John Hancock Preferred Income Fund III (the Fund) is a closed-end management investment company. The Fund's primary investment objective is to provide a high level of current income, consistent with preservation of capital. Its secondary investment objective is to provide growth of capital to the extent consistent with its primary investment objective. The Fund invests at least 80% of its assets in preferred stocks and other preferred securities, including convertible preferred securities. In addition, the Fund will invest 25% or more of its total assets in the industries comprising the utilities sector, and at least 80% of its total assets in preferred securities and other fixed-income securities. The Fund's investments include Consumer Staples, Energy , Oil, Gas and Consumable Fuels, Financials, Capital Markets, Commercial Banks , Consumer Finance , Diversified Financial Services and Insurance. The Fund's investment advisor is John Hancock Advisers, LLC (the Advisor).