connect is a pilot program and the two-way stock trading link between the Stock Exchange of Hong Kong Limited (“SEHK”) and the SSE or the SZSE is relatively new. The application and interpretation of the relevant regulations are therefore relatively untested and there is no certainty as to how they will be applied. The current Stock Connect regulations are subject to change, which may take retrospective effect. In addition, there can be no assurance that the Stock Connect regulations will not be abolished. Accordingly, there can be no assurance that the Target Fund will be able to obtain investment opportunities through the two-way stock trading link.

Under Stock Connect, trading in SSE Securities and SZSE Securities is subject to market rules and disclosure requirements in the PRC stock market. Any changes in laws, regulations and policies of the A-Shares market or rules in relation to Stock Connect may affect share prices.

Although certain aspects of the Stock Connect trading process are subject to Hong Kong law, PRC rules applicable to share ownership will apply. In addition, transactions using Stock Connect are neither subject to the Hong Kong Investor Compensation Fund nor the China Securities Investor Protection Fund.

Investment via Stock Connect is premised on the functioning of the operational systems of the relevant market participants. In turn, the ability of such market participants to participate in the Stock Connect is subject to meeting certain information technology capability, risk management and other requirements as may be specified by the relevant exchange and/or clearing house. Further, Stock Connect program requires routing of orders across the border. Although the SEHK and market participants endeavour to develop new information technology systems to facilitate routing of orders across the border, there is no assurance that the systems of the SEHK and market participants will function properly or will continue to be adapted to changes and developments in both the PRC and Hong Kong markets, and therefore trading via the Stock Connect could be disrupted. This may, in turn, affect the Target Fund’s ability to access the A-Share market (and hence to pursue their investment strategy).

The Target Fund, whose base currency is not RMB, may also be exposed to currency risk due to the need for the conversion into RMB for investments in SSE Securities and SZSE Securities via Stock Connect. During any such conversion, the Target Fund may also incur currency conversion costs. The currency exchange rate may be subject to fluctuation and where RMB has depreciated, the Target Fund may incur a loss when it converts the sale proceeds of SSE Securities and SZSE Securities into its base currency.

For further information on Risks Associated with Investments via Stock Connect, please refer to the Target Fund’s latest prospectus available in www.manulifefunds.com.hk

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 32 Specific Risks associated with the Target Fund (continued)

6 Risk Associated with • Property Taxes Risk Investment in REITs Any increase in property taxes law or requirement could have an adverse impact to income gained from sales of any property. This risk is mitigated by diversifying the portfolio across various property sub-segments and lessened further by investments in multiple countries to minimise concentration in any single market or economy.

• Rental Risk Any material changes in the regulatory limits on rent could have an adverse impact on the rental income which may reduce dividend payout. This risk is mitigated by investing in a wide range of property sub-segments across different countries in the permissible region of investments. A close monitoring of rental rates via channel checks by the Fund Manager is regularly required to ensure timely portfolio decision-making.

• REIT Management Risk REIT’s performance depends, in part, upon the continued service and performance of REIT’s manager. For example, the key personnel of REIT’s manager may leave the employment and affect results in the duties which such personnel are responsible for. The loss of key personnel, or the inability of the relevant businesses REIT’s manager to retain or replace qualified employees, could have a n adverse effect on its operating results, affect its ability to generate cash and make distributions to the REIT’s investors. The REIT’s performance will have an impact on the investments of the Fund.

7 Equity Securities Risk The value of underlying equity investments of the Target Fund may fluctuate, sometimes dramatically, in response to the activities and results of individual companies or because of general market and economic conditions and changes in currency exchange rates. The value of the Target Fund’s investments may decline over short- or long-term periods.

Investments in initial public offerings (or shortly thereafter) may involve higher risks than investments issued in secondary public offerings or purchases on a secondary market due to a variety of factors, including, without limitation, the limited number of shares available for trading, unseasoned trading, lack of investor knowledge of the issuer and limited operating history of the issuer. In addition, some companies in initial public offerings are involved in relatively new industries or lines of business, which may not be widely understood by investors. Some of these companies may be undercapitalized or regarded as developmental stage companies, without revenues or operating income, or the near-term prospects of achieving them. These factors may contribute to substantial price volatility for such securities and, thus, for the value of the Target Fund’s shares.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 33 Specific Risks associated with the Target Fund (continued)

8 Derivatives Risk The Target Fund may use derivatives, which are financial contracts whose value depends on, or is derived from, the value of an underlying asset, reference rate, or index. The fund manager of the Target Fund will sometimes use derivatives as part of a strategy designed to reduce other risks. In addition to other risks such as the credit risk of the counterparty, derivatives involve the risk of difficulties in pricing and valuation and the risk that changes in the value of the derivative may not correlate perfectly with relevant underlying assets, rates, or indices. The use of derivative by the Target Fund is for hedging and efficient portfolio management only.

