John Hancock

Premium Dividend Fund

Ticker: PDT
Annual report 10/31/15

Managed distribution plan

The fund has adopted a managed distribution plan (Plan). Under the Plan, the fund makes monthly distributions of an amount equal to $0.09 per share, which will be paid monthly until further notice. This fixed amount was based on an annual distribution rate of 7.32% of the fund's net asset value (NAV) of $14.76 and an annual distribution rate of 8.36% of the fund's closing share price of $12.92 on September 26, 2014. The fund may make additional distributions: (i) for purposes of not incurring federal income tax on investment company taxable income and net capital gain, if any, not included in such regular distributions; and (ii) for purposes of not incurring federal excise tax on ordinary income and capital gain net income, if any, not included in such regular monthly distributions.

The Plan provides that the Board of Trustees of the fund may amend the terms of the Plan or terminate the Plan at any time without prior notice to the fund's shareholders. The Plan will be subject to periodic review by the fund's Board of Trustees.

You should not draw any conclusions about the fund's investment performance from the amount of the fund's distributions or from the terms of the Plan. The fund's total return at NAV is presented in the Financial highlights.

With each distribution that does not consist solely of net investment income, the fund will issue a notice to shareholders and an accompanying press release that will provide detailed information regarding the amount and composition of the distribution and other related information. The amounts and sources of distributions reported in the notice to shareholders are only estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The fund will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes. The fund may at times distribute more than its net investment income and net realized capital gains; therefore, a portion of your distribution may result in a return of capital. A return of capital may occur, for example, when some or all of the money that you invested in the fund is paid back to you. A return of capital does not necessarily reflect the fund's investment performance and should not be confused with "yield" or "income."

Dear shareholder,

U.S. stocks experienced a spike in volatility in recent months. The pullback we had anticipated for some months took place in August, and stocks experienced their first official correction—a decline of more than 10% in the stock market—in more than four years. There were several headwinds keeping stock prices from moving higher all year, but the headline for this summer's correction was the news of slowing economic growth in China and the effect that might have on global growth. While the market subsequently rebounded, for the time being, global economic data continues to be a leading driver of investor sentiment.

Market volatility is naturally unnerving, which is why we recommend that investors maintain a regular dialogue with their financial advisors. Your advisor can help put market events into context and determine whether your portfolio is sufficiently diversified and continues to match your long-term financial goals.

Introducing John Hancock Multifactor Exchange-Traded Funds (ETFs)

We believe investors benefit from a combination of active and passive strategies in their portfolios. That's why, for years, we've offered actively managed funds to our shareholders, alongside asset allocation portfolios that employ a mix of active and passive strategies. That same thinking is what led us to team up with Dimensional Fund Advisors LP—a company regarded as one of the pioneers in strategic beta investing*—for the launch of the passively managed John Hancock Multifactor ETFs. Each ETF seeks to track a custom index built upon decades of academic research into the factors that drive higher expected returns: smaller capitalizations, lower valuations, and higher profitability. For nearly 30 years, it's just the kind of time-tested approach we have looked for as a manager of managers. For more information, visit our website at jhinvestments.com/etf.

On behalf of everyone at John Hancock Investments, I'd like to take this opportunity to welcome new shareholders and thank existing shareholders for the continued trust you've placed in us.

Sincerely,

Andrew G. Arnott
President and Chief Executive Officer
John Hancock Investments

This commentary reflects the CEO's views as of October 31, 2015. They are subject to change at any time. For more up-to-date information, you can visit our website at jhinvestments.com.

*	Strategic beta investing ETFs seek to improve upon cap-weighted strategies by tracking a custom index that combines active management insight with the discipline of a rules-based approach.

John Hancock
Premium Dividend Fund

Table of contents

2		Your fund at a glance
4		Discussion of fund performance
8		Fund's investments
12		Financial statements
16		Financial highlights
17		Notes to financial statements
25		Auditor's report
26		Tax information
27		Additional information
30		Continuation of investment advisory and subadvisory agreements
35		Trustees and Officers
39		More information

INVESTMENT OBJECTIVE

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The fund seeks to provide high current income, consistent with modest growth of capital.

