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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 811-07318
Pioneer International Value Fund
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Dorothy E. Bourassa, Pioneer Investment Management, Inc.,
60 State Street, Boston, MA 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: (617) 742-7825
Date of fiscal year end: November 30
Date of reporting period: December 1, 2006 through November 30, 2007
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.
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PIONEER
-------
INTERNATIONAL
VALUE FUND
PIIFX
Ticker Symbol
Annual
Report
11/30/07
[LOGO]PIONEER
Investments(R)
Table of Contents
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Letter to Shareowners 2
Portfolio Management Discussion 4
Portfolio Summary 8
Prices and Distributions 9
Performance Update 10
Comparing Ongoing Fund Expenses 13
Schedule of Investments 15
Financial Statements 25
Notes to Financial Statements 33
Report of Independent Registered Public Accounting Firm 43
Approval of Investment Advisory Agreement 44
Trustees, Officers and Service Providers 48
President's
Dear Shareowner,
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Staying diversified and keeping your portfolio invested in the markets are two
general investment principles that have served investors well over time. They
were particularly useful guides in recent months, when an otherwise healthy
long-term bull market was buffeted by problems in the mortgage and banking
industries.
Since mid-year 2007, issues tied to poor underwriting practices in the subprime
sector of the mortgage industry and to problems with risk management by banks
and hedge funds have resulted in increased market volatility and rising concern
about risks to U.S. economic growth.
U.S. economic growth had slowed over the past two years, but this has been due
as much to the natural maturation of the cyclical expansion, as U.S. factories
approached full utilization and the labor market approached full employment, as
to rising commodity prices or short-term interest rates. This slowdown was,
therefore, not entirely unwelcome, as it reduced the threat of higher inflation.
More recently, however, there has been increasing concern that falling home
prices, and/or disruptions in financial markets pose a larger threat to
continuing economic growth, and we have seen two cuts in short-term interest
rates from the Federal Reserve despite strong economic growth in the second and
third quarters of 2007. A weaker U.S. dollar has put upward pressure on some
prices, but it has also significantly benefited exporters and companies
competing in the global marketplace, stimulating U.S. economic growth.
Economic growth in the rest of the world remains relatively positive. In Europe,
solid GDP growth has driven unemployment lower and supported growing
consumption, although concerns about the impact of the strong Euro are a
persistent source of worry. Japanese economic growth continues, albeit at a
muted rate, and the country's deflationary problems are gradually receding.
Economic growth in emerging market countries remains faster than in the
developed world, led by China, which continues its rise as a world economic
power.
Looking forward, we believe the economic outlook remains generally positive,
although real estate prices, subprime mortgage defaults, and the possibility of
a liquidity/credit crunch represent growing sources of risk. Central banks have
responded to the stresses in the inter-bank and commercial paper markets by
acting as "lenders of last resort" and, in the case of the Federal Reserve, by
cutting rates.
The U.S. Federal Reserve and the world's other central banks are still pursuing
policies aimed at producing low and stable inflation, believed to be the best
backdrop for steady economic growth and low average unemployment over the long
term. Keeping inflation low is also an important support for
2
Letter
stock and bond valuations, and so central bank policies have also been "investor
friendly." We view the Fed's recent rate cuts as temporarily "buying insurance"
against a credit crunch, which would threaten economic growth, rather than as an
abandonment of its commitment to keeping inflation low.
Even against this wall-of-worry backdrop, and factoring in recent market
weakness, the long-term performance of major asset classes has remained
positive. Equity investors were generally rewarded as, despite several interim
corrections and poor performance in the month of November, the Standard & Poor's
500 Index returned 8%, the Dow Jones Industrial Average returned 12%, and the
NASDAQ Composite Index returned 9% in the 12 months ending November 30, 2007.
International developed and emerging markets equities performed even better,
reflecting both a weakening dollar (which boosts returns for U.S. dollar-based
investors) and strong local currency returns, with the MSCI EAFE Developed
Market Index returning 18% and the MSCI Emerging Markets Index returning 46%
over the same period. The U.S. bond market, as measured by the Lehman Aggregate
Bond Index, returned 6% during the period. The U.S. high-yield bond market, as
measured by the Merrill Lynch High Yield Bond Master II Index, returned -3% for
the same period, however, as higher-coupon yields could not compensate for
falling bond prices as credit spreads (differences between yields of higher- and
lower-quality bonds) widened.
Sudden swings in the markets are always to be expected. Just as staying
diversified and invested are important investment principles, it is also
important to pay attention to asset allocation. As always, we encourage you to
work closely with your financial advisor to find the mix of stocks, bonds and
money market assets that is best aligned to your particular risk tolerance and
investment objective.
Respectfully,
/s/Daniel K. Kingsbury
Daniel K. Kingsbury
President and CEO
Pioneer Investment Management USA, Inc.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of the opinion of Fund management as of the date of this report.
These statements should not be relied upon for any other purposes. Past
performance is no guarantee of future results, and there is no guarantee that
market forecasts discussed will be realized.
3
Pioneer International Value Fund
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PORTFOLIO MANAGEMENT DISCUSSION 11/30/07
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Pioneer International Value Fund withstood the market turmoil in August and
November to post strong gains for the fiscal year ended November 30, 2007 -
thanks in large part to the performance momentum achieved during the first half
of its fiscal year as well as the stellar performance of holdings in emerging
markets. In the following interview, Christopher Smart, Director of
International Investment at Pioneer and lead manager of the Fund, discusses
these and other factors that influenced performance for fiscal 2007.
Q: How did the Fund perform for the 12 months ended November 30, 2007?
A: Pioneer International Value Fund's Class A shares generated a total return
of 17.73% at net asset value for the reporting period, surpassing the
17.48% average return for the 208 International Large Cap Core funds in its
Lipper category. The portfolio's greater-than-benchmark exposure to the
emerging markets - a sector that appreciated dramatically during the fiscal
year - contributed to the outperformance. However, the Fund lagged the
Morgan Stanley Capital International (MSCI) All Country Free Index
(excluding the United States), which climbed 22.54% for the 12-month period
ended November 30, 2007. The Japanese market suffered due to delays in
reforms at the political and corporate level, and our decision to
overweight investments there further detracted from Fund performance.
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher
than the performance data quoted.
The performance data quoted represents past performance, which is no
guarantee of future results. Investment return and principal value will
fluctuate, and shares, when redeemed, may be worth more or less than their
original cost.
Q: Is the rally in emerging markets commodity driven?
A: Commodities certainly ranked among the best performing investments for the
fiscal year, with many energy and precious metals stocks climbing to record
highs as a result of supply/demand dynamics. Investors also bought
commodity stocks in response to inflation fears, since they can hedge
against rising consumer
4
Pioneer International Value Fund
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prices. (The falling dollar makes raw materials priced in U.S. currency
cheaper for buyers holding other currencies.) However, the rally - as well
as the Fund's investments - was more broadly based, since the fundamentals
across these developing markets were so positive on both a country and
company basis.
The strength of world commodity prices fueled the performance of three
holdings in particular during the 12 month period ended November 30, 2007.
CVRD, the Brazilian mining company that is one of the world's largest
producers of iron ore, delivered a 149% return for the fiscal year ended
November 30, 2007 based on the strong outlook for iron ore prices,
especially from rising demand by steel mills in China. Petrobras, Brazil's
largest oil producer, and CNOOC, a Chinese oil and gas exploration and
production company, both benefited from higher oil prices and new
discoveries of oil. Outside the commodities sector, the Fund's investments
in South Korea's Hyundai Heavy Industries gained during the period, because
of surging global trade and future orders for their ships.
Q: What contributed to the lackluster returns in Japan during the fiscal year
ended November 30, 2007?
A: While we remain optimistic about growth prospects in Japan longer term, the
Fund's Japanese investments weighed on the portfolio's overall returns for
the period, because of a slow economic recovery and the political
uncertainty caused by the resignation of a relatively new prime minister.
For example, the stock price of Mizuho Financial Group fell by 30% during
the period, in response to a slow Japanese economy and the company's
exposure to the U.S. subprime mortgage market. Fujitsu, a producer of
information technology equipment and semiconductors, declined in response
to weak semiconductor prices.
Despite the delay in political reforms and corporate restructuring, several
holdings helped the Fund's performance during the period. Strong
construction activity in China and the Middle East boosted demand for heavy
equipment manufacturer Komatsu, which had a considerable presence in both
regions. The company's stock price jumped 35%. Nintendo, a leader in the
electronic game industry with its successful Wii game console, has seen
profits climb sharply.
5
Pioneer International Value Fund
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PORTFOLIO MANAGEMENT DISCUSSION 11/30/07 (continued)
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Q: How did European stocks fare during the 12-month period ended November 30,
2007?
A: The performance of the Fund's investments across Europe was also mixed
during the period. European stocks rallied into the summer months until it
became clear that concerns about the health of U.S. subprime mortgage and
housing markets would have international repercussions, especially for the
world's major financial institutions. The fears triggered a sharp
correction in stocks that were hurt by the crisis, including Royal Bank of
Scotland - one of the Fund' largest holdings, which fell 18% for the
12-month period. The bank also declined in response to its successful bid
to acquire the Dutch banking firm ABN Amro, because many analysts believed
that its acquisition price exceeded the value of the target assets in the
wake of the U.S. mortgage crisis. In addition, Persimmon, a major home
builder in the United Kingdom, declined in value during the period based on
weakness in the housing market.
Despite its setbacks, the Fund held many European companies that performed
well during the period. The U.K. metals and mining company Rio Tinto
performed well on the back of rising commodity prices and an unfriendly
takeover bid from its rival BHP Billiton, which is also a holding. As of
the close of fiscal 2007, no announcement was pending, but Rio Tinto's
stock price remained strong.
