OMB APPROVAL
OMB Number: 3235-0570
Expires: August 31, 2010
Estimated average burden
hours per response.....18.9
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-02864
Pioneer Bond Fund
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Dorothy E. Bourassa, Pioneer Investment Management, Inc.,
60 State Street, Boston, MA 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: (617) 742-7825
Date of fiscal year end: June 30
Date of reporting period: July 1, 2009 through December 31, 2009
Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO SHAREOWNERS.
Pioneer Bond Fund
- --------------------------------------------------------------------------------
Semiannual Report | December 31, 2009
- --------------------------------------------------------------------------------
Ticker Symbols:
Class A PIOBX
Class B PBOBX
Class C PCYBX
Class R PBFRX
Class Y PICYX
Class Z PIBZX
[LOGO] PIONEER
Investments(R)
visit us: pioneerinvestments.com
Table of Contents
Letter to Shareowners 2
Portfolio Management Discussion 4
Portfolio Summary 8
Prices and Distributions 9
Performance Update 10
Comparing Ongoing Fund Expenses 16
Schedule of Investments 18
Financial Statements 48
Financial Highlights 52
Notes to Financial Statements 58
Approval of Investment Advisory Agreement 67
Trustees, Officers and Service Providers 71
Pioneer Bond Fund | Semiannual Report | 12/31/09 1
President's Letter
Dear Shareowner,
Stock and bond markets around the globe have begun to recover over the past
year from one of their most tumultuous periods in history. This is a welcome
relief, and we are generally optimistic about the prospects for the economy
going forward. Still, challenges remain. Unemployment is high; consumer demand
and loan growth are weak; and housing has not returned to normal.
At Pioneer, we have long advocated the benefits of investing for the long term.
This strategy has generally performed well for many investors. Those who
remained invested in the market during the downturn have most likely seen their
portfolios start to recover over the past year, as the Dow Jones Industrial
Average climbed back from the depressed levels we saw in early 2009. Many bond
investors have similarly seen a strong rebound, with a broad-based recovery
occurring across many different fixed-income asset classes. The riskiest asset
classes, such as high-yield bonds, outperformed other fixed-income asset
classes during most of 2009.
At Pioneer, we are not changing the approach to investing that we have used for
more than 80 years. We remain focused on company fundamentals and risk
management. Our investment process is based on careful research into individual
companies, quantitative analysis, and active portfolio management. This
three-pillared process, which we apply to each of our portfolios, is supported
by an integrated team approach and is designed to carefully balance risk and
reward. While we see potential opportunities for making money in many corners
of the markets around the globe, it takes research and experience to separate
solid investment opportunities from speculation.
Following this difficult period, many investors are rethinking their approach
to investing and risk management. Some are questioning whether the basic
investment principles they were taught in the past are still useful in today's
markets. Complicating matters is that financial markets remain unpredictable.
Our advice, as always, is to work closely with a trusted financial advisor to
discuss your goals and work together to develop an investment strategy that
meets your individual needs. There is no single best strategy that works for
every investor.
2 Pioneer Bond Fund | Semiannual Report | 12/31/09
We invite you to learn more about Pioneer and our time-tested approach to
investing by consulting with your financial advisor or visiting us online at
www.pioneerinvestments.com. We greatly appreciate your trust in us and we thank
you for investing with Pioneer.
Respectfully,
/s/ Daniel K. Kingsbury
Daniel K. Kingsbury
President and CEO
Pioneer Investment Management USA, Inc.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of the opinion of Fund management as of the date of this report.
These statements should not be relied upon for any other purposes. Past
performance is no guarantee of future results, and there is no guarantee that
market forecasts discussed will be realized.
Pioneer Bond Fund | Semiannual Report | 12/31/09 3
Portfolio Management Discussion | 12/31/09
Credit-sensitive bond prices continued their dramatic comeback during the
second half of 2009, maintaining the upward momentum they established early in
the year. In the following interview, Kenneth J. Taubes discusses the factors
that influenced the performance of Pioneer Bond Fund during the six months
ended December 31, 2009. Mr. Taubes, Head of U.S. Portfolio Management at
Pioneer Investments, is responsible for the daily management of the Fund.
Q How did the Fund perform during the six months ended December 31, 2009?
A The Fund performed well. Pioneer Bond Fund's Class A shares returned 8.51% at
net asset value over the six months ended December 31, 2009, while the
Fund's benchmark, the Barclays Capital (formerly Lehman Brothers) Aggregate
Bond Index (the Barclays Aggregate Index), returned 3.95%. Over the same
period, the average return of the 156 funds in Lipper's Corporate Debt,
A-rated, category was 7.87%. On December 31, 2009, the Fund's 30-day SEC
yield on Class A shares was 4.53%.
Q What were the principal factors affecting the Fund's performance during the
six months ended December 31, 2009?
A The Fund's emphasis on credit-sensitive securities, including investment-
grade and high-yield corporate bonds, was the primary factor supporting its
strong performance relative to both the Barclays Aggregate Index and the
Lipper group over the six-month period. The Fund's performance benefited
from the continuation of market trends that started early in 2009, as
investors became increasingly willing to invest in securities carrying
credit risk. Lower-rated securities substantially outperformed Treasuries
and other high-grade bonds throughout 2009, including during the six-month
period ended December 31; this reversed the trends of 2008, when
higher-quality securities produced the best returns.
Several factors were responsible for the turnabout, which occurred despite
lackluster growth trends in the general economy. First, the widening of
yield differences -- or spreads -- between lower-rated bonds and government
and other higher-rated securities had reached 50-year peaks by the end of
2008. Corporate bonds were selling at very cheap valuations. Investment-grade
corporate securities, for example, were priced as if bond default rates
would approach Great Depression-era levels. Second, with their low-
interest-rate monetary policies, the U.S. Federal Reserve (the Fed) and the
central banks of other major economies incentivized investors to accept
4 Pioneer Bond Fund | Semiannual Report | 12/31/09
more credit risk in return for greater yields. Third, major banking
institutions were successful in raising new capital, which directly
strengthened their balance sheets and indirectly encouraged investors to
return to asset classes they had abandoned in 2008 during the credit
crisis.
The resurgence in corporate bond performance, which had gained traction in
March 2009, persisted throughout the six-month period ended December 31,
2009. Over the six months, securities with lower credit ratings generally
outperformed higher-quality debt. For example, the Bank of America/Merrill
Lynch High Yield Master II Index, which measures the performance of
lower-rated or "high-yield" securities, generated a 21.75% total return for
the same six-month period ended December 31, 2009, while the Barclays
Capital Government Bond Index, which tracks government agency and other
government-related issues, rose by just 1.00%. As a result, investors who
had held credit-sensitive securities throughout the market cycle of 2008
and 2009 earned positive returns by the end of 2009, demonstrating the
value of keeping a longer-term view.
Q What were your principal investment strategies for the Fund during the six
months ended December 31, 2009?
A After their strong underperformance in 2008, we believed credit-sensitive
securities offered tremendous potential value, and so we kept the Fund
overweighted, relative to the Barclays Aggregate Index, in both investment-
grade and high-yield corporate bonds. We anticipated that the Fed's
monetary policy, combined with the Federal government's stimulus programs,
would lead to an economic recovery, which would support corporate earnings.
Although we had reduced the Fund's exposure to credit-related securities
entering 2008, we began increasing the portfolio's exposure back in the
summer and fall of 2008, and we continued to add to the positions through
early 2009. The positioning proved successful, as corporate bonds continued
to rebound throughout the second half of 2009. In addition to the Fund's
general exposure to corporate debt, we maintained an overweighted position
in bonds of some larger financial institutions, focusing on higher-quality
banking corporations such as Goldman Sachs, JPMorgan Chase and U.S.
Bancorp, and on financially strong insurance companies such as Met Life and
Travelers. At the same time, we also emphasized investments in bonds of
companies positioned to benefit from an economic recovery, such as
industrials and materials institutions.
At December 31, 2009, approximately 15.7% of the Fund's net assets were
invested in high-yield corporate bonds (rated BB and below), with another
32.7% of assets invested in investment-grade debt rated either BBB or A.
Government securities, primarily government-agency mortgage-backed
securities, represented 42.3% of net assets. The portfolio's average credit
Pioneer Bond Fund | Semiannual Report | 12/31/09 5
quality stood at "A" on December 31, 20091, down from the A+ average from
six months earlier, while the Fund's average effective duration was 4.19
years, slightly less than the Barclays Aggregate Index.
1 Average Credit Quality is an asset weighted average of the higher rating
of the fixed income securities, cash, and cash equivalents in the Fund as
provided by Moody's or S&P. The rating also includes securities that have
not been rated by either of the rating agencies, which has the effect of
reducing the overall average. Source: Wilshire Axiom.
Q What types of investments most affected Fund performance during the six
months ended December 31, 2009?
A Overweighting of credit-sensitive securities was the primary factor in the
Fund's strong relative performance during the final six months of 2009, as
well as for the full calendar year. Holdings in BBB-rated corporate debt,
as well as high-yield bond exposure helped returns significantly, both
because of the higher yields they offered and because of the price
appreciation that occurred as the market for corporate securities
rebounded. In addition, the Fund's underweighted position in government
securities added to relative returns.
Among individual holdings, notable contributions to the Fund's results came
from investments in bonds of Lear, a producer of seating and electronic
systems for the automotive market. The company's bonds gained after the
corporation emerged from bankruptcy protection with a stronger financial
structure. Securities of two real estate-related corporations also added to
the Fund's performance: Forest City Enterprises and Australia-based Westfield
Finance.
Even during a period of strong performance, the Fund did have some
investments that detracted from results, including securities of CIT, a
commercial lending firm that filed for bankruptcy, and Kingsway America, an
auto insurer based in Canada that specializes in non-standard coverage for
high-risk drivers. We sold the positions in CIT securities.
Q What is your investment outlook?
A As we enter 2010, we think corporate debt securities still are modestly
undervalued compared to historical norms. We also think the economy should
continue to get a boost from the effects of the U.S. government's monetary
and fiscal stimulus programs, which should help sustain the general
recovery and the improvement in corporate earnings. In this environment, we
think credit-sensitive securities should outperform government bonds,
although the level of absolute returns will almost certainly fall short of
2009's results. In addition, global growth should provide the U.S. with
expansion opportunities, as the dollar's weakened competitiveness should
allow for some export growth.
6 Pioneer Bond Fund | Semiannual Report | 12/31/09
Going forward, we intend to continue to favor corporate bonds and loans,
and non-agency mortgage-backed securities, two groups which we think offer
superior potential on a total return basis. At the same time, with the
effects of the Fed's zero-interest-rate policy still being felt, we expect
to keep the portfolio's interest-rate positioning neutral; and we
anticipate maintaining an underweighted exposure to government-agency
mortgages, which appear expensive in relation to historical trends.
Please refer to the Schedule of Investments on pages 18-47 for a full listing
of Fund securities.
When interest rates rise, the prices of fixed-income securities in the Fund
will generally fall. Conversely, when interest rates fall, the prices of
fixed-income securities in the Fund will generally rise. Investments in the
Fund are subject to possible loss due to the financial failure of issuers of
underlying securities and their inability to meet their debt obligations.
Prepayment risk is the chance that mortgage-backed bonds will be paid off early
if falling interest rates prompt homeowners to refinance their mortgages.
Forced to reinvest the unanticipated proceeds at lower interest rates, the Fund
would experience a decline in income and lose the opportunity for additional
price appreciation associated with falling interest rates. Investments in
high-yield or lower-rated securities are subject to greater-than-average risk.
The securities issued by U.S. Government sponsored entities (i.e., FNMA,
Freddie Mac) are neither guaranteed nor issued by the U.S. Government. The
portfolio may invest in mortgage-backed securities, which during times of
fluctuating interest rates may increase or decrease more than other
fixed-income securities. At times, the Fund's investments may represent
industries or industry sectors that are interrelated or have common risks,
making it more susceptible to any economic, political, or regulatory
developments or other risks affecting those industries and sectors.
Past performance is no guarantee of future results, and there is no guarantee
that market forecasts discussed will be realized.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of the opinion of Fund management as of the date of this report.
These opinions should not be relied upon for any other purposes.
Pioneer Bond Fund | Semiannual Report | 12/31/09 7
Portfolio Summary | 12/31/09
Portfolio Diversification
- --------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
U.S. Corporate Bonds 40.3%
U.S. Government Securities 29.5%
Collateralized Mortgage Obligations 13.0%
Senior Secured Loans 6.5%
Temporary Cash Investments 5.1%
Asset Backed Securities 3.2%
Municipal Bonds 0.8%
Convertible Corporate Bonds 0.7%
Preferred Stock 0.6%
U.S. Common Stocks 0.1%
Warrants 0.1%
Foreign Government Bonds 0.1%
Portfolio Quality
- --------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
AAA 2.0%
AA 4.5%
A 11.7%
BBB 21.0%
BB 10.4%
B & Lower 5.3%
Commercial Paper 2.8%
Treasury/Agency 42.3%
10 Largest Holdings
- --------------------------------------------------------------------------------
(As a percentage of total long-term holdings)*
1. U.S. Treasury Bonds, 2.75%, 2/15/19 1.84%
- --------------------------------------------------------------------------------
2. U.S. Treasury Notes, 4.5%, 8/15/39 1.12
- --------------------------------------------------------------------------------
3. U.S. Treasury Bonds, 3.875%, 5/15/18 1.03
- --------------------------------------------------------------------------------
4. U.S. Treasury Notes, 0.75%, 11/30/11 0.86
- --------------------------------------------------------------------------------
5. LB-UBS Commercial Mortgage, 5.372%, 9/15/39 0.84
- --------------------------------------------------------------------------------
6. Wachovia Bank Commercial Mortgage Trust, 4.368%, 8/15/41 0.82
- --------------------------------------------------------------------------------
7. Goldman Sachs Capital, Floating Rate Note, 12/29/49 0.76
- --------------------------------------------------------------------------------
8. U.S. Treasury Notes, 4.5%, 5/15/38 0.73
- --------------------------------------------------------------------------------
9. Forest City Enterprises, 7.625%, 6/1/15 0.65
- --------------------------------------------------------------------------------
10. U.S. Treasury Notes, 4.5%, 2/15/36 0.64
- --------------------------------------------------------------------------------
* This list excludes temporary cash investments and derivative instruments. The
Fund is actively managed, and current holdings may be different. The
holdings listed should not be considered recommendations to buy or sell any
security listed.
8 Pioneer Bond Fund | Semiannual Report | 12/31/09
Prices and Distributions | 12/31/09
Net Asset Value per Share
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Class 12/31/09 6/30/09
- --------------------------------------------------------------------------------
A $ 9.12 $ 8.63
- --------------------------------------------------------------------------------
B $ 9.07 $ 8.58
- --------------------------------------------------------------------------------
C $ 9.03 $ 8.54
- --------------------------------------------------------------------------------
R $ 9.20 $ 8.71
- --------------------------------------------------------------------------------
Y $ 9.04 $ 8.55
- --------------------------------------------------------------------------------
Z $ 9.15 $ 8.67
- --------------------------------------------------------------------------------
Distributions per Share: 7/1/09-12/31/09
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
- --------------------------------------------------------------------------------
A $ 0.2394 $ -- $ --
- --------------------------------------------------------------------------------
B $ 0.1916 $ -- $ --
- --------------------------------------------------------------------------------
C $ 0.1943 $ -- $ --
- --------------------------------------------------------------------------------
R $ 0.2239 $ -- $ --
- --------------------------------------------------------------------------------
Y $ 0.2466 $ -- $ --
- --------------------------------------------------------------------------------
Z $ 0.2499 $ -- $ --
- --------------------------------------------------------------------------------
Pioneer Bond Fund | Semiannual Report | 12/31/09 9
Performance Update | 12/31/09 Class A Shares
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Bond Fund at public offering price, compared to that
of the Barclays Capital Aggregate Bond Index.
Average Annual Total Returns
(As of December 31, 2009)
- --------------------------------------------------------------------------------
Net Asset Public Offering
Period Value (NAV) Price (POP)
- --------------------------------------------------------------------------------
10 Years 6.34% 5.85%
5 Years 4.85 3.89
1 Year 17.70 12.37
- --------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated November 1, 2009)
- --------------------------------------------------------------------------------
Gross Net
- --------------------------------------------------------------------------------
1.09% 0.85%
- --------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Barclays Capital
Bond Fund Aggregate Bond Index
12/99 9,550 10,000
10,352 11,163
12/01 11,132 12,105
12,108 13,347
12/03 13,181 13,894
13,933 14,497
12/05 14,276 14,849
14,783 15,493
12/07 15,683 16,572
14,999 17,440
12/09 17,654 18,475
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
NAV results represent the percent change in net asset value per share. Returns
would have been lower had sales charges been reflected. POP returns reflect
deduction of maximum 4.5% sales charge. All results are historical and assume
the reinvestment of dividends and capital gains. Other share classes are
available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects contractual expense limitations currently in
effect through November 1, 2013, for Class A shares. There can be no assurance
that Pioneer will extend the expense limitations beyond such time. Please see
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Barclays Capital Aggregate Bond Index is a measure of the U.S. bond market.
Index returns are calculated monthly, assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in an index.
10 Pioneer Bond Fund | Semiannual Report | 12/31/09
Performance Update | 12/31/09 Class B Shares
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Bond Fund, compared to that of the Barclays Capital
Aggregate Bond Index.
Average Annual Total Returns
(As of December 31, 2009)
- -----------------------------------------------------------------
If If
Period Held Redeemed
- -----------------------------------------------------------------
10 Years 5.39% 5.39%
5 Years 3.86 3.86
1 Year 16.59 12.59
- -----------------------------------------------------------------
Expense Ratio
(Per prospectus dated November 1, 2009)
- -----------------------------------------------------------------
Gross Net
- -----------------------------------------------------------------
1.99% 1.90%
- -----------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Barclays Capital
Bond Fund Aggregate Bond Index
12/99 10,000 10,000
10,730 11,163
12/01 11,464 12,105
12,357 13,347
12/03 13,339 13,894
13,983 14,497
12/05 14,184 14,849
14,556 15,493
12/07 15,306 16,572
14,494 17,440
12/09 16,899 18,475
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
"If Held" results represent the percent change in net asset value per share.
Returns would have been lower had sales charges been reflected. "If redeemed"
returns reflect the deduction of applicable contingent deferred sales charge
(CDSC). Effective December 1, 2004, the period during which a CDSC is applied
to withdrawals was shortened to 5 years. The maximum CDSC for Class B shares
continues to be 4%. For more complete information, please see the prospectus
for details. Note: Shares purchased prior to December 1, 2004, remain subject
to the CDSC in effect at the time you purchased those shares. For performance
information for shares purchased prior to December 1, 2004, please visit
www.pioneerinvestments.com.
All results are historical and assume the reinvestment of dividends and capital
gains. Other share classes are available for which performance and expenses
will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through November 1, 2011, for Class B shares. There can be no assurance
that Pioneer will extend the expense limitation beyond such time. Please see
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Barclays Capital Aggregate Bond Index is a measure of the U.S. bond market.
Index returns are calculated monthly, assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in an index.
Pioneer Bond Fund | Semiannual Report | 12/31/09 11
Performance Update | 12/31/09 Class C Shares
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Bond Fund, compared to that of the Barclays Capital
Aggregate Bond Index.
Average Annual Total Returns
(As of December 31, 2009)
- -----------------------------------------------------------------
If If
Period Held Redeemed
- -----------------------------------------------------------------
10 Years 5.37% 5.37%
5 Years 3.91 3.91
1 Year 16.64 16.64
- -----------------------------------------------------------------
Expense Ratio
(Per prospectus dated November 1, 2009)
- -----------------------------------------------------------------
Gross Net
- -----------------------------------------------------------------
1.83% 1.83%
- -----------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Barclays Capital
Bond Fund Aggregate Bond Index
12/99 10,000 10,000
10,755 11,163
12/01 11,440 12,105
12,318 13,347
12/03 13,275 13,894
13,928 14,497
12/05 14,135 14,849
14,498 15,493
12/07 15,269 16,572
14,469 17,440
12/09 16,876 18,475
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). The performance of Class C shares does not
reflect the 1% front-end sales charge in effect prior to February 1, 2004. If
you paid a 1% sales charge, your returns would be lower than those shown above.
"If Held" results represent the percent change in net asset value per share.
Returns would have been lower had sales charges been reflected. All results are
historical and assume the reinvestment of dividends and capital gains. Other
share classes are available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Barclays Capital Aggregate Bond Index is a measure of the U.S. bond market.
Index returns are calculated monthly, assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in an index.
12 Pioneer Bond Fund | Semiannual Report | 12/31/09
Performance Update | 12/31/09 Class R Shares
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Bond Fund, compared to that of the Barclays Capital
Aggregate Bond Index.
Average Annual Total Returns
(As of December 31, 2009)
- -----------------------------------------------------------------
If If
Period Held Redeemed
- -----------------------------------------------------------------
10 Years 6.01% 6.01%
5 Years 4.52 4.52
1 Year 17.31 17.31
- -----------------------------------------------------------------
Expense Ratio
(Per prospectus dated November 1, 2009)
- -----------------------------------------------------------------
Gross Net
- -----------------------------------------------------------------
1.30% 1.25%
- -----------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Barclays Capital
Bond Fund Aggregate Bond Index
12/99 10,000 10,000
10,792 11,163
12/01 11,547 12,105
12,498 13,347
12/03 13,601 13,894
14,366 14,497
12/05 14,669 14,849
15,154 15,493
12/07 16,058 16,572
15,276 17,440
12/09 17,920 18,475
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
The performance shown for Class R shares for the period prior to the
commencement of operations of Class R shares on April 1, 2003, is based on the
performance of Class A shares, reduced to reflect the higher distribution and
service fees of Class R shares. For the period after April 1, 2003, the actual
performance of Class R shares is reflected. The performance of Class R shares
does not reflect the 1% CDSC that was in effect prior to July 1, 2004. Class R
shares are not subject to sales charges and are available for limited groups of
eligible investors, including institutional investors. All results are
historical and assume the reinvestment of dividends and capital gains. Other
share classes are available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects contractual expense limitation currently in
effect through November 1, 2011, for Class R shares. There can be no assurance
that Pioneer will extend the expense limitation beyond such time. Please see
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Barclays Capital Aggregate Bond Index is a measure of the U.S. bond market.
Index returns are calculated monthly, assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in an index.
Pioneer Bond Fund | Semiannual Report | 12/31/09 13
Performance Update | 12/31/09 Class Y Shares
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Bond Fund, compared to that of the Barclays Capital
Aggregate Bond Index.
