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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 811-01466
Pioneer Fund
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Terrence J. Cullen, 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: December 31
Date of reporting period: January 1, 2011 through June 30, 2011
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 Fund
--------------------------------------------------------------------------------
Semiannual Report | June 30, 2011
--------------------------------------------------------------------------------
Ticker Symbols:
Class A PIODX
Class B PBODX
Class C PCODX
Class R PIORX
Class Y PYODX
Class Z PIOZX
[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 28
Notes to Financial Statements 38
Trustees, Officers and Service Providers 47
Pioneer Fund | Semiannual Report | 6/30/11 1
President's Letter
Dear Shareowner,
The U.S. economy went through a soft patch in the first half of 2011, and the
second half of the year, so far, has been highlighted by the U.S. government's
battle over the debt ceiling and Standard & Poor's downgrade of the U.S.
Treasury's credit rating from the top rating of "AAA" for the first time in
history. The markets reacted quite negatively to the credit downgrade, and there
is concern about the strength of the global economy going forward.
Pioneer is cautiously optimistic that the U.S. economy will see moderate
economic growth over the balance of 2011, though at a slower pace than we had
expected earlier this year. While housing and employment remain weak, the
private sector shows signs of slow but steady improvement, led by higher
capital investment, solid exports, improved consumption, and gradually rising
demand for consumer auto loans and commercial loans. At the same time, the
risks to growth remain substantial, including high unemployment, continued
delays in the housing sector's recovery, and the fiscal drag of U.S. federal
and state budget cuts.
The difficult recovery process has been accompanied by wide market swings. While
this is a challenging environment, our investment professionals continue to
focus on finding good opportunities to invest in both equity and bond markets
using the same disciplined approach Pioneer has used since 1928. Our approach is
to identify undervalued individual securities with the greatest potential for
success, carefully weighing risk against reward. Our teams of investment
professionals continually monitor and analyze the relative valuations of
different sectors and securities globally to help build portfolios that we
believe can help you achieve your investment goals.
At Pioneer, we have long advocated the benefits of staying diversified and
investing for the long term. The strategy has generally performed well for many
investors. 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.
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
2 Pioneer Fund | Semiannual Report | 6/30/11
us.pioneerinvestments.com. We greatly appreciate your trust in us and we thank
you for investing with Pioneer.
Sincerely,
/s/ Daniel K. Kingsbury
Daniel K. Kingsbury
President and CEO
Pioneer Investment Management USA, Inc.
Any information in this shareowner 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 Fund | Semiannual Report | 6/30/11 3
Portfolio Management Discussion | 6/30/11
In the following interview, John Carey, Executive Vice President and Head of
the U.S. Core Value Department at Pioneer Investments, discusses the investment
environment during the six-month period ended June 30, 2011, and the Fund's
performance. Mr. Carey is responsible for the day-to-day management of Pioneer
Fund.
Q How would you describe the market environment for equities over the six
months ended June 30, 2011?
A While stock prices were up and down during the six-month period, they closed
the period with gains. Earnings increases and improved economic conditions
supported the gains. There were setbacks, from an earthquake and tsunami in
Japan, leading to parts shortages in the technology and automotive
industries, and political upheaval in the Middle East, contributing to a
spike in oil prices; and there were anxieties over the unresolved national
debt problems in Europe and the debate over raising the Federal debt ceiling
in the United States. On the whole, however, investors managed to look
through the near-term difficulties and focus on a longer-term picture of
encouraging business conditions. Though the economic expansion continued to
be slow and unemployment remained high, the direction of most economic
indicators was positive over the six months ended June 30, 2011, and business
as well as consumer sentiment improved. As capacity utilization in particular
increased, businesses undertook more capital spending and also looked to make
acquisitions. Strong cash flows led to higher dividend payments, and we also
saw share repurchases by companies.
Q How did the Fund perform in the six months ended June 30, 2011?
A Pioneer Fund Class A shares returned 4.52% at net asset value over the six
months ended June 30, 2011, while the Fund's benchmark, the Standard & Poor's
500 Index (the S&P 500), returned 6.01%. Over the same period, the average
return of the 1,098 mutual funds in Lipper's Large Cap Core category was
5.19%.
Q What were the reasons for the underperformance of the Fund versus the S&P 500
over the six months ended June 30, 2011?
A The Fund's underperformance of its benchmark was attributable to stock
selection in three sectors: consumer discretionary, health care, and
information technology. In consumer discretionary, Target, the discount
retailer, and Ford Motor, the automobile and truck manufacturer, were the
culprits. Target had disappointing sales results, and investors raised
questions about corporate strategy. Ford was hit by some new quality-related
issues, and the
4 Pioneer Fund | Semiannual Report | 6/30/11
overall auto industry did not grow as much as anticipated. In both cases,
we retained the holdings in the Fund, believing that the companies would
get past the current problems.
In health care, our focus on pharmaceuticals and equipment and supplies
companies detracted from Fund results as investors favored biotechnology
and providers and services. Finally, in information technology, Nokia
struggled with loss of market share in "smart phones," and the
Japanese-based Canon suffered in the aftermath of the earthquake and
tsunami.
On the positive side, several of the Fund's holdings fared quite well,
including Norfolk Southern, the railroad, John Wiley & Sons, the book and
scientific-journal publisher, and Marathon Oil, which announced a
restructuring.
Q What changes did you make to the Fund over the six months ended June 30,
2011, and how is the Fund positioned going into the second half of its fiscal
year?
A We were quite active over the six-month period, adding 17 holdings to the
Fund and liquidating seven. We made an especially large number of entries in
health care. Smith & Nephew specializes in orthopedic implants and wound-care
supplies. Medco Health Solutions is a pharmacy benefits manager, and Cardinal
Health is a pharmaceutical distributor. UnitedHealth Group is a private
health insurer. Amgen develops biotech drugs, and the expertise of Hospira is
in the delivery of medications to patients.
In financial services, we added Discover Financial Services, which has been
benefiting in its credit-card business from improved consumer credit in the
United States and growth opportunities outside the U. S. Intercontinental
Exchange, another addition, is a major operator of energy-trading
marketplaces, and Comerica is an important regional bank. In energy, we
added Cameron International, manufacturer of oil-and-gas pressure-control
equipment, to the Fund. In materials, Mosaic is a supplier of fertilizers,
primarily phosphates and potash. In consumer discretionary, we added Yum!
Brands to the Fund; the company has experienced good growth in Asia with
its Kentucky Fried Chicken franchise. Also added to the Fund in consumer
discretionary was Kohl's, which operates a chain of popular department
stores.
Our final additions to the Fund during the period were in information
technology and included: eBay, which has been prospering from its PayPal
service; Symantec, a provider of computer security products; Juniper
Networks, a prominent name in internet and telecommunications
infrastructure; and NetApp, a leader in information-storage and
data-management solutions.
Pioneer Fund | Semiannual Report | 6/30/11 5
Sold from the Fund during the six-month period were Monsanto, McDonald's,
CVS/Caremark, PepsiCo, Kellogg, Citrix Systems, and Frontier
Communications. The stocks had either reached what we considered to be full
values or appeared less attractive than stocks we wished to purchase for
the Fund.
Q With some slowness in the economy over the past few months and the ending of
the Federal Reserve Board's program of "quantitative easing," what is your
outlook for equities as we move into the second half of the year?
A We remain constructive on the economy. We do not think that the economic
recovery has run its course and that we are sinking back into recession. We
acknowledge the concerns that many investors have as they contemplate some of
the "macro" issues, including budget deficits, high unemployment, price
increases for energy and other raw materials, and international
uncertainties, especially in the "Euro Zone." At the same time, we note that
corporate earnings appear to be strong and that companies continue to discuss
and plan for growth, both in the U. S. and overseas. That in fact is a point
to emphasize: in investing in the U. S. stock market today, one is investing
not only in the U. S. economy, but also in economies around the world, as so
many American companies, especially in the large-market- capitalization
sector, are multinationals, doing business everywhere.
With our relatively positive view of business prospects, we find many
stocks today potentially quite attractively priced for long-term
investment. We are also heartened by the dividend increases we are seeing
from so many companies. Over the years, dividends have normally provided an
important part of the total return on stocks, and dividend increases can
only bolster overall return prospects.
Lastly, we see still many investors who are underweighted in equities, who
are "sitting on the sidelines," waiting for what, we are not quite sure. If
and when investors have more confidence in the outlook for equities, there
is a lot of potential buying power that can be brought to bear on the stock
market.
Thank you for your support.
Please refer to the Schedule of Investments on pages 18-27 for a full listing
of Fund 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.
These risks may increase share price volatility.
6 Pioneer Fund | Semiannual Report | 6/30/11
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 Fund | Semiannual Report | 6/30/11 7
Portfolio Summary | 6/30/11
Portfolio Diversification
--------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
U.S. Common Stocks 91.3%
Depositary Receipts for International Stocks 3.5%
International Common Stocks 3.0%
Temporary Cash Investments 2.2%
Sector Distribution
--------------------------------------------------------------------------------
(As a percentage of equity holdings)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Industrials 15.4%
Information Technology 13.4%
Financials 13.2%
Consumer Discretionary 13.1%
Energy 12.9%
Health Care 12.7%
Consumer Staples 10.0%
Materials 6.5%
Telecommunication Services 1.5%
Utilities 1.3%
10 Largest Holdings
--------------------------------------------------------------------------------
(As a percentage of equity holdings)*
1. Chevron Corp. 3.07%
--------------------------------------------------
2. Norfolk Southern Corp. 3.00
--------------------------------------------------
3. John Wiley & Sons, Inc. 2.54
--------------------------------------------------
4. Rio Tinto Plc 2.45
--------------------------------------------------
5. Johnson Controls, Inc. 2.24
--------------------------------------------------
6. Chubb Corp. 2.05
--------------------------------------------------
7. PACCAR, Inc. 2.03
--------------------------------------------------
8. Apache Corp. 1.94
--------------------------------------------------
9. Becton, Dickinson & Co. 1.85
--------------------------------------------------
10. Walgreen Co. 1.69
--------------------------------------------------
* This list excludes temporary cash investments and derivative instruments. The
portfolio 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 Fund | Semiannual Report | 6/30/11
Prices and Distributions | 6/30/11
Net Asset Value per Share
--------------------------------------------------------------------------------
---------------------------------------------
Class 6/30/11 12/31/10
---------------------------------------------
A $ 42.64 $ 40.96
---------------------------------------------
B $ 41.43 $ 39.86
---------------------------------------------
C $ 40.86 $ 39.26
---------------------------------------------
R $ 42.68 $ 41.00
---------------------------------------------
Y $ 42.77 $ 41.09
---------------------------------------------
Z $ 42.71 $ 41.03
---------------------------------------------
Distributions per Share: 1/1/11-6/30/11
--------------------------------------------------------------------------------
----------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
----------------------------------------------------------------------
A $ 0.1700 $ -- $ --
----------------------------------------------------------------------
B $ -- $ -- $ --
----------------------------------------------------------------------
C $ 0.0200 $ -- $ --
----------------------------------------------------------------------
R $ 0.1000 $ -- $ --
----------------------------------------------------------------------
Y $ 0.2500 $ -- $ --
----------------------------------------------------------------------
Z $ 0.2300 $ -- $ --
----------------------------------------------------------------------
Index Definition
--------------------------------------------------------------------------------
The Standard & Poor's 500 Index is a commonly used measure of the broad U.S.
stock market. Index returns assume reinvestment of dividends and, unlike Fund
returns, do not reflect any fees, expenses or sales charges. It is not possible
to invest directly in an index.
