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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 811-21558
Pioneer Short Term Income 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: August 31
Date of reporting period: September 1, 2012 through February 28, 2013
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 Short Term
Income Fund
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Semiannual Report | February 28, 2013
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Ticker Symbols:
Class A STABX
Class B STBBX
Class C PSHCX
Class Y PSHYX
[LOGO] PIONEER
Investments(R)
visit us: us.pioneerinvestments.com
Table of Contents
Letter to Shareowners 2
Portfolio Management Discussion 4
Portfolio Summary 9
Prices and Distributions 10
Performance Update 11
Comparing Ongoing Fund Expenses 15
Schedule of Investments 17
Financial Statements 51
Notes to Financial Statements 59
Approval of Investment Advisory Agreement 68
Trustees, Officers and Service Providers 72
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 1
President's Letter
Dear Shareowner,
Pioneer has been cautiously optimistic about the U.S. economy from the start of
the year, and the data continues to be encouraging. Employment continues to
rise, albeit slowly, and we believe it should continue to do so in 2013, barring
a negative shock to the system. The housing and auto sectors continue to
recover, benefiting from record-low interest rates. Banks' willingness to lend
to consumers and businesses also continues to rise, broad measures of inflation
remain subdued, and, if the weather improves in 2013, that should help to bring
food prices back down. While corporate profit growth has slowed, many U.S.
companies still have strong balance sheets and continue to display the ability
to both pay and increase dividends*.
While the so-called "fiscal cliff" scheduled to take effect at year-end
dominated the media in December--and while no deal was struck before markets
closed for the year--investors who owned financial assets like equities and
high-yield corporate bonds generally enjoyed good returns in 2012. The Standard
& Poor's 500 Index returned 16% in 2012, and the Bank of America Merrill Lynch
High Yield Master II Index returned 15.6%. Meanwhile, the higher-quality
Barclays Aggregate Bond Index gained 4.2% for the year, the safer-still Barclays
Intermediate Treasuries Index returned 3.9%, and 3-month Treasury bills,
generally regarded as essentially "risk free" by the markets, returned just 0.1%
in 2012.
Despite generally improving economic conditions and positive market returns in
2012, investors still face daunting challenges in the year ahead, although we
remain optimistic that the underlying economic trends are moving in the right
direction. The year-end "fiscal cliff" deal did not eliminate the risk of
further tax increases or spending cuts, nor did it eliminate the risk that the
U.S. could face further downgrades to its credit rating from one or more of the
major ratings agencies. The Federal Reserve Board continues to provide
extraordinary support to the U.S. economy and the bond market, but will not do
so indefinitely. Europe has made progress towards dampening its sovereign-debt
crisis, but has not resolved the problem as yet; the region also was mired in a
recession as 2012 drew to a close. In Asia, Japan continues to struggle with low
economic growth,
* Dividends are not guaranteed.
2 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
deflation, high levels of debt, and an aging population. In the emerging
markets, China and other developing economies, while generally in better shape
than most "developed" markets, also face a range of ongoing challenges.
While most of the risks outlined above are widely recognized and may already be
"priced in" to the market, we believe investors should continue to expect market
volatility tied to these factors.
At Pioneer, we have long advocated the benefits of staying diversified* and
investing for the long term. And while diversification alone does not assure a
profit or protect against loss in a declining market, we believe there are still
opportunities for prudent investors to earn attractive returns. 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, keeping in mind that there is no single best strategy that
works for every investor.
In 2013, Pioneer proudly celebrates its 85th anniversary. Since 1928, our
investment teams have sought out attractive opportunities in global equity and
bond markets, using in-depth research to identify undervalued individual
securities, and using thoughtful risk management to construct portfolios which
balance potential risks and reward in an ever-changing world.
We encourage you to learn more about Pioneer and our time-tested approach to
investing by consulting with your financial advisor or visiting us online at
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 opinion 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.
* Diversification does not assure a profit nor protect against loss in a
declining market.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 3
Portfolio Management Discussion | 2/28/13
In the following interview, Richard Schlanger and Charles Melchreit, portfolio
managers of Pioneer Short Term Income Fund, discuss the factors that influenced
the Fund's performance over the six-month period ended February 28, 2013. Mr.
Schlanger, vice president and portfolio manager at Pioneer, and Mr. Melchreit,
vice president and portfolio manager at Pioneer, are responsible for the
day-to-day management of the Fund.
Q How would you describe the market environment for fixed-income investors
during the six-month period ended February 28, 2013?
A The period began last September against a backdrop of continued concern over
the European sovereign-debt crisis and its potential to undermine the global
economy. Fortunately, central banks around the globe soon would step forward
with more accommodative fiscal policies. First, the European Central Bank
cut its overnight deposit rate to zero, and announced it would ease
refinancing conditions and greatly lower the risk of sovereign default by
committing to open-ended purchases of short-term debt issued by troubled
nations within the euro zone. Then, citing continued unacceptably weak
employment conditions, the U.S. Federal Reserve (the Fed) announced further
plans for bond purchases, including government agency mortgages, under its
third round of quantitative easing (QE3), and also committed to maintaining
short-term interest rates at near zero for the time being. The prospect of
prolonged and widespread monetary support for the global economy, along with
clear evidence of a rebound in U.S. housing, helped to support the
risk-oriented sectors into the fall of 2012.
Toward the end of 2012, however, positive investor sentiment driven by the
Fed's actions and signs of strength in key sectors, such as housing, would
be offset somewhat by headlines about the debate in Washington over the U.S.
government's fiscal policies. In particular, following the November U.S.
elections, investors focused on the political stalemate that threatened the
U.S. economy with automatic budget cuts and tax increases--the so-called
"fiscal cliff." That scenario, ultimately, was narrowly averted at year-end.
Early 2013 saw significant strengthening in U.S. auto and housing data as
well as modest, ongoing improvement in employment--news that added to the
sense that the U.S. economic recovery was gaining traction. There also was
evidence that China would maintain economic growth at levels sufficient to
meaningfully support the global economy.
4 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Throughout the six-month period, the Fed continued to underpin conditions
through its low-interest-rate policy and QE3. Nonetheless, interest rates
rose modestly between August 31, 2012, and February 28, 2013. To illustrate,
the two-year Treasury yield rose by three basis points (0.03%), from 0.22%
to 0.25%, the five-year Treasury yield rose by 18 basis points (0.18%), from
0.59% to 0.77%, and the 10-year Treasury yield rose by 32 basis points
(0.32%), from 1.57% to 1.89%. Credit spreads generally narrowed over the
six-month period, supported in part by extraordinarily low Treasury yields
that held little appeal to income-oriented investors (credit spreads are
commonly defined as the differences in yield between Treasury securities and
other fixed-income securities with similar maturities).
Q How did the Fund perform in that environment during the six months ended
February 28, 2013?
A Pioneer Short Term Income Fund's Class A shares returned 1.42% at net asset
value during the six months ended February 28, 2013, while the Fund's
benchmark, the Barclays One- to Three-Year Government/Credit Index (the
Barclays Index), returned 0.40%. During the same period, the average return
of the 278 mutual funds in Lipper's Short Investment-Grade Debt Funds
category was 1.07%.
Q Which of your investment strategies had the biggest effects on the Fund's
performance during the six months ended February 28, 2013?
A Allocation of assets among the fixed-income sectors was the largest overall
contributor to the Fund's performance during the period. Throughout the
period, we maintained sharply reduced portfolio exposure to U.S. Treasury
issues, reflecting our view that Treasuries have not been valued
attractively compared with credit-sensitive securities, given Treasuries'
negative real yields (or yields after accounting for inflation). The
decision to underweight the Fund to Treasuries helped returns relative to
the Barclays Index, as the credit-sensitive sectors outperformed over the
six-month period.
Much of the portfolio's underweight to Treasuries was deployed in sectors
that are not included in the benchmark Barclays Index, and that strategy
worked out well for the Fund. The non-benchmark investments included those
in a variety of pass-through sectors, such as residential and commercial
mortgage-backed securities (MBS), as well as asset-backed securities (ABS),
including ABS backed by home equity loans, auto loans and credit card
receivables.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 5
At the security level, the Fund's significant positions in securities backed
by pools of residential mortgages were the biggest positive contributors to
performance during the six-month period. Within that group, we saw
opportunities to add high-quality issues to the portfolio at attractive
valuations, and the holdings performed well as investor sentiment regarding
the housing market improved over the six-month period. The Fund's
substantial position in ABS benefited from strengthened investor sentiment
about credit, as economic conditions improved. Finally, the Fund had a
modest position in so-called "catastrophe" (CAT) bonds, which are sponsored
by insurance companies seeking to protect themselves against the financial
impact of a specific natural disaster. In addition to providing a
diversification* benefit to the portfolio, the incremental income provided
by the CAT bonds, compared with the income offered by most other
fixed-income sectors, contributed to the Fund's benchmark-relative returns
during the period.
On the downside, the performance of the Fund's commercial MBS holdings was
negatively affected by faster-than-expected prepayments.
The Fund's overall duration at the end of February was 0.96 years, compared
with 1.90 years for the Barclays Index. The Fund's shorter-duration stance
was a slight positive for benchmark-relative returns, as interest rates rose
over the full six-month period (duration is a measure of a portfolio's price
sensitivity to changes in interest rates).
Q What is your assessment of the current climate for fixed-income investing
and how is that view reflected in the Fund's positioning?
A While the U.S. employment picture has improved, there is still a significant
distance to travel before overall labor utilization reaches healthy levels
by historical standards. Given that backdrop, we do not expect the Fed to
remove its accommodative policies for at least the next several months. That
said, even absent certain factors that would lead to dramatic increases in
interest rates, there clearly continues to be much more room for rates to
rise from current levels rather than for them to fall. As a result, we are
comfortable with maintaining an overall portfolio duration that is below
that of the Barclays Index benchmark. We also have added floating-rate
securities to the portfolio as a measure of protection in the event the
market begins to price in a sooner-than-expected removal of the Fed's
accommodative policies.
* Diversification does not assure a profit nor protect against loss in a
declining market.
6 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
We continue to view credit sectors that trade at a yield spread over
Treasuries as attractive on a relative basis. While we have continued to
underweight the Fund to Treasuries, given the recent tightening of spreads
following the recent outperformance of the credit sectors, we have been
trimming (at the margin) the proportion of MBS and ABS held in the
portfolio, while adding modestly to the Fund's Treasury position.
We view current fundamentals as continuing to be supportive of corporate
issues, especially given the high levels of cash still appearing on many
balance sheets and a favorable financing environment. With credit spreads
having narrowed, however, we view corporate valuations as a neutral factor
overall, and we are being selective in adding credit-sensitive exposure to
the portfolio. We believe that opportunities to add to the Fund's
benchmark-relative performance over the near-to-intermediate term are more
likely to be driven by individual security selection than by adding credit
risk.
We will continue to monitor macroeconomic factors that have the potential to
affect the markets, while remaining principally focused on adding value for
the Fund's shareholders at the individual security selection level. As
always, we will seek to maintain a portfolio that provides a high level of
current income, while limiting the effects of changes in interest rates on
the Fund's share price.
Please refer to the Schedule of Investments on pages 17-51 for a full listing of
Fund securities.
When interest rates rise, the prices of fixed-income securities in the Fund will
generally fall. Conversely, when interest rates fall, the prices of fixed-income
securities in the Fund will generally rise.
Investments in the Fund are subject to possible loss due to the financial
failure of the issuers of the underlying securities and their inability to meet
their debt obligations.
Prepayment risk is the chance that mortgage-backed bonds will be paid off early
if falling interest rates prompt homeowners to refinance their mortgages. Forced
to reinvest the unanticipated proceeds at lower interest rates, the Fund would
experience a decline in income and lose the opportunity for additional price
appreciation associated with falling interest rates.
The securities issued by U.S. government sponsored entities (i.e. Fannie Mae,
Freddie Mac) are neither guaranteed nor issued by the U.S. government.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 7
The portfolio may invest in mortgage-backed securities, which during times of
fluctuating interest rates may increase or decrease more than other fixed-income
securities. Mortgage-backed securities are also subject to pre-payments.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, economic, and political conditions.
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.
Past performance is not a 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 opinion as of the date of this report. These statements should not
be relied upon for any other purposes.
8 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Portfolio Summary | 2/28/13
Portfolio Diversification
--------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Collateralized Mortgage Obligations 30.7%
U.S. Corporate Bonds 18.6%
U.S. Government Securities 18.3%
Asset Backed Securities 16.4%
International Corporate Bonds 10.3%
Municipal Bonds 3.4%
Senior Secured Loans 2.3%
Portfolio Quality
--------------------------------------------------------------------------------
(As a percentage of total investment portfolio; based on S&P ratings)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
AAA 35.7%
AA 13.0%
A 18.1%
BBB 20.7%
BB 6.9%
B 1.7%
CCC 1.2%
Not Rated 2.7%
Bond ratings are ordered highest to lowest in portfolio. Based on Standard &
Poor's measures, AAA (highest possible rating) through BBB are considered
investment grade; BB or lower ratings are considered non-investment grade. Cash
equivalents and some bonds may not be rated.
10 Largest Holdings
--------------------------------------------------------------------------------
(As a percentage of total debt holdings)*
1. U.S. Treasury Notes, 0.125%, 9/30/13 6.04%
-------------------------------------------------------------------------------------------
2. U.S. Treasury Notes, 0.25%, 10/31/13 4.12
-------------------------------------------------------------------------------------------
3. U.S. Treasury Notes, 0.125%, 12/31/13 3.18
-------------------------------------------------------------------------------------------
4. Fannie Mae Grantor Trust 2001-T1, Floating Rate Note, 10/25/40 1.53
-------------------------------------------------------------------------------------------
5. U.S. Treasury Notes, 0.5%, 11/15/13 1.31
-------------------------------------------------------------------------------------------
6. State of California, 2.5%, 6/20/13 0.75
-------------------------------------------------------------------------------------------
7. HSBC Bank Plc, Floating Rate Note, 1/17/14 (144A) 0.64
-------------------------------------------------------------------------------------------
8. Residential Asset Securitization Trust 2003-A2, Floating Rate Note, 5/25/33 0.63
-------------------------------------------------------------------------------------------
9. Impac CMB Trust Series 2004-4, Floating Rate Note, 9/25/34 0.58
-------------------------------------------------------------------------------------------
10. Banc of America Mortgage 2003-H Trust, Floating Rate Note, 9/25/33 0.57
-------------------------------------------------------------------------------------------
* 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.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 9
Prices and Distributions | 2/28/13
Net Asset Value per Share
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Class 2/28/13 8/31/12
--------------------------------------------------------------------------------
A $9.73 $9.72
--------------------------------------------------------------------------------
B $9.72 $9.71
--------------------------------------------------------------------------------
C $9.71 $9.70
--------------------------------------------------------------------------------
Y $9.71 $9.70
--------------------------------------------------------------------------------
Distributions per Share: 9/1/12-2/28/13
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Net
Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.1272 $ -- $ --
--------------------------------------------------------------------------------
B $0.0834 $ -- $ --
--------------------------------------------------------------------------------
C $0.0906 $ -- $ --
--------------------------------------------------------------------------------
Y $0.1432 $ -- $ --
--------------------------------------------------------------------------------
The Barclays One- to Three-Year Government/Credit Index measures the performance
of the short-term (1 to 3 years) government and investment-grade corporate bond
markets. Index returns are calculated monthly, 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 11-14.
10 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Performance Update | 2/28/13 Class A Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Short Term Income Fund, at public offering price,
compared to that of the Barclays One- to Three-Year Government/Credit Index.
Average Annual Total Returns
(As of February 28, 2013)
--------------------------------------------------------------------------------
Net Asset Public Offering
Period Value (NAV) Price (POP)
--------------------------------------------------------------------------------
Life-of-Class
(7/8/04) 3.38% 3.07%
5 Years 3.46 2.94
1 Year 3.51 0.90
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2012)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
1.30% 0.90%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Short-Term Barclays One- to Three-Year
Income Fund Government/Credit Index
7/31/2004 $ 9,750 $ 10,000
2/28/2005 $ 9,816 $ 10,062
2/28/2006 $ 9,986 $ 10,294
2/28/2007 $ 10,438 $ 10,810
2/29/2008 $ 10,960 $ 11,732
2/28/2009 $ 10,504 $ 12,009
2/28/2010 $ 11,774 $ 12,581
2/28/2011 $ 12,264 $ 12,830
2/29/2012 $ 12,552 $ 13,055
2/28/2013 $ 12,992 $ 13,194
Call 1-800-225-6292 or visit us.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.
POP returns reflect deduction of maximum 2.50% sales charge. NAV 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 net expense ratio reflects contractual expense limitations currently in
effect through January 1, 2014, 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.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 11
Performance Update | 2/28/13 Class B Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Short Term Income Fund, compared to that of the
Barclays One- to Three-Year Government/Credit Index.
Average Annual Total Returns
(As of February 28, 2013)
--------------------------------------------------------------------------------
If If
Period Held Redeemed
--------------------------------------------------------------------------------
Life-of-Class
(7/8/04) 2.47% 2.47%
5 Years 2.53 2.53
1 Year 2.59 0.59
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2012)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
1.99% 1.80%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Short-Term Barclays One- to Three-Year
Income Fund Government/Credit Index
7/31/2004 $ 10,000 $ 10,000
2/28/2005 $ 10,031 $ 10,062
2/28/2006 $ 10,121 $ 10,294
2/28/2007 $ 10,489 $ 10,810
2/29/2008 $ 10,905 $ 11,732
2/28/2009 $ 10,355 $ 12,009
2/28/2010 $ 11,516 $ 12,581
2/28/2011 $ 11,877 $ 12,830
2/29/2012 $ 12,047 $ 13,055
2/28/2013 $ 12,359 $ 13,194
Call 1-800-225-6292 or visit us.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 Redeemed" results reflect the deduction of the maximum applicable contingent
deferred sales charge (CDSC). The maximum CDSC is 2% and declines over three
years.
"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 net expense ratio reflects contractual expense limitations currently in
effect through January 1, 2014, for Class B 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 taxes that a
shareowner would pay on Fund distributions or the redemption of Fund shares.
12 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Performance Update | 2/28/13 Class C Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer Short Term Income Fund, compared to that of the
Barclays One- to Three-Year Government/Credit Index.
Average Annual Total Returns
(As of February 28, 2013)
--------------------------------------------------------------------------------
If If
Period Held Redeemed
--------------------------------------------------------------------------------
Life-of-Class
(7/8/04) 2.55% 2.55%
5 Years 2.64 2.64
1 Year 2.80 2.80
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2012)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.71%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Short-Term Barclays One- to Three-Year
Income Fund Government/Credit Index
7/31/2004 $ 10,000 $ 10,000
2/28/2005 $ 10,042 $ 10,062
2/28/2006 $ 10,110 $ 10,294
2/28/2007 $ 10,486 $ 10,810
2/29/2008 $ 10,920 $ 11,732
2/28/2009 $ 10,379 $ 12,009
2/28/2010 $ 11,537 $ 12,581
2/28/2011 $ 11,925 $ 12,830
2/29/2012 $ 12,102 $ 13,055
2/28/2013 $ 12,440 $ 13,194
Call 1-800-225-6292 or visit us.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). "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.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 13
Performance Update | 2/28/13 Class Y Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $5 million
investment made in Pioneer Short Term Income Fund, compared to that of the
Barclays One- to Three-Year Government/Credit Index.
