<DOCUMENT>
<TYPE>EX-99.(K)(2)
<SEQUENCE>10
<FILENAME>b48195isexv99wxkyx2y.txt
<DESCRIPTION>ACCOUNTING AND LEGAL SERVICES AGREEMENT
<TEXT>
<PAGE>

                                                                EXHIBIT 99(k)(2)

                                                           As of January 1, 1996

                      ACCOUNTING & LEGAL SERVICES AGREEMENT

John Hancock Advisers, Inc.
101 Huntington Avenue
Boston, Massachusetts  02199

Dear Sir:

The John Hancock Funds listed on Schedule A (the "Funds") have selected John
Hancock Advisers, Inc. (the "Administrator") to provide certain accounting and
legal services for the Funds, as more fully set forth below, and you are willing
to provide such services under the terms and conditions hereinafter set forth.
Accordingly, the Funds agree with you as follows:

1.   Services. Subject to the general supervision of the Board of
     Trustees/Directors of the Funds, you will provide certain tax, accounting
     and legal services (the "Services") to the Funds. You will, to the extent
     such services are not required to be performed by you pursuant to an
     investment advisory agreement, provide:

           (A) such tax, accounting, recordkeeping and financial management
               services and functions as are reasonably necessary for the
               operation of each Fund. Such services shall include, but shall
               not be limited to, supervision, review and/or preparation and
               maintenance of the following books, records and other documents:
               (1) journals containing daily itemized records of all purchases
               and sales, and receipts and deliveries of securities and all
               receipts and disbursements of cash and all other debits and
               credits, in the form required by Rule 31a-1(b) (1) under the Act;
               (2) general and auxiliary ledgers reflecting all asset,
               liability, reserve, capital, income and expense accounts, in the
               form required by Rules 31a-1(b) (2) (i)-(iii) under the Act; (3)
               a securities record or ledger reflecting separately for each
               portfolio security as of trade date all "long" and "short"
               positions carried by each Fund for the account of the Funds, if
               any, and showing the location of all securities long and the
               off-setting position to all securities short, in the form
               required by Rule 31a-1(b) (3) under the Act; (4) a record of all
               portfolio purchases or sales, in the form required by Rule
               31a-1(b) (6) under the Act; (5) a record of all puts, calls,
               spreads, straddles and all other options, if any, in which any
               Fund has any direct or indirect interest or which the Funds have
               granted or guaranteed, in the form required by Rule 31a-1(b) (7)
               under the Act; (6) a record of the proof of money balances in all
               ledger accounts maintained pursuant to this Agreement, in the
               form required by Rule 31a-1(b) (8) under the Act; (7) price
               make-up sheets and such records as are necessary to reflect the
               determination of each Funds' net asset value; and (8) arrange
               for, or participate in (a) the preparation for the Fund of all
               required tax returns, (b) the preparation and submission of
               reports to existing shareholders and (c) the preparation of
               financial data or reports required by the Securities and Exchange
               Commission and other regulatory authorities;

                                        1
<PAGE>

           (B) certain legal services as are reasonably necessary for the
               operation of each Funds. Such services shall include, but shall
               not be limited to; (1) maintenance of each Fund's registration
               statement and federal and state registrations; (2) preparation of
               certain notices and proxy materials furnished to shareholders of
               the Funds; (3) preparation of periodic reports of each Fund to
               regulatory authorities, including Form N-SAR and Rule 24f-2 legal
               opinions; (4) preparation of materials in connection with
               meetings of the Board of Trustees/Directors of the Funds; (5)
               preparation of written contracts, distribution plans, compliance
               procedures, corporate and trust documents and other legal
               documents; (6) research advice and consultation about certain
               legal, regulatory and compliance issues, (7) supervision,
               coordination and evaluation of certain services provided by
               outside counsel.

           (C) provide the Funds with staff and personnel to perform such
               accounting, bookkeeping and legal services as are reasonably
               necessary to effectively service the Fund. Without limiting the
               generality of the foregoing, such staff and personnel shall be
               deemed to include officers of the Administrator, and persons
               employed or otherwise retained by the Administrator to provide or
               assist in providing of the services to the Fund.

           (D) maintain all books and records relating to the foregoing
               services; and

           (E) provide the Funds with all office facilities to perform tax,
               accounting and legal services under this Agreement.

2.   Compensation of the Administrator The Funds shall reimburse the
     Administrator for: (1) a portion of the compensation, including all
     benefits, of officers and employees of the Administrator based upon the
     amount of time that such persons actually spend in providing or assisting
     in providing the Services to the Funds (including necessary supervision and
     review); and (2) such other direct and indirect expenses, including, but
     not limited to, those listed in paragraph (1) above, incurred on behalf of
     the Fund that are associated with the providing of the Services and (3) 10%
     of the reimbursement amount. In no event, however, shall such reimbursement
     exceed levels that are fair and reasonable in light of the usual and
     customary charges made by others for services of the same nature and
     quality. Compensation under this Agreement shall be calculated and paid
     monthly in a arrears.

3.   No Partnership or Joint Venture. The Funds and you are not partners of or
     joint ventures with each other and nothing herein shall be construed so as
     to make you such partners or joint venturers or impose any liability as
     such on any of you.