Average Annual Total Returns
(As of December 31, 2009)
- -----------------------------------------------------------------
If If
Period Held Redeemed
- -----------------------------------------------------------------
10 Years 6.68% 6.68%
5 Years 5.19 5.19
1 Year 17.95 17.95
- -----------------------------------------------------------------
Expense Ratio
(Per prospectus dated November 1, 2009)
- -----------------------------------------------------------------
Gross Net
- -----------------------------------------------------------------
0.64% 0.64%
- -----------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Barclays Capital
Bond Fund Aggregate Bond Index
12/99 10,000 10,000
10,845 11,163
12/01 11,676 12,105
12,748 13,347
12/03 13,935 13,894
14,819 14,497
12/05 15,230 14,849
15,837 15,493
12/07 16,865 16,572
16,181 17,440
12/09 19,086 18,475
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Performance shown for periods prior to the inception of the Fund's Class Y
shares on September 20, 2001, reflects the NAV performance of the Fund's Class
A shares. The performance does not reflect differences in expenses, including
the Rule 12b-1 fees applicable to Class A shares. Since fees for Class A shares
are generally higher than those of Class Y shares, the performance for Y shares
prior to their inception would have been higher than that shown. Class Y shares
are not subject to sales charges and are available for limited groups of
eligible investors, including institutional investors. All results are
historical and assume the reinvestment of dividends and capital gains. Other
share classes are available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Barclays Capital Aggregate Bond Index is a measure of the U.S. bond market.
Index returns are calculated monthly, assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in an index.
14 Pioneer Bond Fund | Semiannual Report | 12/31/09
Performance Update | 12/31/09 Class Z Shares
- --------------------------------------------------------------------------------
Investment Returns
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Bond Fund, compared to that of the Barclays Capital
Aggregate Bond Index.
Average Annual Total Returns
(As of December 31, 2009)
- -----------------------------------------------------------------
If If
Period Held Redeemed
- -----------------------------------------------------------------
10 Years 6.46% 6.46%
5 Years 5.07 5.07
1 Year 18.36 18.36
- -----------------------------------------------------------------
Expense Ratio
(Per prospectus dated November 1, 2009)
- -----------------------------------------------------------------
Gross Net
- -----------------------------------------------------------------
0.67% 0.65%
- -----------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Barclays Capital
Bond Fund Aggregate Bond Index
12/99 10,000 10000
10,845 11163
12/01 11,663 12105
12,686 13347
12/03 13,809 13894
14,597 14497
12/05 14,957 14849
15,488 15493
12/07 16,471 16572
15,794 17440
12/09 18,694 18475
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Performance shown for periods prior to the inception of Class Z shares on July
6, 2007, reflects the NAV performance of the Fund's Class A shares. The
performance does not reflect differences in expenses, including the Rule 12b-1
fees applicable to Class A shares. Since fees for Class A shares are generally
higher than those of Class Z shares, the performance for Class Z shares prior
to their inception on July 6, 2007 would have been higher than that shown.
Class Z shares are not subject to sales charges and are available for limited
groups of eligible investors, including institutional investors. All results
are historical and assume the reinvestment of dividends and capital gains.
Other share classes are available for which performance and expenses will
differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects contractual expense limitation currently in
effect through November 1, 2013, for Class Z Shares. There can be no assurance
that Pioneer will extend the expense limitation beyond such time. Please see
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Barclays Capital Aggregate Bond Index is a measure of the U.S. bond market.
Index returns are calculated monthly, assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in an index.
Pioneer Bond Fund | Semiannual Report | 12/31/09 15
Comparing Ongoing Fund Expenses
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
- --------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value [divided by] $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period"
to estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Bond Fund
Based on actual returns from July 1, 2009 through December 31, 2009.
- ---------------------------------------------------------------------------------------------------------------------
Share Class A B C R Y Z
- ---------------------------------------------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Value on 7/1/09
- ---------------------------------------------------------------------------------------------------------------------
Ending Account Value $1,085.10 $1,079.80 $1,080.50 $1,082.40 $1,086.70 $1,084.70
(after expenses)
on 12/31/09
- ---------------------------------------------------------------------------------------------------------------------
Expenses Paid $4.47 $9.96 $9.28 $6.56 $3.21 $3.26
During Period*
- ---------------------------------------------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized expense ratio of 0.85%, 1.90%,
1.77%, 1.25%, 0.61%, and 0.62% for Class A, Class B, Class C, Class R, Class
Y, and Class Z shares, respectively, multiplied by the average account value
over the period, multiplied by 184/365 (to reflect the one-half year
period).
16 Pioneer Bond Fund | Semiannual Report | 12/31/09
Hypothetical Example for Comparison Purposes
The table below provides information about hypothetical account values and
hypothetical expenses based on the Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not the Fund's actual
return. The hypothetical account values and expenses may not be used to
estimate the actual ending account balance or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in the
Fund and other funds. To do so, compare this 5% hypothetical example with the
5% hypothetical examples that appear in the shareholder reports of the other
funds.
Please note that the expenses shown in the tables are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as sales
charges (loads) that are charged at the time of the transaction. Therefore, the
table below is useful in comparing ongoing costs only and will not help you
determine the relative total costs of owning different funds. In addition, if
these transaction costs were included, your costs would have been higher.
Expenses Paid on a $1,000 Investment in Pioneer Bond Fund
Based on a hypothetical 5% per year return before expenses, reflecting the
period from July 1, 2009 through December 31, 2009.
- ---------------------------------------------------------------------------------------------------------------------
Share Class A B C R Y Z
- ---------------------------------------------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Value on 7/1/09
- ---------------------------------------------------------------------------------------------------------------------
Ending Account Value $1,020.92 $1,015.63 $1,016.28 $1,018.90 $1,022.13 $1,022.08
(after expenses)
on 12/31/09
- ---------------------------------------------------------------------------------------------------------------------
Expenses Paid $4.33 $9.65 $9.00 $6.36 $3.11 $3.16
During Period*
- ---------------------------------------------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized expense ratio of 0.85%, 1.90%,
1.77%, 1.25%, 0.61%, and 0.62% for Class A, Class B, Class C, Class R, Class
Y, and Class Z shares, respectively, multiplied by the average account value
over the period, multiplied by 184/365 (to reflect the one-half year
period).
Pioneer Bond Fund | Semiannual Report | 12/31/09 17
Schedule of Investments | 12/31/09 (unaudited)
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
CONVERTIBLE CORPORATE BONDS -- 0.7%
ENERGY -- 0.3%
Coal & Consumable Fuels -- 0.2%
$2,680,000 BB-/NR Massey Energy Co., 3.25%, 8/1/15 $ 2,341,650
- -----------------------------------------------------------------------------------------------------
Oil & Gas Drilling -- 0.1%
1,275,000 BBB+/Baa2 Transocean Sedco, 1.625%, 12/15/37 $ 1,262,250
--------------
Total Energy $ 3,603,900
- -----------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.1%
Health Care Services -- 0.1%
2,570,000 B+/B3 Omnicare, Inc., 3.25%, 12/15/35 $ 2,091,338
--------------
Total Health Care Equipment & Services $ 2,091,338
- -----------------------------------------------------------------------------------------------------
BANKS -- 0.2%
Regional Banks -- 0.2%
2,100,000 A/A3 National City Corp., 4.0%, 2/1/11 $ 2,139,375
--------------
Total Banks $ 2,139,375
- -----------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 0.1%
Integrated Telecommunication Services -- 0.1%
709,000 B+/B1 Qwest Communications International,
3.5%, 11/15/25 $ 735,588
--------------
Total Telecommunication Services $ 735,588
- -----------------------------------------------------------------------------------------------------
TOTAL CONVERTIBLE CORPORATE BONDS
(Cost $6,784,892) $ 8,570,201
- -----------------------------------------------------------------------------------------------------
Shares
- -----------------------------------------------------------------------------------------------------
PREFERRED STOCKS -- 0.6%
DIVERSIFIED FINANCIALS -- 0.4%
Diversified Finance Services -- 0.4%
4,880 Bank of America Corp., 7.25%, 12/31/49 $ 4,294,400
--------------
Total Diversified Financials $ 4,294,400
- -----------------------------------------------------------------------------------------------------
INSURANCE -- 0.2%
Life & Health Insurance -- 0.2%
153,800 Delphi Financial Group, 7.376% 5/15/37 $ 2,737,640
--------------
Total Insurance $ 2,737,640
- -----------------------------------------------------------------------------------------------------
TOTAL PREFERRED STOCKS
(Cost $7,295,844) $ 7,032,040
- -----------------------------------------------------------------------------------------------------
COMMON STOCK -- 0.1%
AUTOMOBILES & COMPONENTS -- 0.1%
Auto Parts & Equipment -- 0.1%
22,542 Lear Corp.* $ 1,524,741
--------------
Total Automobiles & Components $ 1,524,741
- -----------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK
(Cost $1,006,417) $ 1,524,741
- -----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
ASSET BACKED SECURITIES -- 3.2%
MATERIALS -- 0.0%
Steel -- 0.0%
$ 706,528 AA+/Aa1 Master Asset Backed Securities Trust,
0.67375%, 5/25/35 $ 662,140
--------------
Total Materials $ 662,140
- -----------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.9%
Restaurants -- 0.9%
2,025,000 BBB-/Baa3 Dominos Pizza Master Issuer LLC, 5.261%,
4/25/37 $ 1,735,541
5,325,000 BB/Aaa Dominos Pizza Master Issuer LLC, 7.629%,
4/25/37 4,047,000
700,000 BBB-/Baa3 Dunkin Brands Master Finance LLC,
5.779%, 6/20/31 674,905
4,535,000 BB/Ba3 Dunkin Brands Master Finance LLC,
8.28%, 6/20/31 (144A) 3,831,894
--------------
$ 10,289,340
--------------
Total Consumer Services $ 10,289,340
- -----------------------------------------------------------------------------------------------------
BANKS -- 1.8%
Thrifts & Mortgage Finance -- 1.8%
2,150,000 0.33 AAA/Ba3 Carrington Mortgage Loan Trust, Floating
Rate Note, 10/25/36 $ 1,638,891
598,221 0.72 AA/A1 Carrington Mortgage Loan Trust, Floating
Rate Note, 2/25/35 547,800
639,896 0.63 AAA/Aa1 Carrington Mortgage Loan Trust, Floating
Rate Note, 9/25/35 539,192
1,327,493 0.38 B/Ba2 CMLTI 2006-WFH2 A2A, Floating Rate
Note, 8/25/36 957,265
2,575,000 0.74 AA+/Aa1 Countrywide Asset Backed Certificates,
Floating Rate Note, 11/25/35 2,145,241
2,667,487 5.07 AAA/Aaa Countrywide Asset Backed Certificates,
Floating Rate Note, 12/25/35 2,530,577
1,047,000 0.65 AA+/Aa1 Countrywide Asset Backed Certificates,
Floating Rate Note, 8/25/35 889,451
2,370,734 0.65 AA+/Aa1 Countrywide Asset Backed Certificates,
Floating Rate Note, 8/25/35 2,266,766
1,838,140 0.52 AAA/Aaa FBR Securitization Trust, 2.76188%,
9/25/35 1,705,349
160,351 0.77 AAA/Aaa First Franklin Mortgage Loan Asset Backed
Certificate, Floating Rate Note, 9/24/34 138,124
184,281 0.30 AAA/Aaa GSAMP Trust, Floating Rate Note,
1/25/37 180,569
356,602 0.49 AAA/Aa2 GSAMP Trust, Floating Rate Note,
11/25/35 349,890
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 19
Schedule of Investments | 12/31/09 (unaudited) (continued)
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
Thrifts & Mortgage Finance -- (continued)
$ 864,640 0.66 A/A2 GSAMP Trust, Floating Rate Note,
3/25/35 $ 831,361
602,471 0.60 AAA/Aaa GSAMP Trust, Floating Rate Note,
8/25/36 582,360
5,050,769 BBB/Baa3 Local Insight Media Finance LLC, 5.88%,
10/23/37 2,373,861
896,716 0.29 B/A2 Morgan Stanley Capital, Inc., Floating Rate
Note, 12/25/36 827,996
24,805 0.64 AA+/Aa2 Morgan Stanley Capital, Inc., Floating Rate
Note, 3/25/35 24,640
404,357 AAA/Aa2 Morgan Stanley IXIS Real Estate, 1.445%,
11/25/36 396,856
1,893,851 0.48 AAA/Aa2 SASC 2007-BC4 A3, Floating Rate Note,
11/25/37 1,766,657
--------------
$ 20,692,846
--------------
Total Banks $ 20,692,846
- --------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.5%
Consumer Finance -- 0.2%
707,151 0.31 A+/A2 Indymac Residential, Floating Rate Note,
7/25/37 $ 684,553
370,779 0.35 AAA/Aa2 Nomura Home Equity Trust, Floating Rate
Note, 3/25/36 364,386
1,500,000 0.67 AA+/Aa1 RASC 2005-KS7 M1, Floating Rate Note
8/25/35 1,177,963
--------------
$ 2,226,902
- --------------------------------------------------------------------------------------------------------
Diversified Financial Services -- 0.2%
420,000 0.67 AA/Aa2 Asset Backed Securities Corp., Floating
Rate Note, 4/25/35 $ 390,664
1,675,000 AA/NR DT Auto Owner Trust, 5.92%, 10/15/15 1,680,528
600,409 0.47 AAA/Aaa JPMorgan Mortgage Acquisition, Floating
Rate Note, 12/25/35 539,843
--------------
$ 2,611,035
- --------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 0.0%
1,725,000 0.39 CCC/Caa3 MLMI 2006-AR1 A2C, Floating Rate Note,
3/25/37 $ 666,455
- --------------------------------------------------------------------------------------------------------
Specialized Finance -- 0.1%
900,000 0.63 AAA/Aaa SLMA 2004-10 A6B, Floating Rate Note,
4/27/26 $ 857,340
--------------
Total Diversified Financials $ 6,361,732
- --------------------------------------------------------------------------------------------------------
TOTAL ASSET BACKED SECURITIES
(Cost $43,504,989) $ 38,006,058
- --------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
20 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ------------------------------------------------------------------------------------------------------
COLLATERALIZED MORTGAGE OBLIGATIONS -- 13.2%
MATERIALS -- 0.7%
Forest Products -- 0.5%
$1,435,000 AA/Aa2 T SRAR 2006-1 B, 5.7467%, 10/15/36 $ 1,348,900
4,470,000 AAA/Aaa TSTAR 2006-1A A, 5.668%, 10/15/36 4,246,500
--------------
$ 5,595,400
- ------------------------------------------------------------------------------------------------------
Steel -- 0.2%
2,019,316 AAA/Aaa GMAC Mortgage Corp. Loan Trust, 5.5%,
11/25/33 $ 2,053,077
--------------
Total Materials $ 7,648,477
- ------------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.1%
Diversified Support Services -- 0.1%
944,583 AAA/NR CW Capital Cobalt, Ltd., 5.174%,
8/15/48 $ 953,800
--------------
Total Commercial Services & Supplies $ 953,800
- ------------------------------------------------------------------------------------------------------
BANKS -- 8.5%
Thrifts & Mortgage Finance -- 8.5%
2,842,726 NR/Aaa Banc of America Alternative Loan Trust,
5.5%, 9/25/33 $ 2,833,398
1,891,727 AAA/Aaa Bayview Commercial Asset Trust,
0.67375%, 4/25/34 1,366,196
2,100,000 5.00 AAA/Aa1 BCAP LLC 2006-RR1 PB, Floating Rate
Note, 11/25/36 2,074,379
3,000,000 NR/Aa1 Chase Mortgage Finance Corp., 5.5%,
5/25/35 2,771,123
3,092,336 CCC/Caa1 Chase Mortgage Finance Corp., 5.5%,
5/25/37 2,806,295
1,182,821 AAA/AAA Countrywide Alternative Loan Trust, 5.0%,
7/25/18 1,165,079
1,072,000 AAA/Aa2 Countrywide Alternative Loan Trust,
5.125%, 3/25/34 999,212
7,000,000 AA/NR Countrywide Alternative Loan Trust, 5.5%,
4/25/35 4,103,546
2,112,447 BBB/Ba1 Countrywide Home Loan Mortgage, 4.5%,
9/25/35 1,544,997
900,000 NR/Baa3 Countrywide Home Loan Mortgage, 5.5%,
9/25/35 830,966
525,000 NR/Baa3 CWHL 2005-16 A22, 5.5%, 9/25/35 483,473
716,246 AAA/Aaa Downey Savings & Loan, 0.83625%,
7/19/44 420,221
3,375,000 AAA/Aaa GMAC Commercial Mortgage Securities,
Inc., 4.864%, 12/10/41 3,245,921
2,900,000 AAA/Aaa GS Mortgage Securities Corp. II, 7.12%,
11/18/29 3,092,938
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 21
Schedule of Investments | 12/31/09 (unaudited) (continued)
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
$ 1,230,224 0.63 NR/Aaa Impac CMB Trust, Floating Rate Note,
11/25/35 $ 861,148
390,483 1.03 AAA/Aaa Impac Securities Assets Corp., Floating
Rate Note, 11/25/34 348,818
1,555,947 0.58 AAA/Aaa Impac Securities Assets Corp., Floating
Rate Note, 5/25/36 1,191,992
2,600,000 AAA/Aaa JPMorgan Mortgage Trust, 4.5%, 8/25/19 2,506,720
3,535,377 AAA/Aa3 JPMorgan Mortgage Trust, 6.0%, 8/25/34 3,213,878
1,750,000 AAA/Aaa JPMCC 2002-C3 B, 5.146%, 7/12/35 1,724,300
10,000,000 AAA/Aaa LB-UBS Commercial Mortgage, 5.372%,
9/15/39 9,532,529
2,385,914 AA/Aa2 Master Adjustable Rate Mortgage Trust,
5.194229%, 1/25/35 1,975,886
4,318,437 AAA/AAA Master Alternative Loans Trust, 6.0%,
7/25/34 3,709,808
1,308,487 AAA/Aaa Master Asset Securitization Trust, 5.5%,
11/25/33 1,319,568
1,880,777 BB-/Ba3 Residential Funding Mortgage Securities,
5.5%, 11/25/35 1,781,629
8,510,000 5.54 A+/A3 SASC 2007 BHC1 A1, Floating Rate Note,
12/18/49 1,513,078
2,890,000 5.58 BB+/NR SASC 2007 BHC1 A2, Floating Rate Note,
12/18/49 194,584
2,010,000 NR/Ba1 SBA CMBS Trust, 6.709%, 11/15/36 2,045,175
9,308,089 AAA/Aaa Wachovia Bank Commercial Mortgage
Trust, 4.368%, 8/15/41 9,295,578
3,787,250 AAA/Aaa Wachovia Bank Commercial Mortgage
Trust, 4.803%, 10/15/41 3,624,165
972,614,895 0.15 AAA/Aaa Wachovia Bank Commercial Mortgage
Trust, Floating Rate Note, 6/15/45 1,662,782
2,050,000 AAA/Baa1 WAMU 2003-S1 A5, 5.5%, 4/25/33 2,010,035
1,829,641 AAA/Aaa WAMU Mortgage Pass-Through Certificate,
4.5%, 8/25/18 1,775,222
2,622,505 0.46 AAA/Aa1 WAMU Mortgage Pass-Through Certificate,
Floating Rate Note, 4/25/45 1,929,177
1,450,000 AAA/Aaa WBCMT 2003-C9 B, 5.109%, 12/15/35 1,292,341
2,497,738 AAA/NR Wells Fargo Mortgage Backed Securities,
5.0%, 11/25/20 2,460,272
2,057,300 NR/Baa3 Wells Fargo Mortgage Backed Securities,
5.0%, 3/25/21 1,944,149
1,319,008 AAA/Aaa Wells Fargo Mortgage Backed Securities,
5.25%, 12/25/33 1,314,680
752,894 NR/Ba2 Wells Fargo Mortgage Backed Securities,
5.5%, 11/25/35 699,739
The accompanying notes are an integral part of these financial statements.