Average Annual Total Returns
(As of February 28, 2013)
--------------------------------------------------------------------------------
If If
Period Held Redeemed
--------------------------------------------------------------------------------
Life-of-Class
(7/8/04) 3.72% 3.72%
5 Years 3.77 3.77
1 Year 3.85 3.85
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2012)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
0.61%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Short-Term Barclays One- to Three-Year
Income Fund Government/Credit Index
7/31/2004 $ 5,000,000 $ 5,000,000
2/28/2005 $ 5,057,307 $ 5,031,162
2/28/2006 $ 5,156,324 $ 5,146,787
2/28/2007 $ 5,414,585 $ 5,404,881
2/29/2008 $ 5,701,140 $ 5,865,962
2/28/2009 $ 5,471,510 $ 6,004,495
2/28/2010 $ 6,157,941 $ 6,290,306
2/28/2011 $ 6,436,466 $ 6,415,007
2/29/2012 $ 6,604,899 $ 6,527,462
2/28/2013 $ 6,859,139 $ 6,596,892
Call 1-800-225-6292 or visit us.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 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 Short Term Income Fund | Semiannual Report | 2/28/13
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 Short Term Income Fund
Based on actual returns from September 1, 2012, through February 28, 2013.
--------------------------------------------------------------------------------
Share Class A B C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00 $1,000.00
Value on 9/1/12
--------------------------------------------------------------------------------
Ending Account $1,014.20 $1,009.60 $1,010.40 $1,015.90
Value (after expenses)
on 2/28/13
--------------------------------------------------------------------------------
Expenses Paid $4.49 $8.77 $8.32 $3.05
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 0.90%,
1.76%, 1.67%, and 0.61% for Class A, Class B, Class C and Class Y shares,
respectively, multiplied by the average account value over the period,
multiplied by 181/365 (to reflect the one-half year period).
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 15
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 Short Term Income Fund
Based on a hypothetical 5% return per year before expenses, reflecting the
period from September 1, 2012, through February 28, 2013.
--------------------------------------------------------------------------------
Share Class A B C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00 $1,000.00
Value on 9/1/12
--------------------------------------------------------------------------------
Ending Account $1,020.33 $1,016.07 $1,016.51 $1,021.77
Value (after expenses)
on 2/28/13
--------------------------------------------------------------------------------
Expenses Paid $4.51 $8.80 $8.35 $3.06
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 0.90%,
1.76%, 1.67%, and 0.61% for Class A, Class B, Class C and Class Y shares,
respectively, multiplied by the average account value over the period,
multiplied by 181/365 (to reflect the one-half year period).
16 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Schedule of Investments | 2/28/13 (unaudited)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
ASSET BACKED SECURITIES -- 16.4%
MATERIALS -- 5.2%
Commodity Chemicals -- 0.3%
800,000 2.70 NR/A2 Navistar Financial Dealer Note Master
Owner Trust II, Floating Rate Note,
10/25/16 (144A) $ 807,134
----------------------------------------------------------------------------------------------------------
Diversified Metals & Mining -- 0.1%
285,889 NR/A1 BCMSC Trust 1998-A, 6.65%, 4/15/28 $ 297,838
----------------------------------------------------------------------------------------------------------
Precious Metals & Minerals -- 0.6%
136,323 6.50 BB+/Baa2 ACE Securities Corp., Manufactured
Housing Trust Series 2003-MH1,
Floating Rate Note, 8/15/30 (144A) $ 137,584
1,402,837 0.65 AAA/A2 Lehman ABS Manufactured Housing
Contract Trust 2002-A, Floating Rate
Note, 6/15/33 1,367,809
--------------
$ 1,505,393
----------------------------------------------------------------------------------------------------------
Steel -- 3.8%
240,000 0.60 CCC/Baa3 Accredited Mortgage Loan Trust 2005-2,
Floating Rate Note, 7/25/35 $ 231,140
397,555 0.47 BB+/Baa3 Aegis Asset Backed Securities Trust
2005-5, Floating Rate Note, 12/25/35 374,167
605,050 0.56 AAA/Aaa Aegis Asset Backed Securities Trust
Mortgage Pass-Through Certificates Series
2004-3, Floating Rate Note, 9/25/34 593,387
36,558 0.86 AA+/Aa2 Asset Backed Securities Corp., Home
Equity, Floating Rate Note, 4/25/35 36,479
356,010 4.91 AA+/NR Bayview Financial Asset Trust 2003-A,
Floating Rate Note, 2/25/33 (144A) 363,602
585,854 0.50 AA+/A1 Bayview Financial Mortgage
Pass-Through Trust 2006-B, Floating
Rate Note, 4/28/36 563,292
82,091 0.47 AA+/A1 Bayview Financial Mortgage
Pass-Through Trust 2006-B, Floating
Rate Note, 4/28/36 78,351
425,000 0.65 AA/Aa2 Bayview Financial Mortgage
Pass-Through Trust Series 2005-B,
Floating Rate Note, 4/28/39 417,005
300,000 1.25 AA+/A3 Bear Stearns Asset Backed Securities
I Trust 2004-BO1, Floating Rate
Note, 10/25/34 284,063
464,161 0.70 A+/Ba3 Bear Stearns Asset Backed Securities
I Trust 2005-FR1, Floating Rate
Note, 6/25/35 453,437
247,661 0.68 AA+/Aa2 Bear Stearns Asset Backed Securities
I Trust 2005-HE6, Floating Rate
Note, 6/25/35 241,630
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 17
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Steel -- (continued)
281,627 0.70 AA+/NR Bear Stearns Asset Backed Securities
I Trust 2005-HE8, Floating Rate
Note, 8/25/35 $ 280,287
29,879 0.31 AA+/Baa1 Bear Stearns Asset Backed Securities
I Trust 2006-HE10, Floating Rate
Note, 12/25/36 29,822
946,724 0.60 AA+/Aa2 First NLC Trust 2005-2, Floating Rate
Note, 9/25/35 921,686
649,106 0.98 AA+/Ba1 GSAA Home Equity Trust 2004-6,
Floating Rate Note, 6/25/34 621,255
262,326 0.45 B+/B3 GSAA Home Equity Trust 2005-11,
Floating Rate Note, 10/25/35 256,954
116,153 0.86 AA/A1 Home Equity Asset Trust 2005-3,
Floating Rate Note, 8/25/35 113,065
222,287 0.61 AAA/Aaa Home Equity Asset Trust 2005-5,
Floating Rate Note, 11/25/35 220,041
107,624 0.38 BBB+/A1 Home Equity Asset Trust 2006-3,
Floating Rate Note, 7/25/36 106,924
123,047 0.39 AA+/Aa1 HSBC Home Equity Loan Trust USA
2007-2, Floating Rate Note, 7/20/36 120,451
283,484 NR/Baa1 Irwin Home Equity Loan Trust 2005-1,
5.32%, 6/25/35 (Step) 276,228
82,717 0.54 BB/A2 IXIS Real Estate Capital Trust 2005-HE4,
Floating Rate Note, 2/25/36 80,242
1,022,151 0.43 BB+/A2 Mastr Asset Backed Securities Trust
2006-AB1, Floating Rate Note, 2/25/36 1,010,001
129,888 0.52 A+/Ba1 Morgan Stanley Home Equity Loan Trust
2005-4, Floating Rate Note, 9/25/35 124,849
162,497 0.55 AAA/Aaa New Century Home Equity Loan Trust
Series 2005-1, Floating Rate
Note, 3/25/35 157,999
843,517 0.50 AAA/Aa1 New Century Home Equity Loan Trust
Series 2005-2, Floating Rate
Note, 6/25/35 835,111
198,841 0.46 AA+/Aa3 Option One Mortgage Loan Trust 2005-4
Asset-Backed Certificates Series 2005-4,
Floating Rate Note, 11/25/35 195,598
46,799 0.32 A+/Aa3 Option One Mortgage Loan Trust
2007-HL1, Floating Rate Note, 2/25/38 46,648
250,000 0.77 AAA/Aaa Penarth Master Issuer Plc, Floating Rate
Note, 3/18/14 (144A) 250,022
157,538 0.64 AA+/A1 RASC Series 2005-KS7 Trust, Floating
Rate Note, 8/25/35 153,343
204,373 0.98 AA/Baa3 Soundview Home Loan Trust 2005-3,
Floating Rate Note, 6/25/35 202,039
23,289 0.43 AA+/A1 Specialty Underwriting & Residential
Finance Trust Series 2005-BC4, Floating
Rate Note, 9/25/36 23,269
The accompanying notes are an integral part of these financial statements.
18 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Steel -- (continued)
615,147 0.50 BBB+/B2 Specialty Underwriting & Residential
Finance Trust Series 2006-BC1, Floating
Rate Note, 12/25/36 $ 591,026
--------------
$ 10,253,413
----------------------------------------------------------------------------------------------------------
Paper Products -- 0.4%
500,000 1.05 AAA/Aaa Gracechurch Card Funding Plc, Floating
Rate Note, 5/15/19 (144A) $ 506,640
400,000 0.85 AAA/Aaa Penarth Master Issuer Plc, Floating Rate
Note, 5/18/15 (144A) 399,956
--------------
$ 906,596
--------------
Total Materials $ 13,770,374
----------------------------------------------------------------------------------------------------------
TRANSPORTATION -- 0.1%
Railroads -- 0.1%
247,648 A/NR Trinity Rail Leasing LP, 2.266%,
1/15/43 (144A) $ 257,438
--------------
Total Transportation $ 257,438
----------------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 1.1%
Auto Parts & Equipment -- 0.2%
CAD 528,710 AAA/NR Ford Auto Securitization Trust Series
2011-R1 Asset-Backed Notes, 2.431%,
11/15/14 (144A) $ 521,718
----------------------------------------------------------------------------------------------------------
Automobile Manufacturers -- 0.9%
26,615 AAA/Aaa AmeriCredit Automobile Receivables
Trust 2009-1, 9.79%, 4/15/14 $ 26,931
567,000 AA/Aa2 AmeriCredit Automobile Receivables
Trust 2010-2, 6.24%, 6/8/16 609,508
150,000 A+/NR AmeriCredit Automobile Receivables
Trust, 1.57%, 1/8/19 150,467
100,000 NR/Aa3 AmeriCredit Automobile Receivables
Trust, 4.04%, 7/10/17 106,333
97,558 NR/Aaa BMW Vehicle Owner Trust 2011-A,
0.76%, 8/25/15 97,840
646,979 1.20 AA-/NR Hyundai Capital Auto Funding VIII, Ltd.,
Floating Rate Note, 9/20/16 (144A) 648,337
240,434 A+/NR Santander Drive Auto Receivables Trust
2011-S2, 3.35%, 6/15/17 (144A) 241,954
500,000 A/A1 Santander Drive Auto Receivables Trust
2012-1, 3.78%, 11/15/17 525,297
125,000 A/A1 Santander Drive Auto Receivables Trust
2012-5, 2.7%, 8/15/18 130,592
--------------
$ 2,537,259
--------------
Total Automobiles & Components $ 3,058,977
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 19
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.2%
Hotels, Resorts & Cruise Lines -- 0.2%
292,008 A/NR Westgate Resorts 2012-2 LLC, 3.0%,
1/20/25 (144A) $ 294,563
228,512 A/NR Westgate Resorts LLC, 2.5%,
3/20/25 (144A) 228,869
--------------
$ 523,432
--------------
Total Consumer Services $ 523,432
----------------------------------------------------------------------------------------------------------
BANKS -- 7.3%
Diversified Banks -- 0.1%
118,890 0.58 AA+/NR Wells Fargo Home Equity Asset-Backed
Securities 2005-3 Trust, Floating Rate
Note, 12/25/35 $ 116,982
65,402 0.29 NR/Aa1 Wells Fargo Home Equity Asset-Backed
Securities 2007-2 Trust, Floating Rate
Note, 4/25/37 64,345
--------------
$ 181,327
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- 7.2%
120,328 0.38 BB+/B3 ACE Securities Corp Home Equity Loan
Trust Series 2006-ASAP2, Floating Rate
Note, 3/25/36 $ 116,103
348,538 0.50 AA+/Aa1 Ameriquest Mortgage Securities, Inc.,
Asset-Backed Pass-Through Certificates Series
2004-R11, Floating Rate Note, 11/25/34 346,583
99,242 0.40 AA+/Aaa Ameriquest Mortgage Securities, Inc.,
Asset-Backed Pass-Through Certificates Series
2005-R6, Floating Rate Note, 8/25/35 96,641
194,923 1.20 AAA/Aa3 Amortizing Residential Collateral Trust
2004-1, Floating Rate Note, 10/25/34 192,211
340,188 0.75 AAA/NR ARI Fleet Lease Trust 2012-A, Floating
Rate Note, 3/15/20 (144A) 341,287
425,894 NR/NR Ascentium Equipment Receivables LLC,
1.83%, 9/15/19 (144A) 426,017
369,350 0.83 AAA/Aaa Bayview Financial Acquisition Trust,
Floating Rate Note, 5/28/44 364,225
270,077 0.79 AAA/Aaa Bayview Financial Acquisition Trust,
Floating Rate Note, 8/28/44 264,329
370,517 4.64 AA+/Baa2 Bear Stearns Asset Backed Securities Trust
2003-SD2, Floating Rate Note, 6/25/43 365,948
136,820 AA/NR CarNow Auto Receivables Trust 2012-1,
2.09%, 1/15/15 (144A) 136,888
1,396,794 0.38 BBB-/Ba3 Carrington Mortgage Loan Trust Series
2006-OPT1, Floating Rate Note, 2/25/36 1,387,790
239,425 1.22 BBB-/Caa1 Citigroup Mortgage Loan Trust, Inc.,
Floating Rate Note, 11/25/34 226,065
376,066 0.61 AAA/A3 Citigroup Mortgage Loan Trust, Inc.,
Floating Rate Note, 7/25/35 375,908
The accompanying notes are an integral part of these financial statements.
20 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
37,099 1.10 A-/Baa1 Citigroup Mortgage Loan Trust, Inc.,
Floating Rate Note, 7/25/37 $ 37,018
61,247 1.00 AAA/Aa3 Citigroup Mortgage Loan Trust, Inc.,
Floating Rate Note, 8/25/35 61,248
140,579 0.57 AA+/A2 Countrywide Asset-Backed Certificates,
Floating Rate Note, 1/25/36 140,036
52,479 5.68 BB/B2 Countrywide Asset-Backed Certificates,
Floating Rate Note, 10/25/46 52,335
203,214 0.59 AAA/Aa3 Countrywide Asset-Backed Certificates,
Floating Rate Note, 11/25/34 197,331
346,796 5.07 BB+/B2 Countrywide Asset-Backed Certificates,
Floating Rate Note, 2/25/36 351,366
424,040 1.10 A+/Baa1 Countrywide Asset-Backed Certificates,
Floating Rate Note, 5/25/35 417,677
196,000 0.31 BBB-/Ba3 Countrywide Asset-Backed Certificates,
Floating Rate Note, 5/25/37 195,420
93,885 0.38 B-/B2 Countrywide Asset-Backed Certificates,
Floating Rate Note, 6/25/36 93,261
756,293 0.64 A+/A2 Countrywide Asset-Backed Certificates,
Floating Rate Note, 7/25/35 755,553
168,824 0.55 BB+/Ba2 Countrywide Asset-Backed Certificates,
Floating Rate Note, 8/25/47 167,525
239,583 A/NR Cronos Containers Program, Ltd., 3.81%,
9/18/27 (144A) 249,008
550,000 1.10 B-/Caa3 Ellington Loan Acquisition Trust 2007-1,
Floating Rate Note, 5/28/37 (144A) 518,869
460,229 4.14 AAA/Aaa Equity One Mortgage Pass-Through Trust
2004-1, Floating Rate Note, 4/25/34 470,939
191,011 AAA/NR First Investors Auto Owner Trust 2012-2,
1.47%, 5/15/18 (144A) 191,389
200,000 A/NR First Investors Auto Owner Trust, 2.02%,
1/15/19 (144A) 199,816
56,007 0.85 A/A2 GSAMP Trust 2005-HE2, Floating Rate
Note, 3/25/35 54,815
450,000 AAA/NR HLSS Servicer Advance Receivables
Backed Notes, 0.898%, 1/15/44 (144A) 450,270
200,000 A/NR HLSS Servicer Advance Receivables
Backed Notes, 1.644%, 1/15/44 (144A) 200,400
250,000 AA/NR HLSS Servicer Advance Receivables
Backed Notes, 1.744%, 1/16/46 (144A) 250,700
125,000 BBB/NR HLSS Servicer Advance Receivables
Backed Notes, 2.487%, 1/15/44 (144A) 125,312
350,000 BBB/NR HLSS Servicer Advance Receivables
Backed Notes, 4.94%, 10/15/45 (144A) 364,105
315,599 A+/B1 Home Equity Mortgage Trust, 5.821%,
4/25/35 (Step) 310,202
500,000 AAA/NR Honda Auto Receivables Owner Trust,
0.35%, 6/22/15 499,986
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 21
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
195,000 NR/Aaa Leaf Receivables Funding 8 LLC, 1.55%,
11/15/17 (144A) $ 197,176
550,000 2.45 A+/Baa1 Madison Avenue Manufactured Housing
Contract, Floating Rate Note, 3/25/32 537,793
448,905 0.50 A/NR Master Specialized Loan Trust, Floating
Rate Note, 1/25/36 (144A) 417,061
252,124 0.40 BBB-/Baa1 Morgan Stanley ABS Capital I, Inc., Trust
2006-WMC1, Floating Rate
Note, 12/25/35 248,822
550,000 AAA/NR Nationstar Agency Advance Funding Trust
2013-T1A, 0.997%, 2/15/45 (144A) 550,896
207,555 0.82 AA+/A3 Park Place Securities, Inc., Asset-Backed
Pass-Through Certificates Series 2004-WCW2,
Floating Rate Note, 10/25/34 207,150
386,309 0.57 BBB+/Ba3 Park Place Securities, Inc., Asset-Backed
Pass-Through Certificates Series 2005-WHQ4,
Floating Rate Note, 9/25/35 383,784
923,000 1.40 AAA/Aaa PFS Financing Corp., Floating Rate Note,
2/15/16 (144A) 930,367
761,886 BB-/Ba1 Popular ABS Mortgage Pass-Through
Trust 2004-4, 5.169%, 9/25/34 (Step) 647,259
221,330 0.45 B/Ba3 RAAC Series 2006-RP2 Trust, Floating
Rate Note, 2/25/37 (144A) 212,652
59,480 A/NR Santander Drive Auto Receivables Trust
2010-1, 1.89%, 5/15/17 (144A) 59,809
600,000 0.53 NR/Aaa Smart Trust/Australia, Floating Rate
Note, 6/14/15 600,459
500,000 0.65 NR/Aaa Smart Trust/Australia, Floating Rate
Note, 9/14/16 500,547
720,670 AA/NR SNAAC Auto Receivables Trust, 1.78%,
6/15/16 (144A) 725,160
364,213 0.46 BB+/NR Soundview Home Loan Trust 2005-OPT4,
Floating Rate Note, 12/25/35 360,631
350,000 NR/NR Stanwich Mortgage Loan Trust, 2.981%,
2/16/43 (144A) 350,220
341,715 A/NR Store Master Funding LLC, 5.77%,
8/20/42 (144A) 360,823
21,490 BBB+/A2 Structured Asset Securities Corp.,
Mortgage Loan Trust 2005-2XS, 4.44%,
2/25/35 (Step) 21,453
450,519 BBB+/Ba2 Structured Asset Securities Corp.,
Mortgage Loan Trust 2005-2XS, 4.65%,
2/25/35 (Step) 461,985
32,389 0.25 A+/Aa1 Structured Asset Securities Corp.,
Mortgage Loan Trust 2007-BC1, Floating
Rate Note, 2/25/37 32,279
177,069 A+/NR SVO 2012-A VOI Mortgage LLC, 2.0%,
9/20/29 (144A) 177,511
The accompanying notes are an integral part of these financial statements.
