John Hancock Advisers, LLC 601 Congress Street Boston, MA 02210 June 7, 2011

▇▇▇▇ ▇▇▇▇▇▇▇ Advisers, LLC
▇▇▇ ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇
June 7, 2011

To the Trustees of
▇▇▇▇ ▇▇▇▇▇▇▇ Funds
▇▇▇ ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇

Re:     Expense Limitation Letter Agreement and Voluntary Expense Limitation Notice

With reference to each of the Advisory Agreements entered into by and between ▇▇▇▇ ▇▇▇▇▇▇▇ Advisers, LLC (the “Adviser”) and each of the trusts listed in Appendix A to this letter (each, a “Trust” and collectively, the “Trusts”), on behalf of each of their respective series listed in Appendix A (each, a “Fund” and collectively, the “Funds”), we hereby notify you as follows:

1. The Adviser agrees to contractually waive its advisory fees and, to the extent necessary, reimburse other expenses of each Fund as set forth in Appendix B, Appendix C and Appendix D hereto.

2. The Adviser agrees to voluntarily waive its advisory fees and, to the extent necessary, reimburse other expenses of each Fund as set forth in Appendix E and Appendix F hereto.

3. We understand and intend that the Trusts will rely on this undertaking in overseeing the preparation and filing of Post-effective Amendments to the Registration Statement on Form N-1A for the Trusts and the Funds with the Securities and Exchange Commission, in accruing each Fund’s expenses for purposes of calculating its net and gross asset value per share, and for other purposes permitted under Form N-1A and/or the Investment Company Act of 1940, as amended, and we expressly permit the Trusts so to rely.

		Very truly yours,
		▇▇▇▇ ▇▇▇▇▇▇▇ ADVISERS, LLC
		By:		/s/ ▇▇▇▇▇▇▇ ▇. ▇▇▇▇   ▇▇▇▇▇▇▇ ▇. ▇▇▇▇
				Chief Financial Officer

Agreed and Accepted
on behalf of each applicable Trust listed in Appendix A

By:		/s/ ▇▇▇▇▇▇▇ ▇▇▇▇▇   ▇▇▇▇▇▇▇ ▇▇▇▇▇
		Chief Financial Officer

A copy of the document establishing each Trust is filed with the Secretary of The Commonwealth of Massachusetts. This Agreement is executed by the officer not as an individual and is not binding upon any of the Trustees, officers or shareholders of the Trusts individually but only upon the assets of the Funds.

APPENDIX A

TRUSTS and Funds

▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇ TRUST
Government Income Fund
High Yield Fund
Investment Grade Bond Fund

▇▇▇▇ ▇▇▇▇▇▇▇ CALIFORNIA TAX-FREE INCOME FUND
California Tax-Free Income Fund

▇▇▇▇ ▇▇▇▇▇▇▇ CAPITAL SERIES
Classic Value Fund
U. S. Global Leaders Growth Fund

▇▇▇▇ ▇▇▇▇▇▇▇ CURRENT INTEREST
Money Market Fund

▇▇▇▇ ▇▇▇▇▇▇▇ INVESTMENT TRUST
Balanced Fund
Global Opportunities Fund
Large Cap Equity Fund
Small Cap Intrinsic Value Fund
Sovereign Investors Fund

▇▇▇▇ ▇▇▇▇▇▇▇ INVESTMENT TRUST II
Financial Industries Fund
Regional Bank Fund
Small Cap Equity Fund

▇▇▇▇ ▇▇▇▇▇▇▇ INVESTMENT TRUST III
Greater China Opportunities Fund

▇▇▇▇ ▇▇▇▇▇▇▇ MUNICIPAL SECURITIES TRUST
High Yield Municipal Bond Fund
Tax-Free Bond Fund

▇▇▇▇ ▇▇▇▇▇▇▇ SERIES TRUST
Mid Cap Equity Fund

▇▇▇▇ ▇▇▇▇▇▇▇ SOVEREIGN BOND FUND
Bond Fund

▇▇▇▇ ▇▇▇▇▇▇▇ STRATEGIC SERIES
Strategic Income Fund

▇▇▇▇ ▇▇▇▇▇▇▇ TAX-EXEMPT SERIES FUND
Massachusetts Tax-Free Income Fund
New York Tax-Free Income Fund