22 Pioneer Bond Fund | Semiannual Report | 12/31/09
- --------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- --------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
$ 3,018,403 AAA/A1 Wells Fargo Mortgage Backed Securities,
5.5%, 5/25/35 $ 3,006,189
2,720,334 3.25 AAA/Aaa Wells Fargo Mortgage Backed Securities,
Floating Rate Note, 9/25/34 2,603,813
1,723,102 4.58 AAA/Aaa WFMBS 2003-N-1A1, Floating Rate Note,
12/25/33 1,717,031
4,200,000 4.76 AAA/Aaa WFMBS 2004-L A6, Floating Rate Note,
7/25/34 4,168,129
--------------
$ 99,160,159
--------------
Total Banks $ 99,160,159
- --------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 1.6%
Diversified Financial Services -- 1.5%
940,428 AAA/NR Banc of America Mortgage Securities, Inc.,
5.75%, 1/25/35 $ 930,142
3,300,000 AAA/NR Banc of America Mortgage Securities, Inc.,
5.0%, 8/25/33 3,264,007
1,610,000 6.28 NR/Aaa Chase Commercial Mortgage Securities
Corp., Floating Rate Note, 2/12/16 1,678,746
1,950,000 NR/A1 Citicorp Mortgage Securities, 5.5%,
4/25/35 1,858,289
1,832,783 NR/A2 CMSI 2006-1 3A1, 5.0%, 2/25/36 1,597,415
195,000 AA/Aa2 Crown Castle Towers LLC, 4.878%,
6/15/35 196,950
2,435,000 NR/Aa2 Crown Castle Towers LLC, 5.362%,
11/15/36 2,495,875
394,932 AAA/Aaa First Horizon Mortgage Pass-Through Trust,
5.0%, 3/25/18 396,907
2,341,014 CCC/NR JPMorgan Alternative Loan Trust, 6.0%,
3/25/36 1,653,358
997,422 AAA/Aaa Morgan Stanley Capital I, 5.25%,
12/25/17 982,726
302,421 AAA/Aaa Morgan Stanley Capital I, 7.0%, 7/25/33 279,975
1,769,072 5.66 B/Ba2 RALI 2005-QA10 A41, 5.7412%,
9/25/35 1,136,061
1,172,461 AA-/B3 Residential Accredit Loans, Inc.,
0.49875%, 5/25/47 612,034
--------------
$ 17,082,485
- --------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 0.1%
1,440,000 AAA/Aaa Banc of America Commercial Mortgage,
Inc., 4.877%, 7/10/42 $ 1,433,021
117,932,255 AAA/Aaa MSDWC 2000-1345 X, 0.7259%, 9/3/15 489,466
--------------
$ 1,922,487
--------------
Total Diversified Financials $ 19,004,972
- --------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 23
Schedule of Investments | 12/31/09 (unaudited) (continued)
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
REAL ESTATE -- 0.3%
Mortgage Real Estate Investment Trusts -- 0.3%
$3,424,138 AAA/Aaa CS First Boston Mortgage Security, 3.5%,
7/25/18 $ 3,271,719
674,488 AA/Aa2 CS First Boston Mortgage Security, 7.0%,
5/25/32 387,909
--------------
$ 3,659,628
--------------
Total Real Estate $ 3,659,628
- -----------------------------------------------------------------------------------------------------
GOVERNMENT -- 2.0%
2,700,000 NR/NR Fannie Mae Remics, 5.0%, 3/25/24 $ 2,834,790
5,000,000 NR/NR Fannie Mae Remics, 5.0%, 7/25/33 5,133,599
611,226 AAA/Aaa Fannie Mae Remics, 5.69%, 1/25/32 643,199
378,444 AAA/Aaa Federal Home Loan Bank, 6.0%, 4/15/32 394,784
2,665 NR/NR Federal National Mortgage Association,
10.3%, 4/25/19 2,780
7,751 NR/NR Federal National Mortgage Association,
10.3%, 4/25/19 9,037
3,400,000 AAA/Aaa FHR 3211 PB, 5.5%, 2/15/33 3,582,642
5,000,000 NR/NR Freddie Mac Remics, 5.0%, 6/15/33 5,139,871
1,583,912 AAA/Aaa Freddie Mac, 5.0%, 8/15/35 1,650,453
2,878,106 AAA/Aaa Freddie Mac, 6.1%, 9/15/18 2,904,471
1,477,880 AAA/A2 GSR Mortgage Loan Trust, 4.1408%,
6/25/34 1,393,729
--------------
$ 23,689,355
--------------
Total Government $ 23,689,355
- -----------------------------------------------------------------------------------------------------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost $170,634,115) $ 154,116,391
- -----------------------------------------------------------------------------------------------------
CORPORATE BONDS -- 40.9%
ENERGY -- 4.5%
Integrated Oil & Gas -- 0.2%
1,200,000 AA/Aa1 BP Capital Markets Plc, 5.25%, 11/7/13 $ 1,307,075
990,000 BBB+/Baa1 Marathon Oil Corp., 5.9%, 3/15/18 1,042,802
45,000 BBB+/Baa2 Petro-Canada, 4.0%, 7/15/13 46,459
--------------
$ 2,396,336
- -----------------------------------------------------------------------------------------------------
Oil & Gas Drilling -- 0.4%
5,150,000 BBB+/Baa2 Transocean Sedco, 1.5%, 12/15/37 $ 4,969,750
- -----------------------------------------------------------------------------------------------------
Oil & Gas Equipment & Services -- 0.4%
1,000,000 3.52 NR/NR Sevan Marine ASA, Floating Rate Note,
5/14/13 (144A) $ 790,000
2,815,000 BBB+/Baa1 Weatherford International, Ltd., 9.625%,
3/1/19 3,509,469
--------------
$ 4,299,469
- -----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
24 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -------------------------------------------------------------------------------------------------------
Oil & Gas Exploration & Production -- 1.0%
$2,180,000 BBB/Baa2 Canadian Natural Resource, 5.9%,
2/1/18 $ 2,342,861
1,020,000 BB/Ba3 Chesapeake Energy Corp., 9.5%,
2/15/15 (b) 1,119,450
160,000 BB/B1 Denbury Resources, Inc., 9.75%, 3/1/16 170,800
1,887,243 BBB+/NR Gazprom International SA, 7.201%,
2/1/20 1,922,629
1,605,000 A/Aa2 Ras Laffan Liquefied Natural Gas Co., Ltd.
III, 5.832%, 9/30/16 (144A) 1,680,772
200,000 BBB-/Baa2 TNK-BP Finance SA, 6.625%, 3/20/17 195,500
1,000,000 BBB-/Baa2 TNK-BP Finance SA, 6.625%,
3/20/17 (144A) 977,500
2,080,000 BBB-/Baa2 TNK-BP Finance SA, 7.5%,
7/18/16 (144A) 2,132,000
1,000,000 BBB-/Baa2 TNK-BP Finance SA, 7.875%,
3/13/18 (144A) 1,027,500
--------------
$ 11,569,012
- -------------------------------------------------------------------------------------------------------
Oil & Gas Refining & Marketing -- 0.5%
2,475,000 BBB/Baa2 Spectra Energy Capital, 6.2%, 4/15/18 $ 2,628,485
2,890,000 BBB/Baa2 Valero Energy Corp., 9.375%, 3/15/19 3,437,360
--------------
$ 6,065,845
- -------------------------------------------------------------------------------------------------------
Oil & Gas Storage & Transportation -- 2.0%
435,000 BBB-/Baa2 Boardwalk Pipelines LLC, 5.5%, 2/1/17 $ 432,270
1,535,000 BBB/Baa2 Buckeye Partners LP, 6.05%, 1/15/18 1,590,163
2,900,000 BBB/Baa2 DCP Midstream, 9.75%, 3/15/19 3,568,320
1,150,000 B+/B1 Holly Energy Partners LP, 6.25%, 3/1/15 1,098,250
3,250,000 BBB/Baa2 Kinder Morgan Energy, 5.95%, 2/15/18 3,442,449
1,450,000 BBB-/Baa3 NGPL Pipeco LLC, 6.514%,
12/15/12 (144A) 1,575,983
3,500,000 BBB-/Baa3 Plains All America Pipeline, 6.125%,
1/15/17 3,676,271
3,885,000 BBB+/A3 Questar Pipeline Co., 5.83%, 2/1/18 3,962,464
3,345,000 7.20 BB/Ba1 Southern Union Co., 7.2%, 11/1/66 2,859,975
1,500,000 BBB/Baa2 Spectra Energy Capital LLC, 6.75%,
7/15/18 1,595,078
--------------
$ 23,801,223
--------------
Total Energy $ 53,101,635
- -------------------------------------------------------------------------------------------------------
MATERIALS -- 2.5%
Aluminum -- 0.2%
2,290,000 B-/Caa1 Novelis, Inc., 7.25%, 2/15/15 $ 2,181,225
- -------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 25
Schedule of Investments | 12/31/09 (unaudited) (continued)
- -------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -------------------------------------------------------------------------------------------------------
Commodity Chemicals -- 0.1%
$1,700,000 B+/B1 Nova Chemicals Corp., 8.375%,
11/1/16 (144A) $ 1,725,500
- -------------------------------------------------------------------------------------------------------
Construction Materials -- 0.2%
2,260,000 6.64 B-/NR C8 Capital SPV, Ltd., Floating Rate Note,
12/31/49 $ 1,568,011
475,000 BBB/Baa2 Holcim, Ltd., 6.0%, 12/30/19 (144A) 494,423
--------------
$ 2,062,434
- -------------------------------------------------------------------------------------------------------
Diversified Metals & Mining -- 0.9%
1,865,000 BBB/Baa1 Anglo American Capital Plc, 9.375%,
4/8/14 $ 2,237,884
2,965,000 5.88 BBB-/Ba2 Freeport-McMoran Copper & Gold, Inc.,
Floating Rate Note, 4/1/15 2,948,337
2,725,000 BBB+/Baa1 Rio Tinto Finance Plc, 8.95%, 5/1/14 3,265,370
1,655,000 BB+/Ba2 Teck Resources, Ltd., 10.25%,
5/15/16 (b) 1,928,075
--------------
$ 10,379,666
- -------------------------------------------------------------------------------------------------------
Fertilizers & Agricultural Chemicals -- 0.4%
4,510,000 BBB/Baa2 Agrium, Inc., 6.75%, 1/15/19 $ 4,875,770
45,000 A-/Baa1 Potash Corp. Saskatchewan, 4.875%,
3/1/13 47,528
--------------
$ 4,923,298
- -------------------------------------------------------------------------------------------------------
Specialty Chemicals -- 0.2%
2,400,000 BBB-/Baa3 Cytec Industries, Inc., 8.95%, 7/1/17 $ 2,846,678
- -------------------------------------------------------------------------------------------------------
Steel -- 0.5%
3,900,000 BBB/Baa3 ArcelorMittal, 6.125%, 6/1/18 $ 4,024,160
1,230,000 BBB/Baa2 Commercial Metals Co., 7.35%, 8/15/18 1,311,330
- -------------------------------------------------------------------------------------------------------
$ 5,335,490
--------------
Total Materials $ 29,454,291
- -------------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 2.4%
Aerospace & Defense -- 0.3%
40,000 A/A2 Boeing Co., 5.125%, 2/15/13 $ 42,754
3,020,000 BB/Ba2 Esterline Technology, 6.625%, 3/1/17 2,944,500
--------------
$ 2,987,254
- -------------------------------------------------------------------------------------------------------
Building Products -- 0.1%
2,225,000 6.72 B-/BBB- C10 Capital SPV, Ltd., Floating Rate Note,
12/31/49 (b) $ 1,568,269
- -------------------------------------------------------------------------------------------------------
Construction & Farm Machinery & Heavy Trucks -- 0.2%
1,200,000 A/A2 Caterpillar, Inc., 7.9%, 12/15/18 (b) $ 1,463,918
910,000 BBB/Baa3 Cummins, Inc., 6.75%, 2/15/27 875,170
--------------
$ 2,339,088
- -------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
26 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
Electrical Component & Equipment -- 0.4%
$2,665,000 BB+/Ba2 Anixter International Corp., 5.95%,
3/1/15 $ 2,498,438
2,670,000 B+/Ba2 Belden CDT, Inc., 7.0%, 3/15/17 2,599,913
--------------
$ 5,098,351
- -----------------------------------------------------------------------------------------------------
Industrial Conglomerates -- 0.3%
2,950,000 BBB-/Baa2 Tyco Electronics Group SA, 6.55%,
10/1/17 $ 3,050,185
525,000 BBB+/Baa1 Tyco International Finance SA, 8.5%,
1/15/19 634,068
--------------
$ 3,684,253
- -----------------------------------------------------------------------------------------------------
Industrial Machinery -- 0.2%
2,150,000 BBB+/Baa1 Ingersoll-Rand Global Holding, 9.5%,
4/15/14 $ 2,569,115
- -----------------------------------------------------------------------------------------------------
Trading Companies & Distributors -- 0.9%
495,000 BB-/Ba2 Ace Hardware Corp., 9.125%,
6/1/16 (144A) $ 524,081
5,660,000 BBB+/Baa1 GATX Financial Corp., 6.0%, 2/15/18 (b) 5,331,282
4,160,000 BBB-/Baa2 Glencore Funding LLC, 6.0%,
4/15/14 (144A) 4,255,996
--------------
$ 10,111,359
--------------
Total Capital Goods $ 28,357,689
- -----------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.3%
Office Services & Supplies -- 0.3%
3,110,000 A/A1 Pitney Bowes, Inc., 5.6%, 3/15/18 $ 3,268,041
--------------
Total Commercial Services & Supplies $ 3,268,041
- -----------------------------------------------------------------------------------------------------
TRANSPORTATION -- 1.0%
Airlines -- 0.1%
985,332 BBB+/Baa2 Southwest Airlines Co., 7.67%, 1/2/14 $ 1,049,181
- -----------------------------------------------------------------------------------------------------
Railroads -- 0.9%
2,140,000 BBB/Baa1 Burlington Sante Fe Corp., 5.75%,
3/15/18 $ 2,273,215
3,400,000 B+/B2 Kansas City Southern Mexico, 7.625%,
12/1/13 3,349,000
5,125,000 BBB/Baa2 Union Pacific Corp., 5.7%, 8/15/18 5,368,427
--------------
$ 10,990,642
--------------
Total Transportation $ 12,039,823
- -----------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 0.4%
Household Appliances -- 0.4%
4,235,000 BBB-/Baa3 Whirlpool Corp., 5.5%, 3/1/13 $ 4,360,919
--------------
Total Consumer Durables & Apparel $ 4,360,919
- -----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 27
Schedule of Investments | 12/31/09 (unaudited) (continued)
- --------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- --------------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.8%
Casinos & Gaming -- 0.0%
$1,160,000 D/WR Station Casinos, Inc., 6.625%, 3/15/18 $ 5,800
- --------------------------------------------------------------------------------------------------------
Education Services -- 0.7%
2,160,000 AAA/Aaa Leland Stanford Junior University, 4.75%,
5/1/19 $ 2,187,475
2,470,000 AAA/Aaa President & Fellows of Harvard, 3.7%,
4/1/13 2,539,778
3,095,000 AAA/Aaa President & Fellows of Harvard, 6.3%,
10/1/37 3,227,961
--------------
$ 7,955,214
- --------------------------------------------------------------------------------------------------------
Restaurants -- 0.1%
1,200,000 A/A3 McDonald's Corp., 5.35%, 3/1/18 (b) $ 1,286,663
--------------
Total Consumer Services $ 9,247,677
- --------------------------------------------------------------------------------------------------------
MEDIA -- 0.9%
Broadcasting -- 0.6%
2,620,000 BBB+/Baa1 Grupo Telivisa SA, 6.0%, 5/15/18 (144A) $ 2,636,346
500,000 BBB+/Baa1 News America, Inc., 5.65%,
8/15/20 (144A) 520,627
4,250,000 B+/B3 Intelsat Subsidiary Holding Co., 8.5%,
1/15/13 4,335,000
--------------
$ 7,491,973
- --------------------------------------------------------------------------------------------------------
Cable & Satellite -- 0.3%
1,600,000 BBB+/Baa1 British Sky Broadcasting, 6.1%, 2/15/18
(144A) $ 1,694,941
135,000 BBB+/Baa1 Comcast Corp., 5.3%, 1/15/14 144,085
800,000 BBB/Baa2 Time Warner Cable, Inc., 8.25%, 4/1/19 952,875
425,000 BBB/Baa2 Time Warner Cable, Inc., 8.75, 2/14/19 517,979
--------------
$ 3,309,880
--------------
Total Media $ 10,801,853
- --------------------------------------------------------------------------------------------------------
RETAILING -- 0.6%
General Merchandise Stores -- 0.2%
2,000,000 A+/A2 Target Corp., 5.375%, 5/1/17 $ 2,146,278
- --------------------------------------------------------------------------------------------------------
Internet Retail -- 0.3%
3,000,000 BBB-/Ba1 Expedia, Inc., 8.5%, 7/1/16 (144A) $ 3,243,750
- --------------------------------------------------------------------------------------------------------
Specialty Stores -- 0.1%
1,795,000 B/B3 Sally Holdings LLC, 9.25%,
11/15/14 (144A) (b) $ 1,862,313
--------------
Total Retailing $ 7,252,341
- --------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
28 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ----------------------------------------------------------------------------------------------------
FOOD & DRUG RETAILING -- 0.2%
Hypermarkets & Supercenters -- 0.2%
$2,000,000 AA/Aa2 Wal-Mart Stores, Inc., 5.875%, 4/5/27 $ 2,096,358
--------------
Total Food & Drug Retailing $ 2,096,358
- ----------------------------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 1.2%
Agricultural Products -- 0.3%
3,500,000 A/A2 Cargill, Inc., 5.2%, 1/22/13 (144A) $ 3,711,201
- ----------------------------------------------------------------------------------------------------
Brewers -- 0.3%
2,930,000 BBB+/Baa2 Anheuser-Busch InBev Worldwide, Inc.,
7.75% 1/15/19 (144A) $ 3,430,429
55,000 BBB+/Baa1 Miller Brewing Co., 5.5%,
8/15/13 (144A) 58,561
--------------
$ 3,488,990
- ----------------------------------------------------------------------------------------------------
Distillers & Vintners -- 0.3%
2,765,000 BB/Ba3 Constellation Brands, Inc., 8.375%,
12/15/14 $ 2,944,725
- ----------------------------------------------------------------------------------------------------
Packaged Foods & Meats -- 0.1%
1,250,000 BBB+/A3 Kellog Co., 5.125%, 12/3/12 $ 1,356,579
- ----------------------------------------------------------------------------------------------------
Soft Drinks -- 0.1%
55,000 A/A2 Bottling Group LLC, 5.0%, 11/15/13 $ 59,471
1,000,000 A+/Aa2 PepsiCo, Inc., 7.9%, 11/1/18 1,227,255
--------------
$ 1,286,726
- ----------------------------------------------------------------------------------------------------
Tobacco -- 0.1%
1,535,000 BBB/Baa1 UST, Inc., 5.75%, 3/1/18 $ 1,496,907
--------------
Total Food, Beverage & Tobacco $ 14,285,128
- ----------------------------------------------------------------------------------------------------
HOUSEHOLD & PERSONAL PRODUCTS -- 0.1%
Household Products -- 0.1%
1,250,000 AA-/Aa3 Procter & Gamble Co., 4.6%, 1/15/14 $ 1,330,970
--------------
Total Household & Personal Products $ 1,330,970
- ----------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.5%
Health Care Facilities -- 0.2%
155,885 BB-/B2 HCA, Inc., 9.625%, 11/15/16 $ 168,746
1,050,000 BB/Ba3 HCA, Inc., 7.875%, 2/15/20 1,093,313
385,000 BB/Ba3 HCA, Inc., 8.5%, 4/15/19 414,838
310,000 BB-/B2 HCA, Inc., 9.875%, 2/15/17 342,550
--------------
$ 2,019,447
- ----------------------------------------------------------------------------------------------------
Managed Health Care -- 0.3%
3,275,000 A-/Baa1 United Health Group, 4.875%, 2/15/13 $ 3,426,515
--------------
Total Health Care Equipment & Services $ 5,445,962
- ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 29
Schedule of Investments | 12/31/09 (unaudited) (continued)
- ----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ----------------------------------------------------------------------------------------------------
PHARMACEUTICALS & BIOTECHNOLOGY -- 0.5%
Biotechnology -- 0.5%
$ 5,055,000 BBB+/Baa3 Biogen Idec, Inc., 6.0%, 3/1/13 $ 5,368,910
- ----------------------------------------------------------------------------------------------------
Pharmaceuticals -- 0.0%
1,000,000 AA/A1 Abbott Laboratories, Inc., 5.125%,
4/1/19 $ 1,045,968
--------------
Total Pharmaceuticals & Biotechnology $ 6,414,878
- ----------------------------------------------------------------------------------------------------
BANKS -- 4.9%
Diversified Banks -- 1.1%
3,515,000 A/Baa1 Barclays Plc, 6.05%, 12/4/17 (b) $ 3,577,223
3,400,000 AA-/Aa2 BNP Paribas, 1.34438%, 4/27/17 3,238,058
3,230,000 A-/Aa3 Credit Agricole SA, 8.375%, 12/13/49 3,423,800
1,855,000 A/A2 Industrial Bank of Korea, 7.125%,
4/23/14 2,074,421
--------------
$ 12,313,502
- ----------------------------------------------------------------------------------------------------
Regional Banks -- 3.8%
1,870,000 BBB+/A2 American Express Bank FSB, 5.5%,
4/16/13 $ 1,993,287
4,500,000 A/Aa3 Branch Banking & Trust Co., 4.875%,
1/15/13 (b) 4,729,352
1,190,000 A/NR Cobank ACB, 7.875%, 4/16/18 (144A) 1,289,397
2,425,000 BBB+/A3 KeyBank NA, 5.8%, 7/1/14 2,360,289
2,030,000 BBB+/Baa1 Keycorp, 6.5%, 5/14/13 2,095,240
2,505,000 A+/Aa3 Mellon Funding Corp., 5.5%, 11/15/18 2,571,052
1,435,000 A/A2 PNC Bank NA, 6.0%, 12/7/17 1,456,714
6,273,000 8.25 BBB/Baa2 PNC Funding Corp., Floating Rate Note,
5/29/49 6,338,733
2,755,000 A-/Baa1 Sovereign Bancorp, 8.75%, 5/30/18 3,183,364
6,670,000 BBB+/A3 State Street Capital, 8.25%, 3/15/42 6,831,481
4,000,000 BBB+/A2 US Bancorp, 6.189%, 4/15/2049 3,215,000
3,520,000 AA-/Aa3 Wachovia Bank NA, 6.0%, 11/15/17 3,684,539
5,470,000 A-/Ba1 Wells Fargo & Co., Floating Rate Note,
12/29/49 5,305,900
--------------
$ 45,054,348
--------------
Total Banks $ 57,367,850
- ----------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 7.4%
Asset Management & Custody Banks -- 1.1%
2,000,000 A+/Aa3 Bank of New York, 4.95%, 3/15/15 $ 2,100,732
3,945,000 A-/A3 Eaton Vance Corp., 6.5%, 10/2/17 4,079,517