The index defined here pertains to the "Value of $10,000 Investment" and "Value
of $5 Million Investment" charts on pages 10-15.
Pioneer Fund | Semiannual Report | 6/30/11 9
Performance Update | 6/30/11 Class A Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Fund at public offering price, compared to that of
the Standard & Poor's 500 Index.
Average Annual Total Returns
(As of June 30, 2011)
-------------------------------------------------------------
Net Asset Public Offering
Period Value (NAV) Price (POP)
-------------------------------------------------------------
10 Years 2.92% 2.31%
5 Years 2.80 1.59
1 Year 31.69 24.13
-------------------------------------------------------------
Expense Ratio
(Per prospectus dated May 1, 2011)
-------------------------------------------------------------
Gross Net
-------------------------------------------------------------
1.16% 1.16%
-------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Standard
& Poor's Pioneer
500 Index Fund
6/30/2001 $ 9,425 $10,000
6/30/2002 $ 8,047 $ 8,202
6/30/2003 $ 7,608 $ 8,223
6/30/2004 $ 8,988 $ 9,793
6/30/2005 $ 9,742 $10,412
6/30/2006 $10,950 $11,310
6/30/2007 $13,153 $13,637
6/30/2008 $11,509 $11,849
6/30/2009 $ 8,496 $ 8,745
6/30/2010 $ 9,546 $10,006
6/30/2011 $12,571 $13,076
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 5.75% 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 June 1, 2012, 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.
10 Pioneer Fund | Semiannual Report | 6/30/11
Performance Update | 6/30/11 Class B Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Fund, compared to that of the Standard & Poor's 500
Index.
Average Annual Total Returns
(As of June 30, 2011)
-------------------------------------------------------------
If If
Period Held Redeemed
-------------------------------------------------------------
10 Years 1.95% 1.95%
5 Years 1.79 1.79
1 Year 30.24 26.24
-------------------------------------------------------------
Expense Ratio
(Per prospectus dated May 1, 2011)
-------------------------------------------------------------
Gross Net
-------------------------------------------------------------
2.24% 2.24%
-------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Standard
& Poor's Pioneer
500 Index Fund
6/30/2001 $10,000 $10,000
6/30/2002 $ 8,467 $ 8,202
6/30/2003 $ 7,934 $ 8,223
6/30/2004 $ 9,286 $ 9,793
6/30/2005 $ 9,977 $10,412
6/30/2006 $11,107 $11,310
6/30/2007 $13,233 $13,637
6/30/2008 $11,474 $11,849
6/30/2009 $ 8,383 $ 8,745
6/30/2010 $ 9,318 $10,006
6/30/2011 $12,135 $13,076
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 is 4%
and declines over five years. For more complete information, please see the
prospectus. 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 performance table and graph do not reflect the deduction of taxes that a
shareowner would pay on Fund distributions or the redemption of Fund shares.
Pioneer Fund | Semiannual Report | 6/30/11 11
Performance Update | 6/30/11 Class C Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Fund, compared to that of the Standard & Poor's 500
Index.
Average Annual Total Returns
(As of June 30, 2011)
-------------------------------------------------------------
If If
Period Held Redeemed
-------------------------------------------------------------
10 Years 2.11% 2.11%
5 Years 2.00 2.00
1 Year 30.69 30.69
-------------------------------------------------------------
Expense Ratio
(Per prospectus dated May 1, 2011)
-------------------------------------------------------------
Gross Net
-------------------------------------------------------------
1.96% 1.96%
-------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Standard
& Poor's Pioneer
500 Index Fund
6/30/2001 $10,000 $10,000
6/30/2002 $ 8,473 $ 8,202
6/30/2003 $ 7,946 $ 8,223
6/30/2004 $ 9,311 $ 9,793
6/30/2005 $10,011 $10,412
6/30/2006 $11,167 $11,310
6/30/2007 $13,307 $13,637
6/30/2008 $11,553 $11,849
6/30/2009 $ 8,463 $ 8,745
6/30/2010 $ 9,434 $10,006
6/30/2011 $12,328 $13,076
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.
12 Pioneer Fund | Semiannual Report | 6/30/11
Performance Update | 6/30/11 Class R Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Fund, compared to that of the Standard & Poor's 500
Index.
Average Annual Total Returns
(As of June 30, 2011)
-------------------------------------------------------------
If If
Period Held Redeemed
-------------------------------------------------------------
10 Years 2.69% 2.69%
5 Years 2.58 2.58
1 Year 31.22 31.22
-------------------------------------------------------------
Expense Ratio
(Per prospectus dated May 1, 2011)
-------------------------------------------------------------
Gross Net
-------------------------------------------------------------
1.50% 1.50%
-------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Standard
& Poor's Pioneer
500 Index Fund
6/30/2001 $10,000 $10,000
6/30/2002 $ 8,496 $ 8,202
6/30/2003 $ 8,000 $ 8,223
6/30/2004 $ 9,450 $ 9,793
6/30/2005 $10,234 $10,412
6/30/2006 $11,487 $11,310
6/30/2007 $13,777 $13,637
6/30/2008 $12,039 $11,849
6/30/2009 $ 8,877 $ 8,745
6/30/2010 $ 9,941 $10,006
6/30/2011 $13,045 $13,076
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. 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 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.
Pioneer Fund | Semiannual Report | 6/30/11 13
Performance Update | 6/30/11 Class Y Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $5 million
investment made in Pioneer Fund, compared to that of the Standard & Poor's 500
Index.
Average Annual Total Returns
(As of June 30, 2011)
-------------------------------------------------------------
If If
Period Held Redeemed
-------------------------------------------------------------
10 Years 3.37% 3.37%
5 Years 3.24 3.24
1 Year 32.19 32.19
-------------------------------------------------------------
Expense Ratio
(Per prospectus dated May 1, 2011)
-------------------------------------------------------------
Gross Net
-------------------------------------------------------------
0.74% 0.74%
-------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Standard
& Poor's Pioneer
500 Index Fund
6/30/2001 $5,000,000 $5,000,000
6/30/2002 $4,287,229 $4,101,231
6/30/2003 $4,071,997 $4,111,344
6/30/2004 $4,832,170 $4,896,580
6/30/2005 $5,259,444 $5,205,952
6/30/2006 $5,937,069 $5,654,894
6/30/2007 $7,159,423 $6,818,342
6/30/2008 $6,289,666 $5,924,249
6/30/2009 $4,667,392 $4,372,299
6/30/2010 $5,267,836 $5,003,208
6/30/2011 $6,963,817 $6,538,170
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 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 net expense ratio reflects contractual expense limitations currently in
effect through June 1, 2012, for Class Y 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.
14 Pioneer Fund | Semiannual Report | 6/30/11
Performance Update | 6/30/11 Class Z Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Fund, compared to that of the Standard & Poor's 500
Index.
Average Annual Total Returns
(As of June 30, 2011)
-------------------------------------------------------------
Net Asset Public Offering
Period Value (NAV) Price (POP)
-------------------------------------------------------------
10 Years 3.07% 3.07%
5 Years 3.10 3.10
1 Year 32.06 32.06
-------------------------------------------------------------
Expense Ratio
(Per prospectus dated May 1, 2011)
-------------------------------------------------------------
Gross Net
-------------------------------------------------------------
0.80% 0.80%
-------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Standard
& Poor's Pioneer
500 Index Fund
6/30/2001 $10,000 $10,000
6/30/2002 $ 8,539 $ 8,202
6/30/2003 $ 8,073 $ 8,223
6/30/2004 $ 9,537 $ 9,793
6/30/2005 $10,337 $10,412
6/30/2006 $11,619 $11,310
6/30/2007 $13,912 $13,637
6/30/2008 $12,252 $11,849
6/30/2009 $ 9,091 $ 8,745
6/30/2010 $10,249 $10,006
6/30/2011 $13,535 $13,076
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 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 April 30, 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 a contractual expense limitation currently in
effect through May 1, 2012, 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.
Pioneer Fund | Semiannual Report | 6/30/11 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 Fund
Based on actual returns from January 1, 2011 through June 30, 2011.
--------------------------------------------------------------------------------------------------------------------------
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 1/1/11
--------------------------------------------------------------------------------------------------------------------------
Ending Account $ 1,045.20 $ 1,039.40 $ 1,041.30 $ 1,043.40 $ 1,047.10 $ 1,046.70
Value on 6/30/11
--------------------------------------------------------------------------------------------------------------------------
Expenses Paid $ 5.63 $ 11.18 $ 9.31 $ 7.35 $ 3.81 $ 4.31
During Period*
--------------------------------------------------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized expense ratio of 1.11%, 2.21%,
1.84%, 1.45%, 0.75%, and 0.85% 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 181/365 (to reflect the one-half year period).