22 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
312,238 0.57 AA+/A2 Wachovia Mortgage Loan Trust Series
2005-WMC1, Floating Rate
Note, 10/25/35 $ 307,070
--------------
$ 19,285,483
--------------
Total Banks $ 19,466,810
----------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 2.5%
Other Diversified Financial Services -- 1.0%
370,000 NR/Aaa BMW Vehicle Lease Trust, 0.4%, 1/20/15 $ 370,004
300,000 A/A1 Capital Auto Receivables Asset Trust
2013-1, 1.74%, 10/22/18 299,881
125,000 BBB/Baa2 Capital Auto Receivables Asset Trust
2013-1, 2.19%, 9/20/21 124,903
174,544 AA/NR Direct Capital Funding IV LLC, 1.673%,
12/20/17 (144A) 174,544
325,000 BBB/NR DT Auto Owner Trust 2011-1, 4.89%,
1/17/17 (144A) 328,888
137,500 0.45 BBB+/Baa3 GE Seaco Finance Srl, Floating Rate
Note, 11/17/20 (144A) 135,658
110,189 0.37 BB+/Baa2 Home Equity Asset Trust 2006-4, Floating
Rate Note, 8/25/36 108,030
13,977 BBB+/Ba1 JP Morgan Mortgage Acquisition Trust
2007-CH1, 5.453%, 11/25/36 (Step) 13,955
237,098 0.38 CCC/Caa1 RASC Series 2007-KS3 Trust, Floating
Rate Note, 4/25/37 231,762
337,746 1.20 A+/Baa3 Sierra Timeshare 2007-2 Receivables
Funding LLC, Floating Rate Note,
9/20/19 (144A) 334,843
500,000 A/NR Springleaf Funding Trust 2013-A, 2.58%,
9/15/21 (144A) 499,964
--------------
$ 2,622,432
----------------------------------------------------------------------------------------------------------
Specialized Finance -- 0.4%
522,343 AAA/Aaa Conseco Finance, 7.55%, 4/15/32 (Step) $ 541,414
73,324 6.69 AAA/Aaa Conseco Finance, Floating Rate
Note, 11/15/32 73,720
256,000 0.64 NR/Aaa GE Dealer Floorplan Master Note Trust,
Floating Rate Note, 10/20/17 256,544
235,774 NR/A2 Hercules Capital Funding Trust 2012-1,
3.32%, 12/16/17 (144A) 236,805
--------------
$ 1,108,483
----------------------------------------------------------------------------------------------------------
Consumer Finance -- 0.7%
314,352 A+/NR American Credit Acceptance Receivables
Trust, 1.64%, 11/15/16 (144A) $ 314,462
282,848 NR/Aa3 California Republic Auto Receivables
Trust 2012-1, 1.18%, 8/15/17 (144A) 282,848
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 23
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Consumer Finance -- (continued)
235,417 A/NR Global SC Finance II SRL, 4.11%,
7/19/27 (144A) $ 247,017
350,000 0.26 AAA/Aaa MBNA Credit Card Master Note Trust,
Floating Rate Note, 10/15/15 349,946
155,540 AA/Baa1 Residential Funding Mortgage Securities II
Home Loan Trust, 5.77%, 4/25/28 (Step) 163,531
285,000 NR/Aaa Santander Drive Auto Receivables Trust
2011-2, 2.66%, 1/15/16 290,295
380,000 1.05 AAA/Aaa SLM Student Loan Trust 2004-10,
Floating Rate Note, 4/27/26 (144A) 376,607
--------------
$ 2,024,706
----------------------------------------------------------------------------------------------------------
Asset Management & Custody Banks -- 0.3%
476,787 0.60 B/Caa2 Southern Pacific Secured Asset Corp.,
Floating Rate Note, 3/25/28 $ 343,399
487,500 0.37 BBB/Baa2 Triton Container Finance LLC, Floating
Rate Note, 11/26/21 (144A) 478,541
--------------
$ 821,940
----------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 0.1%
200,000 0.65 NR/Aaa Chesapeake Funding LLC, Floating Rate
Note, 5/7/24 (144A) $ 200,176
--------------
Total Diversified Financials $ 6,777,737
----------------------------------------------------------------------------------------------------------
TOTAL ASSET BACKED SECURITIES
(Cost $43,541,587) $ 43,854,768
----------------------------------------------------------------------------------------------------------
COLLATERALIZED MORTGAGE
OBLIGATIONS -- 30.8%
BANKS -- 19.2%
Thrifts & Mortgage Finance -- 19.2%
379,350 0.48 A+/Ba1 Adjustable Rate Mortgage Trust 2005-5,
Floating Rate Note, 9/25/35 $ 348,952
250,455 0.65 CCC/NR Alternative Loan Trust 2003-14T1,
Floating Rate Note, 8/25/18 234,936
82,480 0.75 A+/NR Alternative Loan Trust 2003-9T1, Floating
Rate Note, 7/25/33 81,910
432,842 BB-/B2 Alternative Loan Trust 2003-J1,
4.75%, 10/25/33 442,442
230,106 0.65 BBB+/Ba1 Alternative Loan Trust 2004-18CB,
Floating Rate Note, 9/25/34 228,183
346,165 BB+/Ba2 Alternative Loan Trust 2004-4CB,
4.25%, 4/25/34 348,500
98,244 5.75 NR/NR American General Mortgage Loan Trust
2009-1, Floating Rate Note,
9/25/48 (144A) 98,378
341,987 0.65 NR/A1 Banc of America Alternative Loan Trust
2003-10, Floating Rate Note, 12/25/33 328,862
The accompanying notes are an integral part of these financial statements.
24 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
185,283 NR/B3 Banc of America Alternative Loan Trust
2004-2, 5.5%, 3/25/19 $ 190,605
265,740 NR/B2 Banc of America Alternative Loan Trust
2004-4, 5.25%, 5/25/34 270,302
223,370 BBB+/NR Banc of America Funding 2003-3 Trust,
5.5%, 10/25/33 234,850
61,451 B+/B1 Banc of America Funding 2005-6 Trust,
5.75%, 10/25/35 61,799
653,463 0.41 A/NR Banc of America Funding 2010-R4 Trust,
Floating Rate Note, 6/26/37 (144A) 647,018
650,000 1.30 A-/A3 Banc of America Large Loan Trust
2007-BMB1, Floating Rate Note,
8/15/29 (144A) 625,161
1,532,784 3.14 NR/Baa3 Banc of America Mortgage 2003-H Trust,
Floating Rate Note, 9/25/33 1,537,082
1,888,548 NR/Caa2 Bayview Commercial Asset Trust, 3.89%,
9/25/37 (Step) (144A) 175,824
2,663,887 4.28 NR/Caa2 Bayview Commercial Asset Trust, Floating
Rate Note, 7/25/37 (144A) 140,387
118,245 3.48 BBB+/Ba1 Bear Stearns ARM Trust 2004-9, Floating
Rate Note, 11/25/34 118,682
150,000 5.21 NR/Baa2 Bear Stearns Commercial Mortgage
Securities Trust 2005-PWR7, Floating
Rate Note, 2/11/41 154,206
694,604 NR/NR Cendant Mortgage Corp., 6.25%,
3/25/32 (144A) 657,797
509,345 0.40 A+/Baa1 Chevy Chase Funding LLC Mortgage-Backed
Certificates Series 2005-A, Floating Rate
Note, 1/25/36 (144A) 428,964
805,860 A/NR CHL Mortgage Pass-Through Trust
2002-J4, 5.5%, 10/25/32 833,428
557,975 0.74 AA+/Baa1 CHL Mortgage Pass-Through Trust
2004-29, Floating Rate Note, 2/25/35 526,050
228,359 NR/Baa3 CHL Mortgage Pass-Through Trust
2004-9, 5.25%, 6/25/34 235,889
250,070 NR/Caa1 CHL Mortgage Pass-Through Trust
2005-19, 5.5%, 8/25/35 255,887
26,657 0.34 A+/Aaa Citigroup Commercial Mortgage Trust
2007-FL3A, Floating Rate Note,
4/15/22 (144A) 26,359
522,521 0.41 BBB-/Aa2 Citigroup Commercial Mortgage Trust
2007-FL3A, Floating Rate Note,
4/15/22 (144A) 502,571
222,339 NR/Aa2 Citigroup Mortgage Loan Trust, Inc.,
7.0%, 9/25/33 230,210
220,837 5.50 CC/NR Citigroup Mortgage Loan Trust, Inc.,
Floating Rate Note, 11/25/35 27,325
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 25
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
247,714 2.85 CC/NR Citigroup Mortgage Loan Trust, Inc.,
Floating Rate Note, 4/25/35 $ 176,994
180,289 0.64 BBB+/A2 CNL Commercial Mortgage Loan Trust
2003-2, Floating Rate Note,
10/25/30 (144A) 160,457
59,778 1.19 NR/WR Collateralized Mortgage Obligation Trust
44, Floating Rate Note, 7/1/18 60,399
494,209 0.30 AAA/Aaa COMM 2006-FL12 Mortgage Trust,
Floating Rate Note, 12/15/20 (144A) 488,945
1,000,000 0.33 AA-/A1 COMM 2006-FL12 Mortgage Trust,
Floating Rate Note, 12/15/20 (144A) 958,547
331,304 0.38 A+/A1 COMM 2007-FL14 Mortgage Trust,
Floating Rate Note, 6/15/22 (144A) 327,013
30,267 NR/Aaa Commercial Mortgage Pass Through
Certificate Series 2003-ML1,
4.767%, 3/12/39 30,269
597,741 2.14 AAA/NR Commercial Mortgage Pass Through
Certificates, Floating Rate Note,
11/17/26 (144A) 606,280
53,684 1.45 AAA/NR Deutsche Mortgage Securities, Inc.,
REMIC Trust Series 2010-RS2, Floating
Rate Note, 6/28/47 (144A) 54,490
146,121 0.57 AA+/Aa3 DSLA Mortgage Loan Trust 2004-AR3,
Floating Rate Note, 7/19/44 138,107
200,000 1.31 AA-/NR Extended Stay America Trust, Floating
Rate Note, 12/5/31 (144A) 200,018
63,910 2.59 BBB+/A1 First Horizon Mortgage Pass-Through Trust
2004-AR1, Floating Rate Note, 2/25/34 62,736
44,733 CCC/NR First Horizon Mortgage Pass-Through Trust
2006-1, 6.0%, 5/25/36 44,795
131,026 0.63 AA+/Aa2 GE Business Loan Trust 2003-1, Floating
Rate Note, 4/15/31 (144A) 124,749
311,768 0.49 AA/Aa2 GE Business Loan Trust 2004-1, Floating
Rate Note, 5/15/32 (144A) 301,024
148,682 0.37 A/Aa3 GE Business Loan Trust 2007-1, Floating
Rate Note, 4/16/35 (144A) 136,470
377,469 NR/Aaa GE Capital Commercial Mortgage Corp.,
5.145%, 7/10/37 380,728
445,000 5.34 NR/Aa3 GE Capital Commercial Mortgage Corp.,
Floating Rate Note, 7/10/37 (144A) 452,363
600,000 5.34 NR/Baa2 GE Capital Commercial Mortgage Corp.,
Floating Rate Note, 7/10/37 (144A) 604,898
500,000 5.15 BBB-/NR GE Capital Commercial Mortgage Corp.,
Floating Rate Note, 7/10/45 (144A) 502,109
250,000 5.31 BBB+/Baa2 GMAC Commercial Mortgage Securities,
Inc., Series 2003-C1 Trust, Floating Rate
Note, 5/10/36 (144A) 250,000
The accompanying notes are an integral part of these financial statements.
26 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
150,000 5.46 B+/NR GMAC Commercial Mortgage Securities,
Inc., Series 2003-C2 Trust, Floating Rate
Note, 5/10/40 (144A) $ 147,437
496,796 AAA/Aaa GMAC Commercial Mortgage Securities,
Inc., Series 2003-C3 Trust,
5.023%, 4/10/40 506,477
400,000 1.65 NR/Aa3 GS Mortgage Securities Corp., II, Floating
Rate Note, 11/8/29 (144A) 401,457
350,000 NR/NR GS Mortgage Securities Corp., II, 4.209%,
2/10/21 (144A) 353,500
500,000 1.26 AAA/Aaa GS Mortgage Securities Corp., II, Floating
Rate Note, 3/6/20 (144A) 500,878
100,000 2.20 AA/NR GS Mortgage Securities Corp., II, Floating
Rate Note, 3/6/20 (144A) 100,493
376,480 2.59 B+/NR GSR Mortgage Loan Trust 2003-9,
Floating Rate Note, 8/25/33 379,738
418,932 3.06 A+/B1 GSR Mortgage Loan Trust 2004-7,
Floating Rate Note, 6/25/34 422,202
231,626 5.25 BB-/NR GSR Mortgage Loan Trust 2005-AR4,
Floating Rate Note, 7/25/35 228,659
483,826 0.55 AA+/Aa3 Homestar Mortgage Acceptance Corp.,
Floating Rate Note, 6/25/34 479,576
1,629,937 0.84 BBB/Ba3 Impac CMB Trust Series 2004-4, Floating
Rate Note, 9/25/34 1,554,776
483,220 4.92 AAA/Aaa JP Morgan Chase Commercial Mortgage
Securities Corp., Pass Through Certs Ser
2003-LN1, Floating Rate Note, 10/15/37 487,938
650,000 2.07 AA/Aa2 JP Morgan Chase Commercial Mortgage
Securities Corp., Floating Rate Note,
10/15/25 (144A) 658,453
198,801 NR/Aaa JP Morgan Chase Commercial Mortgage
Securities Trust 2006-CIBC15,
5.819%, 6/12/43 200,960
290,708 NR/Aaa JP Morgan Chase Commercial Mortgage
Securities Trust 2006-CIBC17,
5.45%, 12/12/43 290,817
1,317,327 0.33 NR/Aa2 JP Morgan Chase Commercial Mortgage
Securities Trust 2006-FL2, Floating Rate
Note, 11/15/18 (144A) 1,299,436
212,191 0.56 NR/Ba1 JP Morgan Chase Commercial Mortgage
Securities Trust 2006-FL2, Floating Rate
Note, 11/15/18 (144A) 179,530
250,000 0.36 AA/Aa3 JP Morgan Chase Commercial Mortgage
Securities Trust 2006-LDP9, Floating Rate
Note, 5/15/47 248,218
475,000 5.73 AAA/Aaa JP Morgan Chase Commercial Mortgage
Securities Trust 2007-CIBC19, Floating
Rate Note, 2/12/49 485,693
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 27
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
547,277 2.31 BBB/Baa1 JP Morgan Mortgage Trust 2003-A1,
Floating Rate Note, 10/25/33 $ 556,905
453,861 2.52 AA+/Baa3 JP Morgan Mortgage Trust 2004-A1,
Floating Rate Note, 2/25/34 468,638
76,244 2.58 BBB+/Ba1 JP Morgan Mortgage Trust 2005-A4,
Floating Rate Note, 7/25/35 76,652
64,454 NR/Caa3 JP Morgan Mortgage Trust 2006-S3,
6.0%, 8/25/36 3,397
650,000 5.62 BBB+/NR LB-UBS Commercial Mortgage Trust
2002-C4, Floating Rate Note,
10/15/35 (144A) 648,932
247,027 AAA/Aaa LB-UBS Commercial Mortgage Trust
2004-C1, 4.568%, 1/15/31 253,852
500,000 AAA/Aaa LB-UBS Commercial Mortgage Trust
2004-C2, 4.367%, 3/15/36 514,487
120,852 AAA/Aaa LB-UBS Commercial Mortgage Trust
2005-C3, 4.664%, 7/15/30 122,997
175,412 6.16 AAA/Aaa LB-UBS Commercial Mortgage Trust
2008-C1, Floating Rate Note, 4/15/41 186,306
939,326 0.37 AA+/Aaa Lehman Brothers Floating Rate
Commercial Mortgage Trust 2006-LLF C5,
Floating Rate Note, 9/15/21 (144A) 928,141
80,367 0.90 BB/Aaa Lehman Brothers Floating Rate
Commercial Mortgage Trust 2007-LLF C5,
Floating Rate Note, 6/15/22 (144A) 79,697
268,680 0.43 A+/Aa2 Lehman Brothers Small Balance
Commercial, Floating Rate Note,
4/25/31 (144A) 231,310
527,309 0.45 A+/Aa3 Lehman Brothers Small Balance
Commercial, Floating Rate Note,
9/25/30 (144A) 460,025
339,476 0.72 BB/B2 Lehman Brothers Small Balance
Commercial, Floating Rate Note,
9/25/30 (144A) 167,158
250,000 1.30 A+/B1 Master Adjustable Rate Mortgages Trust
2004-11, Floating Rate Note, 11/25/34 222,058
48,818 AAA/NR Master Alternative Loan Trust 2004-13,
4.5%, 1/25/15 48,934
164,553 0.60 AA+/NR Master Asset Securitization Trust 2003-6,
Floating Rate Note, 7/25/18 162,701
218,683 6.62 A-/NR Master Seasoned Securitization Trust
2005-1, Floating Rate Note, 9/25/32 229,296
622,383 1.28 BBB+/Baa3 Merrill Lynch Mortgage Investors Trust
Series MLCC 2003-A, Floating Rate
Note, 3/25/28 613,613
208,200 2.40 A+/Baa3 Merrill Lynch Mortgage Investors Trust
Series MLCC 2003-G, Floating Rate
Note, 1/25/29 210,833
The accompanying notes are an integral part of these financial statements.