4,400,000 BB+/Baa3 Janus Capital Group, Inc., 6.95%,
6/15/17 4,147,238
2,800,000 A/A2 State Street Corp., 7.65%, 6/15/10 2,881,488
--------------
$ 13,208,975
- ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
30 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ------------------------------------------------------------------------------------------------------
Consumer Finance -- 2.1%
$4,435,000 BB+/B2 American General Finance Corp., 6.9%,
12/15/17 $ 3,079,460
3,875,000 A+/A1 American Honda Finance Corp., 6.7%,
10/1/13 (144A) 4,243,396
3,400,000 BBB/A3 Capital One Bank USA NA, 8.8%,
7/15/19 4,017,668
1,700,000 BB/Baa2 Capital One Capital VI, 8.875%, 5/15/40 1,810,500
2,575,000 A/A2 Caterpillar Financial Corp., 7.05%,
10/1/18 2,947,621
2,630,000 B-/B3 Ford Motor Credit Co., 5.7%, 1/15/10 (b) 2,630,095
3,750,000 AAA/Aaa John Deere Capital Corp., 2.875%,
6/19/12 3,864,285
3,155,000 4.00 BBB-/Ba1 SLM Corp., Floating Rate Note, 7/25/14 2,535,831
--------------
$ 25,128,856
- ------------------------------------------------------------------------------------------------------
Diversified Financial Services -- 1.5%
3,000,000 A-/A3 Bank of America Corp., 7.8%, 2/15/10 $ 3,021,420
1,840,000 BBB/Baa2 Hyundai Capital Services, Inc., 6.0%,
5/5/15 (b) 1,921,262
2,575,000 A+/Aa3 JPMorgan Chase & Co., 6.0%, 1/15/18 2,768,112
1,000,000 A+/Aa3 JPMorgan Chase & Co., 6.3%, 4/23/19 1,100,077
4,900,000 BBB+/Baa1 JPMorgan Chase & Co., 7.9%, 4/29/49 5,054,154
1,100,000 A-/A3 Nationsbank Corp., 7.75%, 8/15/15 1,206,816
976,400 A-/Baa1 PF Export Receivable Master Trust,
6.436%, 6/1/15 (144A) 1,038,011
1,327,767 BBB/Baa2 Power Receivables Finance LLC, 6.29%,
1/1/12 (144A) 1,353,645
--------------
$ 17,463,497
- ------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 1.7%
2,000,000 A/A1 Goldman Sachs, 5.5%, 11/15/14 $ 2,134,702
11,040,000 5.79 BBB/A3 Goldman Sachs Capital, Floating Rate
Note, 12/29/49 8,556,000
3,325,000 A/A2 Merrill Lynch & Co., 5.45%, 2/5/13 3,498,801
4,765,000 A/A2 Morgan Stanley Dean Witter & Co.,
Floating Rate Note, 4/1/18 5,151,766
--------------
$ 19,341,269
- ------------------------------------------------------------------------------------------------------
Specialized Finance -- 1.0%
4,680,000 BBB/Baa3 Cantor Fitzgerald LP, 7.875%, 10/15/19 $ 4,580,105
5,776,002 NR/Ba1 Coso Geothermal Power Holdings LLC,
7.0%, 7/15/26 (144A) 5,111,761
2,000,000 A+/A1 National Rural Utilities Corp., 5.45%,
2/1/18 2,087,006
--------------
$ 11,778,872
--------------
Total Diversified Financials $ 86,921,469
- ------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 31
Schedule of Investments | 12/31/09 (unaudited) (continued)
- ------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ------------------------------------------------------------------------------------------------------
INSURANCE -- 3.8%
Insurance Brokers -- 0.1%
$1,560,000 BB+/B1 Leucadia National Corp., 7.125%,
3/15/17 (144A) $ 1,474,200
- ------------------------------------------------------------------------------------------------------
Life & Health Insurance -- 1.4%
1,690,000 A-/Baa2 Lincoln National Corp., 8.75%, 7/1/19 $ 1,931,001
4,200,000 BBB/Baa2 MetLife, Inc., 10.75%, 8/1/39 5,171,989
4,250,000 A-/Baa2 Protective Life Corp., 7.375%, 10/15/19 4,259,184
2,800,000 A/Baa2 Prudential Financial, Inc., 5.15%,
1/15/13 2,945,544
2,140,000 BBB+/Baa3 Prudential Financial, Inc., 8.875%,
6/15/38 2,268,400
--------------
$ 16,576,118
- ------------------------------------------------------------------------------------------------------
Multi-Line Insurance -- 0.9%
4,620,000 BB/Baa3 Liberty Mutual Group, Inc., 7.0%,
3/15/37 (144A) $ 3,557,751
3,035,000 BBB-/Baa2 Liberty Mutual Group, Inc., 7.3%,
6/15/14 (144A) 3,110,787
650,000 10.75 BB/Baa3 Liberty Mutual Group, Inc., Floating Rate
Note, 6/15/58 (144A) 689,000
2,650,000 A/A3 Loews Corp., 5.25%, 3/15/16 (b) 2,691,239
--------------
$ 10,048,777
- ------------------------------------------------------------------------------------------------------
Property & Casualty Insurance -- 0.8%
5,000,000 BBB-/Baa3 Hanover Insurance Group, Inc., 7.625%,
10/15/25 $ 4,600,000
4,135,000 B-/NR Kingsway America, Inc., 7.5%, 2/1/14 2,362,119
2,000,000 A-/A2 Travelers Companies, Inc., 6.25%,
6/15/37 2,114,204
--------------
$ 9,076,323
- ------------------------------------------------------------------------------------------------------
Reinsurance -- 0.6%
2,150,000 AAA/Aa2 Berkshire Hathway, Inc., 5.0%, 8/15/13 $ 2,311,904
5,048,000 BBB+/BBB+ Platinum Underwriters Holdings, Ltd.,
7.5%, 6/1/17 5,162,665
--------------
$ 7,474,569
--------------
Total Insurance $ 44,649,987
- ------------------------------------------------------------------------------------------------------
REAL ESTATE -- 3.3%
Diversified Real Estate Activities -- 0.5%
4,125,000 A-/A2 WEA Finance LLC, 7.125%, 4/15/18 $ 4,510,019
640,000 A-/A2 WEA Finance LLC, 7.5%, 6/2/14 (144A) 720,189
--------------
$ 5,230,208
- ------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
32 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ---------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ---------------------------------------------------------------------------------------------------------
Diversified Real Estate Investment Trusts -- 0.5%
$ 5,125,000 BBB+/Baa1 Dexus Finance Property, Ltd., 7.125%,
10/15/14 $ 5,266,009
- ---------------------------------------------------------------------------------------------------------
Office Real Estate Investment Trusts -- 0.2%
692,000 BBB/Baa2 Mack-Cali Realty LP, 5.125%, 1/15/15 $ 661,396
1,607,000 BBB/Baa2 Mack-Cali Realty LP, 5.125%, 2/15/14 1,529,228
--------------
$ 2,190,624
- ---------------------------------------------------------------------------------------------------------
Real Estate Operating Companies -- 0.6%
8,180,000 B-/B3 Forest City Enterprises, Inc., 7.625%,
6/1/15 $ 7,321,100
- ---------------------------------------------------------------------------------------------------------
Retail Real Estate Investment Trusts -- 0.3%
3,470,000 AA+/Aa2 Trustreet Properties, Inc., 7.5%, 4/1/15 $ 3,588,372
- ---------------------------------------------------------------------------------------------------------
Specialized Real Estate Investment Trusts -- 1.2%
860,000 BBB-/Baa2 Health Care, Inc., 6.0%, 11/15/13 $ 872,522
4,125,000 BBB-/Baa2 Health Care, Inc., 6.2%, 6/1/16 4,009,046
2,425,000 BBB-/Baa3 Healthcare Realty Trust, Inc., 6.5%,
1/17/17 2,402,137
5,325,000 BBB/Baa2 Hospitality Properties Trust, 7.875%,
8/15/14 5,497,360
565,000 BBB-/Ba1 Ventas Realty Capital Corp., 7.125%,
6/1/15 (144A) 565,000
760,000 BBB-/Ba1 Ventas Realty LP, 6.5%, 6/1/16 733,400
540,000 BBB-/Ba1 Ventas Realty LP, 6.75%, 4/1/17 522,450
--------------
$ 14,601,915
--------------
Total Real Estate $ 38,198,228
- ---------------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 0.4%
Data Processing & Outsourced Services -- 0.2%
3,095,000 B-/Caa1 First Data Corp., 9.875%, 9/24/15 (b) $ 2,886,088
- ---------------------------------------------------------------------------------------------------------
Systems Software -- 0.2%
1,800,000 A/A2 Oracle Corp., 5.75%, 4/15/18 $ 1,946,135
--------------
Total Software & Services $ 4,832,223
- ---------------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 0.8%
Computer Hardware -- 0.1%
1,700,000 A/A2 Hewlett-Packard Co., 4.5%, 3/1/13 $ 1,802,277
- ---------------------------------------------------------------------------------------------------------
Computer Storage & Peripherals -- 0.1%
855,000 BB+/Ba1 Seagate Technology International Co., Ltd.,
10.0%, 5/1/14 $ 944,775
- ---------------------------------------------------------------------------------------------------------
Electronic Equipment & Instruments -- 0.5%
5,070,000 BBB-/Ba1 Agilent Technologies, Inc., 6.5%, 11/1/17 $ 5,365,312
- ---------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 33
Schedule of Investments | 12/31/09 (unaudited) (continued)
- ------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ------------------------------------------------------------------------------------------------------
Electronic Manufacturing Services -- 0.1%
$ 1,532,000 BB-/Ba2 Flextronics International, Ltd., 6.5%,
5/15/13 $ 1,535,830
--------------
Total Technology Hardware & Equipment $ 9,648,194
- ------------------------------------------------------------------------------------------------------
SEMICONDUCTORS -- 0.3%
Semiconductor Equipment -- 0.3%
3,140,000 BBB/Baa1 Klac Instruments Corp., 6.9%, 5/1/18 $ 3,303,723
--------------
Total Semiconductors $ 3,303,723
- ------------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 0.8%
Integrated Telecommunication Services -- 0.8%
1,200,000 A/A2 AT&T, Inc., 5.6%, 5/15/18 $ 1,257,551
1,000,000 A/A2 Bellsouth Capital Funding Corp., 7.75%,
2/15/10 1,007,977
2,530,000 B+/Ba3 Cincinnati Bell, Inc., 8.25%, 10/15/17 2,567,950
1,990,000 BBB-/Baa3 Embarq Corp., 7.082%, 6/1/16 2,198,110
1,805,000 BB/Ba2 Frontier Communications Corp., 8.25%,
5/1/14 1,890,738
--------------
$ 8,922,326
--------------
Total Telecommunication Services $ 8,922,326
- ------------------------------------------------------------------------------------------------------
UTILITIES -- 3.3%
Electric Utilities -- 2.4%
1,275,000 BBB+/Baa1 CenterPoint Energy Houston Electric LLC,
7.0%, 3/1/14 $ 1,452,993
980,000 A-/Baa1 Commonwealth Edison Co., 6.15%,
9/15/17 1,061,355
798,020 BBB-/Baa3 Crocket Cogeneration, 5.869%,
3/30/25 (144A) 754,727
3,365,000 A-/A2 Enel Finance International SA, 5.125%,
10/7/19 (144A) 3,385,782
2,270,000 BBB+/Baa1 Entergy Gulf States, Inc., 5.7%, 6/1/15 2,273,178
1,511,748 BBB-/Baa3 FPL Energy America Wind LLC, 6.639%,
6/20/23 (144A) 1,501,468
555,450 BB-/Ba2 FPL Energy Wind Funding LLC, 6.876%,
6/27/17 (144A) 538,787
1,925,000 BBB/Baa2 Israel Electric Corp., 7.25%,
1/15/19 (144A) 2,084,775
610,000 BBB/Baa2 Israel Electric Corp., 9.375%,
1/28/20 (144A) 748,534
910,000 BBB/Baa3 Neveda Power Co., 6.5%, 8/1/18 975,133
5,055,000 BBB+/Baa2 NY State Gas and Electric Corp., 6.15%,
12/15/17 (144A) 5,041,281
1,109,044 NR/WR Orcal Geothermal, 6.21%,
12/30/20 (144A) 1,006,735
The accompanying notes are an integral part of these financial statements.
34 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
Electric Utilities -- (continued)
$ 2,690,000 BB+/Baa3 Public Service of New Mexico, 7.95%,
5/15/18 2,815,889
3,550,000 BBB+/Baa1 West Penn Power Co., 5.95%, 12/15/17 3,630,230
-------------
$ 27,270,867
- -----------------------------------------------------------------------------------------------------
Gas Utilities -- 0.2%
2,450,000 A/Aa3 Nakilat, Inc., 6.267%, 12/31/33 (144A) $ 2,171,068
- -----------------------------------------------------------------------------------------------------
Independent Power Producer & Energy Traders -- 0.6%
2,675,000 BB-/Ba3 Intergen NV, 9.0%, 6/30/17 $ 2,788,688
2,105,000 BBB-/Baa3 Kiowa Power Partners LLC, 5.737%,
3/20/21 (144A) 1,985,436
2,610,000 BBB-/Baa3 Panoche Energy Center LLC, 6.88%,
7/31/29 (144A) 2,411,040
--------------
$ 7,185,164
- -----------------------------------------------------------------------------------------------------
Multi-Utilities -- 0.1%
1,365,000 BB/Ba2 NSG Holdings, Inc., 7.75%, 12/15/25 $ 1,221,675
431,965 NR/NR Ormat Funding Corp., 8.25%, 12/30/20 389,848
--------------
$ 1,611,523
--------------
Total Utilities $ 38,238,622
- -----------------------------------------------------------------------------------------------------
TOTAL CORPORATE BONDS
(Cost $453,322,299) $ 479,540,187
- -----------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 30.0%
17,533,731 AAA/Aaa Federal Home Loan Mortgage Corp., 4.5%,
11/1/18 - 4/1/22 $ 18,165,293
12,800,781 AAA/Aaa Federal Home Loan Mortgage Corp., 5.0%,
10/1/20 - 6/1/35 13,373,232
7,274,981 AAA/Aaa Federal Home Loan Mortgage Corp., 5.5%,
12/1/18 - 11/1/35 7,667,981
3,000,000 AAA/Aaa Federal Home Loan Mortgage Corp.,
5.75%, 1/15/12 3,265,917
18,295,357 AAA/Aaa Federal Home Loan Mortgage Corp., 6.0%,
5/1/17 - 6/1/35 19,512,653
1,285,918 AAA/Aaa Federal Home Loan Mortgage Corp., 6.5%,
3/1/13 - 4/1/34 1,385,651
1,094,523 AAA/Aaa Federal Home Loan Mortgage Corp., 7.0%,
8/1/22 - 11/1/30 1,172,876
4,892 AAA/Aaa Federal Home Loan Mortgage Corp., 8.0%,
8/1/31 5,292
3,873,839 AAA/Aaa Federal National Mortgage Association,
4.0%, 7/1/18 - 3/1/36 3,852,567
13,582,239 AAA/Aaa Federal National Mortgage Association,
4.5%, 4/1/19 - 3/1/37 13,935,771
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 35
Schedule of Investments | 12/31/09 (unaudited) (continued)
- ----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ----------------------------------------------------------------------------------------------------
U.S. Government Agency Obligations -- (continued)
$ 9,776,023 AAA/Aaa Federal National Mortgage Association,
5.0%, 12/1/17 - 2/1/36 $ 10,224,855
21,733,709 AAA/Aaa Federal National Mortgage Association,
5.5%, 9/1/17 - 6/1/36 22,895,614
22,911,406 AAA/Aaa Federal National Mortgage Association,
6.0%, 6/1/16 - 9/1/38 24,407,563
1,724,043 AAA/Aaa Federal National Mortgage Association,
6.5%, 7/1/29 - 7/1/34 1,863,260
798,388 AAA/Aaa Federal National Mortgage Association,
7.0%, 3/1/12 - 1/1/32 872,492
5,044 AAA/Aaa Federal National Mortgage Association,
7.5%, 8/1/20 - 4/1/30 5,698
41,262 AAA/Aaa Federal National Mortgage Association,
8.0%, 4/1/20 - 5/1/31 47,361
11,867,520 AAA/Aaa Government National Mortgage
Association, 4.5%, 7/15/33 - 4/15/38 11,932,429
2,885,453 AAA/Aaa Government National Mortgage
Association, 5.0%, 10/15/18 - 4/15/35 3,002,892
19,897,637 AAA/Aaa Government National Mortgage
Association, 5.5%, 10/15/17 - 2/15/37 21,051,232
19,395,304 AAA/Aaa Government National Mortgage
Association, 6.0%, 4/15/13 - 10/15/36 20,641,685
9,146,122 AAA/Aaa Government National Mortgage
Association, 6.5%, 8/15/11 - 7/15/35 9,845,279
1,258,866 AAA/Aaa Government National Mortgage
Association, 7.0%,
12/15/13 - 10/15/31 1,398,794
154,657 AAA/Aaa Government National Mortgage
Association, 7.5%, 8/15/11 - 12/15/31 174,091
9,907 AAA/Aaa Government National Mortgage
Association, 7.75%, 2/15/30 11,308
3,355 AAA/Aaa Government National Mortgage
Association, 8.0%, 5/15/10 3,441
303,323 AAA/Aaa Government National Mortgage
Association I, 6.0%, 2/15/29 324,033
84,002 AAA/Aaa Government National Mortgage
Association I, 7.0%,
12/15/30 - 3/15/31 93,550
17,922 AAA/Aaa Government National Mortgage
Association I, 7.5%, 10/15/29 20,184
2,102,325 AAA/Aaa Government National Mortgage
Association II, 4.5%,
12/20/34 - 1/20/35 2,112,497
1,837,434 AAA/Aaa Government National Mortgage
Association II, 5.5%,
10/20/19 - 11/20/34 1,942,157
The accompanying notes are an integral part of these financial statements.
36 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ------------------------------------------------------------------------------------------------------
U.S. Government Agency Obligations -- (continued)
$ 98,224 AAA/Aaa Government National Mortgage
Association II, 6.5%, 2/20/29 - 4/20/29 $ 106,497
437,076 AAA/Aaa Government National Mortgage
Association II, 7.0%,
11/20/28 - 12/20/30 485,052
6,980,000 NR/Aaa U.S. Treasury Bonds, 0.875%, 1/31/11 7,001,813
22,500,000 AAA/Aaa U.S. Treasury Bonds, 2.75%, 2/15/19 20,714,061
11,420,000 AAA/Aaa U.S. Treasury Bonds, 3.875%, 5/15/18 11,595,765
6,980,000 AAA/Aaa U.S. Treasury Bonds, 4.5%, 11/15/10 7,222,939
5,100,000 AAA/Aaa U.S. Treasury Bonds, 5.25%, 11/15/28 5,526,329
4,750,000 AAA/Aaa U.S. Treasury Bonds, 6.25%, 8/15/23 5,673,281
3,509,760 AAA/Aaa U.S. Treasury Inflation Notes, 2.0%,
1/15/14 3,711,571
9,750,000 AAA/Aaa U.S. Treasury Notes, 0.75%, 11/30/11 9,686,401
6,980,000 AAA/Aaa U.S. Treasury Notes, 0.875%, 2/28/11 6,996,906
6,980,000 AAA/Aaa U.S. Treasury Notes, 1.25%, 11/30/10 7,029,076
6,380,000 AAA/Aaa U.S. Treasury Notes, 3.125%,
5/15/19 (b) 6,042,058
2,500,000 AAA/Aaa U.S. Treasury Notes, 3.625%,
8/15/19 (b) 2,457,813
7,620,000 AAA/Aaa U.S. Treasury Notes, 4.25%, 5/15/39 7,148,513
5,450,000 AAA/Aaa U.S. Treasury Notes, 4.375%, 2/15/38 5,232,000
7,340,000 AAA/Aaa U.S. Treasury Notes, 4.5%, 2/15/36 7,229,900
8,435,000 AAA/Aaa U.S. Treasury Notes, 4.5%, 5/15/38 (b) 8,259,712
12,878,000 AAA/Aaa U.S. Treasury Notes, 4.5%, 8/15/39 12,586,236
840,000 AAA/Aaa U.S. Treasury Notes, 5.5%, 8/15/28 936,075
450,000 AAA/Aaa U.S. Treasury Notes, 7.875%, 2/15/21 604,828
--------------
$ 351,454,474
- ------------------------------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT AGENCY
OBLIGATIONS
(Cost $344,326,833) $ 351,454,474
- ------------------------------------------------------------------------------------------------------
FOREIGN GOVERNMENT BOND -- 0.1%
BANKS -- 0.1%
Diversified Banks -- 0.1%
625,000 A/A2 Bank of Korea Export-Import, 5.875%,
1/14/15 $ 670,695
- ------------------------------------------------------------------------------------------------------
TOTAL FOREIGN GOVERNMENT BONDS
(Cost $621,671) $ 670,695
- ------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 37
Schedule of Investments | 12/31/09 (unaudited) (continued)
- -------------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -------------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS -- 0.8%
Municipal Higher Education -- 0.8%
$ 4,380,000 AAA/Aa3 California State University Revenue, 5.0%,
11/1/39 $ 4,346,143
4,600,000 AAA/Aaa Connecticut State Health & Education,
5.0%, 7/1/42 4,818,086
--------------
$ 9,164,229
- -------------------------------------------------------------------------------------------------------------
TOTAL MUNICIPAL BONDS
(Cost $8,818,679) $ 9,164,229
- -------------------------------------------------------------------------------------------------------------
SENIOR FLOATING RATE LOAN
INTERESTS -- 6.6%**
ENERGY -- 0.3%
Oil & Gas Equipment & Services -- 0.1%
1,777,500 8.00 B+/Ba3 Hudson Products Holdings, Inc., Term
Loan, 8/24/15 $ 1,404,225
- -------------------------------------------------------------------------------------------------------------
Oil & Gas Refining & Marketing -- 0.2%
1,750,000 0.00 BBB-/Ba2 Pilot Travel Centers LLC, Initial Tranche B
Loan, 11/24/15 $ 1,763,554
--------------
Total Energy $ 3,167,779
- -------------------------------------------------------------------------------------------------------------
MATERIALS -- 0.5%
Diversified Chemical -- 0.1%
1,097,983 7.65 BB+/Ba1 Ashland, Inc., Term B Borrowing Loan,
5/13/14 $ 1,116,375
- -------------------------------------------------------------------------------------------------------------
Paper Packaging -- 0.4%
211,001 2.50 B+/B2 Graham Packaging Co., Term B Loan,
10/7/11 $ 208,100
2,111,766 6.75 B+/B2 Graham Packaging Co., Term C Loan,
4/5/14 2,130,536
2,631,148 3.03 BB/Ba2 Graphic Packaging International, Inc.,
Incremental Term Loan, 5/16/14 2,565,369
--------------
$ 4,904,005
--------------
Total Materials $ 6,020,380
- -------------------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 0.6%
Aerospace & Defense -- 0.4%
3,995,370 3.56 B+/Ba3 Aeroflex, Inc., Tranche B1 Term Loan,
8/15/14 $ 3,669,088
164,282 4.04 BB-/B1 DAE Aviation Holdings, Inc., Tranche B1
Term Loan, 7/31/14 151,961
160,308 4.03 BB-/B1 Standard Aero, Ltd., Tranche B2 Term
Loan, 7/31/14 148,285
131,250 5.50 BB/Ba2 TASC, Inc., Tranche A Term Loan,
12/18/14 131,797
The accompanying notes are an integral part of these financial statements.