16 Pioneer Fund | Semiannual Report | 6/30/11
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 Fund
Based on a hypothetical 5% per year return before expenses, reflecting the
period from January 1, 2011 through June 30, 2011.
--------------------------------------------------------------------------------------------------------------------------
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 1/1/11
--------------------------------------------------------------------------------------------------------------------------
Ending Account $ 1,019.29 $ 1,013.84 $ 1,015.67 $ 1,017.60 $ 1,021.08 $ 1,020.58
Value on 6/30/11
--------------------------------------------------------------------------------------------------------------------------
Expenses Paid $ 5.56 $ 11.03 $ 9.20 $ 7.25 $ 3.76 $ 4.26
During Period*
--------------------------------------------------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized expense ratio of 1.11%, 2.21%,
1.84%, 1.45%, 0.75%, and 0.85% 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 181/365 (to reflect the one-half year period).
Pioneer Fund | Semiannual Report | 6/30/11 17
Schedule of Investments | 6/30/11 (unaudited)
--------------------------------------------------------------------------------
Shares Value
--------------------------------------------------------------------------------
COMMON STOCKS -- 99.8%
ENERGY -- 12.8%
Coal & Consumable Fuels -- 0.3%
472,831 Consol Energy, Inc. $ 22,922,847
--------------------------------------------------------------------------------
Integrated Oil & Gas -- 7.4%
2,105,710 Chevron Corp. $ 216,551,216
1,225,769 ConocoPhillips, Inc. 92,165,571
997,321 Exxon Mobil Corp. 81,161,983
818,099 Hess Corp. 61,161,081
1,429,209 Marathon Oil Corp. 75,290,730
--------------
$ 526,330,581
--------------------------------------------------------------------------------
Oil & Gas Drilling -- 0.9%
783,948 Ensco Plc*(b) $ 41,784,428
344,982 Helmerich & Payne, Inc. 22,810,210
--------------
$ 64,594,638
--------------------------------------------------------------------------------
Oil & Gas Equipment & Services -- 1.7%
493,900 Cameron International Corp.* $ 24,838,231
985,662 McDermott International, Inc.* 19,525,964
887,096 Schlumberger, Ltd. 76,645,094
--------------
$ 121,009,289
--------------------------------------------------------------------------------
Oil & Gas Exploration & Production -- 2.5%
1,109,364 Apache Corp. $ 136,884,424
458,333 Devon Energy Corp. 36,121,224
--------------
$ 173,005,648
--------------
Total Energy $ 907,863,003
--------------------------------------------------------------------------------
MATERIALS -- 6.5%
Aluminum -- 0.7%
3,012,994 Alcoa, Inc. (b) $ 47,786,085
--------------------------------------------------------------------------------
Diversified Chemical -- 0.8%
1,074,838 E.I. du Pont de Nemours & Co. $ 58,094,994
--------------------------------------------------------------------------------
Diversified Metals & Mining -- 3.4%
1,261,647 Freeport-McMoRan Copper & Gold, Inc. (Class B) $ 66,741,126
2,405,015 Rio Tinto Plc 173,036,284
--------------
$ 239,777,410
--------------------------------------------------------------------------------
Fertilizers & Agricultural Chemicals -- 0.3%
280,200 The Mosaic Co.* $ 18,977,946
--------------------------------------------------------------------------------
Industrial Gases -- 0.7%
741,415 Airgas, Inc. $ 51,928,707
--------------------------------------------------------------------------------
Specialty Chemicals -- 0.6%
776,011 Ecolab, Inc. $ 43,751,500
--------------
Total Materials $ 460,316,642
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer Fund | Semiannual Report | 6/30/11
-------------------------------------------------------------------
Shares Value
-------------------------------------------------------------------
CAPITAL GOODS -- 10.5%
Aerospace & Defense -- 2.7%
909,273 General Dynamics Corp. $ 67,759,024
462,571 Lockheed Martin Corp. 37,454,374
977,776 United Technologies Corp. 86,542,954
--------------
$ 191,756,352
-------------------------------------------------------------------
Construction & Farm Machinery & Heavy Trucks -- 4.0%
594,874 Caterpillar, Inc. $ 63,330,286
888,968 Deere & Co. 73,295,412
2,801,990 PACCAR, Inc. 143,153,669
--------------
$ 279,779,367
-------------------------------------------------------------------
Electrical Component & Equipment -- 1.5%
1,104,532 Emerson Electric Co. $ 62,129,925
546,155 Rockwell International Corp. (b) 47,384,408
--------------
$ 109,514,333
-------------------------------------------------------------------
Industrial Conglomerates -- 1.5%
655,662 3M Co. $ 62,189,541
2,316,305 General Electric Co. 43,685,512
--------------
$ 105,875,053
-------------------------------------------------------------------
Industrial Machinery -- 0.8%
463,261 Illinois Tool Works, Inc. $ 26,169,614
315,362 Parker Hannifin Corp. 28,300,586
--------------
$ 54,470,200
--------------
Total Capital Goods $ 741,395,305
-------------------------------------------------------------------
TRANSPORTATION -- 4.9%
Railroads -- 4.9%
1,281,360 Canadian National Railway Co. $ 102,380,664
1,182,795 CSX Corp. 31,012,885
2,824,709 Norfolk Southern Corp. 211,655,445
--------------
$ 345,048,994
--------------
Total Transportation $ 345,048,994
-------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 4.3%
Auto Parts & Equipment -- 3.0%
689,963 BorgWarner, Inc.* $ 55,742,111
3,802,683 Johnson Controls, Inc. 158,419,774
--------------
$ 214,161,885
-------------------------------------------------------------------
Automobile Manufacturers -- 1.3%
5,008,640 Ford Motor Corp.*(b) $ 69,069,146
662,897 General Motors Co* 20,125,553
--------------
$ 89,194,699
--------------
Total Automobiles & Components $ 303,356,584
-------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 19
Schedule of Investments | 6/30/11 (unaudited) (continued)
--------------------------------------------------------------------
Shares Value
--------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 1.2%
Apparel, Accessories & Luxury Goods -- 1.2%
1,379,926 Coach, Inc. $ 88,218,669
--------------
Total Consumer Durables & Apparel $ 88,218,669
--------------------------------------------------------------------
CONSUMER SERVICES -- 0.2%
Restaurants -- 0.2%
276,500 Yum! Brands, Inc. $ 15,273,860
--------------
Total Consumer Services $ 15,273,860
--------------------------------------------------------------------
MEDIA -- 3.8%
Publishing -- 3.8%
3,444,296 John Wiley & Sons, Inc. $ 179,137,835
2,092,262 McGraw-Hill Co., Inc. 87,686,700
--------------
$ 266,824,535
--------------
Total Media $ 266,824,535
--------------------------------------------------------------------
RETAILING -- 3.6%
Department Stores -- 1.1%
394,265 Kohl's Corp. $ 19,717,193
1,237,787 Nordstrom, Inc. (b) 58,101,722
--------------
$ 77,818,915
--------------------------------------------------------------------
General Merchandise Stores -- 1.5%
2,251,941 Target Corp. $ 105,638,552
--------------------------------------------------------------------
Home Improvement Retail -- 0.8%
2,282,004 Lowe's Companies, Inc. $ 53,193,513
--------------------------------------------------------------------
Specialty Stores -- 0.2%
1,088,171 Staples, Inc. $ 17,193,102
--------------
Total Retailing $ 253,844,082
--------------------------------------------------------------------
FOOD & DRUG RETAILING -- 3.0%
Drug Retail -- 1.7%
2,813,571 Walgreen Co. $ 119,464,225
--------------------------------------------------------------------
Food Distributors -- 0.7%
1,707,560 Sysco Corp. (b) $ 53,241,721
--------------------------------------------------------------------
Hypermarkets & Supercenters -- 0.6%
740,232 Wal-Mart Stores, Inc. $ 39,335,928
--------------
Total Food & Drug Retailing $ 212,041,874
--------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 4.2%
Packaged Foods & Meats -- 4.2%
1,797,058 General Mills, Inc. $ 66,886,499
1,485,146 H.J. Heinz Co., Inc. 79,128,579
1,897,399 Hershey Foods Corp. 107,867,133
1,162,588 Kraft Foods, Inc. 40,957,975
--------------
$ 294,840,186
--------------
Total Food, Beverage & Tobacco $ 294,840,186
--------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
20 Pioneer Fund | Semiannual Report | 6/30/11
------------------------------------------------------------------------
Shares Value
------------------------------------------------------------------------
HOUSEHOLD & PERSONAL PRODUCTS -- 2.8%
Household Products -- 1.9%
298,951 Clorox Co. (b) $ 20,161,255
1,317,337 Colgate-Palmolive Co. 115,148,427
--------------
$ 135,309,682
------------------------------------------------------------------------
Personal Products -- 0.9%
572,965 Estee Lauder Co. $ 60,270,188
--------------
Total Household & Personal Products $ 195,579,870
------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 8.1%
Health Care Distributors -- 0.3%
519,744 Cardinal Health, Inc. $ 23,606,772
------------------------------------------------------------------------
Health Care Equipment -- 7.2%
888,081 Baxter International, Inc. $ 53,009,555
1,518,215 Becton, Dickinson & Co. 130,824,587
938,941 C. R. Bard, Inc. (b) 103,152,058
640,680 Covidien, Ltd. 34,103,396
781,728 Medtronic, Inc.* 30,119,980
4,301,967 Smith & Nephew Plc 45,999,217
1,490,419 St. Jude Medical, Inc. 71,063,178
739,246 Stryker Corp. 43,386,348
--------------
$ 511,658,319
------------------------------------------------------------------------
Health Care Services -- 0.3%
353,692 Medco Health Solutions, Inc.* $ 19,990,672
------------------------------------------------------------------------
Managed Health Care -- 0.3%
351,700 United Healthcare Group, Inc. $ 18,140,686
--------------
Total Health Care Equipment & Services $ 573,396,449
------------------------------------------------------------------------
PHARMACEUTICALS & BIOTECHNOLOGY -- 4.6%
Biotechnology -- 0.6%
744,270 Amgen, Inc.* $ 43,428,155
------------------------------------------------------------------------
Pharmaceuticals -- 4.0%
1,577,749 Abbott Laboratories Co. $ 83,021,152
825,824 Eli Lilly & Co. 30,993,175
310,300 Hospira, Inc.* 17,581,598
727,027 Merck & Co., Inc. 25,656,783
2,759,853 Pfizer, Inc. 56,852,972
1,359,307 Teva Pharmaceutical Industries, Ltd. 65,545,784
--------------
$ 279,651,464
--------------
Total Pharmaceuticals & Biotechnology $ 323,079,619
------------------------------------------------------------------------