We believe that the long-term fundamentals across Europe are healthy, and
German securities in particular posted a good fiscal year 2007. The
industrial conglomerate Siemens experienced strong demand across most of
its product divisions, which, in turn, gave it more pricing power in the
markets that it serves. Management efforts to become more efficient are
also contributing to profit margins. In the automotive sector, Porsche
experienced strong growth during the period due to its successful line of
new models that have sold very well in Europe and Asia.
Q: Is the perception true that the United States and other western economies
are slowing?
A: Yes, in our view. As we speak today, we think the housing market in the
United States and the United Kingdom as well as inflation concerns in
continental Europe will keep growth more moderate
6
Pioneer International Value Fund
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over the next year. Having said that, markets have priced in a lot of that
negative news, and valuations seem to be attractive. So we think it is a
good time to be invested in European stocks. Similarly, we believe Japan
also offers strong potential for improvement in corporate earnings, and our
outlook is sanguine there also.
During the August decline, there was indiscriminate selling as investors
began to digest weakness in the U.S. mortgage market. As more information
came to light, investors realized that emerging market companies depended
very little on the subprime market, and emerging market companies stocks
recovered. Our outlook remains solid for growth as most developing
countries that we invest in depend more heavily on domestic demand than on
consumers in the United States. A significant U.S. slowdown would probably
temper returns, but the long-term case for investing in emerging markets
remains intact.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, economic, and political conditions.
The portfolio may invest a substantial amount of its assets in issuers located
in a limited number of countries and therefore is susceptible to adverse
economic, political or regulatory developments affecting those countries. 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 or sectors.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of the opinion of Fund management as of the date of this report.
These statements should not be relied upon for any other purposes. Past
performance is no guarantee of future results, and there is no guarantee that
market forecasts discussed will be realized.
7
Pioneer International Value Fund
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PORTFOLIO SUMMARY 11/30/07
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Sector Distribution
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(As a percentage of equity holdings)
[THE FOLLOWING DATA IS A REPRESENTATION OF A PIE CHART IN THE PRINTED MATERIAL]
Financials 24.2%
Industrials 15.3%
Consumer Discretionary 11.1%
Materials 10.0%
Energy 9.8%
Consumer Staples 8.2%
Telecommunication Services 6.5%
Information Technology 5.9%
Health Care 5.0%
Utilities 4.0%
Geographical Distribution
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(As a percentage of equity holdings)
[THE FOLLOWING DATA IS A REPRESENTATION OF A BAR CHART IN THE PRINTED MATERIAL]
Japan 18.9%
United Kingdom 17.7%
France 11.2%
Germany 7.4%
Australia 5.8%
Switzerland 5.1%
Brazil 4.6%
South Korea 3.1%
Spain 2.8%
Russia 2.6%
Netherlands 2.5%
Mexico 2.3%
Singapore 2.2%
United States 1.9%
South Africa 1.8%
Belgium 1.3%
People's Republic of China 1.3%
Finland 1.2%
Taiwan 1.1%
Other (individually less than 1%) 5.2%
10 Largest Holdings
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(As a percentage of equity holdings)*
1. Banco Santander Central Hispano SA 2.44%
2. Royal Dutch Shell Plc 2.23
3. Siemens 2.07
4. Royal Bank of Scotland Group Plc 2.03
5. Broken Hill Proprietary Co., Ltd. 2.02
6. BNP Paribas SA 1.98
7. Eutelsat Communications SA 1.95
8. CS Group 1.76
9. Toyota Motor Co. 1.67
10. Petrobras Brasileiro (A.D.R.) 1.64
* This list excludes temporary cash and derivative instruments. The portfolio
is actively managed, and current holdings may be different. The holdings
listed should not be considered recommendations to buy or sell any security
listed.
8
Pioneer International Value Fund
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PRICES AND DISTRIBUTIONS
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Net Asset Value Per Share
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Class 11/30/07 11/30/06
- ----- -------- ---------
A $28.12 $23.98
B $25.50 $21.86
C $25.28 $21.64
Class 2/1/07 11/30/06
- ----- ------ ---------
R $24.92 $23.91
Distributions Per Share
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12/1/06 - 11/30/07
------------------
Net
Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
- ----- ------ ------------- -------------
A $0.0975 $ - $ -
B $ - $ - $ -
C $ - $ - $ -
12/1/06 - 2/1/07
------------------
Net
Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
- ----- ------ ------------- -------------
R $0.0807 $ - $ -
9
Pioneer International Value Fund
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PERFORMANCE UPDATE 11/30/07 CLASS A SHARES
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Investment Returns
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The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer International Value Fund at public offering price,
compared to that of the Morgan Stanley Capital International (MSCI) All Country
World Free Index (ACWF), excluding the U.S.
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Average Annual Total Returns
(As of November 30, 2007)
Net Asset Public Offering
Period Value (NAV) Price (POP)
10 Years 4.31% 3.69%
5 Years 19.01 17.62
1 Year 17.73 10.97
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Expense Ratio
(Per prospectus dated April 1, 2007)
Gross Net
1.79% 1.70%
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[THE FOLLOWING DATA IS A REPRESENTATION OF A MOUNTAIN CHART IN THE PRINTED
MATERIAL]
Value of $10,000 Investment
Pioneer International MSCI AC World
Value Fund Index ex USA
11/97 $ 9,425 $10,000
$ 8,545 $11,192
11/99 $10,661 $13,836
$ 9,012 $12,444
11/01 $ 6,748 $10,229
$ 6,017 $9,136
11/03 $ 6,961 $11,615
$ 8,503 $14,547
11/05 $ 9,680 $16,952
$12,204 $21,911
11/07 $14,368 $26,850
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
NAV results represent the percent change in net asset value per share. Returns
would have been lower had sales charges been reflected. POP returns reflect
deduction of maximum 5.75% sales charge. All results are historical and assume
the reinvestment of dividends and capital gains. Other share classes are
available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The net expense ratio reflects contractual expense limitations currently in
effect through 4/1/09 for Class A Shares. There can be no assurance that Pioneer
will extend the expense limitations beyond such time. Please see the prospectus
and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The MSCI All Country World Free Index, excluding the United States, measures the
performance of developed and emerging market stock markets. Index returns are
calculated monthly, assume reinvestment of dividends and, unlike Fund returns,
do not reflect any fees, expenses or sales charges. You cannot invest directly
in an index.
10
Pioneer International Value Fund
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PERFORMANCE UPDATE 11/30/07 CLASS B SHARES
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Investment Returns
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The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer International Value Fund, compared to that of the
Morgan Stanley Capital International (MSCI) All Country World Free Index (ACWF),
excluding the U.S.
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Average Annual Total Returns
(As of November 30, 2007)
If If
Period Held Redeemed
10 Years 3.27% 3.27%
5 Years 17.78 17.78
1 Year 16.65 12.65
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Expense Ratio
(Per prospectus dated April 1, 2007)
Gross Net
2.76% 2.60%
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[THE FOLLOWING DATA IS A REPRESENTATION OF A MOUNTAIN CHART IN THE PRINTED
MATERIAL]
Value of $10,000 Investment
Pioneer International MSCI AC World
Value Fund Index ex USA
11/97 $10,000 $10,000
$ 8,991 $11,192
11/99 $11,122 $13,836
$ 9,315 $12,444
11/01 $ 6,903 $10,229
$ 6,086 $ 9,136
11/03 $ 6,957 $11,615
$ 8,379 $14,547
11/05 $ 9,461 $16,952
$11,825 $21,911
11/07 $13,794 $26,850
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
"If Held" results represent the percent change in net asset value per share.
Returns would have been lower had sales charges been reflected. "If redeemed"
returns reflect the deduction of applicable contingent deferred sales charge
(CDSC). Effective December 1, 2004, the period during which a CDSC is applied to
withdrawals was shortened to 5 years. The maximum CDSC for class B shares
continues to be 4%. For more complete information, please see the prospectus for
details. Note: Shares purchased prior to December 1, 2004 remain subject to the
CDSC in effect at the time you purchased those shares. For performance
information for shares purchased prior to December 1, 2004, please visit
www.pioneerinvestments.com.
All results are historical and assume the reinvestment of dividends and capital
gains. Other share classes are available for which performance and expenses will
differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The net expense ratio reflects contractual expense limitations currently in
effect through 4/1/08 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 MSCI All Country World Free Index, excluding the United States, measures the
performance of developed and emerging market stock markets. Index returns are
calculated monthly, assume reinvestment of dividends and, unlike Fund returns,
do not reflect any fees, expenses or sales charges. You cannot invest directly
in an index.
11
Pioneer International Value Fund
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PERFORMANCE UPDATE 11/30/07 CLASS C SHARES
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Investment Returns
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The mountain chart on the right shows the change in value of a $10,000
investment made in Pioneer International Value Fund, compared to that of the
Morgan Stanley Capital International (MSCI) All Country World Free Index (ACWF),
excluding the U.S.