4.   Limitation of Liability of the Administrator. You shall not be liable for
     any error of judgment or mistake of law or for any loss suffered by the
     Funds in connection with the matters to which this Agreement relates,
     except a loss resulting from willful misfeasance, bad faith or gross
     negligence on your part in the performance of your duties or from reckless
     disregard by you of your obligations and duties under this Agreement. Any
     person, even though also employed by you, who may be or become an employee
     of and paid by the Funds shall be deemed, when acting within the scope of
     his or her employment by the Funds, to be acting in such employment solely
     for the Funds and not as your employee or agent.

                                        2
<PAGE>

5.   Duration and Termination of this Agreement. This Agreement shall remain in
     force until the second anniversary of the date upon which this Agreement
     was executed by the parties hereto, and from year to year thereafter, but
     only so long as such continuance is specifically approved at least annually
     by a majority of the Trustees/Directors. This Agreement may, on 60 days'
     written notice, be terminated at any time without the payment of any
     penalty by the Funds by vote of a majority of the Trustees/Directors, or by
     you. This Agreement shall automatically terminate in the event of its
     assignment.

6.   Amendment of this Agreement. No provision of this Agreement may be changed,
     waived, discharged or terminated orally, but only by an instrument in
     writing signed by the party against which enforcement of the change, waiver
     or termination is sought.

7.   Governing Law. This Agreement shall be governed by and construed in
     accordance with the laws of The Commonwealth of Massachusetts without
     regard to the choice of law provisions thereof.

8.   Miscellaneous. The captions in this Agreement are included for convenience
     of reference only and in no way define or limit any of the provisions
     hereof or otherwise affect their construction or effect. This Agreement may
     be executed simultaneously in two or more counterparts, each of which shall
     be deemed an original, but all of which together shall constitute one and
     the same instrument. A copy of the Declaration of Trust of each Fund
     organized as Massachusetts business trusts is on file with the Secretary of
     State of the Commonwealth of Massachusetts. The obligations of each such
     Fund are not personally binding upon, nor shall resort be had to the
     private property of, any of the Trustees, shareholders, officers, employees
     or agents of the Fund, but only the Fund's property shall be bound.

                                         Yours very truly,

                                          JOHN HANCOCK FUNDS (See Schedule A)

                                          By:  /s/James B. Little
                                               ---------------------------------
                                               James B. Little
                                               Senior Vice President

The foregoing contract
is hereby agreed to as
of the date hereof.

JOHN HANCOCK ADVISERS, INC.

By:  /s/Anne C. Hodsdon
     ----------------------------
     Anne C. Hodsdon
     President

                                        3
<PAGE>

                      ACCOUNTING & LEGAL SERVICES AGREEMENT

                                   SCHEDULE A

as of June 19, 2003

John Hancock Capital Series
 - John Hancock Core Equity Fund
 - John Hancock Classic Value Fund
 - John Hancock U.S. Global Leaders Growth Fund
John Hancock Income Securities Trust
John Hancock Investors Trust
John Hancock Sovereign Bond Fund
 - John Hancock Bond Fund
John Hancock Strategic Series
 - John Hancock Strategic Income Fund
 - John Hancock High Income Fund
John Hancock Tax-Exempt Series Fund
 - John Hancock Massachusetts Tax-Free Income Fund
 - John Hancock New York Tax-Free Income Fund
John Hancock World Fund
 - John Hancock Pacific Basin Equities Fund
 - John Hancock Health Sciences Fund
 - John Hancock Biotechnology Fund
 - John Hancock International Small Cap Growth Fund
John Hancock Series Trust
 - John Hancock Small Cap Growth Fund
 - John Hancock Multi Cap Growth Fund
 - John Hancock 500 Index Fund
 - John Hancock Real Estate Fund
 - John Hancock Focused Equity Fund
John Hancock Institutional Series Trust
 - John Hancock Dividend Performers Fund
 - John Hancock Focused Small Cap Growth Fund
 - John Hancock Independence Diversified Core Equity Fund II
John Hancock Bond Trust
 - John Hancock Government Income Fund
 - John Hancock High Yield Bond Fund
 - John Hancock Investment Grade Bond Fund
John Hancock California Tax-Free Income Fund
John Hancock Current Interest
 - John Hancock Money Market Fund
 - John Hancock U.S. Government Cash Reserve
John Hancock Investment Trust
 - John Hancock Large Cap Equity Fund
 - John Hancock Sovereign Investors Fund
 - John Hancock Balanced Fund
 - John Hancock Fundamental Value Fund
 - John Hancock Strategic Growth Fund

                                        4
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John Hancock Tax-Free Bond Trust
 - John Hancock Tax-Free Bond Fund
 - John Hancock High Yield Municipal Bond Fund
John Hancock Investment Trust II
 - John Hancock Financial Industries Fund
 - John Hancock Regional Bank Fund
 - John Hancock Small Cap Equity Fund
John Hancock Investment Trust III
 - John Hancock Global Fund
 - John Hancock Large Cap Growth Fund
 - John Hancock International Fund
 - John Hancock Mid Cap Growth Fund
John Hancock Equity Trust
 - John Hancock Growth Trends Fund
 - John Hancock Large Cap Spectrum Fund
John Hancock Preferred Income Fund
John Hancock Preferred Income Fund II
John Hancock Preferred Income Fund III

                                        5

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