AVERAGE ANNUAL TOTAL RETURNS AS OF 10/31/15 (%)

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The index shown is a blended index that is 70% Bank of America Merrill Lynch Preferred Stock DRD Eligible Index and 30% S&P 500 Utilities Index.

The Bank of America Merrill Lynch Preferred Stock DRD Eligible Index consists of investment-grade fixed-rate U.S. dollar-denominated preferred securities and fixed-to-floating-rate securities. The index includes securities having a minimum remaining term of at least one year, both Dividend Received Deduction (DRD) eligible and non-DRD eligible preferred stock and senior debt.

The S&P 500 Utilities Index is a capitalization-weighted index that consists of companies in the S&P 500 Index that are primarily involved in water, electrical power, and natural gas distribution industries.

It is not possible to invest directly in an index. Index figures do not reflect expenses or sales charges, which would result in lower returns.

The fund's most recent performance and current annualized distribution rate can be found at jhinvestments.com.

The performance data contained within this material represents past performance, which does not guarantee future results.

PERFORMANCE HIGHLIGHTS OVER THE LAST TWELVE MONTHS

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A late-period rally helped bolster dividend-paying securities

Continued accommodative monetary measures helped many dividend-paying securities post gains for the 12-month period ended October 31, 2015.

Utilities holdings performed well

The fund benefited from the utilities sector, which accounted for some of its best performers.

Energy companies detracted

The ongoing depression of oil prices led to weak performance of the fund's energy and energy-related holdings.

PORTFOLIO COMPOSITION AS OF 10/31/15 (%)

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A note about risks

As is the case with all closed-end funds, shares of this fund may trade at a discount or a premium to the fund's net asset value (NAV). An investment in the fund is subject to investment and market risks, including the possible loss of the entire principal invested. There is no guarantee prior distribution levels will be maintained, and distributions may include a substantial return of capital, which may increase the potential tax gain or reduce the potential tax loss of a subsequent sale of shares of the fund. Fixed-income investments are subject to interest-rate and credit risk; their value will normally decline as interest rates rise or if a creditor, grantor, or counterparty is unable or unwilling to make principal, interest, or settlement payments. Investments in higher-yielding, lower-rated securities are subject to a higher risk of default. An issuer of securities held by the fund may default, have its credit rating downgraded, or otherwise perform poorly, which may affect fund performance. Certain market conditions, including reduced trading volume, heightened volatility, and rising interest rates, may impair liquidity, the ability of the fund to sell securities or close derivative positions at advantageous prices. The fund's use of leverage creates additional risks, including greater volatility of the fund's NAV, market price, and returns. There is no assurance that the fund's leverage strategy will be successful. The fund will normally invest at least 25% of its managed assets in securities of companies in the utilities industry. Such an investment focus makes the fund more susceptible to factors adversely affecting the utilities industry than a more broadly diversified fund. Sector investing is subject to greater risks than the market as a whole.

What was the market environment like for dividend-paying securities during the 12 months ended October 31, 2015?

A late-period rally helped push the returns of most dividend-paying securities into solidly positive territory for the period. During most of the first half of the period, dividend-paying securities were somewhat helped by solid demand and limited supply. Volatility in global equity markets, generally low and falling yields on bonds in many developed markets, and the receding threat of imminent U.S. interest-rate hikes highlighted the appeal of and supported demand for dividend-paying securities, which generally produced more income than U.S. government bonds, many foreign government bonds, and investment-grade corporate debt. Meanwhile, the supply of preferred securities—one of the main areas of focus for the fund—was muted as new issuance stayed low and issuers redeemed outstanding debt at a healthy clip.