▇▇▇▇▇▇▇▇ ▇

Fund Level Contractual Expense Limitations

For purposes of the first part of this Appendix:

“Expenses” means all the expenses of a Fund excluding: (i) taxes; (ii) portfolio brokerage commissions; (iii) interest; (iv) litigation and indemnification expenses and other extraordinary expenses not incurred in the ordinary course of the Fund’s business; (v) acquired fund fee expenses paid indirectly; (vi) short dividend expense; (vii) Rule 12b-1 fees; (viii) transfer agency fees; and (ix) fees under any agreements or plans of the Fund dealing with services for shareholders and others with beneficial interests in shares of the Trust.

“Expense Limit” means the percentage of a Fund’s average annual net assets (on an annualized basis) set forth below.

The Adviser agrees to waive advisory fees and, to the extent necessary, reimburse other expenses of the Fund, in an amount equal to the amount by which the Expenses of such Fund exceed the Expense Limit for such Fund set forth in the table below.

The Expense Limit for each of the Funds indicated below for the purposes of this Appendix shall be as follows:

						Expiration Date of
Fund		Annual Expense Limit				Expense Limit
None

For purposes of the second part of this Appendix:

“Expenses” means all the expenses of a Fund excluding: (i) taxes; (ii) portfolio brokerage commissions; (iii) interest; (iv) litigation and indemnification expenses and other extraordinary expenses not incurred in the ordinary course of the Fund’s business; (v) acquired fund fee expenses paid indirectly; (vi) short dividend expense; and (vii) fees under any agreements or plans of the Fund dealing with services for shareholders and others with beneficial interests in shares of the Trust.

For ▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇ Fund, the Adviser and its affiliates agree to waive a portion of their fees and/or reimburse certain Expenses in order to reduce the total annual fund operating expenses for Class A, Class B, Class C and Class I shares by 0.05% of the Fund’s average daily net assets. These fee waivers and/or expense reimbursements expire on September 30, 2012, unless renewed by mutual agreement of the Fund and the Adviser based upon a determination that this is appropriate under the circumstances at the time.*

APPENDIX C

Class Level Contractual Expense Limitations

For purposes of this Appendix:

“Expenses” means all the expenses of a class of shares of the Fund (including those expenses of the Fund attributable to such class) but excluding: (i) taxes; (ii) portfolio brokerage commissions; (iii) interest; (iv) litigation and indemnification expenses and other extraordinary expenses not incurred in the ordinary course of the Fund’s business; (v) acquired fund fee expenses paid indirectly; (vi) short dividend expense; and (vii) fees under any agreements or plans of the Fund dealing with services for shareholders and others with beneficial interests in shares of the Fund.

“Expense Limit” means the percentage of average annual net assets (on an annualized basis) attributable to a class of shares of the Fund set forth below.

The Adviser agrees to waive advisory fees and, to the extent necessary, reimburse expenses or make payment to a specific class of shares of the Fund (up to the amount of the expenses relating solely to such class of shares), in an amount equal to the amount by which the Expenses of such class of shares exceed the Expense Limit for such class set forth in the table below.

The Expense Limit for the classes of shares of the Fund indicated below for the purposes of this Appendix shall be as follows:

