2022 ESG Report Introduction ESG at Manulife Environmental Climate Action Plan Our Operations Our Investments Our Products and Services Climate-related Risks and Opportunities Nature and Biodiversity Social Governance Performance Data Abbreviations and Acronyms Our Investments Summary of Our Approach • We are committed to net zero financed emissions within our General Account’s investment portfolio by 2050. • We have established short-term science-based targets covering 42% of our AUM, including power generation project finance and listed debt and equity. • We are seeking new opportunities to continue to grow our $45.2 billion portfolio of green investments. Learn more: Our Investments Working Towards a Net Zero Portfolio Our General Account consists of our company’s own assets, which support our policyholder liabilities. Manulife invests substantial capital in both public and private markets, and as such, we believe we can play a critical role as an enabler of the transition to net zero. In 2022, we continued to lay the groundwork of our net zero investment capabilities and: • Committed to a net zero investment portfolio by 2050 and developed portfolio science-based targets in accordance with the SBTi methodology, covering over 42% of our portfolio. • Continued to work to grow our portfolio of green investments to $45.2 billion in 2022, such as renewable energy, energy-efficient real estate, and sustainable forestry and agriculture. • Furthered efforts to capture additional climate-related information regarding high- emitting sectors such as oil and gas and identify avenues for portfolio management activities that contribute to real-world decarbonization. • Evaluated listed equities and bonds for alignment to the goals of the Paris Agreement as part of the science-based target-setting process, with a baseline portfolio temperature alignment score established. • Initiated an analysis of decarbonization trajectories of specific asset classes within our portfolio to inform the development of transition plans for the portfolio. • Initiated development of a carbon fundamentals training program for investment analysts and portfolio managers. Our General Account plays a critical role in the achievement of our climate ambitions. In accordance with our ESG Guidelines, the General Account incorporates climate-related considerations throughout the investment cycle. To understand our contributions to climate change and mitigation, we capture key performance metrics that reflect the scope and scale of our investments and provide decision-useful information for portfolio managers. This includes accounting for financed emissions, our portfolio's alignment to global warming pathways, and our investments in high-emitting and low, carbon green investments. Our accounting methodologies are informed by the requirements of the Partnership for Carbon Accounting Financials, the recommendations of the TCFD, the guidance provided by the SBTi for financial institutions, and by leveraging S&P Trucost environmental data. Making the Transition to Net Zero Manulife has developed our targets in accordance with the methodology for financial institutions outlined by the SBTi, in combination with Partnership for Carbon Accounting Financials (PCAF) methodologies for emissions accounting. The methods and assumptions underlying our targets follow the guidance established by the SBTi, which draw on the best available science-based pathways for limiting warming to well below 2 degrees Celsius, as established by the Paris Agreement. As a result of alignment to SBTi guidance, a combination of sector-specific and asset-class specific targets have been established for the financed emissions of our General Account. Manulife commits its General Account to achieve science-based targets in alternative long-duration assets (real estate, timberland, and agriculture) electricity generation finance, and listed debt and equity (corporate instruments). Manulife's portfolio targets cover 42% of its total General Account investment and lending activities by invested assets. 1. Alternative Long Duration Assets A reduction in the absolute emissions of our owned real estate, timberland, and agriculture assets is expected through achievement of Manulife's target to reduce scope 1 & 2 emissions by 40% by 2035 (see Our Operations section for additional information). 2. Power Generation Project Finance 72% reduction in per kWh emissions intensity from project financing activities by 2035 or in line with a 2035 IEA target intensity. 3. Financed emissions (listed debt and equity) • Reduce temperature score from 2.9 degrees in 2019 to 2.5 degrees in 2027 based on issuer's total value chain activities (Scope 1, 2, & 3 emissions) • Reducing temperature from 2.7 degrees in 2019 to 2.3 degrees by 2027, based on issuer ’s operational activities (Scope 1 & 2 emissions) Alternative Long Duration Assets – Timberland, Agriculture, and Real Estate Target: A reduction in the absolute emissions of our owned real estate, timberland, and agriculture assets is expected through achievement of Manulife's scope 1 & 2 emissions target. 28