In the summer months, most dividend-paying securities treaded water, generating returns that derived more from the income they produced rather than price appreciation. Although preferreds and utility common stocks generally outpaced most bonds and other common stock industry groups, they were still hampered by elevated financial market volatility and concern that the U.S. Federal Reserve (Fed) would raise interest rates. In October 2015, most dividend-paying securities posted one of their best monthly gains of the past year amid continued accommodative measures taken by global central banks. The Fed again delayed raising interest rates in light of financial market volatility, the interest-rate cut by the Peoples Bank of China, and the European Central Bank hints at expanding its stimulus program and potentially cutting interest rates. While solid quarterly financial results further bolstered demand for dividend-paying stocks, they generally trailed broader market averages.

What's your view on dividend-paying securities?

Income-seeking investors are still trying to determine when the Fed may start to raise U.S. interest rates. The Fed has continued to maintain that it needs to see a firming of U.S. economic data, particularly in the labor market. While employment data had strengthened by period end, the U.S.

"Volatility in global equity markets, generally low and falling yields on bonds in many developed markets, and the receding threat of imminent U.S. interest-rate hikes highlighted the appeal of and supported demand for dividend-paying securities..."

economy faced a number of headwinds, including economic weakness in China, Europe, and Canada, still-low commodity prices, and a strong U.S. dollar.

Even when rates do begin to rise, we don't anticipate a dramatic sell-off of preferred securities, nor do we believe demand for them will subside. Our view is that rate hikes will occur in small, gradual, and digestible increments, some of which may already be priced into the values of preferred securities. At the same time, we don't foresee a meaningful increase in supply on the horizon. Granted, many preferred securities seemed fully valued at period end, thanks to their strong performance during the past year. Even so, we believe preferred securities remain well-positioned relative to other fixed-income-producing investments. At period end, they still offered attractive levels of income relative to many investment-grade fixed-income alternatives, including U.S. government securities, developed-market government bonds, and many investment-grade corporate bonds. Furthermore, many preferred securities offered income that was tax advantaged, which we believe will continue to be a draw for tax-sensitive investors.

Valuations for utility common stocks, too, looked somewhat expensive at period end given their recent price gains. However, we believe they could continue to benefit to the extent that investors seek attractive and dependable earnings growth, higher-yielding alternatives to fixed-income

SECTOR COMPOSITION AS OF 10/31/15 (%)

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"Even when rates do begin to rise, we don't anticipate a dramatic sell-off of preferred securities, nor do we believe demand for them will subside."

investments, and stocks from industries with a history of outperformance during periods of economic uncertainty.

What holdings contributed to performance?

Common stock holdings in utilities companies that were takeover candidates had some of the biggest impacts, as they performed comparatively well. The fund's position in natural-gas provider and storage company AGL Resources, Inc. produced strong gains after the announcement that it would be bought by electricity provider Southern Company. TECO Energy, Inc., an energy-related holding company with regulated electric and gas utilities in Florida and New Mexico, also fared well, thanks in large measure to news of its proposed acquisition by Emera, Inc. Connecticut utility UIL Holdings Corp. jumped after its proposed acquisition by Iberdorola SA seemed to be on track after settlement talks with the state's consumer advocate.

As they have been for some time now, preferred securities issued by utilities companies were another source of the fund's best performers. PPL Capital Funding, Inc. and SCE Trust were helped by still-solid demand from investors seeking comparatively high-yielding assets from industries deemed safe havens. The lack of supply also helped bolster their prices. Many utilities, in particular, redeemed their outstanding preferred shares years ago, and those with preferred shares still outstanding tended to benefit from relative scarcity as a result.

TOP 10 ISSUERS AS OF 10/31/15 (%)

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Bank of America Corp.	4.6
PPL Corp.	4.1
JPMorgan Chase & Co.	4.0
Eversource Energy	3.6
Morgan Stanley	3.4
SCE Trust	3.3
Interstate Power & Light Company	3.1
Wells Fargo & Company	3.1
Entergy, Inc.	3.0
Baltimore Gas & Electric Company	3.0
TOTAL	35.2
As a percentage of total investments.
Cash and cash equivalents are not included.

What hurt the fund's performance?