28 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
267,522 0.66 A+/A3 Merrill Lynch Mortgage Investors Trust
Series MLCC 2004-A, Floating Rate
Note, 4/25/29 $ 261,541
299,947 1.11 A+/Baa2 Merrill Lynch Mortgage Investors Trust
Series MLCC 2004-G, Floating Rate
Note, 1/25/30 290,640
223,861 2.44 BBB/B3 Merrill Lynch Mortgage Investors Trust
Series MLCC 2005-2, Floating Rate
Note, 10/25/35 221,656
138,276 5.29 NR/Aaa ML-CFC Commercial Mortgage Trust
2006-3, Floating Rate Note, 7/12/46 139,933
700,000 NR/NR Morgan Stanley Re-REMIC Trust 2010-R9,
5.0%, 11/26/36 (144A) 708,596
290,678 1.40 AAA/Aaa NorthStar 2012-1 Mortgage Trust,
Floating Rate Note, 8/25/29 (144A) 290,375
171,416 0.45 BB+/B2 Opteum Mortgage Acceptance Corp.,
Asset Backed Pass-Through Certificates
2005-5, Floating Rate Note, 12/25/35 167,414
206,197 NR/A2 PHH Mortgage Capital LLC, 6.6%,
12/25/27 (Step) (144A) 201,767
295,000 A+/NR Prudential Commercial Mortgage Trust
2003-PWR1, 4.706%, 2/11/36 294,901
680,871 BB+/B2 RAAC Series 2004-SP2 Trust,
6.0%, 1/25/32 694,764
267,444 6.25 BBB+/NR RAMP Series 2004-SL4 Trust, Floating
Rate Note, 5/25/18 273,419
166,404 1.60 B-/Ba1 RESI Finance LP, Floating Rate Note,
9/10/35 (144A) 146,701
1,885,213 0.60 BBB+/NR Residential Asset Securitization Trust
2003-A2, Floating Rate Note, 5/25/33 1,705,417
27,488 0.70 AA+/NR Residential Asset Securitization Trust
2003-A6, Floating Rate Note, 7/25/33 27,428
441,022 B/NR Residential Asset Securitization Trust
2004-A9, 5.75%, 12/25/34 451,510
408,015 CCC/NR Residential Asset Securitization Trust
2005-A9, 5.5%, 7/25/35 407,298
355,172 2.68 BBB+/B2 SASCO Mortgage Pass-through
Certificates Series 2004-S4, Floating
Rate Note, 12/25/34 361,502
280,566 0.82 AA+/Baa3 Sequoia Mortgage Trust 2003-5, Floating
Rate Note, 9/20/33 277,257
209,742 0.52 A+/Baa3 Sequoia Mortgage Trust 2004-10,
Floating Rate Note, 11/20/34 206,372
870,099 0.47 A/Baa1 Sequoia Mortgage Trust 2004-12,
Floating Rate Note, 1/20/35 811,883
304,991 0.80 AA/A3 Sequoia Mortgage Trust 2004-12,
Floating Rate Note, 1/20/35 288,265
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 29
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
370,164 1.88 AA+/Baa3 Sequoia Mortgage Trust 2004-7, Floating
Rate Note, 8/20/34 $ 369,943
541,758 0.74 AA+/B1 Sequoia Mortgage Trust 2005-1, Floating
Rate Note, 2/20/35 537,445
116,747 NR/Baa3 SMA Issuer I LLC, 3.5%, 8/20/25 (144A) 117,352
371,206 2.22 AAA/NR Springleaf Mortgage Loan Trust 2012-2,
Floating Rate Note, 10/25/57 (144A) 375,586
689,498 3.74 CCC/Caa3 Structured Asset Mortgage Investments II
Trust 2005-AR2, Floating Rate
Note, 5/25/45 486,410
548,355 0.75 AA+/A1 Structured Asset Mortgage Investments II
Trust 2005-F1, Floating Rate
Note, 8/26/35 544,859
531,037 0.70 A+/Baa3 Structured Asset Securities Corp., Mortgage
Pass-Through Certificates Series 2003-35,
Floating Rate Note, 12/25/33 515,631
284,501 2.89 A+/Baa3 Structured Asset Securities Corp., Mortgage
Certificates Series 2003-31A, Floating Rate
Note, 10/25/33 289,853
1,218,273 2.60 A+/Baa3 Structured Asset Securities Corp Mortgage
Pass-Through Certificates Series 2003-24A,
Floating Rate Note, 7/25/33 1,195,451
266,422 0.85 NR/NR Structured Asset Securities Corp Reverse
Mortgage Loan Trust 2002-RM1, Floating
Rate Note, 10/25/37 (144A) 263,591
398,435 1.78 AAA/A1 Thornburg Mortgage Securities Trust
2004-1, Floating Rate Note, 3/25/44 401,477
1,459,791 0.94 BBB+/Baa3 Thornburg Mortgage Securities Trust
2004-3, Floating Rate Note, 9/25/44 1,431,170
328,556 1.86 AA+/Ba1 Thornburg Mortgage Securities Trust Class
II2A, Floating Rate Note, 3/25/44 327,710
255,283 4.08 AAA/Ba1 Thornburg Mortgage Securities Trust Class
II4A, Floating Rate Note, 3/25/44 256,190
525,000 AAA/Aa1 Timberstar Trust, 5.668%, 10/15/36 (144A) 601,011
404,425 0.78 BB+/Aaa UBS Commercial Mortgage Trust
2007-FL1, Floating Rate Note,
7/15/24 (144A) 397,395
78,410,257 0.02 AAA/Aaa Wachovia Bank Commercial Mortgage
Trust Series 2006-C26, Floating Rate
Note, 6/15/45 18,818
500,000 5.61 AA-/NR Wachovia Commercial Mortgage Securities,
Inc., Commercial Mortgage Pass-Through
Certificates Series 03-C4, Floating Rate
Note, 4/15/35 (144A) 499,274
650,000 5.30 BBB/NR WaMu Commercial Mortgage Securities
Trust, Floating Rate Note, 5/25/36 (144A) 667,938
990,979 AA+/NR WaMu Mortgage Pass Through Certificates,
5.0%, 10/25/18 1,022,850
The accompanying notes are an integral part of these financial statements.
30 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
241,943 AA+/Baa3 Wells Fargo Mortgage Backed Securities
2003-15 Trust, 4.75%, 12/25/18 $ 249,138
463,284 5.00 NR/Ba2 Wells Fargo Mortgage Backed Securities
2005-AR6 Trust, Floating Rate
Note, 4/25/35 473,037
72,007 AA+/A1 Wells Fargo Mortgage Backed Securities
2006-16 Trust, 5.0%, 11/25/36 74,639
633,152 NR/Caa1 Wells Fargo Mortgage Backed Securities
2006-2 Trust, 5.75%, 3/25/36 636,264
--------------
$ 51,147,791
--------------
Total Banks $ 51,147,791
----------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 3.2%
Other Diversified Financial Services -- 2.6%
210,000 A+/Baa2 American Tower Trust, 5.957%,
4/15/37 (144A) $ 213,447
275,391 3.13 AA+/NR Banc of America Mortgage 2003-F Trust,
Floating Rate Note, 7/25/33 278,089
27,555 BB+/NR Banc of America Mortgage Trust 2004-7,
4.5%, 8/25/19 28,010
139,971 0.94 AA+/Baa1 Bear Stearns ALT-A Trust 2004-13,
Floating Rate Note, 11/25/34 138,012
26,993 NR/Aaa Commercial Mortgage Pass-Through
Certificates Series 2007-C1,
5.268%, 2/15/40 26,999
180,723 0.32 BBB+/Aaa Commercial Mortgage Pass-Through
Certificates Series 2007-TFL1, Floating
Rate Note, 2/15/22 (144A) 176,809
71,231 AAA/Aaa Commercial Mortgage Trust 2003-C1,
4.111%, 7/5/35 71,313
600,000 4.09 NR/NR CSMC Series 2010-16, Floating Rate
Note, 6/25/50 (144A) 589,135
240,874 0.40 BB+/Baa2 Impac Secured Assets Trust 2006-5,
Floating Rate Note, 12/25/36 220,662
148,447 2.55 BBB+/NR Merrill Lynch Mortgage Investors Trust
Series MLMI 2005-A2, Floating Rate
Note, 2/25/35 150,168
254,340 2.55 A+/NR Merrill Lynch Mortgage Investors Trust
Series MLMI 2005-A2, Floating Rate
Note, 2/25/35 255,904
250,000 0.90 BBB+/A3 Morgan Stanley Capital I, Inc., Class C,
Floating Rate Note, 12/15/20 (144A) 233,000
215,953 NR/Baa3 ORES NPL LLC, 4.0%, 9/25/44 (144A) 216,383
440,017 0.75 NR/Baa3 RALI Series 2002-QS16 Trust, Floating
Rate Note, 10/25/17 416,261
950,000 AAA/Baa3 RALI Series 2003-QR24 Trust,
4.0%, 7/25/33 945,678
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 31
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Other Diversified Financial Services -- (continued)
66,416 NR/Ba1 RALI Series 2003-QS14 Trust,
5.0%, 7/25/18 $ 67,876
250,000 BB+/Ba3 RALI Series 2003-QS15 Trust,
5.5%, 8/25/33 258,253
325,000 BBB/Baa3 RALI Series 2003-QS17 Trust,
5.5%, 9/25/33 334,272
921,785 BBB+/Ba1 RALI Series 2004-QS1 Trust,
4.25%, 1/25/34 933,402
198,259 0.75 BBB+/Ba1 RALI Series 2004-QS1 Trust, Floating
Rate Note, 1/25/34 190,647
304,575 NR/B3 RALI Series 2004-QS16 Trust,
5.5%, 12/25/34 300,206
210,456 BB+/Ba3 RALI Series 2004-QS5 Trust,
4.75%, 4/25/34 218,823
217,164 3.12 BB+/Ba2 Structured Adjustable Rate Mortgage
Loan Trust Class 1A1, Floating Rate
Note, 3/25/34 212,019
69,272 0.94 AAA/Aa1 Structured Adjustable Rate Mortgage
Loan Trust, Floating Rate Note, 1/25/35 68,945
406,160 2.73 NR/NR Vericrest Opportunity Loan Transferee,
Floating Rate Note, 11/25/60 (144A) 407,939
--------------
$ 6,952,252
----------------------------------------------------------------------------------------------------------
Specialized Finance -- 0.3%
23,111 0.30 A/Aaa IndyMac INDX Mortgage Loan Trust
2007-FLX1, Floating Rate Note, 2/25/37 $ 23,088
700,000 1.70 AAA/Aaa Permanent Master Issuer Plc, Floating
Rate Note, 7/15/42 (144A) 707,180
--------------
$ 730,268
----------------------------------------------------------------------------------------------------------
Consumer Finance -- 0.1%
273,554 4.54 AA+/Baa3 GMACM Mortgage Loan Trust 2003-AR1,
Floating Rate Note, 10/19/33 $ 282,601
----------------------------------------------------------------------------------------------------------
Asset Management & Custody Banks -- 0.0%+
120,143 2.87 NR/NR Jefferies & Co., Inc., Floating Rate Note,
5/26/37 (144A) $ 120,543
----------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 0.2%
460,000 NR/A3 Morgan Stanley Dean Witter Capital I Trust
2001-TOP3, 6.79%, 7/15/33 $ 470,252
--------------
Total Diversified Financials $ 8,555,916
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
32 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
REAL ESTATE -- 1.2%
Mortgage REIT -- 1.2%
703,256 AAA/Aaa American Home Mortgage Investment
Trust 2004-3, 5.01%, 10/25/34 (Step) $ 728,496
290,916 2.46 AA+/Ba1 American Home Mortgage Investment
Trust 2005-1, Floating Rate
Note, 6/25/45 289,054
115,409 BBB/NR Credit Suisse First Boston Mortgage
Securities Corp., 5.25%, 10/25/19 117,196
71,613 B+/NR Credit Suisse First Boston Mortgage
Securities Corp., 5.5%, 6/25/33 71,488
776,521 NR/Aaa Credit Suisse First Boston Mortgage
Securities Corp., 7.13%, 11/15/30 781,639
345,849 BBB+/Baa3 Credit Suisse First Boston Mortgage
Securities Corp., 7.5%, 5/25/32 358,326
114,078 2.80 BBB+/Ba1 Credit Suisse First Boston Mortgage
Securities Corp., Floating Rate
Note, 11/25/33 112,210
171,268 4.90 AAA/NR Credit Suisse First Boston Mortgage
Securities Corp., Floating Rate
Note, 12/15/36 173,425
141,151 1.55 AA+/A3 Credit Suisse First Boston Mortgage
Securities Corp., Floating Rate
Note, 12/25/33 135,492
130,111 1.70 NR/WR Credit Suisse First Boston Mortgage
Securities Corp., Floating Rate
Note, 8/25/33 124,202
750,000 6.45 D/Caa2 Credit Suisse First Boston Mortgage
Securities Corp., Floating Rate Note,
9/15/34 (144A) 356,708
--------------
$ 3,248,236
--------------
Total Real Estate $ 3,248,236
----------------------------------------------------------------------------------------------------------
GOVERNMENT -- 7.2%
86,529 NR/NR Fannie Mae Benchmark REMIC,
5.45%, 12/25/20 $ 87,955
4,250,829 3.74 NR/Aa1 Fannie Mae Grantor Trust 2001-T1,
Floating Rate Note, 10/25/40 4,088,132
1,147,181 3.38 NR/NR Fannie Mae Grantor Trust 2004-T2,
Floating Rate Note, 7/25/43 1,229,541
369,801 NR/NR Fannie Mae REMICS, 3.0%, 1/25/21 384,306
311,037 NR/NR Fannie Mae REMICS, 4.0%, 6/25/37 317,001
50,239 NR/NR Fannie Mae REMICS, 5.0%, 9/25/39 52,077
148,173 NR/NR Fannie Mae REMICS, 5.5%, 10/25/32 149,456
18,213 NR/NR Fannie Mae REMICS, 5.69%, 1/25/32 18,326
329,468 NR/NR Fannie Mae REMICS, 6.0%, 3/25/35 347,031
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 33
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Government -- (continued)
179,245 NR/NR Fannie Mae REMICS, 6.0%, 6/25/29 $ 201,874
842,644 1.07 NR/NR Fannie Mae REMICS, Floating Rate
Note, 1/25/24 847,136
191,000 0.40 NR/NR Fannie Mae REMICS, Floating Rate
Note, 10/27/37 190,021
1,087,979 0.50 NR/NR Fannie Mae REMICS, Floating Rate
Note, 12/25/42 1,090,376
149,071 0.51 NR/NR Fannie Mae REMICS, Floating Rate
Note, 2/25/35 149,375
123,228 0.60 NR/NR Fannie Mae REMICS, Floating Rate
Note, 4/25/34 123,858
582,753 0.75 NR/NR Fannie Mae REMICS, Floating Rate
Note, 5/25/40 586,055
228,551 0.50 NR/NR Fannie Mae REMICS, Floating Rate
Note, 7/25/35 228,669
1,119,871 2.79 NR/NR Fannie Mae Trust 2003-W2, Floating
Rate Note, 7/25/42 1,109,310
291,544 2.75 NR/NR Fannie Mae Trust 2005-W3, Floating
Rate Note, 4/25/45 300,977
312,257 2.29 NR/NR Fannie Mae Trust 2005-W4, Floating
Rate Note, 6/25/35 324,571
158,321 NR/NR Freddie Mac REMICS, 4.0%, 12/15/22 161,424
304,714 NR/Aa1 Freddie Mac REMICS, 4.0%, 6/15/22 308,559
11,392 NR/NR Freddie Mac REMICS, 4.5%, 8/15/17 11,405
92,854 NR/NR Freddie Mac REMICS, 5.0%, 10/15/33 92,969
333,646 NR/NR Freddie Mac REMICS, 5.0%, 6/15/34 343,439
251,620 NR/NR Freddie Mac REMICS, 5.5%, 10/15/35 262,654
22,524 NR/NR Freddie Mac REMICS, 5.5%, 3/15/32 22,803
109,704 NR/NR Freddie Mac REMICS, 5.5%, 3/15/33 111,261
306,780 NR/NR Freddie Mac REMICS, 6.0%, 4/15/36 307,820
132,744 0.50 NR/NR Freddie Mac REMICS, Floating Rate
Note, 1/15/36 133,093
459,720 0.65 NR/NR Freddie Mac REMICS, Floating Rate
Note, 1/15/41 462,250
192,757 0.55 NR/NR Freddie Mac REMICS, Floating Rate
Note, 11/15/36 193,288
132,807 0.45 NR/NR Freddie Mac REMICS, Floating Rate
Note, 11/15/36 132,816
297,129 NR/NR Government National Mortgage
Association, 3.0%, 4/20/41 311,569
30,485 NR/Aa1 Government National Mortgage
Association, 4.009%, 5/16/37 30,540
259,942 NR/Aa1 Government National Mortgage
Association, 4.549%, 6/16/28 263,810
The accompanying notes are an integral part of these financial statements.
34 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Government -- (continued)
1,107,613 NR/NR Government National Mortgage
Association, 5.0%, 1/20/16 $ 1,153,576
218,198 NR/NR Government National Mortgage
Association, 5.0%, 4/20/36 234,959
858,890 0.65 NR/NR Government National Mortgage
Association, Floating Rate Note, 1/20/34 860,079
3,078,514 1.69 NR/NR Government National Mortgage
Association, Floating Rate Note, 10/16/43 207,830
12,456,020 0.56 NR/NR Government National Mortgage
Association, Floating Rate Note, 11/16/51 485,448
12,097,574 1.32 AAA/Aa1 Government National Mortgage
Association, Floating Rate Note, 2/16/52 582,317
1,977,433 1.03 NR/NR Government National Mortgage
Association, Floating Rate Note, 2/16/53 173,557
3,441,631 1.18 NR/NR Government National Mortgage
Association, Floating Rate Note, 3/16/51 143,912
1,186,467 1.05 NR/NR Government National Mortgage
Association, Floating Rate Note, 3/16/53 101,658
1,972,834 1.10 NR/NR Government National Mortgage
Association, Floating Rate Note, 8/16/52 156,781
1,779,177 1.07 NR/NR Government National Mortgage
Association, Floating Rate Note, 9/16/52 161,106
--------------
$ 19,236,970
--------------
Total Government $ 19,236,970
----------------------------------------------------------------------------------------------------------
TOTAL COLLATERALIZED
MORTGAGE OBLIGATIONS
(Cost $84,067,786) $ 82,188,913
----------------------------------------------------------------------------------------------------------
CORPORATE BONDS -- 29.0%
ENERGY -- 1.7%
Oil & Gas Equipment & Services -- 0.3%
739,000 BBB-/Baa2 Weatherford International, Ltd., Bermuda,
5.15%, 3/15/13 $ 739,824
----------------------------------------------------------------------------------------------------------
Integrated Oil & Gas -- 0.6%
700,000 A/A1 ConocoPhillips Co., 1.05%, 12/15/17 $ 698,307
940,000 0.68 AA-/Aa1 Total Capital Canada, Ltd., Floating Rate
Note, 1/15/16 944,284
--------------
$ 1,642,591
----------------------------------------------------------------------------------------------------------
Oil & Gas Exploration & Production -- 0.3%
250,000 A/Aa3 Ras Laffan Liquefied Natural Gas Co.,
Ltd., III, 5.5%, 9/30/14 (144A) $ 266,250
500,000 BBB-/Baa2 TNK-BP Finance SA, 7.5%,
3/13/13 (144A) 500,650
--------------
$ 766,900
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 35
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Oil & Gas Storage & Transportation -- 0.5%
650,000 A-/A3 TransCanada PipeLines, Ltd.,
0.75%, 1/15/16 $ 649,668
750,000 BBB/Baa2 Williams Partners LP, 3.8%, 2/15/15 791,260
--------------
$ 1,440,928
--------------
Total Energy $ 4,590,243
----------------------------------------------------------------------------------------------------------
MATERIALS -- 0.7%
Industrial Gases -- 0.2%
500,000 BBB/Baa2 Airgas, Inc., 2.85%, 10/1/13 $ 506,306
----------------------------------------------------------------------------------------------------------
Specialty Chemicals -- 0.2%
536,000 BBB/Baa2 Cytec Industries, Inc., 4.6%, 7/1/13 $ 540,629
----------------------------------------------------------------------------------------------------------
Construction Materials -- 0.1%
360,000 BBB+/Baa2 CRH America, Inc., 5.3%, 10/15/13 $ 369,415
----------------------------------------------------------------------------------------------------------
Gold -- 0.2%
500,000 BBB+/Baa1 Barrick Gold Corp., 1.75%, 5/30/14 $ 506,647
--------------
Total Materials $ 1,922,997
----------------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 1.1%
Aerospace & Defense -- 0.5%
360,000 BB/Ba2 Bombardier, Inc., 4.25%, 1/15/16 (144A) $ 373,500
500,000 A-/A2 Precision Castparts Corp.,
1.25%, 1/15/18 499,949
500,000 A/A2 United Technologies Corp.,
1.2%, 6/1/15 507,356
--------------
$ 1,380,805
----------------------------------------------------------------------------------------------------------
Industrial Conglomerates -- 0.2%
500,000 AA+/Aa3 General Electric Co., 0.85%, 10/9/15 $ 501,564
----------------------------------------------------------------------------------------------------------
Trading Companies & Distributors -- 0.4%
1,000,000 BBB/Baa2 Glencore Funding LLC, 6.0%,
4/15/14 (144A) $ 1,048,950
--------------
Total Capital Goods $ 2,931,319
----------------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.9%
Auto Parts & Equipment -- 0.3%
725,000 0.71 BBB+/Baa1 Johnson Controls, Inc., Floating Rate
Note, 2/4/14 $ 727,008
----------------------------------------------------------------------------------------------------------
Automobile Manufacturers -- 0.6%
1,000,000 BBB+/Baa1 Hyundai Motor Manufacturing Czech sro,
4.5%, 4/15/15 (144A) $ 1,063,433
100,000 BBB+/A3 Nissan Motor Acceptance Corp., 4.5%,
1/30/15 (144A) 106,564
The accompanying notes are an integral part of these financial statements.