BANKS -- 2.6%
Diversified Banks -- 1.7%
926,522 Comerica, Inc. (b) $ 32,029,866
1,959,352 U.S. Bancorp 49,983,070
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 21
Schedule of Investments | 6/30/11 (unaudited) (continued)
---------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------
Diversified Banks -- (continued)
1,328,869 Wells Fargo & Co. $ 37,288,064
--------------
$ 119,301,000
---------------------------------------------------------------------
Regional Banks -- 0.9%
2,956,985 KeyCorp $ 24,631,685
640,680 PNC Bank Corp. 38,190,935
--------------
$ 62,822,620
--------------
Total Banks $ 182,123,620
---------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 8.1%
Asset Management & Custody Banks -- 5.1%
709,676 Franklin Resources, Inc. $ 93,173,362
1,094,084 Northern Trust Corp. 50,284,101
1,577,059 State Street Corp. 71,109,590
1,492,975 T. Rowe Price Associates, Inc. 90,086,112
2,121,243 The Bank of New York Mellon Corp. 54,346,246
--------------
$ 358,999,411
---------------------------------------------------------------------
Consumer Finance -- 0.7%
649,157 American Express Co. $ 33,561,417
498,300 Discover Financial Services, Inc.* 13,329,525
--------------
$ 46,890,942
---------------------------------------------------------------------
Diversified Financial Services -- 1.3%
3,549,565 Bank of America Corp. $ 38,903,232
1,264,604 JPMorgan Chase & Co. 51,772,888
--------------
$ 90,676,120
---------------------------------------------------------------------
Investment Banking & Brokerage -- 0.5%
1,601,291 Morgan Stanley, Inc. $ 36,845,706
---------------------------------------------------------------------
Specialized Finance -- 0.5%
98,566 CME Group, Inc. $ 28,740,860
74,500 Intercontinental Exchange, Inc.* 9,290,895
--------------
$ 38,031,755
--------------
Total Diversified Financials $ 571,443,934
---------------------------------------------------------------------
INSURANCE -- 2.5%
Property & Casualty Insurance -- 2.5%
2,314,728 Chubb Corp. $ 144,925,120
591,397 The Traveler Companies, Inc. 34,525,757
--------------
$ 179,450,877
--------------
Total Insurance $ 179,450,877
---------------------------------------------------------------------
SOFTWARE & SERVICES -- 4.3%
Application Software -- 0.5%
1,222,615 Adobe Systems, Inc.* $ 38,451,242
---------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
22 Pioneer Fund | Semiannual Report | 6/30/11
------------------------------------------------------------------------
Shares Value
------------------------------------------------------------------------
Data Processing & Outsourced Services -- 1.7%
1,142,579 Automatic Data Processing, Inc. $ 60,191,062
544,874 DST Systems, Inc. 28,769,347
543,346 Fiserv, Inc.* 34,029,760
--------------
$ 122,990,169
------------------------------------------------------------------------
Internet Software & Services -- 0.4%
762,100 eBAY, Inc.* $ 24,592,967
------------------------------------------------------------------------
IT Consulting & Other Services -- 0.7%
297,177 IBM Corp.* $ 50,980,714
------------------------------------------------------------------------
Systems Software -- 1.0%
1,182,794 Microsoft Corp. $ 30,752,644
443,548 Oracle Corp. 14,597,165
1,292,700 Symantec Corp.* 25,492,044
--------------
$ 70,841,853
--------------
Total Software & Services $ 307,856,945
------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 4.6%
Communications Equipment -- 1.7%
2,023,474 Cisco Systems, Inc. $ 31,586,429
230,700 Juniper Networks, Inc.* 7,267,050
352,021 Motorola Solutions, Inc.* 16,207,047
3,821,554 Nokia Corp. (A.D.R.)*(b) 24,534,377
492,831 Qualcomm, Inc. 27,987,872
392,831 Research In Motion, Inc.* 11,333,174
--------------
$ 118,915,949
------------------------------------------------------------------------
Computer Hardware -- 1.4%
2,688,107 Hewlett-Packard Co. $ 97,847,095
------------------------------------------------------------------------
Computer Storage & Peripherals -- 0.3%
447,500 NETAPP, Inc.* $ 23,619,050
------------------------------------------------------------------------
Office Electronics -- 1.2%
1,839,097 Canon, Inc. (A.D.R.)*(b) $ 87,522,626
--------------
Total Technology Hardware & Equipment $ 327,904,720
------------------------------------------------------------------------
SEMICONDUCTORS -- 4.4%
Semiconductor Equipment -- 1.0%
2,953,535 Applied Materials, Inc. $ 38,425,490
931,450 ASM Lithography Holdings NV (b) 34,426,392
--------------
$ 72,851,882
------------------------------------------------------------------------
Semiconductors -- 3.4%
739,246 Altera Corp. (b) $ 34,264,052
1,675,625 Analog Devices, Inc. 65,583,963
2,836,242 Intel Corp. 62,851,123
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 23
Schedule of Investments | 6/30/11 (unaudited) (continued)
---------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------
Semiconductors -- (continued)
2,319,755 Texas Instruments, Inc. $ 76,157,557
--------------
$ 238,856,695
--------------
Total Semiconductors $ 311,708,577
---------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 1.5%
Integrated Telecommunication Services -- 1.5%
2,267,022 AT&T Corp. $ 71,207,161
1,011,591 Verizon Communications, Inc. 37,661,533
--------------
$ 108,868,694
--------------
Total Telecommunication Services $ 108,868,694
---------------------------------------------------------------------------------------------
UTILITIES -- 1.3%
Electric Utilities -- 0.8%
526,469 PPL Corp. $ 14,651,632
1,075,751 Southern Co. 43,438,822
--------------
$ 58,090,454
---------------------------------------------------------------------------------------------
Multi-Utilities -- 0.5%
931,549 Public Service Enterprise Group, Inc. $ 30,405,759
--------------
Total Utilities $ 88,496,213
---------------------------------------------------------------------------------------------
TOTAL COMMON STOCKS
(Cost $4,119,492,423) $7,058,933,252
---------------------------------------------------------------------------------------------
Principal
Amount ($)
---------------------------------------------------------------------------------------------
TEMPORARY CASH INVESTMENTS -- 2.3%
SECURITIES LENDING COLLATERAL -- 2.3% (C)
Certificates of Deposit:
4,785,537 Bank of America NA, 0.19%, 9/2/11 $ 4,785,537
4,785,537 Bank of Montreal Chicago, 0.12%, 7/8/11 4,785,537
3,828,430 Bank of Nova Scotia, 0.30%, 6/11/12 3,828,430
957,107 Bank of Nova Scotia, 0.25%, 9/29/12 957,107
2,225,275 BBVA Group NY, 0.47%, 8/10/11 2,225,275
2,679,901 BBVA Group NY, 0.36%, 7/7/11 2,679,901
3,349,876 BBVA Group NY, 1.19%, 7/26/11 3,349,876
669,975 BNP Paribas Bank NY, 0.27%, 8/5/11 669,975
4,785,537 Canadian Imperial Bank of Commerce NY, 0.20%, 10/3/11 4,785,537
3,828,430 DnB NOR Bank ASA NY, 0.18%, 8/10/11 3,828,430
2,392,712 National Australia Bank NY, 0.29%, 10/19/11 2,392,712
5,264,939 RaboBank Netherland NV NY, 0.29%, 4/2/12 5,264,939
2,871,322 Royal Bank of Canada NY, 0.32%, 12/2/11 2,871,322
1,914,215 SOCGEN NY, 0.28%, 7/11/11 1,914,215
957,107 SOCGEN NY, 0.26%, 7/14/11 957,107
1,435,661 SOCGEN NY, 0.16%, 7/7/11 1,435,661
4,785,537 Westpac Banking Corp. NY, 0.32%, 12/6/11 4,785,537
--------------
$ 51,517,098
---------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
24 Pioneer Fund | Semiannual Report | 6/30/11
------------------------------------------------------------------------------------------
Principal
Amount ($) Value
------------------------------------------------------------------------------------------
Commercial Paper:
1,914,215 American Honda Finance, 0.34%, 1/11/12 $ 1,914,215
2,870,521 Australia & New Zealand Banking Group, 0.34%, 9/6/11 2,870,521
1,752,522 Australia & New Zealand Banking Group, 0.87%, 8/4/11 1,752,522
717,708 BCSFUN, 0.22%, 7/29/11 717,708
4,784,682 CBAPP, 0.20%, 8/3/11 4,784,682
526,813 General Electric Capital Corp., 0.44%, 11/21/11 526,813
4,354,054 HSBC, 0.17%, 8/9/11 4,354,054
4,306,983 JPMorgan Chase & Co., 0.30%, 7/17/12 4,306,983
4,303,074 NESCAP, 0.25%, 12/20/11 4,303,074
3,827,942 NORDNA, 0.27%, 7/18/11 3,827,942
3,828,164 PARFIN, 0.25%, 7/11/11 3,828,164
2,392,769 Royal Bank of Canada NY, 0.30%, 6/29/12 2,392,769
2,392,509 SANCPU, 0.39%, 7/11/11 2,392,509
2,390,131 SANCPU, 0.73%, 9/1/11 2,390,131
2,869,817 Sanofi Aventis, 0.68%, 10/20/11 2,869,817
3,347,838 SEB, 0.30%, 9/12/11 3,347,838
1,913,490 SOCNAM, 0.17%, 6/2/11 1,913,490
4,785,537 Svenska Handelsbanken, 0.29%, 6/29/12 4,785,537
4,785,537 Toyota Motor Credit Corp., 0.32%, 9/8/11 4,785,537
2,033,853 UXTPP, 0.32%, 7/1/11 2,033,853
2,392,430 VARFUN, 0.32%, 8/4/11 2,392,430
555,034 VARFUN, 0.32%, 8/8/11 555,034
1,339,733 VARFUN, 0.32%, 8/9/11 1,339,733
1,914,674 Wachovia, 0.41%, 10/15/11 1,914,674
1,436,767 Wachovia, 0.40%, 3/1/12 1,436,767
957,634 Wells Fargo & Co., 0.36%, 1/24/12 957,634
--------------
$ 68,694,431
------------------------------------------------------------------------------------------
Tri-party Repurchase Agreements:
485,541 Barclays Capital Plc, 0.01%, 7/1/11 $ 485,541
4,785,537 Deutschebank AG, 0.01%, 7/1/11 4,785,537
4,785,537 HSBC Bank USA NA, 0.01%, 6/1/11 4,785,537
14,356,612 RBS Securities, Inc., 0.02%, 6/1/11 14,356,612
--------------
$ 24,413,227
------------------------------------------------------------------------------------------
Shares
------------------------------------------------------------------------------------------
Money Market Mutual Funds:
7,656,859 Dreyfus Preferred Money Market Fund $ 7,656,859
7,656,860 Fidelity Prime Money Market Fund 7,656,860
--------------
$ 15,313,719
--------------
Total Securities Lending Collateral $ 159,938,475
------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 25
Schedule of Investments | 6/30/11 (unaudited) (continued)
----------------------------------------------------------------------
Shares Value
----------------------------------------------------------------------
TOTAL TEMPORARY CASH INVESTMENTS
(Cost $159,938,475) $ 159,938,475
----------------------------------------------------------------------
TOTAL INVESTMENT IN SECURITIES -- 102.1%
(Cost $4,279,400,898) (a) $7,218,871,727
----------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- (2.1)% $ (150,894,141)
----------------------------------------------------------------------
TOTAL NET ASSETS -- 100.0% $7,067,977,586
======================================================================
(A.D.R.) American Depositary Receipt
* Non-Income producing security.