Detracting from the fund's results were energy-related holdings, including Royal Dutch Shell PLC and ConocoPhillips, which suffered price declines, as oil prices remained depressed throughout much of the period. These investments generally paid higher-than-average dividends and helped us diversify the portfolio.

The fund's use of derivatives, such as futures and interest-rate swaps (to manage interest-rate exposure under the credit facility agreement), had a negative impact on performance.

Where are you finding opportunities of late?

Although we took advantage of opportunities to purchase a few new positions we felt were attractively valued, there weren't any major changes to the portfolio during the period. That said, we trimmed the fund's stake in TECO Energy, after it surged on merger news. We deployed most of proceeds of that sale, plus the proceeds from holdings that were called by the issuers prior to maturity, into holdings that we felt were attractively valued and represented better-than-average total return potential given their earnings growth outlooks and dividend yields.

MANAGED BY

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	Gregory K. Phelps On the fund since 1995 Investing since 1981
	Joseph H. Bozoyan, CFA On the fund since 2015 Investing since 1993

The views expressed in this report are exclusively those of Gregory K. Phelps, John Hancock Asset Management, and are subject to change. They are not meant as investment advice. Please note that the holdings discussed in this report may not have been held by the fund for the entire period. Portfolio composition is subject to review in accordance with the fund's investment strategy and may vary in the future. Current and future portfolio holdings are subject to risk.

 

	As of 10-31-15
																Shares			Value
	Preferred securities 102.1% (67.6% of Total investments)																		$747,683,302
	(Cost $707,856,950)
	Consumer staples 2.8%																		20,406,750
	Food and staples retailing 2.8%
	Ocean Spray Cranberries, Inc., Series A, 6.250% (S)															224,250			20,406,750
	Energy 0.4%																		2,958,600
	Oil, gas and consumable fuels 0.4%
	Kinder Morgan, Inc., 9.750% (I)															60,000			2,958,600
	Financials 59.5%																		435,862,637
	Banks 32.3%
	Bank of America Corp., 6.375% (Z)															980,000			25,254,600
	Bank of America Corp., 6.625% (Z)															360,000			9,392,400
	Bank of America Corp., Depositary Shares, Series D, 6.204%															630,000			16,172,100
	Barclays Bank PLC, Series 3, 7.100% (Z)															192,500			4,993,450
	Barclays Bank PLC, Series 5, 8.125% (Z)															310,000			8,146,800
	BB&T Corp., 5.625% (Z)															770,000			19,835,200
	BB&T Corp. (Callable 11-1-17), 5.200%															235,000			5,835,050
	BB&T Corp. (Callable 6-1-18), 5.200%															110,000			2,734,600
	Citigroup, Inc. (6.875% to 11-15-23, then 3 month LIBOR + 4.130%)															85,175			2,345,720
	Citigroup, Inc., Depositary Shares, Series AA, 8.125% (Z)															338,830			9,653,267
	JPMorgan Chase & Co., 5.450% (Z)															527,000			13,043,250
	JPMorgan Chase & Co., 5.500% (Z)															237,500			5,863,875
	JPMorgan Chase & Co., 6.100%															695,000			17,590,450
	JPMorgan Chase & Co., 6.300% (Z)															245,000			6,382,250
	JPMorgan Chase & Co., 6.700%															35,000			945,000
	Santander Holdings USA, Inc., Series C, 7.300% (Z)															500,000			12,900,000
	The PNC Financial Services Group, Inc., 5.375%															180,000			4,566,600
	The PNC Financial Services Group, Inc. (6.125% to 5-1-22, then 3 month LIBOR + 4.067%) (Z)															311,600			8,678,060
	U.S. Bancorp, 5.150% (Z)															545,000			13,804,850
	U.S. Bancorp (6.000% to 4-15-17, then 3 month LIBOR + 4.861%)															160,000			4,288,000
	U.S. Bancorp (6.500% to 1-15-22, then 3 month LIBOR + 4.468%) (Z)															351,000			10,171,980
	Wells Fargo & Company, 6.000%															205,000			5,321,800
	Wells Fargo & Company, 8.000% (Z)															1,017,000			28,526,850
	Capital markets 18.1%
	Deutsche Bank Contingent Capital Trust II, 6.550% (Z)															287,000			7,410,340
	Deutsche Bank Contingent Capital Trust III, 7.600% (Z)															662,000			17,701,880
	Morgan Stanley, 6.625% (Z)															842,557			22,546,825
	Morgan Stanley (6.375% to 10-15-24, then 3 month LIBOR + 3.708%)															249,227			6,454,979
	Morgan Stanley (7.125% to 10-15-23, then 3 month LIBOR + 4.320%) (Z)															300,000			8,355,000
	State Street Corp., 5.250% (Z)															1,015,000			25,963,700
	State Street Corp., 6.000%															80,000			2,068,000