- --------------------------------------------------------------------------------
Average Annual Total Returns
(As of November 30, 2007)
If If
Period Held Redeemed
10 Years 3.31% 3.31%
5 Years 17.87 17.87
1 Year 16.82 16.82
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Expense Ratio
(Per prospectus dated April 1, 2007)
Gross Net
2.54% 2.54%
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[THE FOLLOWING DATA IS A REPRESENTATION OF A MOUNTAIN CHART IN THE PRINTED
MATERIAL]
Value of $10,000 Investment
Pioneer International MSCI AC Wworl
Value Fund Index ex USA
11/97 $10,000 $10,000
$ 9,018 $11,192
11/99 $11,188 $13,836
$ 9,354 $12,444
11/01 $ 6,906 $10,229
$ 6,084 $ 9,136
11/03 $ 6,961 $11,615
$ 8,390 $14,547
11/05 $ 9,474 $16,952
$11,851 $21,911
11/07 $13,844 $26,850
Call 1-800-225-6292 or visit www.pioneerinvestments.com for the most recent
month end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). The performance of Class C shares does not reflect
the 1% front-end sales charge in effect prior to February 1, 2004. If you paid a
1% sales charge, your returns would be lower than those shown above. "If Held"
results represent the percent change in net asset value per share. Returns would
have been lower had sales charges been reflected. All results are historical and
assume the reinvestment of dividends and capital gains. Other share classes are
available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The net expense ratio reflects contractual expense limitations currently in
effect through 4/1/08 for Class C 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 MSCI All Country World Free Index, excluding the United States, measures the
performance of developed and emerging market stock markets. Index returns are
calculated monthly, assume reinvestment of dividends and, unlike Fund returns,
do not reflect any fees, expenses or sales charges. You cannot invest directly
in an index.
12
Pioneer International Value Fund
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COMPARING ONGOING FUND EXPENSES
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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 and
redemption fees.
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 International Value Fund
Based on actual returns from June 1, 2007 through November 30, 2007
Share Class A B C
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Beginning Account Value $1,000.00 $1,000.00 $1,000.00
On 6/1/07
Ending Account Value $1,035.35 $1,030.66 $1,030.98
(after expenses)
On 11/30/07
Expenses Paid During Period* $ 8.47 $ 12.83 $ 12.42
* Expenses are equal to the Fund's annualized expense ratio of 1.66%, 2.52%
and 2.44%, for Class A, Class B and Class C shares, respectively,
multiplied by the average account value over the period, multiplied by
183/365 (to reflect the partial year period).
13
Pioneer International Value Fund
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COMPARING ONGOING FUND EXPENSES (continued)
- --------------------------------------------------------------------------------
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), or redemption fees 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 International Value Fund
Based on a hypothetical 5% return per year before expenses, reflecting the
period from June 1, 2007 through November 30, 2007
Share Class A B C
- --------------------------------------------------------------------------------
Beginning Account Value $1,000.00 $1,000.00 $1,000.00
On 6/1/07
Ending Account Value $1,016.75 $1,012.43 $1,012.84
(after expenses)
On 11/30/07
Expenses Paid During Period* $ 8.39 $ 12.71 $ 12.31
* Expenses are equal to the Fund's annualized expense ratio of 1.66%, 2.52%
and 2.44%, for Class A, Class B and Class C shares, respectively,
multiplied by the average account value over the period, multiplied by
183/365 (to reflect the partial year period).
14
Pioneer International Value Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/07
- --------------------------------------------------------------------------------
Shares Value
PREFERRED STOCKS - 1.1%
Automobiles & Components - 0.5%
Automobile Manufacturers - 0.5%
374 Porsche AG $ 823,617
------------
Total Automobiles & Components $ 823,617
------------
Utilities - 0.6%
Multi-Utilities - 0.6%
9,300 RWE AG $ 1,096,622
------------
Total Utilities $ 1,096,622
------------
TOTAL PREFERRED STOCKS
(Cost $1,220,104) $ 1,920,239
------------
COMMON STOCKS - 91.0%
Energy - 9.0%
Integrated Oil & Gas - 6.8%
19,800 Lukoil Holding (A.D.R.) (c) $ 1,694,880
31,366 Petrobras Brasileiro (A.D.R.) 2,545,978
14,656 Repsol SA 541,100
85,500 Royal Dutch Shell Plc 3,450,173
37,100 Statoil ASA* 1,205,635
24,100 Total SA 1,950,411
------------
$ 11,388,177
------------
Oil & Gas Equipment & Services - 0.8%
18,900 SBM Offshore N.V.* $ 657,838
8,300 Technip 677,816
------------
$ 1,335,654
------------
Oil & Gas Exploration & Production - 1.2%
1,084,300 CNOOC, Ltd. $ 1,999,278
------------
Oil & Gas Refining & Marketing - 0.2%
5,300 Petroplus Holdings AG* $ 432,909
------------
Total Energy $ 15,156,018
------------
Materials - 9.2%
Construction Materials - 2.1%
18,695 CRH Plc $ 706,137
21,500 Holcim, Ltd. 2,303,245
3,600 Lafarge Br 569,449
------------
$ 3,578,831
------------
The accompanying notes are an integral part of these financial statements. 15
Pioneer International Value Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
Shares Value
Diversified Metals & Mining - 6.1%
82,385 Broken Hill Proprietary Co., Ltd. $ 3,126,753
83,000 Companhia Vale do Rio Doce (A.D.R.) 2,401,190
47,400 Dowa Mining Co., Ltd.* 333,518
21,021 Freeport-McMoRan Copper & Gold, Inc. (Class B) 2,079,608
19,861 Rio Tinto Plc 2,298,175
------------
$ 10,239,244
------------
Industrial Gases - 0.5%
75,900 Taiyo Nippon Sanso Corp. $ 748,269
------------
Steel - 0.5%
206,300 Sumitomo Metal Industries, Ltd* $ 914,628
------------
Total Materials $ 15,480,972
------------
Capital Goods - 12.0%
Aerospace & Defense - 0.8%
86,600 Bae Systems, Inc.* $ 818,863
8,500 Thomson CSF* 509,200
------------
$ 1,328,063
------------
Building Products - 1.2%
97,000 Asahi Glass Co., Ltd.* $ 1,348,514
6,270 Compagnie de Saint Gobain 618,816
------------
$ 1,967,330
------------
Construction & Farm Machinery & Heavy Trucks - 2.7%
31,545 Daewoo Heavy Industries & Machinery, Ltd. $ 1,563,032
3,777 Hyundai Heavy Industries Co., Ltd.* 1,941,367
35,900 Komatsu, Ltd. 1,093,292
------------
$ 4,597,691
------------
Electrical Component & Equipment - 0.6%
65,200 Sumitomo Electric Industries, Ltd. $ 1,001,287
------------
Heavy Electrical Equipment - 0.4%
60,500 Mitsubishi Electric Corp. $ 689,936
------------
Industrial Conglomerates - 3.8%
202,800 Keppel Corp. $ 1,887,655
113,200 Hutchinson Whampoa, Ltd. 1,346,764
21,089 Siemens 3,201,112
------------
$ 6,435,531
------------
16 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Shares Value
Industrial Machinery - 0.9%
38,800 AB SKF $ 683,860
7,500 Fanuc, Ltd. 784,393
------------
$ 1,468,253
------------
Trading Companies & Distributors - 1.6%
60,000 Mitsubishi Corp. $ 1,733,970
65,300 Wolseley Plc 929,457
------------
$ 2,663,427
------------
Total Capital Goods $ 20,151,518
------------
Commercial Services & Supplies - 0.2%
Office Services & Supplies - 0.2%
31,900 Corporate Express NV* $ 283,996
------------
Total Commercial Services & Supplies $ 283,996
------------
Transportation - 2.0%
Air Freight & Couriers - 0.5%
2,600 Panalpina Welttransport Holding AG $ 471,032
8,326 TNT NV 340,946
------------
$ 811,978
------------
Airlines - 0.3%
64,900 Ryanair Holdings Plc* $ 470,905
------------
Railroads - 1.2%
238 East Japan Railway Co. $ 1,967,977
------------
Total Transportation $ 3,250,860
------------
Automobiles & Components - 3.7%
Auto Parts & Equipment - 1.0%
39,300 Denso Corp.* $ 1,598,554
------------
Automobile Manufacturers - 1.8%
105,000 Isuzu Motors, Ltd.* $ 486,303
45,900 Toyota Motor Co. 2,583,330
------------
$ 3,069,633
------------
Tires & Rubber - 0.9%
6,200 Compagnie Generale des Etablissements
Michelin* $ 736,013
6,400 Continental AG 833,555
------------
$ 1,569,568
------------
Total Automobiles & Components $ 6,237,755
------------
The accompanying notes are an integral part of these financial statements. 17
Pioneer International Value Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
Shares Value
Consumer Durables & Apparel - 1.5%
Consumer Electronics - 0.9%
14,700 Sony Corp. $ 793,151
7,200 TomTom NV*(c) 683,739
------------
$ 1,476,890
------------
Homebuilding - 0.6%
29,900 Persimmon Plc $ 490,774
128,300 Taylor Wimpey Plc 542,952
------------
$ 1,033,726
------------
Total Consumer Durables & Apparel $ 2,510,616
------------
Consumer Services - 0.3%
Hotels, Resorts & Cruise Lines - 0.3%
12,100 Carnival Corp. $ 545,952
------------
Total Consumer Services $ 545,952
------------
Media - 3.0%
Broadcasting & Cable Television - 2.1%
39,900 British Sky Broadcasting Plc $ 513,287
113,000 Eutelsat Communications SA 3,016,059
------------
