# JOHN HANCOCK DISTRIBUTORS LLC X-17A-5 (2021-02-26) — Broker-dealer annual report - Company: JOHN HANCOCK DISTRIBUTORS LLC - Form: X-17A-5 - Filed: 2021-02-26 - Period: 2020-12-31 - Accession: 0000061916-21-000002 - CIK: 61916 - File #: 8-15826 - Material weakness: No - Auditor: Ernst & Young LLP - Auditor location: Boston, MA - Contact: Julia Delimarska - Phone: 14165403278 - Email: jlong@jhancock.com - Website: jhancock.com - Signed by: Jeffrey Long (Chief Financial Officer) Original filing: https://www.sec.gov/Archives/edgar/data/61916/000006191621000002/jhd-auditedfinancials1.pdf --- {0}------------------------------------------------ ### FINANCIAL STATEMENTS AND SUPPLEMENTAL INFORMATION John Hancock Distributors, LLC Year Ended December 31, 2020 With Report of Independent Registered Public Accounting Firm {1}------------------------------------------------ ![](_page_1_Picture_0.jpeg) ![](_page_1_Picture_1.jpeg) ## FORM X-17A-5 PART III JHD - to sign.pdf #### DocVerify ID: E8193C79-0C14-496C-97F2-B306DB8ADD50 February 25, 2021 08:43:16 -5:00 Created: Pages: Yes / State: FL Remote Notary: 2 This document is a DocVerify VeriVaulted protected version of the document named above. It was created by a notary or on the behalf of a notary, and it is also a DocVerify E-Sign document was created for the purposes of Electronic Signatures andor Electronic Notary. Tampered or altered documents can be easily verified and validated with the Dockerify veriCheck system. This remote online notarization involved the use of communication technology. Go to www.docverify.com at any time to verify or validate the authenticity and integrity of this or any other Document. #### E-Signature Summary #### E-Signature 1: Jeffrey Long (JL) February 25, 2021 13:41:41 -5:00 [477B0241CFC3] [ 165.225.9.92] jlong@jhancock.com (Principal) (ID Verified) #### E-Signature Notary: David Peter Baghdassarian (DPB) February 25, 2021 13:41:41 -5:00 [FAB21A6AB659] [70.253.71.127] david.b@klgates.com I, David Peter Baghdassarian, did witness the participants named above electronically sign this document. ![](_page_1_Picture_15.jpeg) DocVerify documents cannot be altered or anpered with in any way once they are protected by the Dystem. Best viewed with Adobe Reader or Adobe Acrobat. Al visible electronic signalires contained in this coresentations of the persons signature, and not interced to be an acuration of the persons actual signature as defined by various Acts and/or Laws. {2}------------------------------------------------ #### UNITEDSTATES SECURITIES ANDEXCHANGE COMMISSION Washington, D.C. 20549 OMB APPROVAL 3235-0123 OMB Number: Expires: Estimated average burden hours per response.. . . . . . . 12.00 ## ANNUAL AUDITED REPORT FORM X-17A-5 PART III | SEC FILE NUMBER | |-----------------| | 8- 15826 | FACING PAGE Information Required of Brokers and Dealers Pursuant to Section 17 of the Securities Exchange Act of 1934 and Rule 17a-5 Thereunder | REPORT FOR THE PERIOD BEGINNING 01/01/2020 | | AND ENDING 12/31/2020 | | | |-------------------------------------------------------------------------------------------|--------------------------------------------------------|-----------------------|--------------------------------|--| | | MM/DD/YY | | MM/DD/YY | | | | A. REGISTRANT IDENTIFICATION | | | | | | NAME OF BROKER-DEALER: John Hancock Distributors, LLC | | OFFICIAL USE ONLY | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use P.O. Box No.) | | | FIRM I.D. NO. | | | 200 Berkeley Street | | | | | | | (No. and Street) | | | | | Boston | MA | | 02116 | | | (City) | (State) | | (Zip Code) | | | NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORTED
Jeffrey Long | | | 617-663 4343 | | | | | | (Area Code - Telephone Number) | | | | B. ACCOUNTANT IDENTIFICATION | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose opinion is contained in this Report* | | | | | | Ernst & Young, LLP | | | | | | | (Name - if individual, state last, first, middle name) | | | | | 200 Clarendon Street | Boston | MA | 02116 | | | (Address) | (City) | (State) | (Zip Code) | | | CHECK ONE: | | | | | | Certified Public Accountant | | | | | | Public Accountant | | | | | | Accountant not resident in United States or any of its possessions. | | | | | | | | | | | | | FOR OFFICIAL USE ONLY | | | | | | | | | | | | | | | | \*Claims for exemption from the requirement that the annual report be covered by the opinion of an independent public accountant must be supported by a statement of facts and circumstances relied on as the basis for the exemption. See Section 240.17a-5(c)(2) > Potential persons who are to respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number. SEC 1410 (11-05) ![](_page_2_Picture_12.jpeg) {3}------------------------------------------------ #### OATH OR AFFIRMATION | Jeffrey Long | , swear (or affirm) that, to the best of | | | | | | |---------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------|--|--|--|--|--| | my knowledge and belief the accompanying financial statement and supporting schedules pertaining to the firm of