38 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -------------------------------------------------------------------------------------------------------
Aerospace & Defense -- (continued)
$ 243,750 5.75 BB/Ba2 TASC, Inc., Tranche B Term Loan,
12/18/15 $ 245,324
--------------
$ 4,346,455
- -------------------------------------------------------------------------------------------------------
Construction & Farm Machinery & Heavy Trucks -- 0.2%
912,849 10.00 D/Caa1 Accuride Corp., Term Advance Loan,
1/31/12 $ 913,324
1,509,266 6.27 BB-/B2 Oshkosh Corp., Term B Loan, 12/6/13 1,510,964
--------------
$ 2,424,288
--------------
Total Capital Goods $ 6,770,743
- -------------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.2%
Environmental & Facilities Services -- 0.2%
300,000 0.00 B+/Ba3 Advanced Disposal Services, Inc., Term B
Loan, 12/23/14 $ 297,000
2,939,698 2.23 D/B2 Synagro Technologies, Inc., 1st Lien Term
Loan, 4/2/14 2,425,251
--------------
$ 2,722,251
--------------
Total Commercial Services & Supplies $ 2,722,251
- -------------------------------------------------------------------------------------------------------
TRANSPORTATION -- 0.2%
Air Freight & Couriers -- 0.1%
426,630 3.28 B/Ba2 Ceva Group Plc, Additional Pre-funded
Term Loan, 11/4/13 $ 359,791
199,859 3.25 B-/B1 Ceva Group Plc, EGL Term Loan, 11/4/13 170,380
1,197,871 3.24 NR/Ba2 Ceva Group Plc, U.S. Term Loan, 11/4/13 1,007,210
--------------
$ 1,537,381
- -------------------------------------------------------------------------------------------------------
Marine -- 0.1%
790,625 3.51 BB-/Ba3 Horizon Lines, Inc., Term Loan, 8/8/12 $ 652,266
--------------
Total Transportation $ 2,189,647
- -------------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.8%
Auto Parts & Equipment -- 0.4%
4,181,250 7.50 BB-/Ca Lear Corp., Closing Date Term Loan,
10/15/14 $ 4,209,124
- -------------------------------------------------------------------------------------------------------
Automobile Manufacturers -- 0.1%
1,036,425 3.29 B-/Ba3 Ford Motor Co., Tranche B1 Term Loan,
12/15/13 $ 963,011
- -------------------------------------------------------------------------------------------------------
Tires & Rubber -- 0.3%
4,190,000 2.34 BB/Ba1 Goodyear Tire & Rubber Co., 2nd Lien
Term Loan, 4/30/14 $ 3,888,844
--------------
Total Automobiles & Components $ 9,060,979
- -------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 39
Schedule of Investments | 12/31/09 (unaudited) (continued)
- ---------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ---------------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 0.1%
Housewares & Specialties -- 0.1%
$ 1,000,992 2.75 BB-/Ba2 Jarden Corp., Term B3 Loan, 1/24/12 $ 977,576
--------------
Total Consumer Durables & Apparel $ 977,576
- ---------------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.2%
Casinos & Gaming -- 0.2%
654,059 6.00 CCC/B3 Fontainebleau Las Vegas, Delayed Draw
Term Loan, 6/6/14 $ 239,822
1,308,118 6.00 NA/NA Fontainebleau Las Vegas, Initial Term
Loan, 6/6/14 479,644
393,153 2.79 BB-/Ba3 Gateway Casinos & Entertainment,
Delayed Draw Term Loan, 9/30/14 327,300
1,941,067 2.79 BB-/Ba3 Gateway Casinos & Entertainment, Term
Advance Loan, 9/30/14 $ 1,615,939
--------------
$ 2,662,705
--------------
Total Consumer Services $ 2,662,705
- ---------------------------------------------------------------------------------------------------------
MEDIA -- 0.5%
Broadcasting -- 0.2%
3,300,000 2.50 B-/Baa2 Univision Communication, Inc., Initial Term
Loan, 9/29/14 $ 2,879,250
- ---------------------------------------------------------------------------------------------------------
Cable & Satellite -- 0.3%
2,200,000 2.26 B+/B1 Charter Communications, Inc., New Term
Loan, 3/5/14 $ 2,067,084
946,575 2.48 B/B1 Knology, Inc., Term Loan, 6/30/12 905,556
631,160 2.77 CCC/B2 WideOpenWest LLC, 1st Lien Term Loan,
6/30/14 583,297
--------------
$ 3,555,937
--------------
Total Media $ 6,435,187
- ---------------------------------------------------------------------------------------------------------
RETAILING -- 0.1%
Internet Retail -- 0.1%
1,319,200 3.51 BBB-/Ba1 Ticketmaster Corp., Term B Loan, 7/25/14 $ 1,312,604
--------------
Total Retailing $ 1,312,604
- ---------------------------------------------------------------------------------------------------------
HOUSEHOLD & PERSONAL PRODUCTS -- 0.1%
Household Products -- 0.1%
699,681 8.00 B-/B3 Spectrum Brands, Inc., Dollar Term B
Loan, 3/30/13 $ 694,215
36,077 8.00 B-/B3 Spectrum Brands, Inc., Letter of Credit
Loan, 3/30/13 35,795
--------------
$ 730,010
--------------
Total Household & Personal Products $ 730,010
- ---------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
40 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -------------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 1.0%
Health Care Facilities -- 0.5%
$ 96,086 2.51 BB-/Ba3 CHS/Community Health Systems, Inc.,
Delayed Draw Term Loan, 7/25/14 $ 90,828
1,879,915 2.51 BB-/Ba3 CHS/Community Health Systems, Inc.,
Funded Term Loan, 7/25/14 1,777,042
2,147,021 2.50 B+/Ba2 HCA, Inc., Tranche B1 Term Loan,
11/18/13 2,054,968
589,022 2.02 B+/Ba2 Psychiatric Solutions, Inc., Term Loan,
7/2/12 559,277
1,261,132 2.40 B+/Ba2 Sun Health Care Group, Inc., Term Loan,
4/19/14 1,187,434
265,517 2.28 B+/Ba2 Sun Health Care Group, Inc., Synthetic LC
Loan, 4/19/14 250,001
--------------
$ 5,919,550
- -------------------------------------------------------------------------------------------------------
Health Care Services -- 0.2%
2,800,988 2.48 BB-/Ba3 Catalent Pharma Solutions, Inc., Dollar
Term Loan, 4/10/14 $ 2,391,344
- -------------------------------------------------------------------------------------------------------
Health Care Supplies -- 0.3%
2,248,835 3.50 BB-/B1 Bausch & Lomb, Inc., Parent Term Loan,
4/24/15 $ 2,146,934
546,112 3.50 BB-/B1 Bausch & Lomb, Inc., Delayed Draw Term
Loan, 4/24/15 521,366
1,181,790 3.25 BB/Ba2 Biomet, Inc., Dollar Term Loan, 3/25/15 1,132,698
--------------
$ 3,800,998
--------------
Total Health Care Equipment & Services $ 12,111,892
- -------------------------------------------------------------------------------------------------------
PHARMACEUTICALS & BIOTECHNOLOGY -- 0.3%
Biotechnology -- 0.2%
738,983 5.50 BB+/B1 Warner Chilcott Corp., Term A Loan,
10/30/14 $ 741,461
369,492 5.75 BB+/B1 Warner Chilcott Corp., Term B1 Loan,
4/30/15 370,730
812,881 5.75 BB+/B1 Warner Chilcott Corp., Term B2 Loan,
4/30/15 815,607
915,000 5.75 NR/B1 Warner Chilcott Corp., Term B3 Loan,
4/30/15 916,716
--------------
$ 2,844,514
- -------------------------------------------------------------------------------------------------------
Life Sciences Tools & Services -- 0.1%
674,625 5.25 BBB-/Baa3 Life Technologies Corp., Term B Facility
Loan, 11/23/15 $ 679,966
--------------
Total Pharmaceuticals & Biotechnology $ 3,524,480
- -------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 41
Schedule of Investments | 12/31/09 (unaudited) (continued)
- ---------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ---------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.2%
Diversified Financial Services -- 0.2%
$ 2,431,639 3.53 BB/Ba1 Metavante Corp., Term Loan, 11/3/14 $ 2,416,442
--------------
Total Diversified Financials $ 2,416,442
- ---------------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 0.3%
Data Processing & Outsourced Services -- 0.1%
666,452 4.48 BB+/Ba1 Fidelity National Information, Tranche C
Term Loan, 1/18/12 $ 667,285
- ---------------------------------------------------------------------------------------------------------
IT Consulting & Other Services -- 0.2%
2,400,505 1.99 BB/Ba3 Sungard Data Systems, Inc., Tranche A
U.S. Term Loan, 2/28/14 $ 2,276,353
- ---------------------------------------------------------------------------------------------------------
Systems Software -- 0.0%
392,641 6.00 B+/Ba2 Rovi Corp., Term Loan, 5/2/13 $ 394,604
--------------
Total Software & Services $ 3,338,242
- ---------------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 0.2%
Electronic Components -- 0.2%
507,630 2.53 BB-/Ba1 Flextronics Semiconductor, A1A Delayed
Draw Term Loan, 10/1/14 $ 471,991
1,766,553 2.51 BB-/Ba1 Flextronics Semiconductor, A Closing Date
Loan, 10/1/14 1,642,527
--------------
$ 2,114,518
- ---------------------------------------------------------------------------------------------------------
Electronic Equipment & Instruments -- 0.0%
397,222 3.64 BB/Ba2 Huawei-3Com Co., Ltd., Tranche B Term
Loan, 9/28/12 $ 382,657
--------------
Total Technology Hardware & Equipment $ 2,497,175
- ---------------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 0.4%
Alternative Carriers -- 0.0%
659,466 2.73 B/Caa1 PAETEC Holding Corp., Replacement Term
Loan, 2/28/13 $ 630,203
- ---------------------------------------------------------------------------------------------------------
Integrated Telecommunication Services -- 0.3%
2,991,531 3.24 B+/B2 Telesat Canada, Inc., U.S. Term I Loan,
10/31/14 $ 2,867,061
256,954 3.24 B+/B2 Telesat Canada, Inc., U.S. Term II Loan,
10/31/14 246,263
423,907 1.99 B/B1 Time Warner Telecom, Inc., Term B Loan,
1/7/13 407,481
--------------
$ 3,520,805
- ---------------------------------------------------------------------------------------------------------
Wireless Telecommunication Services -- 0.1%
1,180,000 3.23 BB-/B3 Intelsat Jackson Holdings, Ltd., Term Loan,
2/1/14 $ 1,073,800
--------------
Total Telecommunication Services $ 5,224,808
- ---------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
42 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ----------------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- ----------------------------------------------------------------------------------------------------------
UTILITIES -- 0.6%
Electric Utilities -- 0.3%
$ 399,000 3.73 B+/B2 Texas Competitive Electric Holdings,
Delayed Draw Term Loan, 10/10/14 $ 321,395
3,376,467 3.73 B+/Ba3 Texas Competitive Electric Holdings, Initial
Tranche B2 Loan, 10/10/14 2,758,151
--------------
$ 3,079,546
- ----------------------------------------------------------------------------------------------------------
Independent Power Producer & Energy Traders -- 0.3%
3,796,109 3.14 B+/B2 Calpine Corp., 1st Priority Term Loan,
3/29/14 $ 3,598,711
--------------
Total Utilities $ 6,678,257
- ----------------------------------------------------------------------------------------------------------
TOTAL SENIOR FLOATING RATE LOAN
INTERESTS
(Cost $80,214,808) $ 77,841,157
- ----------------------------------------------------------------------------------------------------------
RIGHTS/WARRANTS -- 0.1%
AUTOMOBILES & COMPONENTS -- 0.1%
Auto Parts & Equipment -- 0.1%
12,758 Lear Corp. Warrants* $ 806,306
--------------
Total Automobiles & Components $ 806,306
- ----------------------------------------------------------------------------------------------------------
TOTAL RIGHTS/WARRANTS
(Cost $589,028) $ 806,306
- ----------------------------------------------------------------------------------------------------------
TEMPORARY CASH INVESTMENTS -- 5.2%
Repurchase Agreement -- 2.3%
26,725,000 Deutsche Bank, 0.01%, dated 12/31/09,
repurchase price of
$26,725,000 plus accrued interest on
1/4/10 collateralized by $27,259,500
Federal National Mortgage Association,
4.5 - 7.0%, 9/1/23 - 12/1/38 $ 26,725,000
- ----------------------------------------------------------------------------------------------------------
SECURITIES LENDING COLLATERAL -- 2.9% (c)
Certificates of Deposit:
1,011,691 Bank of Nova Scotia, 0.19%, 2/17/10 $ 1,011,691
1,011,691 DnB NOR Bank ASA NY, 0.2%, 2/17/10 1,011,691
368,289 Nordea Bank Finland, 0.19%, 1/28/10 368,289
919,741 Svenska NY, 0.20%, 3/30/10 919,741
1,103,663 Rabobank Nederland NY, 0.19%, 3/2/10 1,103,663
98,651 Westpac Banking NY, 1.35%, 3/19/10 98,651
919,719 Societe Generale, 0.21%, 3/4/10 919,719
1,011,691 CBA Financial, 0.27%, 1/3/11 1,011,691
280,137 BNP Paribas, 0.78%, 6/4/10 280,137
653,373 Wachovia Bank NA, 1.17%, 5/14/10 653,373
--------------
$ 7,378,646
- ----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 43
Schedule of Investments | 12/31/09 (unaudited) (continued)
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Principal Rate (d) Ratings
Amount (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
Commercial Paper:
$ 735,340 BBVA London, 0.28%, 3/18/10 $ 735,340
197,385 US Bancorp, 0.26%, 5/6/10 197,385
185,259 American Honda Finance, 0.22%, 2/5/10 185,259
276,159 GE Capital Corp., 0.45%, 8/20/10 276,159
99,563 GE Capital Corp., 0.38%, 10/21/10 99,563
100,230 GE Capital Corp., 0.34%, 10/6/10 100,230
735,554 HND AF, 0.18%, 3/2/10 735,554
1,011,415 HSBC, 0.20%, 2/19/10 1,011,415
102,587 John Deer Capital Corp., 0.36%, 7/6/10 102,587
779,015 JPMorgan Chase & Co., 0.57%, 9/24/10 779,015
919,407 NABPP, 0.19%, 3/8/10 919,407
716,843 PARFIN, 0.25%, 4/19/10 716,843
919,346 Cafco, 0.20%, 3/15/10 919,346
1,011,372 Char FD, 0.18%, 3/5/10 1,011,372
918,786 WSTPAC, 0.25%, 5/27/10 918,786
551,629 Ciesco, 0.20%, 3/8/10 551,629
459,737 Ciesco, 0.20%, 2/18/10 459,737
919,536 Fasco, 0.17%, 2/12/10 919,536
460,508 Kithaw, 0.21%, 3/2/10 460,508
471,732 Kithaw, 0.20%, 2/23/10 471,732
631,578 Old LLC, 0.19%, 3/17/10 631,578
257,902 Old LLC, 0.18%, 2/17/10 257,902
313,980 Ranger, 0.20%, 3/12/10 313,980
312,650 SRCPP, 0.19%, 2/3/10 312,650
643,667 SRCPP, 0.19%, 2/10/10 643,667
275,676 TB LLC, 0.19%, 2/8/10 275,676
505,567 TB LLC, 0.20%, 3/5/10 505,567
184,037 TB LLC, 0.10%, 2/9/10 184,037
1,049,422 Bank of America, 0.87%, 5/12/10 1,049,422
183,970 BBVA Senior US, 0.30%, 3/12/10 183,970
1,042,977 Santander, 0.33%, 7/23/10 1,042,977
367,753 WFC, 0.49%, 8/20/10 367,753
--------------
$ 17,340,582
- -----------------------------------------------------------------------------------------------------
Tri-party Repurchase Agreements:
3,678,875 Deutsche Bank, 0.01%, 1/4/10 $ 3,678,875
1,839,438 JPMorgan, 0.0%, 1/4/10 1,839,438
2,485,172 Barclays Capital Markets, 0.0%, 1/4/10 2,485,172
--------------
$ 8,003,485
- -----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
44 Pioneer Bond Fund | Semiannual Report | 12/31/09
- -----------------------------------------------------------------------------------------------------
Floating S&P/Moody's
Rate (d) Ratings
Shares (unaudited) (unaudited) Value
- -----------------------------------------------------------------------------------------------------
Money Market Mutual Funds:
735,775 Dreyfus Preferred Money Market Fund $ 735,775
735,775 Blackrock Liquidity Temporary Cash Fund 735,775
--------------
$ 1,471,550
--------------
Total Securities Lending Collateral $ 34,194,263
- -----------------------------------------------------------------------------------------------------
TOTAL TEMPORARY CASH INVESTMENTS
(Cost $60,919,263) $ 60,919,263
- -----------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN SECURITIES -- 101.6%
(Cost $1,178,038,838) (a) $1,189,645,742
- -----------------------------------------------------------------------------------------------------
OTHER ASSETS AND
LIABILITIES -- (1.6)% $ (18,800,509)
- -----------------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100.0% $1,170,845,233
=====================================================================================================
* Non-income producing security.
NR Not rated by either S&P or Moody's.
WR Withdrawn rating.
(144A) Security is exempt from registration under Rule 144A of the Securities
Act of 1933. Such securities may be resold normally to qualified
institutional buyers in a transaction exempt from registration. At
December 31, 2009, the value of these securities amounted to $80,956,587
or 6.9% of total net assets.
** Senior floating rate loan interests in which the Fund invests generally
pay interest at rates that are periodically redetermined by reference to
a base lending rate plus a premium. These base lending rates are
generally (i) the lending rate offered by one or more major European
banks, such as LIBOR (London InterBank Offered Rate), (ii) the prime rate
offered by one or more major United States banks, (iii) the certificate
of deposit or (iv) other base lending rates used by commercial lenders.
The rate shown is the coupon rate at period end.
(a) At December 31, 2009, the net unrealized gain on investments based on
cost for federal income tax purposes of $1,176,137,234 was as follows:
Aggregate gross unrealized gain for all investments
in which there is an excess of value over tax cost $56,026,457
Aggregate gross unrealized loss for all investments
in which there is an excess of tax cost over value (42,517,949)
-----------
Net unrealized gain $13,508,508
===========
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 45
Schedule of Investments | 12/31/09 (unaudited) (continued)
(b) At December 31, 2009, the following securities were out on loan:
Principal
Amount Security Value
$ 1,126,000 Barclays Plc, 6.05%, 12/4/17 $ 1,148,520
4,455,000 Branch Banking & Trust Co., 4.875%, 1/15/13 4,677,750
1,320,000 C10 Capital SPV, Ltd., Floating Rate Note, 12/31/49 924,000
1,000,000 Caterpillar, Inc., 7.9%, 12/15/18 1,220,000
57,000 Chesapeake Energy Corp., 9.5%, 2/15/15 62,700
366,000 First Data Corp., 9.875%, 9/24/15 340,380
1,500,000 Ford Motor Credit Co., 5.7%, 1/15/10 1,500,000
719,000 GATX Financial Corp., 6.0%, 2/15/18 675,860
1,777,000 Hyundai Capital Services, Inc., 6.0%, 5/5/15 1,848,080
2,400,000 Loews Corp., 5.25%, 3/15/16 2,448,000
1,100,000 McDonald's Corp., 5.35%, 3/1/18 1,177,000
1,739,000 Sally Holdings, 9.25%, 11/15/14 (144A) 1,808,560
16,000 Teck Resources, Ltd., 10.25%, 5/15/16 18,720
5,000,000 U.S. Treasury Notes, 3.125%, 5/15/19 4,750,000
2,436,000 U.S. Treasury Notes, 3.625%, 8/15/19 2,387,280
8,200,000 U.S. Treasury Notes, 4.5%, 5/15/38 8,036,000
- ----------------------------------------------------------------------------------------
Total $33,022,850
=========================================================================================
(c) Securities lending collateral is managed by Credit Suisse AG, New York
Branch.
(d) Debt obligation with a variable interest rate. Rate shown is rate at end
of period.
Purchases and sales of securities (excluding temporary cash investments) for
the six months ended December 31, 2009 were as follows:
- --------------------------------------------------------------------------------
Purchases Sales
- --------------------------------------------------------------------------------
Long-Term U.S. Government $120,403,515 $144,634,570
Other Long-Term Securities $149,466,622 $ 61,228,863
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels listed below.
Highest priority is given to Level 1 inputs and lowest priority is given to
Level 3.
Level 1 -- quoted prices in active markets for identical securities
Level 2 -- other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risk, etc.)
Level 3 -- significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments)
The accompanying notes are an integral part of these financial statements.
46 Pioneer Bond Fund | Semiannual Report | 12/31/09
The following is a summary of the inputs used as of December 31, 2009, in
valuing the Fund's assets:
- --------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
- --------------------------------------------------------------------------------------------------
Convertible Corporate Bonds $ -- $ 8,570,201 $ -- $ 8,570,201
Preferred Stocks 7,032,040 -- -- 7,032,040
Common Stock 1,524,741 -- -- 1,524,741
Asset Backed Securities -- 38,006,058 -- 38,006,058
Collateralized Mortgage Obligations -- 153,921,807 194,584 154,116,391
Corporate Bonds -- 479,540,187 -- 479,540,187
U.S. Government Agency Obligations -- 351,454,474 -- 351,454,474
Foreign Government Bonds -- 670,695 -- 670,695
Municipal Bonds -- 9,164,229 -- 9,164,229
Senior Floating Rate Loan Interests -- 77,841,157 -- 77,841,157
Rights/Warrants -- 806,306 -- 806,306
Temporary Cash Investments -- 59,447,713 -- 59,447,713
Money Market Mutual Funds 1,471,550 -- -- 1,471,550
- --------------------------------------------------------------------------------------------------
Total $10,028,331 $1,179,422,827 $194,584 $1,189,645,742
==================================================================================================
Following is a reconciliation of assets using significant unobservable inputs
(Level 3):
- ----------------------------------------------------------------------------------------------
Collateralized
Asset Backed Mortgage
Securities Obligations
- ----------------------------------------------------------------------------------------------
Balance as of 6/30/09 $ 3,070,286 $132,478
Realized gain (loss)1 1,483 --
Change in unrealized appreciation (depreciation)2 (833,562) 62,106
Net purchases (sales) (66,376) --
Transfers in and out of Level 3 (2,171,831) --
- ----------------------------------------------------------------------------------------------
Balance as of 12/31/09 $ -- $194,584
==============================================================================================
1 Realized gain (loss) on these securities is included in the net realized gain
(loss) from investments in the Statement of Operations.
2 Unrealized appreciation (depreciation) on these securities is included in the
change in unrealized gain (loss) on investments in the Statement of
Operations.