																Shares			Value
	Financials  (continued)
	Capital markets  (continued)
	State Street Corp. (5.900% to 3-15-24, then 3 month LIBOR + 3.108%)															25,000			$665,500
	The Bank of New York Mellon Corp., 5.200% (Z)															442,000			11,354,980
	The Goldman Sachs Group, Inc., 5.950% (Z)															920,000			23,533,600
	The Goldman Sachs Group, Inc., Series B, 6.200% (Z)															250,000			6,397,500
	Consumer finance 5.5%
	Capital One Financial Corp., 6.700%															90,000			2,448,900
	Capital One Financial Corp., 6.200%															80,000			2,068,000
	Capital One Financial Corp., 6.250%															81,196			2,102,976
	Capital One Financial Corp., 6.000%															100,000			2,563,000
	HSBC Finance Corp., Depositary Shares, Series B, 6.360% (Z)															454,000			11,513,440
	SLM Corp., Series A, 6.970%															445,500			19,423,800
	Insurance 1.7%
	Aegon NV, 6.500%															75,000			1,953,000
	Prudential Financial, Inc., 5.750%															50,000			1,299,000
	Prudential PLC, 6.750% (Z)															175,000			4,590,250
	W.R. Berkley Corp., 5.625%															190,377			4,744,195
	Real estate investment trusts 1.9%
	Senior Housing Properties Trust, 5.625% (Z)															510,000			12,591,900
	Ventas Realty LP, 5.450% (Z)															63,000			1,665,720
	Industrials 0.5%																		3,522,150
	Machinery 0.5%
	Stanley Black & Decker, Inc., 5.750% (Z)															135,000			3,522,150
	Telecommunication services 6.8%																		49,750,860
	Diversified telecommunication services 4.2%
	Qwest Corp., 6.125% (Z)															107,500			2,674,600
	Qwest Corp., 7.375% (Z)															1,021,000			26,352,010
	Verizon Communications, Inc., 5.900% (Z)															73,000			1,956,400
	Wireless telecommunication services 2.6%
	Telephone & Data Systems, Inc., 5.875%															100,000			2,470,000
	Telephone & Data Systems, Inc., 6.625% (Z)															285,000			7,233,300
	Telephone & Data Systems, Inc., 6.875% (Z)															170,000			4,345,200
	United States Cellular Corp., 6.950% (Z)															185,000			4,719,350
	Utilities 32.1%																		235,182,305
	Electric utilities 25.2%
	Duke Energy Corp., 5.125% (Z)															180,000			4,550,400
	Entergy Arkansas, Inc., 6.450%															650,000			16,542,500
	Entergy Mississippi, Inc., 6.250%															667,000			16,841,750
	Gulf Power Company, 5.600%															52,400			5,377,272
	HECO Capital Trust III, 6.500%															181,000			4,635,410
	Interstate Power & Light Company, 5.100%															1,340,000			34,505,000