John Hancock Distributors, LLC | | | | | | | | of December 31 | , 20 20 | | | | | | | neither the company nor any partner, principal officer or director has any proprietary interest in any account | | | | | | | | classified solely as that of a customer, except as follows: | | | | | | | | | | | | | | | | | | | | | | | | STATE OF FLORIDA | | | | | | | | | | | | | | | | COUNTY OF MIAMI-DADE | Jettrey Long | | | | | | | The foregoing instrument was sworn to before me by means of | Signature | | | | | | | online notarization on Feb. 25, 2021 by JEFFREY LONG in his
capacity as Chief Financial Officer, who produced MA driver's | Chief Financial Officer | | | | | | | license No. S52301423 as identification. | Title | | | | | | | | | | | | | | | | David Peter Baghdassarian | | | | | | | 10225 13:41:41 -5:00 Jry Public | Commission # HH 53180
Notary Public - State of Florida | | | | | | | This report ** contains (check all applicable boxes): | My Commission Expires Oct 17, 2024 | | | | | | | (a) Facing Page. | | | | | | | | (b) Statement of Financial Condition. | | | | | | | | (c) (c) Statement of Income (Loss) or, if there is other comprehensive income in the period(s) presented, a Statement | | | | | | | | of Comprehensive Income (as defined in §210.1-02 of Regulation S-X).
(d) Statement of Changes in Financial Condition. | | | | | | | | (e) Statement of Changes in Stockholders' Equity or Partners' or Sole Proprietors' Capital. | | | | | | | | (f) Statement of Changes in Liabilities Subordinated to Claims of Creditors. | | | | | | | | (g) Computation of Net Capital. | | | | | | | | (h) Computation for Determination of Reserve Requirements Pursuant to Rule 15c3-3. | | | | | | | | (i) Information Relating to the Possession or Control Requirements Under Rule 15c3-3. | | | | | | | | | (i) A Reconciliation, including appropriate explanation of Net Capital Under Rule 15c3-1 and the | | | | | | | Computation for Determination of the Reserve Requirements Under Exhibit A of Rule 15c3-3. | | | | | | | | (k) A Reconciliation between the audited Statements of Financial Condition with respect to methods of | | | | | | | | consolidation. | | | | | | | | (1) An Oath or Affirmation.
(m) A copy of the SIPC Supplemental Report. | | | | | | | | | (n) A report describing any material inadequacies found to have existed since the date of the previous audit. | | | | | | | ** For conditions of confidential treatment of certain portions of this filing, see section 240.17a-5(e)(3). | | | | | | | | | | | | | | | | | | | | | | | {4}------------------------------------------------ #### -- - #### - - #### # |



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81=!).0!'H9#4".%7%+#(#&F!%97"+%70-.\$,.7(%%# .0!6E17()@J1=7(*!9#44+,,+#(5555555555555555555555555555555555555555555555555555555555555555555555555555555555KK6< | | | 81=!).0!''H8%7%!4!(%-.\$,.7(%%# .0!6E19#44+,,+#(555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555555556C | | | | | | | | | | | | | | {5}------------------------------------------------ ![](_page_5_Picture_0.jpeg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`abc`d`ec`fbdga`hijkblmndbofpgiedplq`bgr`bdgsttuvwogx`be`olbwr`gif`g`ejpl`ga`dk`qpypq m`bez {6}------------------------------------------------ # JOHN HANCOCK DISTRIBUTORS, LLC STATEMENT OF FINANCIAL CONDITION ## DECEMBER 31, 2020 | Assets | | | |-------------------------------------------------------|---|------------| | Money market securities - trading (cost \$16,799,651) | | 16,799,651 | | Accounts receivable | | 2,039,681 | | Due from affiliated companies | | 3,488,371 | | Other assets | | 717,406 | | Total assets | A | 23,045,109 | | Liabilities | | | | Bank overdraft | S | 1,061,348 | | Accounts payable and accrued expenses | | 277,123 | | Due to affiliated companies | | 11,850,662 | | Deferred income taxes, net | | 42,748 | | Total liabilities | | 13,231,881 | | Member's equity | | | | Member's capital | | 6,748,309 | | Retained earnings (deficit) | | 3,064,919 | | Total Member's equity | | 9,813,228 | | Total liabilities & Member's equity | ക | 23,045,109 | {7}------------------------------------------------ # JOHN HANCOCK DISTRIBUTORS, LLC STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 2020 #### Revenues | Selling commissions | S | 291,998,909 | |-----------------------------------------------------|---|-------------| | Rule 12b-1 service fees | | 123,315,950 | | Other revenue | | 106,404 | | Total revenues | | 415,421,263 | | Expenses | | | | Selling commissions | | 108,116,203 | | Rule 12b-1 service fees | | 41,266,513 | | Marketing support expenses | | 171,272,714 | | Other selling, general, and administrative expenses | | 3,626,644 | | Total expenses | | 324,282,074 | | Income (loss) before income taxes | | 91,139,189 | | Income tax expense (benefit) | | 19,149,570 | | Net income (loss) | S | 71,989,619 | {8}------------------------------------------------ # JOHN HANCOCK DISTRIBUTORS, LLC STATEMENT OF CHANGES IN MEMBER'S EQUITY YEAR ENDED DECEMBER 