$ 3,529,346
------------
Movies & Entertainment - 0.6%
22,300 Vivendi SA $ 1,025,598
------------
Publishing - 0.3%
35,100 Reed Elsevier Plc $ 441,379
------------
Total Media $ 4,996,323
------------
Retailing - 1.2%
Apparel Retail - 0.8%
340,200 Truworths International, Ltd. $ 1,432,657
------------
Department Stores - 0.4%
67,680 J. Front Retailing Co., Inc.* $ 615,454
------------
Total Retailing $ 2,048,111
------------
18 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Shares Value
Food & Drug Retailing - 1.6%
Food Retail - 1.2%
95,000 Tesco Plc $ 936,594
182,900 William Morrison Supermarkets Plc 1,161,455
------------
$ 2,098,049
------------
Hypermarkets & Supercenters - 0.4%
7,700 Carrefour Supermarch* $ 593,346
------------
Total Food & Drug Retailing $ 2,691,395
------------
Food, Beverage & Tobacco - 4.8%
Brewers - 2.5%
8,100 Heineken NV* $ 529,777
12,200 Inbev NV 1,070,636
34,900 Kirin Holdings Co., Ltd. 551,347
69,800 South African Breweries Plc 1,988,229
------------
$ 4,139,989
------------
Packaged Foods & Meats - 0.8%
40,200 Unilever NV $ 1,413,643
------------
Soft Drinks - 0.8%
41,700 Fomento Economico Mexicano SA de C.V. $ 1,351,080
------------
Tobacco - 0.7%
29,200 British American Tobacco Plc $ 1,133,794
------------
Total Food, Beverage & Tobacco $ 8,038,506
------------
Household & Personal Products - 1.2%
Household Products - 1.2%
27,800 Kao Corp. $ 839,675
12,900 Reckitt Benckiser Plc 766,422
7,100 Uni-Charm Corp.* 459,389
------------
$ 2,065,486
------------
Total Household & Personal Products $ 2,065,486
------------
Health Care Equipment & Services - 0.6%
Health Care Facilities - 0.3%
46,600 Southern Cross Healthcare, Ltd.* $ 553,132
------------
The accompanying notes are an integral part of these financial statements. 19
Pioneer International Value Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
Shares Value
Health Care Services - 0.3%
7,600 Fresenius Medical Care AG $ 424,190
------------
Total Health Care Equipment & Services $ 977,322
------------
Pharmaceuticals & Biotechnology - 4.0%
Pharmaceuticals - 4.0%
33,188 Astrazeneca Plc $ 1,575,556
30,900 Bristol-Myers Squibb Co. 915,567
10,334 Roche Holdings AG 1,963,910
13,182 Shire Pharmaceuticals Group Plc (A.D.R.) 935,263
14,600 Takeda Chemical Industries, Ltd. 943,001
8,000 UCB SA 380,595
------------
$ 6,713,892
------------
Total Pharmaceuticals & Biotechnology $ 6,713,892
------------
Banks - 14.8%
Diversified Banks - 14.8%
176,100 Banco Santander Central Hispano SA $ 3,777,075
27,445 BNP Paribas SA 3,075,003
44,300 Commonwealth Bank of Australia 2,336,726
109,392 Development Bank of Singapore, Ltd. 1,519,090
22,100 Dexia Group 603,493
18,873 Kookmin Bank (A.D.R.)* 1,368,293
380 Mitsubishi UFJ Financial Group, Inc. 3,722
394 Mizuho Financial Group, Inc. 2,117,542
333,341 Royal Bank of Scotland Group Plc 3,142,774
9,748 Societe Generale 1,493,561
92,300 Standard Bank Group, Ltd. 1,421,968
14,600 Uniao de Bancos Brasileiros SA (Unibanco)
(G.D.R.) 2,185,912
76,100 Westpac Banking Corp. 1,906,969
------------
$ 24,952,128
------------
Total Banks $ 24,952,128
------------
Diversified Financials - 3.0%
Asset Management & Custody Banks - 0.3%
45,413 Man Group Plc $ 520,204
------------
20 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Shares Value
Diversified Capital Markets - 2.3%
45,521 CS Group $ 2,729,119
8,900 Deutsche Bank AG 1,162,698
------------
$ 3,891,817
------------
Investment Banking & Brokerage - 0.4%
48,100 ICAP Plc* $ 682,925
------------
Total Diversified Financials $ 5,094,946
------------
Insurance - 3.6%
Multi-Line Insurance - 2.7%
9,600 Allianz AG $ 1,976,673
71,300 Aviva Plc 1,001,437
38,265 AXA 1,552,536
------------
$ 4,530,646
------------
Property & Casualty Insurance - 0.9%
55,600 QBE Insurance Group, Ltd.* $ 1,607,335
------------
Total Insurance $ 6,137,981
------------
Real Estate - 0.8%
Real Estate Management & Development - 0.8%
51,701 Mitsui Fudosan Co. $ 1,331,570
------------
Total Real Estate $ 1,331,570
------------
Software & Services - 1.3%
Home Entertainment Software - 1.0%
2,600 Nintendo Corp., Ltd. $ 1,590,340
------------
IT Consulting & Other Services - 0.3%
9,500 Cap Gemini SA* $ 554,063
------------
Total Software & Services $ 2,144,403
------------
Technology Hardware & Equipment - 2.9%
Communications Equipment - 1.1%
45,300 Nokia Oyj* $ 1,789,755
------------
Computer Hardware - 0.2%
49,700 Toshiba Corp. $ 406,568
------------
Electronic Equipment & Instruments - 1.1%
21,000 Fuji Photo Film Co., Ltd. $ 924,280
56,000 Hitachi, Ltd.* 391,328
35,000 Yaskawa Electric Corp.* 461,173
------------
$ 1,776,781
------------
The accompanying notes are an integral part of these financial statements. 21
Pioneer International Value Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
Shares Value
Office Electronics - 0.5%
17,500 Canon, Inc. $ 921,058
------------
Total Technology Hardware & Equipment $ 4,894,162
------------
Semiconductors - 1.2%
Semiconductor Equipment - 0.2%
6,500 Tokyo Electron, Ltd. $ 401,233
------------
Semiconductors - 1.0%
132,452 Hon Hai Precision Industry Co., Ltd. (G.D.R.)* $ 1,685,596
------------
Total Semiconductors $ 2,086,829
------------
Telecommunication Services - 6.0%
Integrated Telecommunication Services - 0.5%
10,300 Hellenic Telekom Organization SA* $ 371,716
53,200 Telekomunikacja Polska SA 476,674
------------
$ 848,390
------------
Wireless Telecommunication Services - 5.5%
34,700 America Movil (A.D.R.) $ 2,139,602
121 KDDI Corp. 858,253
25,406 Mobile Telesystems (A.D.R.)* 2,304,323
85,900 Reliance Communications, Ltd. 1,466,058
677,900 Vodafone Group Plc 2,538,046
------------
$ 9,306,282
------------
Total Telecommunication Services $ 10,154,672
------------
Utilities - 3.1%
Electric Utilities - 1.7%
9,949 E.On AG $ 2,027,444
64,400 Enel S.p.A. 770,248
------------
$ 2,797,692
------------
Gas Utilities - 0.3%
112,300 Osaka Gas Co., Ltd. $ 446,105
------------
Multi-Utilities - 1.1%
55,900 National Grid Plc $ 944,172
14,400 Suez Lyonnaise des Eaux 953,910
------------
$ 1,898,082
------------
Total Utilities $ 5,141,879
------------
TOTAL COMMON STOCKS
(Cost $118,440,335) $153,087,292
------------
22 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Shares Value
RIGHTS/WARRANTS - 0.0%
Energy - 0.0%
Integrated Oil & Gas - 0.0%
85,500 Royal Dutch Shell Rights, Exp. 12/12/07* $ -
------------
Total Energy $ -
------------
Food, Beverage & Tobacco - 0.0%
Packaged Foods & Meats - 0.0%
40,200 Unilever Rights, Exp. 12/5/07* $ -
------------
Total Food, Beverage & Tobacco $ -
------------
TOTAL RIGHTS/WARRANTS
(Cost $0) $ -
------------
Principal
Amount ($)
TEMPORARY CASH INVESTMENTS - 9.1%
Repurchase Agreement - 7.7%
12,900,000 UBS Warburg, Inc., 3.10%, dated 11/30/07,
repurchase price of $12,900,000 plus accrued
interest on 12/3/07 collateralized by
$12,637,000 U.S. Treasury Bill, 4.5%, 11/30/11 $ 12,900,000
------------
Shares
Time Deposits - 1.4%
194,051 Bank of Montreal, 4.59% $ 194,051
1,027,035 Dresdner Bank AG, 4.625% 1,027,035
449,432 Royal Bank of Canada, 4.6% 449,432
574,967 Royal Bank of Canada, 4.65% 574,967
150,210 Royal Bank of Canada, 4.75% 150,210
------------
$ 2,395,695
------------
TOTAL TEMPORARY CASH INVESTMENTS
(Cost $15,295,695) $ 15,295,695
------------
TOTAL INVESTMENT IN SECURITIES - 101.2%
(Cost $134,956,134) (a) (b) $170,303,226
------------
OTHER ASSETS AND LIABILITIES - (1.2)% $ (1,991,456)
------------
TOTAL NET ASSETS - 100.0% $168,311,770
============
The accompanying notes are an integral part of these financial statements. 23
Pioneer International Value Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
* Non-income producing security.
(A.D.R.) American Depositary Receipt.
(G.D.R.) Global Depositary Receipt.
(a) Distributions of investment by country of issue, as a percentage of
total investment in securities (excluding temporary cash investments),
is as follows:
Japan 18.9%
United Kingdom 17.7
France 11.2
Germany 7.4
Australia 5.8
Switzerland 5.1
Brazil 4.6
South Korea 3.1
Spain 2.8
Russia 2.6
Netherlands 2.5
Mexico 2.3
Singapore 2.2
United States 1.9
South Africa 1.8
Belgium 1.3
People's Republic of China 1.3
Finland 1.2
Taiwan 1.1
Other (individually less than 1%) 5.2
----
100.0%
=====
(b) At November 30, 2007, the net unrealized gain on investments based on
cost for federal income tax purposes of $135,553,898 was as follows:
Aggregate gross unrealized gain for all investments in which there is
an excess of value over tax cost $38,799,083
Aggregate gross unrealized loss for all investments in which there is
an excess of tax cost over value (4,049,755)
-----------
Net unrealized gain $34,749,328
===========
(c) At November 30, 2007, the following securities were out on loan:
Shares Description Value
19,602 Lukoil Holding (A.D.R.) $1,677,931
7,100 TomTom NV* 674,500
----------
Total $2,352,431
==========
Purchases and sales of securities (excluding temporary cash investments) for the
year ended November 30, 2007 aggregated $130,046,374 and $169,108,995,
respectively.
24 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES 11/30/07
- --------------------------------------------------------------------------------
ASSETS:
Investment in securities (including securities loaned of
$2,352,431) (cost $134,956,134) $170,303,226
Cash 65,820
Foreign currencies, at value (cost $1,688) 1,688
Receivables -
Fund shares sold 117,229
Dividends, interest and foreign taxes withheld 529,875
Other 19,270
------------
Total assets $171,037,108
------------
LIABILITIES:
Payables -
Fund shares repurchased $ 140,007
Upon return of securities loaned 2,395,695
Due to affiliates 64,885
Due to Pioneer Investment Management, Inc. 3,683
Accrued expenses 83,739
Reserve for repatriation taxes 37,329
------------
Total liabilities $ 2,725,338
------------
NET ASSETS:
Paid-in capital $152,578,767
Undistributed net investment income 955,642
Accumulated net realized loss on investments and foreign
currency transactions (20,552,346)
Net unrealized gain on investments 35,309,763
Net unrealized gain on other assets and liabilities
denominated in foreign currencies 19,944
------------
Total net assets $168,311,770
============
NET ASSET VALUE PER SHARE:
No par value (unlimited number of shares authorized)
Class A (based on $133,263,819/4,739,431 shares) $ 28.12
============
Class B (based on $18,561,994/727,794 shares) $ 25.50
============
Class C (based on $16,485,957/652,236 shares) $ 25.28
============
MAXIMUM OFFERING PRICE:
Class A ($28.12 [divided by] 94.25%) $ 29.84
============
The accompanying notes are an integral part of these financial statements. 25
Pioneer International Value Fund
- --------------------------------------------------------------------------------
STATEMENT OF OPERATIONS
- --------------------------------------------------------------------------------
For the Year Ended 11/30/07
INVESTMENT INCOME:
Dividends (net of foreign taxes withheld of $436,336) $3,706,134
Interest 124,015
Income from securities loaned, net 115,904
-----------
Total investment income $ 3,946,053
-----------
EXPENSES:
Management fees $1,372,111
Transfer agent fees and expenses
Class A 527,621
Class B 73,963
Class C 48,648
Class R 1,162
Distribution fees
Class A 315,220
Class B 151,642
Class C 123,497
Class R 474
Administrative fees 36,321
Custodian fees 108,173
Registration fees 61,205
Professional fees 67,761
Printing expense 27,951
Fees and expenses of nonaffiliated trustees 5,398
Miscellaneous 24,231
-----------
Total expenses $ 2,945,378
Less management fees waived and expenses
reimbursed by Pioneer Investment Management, Inc. (665)
Less fees paid indirectly (27,555)
-----------
Net expenses $ 2,917,158
-----------
Net investment income $ 1,028,895
-----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
AND FOREIGN CURRENCY TRANSACTIONS:
Net realized gain (loss) on:
Investments (net of foreign capital gain taxes of $19,374) $21,991,606
Other assets and liabilities denominated in
foreign currencies (53,576) $21,938,030
----------- -----------
Change in net unrealized gain on:
Investments (net increase in reserve for capital gains
taxes of $37,329) $3,175,192
Other assets and liabilities denominated in
foreign currencies 261 $ 3,175,453
----------- -----------
Net gain on investments and foreign currency transactions $25,113,483
-----------
Net increase in net assets resulting from operations $26,142,378
===========
26 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
For the Years Ended 11/30/07 and 11/30/06, respectively
Year Ended Year Ended
11/30/07 11/30/06
FROM OPERATIONS:
Net investment income $ 1,028,895 $ 648,669
Net realized gain on investments and foreign currency
transactions 21,938,030 29,168,734
Change in net unrealized gain on investments and
foreign currency transactions 3,175,453 7,533,538
------------- -------------
Net increase in net assets resulting from operations $ 26,142,378 $ 37,350,941
------------- -------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.10 and $0.06 per share, respectively) $ (539,539) $ (422,171)
Class R ($0.08 and $0.05 per share, respectively) (1,837) (800)
------------- -------------
Total distributions to shareowners $ (541,376) $ (422,971)
------------- -------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale of shares $ 36,563,825 $ 28,688,301
Reinvestment of distributions 459,801 343,522
Cost of shares repurchased (63,824,155) (48,210,085)
Redemption fees - 6,258
------------- -------------
Net decrease in net assets resulting from
Fund share transactions $ (26,800,529) $ (19,172,004)
------------- -------------
Net increase (decrease) in net assets $ (1,199,527) $ 17,755,966
NET ASSETS:
Beginning of year $ 169,511,297 $ 151,755,331
------------- -------------
End of year $ 168,311,770 $ 169,511,297
============= =============
Undistributed net investment income $ 955,642 $ 541,073
============= =============
The accompanying notes are an integral part of these financial statements. 27
Pioneer International Value Fund
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS (continued)
- --------------------------------------------------------------------------------
'07 Shares '07 Amount '06 Shares '06 Amount
CLASS A
Shares sold 837,069 $ 22,457,061 873,460 $ 19,136,281
Reinvestment of
distributions 18,649 457,987 16,934 342,739
Redemption fees - - -(a) 6,117
Less shares repurchased (2,063,585) (53,754,836) (1,672,704) (36,591,466)
---------- ------------ ---------- ------------
Net decrease (1,207,867) $(30,839,788) (782,310) $(17,106,329)
========== ============ ========== ============
CLASS B
Shares sold 302,189 $ 7,472,127 238,751 $ 4,800,775
Redemption fees - - -(a) 121
Less shares repurchased (273,514) (6,459,235) (351,778) (7,027,253)
---------- ------------ ---------- ------------
Net increase
(decrease) 28,675 $ 1,012,892 (113,027) $ (2,226,357)
========== ============ ========== ============
CLASS C
Shares sold 269,474 $ 6,611,476 223,709 $ 4,436,906
Redemption fees - - -(a) 20
Less shares repurchased (126,994) (3,011,604) (224,137) (4,423,235)
---------- ------------ ---------- ------------
Net increase
(decrease) 142,480 $ 3,599,872 (428) $ 13,691
========== ============ ========== ============
CLASS R
Shares sold 955 $ 23,161 14,801 $ 314,339
Reinvestment of
distributions 74 1,814 39 783
Less shares repurchased (24,166) (598,480) (7,410) (168,131)
---------- ------------ ---------- ------------
Net increase
(decrease) (23,137) $ (573,505) 7,430 $ 146,991
========== ============ ========== ============
(a) Amount rounds to less than one share.
28 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
Year Ended Year Ended Year Ended Year Ended Year Ended
CLASS A 11/30/07 11/30/06 11/30/05 11/30/04 11/30/03
Net asset value, beginning of period $ 23.98 $ 19.08 $ 16.76 $ 13.72 $ 11.86
-------- -------- -------- -------- --------
Increase from investment operations:
Net investment income $ 0.22 $ 0.12 $ 0.12 $ 0.04 $ 0.01
Net realized and unrealized gain on investments and
foreign currency transactions 4.02 4.84 2.20 3.00 1.85
-------- -------- -------- -------- --------
Net increase from investment operations $ 4.24 $ 4.96 $ 2.32 $ 3.04 $ 1.86
-------- -------- -------- -------- --------
Distributions to shareowners:
Net investment income $ (0.10) $ (0.06) $ - $ - $ -
-------- -------- -------- -------- --------
Redemption fee $ - $ -(a) $ -(a) $ - $ -
-------- -------- -------- -------- --------
Net increase in net asset value $ 4.14 $ 4.90 $ 2.32 $ 3.04 $ 1.86
-------- -------- -------- -------- --------
Net asset value, end of period $ 28.12 $ 23.98 $ 19.08 $ 16.76 $ 13.72
======== ======== ======== ======== ========
Total return* 17.73% 26.07% 13.84% 22.16% 15.68%
Ratio of net expenses to average net assets+ 1.68% 1.71% 1.70% 1.82% 2.36%
Ratio of net investment income to average net assets+ 0.76% 0.52% 0.61% 0.28% 0.08%
Portfolio turnover rate 81% 98% 111% 122% 101%
Net assets, end of period (in thousands) $133,264 $142,645 $128,426 $125,880 $107,260
Ratios with no waiver of management fees and assumption of
expenses by PIM and no reduction for fees paid indirectly:
Net expenses 1.68% 1.79% 1.88% 1.99% 2.35%
Net investment income 0.76% 0.44% 0.43% 0.11% 0.09%
Ratios with waiver of management fees and assumption of
expenses by PIM and reduction for fees paid indirectly:
Net expenses 1.66% 1.70% 1.70% 1.82% 2.36%
Net investment income 0.78% 0.53% 0.61% 0.28% 0.08%
* 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.
+ Ratios with no reduction for fees paid indirectly.
(a) Amount rounds to less than one cent per share.
