MFC Global Investment Management announces US$200 million Qualified Foreign Institutional Investor (QFII) quota — June 15, 2010

Company confirms use of quota to offer institutional investors a China A share equity fund and RMB bond fund

MFC Global Investment Management — (MFC GIM) — today announces that Manulife Asset Management (Hong Kong)¹ has been awarded a US$200 million Qualified Foreign Institutional Investor (QFII) quota from China's State Administration of Foreign Exchange (SAFE).

MFC Global Investment Management intends to fulfill the quota by launching two QFII funds targeting the China equity and bond markets. The funds, a China A share fund and an RMB bond fund, will be available to institutional investors globally.

Today's announcement marks another step forward for MFC GIM's business in China and for that of Manulife Financial Corporation. It follows the acquisition of a 49% stake in Manulife TEDA, a leading Beijing-based asset management company, in March 2010 and the granting of a US$500 million Qualified Domestic Institutional Investor (QDII) quota to Manulife TEDA earlier this month.

J-F Courville, President and CEO of MFC Global Investment Management said: "We are seeing greater-than-ever demand from institutions looking for a simple and reliable way to access China's A-share and bond markets. Many are looking for a strong and trusted global asset management partner with the on-the-ground expertise in China necessary to help them navigate these markets. The outperformance potential that this in-depth local market knowledge provides, coupled with the investment management rigor of a global asset manager, are important attributes that institutional investors expect from their QFII partner. Today marks a complete shift in the way we help these investors access China's growth potential."

China A Share Fund
The China A Share Fund will invest in stocks listed in China's A share equity markets on the Shanghai and Shenzhen exchanges. It will be managed by MFC GIM's Greater China equities team of Matthew Lee and Terrace Chum in Hong Kong and will be sub-advised by Manulife TEDA in Beijing. The fund seeks to harness the unique exposure of the A share market to industries and companies that are not represented on markets normally available to non-QFII investors. The fund will be US$140million in size.

Matthew Lee, Head of Greater China Equities, MFC Global Investment Management explains: "We believe that China's equity markets will continue to be underpinned by the country's compelling economic growth story. China is well positioned with a healthy fiscal balance vs GDP, favorable monetary conditions and growing exports and domestic demand. The A share market offers a wider spectrum of investment choices as many Chinese companies prefer to raise capital on this market than on overseas markets; abundant liquidity and high daily trading volumes and important diversification opportunities thanks to a lower correlation with foreign equity markets."
RMB Bond Fund
The RMB Bond fund will tap into China's bond market, the second largest in Asia after Japan, to offer investors the potential for both income and growth on their investment. The fund will be managed by Ronald Chan and Paula Chan in MFC Global Investment Management's Hong Kong-based Fixed Income team and will be US$60million in size.

Ronald Chan, Assistant Vice President, Fixed Income at MFC Global Investment Management explains: "We believe that the Chinese bond market is a frontier market, offering abundant opportunities for foreign investors. China currently benefits from robust fundamentals; strong FX reserve levels as well as a healthy position in both fiscal and current accounts. As China's domestic consumption continues to increase, the country will continue its infrastructure improvements. We expect much of the financing for this to come from local Chinese bonds, a fact which will help sustain the long term growth of the country's bond market."

MFC GIM and Manulife TEDA collectively manage over US5 billion in China as at 31st March 2010. MFC GIM offers clients access to in-depth insight into China's markets thanks to the expertise of Manulife TEDA's team of more than 40 Beijing-based portfolio managers. Earlier this month, Manulife TEDA welcomed the Canadian Finance Minister, Jim Flaherty, to a special celebration to mark the awarding of its QDII quota - a move which further cements Manulife Financial Corporation's ongoing support of Chinese-Canadian business relations.

Notes to editors:
¹ MFC Global Investment Management (Asia) is a division of Manulife Asset Management (Hong Kong) which was awarded the quota. Clients should seek professional advice for their particular situation. Neither Manulife Financial, MFC Global Investment Management, nor any of its affiliates or representatives is providing tax, investment or legal advice. This material was prepared solely for informational purposes and does not constitute an offer or an invitation by or on behalf of MFC GIM to any person.

About MFC Global Investment Management
MFC Global Investment Management® is the asset management division of Manulife Financial. MFC Global Investment Management's diversified group of companies provides comprehensive asset management solutions for institutional investors, investment funds and individuals in key markets around the world. This investment expertise extends across a full range of asset classes including equity, fixed income and alternative investments such as oil and gas, real estate, timber, farmland, as well as asset allocation strategies.

MFC Global Investment Management has investment offices in Canada, China, Hong Kong, Indonesia, Japan, Malaysia, Philippines, Singapore, Taiwan, Thailand, United Kingdom, United States and Vietnam. With more than 300 investment professionals, including more than 110 in Asia alone, MFC Global Investment Management offers worldwide expertise combined with local, on-the-ground knowledge and backed by a strong risk management framework. Additional information about MFC Global Investment Management may be found at www.mfcglobal.com.

Media Contact:
Catherine Battershill
MFC Global Investment Management
+852 2202 1634
catherine_battershill@mfcglobal.com

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