31, 2020 | | Member's | | Retained | | Total Member's | |------------------------------|--------------|----|--------------|---|----------------| | | Capital | | Earnings | | Equity | | | | | (Deficit) | | | | Balance at January 1, 2020 | \$ 6,748,309 | | 3,064,919 | S | 9,813,228 | | | | | | | | | Net income (loss) | | | 71,989,619 | | 71,989,619 | | Distributions to Parent | | | (71,989,619) | | (71,989,619) | | Balance at December 31, 2020 | \$ 6,748,309 | ಳಿ | 3.064.919 | ಕ | 9.813.228 | {9}------------------------------------------------ #### JOHN HANCOCK DISTRIBUTORS, LLC #### STATEMENT OF CASH FLOWS #### YEAR ENDED DECEMBER 31, 2020 #### Operating activities | Net income | S | 71,989,619 | |--------------------------------------------------------------------------------------|---|--------------| | Adjustments to reconcile net income to net cash provided by operating
activities: | | | | Net (subscriptions) redemptions of money market securities | | 350,011 | | Change in operating assets and liabilities: | | | | Deferred income taxes | | 42,594 | | Accounts receivable | | (758,828) | | Due to/from affiliated companies | | 139,313 | | Other assets | | (224,112) | | Accounts payable and accrued expenses | | (35,382) | | Commissions and distribution expenses payable | | (4,504) | | Net cash provided by (used in) operating activities | | 71,498,711 | | Financing activity | | | | Distributions paid to Parent | | (71,989,619) | | Net cash provided by (used in) financing activities | | (71,989,619) | | | | | | Net increase (decrease) in cash | | (490,908) | | Bank overdraft at beginning of year | | (570,440) | | Bank overdraft at end of year | S | (1,061,348) | {10}------------------------------------------------ #### -- - - - #### -! 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The Company classifies its money market securities as trading securities and records these securities at fair value. The change in fair value related to trading securities is included in other revenue in the Statement of Operations. These securities include investments in money market registered investment companies. Fair Value Measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction (not a forced liquidation or distressed sale) between market participants at the measurement date: that is, an exit value. The Company categorizes its fair value measurements according to a three-level hierarchy. The hierarchy prioritizes the inputs used by the Company's valuation techniques. A level is assigned to each fair value measurement based on the lowest level input significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are defined as follows: - · Level 1 Fair value measurements that reflect unadjusted, quoted prices in active markets for identical assets that the Company has the ability to access at the measurement date. - · Level 2 Fair value measurements using inputs other than quoted prices included within Level 1 that are observable for the asset, either directly or indirectly. - · Level 3 Fair value measurements using significant non-market observable inputs. These include valuations for assets that are derived using data, some or all of which is not market observable data, including assumptions about risk. Money market securities are classified within Level 1 of the fair value hierarchy and based on quoted market prices. Additionally, there were no transfers into or out of Level 1, Level 2, or Level 3 during the year ended December 31, 2020. Revenue Recognition. Selling commissions are comprised of underwriting, Contingent Deferred Sales Charges ("CDSC"), and distribution fees. These fees are derived principally from the sale of variable life insurance products, trail commissions earned from variable annuity products, retirement plan services, and 529 plans issued by JHUSA and JHNY. The revenue is recorded during the period in which underwriting and distribution services are performed. Underwriting and distribution fees are collected monthly. CDSC commissions are recognized as income when received. Fees earned pursuant to Rule 12b-1 distribution plans are recorded in the period in which the service is rendered. Other revenue includes interest income which is recognized on an accrual basis. Income Taxes. The provision for federal income taxes includes amounts currently payable or recoverable and deferred income taxes, computed under the liability method, resulting from temporary differences between the tax and financial statement bases of assets and liabilities. A valuation allowance is established for deferred tax assets when it is more likely than not that an amount will not be realized. In accordance with the income tax sharing agreement in effect for the applicable tax year, the income tax provision (or benefit) is computed as if each entity filed a separate federal income tax return with tax benefits provided for operating losses and tax credits {12}------------------------------------------------ when utilized and settled by the consolidated group. Intercompany