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 47
Statement of Assets and Liabilities | 12/31/09 (unaudited)
ASSETS:
Investment in securities (including securities loaned of
$33,022,850) (cost $1,178,038,838) $1,189,645,742
Cash 5,690,393
Receivables --
Fund shares sold 5,528,532
Dividends and interest 11,460,492
Due from Pioneer Investment Management, Inc. 51,362
Other 100,594
- -----------------------------------------------------------------------------
Total assets $1,212,477,115
- -----------------------------------------------------------------------------
LIABILITIES:
Payables --
Investment securities purchased $ 4,080,750
Fund shares repurchased 541,963
Dividends 2,473,374
Upon return of securities loaned 34,194,263
Due to affiliates 116,504
Accrued expenses 225,028
- -----------------------------------------------------------------------------
Total liabilities $ 41,631,882
- -----------------------------------------------------------------------------
NET ASSETS:
Paid-in capital $1,196,355,920
Distributions in excess of net investment income (3,741,594)
Accumulated net realized loss on investments (33,375,997)
Net unrealized gain on investments 11,606,904
- -----------------------------------------------------------------------------
Total net assets $1,170,845,233
- -----------------------------------------------------------------------------
NET ASSET VALUE PER SHARE:
(No par value, unlimited number of shares authorized)
Class A (based on $348,145,325/38,152,912 shares) $ 9.12
Class B (based on $32,073,017/3,536,933 shares) $ 9.07
Class C (based on $70,630,641/7,822,970 shares) $ 9.03
Class R (based on $18,148,132/1,971,552 shares) $ 9.20
Class Y (based on $701,203,057/77,527,619 shares) $ 9.04
Class Z (based on $645,061/70,477 shares) $ 9.15
MAXIMUM OFFERING PRICE:
Class A ($9.12 [divided by] 95.5% ) $ 9.55
=============================================================================
The accompanying notes are an integral part of these financial statements.
48 Pioneer Bond Fund | Semiannual Report | 12/31/09
Statement of Operations (unaudited)
For the Six Months Ended 12/31/09
INVESTMENT INCOME:
Dividends $ 318,704
Interest 32,983,540
Income from securities loaned, net 62,571
- ----------------------------------------------------------------------------------------
Total investment income $33,364,815
- ----------------------------------------------------------------------------------------
EXPENSES:
Management fees $2,783,641
Transfer agent fees
Class A 193,099
Class B 54,459
Class C 32,310
Class R 1,794
Class Y 71,561
Class Z 43
Distribution fees
Class A 425,042
Class B 161,009
Class C 313,692
Class R 43,681
Shareholder communications expense 287,970
Administrative reimbursements 198,429
Custodian fees 21,673
Registration fees 39,370
Professional fees 62,081
Printing expense 58,227
Fees and expenses of nonaffiliated trustees 18,690
Miscellaneous 54,588
- ----------------------------------------------------------------------------------------
Total expenses $ 4,821,359
Less fees waived and expenses reimbursed by Pioneer
Investment Management, Inc. (352,748)
- ----------------------------------------------------------------------------------------
Net expenses $ 4,468,611
- ----------------------------------------------------------------------------------------
Net investment income $28,896,204
- ----------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized gain on investments $ 2,949,238
- ----------------------------------------------------------------------------------------
Change in net unrealized gain on investments $58,249,364
- ----------------------------------------------------------------------------------------
Net gain on investments $61,198,602
- ----------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $90,094,806
=========================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 49
Statements of Changes in Net Assets
For the Six Months Ended 12/31/09 and the Year Ended 6/30/09, respectively
- ---------------------------------------------------------------------------------------------
Six Months Ended
12/31/09 Year Ended
(unaudited) 6/30/09
- ---------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 28,896,204 $ 53,558,886
Net realized gain (loss) on investments 2,949,238 (4,267,378)
Change in net unrealized gain (loss) on investments 58,249,364 (23,773,754)
- ---------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 90,094,806 $ 25,517,754
- ---------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.24 and $0.55 per share, respectively) $ (8,955,232) $ (17,975,138)
Class B ($0.19 and $0.47 per share, respectively) (685,604) (1,730,327)
Class C ($0.19 and $0.48 per share, respectively) (1,343,157) (2,394,084)
Class R ($0.22 and $0.53 per share, respectively) (426,475) (800,978)
Class Y ($0.25 and $0.58 per share, respectively) (18,384,441) (36,661,955)
Class Z ($0.25 and $0.58 per share, respectively) (13,107) (12,170)
Net realized gain:
Class A ($0.00 and $0.11 per share, respectively) -- (3,453,124)
Class B ($0.00 and $0.11 per share, respectively) -- (396,155)
Class C ($0.00 and $0.11 per share, respectively) -- (501,217)
Class R ($0.00 and $0.11 per share, respectively) -- (153,607)
Class Y ($0.00 and $0.11 per share, respectively) -- (6,405,050)
Class Z ($0.00 and $0.11 per share, respectively) -- (1,237)
- ---------------------------------------------------------------------------------------------
Total distributions to shareowners $ (29,808,016) $ (70,485,042)
- ---------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale of shares $ 247,363,333 $ 384,747,141
Shares issued in reorganization -- 108,889,002
Reinvestment of distributions 12,615,320 34,561,507
Cost of shares repurchased (159,687,496) (530,397,256)
- ---------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting from
Fund share transactions $ 100,291,157 $ (2,199,606)
- ---------------------------------------------------------------------------------------------
Net increase (decrease) in net assets $ 160,577,947 $ (47,166,894)
NET ASSETS:
Beginning of period 1,010,267,286 1,057,434,180
- ---------------------------------------------------------------------------------------------
End of period $1,170,845,233 $1,010,267,286
- ---------------------------------------------------------------------------------------------
Distributions in excess of net investment income $ (3,741,594) $ (2,829,782)
- ---------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
50 Pioneer Bond Fund | Semiannual Report | 12/31/09
12/09 Shares 12/09 Amount 6/09 Shares 6/09 Amount
(unaudited) (unaudited)
Class A
Shares sold 7,175,930 $ 64,529,580 15,553,093 $132,784,018
Shares issued in reorganization -- -- 4,425,282 37,482,135
Reinvestment of distributions 676,887 6,126,309 1,731,953 14,470,158
Less shares repurchased (6,782,576) (60,892,754) (13,868,617) (117,130,438)
- --------------------------------------------------------------------------------------------------------
Net increase 1,070,241 $ 9,763,135 7,841,711 $ 67,605,873
========================================================================================================
Class B
Shares sold 470,906 $ 4,228,734 1,505,037 $ 12,681,671
Reinvestment of distributions 56,324 506,226 194,697 1,616,128
Less shares repurchased (690,806) (6,178,257) (1,768,893) (14,896,110)
- --------------------------------------------------------------------------------------------------------
Net decrease (163,576) $ (1,443,297) (69,159) $ (598,311)
========================================================================================================
Class C
Shares sold 2,342,097 $ 20,882,935 4,636,458 $ 38,745,573
Reinvestment of distributions 93,275 835,468 201,354 1,663,357
Less shares repurchased (824,697) (7,344,634) (2,594,613) (21,719,772)
- --------------------------------------------------------------------------------------------------------
Net increase 1,610,675 $ 14,373,769 2,243,199 $ 18,689,158
========================================================================================================
Class R
Shares sold 578,039 $ 5,187,561 1,668,291 $ 14,324,093
Reinvestment of distributions 31,764 289,936 94,300 794,045
Less shares repurchased (406,744) (3,668,805) (1,220,449) (10,440,197)
- --------------------------------------------------------------------------------------------------------
Net increase 203,059 $ 1,808,692 542,142 $ 4,677,941
========================================================================================================
Class Y
Shares sold 17,251,892 $152,259,222 22,039,575 $185,940,489
Shares issued in reorganization -- -- 8,500,817 71,406,867
Reinvestment of distributions 540,687 4,854,990 1,925,529 16,016,659
Less shares repurchased (9,192,530) (81,565,867) (42,239,439) (366,207,372)
- --------------------------------------------------------------------------------------------------------
Net increase (decrease) 8,600,049 $ 75,548,345 (9,773,518) $(92,843,357)
========================================================================================================
Class Z
Shares sold 30,171 $ 275,301 33,110 $ 271,297
Reinvestment of distributions 263 2,391 136 1,160
Less shares repurchased (4,047) (37,179) (404) (3,367)
- --------------------------------------------------------------------------------------------------------
Net increase 26,387 $ 240,513 32,842 $ 269,090
========================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 51
Financial Highlights
- ------------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
12/31/09 Ended Ended Ended Ended Ended
(unaudited) 6/30/09 6/30/08 6/30/07 6/30/06 6/30/05
- ------------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 8.63 $ 9.10 $ 8.95 $ 8.89 $ 9.40 $ 9.18
- ------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.23 $ 0.50 $ 0.43 $ 0.40 $ 0.35 $ 0.40
Net realized and unrealized gain (loss) on investments 0.50 (0.31) 0.16 0.07 (0.47) 0.29
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.73 $ 0.19 $ 0.59 $ 0.47 $ (0.12) $ 0.69
Distributions to shareowners:
Net investment income (0.24) (0.55) (0.44) (0.41) (0.39) (0.47)
- ------------------------------------------------------------------------------------------------------------------------------------
Net realized gain -- (0.11) -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.49 $ (0.47) $ 0.15 $ 0.06 $ (0.51) $ 0.22
- ------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.12 $ 8.63 $ 9.10 $ 8.95 $ 8.89 $ 9.40
====================================================================================================================================
Total return* 8.51% 2.65% 6.64% 5.31% (1.25)% 7.64%
Ratio of net expenses to average net assets+ 0.85%** 0.89%(a) 1.00% 1.00% 1.00% 1.05%
Ratio of net investment income to average net assets+ 5.08%** 5.88% 4.60% 4.48% 3.91% 4.27%
Portfolio turnover rate 38%** 34% 73% 31% 60% 49%
Net assets, end of period (in thousands) $348,145 $320,036 $265,959 $284,592 $208,454 $174,055
Ratios with no waiver of fees and assumption of
expenses by the Adviser and no reduction for
fees paid indirectly:
Net expenses 1.05%** 1.09% 1.04% 1.00% 1.11% 1.18%
Net investment income 4.88%** 5.68% 4.56% 4.48% 3.80% 4.14%
Ratios with waiver of fees and assumption of
expenses by the Adviser and reduction for fees
paid indirectly:
Net expenses 0.85%** 0.89%(a) 1.00% 1.00% 1.00% 1.05%
Net investment income 5.08%** 5.88% 4.60% 4.48% 3.91% 4.27%
====================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratio with no reduction for fees paid indirectly.
(a) On October 1, 2008, Pioneer contractually lowered Class A shares' expense
limitation from 1.00% to 0.85% of the average daily net assets attributable
to Class A shares. The expense limit will be in effect through November 1,
2013.
The accompanying notes are an integral part of these financial statements.
52 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
12/31/09 Ended Ended Ended Ended Ended
(unaudited) 6/30/09 6/30/08 6/30/07 6/30/06 6/30/05
- ----------------------------------------------------------------------------------------------------------------------------------
Class B
Net asset value, beginning of period $ 8.58 $ 9.05 $ 8.90 $ 8.85 $ 9.36 $ 9.14
- ----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.18 $ 0.42 $ 0.34 $ 0.33 $ 0.27 $ 0.32
Net realized and unrealized gain (loss) on investments 0.50 (0.31) 0.16 0.05 (0.47) 0.28
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.68 $ 0.11 $ 0.50 $ 0.38 $ (0.20) $ 0.60
Distributions to shareowners:
Net investment income (0.19) (0.47) (0.35) (0.33) (0.31) (0.38)
Net realized gain -- (0.11) -- -- -- --
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.49 $ (0.47) $ 0.15 $ 0.05 $ (0.51) $ 0.22
- ----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.07 $ 8.58 $ 9.05 $ 8.90 $ 8.85 $ 9.36
==================================================================================================================================
Total return* 7.98% 1.62% 5.70% 4.26% (2.14)% 6.72%
Ratio of net expenses to average net assets+ 1.90%** 1.90% 1.90% 1.92% 1.90% 1.95%
Ratio of net investment income to average net assets+ 4.04%** 4.90% 3.72% 3.55% 3.06% 3.39%
Portfolio turnover rate 38%** 34% 73% 31% 60% 49%
Net assets, end of period (in thousands) $32,073 $31,738 $34,106 $36,366 $49,552 $56,828
Ratios with no waiver of fees and assumption of
expenses by the Adviser and no reduction for fees
paid indirectly:
Net expenses 1.99%** 1.99% 1.90% 2.02% 1.99% 2.02%
Net investment income 3.95%** 4.81% 3.72% 3.45% 2.97% 3.32%
Ratios with waiver of fees and assumption of
expenses by the Adviser and reduction for fees
paid indirectly:
Net expenses 1.90%** 1.90% 1.89% 1.90% 1.90% 1.95%
Net investment income 4.04%** 4.90% 3.73% 3.57% 3.06% 3.39%
==================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratio with no reduction for fees paid indirectly.
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 53
Financial Highlights (continued)
- ---------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
12/31/09 Ended Ended Ended Ended Ended
(unaudited) 6/30/09 6/30/08 6/30/07 6/30/06 6/30/05
- ---------------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 8.54 $ 9.02 $ 8.87 $ 8.81 $ 9.32 $ 9.11
- ---------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.19 $ 0.42 $ 0.35 $ 0.33 $ 0.28 $ 0.32
Net realized and unrealized gain (loss) on investments 0.49 (0.31) 0.16 0.06 (0.47) 0.28
- ---------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.68 $ 0.11 $ 0.51 $ 0.39 $ (0.19) $ 0.60
Distributions to shareowners:
Net investment income (0.19) (0.48) (0.36) (0.33) (0.32) (0.39)
Net realized gain -- (0.11) -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.49 $ (0.48) $ 0.15 $ 0.06 $ (0.51) $ 0.21
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.03 $ 8.54 $ 9.02 $ 8.87 $ 8.81 $ 9.32
=================================================================================================================================
Total return* 8.05% 1.62% 5.80% 4.39% (2.08)% 6.68%
Ratio of net expenses to average net assets+ 1.77%** 1.83% 1.82% 1.85% 1.89% 1.92%
Ratio of net investment income to average net assets+ 4.13%** 4.93% 3.79% 3.62% 3.07% 3.24%
Portfolio turnover rate 38%** 34% 73% 31% 60% 49%
Net assets, end of period (in thousands) $70,631 $53,045 $35,784 $30,934 $35,942 $42,160
Ratios with no waiver of fees and assumption of
expenses by the Adviser and no reduction for
fees paid indirectly:
Net expenses 1.77%** 1.83% 1.82% 1.85% 1.89% 1.92%
Net investment income 4.13%** 4.93% 3.79% 3.62% 3.07% 3.24%
Ratios with waiver of fees and assumption of
expenses by the Adviser and reduction for
fees paid indirectly:
Net expenses 1.77%** 1.83% 1.82% 1.84% 1.89% 1.91%
Net investment income 4.13%** 4.93% 3.79% 3.63% 3.07% 3.25%
=================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratio with no reduction for fees paid indirectly.
The accompanying notes are an integral part of these financial statements.
54 Pioneer Bond Fund | Semiannual Report | 12/31/09
- ------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
12/31/09 Ended Ended Ended Ended Ended
(unaudited) 6/30/09 6/30/08 6/30/07 6/30/06 6/30/05
- ------------------------------------------------------------------------------------------------------------------------------
Class R
Net asset value, beginning of period $ 8.71 $ 9.18 $ 9.05 $ 8.99 $ 9.50 $ 9.28
- ------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.22 $ 0.48 $ 0.40 $ 0.39 $ 0.34 $ 0.36
Net realized and unrealized gain (loss) on investments 0.49 (0.31) 0.15 0.06 (0.47) 0.30
- ------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.71 $ 0.17 $ 0.55 $ 0.45 $(0.13) $ 0.66
Distributions to shareowners:
Net investment income (0.22) (0.53) (0.42) (0.39) (0.38) (0.44)
Net realized gain -- (0.11) -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.49 $ (0.47) $ 0.13 $ 0.06 $(0.51) $ 0.22
- ------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.20 $ 8.71 $ 9.18 $ 9.05 $ 8.99 $ 9.50
==============================================================================================================================
Total return* 8.24% 2.35% 6.15% 5.04% (1.43)% 7.27%
Ratio of net expenses to average net assets+ 1.25%** 1.25% 1.25% 1.25% 1.25% 1.31%
Ratio of net investment income to average net assets+ 4.69%** 5.53% 4.35% 4.24% 3.50% 3.77%
Portfolio turnover rate 38%** 34% 73% 31% 60% 49%
Net assets, end of period (in thousands) $18,148 $15,404 $11,263 $6,511 $3,042 $1,259
Ratios with no waiver of fees and assumption
of expenses by the Adviser and no reduction for
fees paid indirectly:
Net expenses 1.28%** 1.30% 1.31% 1.44% 1.46% 1.43%
Net investment income 4.66%** 5.48% 4.30% 4.05% 3.29% 3.65%
Ratios with waiver of fees and assumption
of expenses by the Adviser and reduction for
fees paid indirectly:
Net expenses 1.25%** 1.25% 1.25% 1.25% 1.25% 1.31%
Net investment income 4.69%** 5.53% 4.35% 4.24% 3.50% 3.77%
==============================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, and the complete redemption of
the investment at net asset value at each end of each period.
** Annualized.
+ Ratio with no reduction for fees paid indirectly.
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 55
Financial Highlights (continued)
- ----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
12/31/09 Ended Ended Ended Ended Ended
(unaudited) 6/30/09 6/30/08 6/30/07 6/30/06 6/30/05
- ----------------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 8.55 $ 9.02 $ 8.88 $ 8.83 $ 9.33 $ 9.12
- ----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.24 $ 0.53 $ 0.45 $ 0.44 $ 0.39 $ 0.44
Net realized and unrealized gain (loss) on investments 0.50 (0.31) 0.16 0.06 (0.46) 0.28
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.74 $ 0.22 $ 0.61 $ 0.50 $ (0.07) $ 0.72
Distributions to shareowners:
Net investment income (0.25) (0.58) (0.47) (0.45) (0.43) (0.51)
Net realized gain -- (0.11) -- -- -- --
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.49 $ (0.47) $ 0.14 $ 0.05 $ (0.50) $ 0.21
- ----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.04 $ 8.55 $ 9.02 $ 8.88 $ 8.83 $ 9.33
==================================================================================================================================
Total return* 8.67% 2.95% 6.91% 5.65% (0.77)% 8.07%
Ratio of net expenses to average net assets+ 0.61%** 0.63% 0.59% 0.57% 0.58% 0.61%
Ratio of net investment income to average net assets+ 5.32%** 6.10% 5.02% 4.89% 4.20% 4.43%
Portfolio turnover rate 38%** 34% 73% 31% 60% 49%
Net assets, end of period (in thousands) $701,203 $589,661 $710,219 $613,523 $521,480 $21,027
Ratios with no waiver of fees and assumption
of expenses by the Adviser and no reduction for
fees paid indirectly:
Net expenses 0.61%** 0.64% 0.61% 0.57% 0.58% 0.61%
Net investment income 5.32%** 6.09% 5.00% 4.89% 4.20% 4.43%
Ratios with waiver of fees and assumption
of expenses by the Adviser and reduction for
fees paid indirectly:
Net expenses 0.61%** 0.63% 0.59% 0.57% 0.58% 0.61%
Net investment income 5.32%** 6.10% 5.02% 4.89% 4.20% 4.43%
==================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, and the complete redemption of
the investment at net asset value at each end of each period.
** Annualized.
+ Ratio with no reduction for fees paid indirectly.
The accompanying notes are an integral part of these financial statements.
56 Pioneer Bond Fund | Semiannual Report | 12/31/09
- --------------------------------------------------------------------------------------------------
Six Months
Ended Year
12/31/08 Ended 7/6/07 (a)
(unaudited) 6/30/09 to 6/30/08
- --------------------------------------------------------------------------------------------------
Class Z
Net asset value, beginning of period $ 8.67 $ 9.10 $ 8.89
- --------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.25 $ 0.54 $ 0.45
Net realized and unrealized gain (loss) on investments 0.48 (0.28) 0.22
- --------------------------------------------------------------------------------------------------
Net increase from investment operations $ 0.73 $ 0.26 $ 0.67
Distributions to shareowners:
Net investment income (0.25) (0.58) (0.46)
Net realized gain -- (0.11) --
- --------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.48 $ (0.43) $ 0.21
- --------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.15 $ 8.67 $ 9.10
==================================================================================================
Total return* 8.47% 3.42% 7.63%(b)
Ratio of net expenses to average net assets+ 0.62%** 0.65% 0.58%**
Ratio of net investment income to average net assets+ 5.22%** 5.91% 5.00%**
Portfolio turnover rate 38%** 34% 73%**
Net assets, end of period (in thousands) $ 645 $ 382 $ 102
Ratios with no waiver of fees and assumption of
expenses by the Adviser and no reduction for fees
paid indirectly:
Net expenses 0.62%** 0.67% 0.58%**
Net investment income 5.22%** 5.89% 5.00%**
Ratios with waiver of fees and assumption of expenses
by the Adviser and reduction for fees paid indirectly:
Net expenses 0.62%** 0.65% 0.58%**
Net investment income 5.22%** 5.91% 5.00%**
==================================================================================================
(a) Class Z shares were first publicly offered on July 6, 2007.
(b) Not annualized.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, and the complete redemption of
the investment at net asset value at each end of each period. **
Annualized.
+ Ratios with no fees paid indirectly.
The accompanying notes are an integral part of these financial statements.
Pioneer Bond Fund | Semiannual Report | 12/31/09 57
Notes to Financial Statements | 12/31/09 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer Bond Fund (the Fund) is a Delaware statutory trust registered under the
Investment Company Act of 1940 as a diversified, open-end management investment
company. The investment objectives of the Fund are to seek current income
consistent with preservation of capital.
The Fund offers six classes of shares designated as Class A, Class B, Class C,
Class R, Class Y and Class Z shares. Class Z shares were first publicly offered
on July 6, 2007. Effective as of the close of business on December 31, 2009,
Class B shares are no longer offered to new or existing shareholders, except
that dividends and/or capital gain distributions may continue to be reinvested
in Class B shares, and shareholders may exchange their Class B shares for Class
B shares of other Pioneer funds, as permitted by existing exchange privileges.
Each class of shares represents an interest in the same portfolio of
investments of the Fund and has identical rights (based on relative net asset
values) to assets and liquidation proceeds. Share classes can bear different
rates of class-specific fees and expenses such as transfer agent and
distribution fees. Differences in class-specific fees and expenses will result
in differences in net investment income and, therefore, the payment of
different dividends from net investment income earned by each class. The
Amended and Restated Declaration of Trust of the Fund gives the Board the
flexibility to specify either per share voting or dollar-weighted voting when
submitting matters for shareholder approval. Under per-share voting, each share
of a class of the Fund is entitled to one vote. Under dollar-weighted voting, a
shareholder's voting power is determined not by the number of shares owned, but
by the dollar value of the shares on the record date. Each share class has
exclusive voting rights with respect to matters affecting only that class,
including with respect to the distribution plan for that class. There is no
distribution plan for Class Y or Class Z shares. Class B shares convert to
Class A shares approximately eight years after the date of purchase.