36 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Automobile Manufacturers -- (continued)
500,000 A-/A3 Volkswagen International Finance NV,
1.6%, 11/20/17 (144A) $ 501,988
--------------
$ 1,671,985
--------------
Total Automobiles & Components $ 2,398,993
----------------------------------------------------------------------------------------------------------
MEDIA -- 0.3%
Broadcasting -- 0.3%
750,000 BBB/Baa2 Discovery Communications LLC,
3.7%, 6/1/15 $ 796,642
--------------
Total Media $ 796,642
----------------------------------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 0.3%
Brewers -- 0.2%
500,000 BBB+/Baa1 SABMiller Holdings, Inc., 1.85%,
1/15/15 (144A) $ 508,764
----------------------------------------------------------------------------------------------------------
Packaged Foods & Meats -- 0.1%
250,000 0.60 BBB+/A2 Campbell Soup Co., Floating Rate
Note, 8/1/14 $ 250,728
--------------
Total Food, Beverage & Tobacco $ 759,492
----------------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.8%
Health Care Equipment -- 0.2%
510,000 A/Baa1 St Jude Medical, Inc., 2.5%, 1/15/16 $ 529,642
----------------------------------------------------------------------------------------------------------
Health Care Distributors -- 0.2%
500,000 A-/Baa2 Cardinal Health, Inc., 4.0%, 6/15/15 $ 534,886
----------------------------------------------------------------------------------------------------------
Health Care Services -- 0.4%
1,000,000 BBB+/Baa3 Express Scripts Holding Co.,
3.125%, 5/15/16 $ 1,055,366
--------------
Total Health Care
Equipment & Services $ 2,119,894
----------------------------------------------------------------------------------------------------------
PHARMACEUTICALS, BIOTECHNOLOGY
& LIFE SCIENCES -- 0.9%
Pharmaceuticals -- 0.2%
500,000 BBB-/Baa2 Zoetis, Inc., 1.15%, 2/1/16 (144A) $ 501,454
----------------------------------------------------------------------------------------------------------
Life Sciences Tools & Services -- 0.7%
500,000 BBB+/Baa2 Agilent Technologies, Inc., 2.5%, 7/15/13 $ 503,696
620,000 BBB+/NR Agilent Technologies, Inc., 5.5%, 9/14/15 687,125
750,000 BBB+/Baa3 Life Technologies Corp., 3.375%, 3/1/13 750,000
--------------
$ 1,940,821
--------------
Total Pharmaceuticals,
Biotechnology & Life Sciences $ 2,442,275
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 37
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
BANKS -- 5.5%
Diversified Banks -- 3.2%
500,000 1.66 A/NR Abbey National Treasury Services Plc
London, Floating Rate Note, 6/10/13 $ 500,932
500,000 A/A2 ABN AMRO Bank NV, 1.375%,
1/22/16 (144A) 500,359
500,000 A+/Aa3 Bank of Montreal, Ltd., 0.8%, 11/6/15 500,817
500,000 BBB-/Baa3 BBVA US Senior SAU, 3.25%, 5/16/14 504,750
500,000 A+/Aa3 Export-Import Bank of Korea, Ltd.,
1.25%, 11/20/15 500,822
1,700,000 1.10 AA-/Aa3 HSBC Bank Plc, Floating Rate Note,
1/17/14 (144A) 1,711,082
1,000,000 0.94 AA-/Aa3 HSBC Bank Plc, Floating Rate Note,
8/12/13 (144A) 1,002,580
500,000 BBB+/Baa2 Intesa Sanpaolo S.p.A., 3.125%, 1/15/16 493,344
500,000 2.69 BBB+/Baa2 Intesa Sanpaolo S.p.A., Floating Rate
Note, 2/24/14 (144A) 503,140
500,000 A+/A2 Standard Chartered Plc, 3.85%,
4/27/15 (144A) 528,540
500,000 A/Aa3 The Korea Development Bank, Ltd.
1.0%, 1/22/16 498,049
820,000 A/A3 Wachovia Corp., 5.25%, 8/1/14 870,560
350,000 2.07 A+/A2 Wachovia Corp., Floating Rate
Note, 5/1/13 350,944
--------------
$ 8,465,919
----------------------------------------------------------------------------------------------------------
Regional Banks -- 1.8%
103,000 A-/A2 BB&T Corp., 1.6%, 8/15/17 $ 104,340
500,000 A-/A2 BB&T Corp., 5.7%, 4/30/14 529,737
500,000 0.73 BBB-/Baa2 Fifth Third Bancorp, Floating Rate
Note, 12/20/16 491,119
1,000,000 A-/A3 KeyBank NA Cleveland Ohio,
1.65%, 2/1/18 1,010,287
275,000 BBB+/Baa1 KeyBank NA Cleveland Ohio,
5.8%, 7/1/14 293,431
500,000 BBB+/Baa1 KeyCorp, 3.75%, 8/13/15 534,448
965,000 BBB+/Baa1 KeyCorp, 6.5%, 5/14/13 976,158
275,000 8.25 BBB/Baa3 PNC Financial Services Group, Inc.,
Floating Rate Note, 5/29/49 (Perpetual) 277,436
500,000 BBB/Baa1 SunTrust Banks, Inc., 3.5%, 1/20/17 538,051
--------------
$ 4,755,007
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- 0.5%
325,000 BBB-/Baa2 Astoria Financial Corp., 5.0%, 6/19/17 $ 345,839
500,000 BBB/Baa2 Santander Holdings USA, Inc.
Pennsylvania, 3.0%, 9/24/15 513,664
The accompanying notes are an integral part of these financial statements.
38 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
500,000 0.76 AAA/Aaa Swedbank Hypotek AB, Floating Rate
Note, 3/28/14 (144A) $ 501,910
--------------
$ 1,361,413
--------------
Total Banks $ 14,582,339
----------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 9.0%
Other Diversified Financial Services -- 5.2%
500,000 A-/Baa2 Bank of America Corp., 3.7%, 9/1/15 $ 527,806
250,000 6.50 BB+/NR Caelus Re II, Ltd., Floating Rate Note,
5/24/13 (Cat Bond) (144A) 252,150
250,000 0.00 NR/NR Caelus Re, Ltd., Floating Rate Note,
3/7/16 (Cat Bond) (144A) 250,000
1,000,000 BBB+/Baa3 Citigroup, Inc., 5.0%, 9/15/14 1,051,917
1,095,000 A-/Baa2 Citigroup, Inc., 5.5%, 4/11/13 1,101,363
375,000 10.25 BB-/NR Compass Re, Ltd., Floating Rate Note,
1/8/15 (Cat Bond) (144A) 383,212
250,000 6.60 BB-/NR Embarcadero Reinsurance, Ltd., Floating
Rate Note, 8/4/14 (Cat Bond) (144A) 253,250
485,000 AA+/A1 General Electric Capital Corp.,
1.625%, 7/2/15 493,543
1,000,000 AA+/A1 General Electric Capital Corp.,
1.875%, 9/16/13 1,008,274
1,000,000 1.14 AA+/A1 General Electric Capital Corp.,
Floating Rate Note, 12/20/13 1,005,090
500,000 1.00 AA+/A1 General Electric Capital Corp.,
Floating Rate Note, 4/24/14 503,645
500,000 0.94 AA+/A1 General Electric Capital Corp.,
Floating Rate Note, 4/7/14 503,262
500,000 1.38 AA+/A1 General Electric Capital Corp.,
Floating Rate Note, 8/1/17 502,083
1,000,000 6.20 BB-/NR Ibis Re, Ltd., Floating Rate Note, 5/3/13
(Cat Bond) (144A) 1,005,100
500,000 4.00 A/A2 JPMorgan Chase & Co., Floating Rate
Note, 2/25/21 518,150
500,000 6.00 BB/NR Lodestone Re, Ltd., Floating Rate Note,
1/8/14 (Cat Bond) (144A) 500,450
500,000 7.25 BB/NR Lodestone Re, Ltd., Floating Rate Note,
1/8/14 (Cat Bond) (144A) 503,850
500,000 6.25 BB/NR Lodestone Re, Ltd., Floating Rate Note,
5/17/13 (Cat Bond) (144A) 502,450
500,000 8.25 BB-/NR Lodestone Re, Ltd., Floating Rate Note,
5/17/13 (Cat Bond) (144A) 504,050
250,000 7.50 BB-/NR Queen Street II Capital, Ltd., Floating
Rate Note, 4/9/14 (Cat Bond) (144A) 252,550
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 39
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Other Diversified Financial Services -- (continued)
250,000 6.25 BB/NR Residential Reinsurance 2010, Ltd.,
Floating Rate Note, 6/6/13
(Cat Bond) (144A) $ 252,650
500,000 6.60 BB/NR Residential Reinsurance 2010, Ltd.,
Floating Rate Note, 6/6/13
(Cat Bond) (144A) 505,750
250,000 9.00 BB-/NR Residential Reinsurance 2011, Ltd.,
Floating Rate Note, 6/6/15
(Cat Bond) (144A) 261,475
250,000 7.00 BB/NR Shore Re, Ltd., Floating Rate Note,
7/8/13 (Cat Bond) (144A) 253,450
250,000 3.10 BBB-/NR Vita Capital IV, Ltd., Floating Rate Note,
1/15/16 (Cat Bond) (144A) 252,000
750,000 2.90 BBB-/NR Vita Capital V, Ltd., Floating Rate Note,
1/15/17 (Cat Bond) (144A) 754,350
--------------
$ 13,901,870
----------------------------------------------------------------------------------------------------------
Specialized Finance -- 0.3%
175,000 BBB+/Baa1 Harley-Davidson Financial Services, Inc.,
3.875%, 3/15/16 (144A) $ 188,184
500,000 A/A2 National Rural Utilities Cooperative
Finance Corp., 5.4%, 10/15/13 512,212
150,000 A+/A3 NYSE Euronext, 2.0%, 10/5/17 154,305
--------------
$ 854,701
----------------------------------------------------------------------------------------------------------
Consumer Finance -- 1.1%
500,000 A+/A1 American Honda Finance Corp., 2.375%,
3/18/13 (144A) $ 500,364
380,000 A+/A1 American Honda Finance Corp., 6.7%,
10/1/13 (144A) 393,219
500,000 BB+/Baa3 Banque PSA Finance SA, 3.375%,
4/4/14 (144A) 498,021
475,000 BBB/Baa1 Capital One Financial Corp.,
1.0%, 11/6/15 473,280
500,000 BBB/Baa1 Capital One Financial Corp.,
2.125%, 7/15/14 508,620
250,000 BB+/Baa3 Ford Motor Credit Co., LLC,
2.375%, 1/16/18 248,210
200,000 BB+/Baa3 Ford Motor Credit Co., LLC,
3.875%, 1/15/15 208,165
--------------
$ 2,829,879
----------------------------------------------------------------------------------------------------------
Asset Management & Custody Banks -- 0.1%
300,000 AA-/A1 Franklin Resources, Inc., 3.125%, 5/20/15 $ 315,858
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
40 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 2.3%
800,000 A-/Baa2 Merrill Lynch & Co., Inc.,
6.15%, 4/25/13 $ 806,088
500,000 A-/Baa2 Merrill Lynch & Co., Inc., 5.0%, 2/3/14 518,518
1,000,000 A-/Baa1 Morgan Stanley, Inc., 4.0%, 9/22/20
(Step) 1,007,558
275,000 3.10 A-/Baa1 Morgan Stanley, Inc., Floating Rate
Note, 11/9/18 278,056
500,000 1.54 A-/Baa1 Morgan Stanley, Inc., Floating Rate
Note, 2/25/16 501,746
750,000 2.79 A-/Baa1 Morgan Stanley, Inc., Floating Rate
Note, 5/14/13 753,156
250,000 A/A2 The Charles Schwab Corp.,
0.85%, 12/4/15 250,828
340,000 A-/A3 The Goldman Sachs Group, Inc.,
3.7%, 8/1/15 359,194
250,000 1.29 A-/A3 The Goldman Sachs Group, Inc., Floating
Rate Note, 11/21/14 251,071
1,000,000 1.30 A-/A3 The Goldman Sachs Group, Inc., Floating
Rate Note, 2/7/14 1,005,554
475,000 0.76 A-/A3 The Goldman Sachs Group, Inc., Floating
Rate Note, 3/22/16 469,359
--------------
$ 6,201,128
--------------
Total Diversified Financials $ 24,103,436
----------------------------------------------------------------------------------------------------------
INSURANCE -- 3.2%
Life & Health Insurance -- 0.7%
50,000 A+/A1 Allstate Life Global Funding Trusts,
5.375%, 4/30/13 $ 50,383
500,000 A-/NR Jefferson-Pilot Corp., 4.75%, 1/30/14 518,024
250,000 A-/Baa2 Lincoln National Corp., 4.3%, 6/15/15 268,424
475,000 A/Baa2 Prudential Covered Trust 2012-1,
2.997%, 9/30/15 (144A) 495,941
500,000 0.00 BBB+/NR Vitality Re IV, Ltd., Floating Rate Note,
1/9/16 (Cat Bond) (144A) 502,750
--------------
$ 1,835,522
----------------------------------------------------------------------------------------------------------
Multi-line Insurance -- 0.5%
500,000 BBB-/Baa3 Genworth Financial, Inc., 5.75%, 6/15/14 $ 525,026
410,000 BBB-/Baa2 Liberty Mutual Group, Inc., 7.3%,
6/15/14 (144A) 437,866
250,000 A/A2 Metropolitan Life Insurance Co., 7.7%,
11/1/15 (144A) 288,792
--------------
$ 1,251,684
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 41
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Property & Casualty Insurance -- 0.4%
500,000 BBB/Baa3 Sirius International Group, Ltd., 6.375%,
3/20/17 (144A) $ 562,718
500,000 BBB+/Baa2 XL Group Plc, 5.25%, 9/15/14 529,088
--------------
$ 1,091,806
----------------------------------------------------------------------------------------------------------
Reinsurance -- 1.6%
250,000 8.18 BB-/NR Atlas Reinsurance VII, Ltd., Floating
Rate Note, 1/7/16 (Cat Bond) (144A) $ 249,750
250,000 4.50 NR/Baa1 Combine Re, Ltd., Floating Rate Note,
1/7/15 (Cat Bond) (144A) 256,650
250,000 17.75 B+/NR Everglades Re, Ltd., Floating Rate Note,
4/30/14 (Cat Bond) (144A) 274,525
500,000 5.00 BB+/NR Foundation Re III, Ltd., Floating Rate
Note, 2/25/15 (Cat Bond) 524,000
500,000 5.75 BB/NR Foundation Re III, Ltd., Floating Rate
Note, 2/3/14 (Cat Bond) (144A) 507,050
250,000 7.00 BB-/NR Johnston Re, Ltd., Floating Rate Note,
5/8/13 (Cat Bond) (144A) 251,950
250,000 6.00 BB+/NR Longpoint Re, Ltd., Floating Rate Note,
6/12/15 (Cat Bond) (144A) 260,850
250,000 8.50 B+/NR Mythen Re, Ltd., Series 2012-2 Class A,
Floating Rate Note, 1/5/17
(Cat Bond) (144A) 250,875
250,000 8.22 NR/Ba3 Mythen, Ltd., Floating Rate Note,
5/7/15 (Cat Bond) (144A) 265,575
250,000 8.60 B/NR Queen Street VII Re, Ltd., Floating Rate
Note, 4/8/16 (Cat Bond) (144A) 249,850
400,000 4.50 BB+/NR Residential Reinsurance 2012, Ltd.,
Floating Rate Note, 12/6/16
(Cat Bond) (144A) 400,600
250,000 8.00 BB/NR Residential Reinsurance 2012, Ltd.,
Floating Rate Note, 6/6/16
(Cat Bond) (144A) 262,775
350,000 12.93 B-/NR Successor X, Ltd., Class III-R3, Floating
Rate Note, 1/7/14 (Cat Bond) (144A) 352,100
300,000 9.41 B/NR Successor X, Ltd., Class IV-E3, Floating
Rate Note, 2/25/14 (Cat Bond) (144A) 301,410
--------------
$ 4,407,960
--------------
Total Insurance $ 8,586,972
----------------------------------------------------------------------------------------------------------
REAL ESTATE -- 1.3%
Diversified REIT -- 0.1%
350,000 BBB/Baa2 Digital Realty Trust LP, 4.5%, 7/15/15 $ 372,681
----------------------------------------------------------------------------------------------------------
Office REIT -- 0.2%
385,000 BBB/Baa2 Mack-Cali Realty LP, 5.125%, 2/15/14 $ 398,783
----------------------------------------------------------------------------------------------------------
Specialized REIT -- 1.0%
1,000,000 BBB+/Baa1 HCP, Inc., 2.7%, 2/1/14 $ 1,016,620
The accompanying notes are an integral part of these financial statements.
42 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Specialized REIT -- (continued)
500,000 BBB-/Baa2 Health Care Real Estate Investment Trust,
Inc., 2.25%, 3/15/18 $ 504,436
780,000 BBB-/Baa2 Hospitality Properties Trust,
7.875%, 8/15/14 826,539
290,000 BBB-/Baa3 Senior Housing Properties Trust,
4.3%, 1/15/16 301,713
--------------
$ 2,649,308
--------------
Total Real Estate $ 3,420,772
----------------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 0.2%
Computer Hardware -- 0.2%
470,000 BBB+/Baa1 Hewlett-Packard Co., 2.625%, 12/9/14 $ 480,903
--------------
Total Technology Hardware & Equipment $ 480,903
----------------------------------------------------------------------------------------------------------
SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT -- 0.5%
Semiconductors -- 0.5%
700,000 A+/A1 Intel Corp., 1.35%, 12/15/17 $ 701,548
750,000 BBB+/Baa1 Maxim Integrated Products, Inc.,
3.45%, 6/14/13 755,962
--------------
$ 1,457,510
--------------
Total Semiconductors & Semiconductor
Equipment $ 1,457,510
----------------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 1.3%
Integrated Telecommunication Services -- 1.0%
500,000 NR/A2 GTP Acquisition Partners I LLC, 4.347%,
6/15/16 (144A) $ 540,793
550,000 NR/A2 GTP Towers Issuer LLC, 4.436%,
2/15/15 (144A) 572,483
200,000 NR/Ba2 GTP Towers Issuer LLC, 8.112%,
2/15/15 (144A) 213,984
750,000 BBB/Baa3 Telecom Italia Capital SA, 4.95%, 9/30/14 776,250
500,000 BBB/Baa2 Telefonica Emisiones SAU,
3.992%, 2/16/16 516,054
--------------
$ 2,619,564
----------------------------------------------------------------------------------------------------------
Wireless Telecommunication Services -- 0.3%
500,000 NR/A2 Crown Castle Towers LLC, 3.214%,
8/15/15 (144A) $ 522,546
275,000 0.68 A-/A3 Vodafone Group Plc, Floating Rate
Note, 2/19/16 275,206
--------------
$ 797,752
--------------
Total Telecommunication Services $ 3,417,316
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 43
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
UTILITIES -- 1.3%
Electric Utilities -- 0.9%
500,000 A/A2 Florida Power Corp., 0.65%, 11/15/15 $ 500,160
1,000,000 BBB/Baa1 Iberdrola Finance Ireland, Ltd., 3.8%,
9/11/14 (144A) 1,028,604
500,000 BBB+/Baa1 NextEra Energy Capital Holdings, Inc.,
2.55%, 11/15/13 506,657
380,000 BBB+/Baa2 Northeast Utilities Co., 5.65%, 6/1/13 384,734
--------------
$ 2,420,155
----------------------------------------------------------------------------------------------------------
Independent Power Producers
& Energy Traders -- 0.4%
500,000 6.65 BB/NR East Lane Re, Ltd., Floating Rate Note,
3/13/15 (Cat Bond) (144A) $ 511,500
500,000 BBB/Baa1 PSEG Power LLC, 2.75%, 9/15/16 520,554
--------------
$ 1,032,054
--------------
Total Utilities $ 3,452,209
----------------------------------------------------------------------------------------------------------
TOTAL CORPORATE BONDS
(Cost $76,240,543) $ 77,463,312
----------------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND
AGENCY OBLIGATIONS -- 18.3%
73,751 AAA/Aaa Fannie Mae, 5.0%, 7/1/15 $ 79,755
152,501 AAA/Aaa Fannie Mae, 5.5%, 12/1/35 167,128
253,530 AAA/Aaa Fannie Mae, 6.0%, 2/1/34-4/1/38 282,545
452,631 AAA/Aaa Fannie Mae, 6.5%, 8/1/13-7/1/32 517,400
414,289 AAA/Aaa Fannie Mae, 7.0%, 7/1/17-1/1/36 469,341
24,170 AAA/Aaa Fannie Mae, 8.0%, 4/1/14 24,454
64,360 2.86 AAA/Aaa Fannie Mae, Floating Rate Note, 1/1/25 64,994
92,449 2.40 AAA/Aaa Fannie Mae, Floating Rate Note, 10/1/29 96,902
223,904 2.57 AAA/Aaa Fannie Mae, Floating Rate Note, 10/1/29 239,333
329,790 2.56 AAA/Aaa Fannie Mae, Floating Rate Note, 10/1/36 343,623
100,503 2.83 AAA/Aaa Fannie Mae, Floating Rate Note, 11/1/24 100,752
4,504 2.24 AAA/Aaa Fannie Mae, Floating Rate Note, 11/1/25 4,790
121,951 1.58 AAA/Aaa Fannie Mae, Floating Rate Note, 11/1/40 126,163
83,696 2.44 AAA/Aaa Fannie Mae, Floating Rate Note, 12/1/28 89,642
358,621 4.48 AAA/Aaa Fannie Mae, Floating Rate Note, 12/1/36 379,146
20,547 2.70 AAA/Aaa Fannie Mae, Floating Rate Note, 2/1/27 20,645
2,055 3.07 AAA/Aaa Fannie Mae, Floating Rate Note, 2/1/33 2,184
3,618 2.59 AAA/Aaa Fannie Mae, Floating Rate Note, 4/1/28 3,855
3,120 2.36 AAA/Aaa Fannie Mae, Floating Rate Note, 4/1/29 3,309
82,035 2.94 AAA/Aaa Fannie Mae, Floating Rate Note, 7/1/36 87,891
446,832 AAA/Aaa Federal Home Loan Mortgage Corp.,
4.0%, 5/1/24 475,073
The accompanying notes are an integral part of these financial statements.