(a) At June 30, 2011, the net unrealized gain on investments based on cost
for federal Income tax purposes of $4,287,470,329 was as follows:
Aggregate gross unrealized gain for all investments in which there is an
excess of value over tax cost $3,111,508,987
Aggregate gross unrealized loss for all investments in which there is an
excess of tax cost over value (180,107,589)
--------------
Net unrealized gain $2,931,401,398
==============
(b) At June 30, 2011, the following securities were out on loan:
---------------------------------------------------------------
Shares Description Value
---------------------------------------------------------------
545,900 Alcoa, Inc. $ 8,657,974
21,400 Altera Corp. 997,890
53,000 ASM Lithography Holdings NV 1,958,880
859,500 C. R. Bard, Inc. 94,424,670
238,000 Canon, Inc. (A.D.R.)* 11,326,420
55,000 Clorox Co. 3,709,200
32,300 Comerica, Inc. 1,116,611
30,000 Ensco Plc* 1,599,000
537,200 Ford Motor Corp.* 7,407,988
3,774,400 Nokia Corp. (A.D.R.)* 24,231,648
34,800 Nordstrom, Inc. 1,633,512
1,500 Rockwell International Corp. 130,140
5,300 Sysco Corp. 165,254
---------------------------------------------------------------
Total $157,359,187
===============================================================
(c) Securities lending collateral is managed by Credit Suisse AG, New York
Branch.
Purchases and sales of securities (excluding temporary cash investments) for
the six months ended June 30, 2011 aggregated $406,249,648 and $457,590,669,
respectively.
The accompanying notes are an integral part of these financial statements.
26 Pioneer Fund | Semiannual Report | 6/30/11
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 following is a summary of the inputs used as of June 30, 2011, in valuing
the Fund's assets:
----------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
----------------------------------------------------------------------------------------------------
Common Stocks $ 7,058,933,252 $ -- $ -- $ 7,058,933,252
Temporary Cash Investments -- 144,624,756 -- 144,624,756
Money Market Mutual Funds 15,313,719 -- -- 15,313,719
----------------------------------------------------------------------------------------------------
Total $ 7,074,246,971 $ 144,624,756 $ -- $ 7,218,871,727
====================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 27
Statement of Assets and Liabilities | 6/30/11 (unaudited)
ASSETS:
Investment in securities of unaffiliated issuers, at value (including
securities loaned of $156,359,187) (cost $4,271,764,385) $7,039,733,892
Investment in securities of affiliated issuers, at value
(cost $7,636,513) 179,137,835
------------------------------------------------------------------------------------------
Total investment in securities, at value (cost $4,279,400,898) $7,218,871,727
Cash 28,893,783
Receivables --
Fund shares sold 8,626,690
Dividends 9,232,875
Due from Pioneer Investment Management, Inc. 195
Other 186,371
------------------------------------------------------------------------------------------
Total assets $7,265,811,641
------------------------------------------------------------------------------------------
LIABILITIES:
Payables --
Investment securities purchased $ 32,331,033
Fund shares repurchased 3,912,594
Upon return of securities loaned 159,938,475
Due to affiliates 1,315,658
Accrued expenses 336,295
------------------------------------------------------------------------------------------
Total liabilities $ 197,834,055
------------------------------------------------------------------------------------------
NET ASSETS:
Paid-in capital $4,154,578,667
Undistributed net investment income 7,364,074
Accumulated net realized loss on investments, foreign currency
transactions and futures contracts (33,435,984)
Net unrealized gain on investments 2,939,470,829
------------------------------------------------------------------------------------------
Total net assets $7,067,977,586
==========================================================================================
NET ASSET VALUE PER SHARE:
(No par value, unlimited number of shares authorized)
Class A (based on $4,571,508,862/107,220,289 shares) $ 42.64
Class B (based on $67,487,744/1,628,806 shares) $ 41.43
Class C (based on $176,247,278/4,313,234 shares) $ 40.86
Class R (based on $150,199,725/3,519,173 shares) $ 42.68
Class Y (based on $2,101,500,929/49,133,002 shares) $ 42.77
Class Z (based on $1,033,048/24,189 shares) $ 42.71
MAXIMUM OFFERING PRICE:
Class A ($42.64 [divided by] 94.25% ) $ 45.24
==========================================================================================
The accompanying notes are an integral part of these financial statements.
28 Pioneer Fund | Semiannual Report | 6/30/11
Statement of Operations (unaudited)
For the Six Months Ended 6/30/11
INVESTMENT INCOME:
Dividends (net of foreign taxes withheld of $230,738 and including
income from affiliated issuers of $1,239,947) $ 72,980,902
Income from securities loaned, net 485,588
------------------------------------------------------------------------------------------------------
Total investment income $ 73,466,490
------------------------------------------------------------------------------------------------------
EXPENSES:
Management fees
Basic Fee 20,935,930
Performance Adjustment (226,720)
Transfer agent fees and expenses
Class A 3,871,898
Class B 181,383
Class C 92,157
Class R 30,898
Class Y 55,202
Class Z 789
Distribution fees
Class A 5,701,405
Class B 374,898
Class C 887,428
Class R 363,677
Administrative reimbursements 1,025,888
Shareholder communications expense 2,301,586
Custodian fees 62,507
Registration fees 103,682
Professional fees 73,611
Printing expense 184,457
Fees and expenses of nonaffiliated trustees 111,447
Miscellaneous 144,894
------------------------------------------------------------------------------------------------------
Total expenses $ 36,277,017
Less fees waived and expenses reimbursed by Pioneer
Investment Management, Inc. (199)
------------------------------------------------------------------------------------------------------
Net expenses $ 36,276,818
------------------------------------------------------------------------------------------------------
Net investment income $ 37,189,672
------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND
FOREIGN CURRENCY TRANSACTIONS:
Net realized gain (loss) on:
Investments $ 32,556,146
Redemption in-kind 105,977,026
Class actions 116,440
Forward foreign currency contracts and other assets and liabilities
denominated in foreign currencies (20,127) $138,629,485
------------------------------------------------------------------------------------------------------
Change in net unrealized gain on investments $137,338,946
------------------------------------------------------------------------------------------------------
Net gain on investments and foreign currency transactions $275,968,431
------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $313,158,103
======================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 29
Statement of Changes in Net Assets
For the Six Months Ended 6/30/11 and the Year Ended 12/31/10, respectively
-----------------------------------------------------------------------------------------------------
Six Months
Ended
6/30/11 Year Ended
(unaudited) 12/31/10
-----------------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 37,189,672 $ 61,876,799
Net realized gain on investments and foreign currency
transactions 138,629,485 202,124,249
Change in net unrealized gain (loss) on investments and foreign
currency transactions 137,338,946 673,536,741
-----------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 313,158,103 $ 937,537,789
-----------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.17 and $0.33 per share, respectively) $ (18,323,845) $ (38,467,463)
Class C ($0.02 and $0.06 per share, respectively) (86,107) (297,122)
Class R ($0.10 and $0.21 per share, respectively) (349,421) (725,938)
Class Y ($0.25 and $0.49 per share, respectively) (12,249,400) (21,184,854)
Class Z ($0.23 and $0.48 per share, respectively) (4,840) (6,284)
-----------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (31,013,613) $ (60,681,661)
-----------------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale of shares $ 532,333,861 $1,157,317,477
Reinvestment of distributions 28,484,267 55,205,805
Redemption in-kind (105,977,026) --
Cost of shares repurchased (523,768,303) (1,248,950,511)
-----------------------------------------------------------------------------------------------------
Net decrease in net assets resulting from Fund share
transactions $ (68,927,201) $ (36,427,229)
-----------------------------------------------------------------------------------------------------
Net increase in net assets $ 213,217,289 $ 840,428,899
NET ASSETS:
Beginning of period 6,854,760,297 6,014,331,398
-----------------------------------------------------------------------------------------------------
End of period $7,067,977,586 $6,854,760,297
-----------------------------------------------------------------------------------------------------
Undistributed net investment income $ 7,364,074 $ 1,188,015
=====================================================================================================
The accompanying notes are an integral part of these financial statements.