																																		Expiration
		Classes																																Date of
Fund		A				B				C				I				R1				R3				R4				R5				Expense Limit
Balanced Fund			N/A				N/A				N/A				N/A				1.63	%			1.53	%			1.23	%			0.93	%		2/29/2012
Classic Value Fund			1.33	%			2.08	%			2.08	%			0.94	%			1.83	%			1.73	%			1.43	%			1.13	%		2/29/2012
Financial Industries Fund			1.50	%			2.20	%			2.20	%			1.02	%			▇/▇				▇/▇				▇/▇				▇/▇			▇/▇▇/▇▇▇▇
▇▇▇▇▇▇▇ ▇▇▇▇▇ Opportunities Fund			N/A				N/A				N/A				1.53	%			N/A				N/A				N/A				N/A			2/29/2012
Large Cap Equity Fund			N/A				N/A				N/A				N/A				1.61	%			1.51	%			1.21	%			0.91	%		2/29/2012
Mid Cap Equity Fund			1.45	%			2.15	%			2.15	%			0.99	%			N/A				N/A				N/A				N/A			2/29/2012
Small Cap Equity Fund			1.64	%			2.34	%			2.34	%			1.09	%			▇/▇				▇/▇				▇/▇				▇/▇			▇/▇▇/▇▇▇▇
▇.▇. Global Leaders Growth Fund			1.30	%			2.05	%			2.05	%			0.85	%			N/A				N/A				N/A				N/A			2/29/2012
Government Income Fund			1.09	%			1.84	%			1.84	%			▇/▇				▇/▇				▇/▇				▇/▇				▇/▇			9/30/20121

																																		Expiration
		Classes																																Date of
Fund		A				B				C				I				R1				R3				R4				R5				Expense Limit
Investment Grade Bond Fund			0.98	%			1.73	%			1.73	%			0.67	%2			▇/▇				▇/▇				▇/▇				▇/▇			▇/▇▇/▇▇▇▇▇
▇▇▇▇▇▇▇▇▇▇▇▇▇ Tax-Free Income Fund			0.95	%			1.65	%			1.65	%			▇/▇				▇/▇				▇/▇				▇/▇				▇/▇			▇/▇▇/▇▇▇▇
▇▇▇ ▇▇▇▇ Tax-Free Income Fund			0.94	%			1.64	%			1.64	%			▇/▇				▇/▇				▇/▇				▇/▇				▇/▇			9/30/2011
Strategic Income Fund			N/A				N/A				N/A				N/A				1.23	%			1.13	%			0.83	%			0.53	%		9/30/2011

APPENDIX D

Fund Level Contractual Investment Management Fee Waivers

The Adviser agrees to limit ▇▇▇▇ ▇▇▇▇▇▇▇ Money Market Fund’s management fee to a maximum annual rate of 0.40% of the Fund’s average daily net assets. The limitation will continue until at least July 31, 2012.*

The Adviser agrees to limit ▇▇▇▇ ▇▇▇▇▇▇▇ Government Income Fund’s management fee to a maximum annual rate of 0.55% of the Fund’s average daily net assets. The limitation will continue until at least September 30, 2012.**

APPENDIX E

Fund Level Voluntary Limit on Total Operating Expenses

For purposes of this Appendix:

“Expenses” means all the expenses of a Fund excluding: (i) taxes; (ii) portfolio brokerage commissions; (iii) interest; (iv) litigation and indemnification expenses and other extraordinary expenses not incurred in the ordinary course of the Fund’s business; (v) acquired fund fee expenses paid indirectly; (vi) short dividend expense; (vii) Rule 12b-1 fees; (viii) transfer agency fees; and (ix) fees under any agreements or plans of the Fund dealing with services for shareholders and others with beneficial interests in shares of the Trust.

“Expense Limit” means the percentage of a Fund’s average annual net assets (on an annualized basis) set forth below.

The Adviser agrees to waive advisory fees and, to the extent necessary, reimburse other expenses of the Fund, in an amount equal to the amount by which the Expenses of such Fund exceed the Expense Limit for such Fund set forth in the table below.

The Expense Limit for each of the Funds indicated below for the purposes of this Appendix shall be as follows:

						Expiration Date of
Fund		Annual Expense Limit				Expense Limit*
Mid Cap Equity Fund			0.95	%		Voluntary
U.S. Global Leaders Growth Fund			0.82	%		Voluntary

APPENDIX F

Class Level Voluntary Limit on Total Operating Expenses

For ▇▇▇▇ ▇▇▇▇▇▇▇ Money Market Fund, the Adviser and its affiliates may voluntarily waive a portion of their fees (including, but not limited to, distribution and service (Rule 12b-1) fees) and/or reimburse certain expenses to the extent necessary to assist the Fund in attempting to avoid a negative yield. These fee waivers and/or expense reimbursements are voluntary and may be amended or terminated at any time by the Adviser on notice to the Trust.