44 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND
AGENCY OBLIGATIONS -- (continued)
1,007,829 AAA/Aaa Federal Home Loan Mortgage Corp.,
4.5%, 7/1/19 $ 1,086,828
144,479 AAA/Aaa Federal Home Loan Mortgage Corp.,
5.0%, 2/1/21 154,977
116,235 AAA/Aaa Federal Home Loan Mortgage Corp.,
5.5%, 8/1/23 125,316
28,073 AAA/Aaa Federal Home Loan Mortgage Corp.,
6.5%, 7/1/16-6/1/17 30,223
3,694 2.50 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 1/1/28 3,955
464,658 2.94 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 10/1/31 467,836
7,961 2.42 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 11/1/31 8,483
287,733 2.78 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 12/1/31 290,353
29,800 2.86 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 4/1/25 29,925
2,088 2.65 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 4/1/29 2,102
7,958 2.16 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 5/1/25 7,987
6,889 2.35 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 7/1/18 7,124
1,587 2.38 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 8/1/31 1,591
159,177 2.96 AAA/Aaa Federal Home Loan Mortgage Corp.,
Floating Rate Note, 8/1/31 163,055
468,612 AAA/Aaa Government National Mortgage
Association I, 5.0%, 8/15/19 518,329
874,075 AAA/Aaa Government National Mortgage
Association I, 6.0%, 3/15/17-11/15/36 971,198
151,608 AAA/Aaa Government National Mortgage
Association I, 6.5%, 5/15/31-10/15/37 174,783
1,707 AAA/Aaa Government National Mortgage
Association I, 7.0%, 11/15/13 1,740
105,142 AAA/Aaa Government National Mortgage
Association I, 7.5%, 6/15/14-10/15/36 126,847
1,875,799 AAA/Aaa Government National Mortgage
Association II, 6.0%, 5/20/13-11/20/22 2,040,439
8,500,000 AA+/Aaa U.S. Treasury Notes, 0.125%, 12/31/13 8,496,676
16,150,000 AA+/Aaa U.S. Treasury Notes, 0.125%, 9/30/13 16,148,102
11,000,000 AA+/Aaa U.S. Treasury Notes, 0.25%, 10/31/13 11,006,875
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 45
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND
AGENCY OBLIGATIONS -- (continued)
3,500,000 AA+/Aaa U.S. Treasury Notes, 0.5%, 11/15/13 $ 3,508,477
--------------
$ 48,952,146
----------------------------------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT AND
AGENCY OBLIGATIONS
(Cost $48,581,115) $ 48,952,146
----------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS -- 3.4%
Municipal Airport -- 0.3%
300,000 BBB/A2 Massachusetts Port Authority,
5.0%, 7/1/14 $ 309,222
475,000 BBB/A2 Massachusetts Port Authority,
5.0%, 7/1/16 506,141
--------------
$ 815,363
----------------------------------------------------------------------------------------------------------
Municipal Development -- 0.1%
250,000 3.00 AA-/Aa2 Massachusetts Development Finance
Agency, Floating Rate Note, 2/15/36 $ 267,578
----------------------------------------------------------------------------------------------------------
Municipal General -- 1.9%
500,000 AA/A2 Jobs Ohio Beverage System,
0.872%, 1/1/15 $ 500,745
1,500,000 1.31 A+/A1 New Jersey Economic Development
Authority, Floating Rate Note, 6/15/13 1,501,905
2,000,000 NR/NR State of California, 2.5%, 6/20/13 2,014,020
500,000 AA/Aa2 State of Ohio, 3.0%, 6/15/15 523,350
500,000 BBB/A3 Texas Municipal Gas Acquisition &
Supply Corp., III, 5.0%, 12/15/15 542,800
--------------
$ 5,082,820
----------------------------------------------------------------------------------------------------------
Higher Municipal Education -- 0.5%
690,000 2.70 NR/A2 Massachusetts Health & Educational
Facilities Authority, Floating Rate
Note, 10/1/37 $ 704,442
200,000 AA-/Aa2 New York State Dormitory Authority,
3.0%, 7/1/13 201,910
500,000 AA/Aa1 University of California, 0.966%, 5/15/17 502,725
--------------
$ 1,409,077
----------------------------------------------------------------------------------------------------------
Municipal Pollution -- 0.4%
1,000,000 A-/Baa1 County of Power Idaho, 5.625%, 10/1/14 $ 1,001,070
----------------------------------------------------------------------------------------------------------
Municipal Transportation -- 0.2%
500,000 NR/NR North Texas Tollway Authority,
2.441%, 9/1/13 $ 505,210
----------------------------------------------------------------------------------------------------------
TOTAL MUNICIPAL BONDS
(Cost $9,054,527) $ 9,081,118
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
46 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
SENIOR FLOATING RATE LOAN INTERESTS -- 2.1%**
MATERIALS -- 0.1%
Metal & Glass Containers -- 0.1%
195,000 4.50 B/B1 BWAY Holding Co., Initial Term
Loan, 8/31/17 $ 197,194
----------------------------------------------------------------------------------------------------------
Diversified Metals & Mining -- 0.0%+
99,750 5.25 BB+/Ba1 Fortescue Metals Group, Ltd., Term
Loan, 9/18/17 $ 101,184
--------------
Total Materials $ 298,378
----------------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 0.2%
Aerospace & Defense -- 0.1%
248,125 3.75 BBB-/Ba1 Spirit Aerosystems, Inc., Term B
Loan, 3/27/19 $ 249,934
----------------------------------------------------------------------------------------------------------
Construction & Farm
Machinery & Heavy Trucks -- 0.0%+
148,129 4.50 NR/Ba2 Terex Corp., New US Term Loan, 4/28/17 $ 150,054
----------------------------------------------------------------------------------------------------------
Trading Companies & Distributors -- 0.1%
245,000 4.50 B+/Ba3 WESCO International, Inc., Tranche B-1
Loan, 12/4/19 $ 247,833
--------------
Total Capital Goods $ 647,821
----------------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.1%
Environmental & Facilities Services -- 0.1%
170,895 2.31 CCC-/Caa2 Synagro Technologies, Inc., Term Loan
(First Lien), 4/2/14 $ 160,385
--------------
Total Commercial Services & Supplies $ 160,385
----------------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.4%
Auto Parts & Equipment -- 0.0%+
120,806 4.75 BBB/Baa2 Delphi Automotive LLP, Tranche B Term
Loan, 3/31/17 $ 121,530
----------------------------------------------------------------------------------------------------------
Automobile Manufacturers -- 0.4%
916,050 6.00 BB/Ba1 Chrysler Group LLC, Tranche B Term
Loan, 4/28/17 $ 936,468
--------------
Total Automobiles & Components $ 1,057,998
----------------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 0.1%
Apparel, Accessories & Luxury Goods -- 0.1%
115,000 3.25 BBB-/Ba1 PVH Corp., Tranche B Term
Loan, 12/19/19 $ 116,121
--------------
Total Consumer Durables & Apparel $ 116,121
----------------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.3%
Casinos & Gaming -- 0.3%
350,000 4.25 BB/Ba2 MGM Resorts International, Term B
Loan, 12/13/19 $ 355,375
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 47
Schedule of Investments | 2/28/13 (unaudited) (continued)
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
Casinos & Gaming -- (continued)
498,741 3.75 BBB-/Ba1 Penn National Gaming, Inc., Term B
Facility Loan, 6/29/18 $ 501,996
--------------
$ 857,371
--------------
Total Consumer Services $ 857,371
----------------------------------------------------------------------------------------------------------
MEDIA -- 0.2%
Movies & Entertainment -- 0.2%
253,871 5.75 NR/Ba1 Cinedigm Digital Funding I LLC, Term
Loan, 3/31/16 $ 255,458
194,503 4.50 BB-/Ba2 Live Nation Entertainment, Inc., Term B
Loan, 10/20/16 196,203
--------------
$ 451,661
--------------
Total Media $ 451,661
----------------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.1%
Health Care Facilities -- 0.1%
367,918 3.79 BB/Ba3 Community Health Systems, Inc.,
Extended Term Loan, 7/25/14 $ 371,166
--------------
Total Health Care Equipment & Services $ 371,166
----------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.1%
Investment Banking & Brokerage -- 0.1%
148,875 4.00 NR/Ba2 LPL Holdings, Inc., Initial Tranche B Term
Loan, 3/6/19 $ 150,364
--------------
Total Diversified Financials $ 150,364
----------------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 0.2%
Internet Software & Services -- 0.1%
245,625 4.00 BB+/Ba3 Autotrader.com, Inc., Tranche B-1 Term
Loan, 12/15/16 $ 248,143
----------------------------------------------------------------------------------------------------------
IT Consulting & Other Services -- 0.1%
271,555 3.95 BB/Ba3 SunGard Data Systems, Inc., Tranche C
Term Loan, 2/28/17 $ 273,647
--------------
Total Software & Services $ 521,790
----------------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 0.2%
Communications Equipment -- 0.2%
510,000 4.00 BBB-/Ba3 Riverbed Technology, Inc., Loan, 10/29/19 $ 516,056
--------------
Total Technology Hardware
& Equipment $ 516,056
----------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
48 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
----------------------------------------------------------------------------------------------------------
Principal Floating S&P/Moody's
Amount ($) Rate (b) Ratings Value
----------------------------------------------------------------------------------------------------------
UTILITIES -- 0.1%
Independent Power Producers & Energy Traders -- 0.1%
334,173 0.00 NR/NR AES Corp. Virginia, 2013 Other
Term, 5/27/18 $ 336,680
--------------
Total Utilities $ 336,680
----------------------------------------------------------------------------------------------------------
TOTAL SENIOR FLOATING RATE
LOAN INTERESTS
(Cost $5,369,526) $ 5,485,791
----------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN SECURITIES -- 100.0%
(Cost $266,855,084) (a) $ 267,026,048
----------------------------------------------------------------------------------------------------------
OTHER ASSETS & LIABILITIES -- 0.0% $ 72,631
----------------------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100.0% $ 267,098,679
==========================================================================================================
NR Not rated by either S&P or Moody's.
WR Rating withdrawn by either S&P or Moody's.
(Perpetual) Security with no stated maturity date.
(Step) Bond issued with an initial coupon rate which converts to a higher
rate at a later date.
REIT Real Estate Investment Trust.
+ Amount rounds to less than 0.1%.
(144A) Security is exempt from registration under Rule 144A of the
Securities Act of 1933. Such securities may be resold normally to
qualified institutional buyers in a transaction exempt from
registration. At February 28, 2013, the value of these securities
amounted to $65,068,530 or 24.4% of total net assets.
** Senior floating rate loan interests in which the Fund invests
generally pay interest at rates that are periodically redetermined
by reference to a base lending rate plus a premium. These base
lending rates are generally (i) the lending rate offered by one or
more major European banks, such as LIBOR (London InterBank Offered
Rate), (ii) the prime rate offered by one or more major United
States banks, (iii) the certificate of deposit or (iv) other base
lending rates used by commercial lenders. The rate shown is the
coupon rate at period end.
(a) At February 28, 2013, the net unrealized loss on investments based
on cost for federal income tax purposes of $267,273,990 was as
follows:
Aggregate gross unrealized gain for all investments in which
there is an excess of value over tax cost $ 3,561,288
Aggregate gross unrealized loss for all investments in which
there is an excess of tax cost over value (3,809,230)
--------------
Net unrealized loss $ (247,942)
==============
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 49
Schedule of Investments | 2/28/13 (unaudited) (continued)
(b) Debt obligation with a variable interest rate. Rate shown is rate at end
of period.
NOTE: Principal amounts are denominated in U.S. Dollars unless otherwise noted:
CAD Canadian Dollar.
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended February 28, 2013 were as follows:
--------------------------------------------------------------------------------
Purchases Sales
--------------------------------------------------------------------------------
Long-Term U.S. Government $38,172,196 $18,942,584
Other Long-Term Securities $74,662,334 $33,311,597
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels listed below.
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.) See Notes to Financial Statements -- Note 1A.
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments) See Notes to
Financial Statements -- Note 1A.
Generally, equity securities are categorized as Level 1, fixed income securities
and senior loans as Level 2 and securities valued using fair value methods
(other than prices supplied by independent pricing services) are categorized as
Level 3. See Notes to Financial Statements -- Note 1A. The following is a
summary of the inputs used as of February 28, 2013, in valuing the Fund's
assets:
------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
------------------------------------------------------------------------------------------
Asset Backed Securities $ -- $ 43,854,768 $ -- $ 43,854,768
Collateralized Mortgage
Obligations -- 82,188,913 -- 82,188,913
Corporate Bonds -- 77,463,312 -- 77,463,312
U.S. Government And Agency
Obligations -- 48,952,146 -- 48,952,146
Municipal Bonds -- 9,081,118 -- 9,081,118
Senior Floating Rate
Loan Interests -- 5,485,791 -- 5,485,791
------------------------------------------------------------------------------------------
Total $ -- $ 267,026,048 $ -- $267,026,048
==========================================================================================
Other Financial Instruments
Unrealized loss on futures contracts $ (4,750) -- -- $ (4,750)
------------------------------------------------------------------------------------------
Total Other Financial Instruments $ (4,750) $ -- $ -- $ (4,750)
==========================================================================================
Following is a reconciliation of assets using significant unobservable inputs
(Level 3):
The accompanying notes are an integral part of these financial statements.
50 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Statement of Assets and Liabilities | 2/28/13 (unaudited)
ASSETS:
Investment in securities (cost $266,855,084) $267,026,048
Cash 754,834
Futures collateral 20,900
Foreign currencies, at value (cost $253,481) 245,032
Receivables --
Investment securities sold 348,176
Fund shares sold 719,397
Interest 1,106,058
Due from Pioneer Investment Management, Inc. 7,691
Prepaid expenses 34,031
------------------------------------------------------------------------------------
Total assets $270,262,167
------------------------------------------------------------------------------------
LIABILITIES:
Payables --
Investment securities purchased $ 2,299,625
Fund shares repurchased 465,705
Dividends 251,361
Variation margin 2,375
Due to affiliates 69,017
Accrued expenses 75,405
------------------------------------------------------------------------------------
Total liabilities $ 3,163,488
------------------------------------------------------------------------------------
NET ASSETS:
Paid-in capital $276,788,948
Distributions in excess of net investment income (328,591)
Accumulated net realized loss on investments and foreign currency
transactions (9,519,438)
Net unrealized gain on investments 170,964
Net unrealized loss on forward foreign currency contracts and other
assets and liabilities denominated in foreign currencies (8,454)
Net unrealized loss on futures contracts (4,750)
------------------------------------------------------------------------------------
Total net assets $267,098,679
====================================================================================
NET ASSET VALUE PER SHARE:
(No par value, unlimited number of shares authorized)
Class A (based on $78,374,542/8,056,631 shares) $ 9.73
Class B (based on $1,371,575/141,042 shares) $ 9.72
Class C (based on $30,228,395/3,114,428 shares) $ 9.71
Class Y (based on $157,124,167/16,181,805 shares) $ 9.71
MAXIMUM OFFERING PRICE:
Class A ($9.73 (divided by) 97.5%) $ 9.98
====================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 51
Statement of Operations (unaudited)
For the Six Months Ended 2/28/13
INVESTMENT INCOME:
Interest $ 4,059,020
------------------------------------------------------------------------------------------
Total investment income $ 4,059,020
------------------------------------------------------------------------------------------
EXPENSES:
Management fees $ 486,553
Transfer agent fees and expenses
Class A 14,719
Class B 2,593
Class C 6,210
Class Y 836
Distribution fees
Class A 82,986
Class B 7,821
Class C 135,558
Shareholder communications expense 94,541
Administrative reimbursements 49,676
Custodian fees 32,230
Registration fees 26,541
Professional fees 32,009
Printing expense 11,096
Fees and expenses of nonaffiliated trustees 1,855
Miscellaneous 52,724
------------------------------------------------------------------------------------------
Total expenses $ 1,037,948
------------------------------------------------------------------------------------------
Less fees waived and expenses reimbursed by Pioneer
Investment Management, Inc. (48,304)
------------------------------------------------------------------------------------------
Net expenses $ 989,644
------------------------------------------------------------------------------------------
Net investment income $ 3,069,376
------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS,
FOREIGN CURRENCY TRANSACTIONS, AND FUTURES CONTRACTS:
Net realized gain (loss) on:
Investments $ (1,199,110)
Futures contracts (15,187)
Class actions 7,082
Forward foreign currency contracts and other assets and
liabilities denominated in foreign currencies 185 $ (1,207,030)
------------------------------------------------------------------------------------------
Change in net unrealized loss on:
Investments $ 1,002,556
Futures contracts 19,625
Forward foreign currency contracts and other assets and
liabilities denominated in foreign currencies (7,204) $ 1,014,977
------------------------------------------------------------------------------------------
Net loss on investments and foreign currency transactions $ (192,053)
------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 2,877,323
==========================================================================================
The accompanying notes are an integral part of these financial statements.
