I hope that top management and the BOD have not had any bonus increases since the dividend was cut. Stock in limbo until a policy of increases resume. The yied isn't that great if you hold the stock in a taxable account and get socked with the 15% w/h. A shame with the market booming that MFC is lagging!!
My simple mind can only do simple math. If it can earn 1% of managed fund of over 520 billion is 5 Billions. If it can earn 2%, then it's 10 Billions. It is that simple. Hugh upside and no down side risk.
According to Seeking Alpha, Guloien received a 21% raise in 2012, earning 10.17 million including stock, options and cash bonuses. It goes on to say that he may also may be set to make more in the future as his pay is still "slightly below the median of the company's peer group."
Dividend cut was almost 4 years ago in the middle of the financial crisis that hit everybody. Get over it.
The company has taken huge write offs to "adjust their model" to the low interest rate policy being forced by the fed thus limiting their ability to do much of anything. The stock is up 45% from the May 2012 low and the current dividend seems secure (about 40% of EPS). I think management has done a respectable job considering the artificial interest rate environment they are forced to deal with. Unless long term interest rates move up they are going to be stuck for a while.
Look at Prudential PLC., it has similar profile as Manulife that it is global, the growth in Asia is amazing, it has just increased dividend by 15%. Stock went up 9%. The same thing will happen to Manulife. The adjustment was made and the reserve is coming down, investment in stock and real estate both went up, bond yield is increasing. All the ducks are lining up, this is why you see the accumulation and steady upward curve.