30 Pioneer Fund | Semiannual Report | 6/30/11
-------------------------------------------------------------------------------------------------------
'11 Shares '11 Amount '10 Shares '10 Amount
(unaudited) (unaudited)
-------------------------------------------------------------------------------------------------------
Class A
Shares sold 3,033,201 $ 128,299,710 7,486,904 $ 275,638,624
Reinvestment of distributions 409,696 17,103,567 967,881 35,691,809
Less shares repurchased (6,735,488) (284,521,604) (18,966,991) (696,596,173)
--------------------------------------------------------------------------------------------------------
Net decrease (3,292,591) $(139,118,327) (10,512,206) $(385,265,740)
========================================================================================================
Class B
Shares sold 22,628 $ 927,952 39,327 $ 1,415,222
Less shares repurchased (464,788) (19,056,699) (1,155,254) (41,199,473)
--------------------------------------------------------------------------------------------------------
Net decrease (442,160) $ (18,128,747) (1,115,927) $ (39,784,251)
========================================================================================================
Class C
Shares sold 237,033 $ 9,570,223 453,858 $ 15,967,018
Reinvestment of distributions 1,302 51,608 5,063 176,168
Less shares repurchased (447,673) (18,105,583) (1,155,174) (40,485,963)
--------------------------------------------------------------------------------------------------------
Net decrease (209,338) $ (8,483,752) (696,253) $ (24,342,777)
========================================================================================================
Class R
Shares sold 508,201 $ 21,486,019 818,474 $ 29,837,553
Reinvestment of distributions 8,165 341,063 19,268 704,458
Less shares repurchased (355,264) (14,947,645) (884,544) (32,127,622)
--------------------------------------------------------------------------------------------------------
Net increase (decrease) 161,102 $ 6,879,437 (46,802) $ (1,585,611)
========================================================================================================
Class Y
Shares sold 8,771,930 $ 371,593,965 22,906,398 $ 833,919,222
Reinvestment of distributions 262,109 10,983,598 503,819 18,629,533
Redemption in-kind (2,461,720) (105,977,026) -- --
Less shares repurchased (4,405,357) (187,096,986) (12,138,813) (438,213,771)
--------------------------------------------------------------------------------------------------------
Net increase (decrease) 2,166,962 $ 89,503,551 11,271,404 $ 414,334,984
========================================================================================================
Class Z
Shares sold 10,877 $ 456,149 14,722 $ 539,838
Reinvestment of distributions 102 4,274 103 3,837
Less shares repurchased (932) (39,786) (9,351) (327,509)
--------------------------------------------------------------------------------------------------------
Net increase 10,047 $ 420,637 5,474 $ 216,166
========================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 31
Financial Highlights
----------------------------------------------------------------------------------------
Six Months
Ended Year
6/30/11 Ended
(unaudited) 12/31/10
----------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 40.96 $ 35.72
----------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.21 $ 0.35
Net realized and unrealized gain (loss) on investments 1.64 5.22
----------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 1.85 $ 5.57
Distributions to shareowners:
Net investment income (0.17) (0.33)
Net realized gain -- --
Tax return of capital -- --
----------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 1.68 $ 5.24
----------------------------------------------------------------------------------------
Net asset value, end of period $ 42.64 $ 40.96
========================================================================================
Total return* 4.52% 15.72%
Ratio of net expenses to average net assets+ 1.11%** 1.16%
Ratio of net investment income to average net assets+ 1.00%** 0.94%
Portfolio turnover rate 12%** 10%
Net assets, end of period (in thousands) $4,571,509 $4,526,447
Ratios with reductions for fees paid indirectly:
Net expenses 1.11%** 1.16%
Net investment income 1.00%** 0.94%
========================================================================================
----------------------------------------------------------------------------------------------------------------
Year Year Year Year
Ended Ended Ended Ended
12/31/09 12/31/08 12/31/07 12/31/06
----------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 29.13 $ 46.32 $ 48.10 $ 44.21
----------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.40 $ 0.45 $ 0.41 $ 0.43
Net realized and unrealized gain (loss) on investments 6.59 (16.33) 1.79 6.72
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 6.99 $ (15.88) $ 2.20 $ 7.15
Distributions to shareowners:
Net investment income (0.39) (0.45) (0.41) (0.43)
Net realized gain -- (0.86) (3.57) (2.83)
Tax return of capital (0.01) -- -- --
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 6.59 $ (17.19) $ (1.78) $ 3.89
----------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 35.72 $ 29.13 $ 46.32 $ 48.10
================================================================================================================
Total return* 24.24% (34.38)% 4.71% 16.39%
Ratio of net expenses to average net assets+ 1.23% 1.19% 1.09% 1.11%
Ratio of net investment income to average net assets+ 1.31% 1.11% 0.81% 0.90%
Portfolio turnover rate 12% 11% 10% 9%
Net assets, end of period (in thousands) $4,323,282 $3,767,132 $6,299,615 $6,681,712
Ratios with reductions for fees paid indirectly:
Net expenses 1.23% 1.18% 1.08% 1.10%
Net investment income 1.31% 1.12% 0.82% 0.91%
================================================================================================================
* 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.
+ Ratio with no reduction for fees paid indirectly.
** Annualized.
The accompanying notes are an integral part of these financial statements.
32 Pioneer Fund | Semiannual Report | 6/30/11
---------------------------------------------------------------------------------------
Six Months
Ended Year
6/30/11 Ended
(unaudited) 12/31/10
---------------------------------------------------------------------------------------
Class B
Net asset value, beginning of period $ 39.86 $ 34.82
---------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ (0.03) $ (0.06)
Net realized and unrealized gain (loss) on investments 1.60 5.10
---------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 1.57 $ 5.04
Distributions to shareowners:
Net investment income -- --
Net realized gain -- --
Tax return of capital -- --
---------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 1.57 $ 5.04
---------------------------------------------------------------------------------------
Net asset value, end of period $ 41.43 $ 39.86
=======================================================================================
Total return* 3.94% 14.47%
Ratio of net expenses to average net assets+ 2.21%** 2.24%
Ratio of net investment income (loss) to average net assets+ (0.12)%** (0.14)%
Portfolio turnover rate 12%** 10%
Net assets, end of period (in thousands) $67,488 $82,547
Ratios with reduction for fees paid indirectly:
Net expenses 2.21%** 2.24%
Net investment income (loss) (0.12)%** (0.14)%
=======================================================================================
----------------------------------------------------------------------------------------------------------------
Year Year Year Year
Ended Ended Ended Ended
12/31/09 12/31/08 12/31/07 12/31/06
----------------------------------------------------------------------------------------------------------------
Class B
Net asset value, beginning of period $ 28.43 $ 45.11 $ 46.98 $ 43.21
----------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.06 $ 0.07 $ (0.04) $ 0.03
Net realized and unrealized gain (loss) on investments 6.41 (15.89) 1.74 6.58
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 6.47 $ (15.82) $ 1.70 $ 6.61
Distributions to shareowners:
Net investment income (0.07) -- -- (0.01)
Net realized gain -- (0.86) (3.57) (2.83)
Tax return of capital (0.01) -- -- --
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 6.39 $ (16.68) $ (1.87) $ 3.77
----------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 34.82 $ 28.43 $ 45.11 $ 46.98
================================================================================================================
Total return* 22.84% (34.99)% 3.76% 15.43%
Ratio of net expenses to average net assets+ 2.34% 2.13% 1.99% 1.97%
Ratio of net investment income (loss) to average net assets+ 0.23% 0.14% (0.10)% 0.04%
Portfolio turnover rate 12% 11% 10% 9%
Net assets, end of period (in thousands) $110,976 $134,094 $296,491 $405,566
Ratios with reduction for fees paid indirectly:
Net expenses 2.34% 2.12% 1.97% 1.96%
Net investment income (loss) 0.23% 0.15% (0.08)% 0.05%
================================================================================================================
* 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.
+ Ratio with no reduction for fees paid indirectly.
** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 33
Financial Highlights (continued)
---------------------------------------------------------------------------------------
Six Months
Ended Year
6/30/11 Ended
(unaudited) 12/31/10
---------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 39.26 $ 34.26
---------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.05 $ 0.05
Net realized and unrealized gain (loss) on investments 1.57 5.01
---------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 1.62 $ 5.06
Distributions to shareowners:
Net investment income (0.02) (0.06)
Net realized gain -- --
Tax return of capital -- --
---------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 1.60 $ 5.00
---------------------------------------------------------------------------------------
Net asset value, end of period $ 40.86 $ 39.26
=======================================================================================
Total return* 4.13% 14.80%
Ratio of net expenses to average net assets+ 1.84%** 1.96%
Ratio of net investment income to average net assets+ 0.26%** 0.14%
Portfolio turnover rate 12%** 10%
Net assets, end of period (in thousands) $176,247 $177,540
Ratios with reduction for fees paid indirectly:
Net expenses 1.84%** 1.96%
Net investment income 0.26%** 0.14%
=======================================================================================
----------------------------------------------------------------------------------------------------------------
Year Year Year Year
Ended Ended Ended Ended
12/31/09 12/31/08 12/31/07 12/31/06
----------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 27.96 $ 44.55 $ 46.44 $ 42.78
----------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.16 $ 0.13 $ 0.02 $ 0.06
Net realized and unrealized gain (loss) on investments 6.31 (15.70) 1.72 6.52
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 6.47 $ (15.57) $ 1.74 $ 6.58
Distributions to shareowners:
Net investment income (0.16) (0.16) (0.06) (0.09)
Net realized gain -- (0.86) (3.57) (2.83)
Tax return of capital (0.01) -- -- --
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 6.30 $ (16.59) $ (1.89) $ 3.66
----------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 34.26 $ 27.96 $ 44.55 $ 46.44
================================================================================================================
Total return* 23.28% (34.91)% 3.88% 15.52%
Ratio of net expenses to average net assets+ 1.99% 1.97% 1.88% 1.89%
Ratio of net investment income to average net assets+ 0.56% 0.32% 0.02% 0.12%
Portfolio turnover rate 12% 11% 10% 9%
Net assets, end of period (in thousands) $178,807 $169,362 $296,094 $309,868
Ratios with reduction for fees paid indirectly:
Net expenses 1.99% 1.97% 1.87% 1.88%
Net investment income 0.56% 0.32% 0.03% 0.13%
================================================================================================================
* 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.