The accompanying notes are an integral part of these financial statements. 29
Pioneer International Value Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
Year Ended Year Ended Year Ended Year Ended Year Ended
11/30/07 11/30/06 11/30/05 11/30/04 11/30/03
CLASS B
Net asset value, beginning of period $ 21.86 $ 17.49 $ 15.49 $ 12.86 $ 11.25
------- ------- ------- ------- -------
Increase (decrease) from investment operations:
Net investment loss $ (0.02) $ (0.07) $ (0.04) $ (0.15) $ (0.15)
Net realized and unrealized gain on investments and
foreign currency transactions 3.66 4.44 2.04 2.78 1.76
------- ------- ------- ------- -------
Net increase from investment operations $ 3.64 $ 4.37 $ 2.00 $ 2.63 $ 1.61
------- ------- ------- ------- -------
Redemption fee $ - $ -(a) $ -(a) $ - $ -
------- ------- ------- ------- -------
Net increase in net asset value $ 3.64 $ 4.37 $ 2.00 $ 2.63 $ 1.61
------- ------- ------- ------- -------
Net asset value, end of period $ 25.50 $ 21.86 $ 17.49 $ 15.49 $ 12.86
======= ======= ======= ======= =======
Total return* 16.65% 24.99% 12.91% 20.45% 14.31%
Ratio of net expenses to average net assets+ 2.55% 2.62% 2.57% 3.15% 3.55%
Ratio of net investment loss to average net assets+ (0.12)% (0.41)% (0.25)% (1.04)% (1.12)%
Portfolio turnover rate 81% 98% 111% 122% 101%
Net assets, end of period (in thousands) $18,562 $15,282 $14,205 $14,051 $14,138
Ratios with no waiver of management fees and assumption of
expenses by PIM and no reduction for fees paid indirectly:
Net expenses 2.55% 2.76% 2.96% 3.14% 3.54%
Net investment loss (0.12)% (0.55)% (0.64)% (1.03)% (1.11)%
Ratios with waiver of management fees and assumption of
expenses by PIM and reduction for fees paid indirectly:
Net expenses 2.52% 2.60% 2.56% 3.15% 3.55%
Net investment loss (0.09)% (0.39)% (0.24)% (1.04)% (1.12)%
* 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.
+ Ratios with no reduction for fees paid indirectly.
(a) Amount rounds to less than one cent per share.
30 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
Year Ended Year Ended Year Ended Year Ended Year Ended
11/30/07 11/30/06 11/30/05 11/30/04 11/30/03
CLASS C
Net asset value, beginning of period $ 21.64 $ 17.30 $ 15.32 $ 12.71 $ 11.11
-------- ------- ------- ------- -------
Increase (decrease) from investment operations:
Net investment loss $ (0.01) $ (0.06) $ (0.04) $ (0.12) $ (0.11)
Net realized and unrealized gain on investments and
foreign currency transactions 3.65 4.40 2.02 2.73 1.71
-------- ------- ------- ------- -------
Net increase from investment operations $ 3.64 $ 4.34 $ 1.98 $ 2.61 $ 1.60
-------- ------- ------- ------- -------
Redemption fee $ - $ -(a) $ -(a) $ - $ -
-------- ------- ------- ------- -------
Net increase in net asset value $ 3.64 $ 4.34 $ 1.98 $ 2.61 $ 1.60
-------- ------- ------- ------- -------
Net asset value, end of period $ 25.28 $ 21.64 $ 17.30 $ 15.32 $ 12.71
======== ======= ======= ======= =======
Total return* 16.82% 25.09% 12.92% 20.54% 14.40%
Ratio of net expenses to average net assets+ 2.45% 2.54% 2.57% 3.12% 3.41%
Ratio of net investment loss to average net assets+ 0.00%(b) (0.35)% (0.26)% (1.00)% (0.96)%
Portfolio turnover rate 81% 98% 111% 122% 101%
Net assets, end of period (in thousands) $ 16,486 $11,030 $ 8,826 $ 6,872 $ 4,403
Ratios with no waiver of management fees and assumption of
expenses by PIM and no reduction for fees paid indirectly:
Net expenses 2.45% 2.54% 2.79% 3.12% 3.40%
Net investment income (loss) 0.00%(b) (0.35)% (0.48)% (1.00)% (0.96)%
Ratios with waiver of management fees and assumption of
expenses by PIM and reduction for fees paid indirectly:
Net expenses 2.44% 2.54% 2.57% 3.12% 3.41%
Net investment income (loss) 0.01% (0.33)% (0.26)% (1.00)% (0.96)%
* 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.
+ Ratios with no reduction for fees paid indirectly.
(a) Amount rounds to less than one cent per share.
(b) Amount rounds to less than 0.01%.
The accompanying notes are an integral part of these financial statements. 31
Pioneer International Value Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
12/1/06 4/1/03 (a)
to Year Ended Year Ended Year Ended to
2/1/07 (c) 11/30/06 11/30/05 11/30/04 11/30/03
CLASS R
Net asset value, beginning of period $ 23.91 $ 19.07 $ 16.79 $ 13.76 $ 10.54
------- ------- -------- -------- --------
Increase from investment operations:
Net investment income (loss) $ (0.13) $ 0.03 $ 0.06 $ 0.02 $ 0.02
Net realized and unrealized gain on investments and
foreign currency transactions 1.22 4.86 2.22 3.01 3.20
------- ------- -------- -------- --------
Net increase from investment operations $ 1.09 $ 4.89 $ 2.28 $ 3.03 $ 3.22
------- ------- -------- -------- --------
Distributions to shareowners:
Net investment income $ (0.08) $ (0.05) $ - $ - $ -
------- ------- -------- -------- --------
Redemption fee $ - $ -(b) $ - $ - $ -
------- ------- -------- -------- --------
Net increase in net asset value $ 1.01 $ 4.84 $ 2.28 $ 3.03 $ 3.22
------- ------- -------- -------- --------
Net asset value, end of period $ 24.92 $ 23.91 $ 19.07 $ 16.79 $ 13.76
======= ======= ======== ======== ========
Total return* 4.57% 25.70% 13.58% 22.02% 30.55%
Ratio of net expenses to average net assets+ 2.86%** 1.96% 1.89% 1.93% 2.23%**
Ratio of net investment income (loss) to average net assets+ (1.85)%** 0.17% 0.40% 0.17% 3.87%**
Portfolio turnover rate 81% 98% 111% 122% 101%
Net assets, end of period (in thousands) $ - $ 553 $ 299 $ 223 $ 116
Ratios with no waiver of management fees and assumption of
expenses by PIM and no reduction for fees paid indirectly:
Net expenses 3.83%** 2.83% 2.67% 1.93% 2.23%**
Net investment income (loss) (2.82)%** (0.71)% (0.38)% 0.17% 3.87%**
Ratios with reduction for fees paid indirectly:
Net expenses 2.80%** 1.95% 1.89% 1.93% 2.23%**
Net investment income (loss) (1.79)%** 0.18% 0.40% 0.17% 3.87%**
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratios with no reduction for fees paid indirectly.
(a) Class R shares were first publicly offered on April 1, 2003.
(b) Amount rounds to less than one cent per share.
(c) Class R shares ceased operations on February 1, 2007.
32 The accompanying notes are an integral part of these financial statements.
Pioneer International Value Fund
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/07
- --------------------------------------------------------------------------------
1. Organization and Significant Accounting Policies
Pioneer International Value Fund (the Fund) is a Massachusetts business trust
registered under the Investment Company Act of 1940 as a diversified, open-end
management investment company. The investment objective of the Fund is long-term
growth of capital.
The Fund offers three classes of shares - Class A, Class B, and Class C shares.
Class R shares were first publicly offered on April 1, 2003 and ceased
operations on February 1, 2007. Each class of shares represents an interest in
the same portfolio of investments of the Fund and have equal rights to voting,
redemptions, dividends and liquidation, except that each class of shares can
bear different transfer agent and distribution fee rates, and has exclusive
voting rights with respect to the distribution plans that have been adopted by
Class A, Class B, and Class C shareowners, respectively.
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 gain or loss on investments during the reporting year.
Actual results could differ from those estimates.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, economic, and political conditions.
The portfolio may invest a substantial amount of its assets in issuers located
in a limited number of countries and therefore is susceptible to adverse
economic, political or regulatory developments affecting those countries. At
times, the Fund's investments may represent industries or industry sectors that
are interrelated or have common risks, making it more susceptible to any
economic, political, or regulatory developments or other risks affecting those
industries and sectors. The Fund's prospectuses contain information regarding
the Fund's principal risks. Please refer to those documents when considering the
Fund's risks.
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:
33
Pioneer International Value Fund
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
A. Security Valuation
Security transactions are recorded as of trade date. The net asset value of
the Fund is computed once daily, on each day the New York Stock Exchange
(NYSE) is open, as of the close of regular trading on the NYSE. In
computing the net asset value, securities are valued using the last sale
price on the principal exchange where they are traded. Securities that have
not traded on the date of valuation, or securities for which sale prices
are not generally reported, are valued using the mean between the last bid
and asked prices. Securities for which market quotations are not readily
available are valued at their fair values as determined by, or under the
direction of, the Board of Trustees. The Fund invests primarily in
securities of non-U.S. issuers. The principal exchanges and markets for
such securities have closing times prior to the close of the NYSE. However,
the value of these securities may be influenced by changes in global
markets occurring after the closing times of the local exchanges and
markets up to the time the Fund determines its net asset value.
Consequently, the Board of Trustees of the Fund has determined that the use
of daily fair valuations as provided by a pricing service is appropriate
for the Fund. The Fund may also take into consideration other significant
events in determining the fair value of these securities. Thus, the Fund's
securities valuations may differ from prices reported by the various local
exchanges and markets. Temporary cash investments are valued at cost which
approximates market value.
Dividend income is recorded on the ex-dividend date, except that certain
dividends from foreign securities where the ex-dividend date may have
passed are recorded as soon as the Fund becomes aware of the ex-dividend
data in the exercise of reasonable diligence. Dividend and 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
and are reported net of foreign taxes on capital gains at the applicable
country rates.