At times, the Fund's investments may represent industries or industry sectors
that are interrelated or have common risks, making it more susceptible to any
economic, political, or regulatory developments or other risks affecting those
industries and sectors. The Fund's prospectuses contain unaudited information
regarding the Fund's principal risks. Please refer to those documents when
considering the Fund's principal risks.
The Fund's financial statements have been prepared in conformity with U.S.
generally accepted accounting principles that require the management of the
Fund to, among other things, make estimates and assumptions that affect the
58 Pioneer Bond Fund | Semiannual Report | 12/31/09
reported amounts of assets and liabilities, the disclosure of contingent assets
and liabilities at the date of the financial statements, and the reported
amounts of income, expenses and gains and losses on investments during the
reporting period. Actual results could differ from those estimates.
The following is a summary of significant accounting policies followed by the
Fund in the preparation of its financial statements, which are consistent with
those policies generally accepted in the investment company industry:
A. Security Valuation
Security transactions are recorded as of trade date. The net asset value of
the Portfolio is computed once daily, on each day the New York Stock
Exchange (NYSE) is open, as of the close of regular trading on the NYSE.
Senior floating rate loan interests (senior loans) are valued in accordance
with guidelines established by the Board of Trustees at the mean between the
last available bid and asked prices from one or more brokers or dealers as
obtained from Loan Pricing Corporation. For the limited number of senior
loans for which no reliable price quotes are available, such senior loans
will be valued by Loan Pricing Corporation through the use of pricing
matrices to determine valuations. Fixed income securities with remaining
maturity of more than sixty days are valued at prices supplied by
independent pricing services, which consider such factors as market prices,
market events, quotations from one or more brokers, Treasury spreads,
yields, maturities and ratings. Valuations may be supplemented by dealers
and other sources, as required. Equity securities that have traded on an
exchange are valued at the last sale price on the principal exchange where
they are traded. Equity securities that have not traded on the date of
valuation, or securities for which sale prices are not available, generally
are valued using the mean between the last bid and asked prices. Securities
or loans for which market prices and/or quotations are not readily available
or are considered to be unreliable are valued using fair value methods
pursuant to procedures adopted by the Board of Trustees and may include
yield equivalents or a pricing matrix.
The Fund may use fair value methods if it is determined that a significant
event has occurred after the close of the exchange or market on which the
security trades and prior to the determination of the Fund's net asset
value. Thus, the valuation of the Fund's securities may differ from exchange
prices. At December 31, 2009, there were no securities that were valued
using fair value methods (other than securities that were valued using
prices supplied by independent pricing services). Short-term fixed income
securities with remaining maturities of sixty days or less generally are
valued at amortized cost. Money market mutual funds are valued at net asset
value.
Principal amounts of mortgage-backed securities are adjusted for monthly
paydowns. Premiums and discounts related to certain mortgage-backed
Pioneer Bond Fund | Semiannual Report | 12/31/09 59
securities are amortized or accreted in proportion to the monthly paydowns.
All discounts/premiums on debt securities are accreted/amortized for
financial reporting purposes over the life of the respective securities, and
such accretion/amortization is included in interest income.
Dividend income is recorded on the ex-dividend date, except that certain
dividends from foreign securities where the ex-dividend date may have passed
are recorded as soon as the Fund becomes aware of the ex-dividend data in
the exercise of reasonable diligence. Interest income, including interest on
income bearing cash accounts, is recorded on the accrual basis, net of
unrecoverable foreign taxes withheld at the applicable country rates.
Gains and losses on sales of investments are calculated on the identified
cost method for both financial reporting and federal income tax purposes.
B. Federal Income Taxes
It is the Fund's policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to distribute
all of its taxable income and net realized capital gains, if any, to its
shareowners. Therefore, no federal income tax provision is required. Tax
years for the prior three fiscal years remain subject to examination by tax
authorities.
The amounts and characterizations of distributions to shareowners for
financial reporting purposes are determined in accordance with federal
income tax rules. Therefore, the sources of the Fund's distributions may be
shown in the accompanying financial statements as from or in excess of net
investment income or as from net realized gain on investment transactions,
or as from paid-in capital, depending on the type of book/tax differences
that may exist.
The tax character of current year distributions paid will be determined at
the end of the current taxable year. The tax character of distributions paid
during the year ended June 30, 2009 was as follows:
- --------------------------------------------------------------------------------
2009
- --------------------------------------------------------------------------------
Distributions paid from:
Ordinary income $59,574,652
Long-term capital gain 10,910,390
- --------------------------------------------------------------------------------
Total $70,485,042
================================================================================
60 Pioneer Bond Fund | Semiannual Report | 12/31/09
The following shows the components of distributable earnings on a federal
income tax basis at June 30, 2009.
- --------------------------------------------------------------------------------
2009
- --------------------------------------------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 734,831
Capital loss carryforward (34,915,354)
Dividends payable (3,337,781)
Post October loss deferred (3,538,318)
Unrealized depreciation (44,740,855)
- --------------------------------------------------------------------------------
Total $ (85,797,477)
================================================================================
The difference between book-basis and tax-basis unrealized appreciation is
attributable to the tax deferral of losses on wash sales, the tax treatment
of premium and amortization and the tax basis adjustments on interest or
defaulted bonds.
C. Fund Shares
The Fund records sales and repurchases of its shares as of trade date.
Pioneer Funds Distributor, Inc. (PFD), the principal underwriter for the
Fund and a wholly owned indirect subsidiary of UniCredit S.p.A.,
(UniCredit), earned approximately $90,072 in underwriting commissions on the
sale of Class A shares during the six months ended December 31, 2009.
D. Class Allocations
Income, common expenses, and realized and unrealized gains and losses are
calculated at the Fund level and allocated daily to each class of shares
based on its respective percentage of adjusted net assets at the beginning
of the day.
Distribution fees are calculated based on the average daily net asset value
attributable to Class A, Class B, Class C, and Class R shares of the Fund,
respectively. Class Y and Class Z shares do not pay distribution fees.
Shareowners of each class participate in all expenses and fees paid to the
transfer agent, Pioneer Investment Management Shareholder Services, Inc.
(PIMSS), for its services, which are allocated among the classes of shares
based on the number of accounts in each class and the ratable allocation of
related out-of-pocket expenses (see Note 3).
The Fund declares as daily dividends substantially all of its net investment
income. All dividends are paid on a monthly basis. Short-term capital gain
distributions, if any, may be declared with the daily dividends.
Distributions to shareowners are recorded as of the ex-dividend date.
Distributions paid by the Fund with respect to each class of shares are
calculated in the same manner and at the same time, except that net
investment income dividends
Pioneer Bond Fund | Semiannual Report | 12/31/09 61
to Class A, Class B, Class C, Class R, Class Y and Class Z shares can
reflect different transfer agent and distribution expense rates.
E. Repurchase Agreements
With respect to repurchase agreements entered into by the Fund, the value of
the underlying securities (collateral), including accrued interest, is
required to be equal to or in excess of the repurchase price. The collateral
for all repurchase agreements is held in safekeeping in the customer-only
account of the Fund's custodian or a subcustodian of the Fund. The Fund's
investment adviser, Pioneer Investment Management, Inc. (PIM), is
responsible for determining that the value of the collateral remains at
least equal to the repurchase price.
F. Securities Lending
The Fund lends securities in its portfolio to certain broker-dealers or
other institutional investors. When entering into a securities loan
transaction, the Fund typically receives cash collateral from the borrower
equal to at least the fair value of the securities loaned, which is invested
in temporary investments. Credit Suisse AG, New York Branch, as the Fund's
securities lending agent, manages the Fund's securities lending collateral.
The income earned on the investment of collateral is shared with the
borrower and the lending agent in payment of any rebate due to the borrower
with respect to the securities loan, and in compensation for the lending
agent's services to the Fund. The Fund also continues to receive payments in
lieu of dividends or interest on the securities loaned. Gain or loss on the
fair value of the loaned securities that may occur during the term of the
loan will be for the account of the Fund. The amount of the collateral is
required to be adjusted daily to reflect any price fluctuation in the fair
value of the loaned securities. If the required market value of the
collateral is less than the fair value of the loaned securities, the
borrower is required to deliver additional collateral for the account of the
Fund prior to the close of the next business day. The Fund has the right,
under the lending agreement, to terminate the loan and recover the
securities from the borrower with prior notice. The Fund is required to
return the cash collateral to the borrower and could suffer a loss if the
value of the collateral, as invested, has declined.
2. Management Agreement
PIM, a wholly owned indirect subsidiary of UniCredit, manages the Fund's
portfolio. Management fees are calculated daily at the annual rate of 0.50% of
the Fund's average daily net assets up to $1 billion; 0.45% of the next $1
billion, and 0.40% of the excess over $2 billion. For the six months ended
December 31, 2009, the effective management fee (excluding waivers and/or
assumption of expenses) was equal to 0.50% of the Fund's average daily net
assets.
62 Pioneer Bond Fund | Semiannual Report | 12/31/09
PIM has contractually agreed to limit ordinary operating expenses to the extent
required to reduce Fund expenses to 0.85%, 1.90%, 1.90%, 1.25%, 0.76% and 0.65%
of the average daily net assets attributable to Class A, Class B, Class C,
Class R, Class Y and Class Z shares, respectively. These expense limitations
are in effect through November 1, 2013 for Class A and Class Z shares, through
November 1, 2011 for Class B, Class C and Class R shares and through June 1,
2012 for Class Y shares. There can be no assurance that PIM will extend the
expense limitation agreement for a class of shares beyond the date referred to
above.
In addition, under the management and administration agreements, certain other
services and costs, including accounting, regulatory reporting, and insurance
premiums, are paid by the Fund as administrative reimbursements. Included in
"Due to Affiliates" reflected on the Statement of Assets and Liabilities is
$26,272 in management fees, administrative costs and certain other
reimbursements payable to PIM at December 31, 2009.
3. Transfer Agent
PIMSS, a wholly owned indirect subsidiary of UniCredit, provides substantially
all transfer agent and shareowner services to the Fund at negotiated rates.
In addition, the Fund reimburses PIMSS for out-of-pocket expenses incurred by
PIMSS related to shareholder communications activities such as proxy and
statement mailings, outgoing phone calls and omnibus relationship contracts.
For the six months ended December 31, 2009, such out of pocket expenses by
class of shares were as follows:
- --------------------------------------------------------------------------------
Shareholder Communications:
- --------------------------------------------------------------------------------
Class A $184,163
Class B 12,275
Class C 29,644
Class R 16,037
Class Y 45,783
Class Z 68
- --------------------------------------------------------------------------------
Total: $287,970
================================================================================
Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $84,791 in transfer agent fees and out-of-pocket reimbursements
payable to PIMSS at December 31, 2009.
4. Distribution and Service Plans
The Fund has adopted a Distribution Plan pursuant to Rule 12b-1 of the
Investment Company Act of 1940 with respect to its Class A, Class B, Class C
and Class R shares. Pursuant to the Plan, the Fund pays PFD 0.25% of the
average daily net assets attributable to Class A shares as compensation for
personal services and/or account maintenance services or distribution services
Pioneer Bond Fund | Semiannual Report | 12/31/09 63
with regard to Class A shares. Pursuant to the Plan, the Fund also pays PFD
1.00% of the average daily net assets attributable to Class B and Class C
shares. The fee for Class B and Class C shares consists of a 0.25% service fee
and a 0.75% distribution fee paid as compensation for personal services and/or
account maintenance services or distribution services with regard to Class B
and Class C shares. Pursuant to the Plan, the Fund further pays PFD 0.50% of
the average daily net assets attributable to Class R shares for distribution
services. Included in "Due to affiliates" reflected on the Statement of Assets
and Liabilities is $5,441 in distribution fees payable to PFD at December 31,
2009.
The Fund also has adopted a separate service plan for Class R shares (Service
Plan). The Service Plan authorizes the Fund to pay securities dealers, plan
administrators or other service organizations that agree to provide certain
services to retirement plans or plan participants holding shares of the Fund a
service fee of up to 0.25% of the Fund's average daily net assets attributable
to Class R shares held by such plans.
In addition, redemptions of each class of shares (except Class R, Class Y and
Class Z shares) may be subject to a contingent deferred sales charge (CDSC). A
CDSC of 1.00% may be imposed on redemptions of certain net asset value
purchases of Class A shares within 18 months of purchase (within 12 months for
purchases made on or after April 1, 2009). Class B shares that are redeemed
within five years of purchase are subject to a CDSC at declining rates
beginning at 4.00%, based on the lower of cost or market value of shares being
redeemed. Redemptions of Class C shares within one year of purchase are subject
to a CDSC of 1.00%, based on the lower of cost or market value of shares being
redeemed. Shares purchased as part of an exchange remain subject to any CDSC
that applied to the original purchase of those shares. There is no CDSC for
Class R, Class Y or Class Z shares. Proceeds from the CDSCs are paid to PFD.
For the year ended December 31, 2009, CDSCs in the amount of $41,285 were paid
to PFD.
5. Expense Offset Arrangements
The Fund has entered into certain expense offset arrangements with PIMSS
resulting in a reduction in the Fund's total expenses due to interest earned on
cash held by PIMSS. For the six months ended December 31, 2009, the Fund's
expenses not reduced under such arrangements.
6. Reorganization Information
On May 8, 2009, beneficial owners of Regions Morgan Keegan Select Fixed Income
Fund approved a proposed Agreement and Plan of Reorganization that provided for
the reorganization listed below. The purpose of this transaction was to combine
two funds with similar investment objectives and strategies. This tax-free
reorganization was accomplished on May 15, 2009 ("Closing Date"), by exchanging
the assets and stated liabilities of Regions Morgan
64 Pioneer Bond Fund | Semiannual Report | 12/31/09
Keegan Select Fixed Income Fund for shares of Pioneer Bond Fund. Shareowners
holding Class A, Class C and Class I shares of Regions Morgan Keegan Select
Fixed Income Fund received Class A, Class C and Class Y shares, respectively,
of Pioneer Bond Fund in the reorganization. The investment portfolio of Regions
Morgan Keegan Select Fixed Income Fund, with a fair value of $103,155,802 and
an identified cost of $104,563,375 at May 15, 2009, was the principal asset
acquired by Pioneer Bond Fund. For financial reporting purposes, assets
received and shares issued by Pioneer Bond Fund were recorded at fair value;
however, the cost basis of the investments received from Regions Morgan Keegan
Select Fixed Income Fund was carried forward to align ongoing reporting of
Pioneer Bond Fund's realized and unrealized gains and losses with amounts
distributable to shareowners for tax purposes. The following charts show the
details of the reorganization as of that Closing Date:
- --------------------------------------------------------------------------------------------
Regions Morgan
Pioneer Keegan Select Pioneer
Bond Fund Fixed Income Fund Bond Fund
(Pre-Reorganization) (Pre-Reorganization) (Post-Reorganization)
- --------------------------------------------------------------------------------------------
Net Assets
Class A $276,477,901 $ 36,518,366 $313,960,037
Class B $ 31,100,916 $ -- $ 31,100,916
Class C $ 48,515,093 $ 963,769 $ 48,515,093
Class R $ 15,664,037 $ -- $ 15,664,037
Class Y/I $518,695,851 $ 71,406,867 $590,102,718
Class Z $ 373,324 $ -- $ 373,324
- --------------------------------------------------------------------------------------------
Total Net Assets $890,827,123 $108,889,002 $999,716,125
- --------------------------------------------------------------------------------------------
Shares Outstanding
Class A 32,629,637 4,117,511 37,054,919
Class B 3,692,276 -- 3,692,276
Class C 5,783,455 108,700 5,783,455
Class R 1,830,795 -- 1,830,795
Class Y/I 61,769,449 8,054,285 70,270,266
Class Z 43,870 -- 43,870
Shares Issued in
Reorganization
Class A 4,425,282
Class Y 8,500,817
- --------------------------------------------------------------------------------
Unrealized Accumulated
Depreciation On Loss On
Closing Date Closing Date
- --------------------------------------------------------------------------------
Regions Morgan Keegan
Select Fixed Income Fund $(1,407,573) $(7,590,952)
Since the combined investment portfolios have been managed as a single
integrated portfolio since the reorganization was completed, it is not
practical to separate the amounts of revenue and earnings of Regions Morgan
Keegan Select Fixed Income Fund that have been included in Pioneer Bond Fund's
statement of operations since May 15, 2009.
Pioneer Bond Fund | Semiannual Report | 12/31/09 65
7. Subsequent Event
In preparing these financial statements, PIM has evaluated the impact of all
events and transactions for potential recognition or disclosure through
February 22, 2010 and has determined that there were no subsequent events
requiring recognition or disclosure in the financial statements.
66 Pioneer Bond Fund | Semiannual Report | 12/31/09
Approval of Investment Advisory Agreement (unaudited)
Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to
Pioneer Bond Fund (the Fund) pursuant to an investment advisory agreement
between PIM and the Fund. In order for PIM to remain the investment adviser of
the Fund, the Trustees of the Fund must determine annually whether to renew the
investment advisory agreement for the Fund.
The contract review process began in March 2009 as the Trustees of the Fund
agreed on, among other things, an overall approach and timeline for the
process. In July 2009, the Trustees approved the format of the contract review
materials and submitted their formal request to PIM to furnish information
necessary to evaluate the terms of the investment advisory agreement. The
contract review materials were provided to the Trustees in August 2009. After
reviewing and discussing the materials, the Trustees submitted a request for
additional information to PIM in September 2009, and materials were provided in
response to this request. Meetings of the independent Trustees of the Fund were
held in July, September, October, and November, 2009 to review and discuss the
contract review materials. In addition, the Trustees took into account the
information related to the Fund provided to the Trustees at each regularly
scheduled meeting.
At a meeting held on November 10, 2009, based on their evaluation of the
information provided by PIM and third parties, the Trustees of the Fund,
including the independent Trustees voting separately, unanimously approved the
renewal of the investment advisory agreement for another year. In considering
the renewal of the investment advisory agreement, the Trustees considered
various factors that they determined were relevant, including the factors
described below. The Trustees did not identify any single factor as the
controlling factor in determining to approve the renewal of the agreement.
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services that had
been provided by PIM to the Fund, taking into account the investment objective
and strategy of the Fund. The Trustees reviewed the terms of the investment
advisory agreement. The Trustees also reviewed PIM's investment approach for
the Fund, its research process and its process for trade execution. The
Trustees considered the resources of PIM and the personnel of PIM who provide
investment management services to the Fund. The Trustees considered the
non-investment resources and personnel of PIM involved in PIM's services to the
Fund, including PIM's compliance and legal resources and personnel. The
Trustees also considered the substantial attention and high priority given by
PIM's senior management to the Pioneer fund complex.
Pioneer Bond Fund | Semiannual Report | 12/31/09 67
The Trustees considered that PIM supervises and monitors the performance of the
Fund's service providers and provides the Fund with personnel (including Fund
officers) and other resources that are necessary for the Fund's business
management and operations. The Trustees also considered that, as administrator,
PIM is responsible for the administration of the Fund's business and other
affairs. The Trustees considered the fees paid to PIM for the provision of
administration services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services that had been provided by PIM to the Fund were
satisfactory and consistent with the terms of the investment advisory
agreement.
Performance of the Fund
The Trustees considered the performance results of the Fund over various time
periods. They reviewed information comparing the Fund's performance with the
performance of its peer group of funds as classified by Morningstar, Inc.
(Morningstar), an independent provider of investment company data, and with the
performance of the Fund's benchmark index. The Trustees considered that the
Fund's annualized total return was in the third quintile of its Morningstar
category for the one year period ended June 30, 2009 and in the second quintile
of its Morningstar category for the three, five and ten year periods ended June
30, 2009. (In all quintile rankings referred to throughout this disclosure,
first quintile is most favorable to the Fund's shareowners. Thus, highest
relative performance would be first quintile and lowest relative expenses would
also be first quintile.) The Trustees concluded that the investment performance
of the Fund was satisfactory.
Management Fee and Expenses
The Trustees considered information showing the fees and expenses of the Fund
in comparison to the management fees of its peer group of funds as classified
by Morningstar and the expense ratios of a peer group of funds selected on the
basis of criteria determined by the independent Trustees for this purpose using
data provided by Strategic Insight Mutual Trust Research and Consulting, LLC
(Strategic Insight), an independent third party.
The Trustees considered that the Fund's management fee for the twelve months
ended June 30, 2009 was in the third quintile relative to the management fees
paid by other funds in its Morningstar peer group for the comparable period.
The Trustees also considered that the Fund's expense ratio for the twelve
months ended June 30, 2009 was in the second quintile relative to its Strategic
Insight peer group for the comparable period. The Trustees considered the
breakpoints in the management fee schedule and the reduced fee rates above
certain asset levels.
The Trustees also reviewed management fees charged by PIM to its institutional
and other clients. In evaluating the fees associated with PIM's client
accounts, the Trustees took into account the respective demands, resources and
68 Pioneer Bond Fund | Semiannual Report | 12/31/09
complexity associated with the Fund and client accounts. The Trustees noted
that in some instances the fee rates for those clients were lower than the
management fee for the Fund and considered that, under the investment advisory
agreement with the Fund, PIM performs additional services for the Fund that it
does not provide to those other clients or services that are broader in scope,
including oversight of the Fund's other service providers and activities
related to compliance and the extensive regulatory and tax regimes to which the
Fund is subject.
The Trustees concluded that the management fee payable by the Fund to PIM was
reasonable in relation to the nature and quality of the services provided by
PIM. The Trustees also concluded that the Fund's expense ratio was reasonable
taking into account the nature and quality of services provided by PIM and the
contractual expense limitation agreed to by PIM with respect to the Fund.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Fund,
including the methodology used by PIM in allocating certain of its costs to the
management of the Fund. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Fund. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Fund in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors, including its
organizational structure and method for allocating expenses. The Trustees
concluded that PIM's profitability with respect to the management of the Fund
was not unreasonable.