While the judicious use of derivatives by experienced investment advisers such as the fund manager of the Target Fund can be beneficial, derivatives also involve risks different from, and, in certain cases, greater than, the risks presented by more traditional investments. The following is a general discussion of important risk factors and issues concerning the use of derivatives. • Market Risk This is the general risk attendant to all investments that the value of a particular investment will change in a way detrimental to the portfolio’s interest. • Management Risk Derivative products are highly specialized instruments that require investment techniques and risk analyses different from those associated with stocks and bonds. The successful use of derivatives draws upon the fund manager of the Target Fund’s special skills and experience and usually depends on the fund manager of the Target Fund’s ability to forecast price movements, interest rates, or currency exchange rate movements correctly. Should prices, interest rates, or exchange rates move unexpectedly, the Target Fund may not achieve the anticipated benefits of the transactions or may realize losses and thus be in a worse position than if such strategies had not been used. The use of a derivative requires an understanding not only of the underlying instrument but also of the derivative itself, without the benefit of observing the performance of the derivative under all possible market conditions. In particular, the use and complexity of derivatives require the maintenance of adequate controls to monitor the transactions entered into, the ability to assess the risk that a derivative adds to the Target Fund and the ability to forecast price, interest rate or currency exchange rate movements correctly. • Credit Risk This is the risk that a loss may be sustained by the Target Fund as a result of the failure of another party to a derivative (usually referred to as a “counterparty”) to comply with the terms of the derivative contract. The credit risk for exchange-traded derivatives is generally less than for privately negotiated derivatives, since the clearing house, which is the issuer or counterparty to each exchange-traded derivative, provides a guarantee of performance. This guarantee is supported by a daily payment system (i.e., margin requirements) operated by the clearing house in order to reduce overall credit risk. For privately negotiated derivatives, there is no similar clearing agency guarantee. Therefore, the fund manager of the Target Fund will consider the creditworthiness of each counterparty to a privately negotiated derivative in evaluating potential credit risk. • Liquidity Risk Liquidity risk exists when a particular instrument is difficult to purchase or sell. If a derivative transaction is particularly large or if the relevant market is illiquid (as is the case with many privately negotiated derivatives), it may not be possible to initiate a transaction or liquidate a position at an advantageous price. • Leverage Risk Since warrants, options and many derivatives (to the extent utilized) have a leverage component, adverse changes in the value or level of the underlying asset, rate or index can result in a loss substantially greater than the amount invested in the warrant, option or derivative itself. In the case of swaps, the risk of loss generally is related to a notional principal amount, even if the parties have not made any initial investment. Certain derivatives have the potential for unlimited loss, regardless of the size of the initial investment. • Other Risks. Other risks in using derivatives include the risk of mispricing or improper valuation of derivatives and the inability of derivatives to correlate perfectly with underlying assets, rates and indices. Many derivatives, in particular privately negotiated derivatives, are complex and often valued subjectively. Improper valuations can result in increased cash payment requirements to counterparties or a loss of value to the portfolio concerned. Derivatives do not always perfectly or even highly correlate or track the value of the assets, rates or indices they are designed to track. Consequently, the Target Fund’s use of derivatives may not always be an effective means of, and sometimes could be counterproductive to, furthering the Target Fund’s investment objective.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 34 Specific Risks associated with the Target Fund (continued)