+ Ratio with no reduction for fees paid indirectly.
** Annualized.
The accompanying notes are an integral part of these financial statements.
34 Pioneer Fund | Semiannual Report | 6/30/11
------------------------------------------------------------------------------------
Six Months
Ended Year
6/30/11 Ended
(unaudited) 12/31/10
------------------------------------------------------------------------------------
Class R
Net asset value, beginning of period $ 41.00 $ 35.76
------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.14 $ 0.22
Net realized and unrealized gain (loss) on investments 1.64 5.23
------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 1.78 $ 5.45
Distributions to shareowners:
Net investment income (0.10) (0.21)
Net realized gain -- --
Tax return of capital -- --
------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 1.68 $ 5.24
------------------------------------------------------------------------------------
Net asset value, end of period $ 42.68 $ 41.00
====================================================================================
Total return* 4.34% 15.31%
Ratio of net expenses to average net assets+ 1.45%** 1.50%
Ratio of net investment income to average net assets+ 0.66%** 0.60%
Portfolio turnover rate 12%** 10%
Net assets, end of period (in thousands) $150,200 $137,683
Ratios with reduction for fees paid indirectly:
Net expenses 1.45%** 1.50%
Net investment income 0.66%** 0.60%
====================================================================================
-----------------------------------------------------------------------------------------------------------
Year Year Year Year
Ended Ended Ended Ended
12/31/09 12/31/08 12/31/07 12/31/06
-----------------------------------------------------------------------------------------------------------
Class R
Net asset value, beginning of period $ 29.17 $ 46.37 $ 48.16 $ 44.27
-----------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.33 $ 0.40 $ 0.33 $ 0.34
Net realized and unrealized gain (loss) on investments 6.58 (16.35) 1.80 6.76
-----------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 6.91 $ (15.95) $ 2.13 $ 7.10
Distributions to shareowners:
Net investment income (0.31) (0.39) (0.35) (0.38)
Net realized gain -- (0.86) (3.57) (2.83)
Tax return of capital (0.01) -- -- --
-----------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 6.59 $ (17.20) $ (1.79) $ 3.89
-----------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 35.76 $ 29.17 $ 46.37 $ 48.16
===========================================================================================================
Total return* 23.94% (34.46)% 4.56% 16.23%
Ratio of net expenses to average net assets+ 1.45% 1.32% 1.23% 1.26%
Ratio of net investment income to average net assets+ 1.07% 0.99% 0.68% 0.75%
Portfolio turnover rate 12% 11% 10% 9%
Net assets, end of period (in thousands) $121,773 $102,070 $161,311 $104,439
Ratios with reduction for fees paid indirectly:
Net expenses 1.45% 1.32% 1.23% 1.26%
Net investment income 1.07% 0.99% 0.68% 0.75%
===========================================================================================================
* 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 the end of each period.
+ Ratio with no reduction for fees paid indirectly.
** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Fund | Semiannual Report | 6/30/11 35
Financial Highlights (continued)
--------------------------------------------------------------------------------------
Six Months
Ended Year
6/30/11 Ended
(unaudited) 12/31/10
--------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 41.09 $ 35.84
--------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.28 $ 0.49
Net realized and unrealized gain (loss) on investments 1.65 5.25
--------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 1.93 $ 5.74
Distributions to shareowners:
Net investment income (0.25) (0.49)
Net realized gain -- --
Tax return of capital -- --
--------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 1.68 $ 5.25
--------------------------------------------------------------------------------------
Net asset value, end of period $ 42.77 $ 41.09
======================================================================================
Total return* 4.71% 16.17%
Ratio of net expenses to average net assets+ 0.75%** 0.74%
Ratio of net investment income to average net assets+ 1.36%** 1.37%
Portfolio turnover rate 12%** 10%
Net assets, end of period (in thousands) $2,101,501 $1,929,967
Ratios with reduction for fees paid indirectly:
Net expenses 0.75%** 0.74%
Net investment income 1.36%** 1.37%
======================================================================================
-------------------------------------------------------------------------------------------------------------------
Year Year Year Year
Ended Ended Ended Ended
12/31/09 12/31/08 12/31/07 12/31/06
-------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 29.22 $ 46.45 $ 48.23 $ 44.31
-------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.52 $ 0.61 $ 0.60 $ 0.60
Net realized and unrealized gain (loss) on investments 6.65 (16.35) 1.80 6.77
-------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 7.17 $ (15.74) $ 2.40 $ 7.37
Distributions to shareowners:
Net investment income (0.54) (0.63) (0.61) (0.62)
Net realized gain -- (0.86) (3.57) (2.83)
Tax return of capital (0.01) -- -- --
-------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 6.62 $ (17.23) $ (1.78) $ 3.92
-------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 35.84 $ 29.22 $ 46.45 $ 48.23
===================================================================================================================
Total return* 24.86% (34.07)% 5.11% 16.88%
Ratio of net expenses to average net assets+ 0.71% 0.74% 0.70% 0.70%
Ratio of net investment income to average net assets+ 1.72% 1.62% 1.21% 1.31%
Portfolio turnover rate 12% 11% 10% 9%
Net assets, end of period (in thousands) $1,279,182 $ 462,572 $ 487,357 $ 401,391
Ratios with reduction for fees paid indirectly:
Net expenses 0.71% 0.74% 0.70% 0.70%
Net investment income 1.72% 1.62% 1.21% 1.31%
===================================================================================================================
* 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 the end of each period.
+ Ratio with no reduction for fees paid indirectly.
** Annualized.
The accompanying notes are an integral part of these financial statements.
36 Pioneer Fund | Semiannual Report | 6/30/11
----------------------------------------------------------------------------------------------------------------
Six Months
Ended Year
6/30/11 Ended
(unaudited) 12/31/10
----------------------------------------------------------------------------------------------------------------
Class Z
Net asset value, beginning of period $ 41.03 $ 35.80
----------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.22 $ 0.48
Net realized and unrealized gain (loss) on investments 1.69 5.23
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 1.91 $ 5.71
Distributions to shareowners:
Net investment income (0.23) (0.48)
Net realized gain -- --
Tax return of capital -- --
----------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 1.68 $ 5.23
----------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 42.71 $ 41.03
================================================================================================================
Total return* 4.67% 16.09%
Ratio of net expenses to average net assets+ 0.85%** 0.80%
Ratio of net investment income to average net assets+ 1.27%** 1.31%
Portfolio turnover rate 12%** 10%
Net assets, end of period (in thousands) $ 1,033 $ 580
Ratios with no waiver of fees and assumption of expenses by the Adviser and no
reduction for fees paid indirectly:
Net expenses 0.90%** 0.80%
Net investment income 1.22%** 1.31%
Ratios with waiver of fees and assumption of expenses by the Adviser and reduction for
fees paid indirectly:
Net expenses 0.85%** 0.80%
Net investment income 1.27%** 1.31%
================================================================================================================
----------------------------------------------------------------------------------------------------------------------------
Year Year
Ended Ended 4/30/07 to
12/31/09 12/31/08 12/31/07 (a)
----------------------------------------------------------------------------------------------------------------------------
Class Z
Net asset value, beginning of period $ 29.20 $ 46.41 $ 50.61
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income $ 0.48 $ 0.63 $ 0.42
Net realized and unrealized gain (loss) on investments 6.64 (16.36) (0.58)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 7.12 $(15.73) $ (0.16)
Distributions to shareowners:
Net investment income (0.51) (0.62) (0.47)
Net realized gain -- (0.86) (3.57)
Tax return of capital (0.01) -- --
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 6.60 $(17.21) $ (4.20)
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 35.80 $ 29.20 $ 46.41
============================================================================================================================
Total return* 24.72% (34.06)% (0.70)%(b)
Ratio of net expenses to average net assets+ 0.85% 0.74% 0.70%**
Ratio of net investment income to average net assets+ 1.68% 1.57% 1.25%**
Portfolio turnover rate 12% 11% 10%
Net assets, end of period (in thousands) $ 310 $ 58 $ 92
Ratios with no waiver of fees and assumption of expenses by the Adviser and no
reduction for fees paid indirectly:
Net expenses 1.03% 0.74% 0.70%**
Net investment income 1.50% 1.57% 1.25%**
Ratios with waiver of fees and assumption of expenses by the Adviser and reduction for
fees paid indirectly:
Net expenses 0.85% 0.74% 0.70%**
Net investment income 1.68% 1.57% 1.25%**
============================================================================================================================
(a) Class Z shares were first publicly offered on April 30, 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 the 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 Fund | Semiannual Report | 6/30/11 37
Notes to Financial Statements | 6/30/11 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer 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 objective of the Fund is to provide reasonable income
and capital growth.
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 April 30, 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 the Fund more susceptible to
any economic, political, or regulatory developments or other risks affecting
those industries and sectors. The Fund's prospectus contains unaudited
information regarding the Fund's principal risks. Please refer to that document
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
38 Pioneer Fund | Semiannual Report | 6/30/11
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 Fund 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. In computing
the net asset value, securities that have traded on an exchange are valued at
the last sale price on the principal exchange where they are traded.
Securities that have not traded on the date of valuation, or securities for
which sale prices are not available, generally are valued at the mean between
the last bid and asked prices. Securities 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.
Trading in foreign securities is substantially completed each day at various
times prior to the close of the NYSE. The values of such securities used in
computing the net asset value of the Fund's shares are determined as of such
times.
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 June 30, 2011, there were no securities that were valued using fair value
methods (other than securities that were valued using prices supplied by
independent pricing services). Inputs used when applying fair value methods
to value a security may include credit ratings, the financial condition of
the company, current market conditions and comparable securities. 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.
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. Dividend and
interest income are reported net of unrecoverable foreign taxes withheld at
the applicable country rates.
Pioneer Fund | Semiannual Report | 6/30/11 39
Gains and losses on sales of investments are calculated on the identified
cost method for both financial reporting and federal income tax purposes.
B. Foreign Currency Translation
The books and records of the Fund are maintained in U.S. dollars. Amounts
denominated in foreign currencies are translated into U.S. dollars using
current exchange rates.