52 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Statements of Changes in Net Assets
-----------------------------------------------------------------------------------------------------
Six Months
Ended
2/28/13 Year Ended
(unaudited) 8/31/12
-----------------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 3,069,376 $ 6,056,993
Net realized gain (loss) on investments, futures contracts and foreign
currency transactions (1,207,030) 35,525
Change in net unrealized gain (loss) on investments, futures
contracts and foreign currency transactions 1,014,977 1,748,029
-----------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 2,877,323 $ 7,840,547
-----------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.13 and $0.30 per share, respectively) $ (872,892) $ (1,713,026)
Class B ($0.08 and $0.21 per share, respectively) (13,651) (54,200)
Class C ($0.09 and $0.22 per share, respectively) (254,189) (549,094)
Class Y ($0.14 and $0.33 per share, respectively) (2,200,292) (4,204,921)
-----------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (3,341,024) $ (6,521,241)
=====================================================================================================
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale or exchange of shares $ 89,436,884 $ 89,439,000
Reinvestment of distributions 1,503,386 2,553,715
Cost of shares repurchased (37,759,011) (138,523,080)
-----------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting from
Fund share transactions $ 53,181,259 $ (46,530,365)
-----------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets $ 52,717,558 $ (45,211,059)
NET ASSETS:
Beginning of period 214,381,121 259,592,180
-----------------------------------------------------------------------------------------------------
End of period $267,098,679 $ 214,381,121
-----------------------------------------------------------------------------------------------------
Distributions in excess of net investment income $ (328,591) $ (56,943)
=====================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 53
Statements of Changes in Net Assets (continued)
-----------------------------------------------------------------------------------------
'13 Shares '13 Amount
(unaudited) (unaudited) '12 Shares '12 Amount
-----------------------------------------------------------------------------------------
Class A
Shares sold 3,716,684 $ 36,191,625 3,998,534 $ 38,870,067
Reinvestment of distributions 75,659 736,409 156,155 1,504,946
Less shares repurchased (1,417,692) (13,523,012) (10,306,515) (99,329,477)
-----------------------------------------------------------------------------------------
Net increase (decrease) 2,374,651 $ 23,405,022 (6,151,826) $ (58,954,464)
=========================================================================================
Class B
Shares sold or exchanged 36,551 $ 355,899 106,867 $ 1,028,704
Reinvestment of distributions 1,358 13,216 5,256 50,606
Less shares repurchased (71,353) (681,342) (214,898) (2,067,368)
-----------------------------------------------------------------------------------------
Net decrease (33,444) $ (312,227) (102,775) $ (988,058)
=========================================================================================
Class C
Shares sold 922,054 $ 8,958,130 1,089,706 $ 10,473,902
Reinvestment of distributions 22,069 214,359 48,157 463,195
Less shares repurchased (390,562) (3,658,982) (1,016,608) (9,776,637)
-----------------------------------------------------------------------------------------
Net increase 553,561 $ 5,513,507 121,255 $ 1,160,460
=========================================================================================
Class Y
Shares sold 4,501,101 $ 43,931,230 4,058,961 $ 39,066,327
Reinvestment of distributions 55,506 539,402 55,564 534,968
Less shares repurchased (2,046,878) (19,895,675) (2,843,245) (27,349,598)
-----------------------------------------------------------------------------------------
Net increase 2,509,729 $ 24,574,957 1,271,280 $ 12,251,697
=========================================================================================
The accompanying notes are an integral part of these financial statements.
54 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Financial Highlights
------------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
2/28/13 Ended Ended Ended Ended Ended
(unaudited) 8/31/12 8/31/11 8/31/10 8/31/09 8/31/08
------------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 9.72 $ 9.64 $ 9.75 $ 9.40 $ 9.52 $ 9.76
------------------------------------------------------------------------------------------------------------------------------------
Increase from investment operations:
Net investment income $ 0.12 $ 0.28 $ 0.23 $ 0.31 $ 0.37 $ 0.45
Net realized and unrealized gain (loss) on investments
and foreign currency transactions 0.02 0.10 (0.07) 0.36 (0.03) (0.24)
------------------------------------------------------------------------------------------------------------------------------------
Net increase from investment operations $ 0.14 $ 0.38 $ 0.16 $ 0.67 $ 0.34 $ 0.21
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income (0.13) (0.30) (0.27) (0.32) (0.46) (0.45)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.01 $ 0.08 $ (0.11) $ 0.35 $ (0.12) $ (0.24)
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.73 $ 9.72 $ 9.64 $ 9.75 $ 9.40 $ 9.52
====================================================================================================================================
Total return* 1.42% 4.00% 1.69% 7.19% 3.90% 2.18%
Ratio of net expenses to average net assets+ 0.90%** 0.90% 0.90% 0.90% 0.90% 0.91%
Ratio of net investment income to average net assets+ 2.42%** 2.94% 2.48% 2.78% 3.59% 4.60%
Portfolio turnover rate 43%** 43% 54% 42% 43% 34%
Net assets, end of period (in thousands) $78,375 $55,212 $114,080 $130,524 $19,544 $12,499
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses 1.04%** 1.30% 0.99% 1.06% 1.15% 1.00%
Net investment income 2.28%** 2.54% 2.39% 2.61% 3.35% 4.51%
Ratios with waiver of fees and assumption of expenses by the
Adviser and reduction for fees paid indirectly:
Net expenses 0.90%** 0.90% 0.90% 0.90% 0.90% 0.90%
Net investment income 2.42%** 2.94% 2.48% 2.78% 3.59% 4.61%
====================================================================================================================================
* 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.
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 55
Financial Highlights (continued)
-------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
2/28/13 Ended Ended Ended Ended Ended
(unaudited) 8/31/12 8/31/11 8/31/10 8/31/09 8/31/08
-------------------------------------------------------------------------------------------------------------------------
Class B
Net asset value, beginning of period $ 9.71 $ 9.63 $ 9.75 $ 9.39 $ 9.50 $ 9.75
-------------------------------------------------------------------------------------------------------------------------
Increase from investment operations:
Net investment income $ 0.08 $ 0.20 $ 0.14 $ 0.22 $ 0.28 $ 0.36
Net realized and unrealized gain (loss) on investments
and foreign currency transactions 0.01 0.09 (0.07) 0.37 (0.01) (0.25)
-------------------------------------------------------------------------------------------------------------------------
Net increase from investment operations $ 0.09 $ 0.29 $ 0.07 $ 0.59 $ 0.27 $ 0.11
-------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income (0.08) (0.21) (0.19) (0.23) (0.38) (0.36)
-------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.01 $ 0.08 $ (0.12) $ 0.36 $ (0.11) $ (0.25)
-------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.72 $ 9.71 $ 9.63 $ 9.75 $ 9.39 $ 9.50
=========================================================================================================================
Total return* 0.96% 3.08% 0.68% 6.35% 3.06% 1.16%
Ratio of net expenses to average net assets+ 1.80%** 1.80% 1.80% 1.80% 1.80% 1.80%
Ratio of net investment income to average net assets+ 1.60%** 2.10% 1.64% 2.37% 3.15% 3.72%
Portfolio turnover rate 43%** 43% 54% 42% 43% 34%
Net assets, end of period (in thousands) $1,372 $1,695 $ 2,671 $4,822 $ 6,582 $ 6,798
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses 1.94%** 1.99% 1.87% 1.88% 1.95% 1.85%
Net investment income 1.46%** 1.90% 1.57% 2.29% 3.00% 3.67%
Ratios with waiver of fees and assumption of expenses by the
Adviser and reduction for fees paid indirectly:
Net expenses 1.80%** 1.80% 1.80% 1.80% 1.80% 1.80%
Net investment income 1.60%** 2.10% 1.64% 2.37% 3.15% 3.72%
=========================================================================================================================
* 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.
The accompanying notes are an integral part of these financial statements.
56 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
---------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
2/28/13 Ended Ended Ended Ended Ended
(unaudited) 8/31/12 8/31/11 8/31/10 8/31/09 8/31/08
---------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 9.70 $ 9.62 $ 9.73 $ 9.38 $ 9.49 $ 9.74
---------------------------------------------------------------------------------------------------------------------------
Increase from investment operations:
Net investment income $ 0.09 $ 0.20 $ 0.16 $ 0.23 $ 0.29 $ 0.37
Net realized and unrealized gain (loss) on investments
and foreign currency transactions 0.01 0.10 (0.07) 0.36 (0.01) (0.25)
---------------------------------------------------------------------------------------------------------------------------
Net increase from investment operations $ 0.10 $ 0.30 $ 0.09 $ 0.59 $ 0.28 $ 0.12
---------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income (0.09) (0.22) (0.20) (0.24) (0.39) (0.37)
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.01 $ 0.08 $ (0.11) $ 0.35 $ (0.11) $ (0.25)
---------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.71 $ 9.70 $ 9.62 $ 9.73 $ 9.38 $ 9.49
===========================================================================================================================
Total return* 1.04% 3.18% 0.93% 6.32% 3.14% 1.25%
Ratio of net expenses to average net assets+ 1.67%** 1.71% 1.67% 1.70% 1.79% 1.73%
Ratio of net investment income to average net assets+ 1.67%** 2.08% 1.61% 2.27% 2.74% 3.77%
Portfolio turnover rate 43%** 43% 54% 42% 43% 34%
Net assets, end of period (in thousands) $30,228 $24,830 $23,464 $20,507 $ 8,549 $ 3,441
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses 1.67%** 1.71% 1.67% 1.70% 1.79% 1.73%
Net investment income 1.67%** 2.08% 1.61% 2.27% 2.74% 3.77%
Ratios with waiver of fees and assumption of expenses by the
Adviser and reduction for fees paid indirectly:
Net expenses 1.67%** 1.71% 1.67% 1.70% 1.79% 1.73%
Net investment income 1.67%** 2.08% 1.61% 2.27% 2.74% 3.77%
===========================================================================================================================
* 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.
The accompanying notes are an integral part of these financial statements.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 57
Financial Highlights (continued)
-------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
2/28/13 Ended Ended Ended Ended Ended
(unaudited) 8/31/12 8/31/11 8/31/10 8/31/09 8/31/08
-------------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 9.70 $ 9.63 $ 9.74 $ 9.38 $ 9.51 $ 9.76
-------------------------------------------------------------------------------------------------------------------------------
Increase from investment operations:
Net investment income $ 0.14 $ 0.31 $ 0.27 $ 0.34 $ 0.40 $ 0.48
Net realized and unrealized gain (loss) on investments
and foreign currency transactions 0.01 0.09 (0.07) 0.37 (0.04) (0.24)
-------------------------------------------------------------------------------------------------------------------------------
Net increase from investment operations $ 0.15 $ 0.40 $ 0.20 $ 0.71 $ 0.36 $ 0.24
-------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income (0.14) (0.33) (0.31) (0.35) (0.49) (0.49)
-------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.01 $ 0.07 $ (0.11) $ 0.36 $ (0.13) $ (0.25)
-------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.71 $ 9.70 $ 9.63 $ 9.74 $ 9.38 $ 9.51
===============================================================================================================================
Total return* 1.59% 4.24% 2.06% 7.64% 4.11% 2.45%
Ratio of net expenses to average net assets+ 0.61% 0.61% 0.54% 0.57% 0.63% 0.55%
Ratio of net investment income to average net assets+ 2.74% 3.18% 2.78% 3.52% 4.36% 4.98%
Portfolio turnover rate 43% 43% 54% 42% 43% 34%
Net assets, end of period (in thousands) $157,124 $132,644 $119,377 $115,153 $97,370 $130,475
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses 0.61% 0.61% 0.54% 0.57% 0.63% 0.55%
Net investment income 2.74% 3.18% 2.78% 3.52% 4.36% 4.98%
Ratios with waiver of fees and assumption of expenses by the
Adviser and reduction for fees paid indirectly:
Net expenses 0.61% 0.61% 0.54% 0.57% 0.63% 0.55%
Net investment income 2.74% 3.18% 2.78% 3.52% 4.36% 4.98%
===============================================================================================================================
* 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.
58 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Notes to Financial Statements | 2/28/13 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer Short Term Income 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 seek a
high level of current income to the extent consistent with a relatively high
level of stability of principal.
The Fund offers four classes of shares designated as Class A, Class B, Class C,
and Class Y shares. 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
shares. Class B shares convert to Class A shares approximately eight years after
the date of purchase.
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 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:
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 59
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. Senior
floating rate loan interests (senior loans) are valued in accordance with
guidelines established by the Board of Trustees at the mean between the last
available bid and asked prices from one or more brokers or dealers as
obtained from Loan Pricing Corporation. Senior loans for which no reliable
price quotes are available will be valued using inputs/data furnished by
Loan Pricing Corporation through the use of pricing matrices to determine
valuations. Fixed income securities with remaining maturity of more than
sixty days are valued at prices supplied by independent pricing services,
which consider such factors as market prices, market events, quotations from
one or more brokers, Treasury spreads, yields, maturities and ratings.
Valuations may be supplemented by dealers and other sources, as required.
Short-term fixed income securities with remaining maturities of sixty days
or less generally are valued at amortized cost.
Securities or senior loans for which independent pricing services are unable
to supply prices or for which market prices and/or quotations are not
readily available or are considered to be unreliable are valued by or at the
direction or with the approval of the Valuation Committee using fair value
methods pursuant to procedures adopted by the Board of Trustees. The
Valuation Committee is comprised of certain members of the Board of
Trustees. 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. Examples of a significant event might include political or
economic news, corporate restructurings, natural disasters, terrorist
activity or trading halts. Thus, the valuation of the Fund's securities may
differ significantly from exchange prices and such differences could be
material. Pioneer Investment Management, Inc. (PIM) is responsible for
monitoring developments that may impact fair valued securities and for
discussing and assessing fair values on an ongoing basis, and at least
quarterly, with the Valuation Committee.
At February 28, 2013, no securities were valued using fair value methods
(other than securities 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.
60 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Principal amounts of mortgage-backed securities are adjusted for monthly
paydowns. Premiums and discounts related to certain mortgage-backed
securities are amortized or accreted in proportion to the monthly paydowns.
All discounts/premiums on debt securities are accreted/amortized for
financial reporting purposes over the life of the respective securities, and
such accretion/amortization is included in interest income. Interest income,
including interest on income bearing cash accounts, is recorded on the
accrual basis, net of unrecoverable foreign taxes withheld at the applicable
country rates.
Gains and losses on sales of investments are calculated on the identified
cost method for both financial reporting and federal income tax purposes.
B. 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 price 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 (see Note 6).
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 provision for federal income taxes is required.
As
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 61
of February 28, 2013, the Fund did not have any interest and penalties
related to uncertain tax positions, which, if applicable, would be recorded
as an income tax expense in the Statement of Operations. Tax years for the
prior three fiscal years remain subject to examination by federal and state
tax authorities.
The amount and character of income and capital gain distributions to
shareowners are determined in accordance with federal income tax rules,
which may differ from U.S. generally accepted accounting principles.
Distributions in excess of net investment income or net realized gains are
temporary overdistributions for financial statement purposes resulting from
differences in the recognition or classification of income or distributions
for financial statement and tax purposes. Capital accounts within the
financial statements are adjusted for permanent book/tax differences to
reflect tax character, but are not adjusted for temporary differences.
The tax character of distributions paid during the years ended August 31,
2012 and August 31, 2011 were as follows:
----------------------------------------------------------------------------
2012
----------------------------------------------------------------------------
Distributions paid from:
Ordinary income $6,521,241
----------------------------------------------------------------------------
Total $6,521,241
============================================================================
The following shows the components of distributable earnings on a federal
income tax basis at August 31, 2012:
----------------------------------------------------------------------------
2012
----------------------------------------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 328,180
Capital loss carryforward (7,964,436)
Current year dividend payable (339,814)
Unrealized depreciation (1,250,498)
----------------------------------------------------------------------------
Total $ (9,226,568)
============================================================================
The difference between book-basis and tax-basis net unrealized gain is
attributable to the tax deferral of losses on wash sales, adjustments
relating to catastrophe bonds, the tax treatment of premium and amortization
and, the mark to market of futures and forward contracts.
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 $5,234 in underwriting commissions on the sale of Class A shares
during the six months ended February 28 2013.
62 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
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 February 28, 2013, the Fund
recognized gains of $7,082 in settlement of class action lawsuits from
several different companies, as reflected on the Statement of Operations.
Distribution fees are calculated based on the average daily net asset value
attributable to Class A, Class B, and Class C shares of the Fund,
respectively (see Note 4). Class Y 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).
The Fund declares as daily dividends substantially all of its net investment
income. All dividends are paid on a monthly basis. Short-term capital gain
distributions, if any, may be declared with the daily dividends.
Distributions to shareowners are recorded as of the ex-dividend date.
Distributions paid by the Fund with respect to each class of shares are
calculated in the same manner and at the same time except that net
investment income dividends to Class A, Class B, Class C and Class Y shares
can reflect different transfer agent and distribution expense rates.
G. Risks
When interest rates rise, the prices of fixed-income securities in the Fund
will generally fall. Conversely, when interest rates fall, the prices of
fixed-income securities in the Fund will generally rise. Investments in the
Fund are subject to possible loss due to the financial failure of underlying
issuers and their inability to meet their debt obligations. 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.
H. Futures Contracts
The Fund may enter into futures transactions to hedge against changes in
interest rates, securities prices and currency exchange rates or to seek to
increase total return. Futures contracts are types of derivatives. All
futures contracts entered into by the Fund are traded on a futures exchange.
The amount of cash deposited with the broker as collateral at February 28,
2013 was $20,900. Upon entering into a futures contract, the Fund is
required to deposit with a broker an amount of cash or securities equal to
the minimum "initial margin" requirements of the associated futures
exchange. Subsequent payments for futures contracts ("variation margin") are
paid or received by
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 63
the Fund, depending on the daily fluctuation in the value of the contracts,
and are recorded by the Fund as unrealized gains or losses. When the
contract is closed, the Fund realizes a gain or loss equal to the difference
between the opening and closing value of the contract as well as any
fluctuation in foreign currency exchange rates where applicable. The use of
futures contracts involves, to varying degrees, elements of market, interest
rate, currency exchange rate and counterparty risks, which may exceed the
amounts recognized by the Fund. Changes in value of the contracts may not
directly correlate to the changes in value of the underlying securities.
These risks may decrease the effectiveness of the Fund's hedging strategies
and potentially result in a loss. The average number of contracts open for
the six months ended February 28, 2013 was 39.
At February 28, 2013, open futures contracts were as follows.
--------------------------------------------------------------------------------
Number of
Contracts Settlement Unrealized
Type Long/(Short) Month Value Loss
--------------------------------------------------------------------------------
US 5 Yr Note (38) 6/13 $ (4,711,406) $ (4,750)
--------------------------------------------------------------------------------
Total (38) $ (4,711,406) $ (4,750)
--------------------------------------------------------------------------------
I. Repurchase Agreements
With respect to repurchase agreements entered into by the Fund, the value of
the underlying securities (collateral), including accrued interest, is
required to be equal to or in excess of the repurchase price. The collateral
for all repurchase agreements is held in safekeeping in the customer-only
account of the Fund's custodian or a subcustodian of the Fund. The Fund's
investment adviser, Pioneer Investment Management, Inc. (PIM), is
responsible for determining that the value of the collateral remains at
least equal to the repurchase price.
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 0.40% of
the Fund's average daily net assets.
PIM has contractually agreed to limit ordinary operating expenses to the extent
required to reduce Fund expenses to 0.90%, 1.80% and 1.80% of the average daily
net assets attributable to Class A, Class B and Class C shares, respectively.
Fees waived and expenses reimbursed during the six months ended February 28,
2013 are reflected on the Statement of Operations. These expense limitations are
in effect through January 1, 2014 for Class A, Class B, and Class C shares. The
expense limit in effect through June 1, 2012 for Class Y shares was 0.79%. There
can be no assurance that PIM will extend the expense limitation agreement for a
class of shares beyond the dates referred to above.
64 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
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
$9,320 in management fees, administrative costs and certain other reimbursements
payable to PIM at February 28, 2013.
Effective March 5, 2012, PIM has retained Brown Brothers Harriman & Co. to
provide certain sub-administration and accounting services to the Fund.
3. Transfer Agent
PIMSS, a wholly owned indirect subsidiary of UniCredit, provides substantially
all transfer agent and shareowner services to the Fund at negotiated rates.