																Shares			Value
	Utilities  (continued)
	Electric utilities  (continued)
	NextEra Energy Capital Holdings, Inc., 5.125% (Z)															185,000			$4,523,250
	NextEra Energy Capital Holdings, Inc., 5.700% (Z)															320,000			8,268,800
	NSTAR Electric Company, 4.250% (Z)															13,347			1,267,965
	NSTAR Electric Company, 4.780%															100,000			9,950,000
	PPL Capital Funding, Inc., 5.900% (Z)															1,450,320			36,751,109
	SCE Trust I, 5.625%															265,000			6,799,900
	SCE Trust II, 5.100%															1,208,500			29,596,165
	The Southern Company, 6.250%															155,000			4,092,000
	Union Electric Company, 3.700%															12,262			1,049,934
	Multi-utilities 6.9%
	Baltimore Gas & Electric Company, Series 1993, 6.700%															20,250			2,039,556
	Baltimore Gas & Electric Company, Series 1995, 6.990%															134,000			13,550,750
	BGE Capital Trust II, 6.200% (Z)															690,000			17,746,800
	DTE Energy Company, 5.250%															235,000			5,771,600
	DTE Energy Company, 6.500% (Z)															180,000			4,827,600
	Integrys Holding, Inc. (6.000% to 8-1-23, then 3 month LIBOR + 3.220%) (Z)															255,000			6,494,544
	Common stocks 48.2% (31.9% of Total investments)																		$353,102,100
	(Cost $258,994,909)
	Energy 7.1%																		51,689,230
	Oil, gas and consumable fuels 7.1%
	Chevron Corp. (Z)															67,000			6,088,960
	Columbia Pipeline Group, Inc.															360,000			7,477,200
	ConocoPhillips (Z)															90,000			4,801,500
	Kinder Morgan, Inc. (Z)															262,000			7,165,700
	Royal Dutch Shell PLC, ADR, Class A															204,500			10,728,070
	Spectra Energy Corp. (Z)															540,000			15,427,800
	Telecommunication services 3.8%																		27,970,650
	Diversified telecommunication services 3.8%
	AT&T, Inc.															415,000			13,906,650
	Verizon Communications, Inc. (Z)															300,000			14,064,000
	Utilities 37.3%																		273,442,220
	Electric utilities 15.6%
	American Electric Power Company, Inc. (Z)															200,000			11,330,000
	Duke Energy Corp. (Z)															285,000			20,368,950
	Eversource Energy (Z)															560,000			28,526,400
	FirstEnergy Corp.															241,450			7,533,240
	OGE Energy Corp.															330,000			9,408,300
	Pinnacle West Capital Corp. (Z)															50,000			3,175,500
	PPL Corp. (Z)															240,000			8,256,000
	The Southern Company (Z)															75,000			3,382,500
	UIL Holdings Corp. (Z)															195,000			9,943,050

																Shares			Value
	Utilities  (continued)
	Electric utilities  (continued)
	Xcel Energy, Inc. (Z)															347,000			$12,363,610
	Gas utilities 2.2%
	AGL Resources, Inc. (Z)															120,000			7,500,000
	Atmos Energy Corp. (Z)															100,000			6,300,000
	ONE Gas, Inc. (Z)															42,500			2,075,700
	Multi-utilities 19.5%
	Alliant Energy Corp. (Z)															400,000			23,608,000
	Black Hills Corp. (Z)															220,000			10,071,600
	CenterPoint Energy, Inc. (Z)															1,065,000			19,755,750
	Dominion Resources, Inc. (Z)															225,000			16,071,750
	DTE Energy Company (Z)															250,000			20,397,500
	National Grid PLC, ADR															235,000			16,826,000
	NiSource, Inc.															440,000			8,430,400
	TECO Energy, Inc. (Z)															526,560			14,217,120
	Vectren Corp. (Z)															215,000			9,776,050
	WEC Energy Group, Inc.															80,000			4,124,800
																Par value			Value
	Short-term investments 0.7% (0.5% of Total investments)																		$5,301,000
	(Cost $5,301,000)
	Repurchase agreement 0.7%																		5,301,000
	Repurchase Agreement with State Street Corp. dated 10-30-15 at 0.000% to be repurchased at $5,301,000 on 11-2-15, collateralized by $5,405,000 Federal Home Loan Bank, 0.750% due 8-28-17 (valued at $5,412,027, including interest)															5,301,000			5,301,000
	Total investments (Cost $972,152,859)† 151.0%																		$1,106,086,402
	Other assets and liabilities, net (51.0%)																		($373,517,875	)
	Total net assets 100.0%																		$732,568,527

The percentage shown for each investment category is the total value of the category as a percentage of the net assets of the fund.