34
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
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 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 enters into forward foreign currency contracts (contracts) for the
purchase or sale of a specific foreign currency at a fixed price on a
future date as a hedge or cross-hedge against either specific investment
transactions (settlement hedges) or portfolio positions (portfolio hedges).
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 federal income tax provision is required.
In addition to the requirements of the Internal Revenue Code, the Fund may
also be required to pay local taxes on the recognition of capital gains
and/or the repatriation of foreign currencies in certain
35
Pioneer International Value Fund
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
countries. During the year ended November 30, 2007, the Fund paid $19,374
in such taxes.
In determining the daily net asset value, the Fund estimates the reserve
for such taxes, if any, associated with investments in certain countries.
The estimated reserve for taxes for capital gains is based on the net
unrealized appreciation on certain portfolio securities, the holding period
of such securities and the related tax rates, tax loss carryforward (if
applicable) and other such factors. As of November 30, 2007, the Fund had
$37,329 in tax reserves related to capital gains.
The amounts and characterizations of distributions to shareowners for
financial reporting purposes are determined in accordance with federal
income tax rules. Therefore, the source of the Fund's distributions may be
shown in the accompanying financial statements as from or in excess of net
investment income or as from net realized gain on investment transactions,
or as from paid-in capital, depending on the type of book/tax differences
that may exist.
At November 30, 2007, the Fund has reclassified $72,950 to decrease
undistributed net investment income and $72,950 to increase accumulated net
realized loss on investments to reflect permanent book/tax differences. The
reclassification has no impact on the net assets of the Fund and is
designed to present the Fund's capital accounts on a tax basis.
At November 30, 2007, the Fund had a net capital loss carryforward of
$19,954,582 of which the following amounts will expire in 2010 and 2011 if
not utilized: $6,973,661 in 2010 and $12,980,921 in 2011.
The tax character of distributions paid during the years ended November 30,
2007 and November 30, 2006 was as follows:
- --------------------------------------------------------------------------------
2007 2006
- --------------------------------------------------------------------------------
Distributions paid from:
Ordinary income $541,376 $422,971
-------- --------
Total $541,376 $422,971
======== ========
- --------------------------------------------------------------------------------
36
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
The following shows the components of accumulated losses on a federal
income tax basis at November 30, 2007:
- --------------------------------------------------------------------------------
2007
- --------------------------------------------------------------------------------
Undistributed ordinary income $ 955,642
Capital loss carryforward (19,954,582)
Unrealized appreciation 34,731,943
-----------
Total $15,733,003
===========
- --------------------------------------------------------------------------------
The difference between book basis and tax-basis unrealized appreciation is
attributable to the tax deferral of losses on wash sales.
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 UniCredito Italiano S.p.A.
(UniCredito Italiano), earned $28,718 in underwriting commissions on the
sale of Class A shares during the year ended November 30, 2007.
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 the respective percentage of adjusted net assets at the beginning
of the day.
Distribution fees are calculated based on the average daily net assets
attributable to Class A, Class B and Class C shares of the Fund,
respectively (see Note 4). Shareowners of each class participate in all
expenses and fees paid to the transfer agent, Pioneer Investment Management
Shareholder Services, Inc. (PIMSS), for its services, which are allocated
based on the number of accounts in each class and the ratable allocation of
related out-of-pocket expenses (see Note 3).
Distributions to shareowners are recorded as of the ex-dividend date.
Distributions paid by the Fund with respect to each class of shares are
calculated in the same manner, at the same time, and
37
Pioneer International Value Fund
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
in the same amount, except that Class A, Class B and Class C shares can
bear different transfer agent and distribution expense rates.
G. Security Lending
The Fund lends securities in its portfolio to certain broker-dealers or
other institutional investors, with the Fund's custodian acting as the
lending agent. When entering into a loan, the Fund receives collateral,
which is maintained by the custodian and earns income in the form of
negotiated lenders' fees. The Fund also continues to receive interest or
payments in lieu of dividends on the securities loaned. Gain or loss on the
fair value of the loaned securities that may occur during the term of the
loan will be for the account of the Fund. The loans are secured by
collateral of at least 102%, at all times, of the fair value of the
securities loaned. The fair value of collateral will be adjusted daily to
reflect any price fluctuation in the value of the loaned securities. The
Fund has the right under the lending agreement to recover the securities on
loan from the borrower on demand. The Fund invests cash collateral in Time
Deposits, which is sponsored by Brown Brothers Harriman & Co., the Fund's
custodian.
H. Repurchase Agreements
With respect to repurchase agreements entered into by the Fund, the value
of the underlying securities (collateral), including accrued interest
received from counterparties, is required to be at least equal to or in
excess of the value of the repurchase agreement at the time of purchase.
The collateral for all repurchase agreements is held in safekeeping in the
customer-only account of the Fund's custodian, or subcustodians. 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 UniCredito Italiano, manages the
Fund's portfolio. Management fees are calculated daily at the annual rate of
0.85% of the Fund's average net assets up to $500 million and 0.75% of the
excess over $500 million. For the
38
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
year ended November 30, 2007, the management fee was equivalent to a rate of
0.85% of average daily net assets.
PIM has agreed not to impose all or a portion of its management fee and to
assume other operating expenses of the Fund to the extent necessary to limit the
Fund's expenses to 1.70%, 2.60% and 2.60%, of the average daily net assets
attributable to Class A, Class B and Class C shares, respectively. These expense
limitations are in effect through April 1, 2011 for Class A and through April 1,
2009 for Class B and Class C shares.
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. Included in "Due to affiliates" reflected on
Fthe Statement of Assets and Liabilities is $4,001 in management fees,
administrative costs and certain other expenses payable to PIM at November 30,
2007.
3. Transfer Agent
PIMSS, a wholly owned indirect subsidiary of UniCredito Italiano, provides
substantially all transfer agent and shareowner services to the Fund at
negotiated rates. Included in "Due to affiliates" reflected on the Statement of
Assets and Liabilities is $59,053 in transfer agent fees payable to PIMSS at
November 30, 2007.
4. Distribution and Service Plans
The Fund adopted a Plan of Distribution for each class of shares (Class A Plan,
Class B Plan and Class C Plan) in accordance with Rule 12b-1 under the
Investment Company Act of 1940. Currently under the Class A Plan, PFD is
reimbursed for distribution expenses in an amount up to 0.25% of the Fund's
average daily net assets attributable to Class A shares. Pursuant to the Class B
Plan and Class C Plan, the Fund pays PFD 1.00% of the average daily net assets
attributable to Class B and Class C of shares. The fee 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 $1,831 in distribution fees
payable to PFD at November 30, 2007.
39
Pioneer International Value Fund
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
In addition, redemptions of each class of shares may be subject to a contingent
deferred sales charge (CDSC). A CDSC of 1.00% may be imposed on redemptions of
certain net asset value purchases of Class A shares within 18 months of
purchase. Class B shares redeemed within five years of purchase are subject to a
CDSC at declining rates beginning at 4.00%, based on the lower of cost or market
value of shares being redeemed. Shares purchased as part of an exchange or
acquired as a result of a reorganization of another fund into the Fund remain
subject to any contingent deferred sales charge that applied to the shares you
originally purchased. Redemptions of Class C shares within one year of purchase
are subject to a CDSC of 1.00%. Proceeds from the CDSCs are paid to PFD. For the
year ended November 30, 2007, CDSCs in the amount of $22,370 were paid to PFD.
Prior to September 1, 2006, the Fund charged a 2.0% redemption fee on each class
of shares sold within 30 days of purchase. Effective August 31, 2006, this
redemption fee is no longer charged.
5. Expense Offset Arrangements
The Fund has entered into certain expense offset arrangements with PIMSS
resulting in a reduction in the Fund's total expenses, due to interest earned on
cash held by PIMSS. For the year ended November 30, 2007, the Fund's expenses
were reduced by $27,555 under such arrangements.
6. Forward Foreign Currency Contracts
During the year ended November 30, 2007, the Fund had entered into various
contracts that obligate the Fund to deliver currencies at specified future
dates. At the maturity of a contract, the Fund must make delivery of the foreign
currency. Alternatively, prior to the settlement date of a portfolio hedge, the
Fund may close out such contracts by entering into an offsetting hedge contract.
At November 30, 2007, the Fund had no outstanding portfolio hedges and forward
currency settlement contracts.
7. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
Funds), collectively participates in a $200 million committed, unsecured
revolving line of credit facility. Borrowings are used solely for temporary or
emergency purposes. The Fund may borrow
40
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
up to the lesser of $200 million or the limits set by its prospectus for
borrowings. Interest on collective borrowings is payable at the Federal Funds
Rate plus 1/2% on an annualized basis. The Funds pay an annual commitment fee
for this facility. The commitment fee is allocated among such Funds based on
their respective borrowing limits. For the year ended November 30, 2007, the
Fund had no borrowings under this agreement.
8. New Pronouncements
On July 13, 2006, the Financial Accounting Standards Board (FASB) released FASB
Interpretation No. 48 "Accounting for Uncertainty in Income Taxes" (FIN 48). FIN
48 provides guidance for how uncertain tax positions should be recognized,
measured, presented and disclosed in the financial statements. FIN 48 requires
the evaluation of tax positions taken or expected to be taken in the course of
preparing the Fund's tax returns to determine whether the tax positions have a
"more-likely-than-not" probability of being sustained by the applicable tax
authority. Tax positions deemed to not meet the more-likely-than-not threshold
would be recorded as a tax benefit or expense in the reporting period in which
they are realized. Adoption of FIN 48 is required for fiscal years beginning
after December 15, 2006 and is to be applied to all open tax years as of no
later than May 31, 2008. At this time, management is evaluating the implications
of FIN 48 and any impact in the financial statements has not yet been
determined.