Economies of Scale
The Trustees considered PIM's views relating to economies of scale in
connection with the Pioneer Funds as fund assets grow and the extent to which
any such economies of scale are shared with funds and fund shareholders. The
Trustees recognize that economies of scale are difficult to identify and
quantify and that, among other factors that may be relevant, are the following:
fee levels, expense subsidization, investment by PIM in research and analytical
capabilities and PIM's commitment and resource allocation to the Funds. The
Trustees noted that profitability also may be an indicator of the availability
of any economies of scale, although profitability may vary for other reasons
particularly, for example during the difficult year in 2008 for financial
markets, as the level of services was maintained notwithstanding a significant
decline in PIM's fee revenues from the Funds. Accordingly, the Trustees
concluded that economies of scale, if any, were being appropriately shared with
the Fund.
Pioneer Bond Fund | Semiannual Report | 12/31/09 69
Other Benefits
The Trustees considered the other benefits to PIM from its relationship with
the Fund. The Trustees considered the character and amount of fees paid by the
Fund, other than under the investment advisory agreement, for services provided
by PIM and its affiliates. The Trustees further considered the revenues and
profitability of PIM's businesses other than the fund business. The Trustees
considered the intangible benefits to PIM by virtue of its relationship with
the Fund and the other Pioneer funds. The Trustees concluded that the receipt
of these benefits was reasonable in the context of the overall relationship
between PIM and the Fund.
Conclusion
After consideration of the factors described above as well as other factors,
the Trustees, including all of the independent Trustees, concluded that the
investment advisory agreement between PIM and the Fund, including the fees
payable thereunder, was fair and reasonable and voted to approve the proposed
renewal of the investment advisory agreement for the Fund.
70 Pioneer Bond Fund | Semiannual Report | 12/31/09
Trustees, Officers and Service Providers
Trustees Officers
John F. Cogan, Jr., Chairman John F. Cogan, Jr., President
David R. Bock Daniel K. Kingsbury, Executive Vice President
Mary K. Bush Mark E. Bradley, Treasurer
Benjamin M. Friedman Dorothy E. Bourassa, Secretary
Margaret B.W. Graham
Daniel K. Kingsbury
Thomas J. Perna
Marguerite A. Piret
Investment Adviser and Administrator
Pioneer Investment Management, Inc.
Custodian
Brown Brothers Harriman & Co.
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Bingham McCutchen LLP
Shareowner Services and Transfer Agent
Pioneer Investment Management Shareholder Services, Inc.
Proxy Voting Policies and Procedures of the Fund are available without charge,
upon request, by calling our toll free number (1-800-225-6292). Information
regarding how the Fund voted proxies relating to portfolio securities during
the most recent 12-month period ended June 30 is publicly available to
shareowners at pioneerinvestments.com. This information is also available on
the Securities and Exchange Commission's web site at http://www.sec.gov.
Pioneer Bond Fund | Semiannual Report | 12/31/09 71
This page for your notes.
72 Pioneer Bond Fund | Semiannual Report | 12/31/09
This page for your notes.
Pioneer Bond Fund | Semiannual Report | 12/31/09 73
This page for your notes.
74 Pioneer Bond Fund | Semiannual Report | 12/31/09
This page for your notes.
Pioneer Bond Fund | Semiannual Report | 12/31/09 75
This page for your notes.
76 Pioneer Bond Fund | Semiannual Report | 12/31/09
How To Contact Pioneer
We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
Call us for:
- --------------------------------------------------------------------------------
Account Information, including existing accounts,
new accounts, prospectuses, applications
and service forms 1-800-225-6292
FactFone(SM) for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Write to us:
- --------------------------------------------------------------------------------
PIMSS, Inc.
P.O. Box 55014
Boston, Massachusetts 02205-5014
Our toll-free fax 1-800-225-4240
Our internet e-mail address ask.pioneer@pioneerinvestments.com
(for general questions about Pioneer only)
Visit our web site: pioneerinvestments.com
This report must be preceded or accompanied by a prospectus.
The Fund files a complete schedule of investments with the Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareholders may view the filed Form N-Q by visiting the Commission's
web site at http://www.sec.gov. The filed form may also be viewed and copied at
the Commission's Public Reference Room in Washington, DC. Information regarding
the operations of the Public Reference Room may be obtained by calling
1-800-SEC-0330.
ITEM 2. CODE OF ETHICS.
(a) Disclose whether, as of the end of the period covered by the report, the
registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions, regardless of
whether these individuals are employed by the registrant or a third party. If
the registrant has not adopted such a code of ethics, explain why it has not
done so.
The registrant has adopted, as of the end of the period covered by this report,
a code of ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer and controller.
(b) For purposes of this Item, the term "code of ethics" means written standards
that are reasonably designed to deter wrongdoing and to promote:
(1) Honest and ethical conduct, including the ethical handling of actual
or apparent conflicts of interest between personal and professional
relationships;
(2) Full, fair, accurate, timely, and understandable disclosure in
reports and documents that a registrant files with, or submits to, the
Commission and in other public communications made by the registrant;
(3) Compliance with applicable governmental laws, rules, and
regulations;
(4) The prompt internal reporting of violations of the code to an
appropriate person or persons identified in the code; and
(5) Accountability for adherence to the code.
(c) The registrant must briefly describe the nature of any amendment, during the
period covered by the report, to a provision of its code of ethics that applies
to the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, and that relates to any element of the code of
ethics definition enumerated in paragraph (b) of this Item. The registrant must
file a copy of any such amendment as an exhibit pursuant to Item 10(a), unless
the registrant has elected to satisfy paragraph (f) of this Item by posting its
code of ethics on its website pursuant to paragraph (f)(2) of this Item, or by
undertaking to provide its code of ethics to any person without charge, upon
request, pursuant to paragraph (f)(3) of this Item.
The registrant has made no amendments to the code of ethics during the period
covered by this report.
(d) If the registrant has, during the period covered by the report, granted a
waiver, including an implicit waiver, from a provision of the code of ethics to
the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, that relates to one or more of the items set forth
in paragraph (b) of this Item, the registrant must briefly describe the nature
of the waiver, the name of the person to whom the waiver was granted, and the
date of the waiver.
Not applicable.
(e) If the registrant intends to satisfy the disclosure requirement under
paragraph (c) or (d) of this Item regarding an amendment to, or a waiver from,
a provision of its code of ethics that applies to the registrant's principal
executive officer, principal financial officer, principal accounting officer or
controller, or persons performing similar functions and that relates to any
element of the code of ethics definition enumerated in paragraph (b) of this
Item by posting such information on its Internet website, disclose the
registrant's Internet address and such intention.
Not applicable.
(f) The registrant must:
(1) File with the Commission, pursuant to Item 10(a), a copy of its code
of ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer or controller,
or persons performing similar functions, as an exhibit to its annual
report on this Form N-CSR;
(2) Post the text of such code of ethics on its Internet website and
disclose, in its most recent report on this Form N-CSR, its Internet
address and the fact that it has posted such code of ethics on its
Internet website; or
(3) Undertake in its most recent report on this Form N-CSR to provide to
any person without charge, upon request, a copy of such code of ethics
and explain the manner in which such request may be made.
See Item 10(2)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a) (1) Disclose that the registrant's board of trustees has determined that
the registrant either:
(i) Has at least one audit committee financial expert serving on its audit
committee; or
(ii) Does not have an audit committee financial expert serving on its audit
committee.
The registrant's Board of Trustees has determined that the registrant has at
least one audit committee financial expert.
(2) If the registrant provides the disclosure required by paragraph
(a)(1)(i) of this Item, it must disclose the name of the audit committee
financial expert and whether that person is "independent." In order to be
considered "independent" for purposes of this Item, a member of an audit
committee may not, other than in his or her capacity as a member of the audit
committee, the board of trustees, or any other board committee:
(i) Accept directly or indirectly any consulting, advisory, or other
compensatory fee from the issuer; or
(ii) Be an "interested person" of the investment company as defined in
Section 2(a)(19) of the Act (15 U.S.C. 80a-2(a)(19)).
Ms. Marguerite A. Piret, an independent trustee, is such an audit committee
financial expert.
(3) If the registrant provides the disclosure required by paragraph (a)(1)
(ii) of this Item, it must explain why it does not have an audit committee
financial expert.
Not applicable.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Disclose, under the caption AUDIT FEES, the aggregate fees billed for each
of the last two fiscal years for professional services rendered by the principal
accountant for the audit of the registrant's annual financial statements or
services that are normally provided by the accountant in connection with
statutory and regulatory filings or engagements for those fiscal years.
N/A
(b) Disclose, under the caption AUDIT-RELATED FEES, the aggregate fees billed in
each of the last two fiscal years for assurance and related services by the
principal accountant that are reasonably related to the performance of the audit
of the registrant's financial statements and are not reported under
paragraph (a) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.
N/A
(c) Disclose, under the caption TAX FEES, the aggregate fees billed in each of
the last two fiscal years for professional services rendered by the principal
accountant for tax compliance, tax advice, and tax planning. Registrants shall
describe the nature of the services comprising the fees disclosed under this
category.
N/A
(d) Disclose, under the caption ALL OTHER FEES, the aggregate fees billed in
each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a) through
(c) of this Item. Registrants shall describe the nature of the services
comprising the fees disclosed under this category.
N/A
(e) (1) Disclose the audit committee's pre-approval policies and procedures
described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
PIONEER FUNDS
APPROVAL OF AUDIT, AUDIT-RELATED, TAX AND OTHER SERVICES
PROVIDED BY THE INDEPENDENT AUDITOR
SECTION I - POLICY PURPOSE AND APPLICABILITY
The Pioneer Funds recognize the importance of maintaining the independence of
their outside auditors. Maintaining independence is a shared responsibility
involving Pioneer Investment Management, Inc ("PIM"), the audit committee and
the independent auditors.
The Funds recognize that a Fund's independent auditors: 1) possess knowledge of
the Funds, 2) are able to incorporate certain services into the scope of the
audit, thereby avoiding redundant work, cost and disruption of Fund personnel
and processes, and 3) have expertise that has value to the Funds. As a result,
there are situations where it is desirable to use the Fund's independent
auditors for services in addition to the annual audit and where the potential
for conflicts of interests are minimal. Consequently, this policy, which is
intended to comply with Rule 210.2-01(C)(7), sets forth guidelines and
procedures to be followed by the Funds when retaining the independent audit firm
to perform audit, audit-related tax and other services under those
circumstances, while also maintaining independence.
Approval of a service in accordance with this policy for a Fund shall also
constitute approval for any other Fund whose pre-approval is required pursuant
to Rule 210.2-01(c)(7)(ii).
In addition to the procedures set forth in this policy, any non-audit services
that may be provided consistently with Rule 210.2-01 may be approved by the
Audit Committee itself and any pre-approval that may be waived in accordance
with Rule 210.2-01(c)(7)(i)(C) is hereby waived.
Selection of a Fund's independent auditors and their compensation shall be
determined by the Audit Committee and shall not be subject to this policy.
SECTION II - POLICY
- ---------------- -------------------------------- -------------------------------------------------
SERVICE SERVICE CATEGORY DESCRIPTION SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
CATEGORY
- ---------------- -------------------------------- -------------------------------------------------
I. AUDIT Services that are directly o Accounting research assistance
SERVICES related to performing the o SEC consultation, registration
independent audit of the Funds statements, and reporting
o Tax accrual related matters
o Implementation of new accounting
standards
o Compliance letters (e.g. rating agency
letters)
o Regulatory reviews and assistance
regarding financial matters
o Semi-annual reviews (if requested)
o Comfort letters for closed end
offerings
- ---------------- -------------------------------- -------------------------------------------------
II. Services which are not o AICPA attest and agreed-upon procedures
AUDIT-RELATED prohibited under Rule o Technology control assessments
SERVICES 210.2-01(C)(4) (the "Rule") o Financial reporting control assessments
and are related extensions of o Enterprise security architecture
the audit services support the assessment
audit, or use the
knowledge/expertise gained
from the audit procedures as a
foundation to complete the
project. In most cases, if
the Audit-Related Services are
not performed by the Audit
firm, the scope of the Audit
Services would likely
increase. The Services are
typically well-defined and
governed by accounting
professional standards (AICPA,
SEC, etc.)
- ---------------- -------------------------------- -------------------------------------------------
------------------------------------- ------------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the audit period for all services and related fees
pre-approved specific service reported at each regularly
subcategories. Approval of the scheduled Audit Committee
independent auditors as meeting.
auditors for a Fund shall
constitute pre approval for
these services.
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the fund fiscal year within services and related fees
a specified dollar limit (including comparison to
for all pre-approved specified dollar limits)
specific service subcategories reported quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limit for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for Audit-Related
Services not denoted as
"pre-approved", or
to add a specific service
subcategory as "pre-approved"
------------------------------------- ------------------------------------
SECTION III - POLICY DETAIL, CONTINUED
- ----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
- ----------------------- --------------------------- -----------------------------------------------
III. TAX SERVICES Services which are not o Tax planning and support
prohibited by the Rule, o Tax controversy assistance
if an officer of the Fund o Tax compliance, tax returns, excise
determines that using the tax returns and support
Fund's auditor to provide o Tax opinions
these services creates
significant synergy in
the form of efficiency,
minimized disruption, or
the ability to maintain a
desired level of
confidentiality.
- ----------------------- --------------------------- -----------------------------------------------
- ------------------------------------- -------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
- ------------------------------------- -------------------------
- ------------------------------------- -------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year all such services and
within a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for tax services not
denoted as pre-approved, or to add a specific
service subcategory as
"pre-approved"
- ------------------------------------- -------------------------
SECTION III - POLICY DETAIL, CONTINUED
- ----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
- ----------------------- --------------------------- -----------------------------------------------
IV. OTHER SERVICES Services which are not o Business Risk Management support
prohibited by the Rule, o Other control and regulatory
A. SYNERGISTIC, if an officer of the Fund compliance projects
UNIQUE QUALIFICATIONS determines that using the
Fund's auditor to provide
these services creates
significant synergy in
the form of efficiency,
minimized disruption,
the ability to maintain a
desired level of
confidentiality, or where
the Fund's auditors
posses unique or superior
qualifications to provide
these services, resulting
in superior value and
results for the Fund.
- ----------------------- --------------------------- -----------------------------------------------
- --------------------------------------- ------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
- ------------------------------------- --------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year within all such services and
a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for "Synergistic" or
"Unique Qualifications" Other
Services not denoted as
pre-approved to the left, or to
add a specific service
subcategory as "pre-approved"
- ------------------------------------- --------------------------
SECTION III - POLICY DETAIL, CONTINUED
- ----------------------- ------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PROHIBITED SERVICE SUBCATEGORIES
DESCRIPTION
- ----------------------- ------------------------- -----------------------------------------------
PROHIBITED SERVICES Services which result 1. Bookkeeping or other services
in the auditors losing related to the accounting records or
independence status financial statements of the audit
under the Rule. client*
2. Financial information systems design
and implementation*
3. Appraisal or valuation services,
fairness* opinions, or
contribution-in-kind reports
4. Actuarial services (i.e., setting
actuarial reserves versus actuarial
audit work)*
5. Internal audit outsourcing services*
6. Management functions or human
resources
7. Broker or dealer, investment
advisor, or investment banking services
8. Legal services and expert services
unrelated to the audit
9. Any other service that the Public
Company Accounting Oversight Board
determines, by regulation, is
impermissible
- ----------------------- ------------------------- -----------------------------------------------
- ------------------------------------------- ------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
- ------------------------------------------- ------------------------------
o These services are not to be o A summary of all
performed with the exception of the(*) services and related
services that may be permitted fees reported at each
if they would not be subject to audit regularly scheduled
procedures at the audit client (as Audit Committee meeting
defined in rule 2-01(f)(4)) level will serve as continual
the firm providing the service. confirmation that has
not provided any
restricted services.
- ------------------------------------------- ------------------------------
- --------------------------------------------------------------------------------
GENERAL AUDIT COMMITTEE APPROVAL POLICY:
o For all projects, the officers of the Funds and the Fund's auditors will each
make an assessment to determine that any proposed projects will not impair
independence.
o Potential services will be classified into the four non-restricted service
categories and the "Approval of Audit, Audit-Related, Tax and Other
Services" Policy above will be applied. Any services outside the specific
pre-approved service subcategories set forth above must be specifically
approved by the Audit Committee.
o At least quarterly, the Audit Committee shall review a report summarizing the
services by service category, including fees, provided by the Audit firm as
set forth in the above policy.
- --------------------------------------------------------------------------------
(2) Disclose the percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee pursuant
to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
N/A
(f) If greater than 50 percent, disclose the percentage of hours expended on the
principal accountant's engagement to audit the registrant's financial statements
for the most recent fiscal year that were attributed to work performed by
persons other than the principal accountant's full-time, permanent employees.
N/A
(g) Disclose the aggregate non-audit fees billed by the registrant's accountant
for services rendered to the registrant, and rendered to the registrant's
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant for each of
the last two fiscal years of the registrant.
N/A
(h) Disclose whether the registrant's audit committee of the board of trustees
has considered whether the provision of non-audit services that were rendered to
the registrant's investment adviser (not including any subadviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the investment adviser that provides ongoing services to the
registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of
Rule 2-01 of Regulation S-X is compatible with maintaining the principal
accountant's independence.
The Fund's audit committee of the Board of Trustees has
considered whether the provision of non-audit services that
were rendered to the Affiliates (as defined) that were not pre-
approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of
Regulation S-X is compatible with maintaining the principal
accountant's independence.
Item 5. Audit Committee of Listed Registrants
(a) If the registrant is a listed issuer as defined in Rule 10A-3
under the Exchange Act (17 CFR 240.10A-3), state whether
or not the registrant has a separately-designated standing
audit committee established in accordance with Section
3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)).
If the registrant has such a committee, however designated,
identify each committee member. If the entire board of directors
is acting as the registrants audit committee as specified in
Section 3(a)(58)(B) of the Exchange Act (15 U.S.C. 78c(a)(58)(B)),
so state.
N/A
(b) If applicable, provide the disclosure required by Rule 10A-3(d)
under the Exchange Act (17 CFR 240.10A-3(d)) regarding an exemption
from the listing standards for audit committees.
N/A
Item 6. Schedule of Investments.
File Schedule I Investments in securities of unaffiliated issuers
as of the close of the reporting period as set forth in 210.12-
12 of Regulation S-X [17 CFR 210.12-12], unless the schedule is
included as part of the report to shareholders filed under Item
1 of this Form.
Included in Item 1
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR
CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
A closed-end management investment company that is filing an annual report on
this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities.
Not applicable to open-end management investment companies.
Item 8. Portfolio Managers of Closed-End Management Investment
Companies.
(a) If the registrant is a closed-end management investment company that
is filing an annual report on this Form N-CSR,provide the following
information:
(1) State the name, title, and length of service of the person or persons
employed by or associated with the registrant or an investment adviser
of the registrant who are primarily responsible for the day-to-day management
of the registrants portfolio (Portfolio Manager). Also state each Portfolio
Managers business experience during the past 5 years.
Not applicable to open-end management investment companies.
Item 9. Purchases of Equity Securities by Closed-End Management
Investment Company and Affiliated Purchasers.
(a) If the registrant is a closed-end management investment company,
in the following tabular format, provide the information specified in
paragraph (b) of this Item with respect to any purchase made by or on
behalf of the registrant or any affiliated purchaser, as defined in
Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of
shares or other units of any class of the registrants equity securities
that is registered by the registrant pursuant to Section 12 of the
Exchange Act (15 U.S.C. 781). Instruction to paragraph (a). Disclose
all purchases covered by this Item, including purchases that do not
satisfy the conditions of the safe harbor of Rule 10b-18 under the
Exchange Act (17 CFR 240.10b-18), made in the period covered by the
report. Provide disclosures covering repurchases made on a monthly basis.
For example, if the reporting period began on January 16 and ended on
July 15, the chart would show repurchases for the months from January 16
through February 15, February 16 through March 15, March 16 through
April 15, April 16 through May 15, May 16 through June 15, and June 16
through July 15.
Not applicable to open-end management investment companies.
Item 10. Submission of Matters to a Vote of Security Holders.
Describe any material changes to the procedures by which shareholders
may recommend nominees to the registrants board of directors, where
those changes were implemented after the registrant last provided
disclosure in response to the requirements of Item 7(d)(2)(ii)(G)
of Schedule 14A (17 CFR 240.14a-101), or this Item.
There have been no material changes to the procedures by which the
shareholders may recommend nominees to the registrants board of
directors since the registrant last provided disclosure in response
to the requirements of Item 7(d)(2)(ii)(G) of Schedule 14(A) in
its definitive proxy statement, or this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Disclose the conclusions of the registrant's principal executive officer or
officers and principal financial officer or officers, or persons performing
similar functions, about the effectiveness of the registrant's disclosure
controls and procedures (as defined in Rule 30a-2(c) under the Act (17 CFR
270.30a-2(c))) based on their evaluation of these controls and procedures as of
a date within 90 days of the filing date of the report that includes the
disclosure required by this paragraph.
The registrant's principal executive officer
and principal financial officer have
concluded that the registrant's disclosure
controls and procedures are effective based
on their evaluation of these controls and
procedures as of a date within 90 days of the
filing date of this report.
(b) Disclose whether or not there were significant changes in the registrant's
internal controls or in other factors that could significantly affect these
controls subsequent to the date of their evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.
There were no significant changes in the
registrant's internal control over financial
reporting that occurred during the second
fiscal quarter of the period covered by this
report that have materially affected, or are
reasonably likely to materially affect, the
registrant's internal control over financial
reporting.
The registrant's principal executive officer and principal financial
officer, however, voluntarily are reporting the following information:
In August of 2006 the registrant's investment adviser
enhanced its internal procedures for reporting performance
information required to be included in prospectuses.
Those enhancements involved additional internal controls
over the appropriateness of performance data
generated for this purpose. Such enhancements were made
following an internal review which identified
prospectuses relating to certain classes of shares of
a limited number of registrants where, inadvertently,
performance information not reflecting the deduction of
applicable sales charges was included. Those prospectuses
were revised, and the revised prospectuses were distributed to
shareholders.
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form. Letter or number the
exhibits in the sequence indicated.
(a) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit.
(b) A separate certification for each principal executive officer and principal
financial officer of the registrant as required by Rule 30a-2 under the Act
(17 CFR 270.30a-2).
Filed herewith.
SIGNATURES
[See General Instruction F]
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Pioneer Bond Fund
By (Signature and Title)* /s/ John F. Cogan, Jr.
John F. Cogan, Jr, President
Date March 1, 2010
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ John F. Cogan, Jr.
John F. Cogan, Jr., President
Date March 1, 2010
By (Signature and Title)* /s/ Mark Bradley
Mark Bradley, Treasurer
Date March 1, 2010
* Print the name and title of each signing officer under his or her signature.