Net realized gains and losses on foreign currency transactions, if any,
represent, among other things, the net realized gains and losses on foreign
currency contracts, disposition of foreign currencies and the difference
between the amount of income accrued and the U.S. dollars actually received.
Further, the effects of changes in foreign currency exchange rates on
investments are not segregated in the Statement of Operations from the
effects of changes in market prices of those securities but are included with
the net realized and unrealized gain or loss on investments.
C. Forward Foreign Currency Contracts
The Fund may enter into forward foreign currency contracts (contracts) for
the purchase or sale of a specific foreign currency at a fixed price on a
future date. All contracts are marked to market daily at the applicable
exchange rates, and any resulting unrealized gains or losses are recorded in
the Fund's financial statements. The Fund records realized gains and losses
at the time a portfolio hedge is offset by entry into a closing transaction
or extinguished by delivery of the currency. Risks may arise upon entering
into these contracts from the potential inability of counterparties to meet
the terms of the contract and from unanticipated movements in the value of
foreign currencies relative to the U.S. dollar. The Fund had no outstanding
portfolio or settlement hedges as of June 30, 2011.
D. 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.
40 Pioneer Fund | Semiannual Report | 6/30/11
Under the recently enacted Regulated Investment Company Modernization Act of
2010, the Fund will be permitted to carry forward capital losses incurred in
taxable years beginning after December 22, 2010 for an unlimited period.
However, any losses incurred during those future years will be required to be
utilized prior to the losses incurred in pre-enactment tax years. As a result
of this ordering rule, pre-enactment capital loss carryforwards may be more
likely to expire unused. Additionally, post enactment capital losses that are
carried forward will retain their character as either short-term or long-term
capital losses rather than being considered all short-term as under previous
law.
The tax character of current year distributions payable will be determined at
the end of the current taxable year. The tax character of distributions paid
during the years ended December 31, 2010 was as follows:
-------------------------------------------
2010
-------------------------------------------
Distributions paid from:
Ordinary income $60,681,661
Tax return of capital --
-------------------------------------------
Total $60,681,661
===========================================
The following shows the components of distributable earnings on a federal
income tax basis at December 31, 2010:
----------------------------------------------
2010
----------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 1,188,015
Capital loss carryforward (163,996,038)
Unrealized appreciation 2,794,062,452
----------------------------------------------
Total $2,631,254,429
==============================================
E. 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 $328,331 in underwriting commissions on the sale of Class A shares
during the six months ended June 30, 2011.
F. 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. During the six months ended June 30, 2011, the Fund recognized gains
of $116,440 in the settlement of class action lawsuits from several different
companies, as reflected on the Statement of Operations.
Pioneer Fund | Semiannual Report | 6/30/11 41
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 (see Note 4). Class Y and Class Z shares do not pay distribution
fees. All expenses and fees paid to the transfer agent, Pioneer Investment
Management Shareholder Services, Inc. (PIMSS), for its services 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).
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 to Class A, Class B, Class C, Class R, Class Y
and Class Z shares can reflect different transfer agent and distribution
expense rates.
G. 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 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 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 value of the loaned securities. If the
required market value of the collateral is less than the value of the loaned
securities, the borrower is required to deliver additional collateral for the
account of the Fund prior to the close of business on that 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.
H. 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
42 Pioneer Fund | Semiannual Report | 6/30/11
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.
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 0.60% of
the Fund's average daily net assets up to $7.5 billion, 0.575% on the next $2.5
billion and 0.10% on the excess over $10 billion. The basic fee can increase or
decrease by a maximum of 0.10% based on the investment performance of the
Fund's Class A shares as compared to the Standard and Poor's 500 Index. The
performance comparison is made for a rolling 36-month period. In addition,
Pioneer contractually limits any positive adjustment of the Fund's management
fee to 0.10% of the Fund's average daily net assets on an annual basis (i.e.,
to a maximum annual fee of 0.70% after the performance adjustment). For the six
months ended June 30, 2011, the aggregate performance adjustment resulted in a
decrease to the basic fee of $226,720. For the six months ended June 30, 2011,
the net management fee (excluding waivers and/or assumption of expenses) was
equivalent to 0.60% of the Fund's average daily net assets.
PIM has contractually agreed to limit ordinary operating expenses of the Fund
to the extent required to reduce Fund expenses to 1.47%, 1.22% and 0.85% of the
average daily net assets attributable to Class A, Class Y and Class Z shares,
respectively. Expenses waived during the six months ended June 30, 2011 are
reflected on the Statement of Operations. These expense limitations are in
effect through June 1, 2012 for Class A and Class Y shares, and through May 1,
2012 for Class Z shares. Class B, Class C, and Class R shares do not have an
expense limitation. 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
$126,257 in management fees, administrative costs and certain other
reimbursements payable to PIM at June 30, 2011.
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.
Pioneer Fund | Semiannual Report | 6/30/11 43
For the six months ended June 30, 2011, such out-of-pocket expenses by class of
shares were as follows:
-----------------------------------------------
Shareholder Communications:
-----------------------------------------------
Class A $1,005,264
Class B 30,021
Class C 84,668
Class R 190,198
Class Y 991,273
Class Z 162
-----------------------------------------------
Total $2,301,586
===============================================
Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $1,094,034 in transfer agent fees and out-of-pocket
reimbursements payable to PIMSS at June 30, 2011.
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
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 $95,367 in distribution fees payable to PFD at June 30,
2011.
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
44 Pioneer Fund | Semiannual Report | 6/30/11
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 six months ended June 30, 2011, CDSCs in the amount of $39,467 were
paid to PFD.
5. Expense Offset Arrangements
The Fund has entered into certain expense offset arrangements with PIMSS that
may result in reduction in the Fund's total expenses due to interest earned on
cash held by PIMSS. For the six months ended June 30, 2011, the Fund's expenses
were not reduced under such arrangements.
6. Affiliated Companies
The Fund's investments in certain companies may exceed 5% of the outstanding
voting stock of those companies. Such companies are deemed affiliates of the
Fund for financial reporting purposes. The following summarizes transactions
with affiliates of the Fund for the six months ended June 30, 2011:
----------------------------------------------------------------------------------------------------
Beginning Ending
Balance Purchases Sales Balance Dividend
Affiliates (shares) (shares) (shares) (shares) Income Value
----------------------------------------------------------------------------------------------------
John Wiley and Sons 3,494,400 -- 50,104 3,444,296 $1,239,947 $179,137,835
7. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
Funds), participates in a $165 million committed, unsecured revolving line of
credit facility. Borrowings are used solely for temporary or emergency
purposes. The Fund may borrow up to the lesser of the amount available under
the facility or the limits set for borrowing by the Fund's prospectus and the
1940 Act. Interest on borrowings is payable at the higher of the London
Interbank Offered Rate (LIBOR) on the borrowing date plus 1.25% on an
annualized basis or the Federal Funds Rate on the borrowing date plus 1.25% on
an annualized basis. The Funds pay an annual commitment fee for this facility.
The commitment fee is allocated among participating Funds based on an
allocation schedule set forth in the credit agreement. For the six months ended
June 30, 2011, the Fund had no borrowings under this agreement.
Pioneer Fund | Semiannual Report | 6/30/11 45
8 . Additional Disclosures about Derivative Instruments and Hedging Activities
The effect of derivative instruments on the Statement of Operations for the six
months ended June 30, 2011 was as follows:
--------------------------------------------------------------------------------------------
Location of Realized
Gain or (Loss) On Gain or (Loss)
Derivatives on Derivatives
Recognized Recognized in
Derivatives in Income Income
--------------------------------------------------------------------------------------------
Forward Foreign Currency Contracts Net realized loss on forward
foreign currency contracts and
other assets and liabilities
denominated in foreign currencies $(20,127)
--------------------------------------------------------------------------------------------
9. Subsequent Events
On August 5, 2011, Standard & Poor's Ratings Services (S&P) lowered its credit
rating of the United States' long-term debt from AAA to AA+, with a "Negative"
outlook. S&P reaffirmed its top (A-1+) rating on the U.S. government's
short-term debt. S&P's downgrade reflects their opinion that the fiscal
consolidation plan, that Congress and the Obama Administration agreed to on
August 2, 2011 falls short of what would be necessary to stabilize the
government's medium-term debt dynamics. The downgrade also reflects S&P's
opinion that the effectiveness, stability, and predictability of U.S.
policymaking and political institutions have weakened at a time of ongoing
fiscal and economic challenges to a degree more than they envisioned when S&P
assigned a negative outlook to the rating on April 18, 2011. The long-term
effect of the downgrade is uncertain at this time.
In preparing these financial statements, PIM has evaluated the impact of all
events and transactions for potential recognition or disclosure and has
determined that there were no additional subsequent events requiring
recognition or disclosure in the financial statements.
46 Pioneer Fund | Semiannual Report | 6/30/11
Trustees, Officers and Service Providers
Trustees Officers
John F. Cogan, Jr., Chairman John F. Cogan, Jr., President
David R. Bock Daniel K. Kingsbury, Executive
Mary K. Bush Vice President
Benjamin M. Friedman Mark E. Bradley, Treasurer
Margaret B.W. Graham Christopher J. Kelley, Secretary
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 us.pioneerinvestments.com. This information is also available on
the Securities and Exchange Commission's web site at http://www.sec.gov.
Pioneer Fund | Semiannual Report | 6/30/11 47
This page for your notes.
48 Pioneer Fund | Semiannual Report | 6/30/11
This page for your notes.
Pioneer Fund | Semiannual Report | 6/30/11 49
This page for your notes.
50 Pioneer Fund | Semiannual Report | 6/30/11
This page for your notes.
Pioneer Fund | Semiannual Report | 6/30/11 51
This page for your notes.
52 Pioneer Fund | Semiannual Report | 6/30/11
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: us.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.
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.
(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 Fund
By (Signature and Title)* /s/ John F. Cogan, Jr.
John F. Cogan, Jr, President
Date August 29, 2011
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 August 29, 2011
By (Signature and Title)* /s/ Mark Bradley
Mark Bradley, Treasurer
Date August 29, 2011
* Print the name and title of each signing officer under his or her signature.