In addition, the Fund reimburses PIMSS for out-of-pocket expenses incurred by
PIMSS related to shareholder communications activities such as proxy and
statement mailings, outgoing phone calls and omnibus relationship contracts. For
the six months ended February 28, 2013, such out-of-pocket expenses by class of
shares were as follows:
--------------------------------------------------------------------------------
Shareholder Communications:
--------------------------------------------------------------------------------
Class A $58,812
Class B 334
Class C 6,624
Class Y 28,771
--------------------------------------------------------------------------------
Total $94,541
================================================================================
Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $56,901 in transfer agent fees and out-of-pocket reimbursements
payable to PIMSS at February 28, 2013.
4. Distribution Plan
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 and Class C
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. Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $2,796 in distribution fees payable to PFD at February 28, 2013.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 65
In addition, redemptions of each class of shares (except Class Y 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 12 months of purchase. Class B shares that are redeemed within three
years of purchase are subject to a CDSC at declining rates beginning at 2.00%,
based on the lower of cost or market value of shares being redeemed. Redemptions
of Class C shares within one year of purchase are subject to a CDSC of 1.00%,
based on the lower of cost or market value of shares being redeemed. Shares
purchased as part of an exchange remain subject to any CDSC that applied to the
original purchase of those shares. There is no CDSC for Class Y shares. Proceeds
from the CDSCs are paid to PFD. For the six months ended February 28, 2013,
CDSCs in the amount of $17,954 were paid to PFD.
5. Expense Offset Arrangements
The Fund has entered into certain expense offset arrangements with PIMSS, which
may result in a reduction in the Fund's total expenses due to interest earned on
cash held by PIMSS. For the six months ended February 28, 2013, the Fund's
expenses were not reduced under such arrangements.
6. Forward Foreign Currency Contracts
At February 28, 2013, the Fund had entered into various forward foreign currency
contracts that obligate the Fund to deliver or take delivery of currencies at
specified future maturity dates. Alternatively, prior to the settlement date of
a forward foreign currency contract, the Fund may close out such contract by
entering into an offsetting contract. The average value of contracts open during
the six months ended February 28, 2013 was $63,091. There were no open portfolio
or settlement hedges at February 28, 2013.
7. Additional Disclosures about Derivative Instruments and Hedging Activities:
Values of derivative instruments as of February 28, 2013 were as follows:
------------------------------------------------------------------------------------------
Derivatives Not
Accounted for as Asset Derivatives 2012 Liabilities Derivatives 2012
Hedging Instruments ---------------------------- --------------------------------
Under Accounting Statement of Assets Statement of Assets
Standards Codification and Liabilities and Liabilities
(ASC) 815 Location Value Location Value
------------------------------------------------------------------------------------------
Futures Contracts* Net unrealized $ -- Net unrealized $(4,750)*
appreciation on depreciation on
futures contracts futures contracts
------------------------------------------------------------------------------------------
Total $ -- $(4,750)
------------------------------------------------------------------------------------------
* Includes cumulative gain (loss) on futures as reported in the Notes to
Financial Statements. Only unsettled receivable/payable for variation margin
is included within the Statement of Assets and Liabilities.
66 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
The effect of derivative instruments on the Statement of Operations for the six
months ended February 28, 2013 was as follows:
-----------------------------------------------------------------------------------------
Derivatives Not Realized Change in
Accounted for as Gain or Unrealized
Hedging Instruments Loss on Gain or (Loss)
Under Accounting Location of Gain or (Loss) Derivatives on Derivatives
Standards Codification on Derivatives Recognized Recognized Recognized
(ASC) 815 in Income in Income in Income
-----------------------------------------------------------------------------------------
Forward foreign Net realized gain (loss) on
currency portfolio forward foreign currency
hedge contracts contracts and other assets
and liabilities denominated
in foreign currencies $ (9,542)
Forward foreign Change in unrealized gain
currency portfolio (loss) on forward foreign
hedge contracts currency contracts and other
assets and liabilities
denominated in
foreign currencies $ 6,621
Interest rate futures Net realized gain (loss) on
futures contracts $(15,187)
Interest rate futures Change in net unrealized gain
(loss) on futures contracts $19,625
8. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
Funds), participates in a 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. The
credit facility in effect as of February 15, 2012 is in the amount of $215
million. Under such facility, depending on the type of loan, interest on
borrowings is payable at the London Interbank Offered Rate (LIBOR) plus 0.90% on
an annualized basis, or the alternate base rate, which is the greater of (a) the
facility's administrative agent's daily announced prime rate on the borrowing
date, (b) 2% plus the federal funds rate on the borrowing date and (c) 2% plus
the overnight eurodollar rate on the borrowing date. The Funds pay an annual
commitment fee to participate in the credit 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 February 28, 2013, the Fund had
no borrowings under the credit facility.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 67
Approval of Investment Advisory Agreement
Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to
Pioneer Short Term Income Fund (the Fund) pursuant to an investment advisory
agreement between PIM and the Fund. In order for PIM to remain the investment
adviser of the Fund, the Trustees of the Fund must determine annually whether to
renew the investment advisory agreement for the Fund.
The contract review process began in March 2012 as the Trustees of the Fund
agreed on, among other things, an overall approach and timeline for the process.
In July 2012, the Trustees approved the format of the contract review materials
and submitted their formal request to PIM to furnish information necessary to
evaluate the terms of the investment advisory agreement. The contract review
materials were provided to the Trustees in July 2012 and September 2012. After
reviewing and discussing the materials, the Trustees submitted a request for
additional information to PIM, and materials were provided in response to this
request. Meetings of the Independent Trustees of the Fund were held in July,
September, October, and November, 2012 to review and discuss the contract review
materials. In addition, the Trustees took into account the information related
to the Fund provided to the Trustees at each regularly scheduled meeting.
At a meeting held on November 13, 2012, based on their evaluation of the
information provided by PIM and third parties, the Trustees of the Fund,
including the Independent Trustees voting separately, unanimously approved the
renewal of the investment advisory agreement for another year. In considering
the renewal of the investment advisory agreement, the Trustees considered
various factors that they determined were relevant, including the factors
described below. The Trustees did not identify any single factor as the
controlling factor in determining to approve the renewal of the agreement.
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services that had
been provided by PIM to the Fund, taking into account the investment objective
and strategy of the Fund. The Trustees reviewed the terms of the investment
advisory agreement. The Trustees also reviewed PIM's investment approach for the
Fund, its research process and its process for trade execution. The Trustees
considered the resources of PIM and the personnel of PIM who provide investment
management services to the Fund. The Trustees considered the non-investment
resources and personnel of PIM involved in PIM's services to the Fund, including
PIM's compliance and legal resources and personnel. The Trustees also considered
the substantial attention and high priority given by PIM's senior management to
the Pioneer fund complex. In addition, the Trustees considered PIM's plans to
increase resources in its investment management function and other enhancements
to PIM's advisory capabilities.
68 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
The Trustees considered that PIM supervises and monitors the performance of the
Fund's service providers and provides the Fund with personnel (including Fund
officers) and other resources that are necessary for the Fund's business
management and operations. The Trustees also considered that, as administrator,
PIM is responsible for the administration of the Fund's business and other
affairs. The Trustees considered the fees paid to PIM for the provision of
administration services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services that had been provided by PIM to the Fund were
satisfactory and consistent with the terms of the investment advisory agreement.
Performance of the Fund
The Trustees considered the performance results of the Fund over various time
periods. They reviewed information comparing the Fund's performance with the
performance of its peer group of funds as classified by Morningstar, Inc.
(Morningstar), an independent provider of investment company data, and with the
performance of the Fund's benchmark index. The Trustees considered that the
Fund's annualized total return was in the second quintile of its Morningstar
category for the one and three year periods ended June 30, 2012 and in the third
quintile of its Morningstar category for the five year period ended June 30,
2012. (In all quintile rankings referred to throughout this disclosure, first
quintile is most favorable to the Fund's shareowners. Thus, highest relative
performance would be first quintile and lowest relative expenses would also be
first quintile.) The Trustees also considered that the Fund's twelve month
average gross portfolio yield (using month end 30 day effective yields) exceeded
the twelve month average yield of the Fund's benchmark index. The Trustees
concluded that the investment performance of the Fund was satisfactory.
Management Fee and Expenses
The Trustees considered information showing the fees and expenses of the Fund in
comparison to the management fees and expense ratios of its peer group of funds
as classified by Morningstar and also to the expense ratios of a peer group of
funds selected on the basis of criteria determined by the Independent Trustees
for this purpose using data provided by Strategic Insight Mutual Trust Research
and Consulting, LLC (Strategic Insight), an independent third party.
The Trustees considered that the Fund's management fee for the twelve months
ended June 30, 2012 was in the second quintile relative to the management fees
paid by other funds in its Morningstar peer group for the comparable period. The
Trustees also considered that the Fund's expense ratio for the twelve months
ended June 30, 2012 was in the fifth quintile relative to its Strategic Insight
peer group for the comparable period. The Trustees considered that the Fund's
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 69
expense ratio was only 5.3 basis points higher than the median expense ratio of
the Fund's Strategic Insight peer group. The Trustees considered the impact of
the Fund's non-management fee expenses on the Fund's expense ratio, noting in
particular the Fund's shareholder fees and communications expenses.
The Trustees reviewed management fees charged by PIM and PIM's affiliate,
Pioneer Institutional Asset Management, Inc. (together with PIM, "Pioneer") to
institutional and other clients, including publicly offered European funds
sponsored by affiliates of Pioneer, unaffiliated U.S. registered investment
companies (in a sub-advisory capacity), and unaffiliated foreign and domestic
separate accounts. The Trustees also considered PIM's costs in providing
services to the Fund and Pioneer's costs in providing services to the other
clients and considered the differences in management fees and profit margins for
Fund and non-Fund services. In evaluating the fees associated with Pioneer's
client accounts, the Trustees took into account the respective demands,
resources and complexity associated with the Fund and client accounts. The
Trustees noted that in some instances the fee rates for those clients were lower
than the management fee for the Fund and considered that, under the investment
advisory agreement with the Fund, PIM performs additional services for the Fund
that it does not provide to those other clients or services that are broader in
scope, including oversight of the Fund's other service providers and activities
related to compliance and the extensive regulatory and tax regimes to which the
Fund is subject. The Trustees also considered the different entrepreneurial
risks associated with PIM's management of the Fund and Pioneer's management of
the other client accounts. The Trustees concluded that the management fee
payable by the Fund to PIM was reasonable in relation to the nature and quality
of the services provided by PIM.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Fund,
including the methodology used by PIM in allocating certain of its costs to the
management of the Fund. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Fund. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Fund in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors, including its
organizational structure and method for allocating expenses. The Trustees
concluded that PIM's profitability with respect to the management of the Fund
was not unreasonable.
70 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
Economies of Scale
The Trustees considered PIM's views relating to economies of scale in connection
with the Pioneer Funds as fund assets grow and the extent to which any such
economies of scale are shared with funds and fund shareholders. The Trustees
recognize that economies of scale are difficult to identify and quantify, rarely
identifiable on a Fund-by-Fund basis, and that, among other factors that may be
relevant, are the following: fee levels, expense subsidization, investment by
PIM in research and analytical capabilities and PIM's commitment and resource
allocation to the Funds. The Trustees noted that profitability also may be an
indicator of the availability of any economies of scale, although profitability
may vary for other reasons particularly, for example during the recent difficult
periods for financial markets, as the level of services was maintained
notwithstanding a significant decline in PIM's fee revenues from the Funds.
Accordingly, the Trustees concluded that economies of scale, if any, were being
appropriately shared with the Fund.
Other Benefits
The Trustees considered the other benefits to PIM from its relationship with the
Fund. The Trustees considered the character and amount of fees paid by the Fund,
other than under the investment advisory agreement, for services provided by PIM
and its affiliates. The Trustees further considered the revenues and
profitability of PIM's businesses other than the fund business. The Trustees
considered the intangible benefits to PIM by virtue of its relationship with the
Fund and the other Pioneer funds. The Trustees concluded that the receipt of
these benefits was reasonable in the context of the overall relationship between
PIM and the Fund.
Conclusion
After consideration of the factors described above as well as other factors, the
Trustees, including all of the Independent Trustees, concluded that the
investment advisory agreement between PIM and the Fund, including the fees
payable thereunder, was fair and reasonable and voted to approve the proposed
renewal of the investment advisory agreement for the Fund.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 71
Trustees, Officers and Service Providers
Trustees Officers
Thomas J. Perna, Chairman John F. Cogan, Jr., President*
David R. Bock Daniel K. Kingsbury, Executive
John F. Cogan, Jr. Vice President
Benjamin M. Friedman Mark E. Bradley, Treasurer**
Margaret B.W. Graham Christopher J. Kelley, Secretary
Daniel K. Kingsbury
Marguerite A. Piret
Stephen K. West
Investment Adviser and Administrator
Pioneer Investment Management, Inc.
Custodian and Sub-Administrator
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 www.sec.gov.
* Chief Executive Officer of the Fund.
** Chief Financial and Accounting Officer of the Fund.
72 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
This page for your notes.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 73
This page for your notes.
74 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
This page for your notes.
Pioneer Short Term Income Fund | Semiannual Report | 2/28/13 75
This page for your notes.
76 Pioneer Short Term Income Fund | Semiannual Report | 2/28/13
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.
[LOGO] PIONEER
Investments(R)
Pioneer Investment Management, Inc.
60 State Street
Boston, MA 02109
us.pioneerinvestments.com
Securities offered through Pioneer Funds Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
(C) 2013 Pioneer Investments 19127-07-0413
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 (see attachment);
(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.
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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.
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(2) Disclose the percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee pursuant
to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
N/A
(f) If greater than 50 percent, disclose the percentage of hours expended on the
principal accountant's engagement to audit the registrant's financial statements
for the most recent fiscal year that were attributed to work performed by
persons other than the principal accountant's full-time, permanent employees.
N/A
(g) Disclose the aggregate non-audit fees billed by the registrant's accountant
for services rendered to the registrant, and rendered to the registrant's
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant for each of
the last two fiscal years of the registrant.
N/A
(h) Disclose whether the registrant's audit committee of the board of trustees
has considered whether the provision of non-audit services that were rendered to
the registrant's investment adviser (not including any subadviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the investment adviser that provides ongoing services to the
registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of
Rule 2-01 of Regulation S-X is compatible with maintaining the principal
accountant's independence.
The Fund's audit committee of the Board of Trustees has
considered whether the provision of non-audit services that
were rendered to the Affiliates (as defined) that were not pre-
approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of
Regulation S-X is compatible with maintaining the principal
accountant's independence.
Item 5. Audit Committee of Listed Registrants
(a) If the registrant is a listed issuer as defined in Rule 10A-3
under the Exchange Act (17 CFR 240.10A-3), state whether
or not the registrant has a separately-designated standing
audit committee established in accordance with Section
3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)).
If the registrant has such a committee, however designated,
identify each committee member. If the entire board of directors
is acting as the registrants audit committee as specified in
Section 3(a)(58)(B) of the Exchange Act (15 U.S.C. 78c(a)(58)(B)),
so state.
N/A
(b) If applicable, provide the disclosure required by Rule 10A-3(d)
under the Exchange Act (17 CFR 240.10A-3(d)) regarding an exemption
from the listing standards for audit committees.
N/A
Item 6. Schedule of Investments.
File Schedule I Investments in securities of unaffiliated issuers
as of the close of the reporting period as set forth in 210.12-
12 of Regulation S-X [17 CFR 210.12-12], unless the schedule is
included as part of the report to shareholders filed under Item
1 of this Form.
Included in Item 1
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR
CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
A closed-end management investment company that is filing an annual report on
this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities.
Not applicable to open-end management investment companies.
Item 8. Portfolio Managers of Closed-End Management Investment
Companies.
(a) If the registrant is a closed-end management investment company that
is filing an annual report on this Form N-CSR,provide the following
information:
(1) State the name, title, and length of service of the person or persons
employed by or associated with the registrant or an investment adviser
of the registrant who are primarily responsible for the day-to-day management
of the registrants portfolio (Portfolio Manager). Also state each Portfolio
Managers business experience during the past 5 years.
Not applicable to open-end management investment companies.
Item 9. Purchases of Equity Securities by Closed-End Management
Investment Company and Affiliated Purchasers.
(a) If the registrant is a closed-end management investment company,
in the following tabular format, provide the information specified in
paragraph (b) of this Item with respect to any purchase made by or on
behalf of the registrant or any affiliated purchaser, as defined in
Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of
shares or other units of any class of the registrants equity securities
that is registered by the registrant pursuant to Section 12 of the
Exchange Act (15 U.S.C. 781). Instruction to paragraph (a). Disclose
all purchases covered by this Item, including purchases that do not
satisfy the conditions of the safe harbor of Rule 10b-18 under the
Exchange Act (17 CFR 240.10b-18), made in the period covered by the
report. Provide disclosures covering repurchases made on a monthly basis.
For example, if the reporting period began on January 16 and ended on
July 15, the chart would show repurchases for the months from January 16
through February 15, February 16 through March 15, March 16 through
April 15, April 16 through May 15, May 16 through June 15, and June 16
through July 15.
Not applicable to open-end management investment companies.
Item 10. Submission of Matters to a Vote of Security Holders.
Describe any material changes to the procedures by which shareholders
may recommend nominees to the registrants board of directors, where
those changes were implemented after the registrant last provided
disclosure in response to the requirements of Item 7(d)(2)(ii)(G)
of Schedule 14A (17 CFR 240.14a-101), or this Item.
There have been no material changes to the procedures by which the
shareholders may recommend nominees to the registrants board of
directors since the registrant last provided disclosure in response
to the requirements of Item 7(d)(2)(ii)(G) of Schedule 14(A) in
its definitive proxy statement, or this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Disclose the conclusions of the registrant's principal executive officer or
officers and principal financial officer or officers, or persons performing
similar functions, about the effectiveness of the registrant's disclosure
controls and procedures (as defined in Rule 30a-2(c) under the Act (17 CFR
270.30a-2(c))) based on their evaluation of these controls and procedures as of
a date within 90 days of the filing date of the report that includes the
disclosure required by this paragraph.
The registrant's principal executive officer
and principal financial officer have
concluded that the registrant's disclosure
controls and procedures are effective based
on their evaluation of these controls and
procedures as of a date within 90 days of the
filing date of this report.
(b) Disclose whether or not there were significant changes in the registrant's
internal controls or in other factors that could significantly affect these
controls subsequent to the date of their evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.
There were no significant changes in the
registrant's internal control over financial
reporting that occurred during the second
fiscal quarter of the period covered by this
report that have materially affected, or are
reasonably likely to materially affect, the
registrant's internal control over financial
reporting.
The registrant's principal executive officer and principal financial
officer, however, voluntarily are reporting the following information:
In August of 2006 the registrant's investment adviser
enhanced its internal procedures for reporting performance
information required to be included in prospectuses.
Those enhancements involved additional internal controls
over the appropriateness of performance data
generated for this purpose. Such enhancements were made
following an internal review which identified
prospectuses relating to certain classes of shares of
a limited number of registrants where, inadvertently,
performance information not reflecting the deduction of
applicable sales charges was included. Those prospectuses
were revised, and the revised prospectuses were distributed to
shareholders.
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form. Letter or number the
exhibits in the sequence indicated.
(a) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit.
(b) A separate certification for each principal executive officer and principal
financial officer of the registrant as required by Rule 30a-2 under the Act
(17 CFR 270.30a-2).
Filed herewith.
SIGNATURES
[See General Instruction F]
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Pioneer Short Term Income Fund
By (Signature and Title)* /s/ John F. Cogan, Jr.
John F. Cogan, Jr, President
Date April 29, 2013
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 April 29, 2013
By (Signature and Title)* /s/ Mark Bradley
Mark Bradley, Treasurer & Chief Accounting & Financial Officer
Date April 29, 2013
* Print the name and title of each signing officer under his or her signature.