Key to Security Abbreviations and Legend

ADR

American Depositary Receipts

LIBOR

London Interbank Offered Rate

(I)

Non-income producing security.

(S)

These securities are exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be resold, normally to qualified institutional buyers, in transactions exempt from registration.

(Z)

All or a portion of this security is pledged as collateral pursuant to the Credit Facility Agreement. Total collateral value at 10-31-15 was $681,499,863.

†

At 10-31-15, the aggregate cost of investment securities for federal income tax purposes was $973,267,688. Net unrealized appreciation aggregated $132,818,714, of which $143,280,954 related to appreciated investment securities and $10,462,240 related to depreciated investment securities.

	Assets
	Investments, at value (Cost $972,152,859)						$1,106,086,402
	Cash						211,112
	Cash held at broker for futures contracts						1,161,000
	Cash segregated at custodian for swap contracts						1,220,000
	Receivable for investments sold						5,835,172
	Dividends and interest receivable						3,507,631
	Other receivables and prepaid expenses						16,322
	Total assets						1,118,037,639
	Liabilities
	Credit facility agreement payable						383,700,000
	Swap contracts, at value						1,192,577
	Payable for futures variation margin						67,183
	Interest payable						295,686
	Payable to affiliates
	Administrative service fees						94,133
	Trustees' fees						2,762
	Other liabilities and accrued expenses						116,771
	Total liabilities						385,469,112
	Net assets						$732,568,527
	Net assets consist of
	Paid-in capital						$594,784,786
	Undistributed net investment income						5,745,953
	Accumulated net realized gain (loss) on investments, futures contracts and swap agreements						(557,227								)
	Net unrealized appreciation (depreciation) on investments, futures contracts and swap agreements						132,595,015
	Net assets						$732,568,527
	Net asset value per share
	Based on 48,372,321 shares of beneficial interest outstanding — unlimited number of shares authorized with no par value						$15.14

	Investment income
	Dividends									$61,634,095
	Less foreign taxes withheld									(72,192											)
	Total investment income									61,561,903
	Expenses
	Investment management fees									8,743,141
	Administrative services fees									1,132,774
	Transfer agent fees									138,734
	Trustees' fees									52,937
	Printing and postage									239,009
	Professional fees									156,073
	Custodian fees									88,757
	Stock exchange listing fees									46,159
	Interest expense									3,288,915
	Other									32,767
	Total expenses									13,919,266
	Less expense reductions									(86,406											)
	Net expenses									13,832,860
	Net investment income									47,729,043
	Realized and unrealized gain (loss)
	Net realized gain (loss) on
	Investments									12,763,498
	Futures contracts									(3,940,261											)
	Swap contracts									(1,487,695											)
										7,335,542
	Change in net unrealized appreciation (depreciation) of
	Investments									(18,596,898											)
	Futures contracts									647,786
	Swap contracts									198,902
										(17,750,210											)
	Net realized and unrealized loss									(10,414,668											)
	Increase in net assets from operations									$37,314,375