settlements of income taxes are made through an increase or reduction to due from affiliated companies. Such settlements occur on a periodic basis in accordance with the tax sharing agreements. #### Current Adoption of Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), which replaces the existing incurred loss impairment guidance and revises the assessment of expected credit losses for financial assets carried at amortized cost, including trade and other receivables, loans and commitments, and other financial assets. The standard requires entities to estimate potential credit losses that may be incurred over the life of the assets, as opposed to recognizing a loss at the time it is incurred. The Company has adopted this standard as of January 1, 2020 and performed an assessment to determine whether adoption resulted in recognition of credit impairment. After reviewing all instruments included from the current expected credit losses (CECL) model and considering the nature of the assets in scope (i.e. receivable type, frequency in which they are collected), the Company determined there was no indication of current expected credit losses and there was no recognition of impairment as a result of adoption. #### Note 3 - Related Party Transactions Management believes the allocation methods used are reasonable and appropriate in the circumstances; however, the Company's Statement of Financial Condition and Statement of Operations may not necessarily be indicative of the financial condition and results that would have existed if the Company operated as an unaffiliated entity. Underwriting and Distribution Fees. The Company receives underwriting and distribution fees and pays distribution expenses to JHUSA and JHNY related to variable annuities, retirement plan services and variable life insurance products. The total amount of fees recognized and incurred to related parties was \$ 275,460,400 for the year ended December 31, 2020, which are included in selling commissions revenue on the Statement of Operations. Rule 12b-1 Distribution Plans. Products sold by JHUSA and JHNY invest their separate account assets in registered investment companies (the "Funds") managed by John Hancock Variable Trust Advisers LLC and John Hancock Investment Management LLC (which are affiliated companies). The Company receives payments from Rule 12b-1 distribution plans adopted by certain Funds pursuant to Rule 12b-1 of the Investment Company Act of 1940, as amended. Under the terms of the distribution plans, each Fund makes payments (fees earned pursuant to Rule 12b-1 distribution plans) which will not exceed the lesser of a set percentage of each Fund's average daily net assets on an annual basis or the pro rata share of the Company's costs of distribution incurred on behalf of each Fund. The Company also earns Rule 12b-1 distribution fees for distributing certain funds for John Hancock Investment Management Distributors LLC, an affiliated company, which amounted to \$ 20,793,851 for the year ended December 31, 2020. These fees are included in Rule 12b-1 service fees revenue in the Statement of Operations. These plans are subject to annual review and approval by the independent trustees of each of the Funds. {13}------------------------------------------------ The Company subcontracts the shareholder servicing for the retirement plan assets to JHUSA and recognized fees of \$24,327,426 for these services for the year ended December 31, 2020, which are included in Rule 12b-1 service fees expense in the Statement of Operations. Amounts payable to JHUSA were \$39,821 at December 31, 2020. Service Agreements. JHUSA and JHNY pay all selling and administrative costs and certain other expenses as mutually agreed upon and are reimbursed by the Company. Reimbursed amounts included in other selling, general and administrative expenses amounted to \$3,556,013 for the year ended December 31, 2020. Other Related Party Matters. For the year ended December 31, 2020, the Company declared distributions of \$71,989,619 to JHUSA and had related amounts payable to JHUSA of \$6,852,160 at December 31, 2020. Total amount Due to affiliated companies amounts to \$ 11,850,662 at December 31, 2020. #### Note 4 - Income Taxes The Company is included in the consolidated federal income tax return of JHFC. The components of income taxes for year ended December 31, 2020 were as follows: | Current taxes | | | |------------------------------------|---|------------| | Federal | S | 19,093,890 | | State | | 13,090 | | Total | | 19,106,980 | | | | | | Deferred taxes | | | | Federal | | 42,590 | | Total | | 42,590 | | Total income tax expense (benefit) | S | 19,149,570 | A reconciliation of income taxes at the federal income tax rate to income tax expense (benefit) charged to operations for year ended December 31, 2020 follows: | Tax at 21% | | 19,139,229 | |------------------------------------|----|------------| | Tax Reform Impact | | | | State, net of federal benefit | | 10.341 | | Total income tax expense (benefit) | မေ | 19,149,570 | {14}------------------------------------------------ Deferred income tax assets and liabilities result from tax effecting the differences between the financial statement values and income tax values of assets and liabilities at the financial condition date. For December 31, 2020, deferred tax assets and liabilities consisted of the following: | Deferred income tax liabilities: | | | | |---------------------------------------|---|----------|--| | Deferred selling commissions | | 42.748 | | | Total deferred income tax liabilities | | 42,748 | | | | | | | | Net deferred tax assets (liabilities) | S | (42,748) | | The Company has no deferred tax assets that would be subject to a valuation allowance. The IRS is auditing tax years 2016-2018. No issues have been raised. The Company has no reserves for uncertain tax positions. Any related interest and penalty expense would be recorded in Other Selling, General and Administrative Expense in the Statement of Operations. ### Note 5 - Net Capital and Regulatory Requirements As a registered broker/dealer, the Company is subject to the SEC's uniform net capital rule ("Rule 15c3-1"). Pursuant to the net capital provisions of Rule 15c3-1 of the Act, the Company is required to maintain minimum net capital, as defined. The amount of net capital and the related net capital ratio may fluctuate on a daily basis. Also according to Rule 15c3-1, the Company is prohibited from withdrawing equity capital if such withdrawal would cause the Company's aggregate indebtedness to net capital to exceed 10 times its net capital to fall below 120 percent of its minimum dollar requirement; or net capital to be less than 25 percent of haircuts used in calculating net capital. This limitation includes withdrawals in the form of distributions, as well as unsecured loans or advances to the member, employees, or affiliates. At December 31, 2020, the Company had net capital, as defined, of \$ 3,274,525. The minimum net capital requirement at December 31, 2020 was \$ 250,000. The Company has claimed exemption from Rule 15c3-3 of the SEC under paragraph (k)(1) of that rule. #### Note 6 - Legal Proceedings The Company is involved in certain legal proceedings which arise in the normal course of business. Management believes the outcome of pending litigation will not have a material adverse effect on the Company. {15}------------------------------------------------ The Company is inherently subject to regulatory risk in that a change in laws and regulations could impact aspects of the Company's business. A change in laws or regulations effected by the Securities and Exchange Commission or FINRA may increase operating costs, reduce the attractiveness of certain investments, and/or change the competitive landscape. ### Note 7 - Subsequent Events The Company evaluated the recognition and disclosure of subsequent events for its December 31, 2020 financial statements through February 25, 2021, the date on which the financial statements were issued. {16}------------------------------------------------ Supplemental Information {17}------------------------------------------------ John Hancock Distributors, LLC Schedule I - Computation of Net Capital Pursuant to Rule 15c3-1 of the Securities and Exchange Commission December 31, 2020 | Computation of Net Capital | | | |-----------------------------------------------------------------------|----|-----------| | Total member's equity (from Statement of Financial Condition) | S | 9,813,228 | | Allowable credits: | | | | Deferred income taxes, net | | 42.748 | | Total capital and allowable credits | | 9,855,976 | | Less: Nonallowable assets: | | | | Due from affiliates | | 3,488,371 | | Accounts receivable | | 2,039,681 | | Other assets | | 717.406 | | Total nonallowable assets | | 6,245,458 | | Net capital before haircuts on securities positions | | 3,610,518 | | Haircuts on securities: | | | | Investment in money market securities | | 335,993 | | Total haircuts on securities | | 335,993 | | Net capital | ಕಾ | 3,274,525 | | Computation of Alternate Net Capital Requirement | | | | Minimum net capital required (2% of aggregate debit items pursuant to | | | | Rule 15c3-3) | | |----------------------------------------------------|--------------| | Minimum dollar net capital requirement | 250,000 | | Net capital requirement (greater of above amounts) | 250,000 | | Excess net capital over requirement | \$ 3,024,525 | There were no material differences between the computation of net capital under Rule 15c3-1 included in this audited report and the computation included in the Company's corresponding unaudited Form X-17a-5, Part II A filing as of December 31, 2020. {18}------------------------------------------------ #### John Hancock Distributors, LLC Schedule II – Statement Pursuant to Rule 15c3-3 of the Securities and Exchange Commission December 31, 2020 The Company has claimed an exemption from 17 C.F.R. § 240.15c3-3 under paragraph (k)(1) of that Rule. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.