9 Over-The-Counter Derivatives In addition to the general risks of derivatives discussed above, transactions in the over-the- Counterparty Risk counter (OTC) derivatives markets may involve the following particular risks. • Absence of regulation; counterparty default In general, there is less governmental regulation and supervision of transactions in the OTC markets (in which currencies, forward, spot and option contracts, credit default swaps, total return swaps and certain options on currencies are generally traded) than of transactions entered into on organised exchanges. In addition, many of the protections afforded to participants on some organised exchanges, such as the performance guarantee of an exchange clearing house, may not be available in connection with OTC transactions. Therefore, any portfolio entering into OTC transactions will be subject to the risk that its direct counterparty will not perform its obligations under the transactions and that the portfolio will sustain losses. The Target Fund will only enter into transactions with counterparties which it believes to be creditworthy, and may reduce the exposure incurred in connection with such transactions through the receipt of letters of credit or collateral from certain counterparties. Regardless of the measures the Target Fund may seek to implement to reduce counterparty credit risk, however, there can be no assurance that a counterparty will not default or that the Target Fund will not sustain losses as a result. • Liquidity; requirement to perform From time to time, the counterparties with which the Target Fund effects transactions might cease making markets or quoting prices in certain of the instruments. In such instances, the Target Fund might be unable to enter into a desired transaction in currencies, credit default swaps or total return swaps or to enter into an offsetting transaction with respect to an open position, which might adversely affect its performance. Further, in contrast to exchange‑traded instruments, forward, spot and option contracts on currencies do not provide the fund manager of the Target Fund with the possibility to offset the Target Fund’s obligations through an equal and opposite transaction. For this reason, in entering into forward, spot or options contracts, the Target Fund may be required, and must be able, to perform its obligations under the contracts. • Necessity for counterparty trading relationships As noted above, participants in the OTC market typically enter into transactions only with those counterparties which they believe to be sufficiently creditworthy, unless the counterparty provides margin, collateral, letters of credit or other credit enhancements. While the Target Fund and the fund manager of the Target Fund believe that the Target Fund will be able to establish multiple counterparty business relationships to permit the Target Fund to effect transactions in the OTC market and other counterparty markets (including credit default swaps, total return swaps and other swaps market as applicable), there can be no assurance that it will be able to do so. An inability to establish or maintain such relationships would potentially increase the Target Fund’s counterparty credit risk, limit its operations and could require the Target Fund to cease investment operations or conduct a substantial portion of such operations in the futures markets. Moreover, the counterparties with which the Target Fund expects to establish such relationships will not be obligated to maintain the credit lines extended to the Target Fund, and such counterparties could decide to reduce or terminate such credit lines at their discretion.

10 Smaller Capitalization Risk The Target Fund may invest in securities of companies with relatively small market capitalizations. Securities of these smaller capitalization companies may be subject to more abrupt or erratic market movements than the securities of larger, more established companies, both because the securities are typically traded in lower volume and because the companies are subject to greater business risk. Also, in certain emerging market countries, volatility may be heightened by actions of a few major investors. For example, substantial increases or decreases in cash flows of mutual funds investing in these markets could significantly affect local stock prices and, therefore, share prices of a portfolio.

11 Turnover Risk The Target Fund may be actively managed and, in some cases in response to market conditions, the Target Fund’s turnover may exceed 100%. A higher rate of portfolio turnover increases brokerage and other expenses, which must be borne by a portfolio and its shareholders. High portfolio turnover also may result in the realization of substantial net short term capital gains, which, when distributed, may be taxable to shareholders. In addition, the Target Fund may experience relatively higher turnover attributable to investors in a particular country where such portfolio is available for purchase. This activity may adversely affect the Target Fund’s performance and the interests of long-term investors. Volatility resulting from excessive purchases and redemptions or exchanges of shares, especially involving large dollar amounts, may disrupt efficient portfolio management. In particular, the Target Fund may have difficulty implementing long-term investment strategies if it is unable to anticipate what portion of assets it should retain in cash to provide liquidity to shareholders. Also, excessive purchases and redemptions or exchanges of shares may force the Target Fund to maintain a disadvantageously large cash position to accommodate short duration trading activity. Further, excessive purchases and redemptions or exchanges of the Target Fund’s shares may force the Target Fund to sell portfolio securities at inopportune times to raise cash to accommodate short duration trading activity. Additionally, portfolios may incur increased expenses if one or more shareholders engage in excessive purchase and redemption or exchange activity. For example, the Target Fund is forced to liquidate investments due to short duration trading activity may incur increased brokerage and tax costs without attaining any investment advantage. Similarly, the Target Fund may bear increased administrative costs as a result of the asset level and investment volatility that accompanies patterns of short duration trading activity.

The list of risks as shown above is not exhaustive for potential investors’ considerations before investing in the Fund. Potential investors should be aware that an investment in the Fund may be exposed to other risks of exceptional nature from time to time.

MANULIFE INVESTMENT-LINKED FUND FACT SHEET BOOKLET 35 Manulife Insurance Berhad (200801013654 (814942-M)) 16th Floor, Menara Manulife, 6, Jalan Gelenggang, Damansara Heights, 50490 Kuala Lumpur Tel: 03 - 2719 9228 / 2719 9112 Fax: 03 - 2092 2960 07/2021