													Year ended 10-31-15												Year ended 10-31-14
	Increase (decrease) in net assets
	From operations
	Net investment income												$47,729,043												$49,009,806
	Net realized gain												7,335,542												728,669
	Change in net unrealized appreciation (depreciation)												(17,750,210				)								85,138,189
	Increase in net assets resulting from operations												37,314,375												134,876,664
	Distributions to shareholders
	From net investment income												(43,632,491				)								(48,052,477				)
	From net realized gain												(9,786,885				)								(17,022,877				)
	Total distributions												(53,419,376				)								(65,075,354				)
	From fund share transactions
	Repurchased												(16,344,551				)								(5,368,124				)
	Total increase (decrease)												(32,449,552				)								64,433,186
	Net assets
	Beginning of year												765,018,079												700,584,893
	End of year												$732,568,527												$765,018,079
	Undistributed net investment income												$5,745,953												$3,125,879
	Share activity
	Shares outstanding
	Beginning of year												49,590,757												50,008,453
	Shares repurchased												(1,218,436				)								(417,696				)
	End of year												48,372,321												49,590,757

	Cash flows from operating activities
	Net increase in net assets from operations			$37,314,375
	Adjustments to reconcile net increase in net assets from operations to net cash provided by operating activities:
	Long-term investments purchased			(166,264,304)
	Long-term investments sold			189,799,722
	Decrease in short-term investments			9,790,000
	Increase in cash held at broker for futures contracts			(129,000)
	Increase in cash segregated at custodian for swap contracts			(60,000)
	Increase in receivable for investments sold			(5,360,173)
	Increase in dividends and interest receivable			(834,084)
	Increase in unrealized appreciation/depreciation of swap contracts			(198,902)
	Decrease in receivable for futures variation margin			295,616
	Increase in other receivables and prepaid expenses			(1,481)
	Decrease in payable for investments purchased			(251,650)
	Increase in payable to affiliates			1,533
	Decrease in other liabilities and accrued expenses			(42,954)
	Decrease in custodian overdraft			(816)
	Increase in interest payable			83,757
	Net change in unrealized (appreciation) depreciation on investments			18,596,898
	Net realized gain on investments			(12,763,498)
	Net cash provided by operating activities			$69,975,039
	Cash flows from financing activities
	Repurchase of common shares			($16,344,551)
	Distributions to common shareholders			(53,419,376)
	Net cash used in financing activities			($69,763,927		)
	Net increase in cash			$211,112
	Cash at beginning of period			—
	Cash at end of period			$211,112
	Supplemental disclosure of cash flow information:
	Cash paid for interest			$3,205,158

	COMMON SHARES Period Ended																					10-31-15																		10-31-14																					10-31-13																		10-31-12															10-31-11
	Per share operating performance
	Net asset value, beginning of period																					$15.43																		$14.01																					$14.56																		$13.22															$12.16
	Net investment income1																					0.97																		0.98																					0.96																		0.89															0.88
	Net realized and unrealized gain (loss) on investments																					(0.21										)								1.74																					(0.60										)								1.36															1.09
	Total from investment operations																					0.76																		2.72																					0.36																		2.25															1.97
	Less distributions to common shareholders
	From net investment income																					(0.89										)								(0.97													)								(0.91										)								(0.91							)								(0.91				)
	From net realized gain																					(0.20										)								(0.34													)								—																		—															—
	Total distributions																					(1.09										)								(1.31													)								(0.91										)								(0.91							)								(0.91				)
	Anti-dilutive impact of repurchase plan																					0.04										2								0.01													2								—																		—															—
	Net asset value, end of period																					$15.14																		$15.43																					$14.01																		$14.56															$13.22
	Per share market value, end of period																					$13.68																		$13.67																					$12.51																		$14.32															$12.30
	Total return at net asset value (%)3,4																					6.18																		22.07																					2.94																		17.61															17.23
	Total return at market value (%)4																					8.29																		21.12																					(6.54										)								24.32															13.17
	Ratios and supplemental data
	Net assets applicable to common shares, end of period (in millions)																					$733																		$765																					$701																		$728															$660
	Ratios (as a percentage of average net assets):
				Expenses before reductions																		1.86																		1.79																					1.77																		1.85															1.98				5
				Expenses including reductions6																		1.85																		1.79																					1.77																		1.85															1.87				5
				Net investment income																		6.38																		6.85																					6.61																		6.45															7.00
	Portfolio turnover (%)