In September 2006, Statement of Financial Accounting Standards No. 157, Fair
Value Measurements (SFAS 157), was issued and is effective for fiscal years
beginning after November 15, 2007. SFAS 157 defines fair value, establishes a
framework for measuring fair value and expands disclosures about fair value
measurements. Management is currently evaluating the impact the adoption of SFAS
157 will have on the Fund's financial statement disclosures.
9. Tax Information (unaudited)
For the fiscal year ending November 30, 2007, the Fund has elected to pass
through foreign tax credits of $333,708.
41
Pioneer International Value Fund
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/07 (continued)
- --------------------------------------------------------------------------------
ADDITIONAL INFORMATION (unaudited)
For the fiscal year ended November 30, 2007, certain dividends paid by the Fund
may be subject to a maximum tax rate of 15%, as provided for by the Jobs and
Growth Tax Relief Reconciliation Act (the Act) of 2003. The Fund intends to
designate up to the maximum amount of such dividends allowable under the Act, as
taxed at a maximum rate of 15%. Complete information will be computed and
reported in conjunction with your 2007 form 1099-DIV.
The qualifying percentage of the Fund's ordinary income dividends for the
purpose of the corporate dividends received deduction was 0%.
42
Pioneer International Value Fund
- --------------------------------------------------------------------------------
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
- --------------------------------------------------------------------------------
To the Board of Trustees and Shareowners of
Pioneer International Value Fund:
We have audited the accompanying statement of assets and liabilities of Pioneer
International Value Fund ("The Fund"), including the schedule of investments, as
of November 30, 2007, and the related statement of operations for the year then
ended, the statements of changes in net assets for each of the two years in the
period then ended, and the financial highlights for each of the periods
indicated therein. These financial statements and financial highlights are the
responsibility of the Fund's management. Our responsibility is to express an
opinion on these financial statements and financial highlights based on our
audits.
We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements and financial highlights are free of material misstatement. We were
not engaged to perform an audit of the Fund's internal control over financial
reporting. Our audits included consideration of internal control over financial
reporting as a basis for designing audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Fund's internal control over financial reporting.
Accordingly, we express no such opinion. An audit also includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements and financial highlights, assessing the accounting principles used
and significant estimates made by management, and evaluating the overall
financial statement presentation. Our procedures included confirmation of
securities owned as of November 30, 2007, by correspondence with the custodian
and brokers or by other appropriate auditing procedures where replies from
brokers were not received. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Pioneer International Value Fund at November 30, 2007, the results of its
operations for the year then ended, the changes in its net assets for each of
the two years in the period then ended, and financial highlights for each of the
periods indicated therein, in conformity with U.S. generally accepted accounting
principles.
/s/Ernst + Young LLP
Boston, Massachusetts
January 16, 2008
43
Pioneer International Value Fund
- --------------------------------------------------------------------------------
APPROVAL OF INVESTMENT ADVISORY AGREEMENT
- --------------------------------------------------------------------------------
Pioneer Investment Management, Inc. (PIM) serves as the Fund's investment
adviser pursuant to an investment advisory agreement between PIM and the Fund.
The Trustees of the Fund, as required by law, determine annually whether to
continue the investment advisory agreement for the Fund.
In connection with their most recent consideration of the investment advisory
agreement for the Fund, the Trustees received and reviewed a substantial amount
of information provided by PIM in response to requests of the independent
Trustees and their independent legal counsel. The independent Trustees met on a
number of occasions with PIM and also separately with their independent legal
counsel to evaluate and discuss the information provided to them by PIM. At a
meeting held on November 13, 2007, based on their evaluation of the information
provided by PIM, the Trustees, including the independent Trustees voting
separately, unanimously approved the continuation of the investment advisory
agreement for another year.
In considering the continuation 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 continuation of
the agreement.
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services provided
by PIM to the Fund, taking into account the investment objective and strategy of
the Fund and the information related to the Fund provided to the Trustees at
each quarterly meeting. The Trustees reviewed the terms of the investment
advisory agreement. The Trustees also reviewed PIM's investment approach for the
Fund and its research process. The Trustees considered the resources of PIM and
the personnel of PIM who provide investment management services to the Fund.
They also considered PIM's compliance and legal resources and personnel.
In addition, the Trustees considered the other services that PIM provides to the
Fund under the investment advisory agreement and that, as administrator, PIM is
responsible for the administration of the Fund's business and other affairs. It
was noted that PIM supervises and monitors the performance of the Fund's service
providers and provides the Fund with personnel (including officers) as are
necessary
44
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
for the Fund's operations. The Trustees considered the fees paid to PIM for the
provision of such services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services 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
average 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 year period ended June 30, 2007 and in the third quintile
of its Morningstar category for the three, five and ten year periods ended June
30, 2007. (In all quintile rankings referred to throughout this disclosure,
first quintile is most favorable to the Fund's shareowners. Thus, highest
relative performance would be first quintile and lowest relative expenses would
also be first quintile.) The Trustees concluded that the investment performance
of the Fund was satisfactory.
Management Fee and Expenses
The Trustees considered information on the fees and expenses of the Fund in
comparison to the management fees of its peer group of funds as classified by
Morningstar and the expense ratios of a peer group of funds selected on the
basis of criteria determined by the independent Trustees for this purposes using
data provided by Strategic Insight Mutual Fund 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, 2007 was in the third quintile relative to the management fees
paid by other funds in its peer group Morningstar category for the comparable
period. The Trustees also considered that the Fund's expense ratio for the
twelve months ended June 30, 2007 was in the fifth quintile relative to its
Strategic Insight peer group and discussed with PIM the Fund's small average
account size and the transaction costs associated with an international fund.
45
Pioneer International Value Fund
- --------------------------------------------------------------------------------
APPROVAL OF INVESTMENT ADVISORY AGREEMENT (continued)
- --------------------------------------------------------------------------------
The Trustees also considered that PIM had contractually agreed to limit ordinary
operating expenses for the Fund. It was noted that PIM was not managing any
accounts with an investment objective and strategies that were similar to the
Fund.
The Trustees concluded that the management fee payable by the Fund to PIM was
reasonable in relation to the nature and quality of services provided, taking
into account the fees charged by other advisers for managing comparable mutual
funds with similar strategies. The Trustees also concluded that the Fund's
expense ratio was reasonable, taking into account the size of the Fund, the
quality of services provided by PIM, the investment performance of the Fund and
the contractual expense limitation agreed to by PIM with respect to the Fund.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Fund,
including the methodology used by PIM in allocating certain of its costs to the
management of the Fund. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Fund. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Fund in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors, including its
organizational structure and method for allocating expenses. The Trustees
recognized that PIM should be entitled to earn a reasonable level of profit for
the services provided to the Fund. The Trustees concluded that PIM's
profitability with respect to the management of the Fund was not unreasonable.
Economies of Scale
The Trustees considered the economies of scale with respect to the management of
the Fund, whether the Fund had appropriately benefited from any economies of
scale, and whether there was potential for realization of any further economies
of scale. The Trustees concluded that, because of the breakpoints in the
management fee schedule and the reduced fee rates above certain asset levels,
any perceived or potential economies of scale would be shared between PIM and
the Fund.
46
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Other Benefits
The Trustees considered the other benefits to PIM and its affiliates from their
relationships with the Fund. The Trustees considered that affiliates of PIM
serve as the Fund's transfer agent and distributor. The Trustees considered the
receipt of sales loads and payments under Rule 12b-1 plans in respect of the
Fund and the benefits to PIM and its affiliates from the use of "soft"
commission dollars generated by the Fund to pay for research and brokerage
services. The Trustees further considered the intangible benefits to PIM and its
affiliates by virtue of PIM's 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
continuation of the investment advisory agreement for the Fund.
47
Pioneer International Value Fund
- --------------------------------------------------------------------------------
TRUSTEES, OFFICERS AND SERVICE PROVIDERS
- --------------------------------------------------------------------------------
Investment Adviser
Pioneer Investment Management, Inc.
Custodian
Brown Brothers Harriman & Co.
Independent Registered Public Accounting Firm
Ernst & Young LLP
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Bingham McCutchen LLP
Shareowner Services and Transfer Agent
Pioneer Investment Management Shareholder Services, Inc.
Trustees and Officers
The Fund's Board of Trustees provides broad supervision over the Fund's affairs.
The officers of the Fund are responsible for the Fund's operations. The Fund's
Trustees and officers are listed below, together with their principal
occupations during the past five years. Trustees who are interested persons of
the Fund within the meaning of the 1940 Act are referred to as Interested
Trustees. Trustees who are not interested persons of the Fund are referred to as
Independent Trustees. Each of the Trustees (except Mr. Kingsbury, Mr. West and
Mr. Bock) serves as a Trustee of each of the 76 U.S. registered investment
portfolios for which Pioneer serves as investment adviser (the "Pioneer Funds").
Mr. Kingsbury serves as Trustee of 33 of the 76 Pioneer Funds, Mr. West serves
as Trustee of 32 of the 76 Pioneer Funds, and Mr. Bock serves as Trustee of 75
of the 76 Pioneer Funds. The address for all Trustees and all officers of the
Fund is 60 State Street, Boston, Massachusetts 02109.
The Fund's statement of additional information provides more detailed
information regarding the Fund's Trustees and is available upon request, without
charge, by calling 1-800-225-6292.
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 www.pioneerinvestments.com and on the SEC's web site at http://www.sec.gov.
48
Pioneer International Value Fund
- --------------------------------------------------------------------------------
INTERESTED TRUSTEES
- --------------------------------------------------------------------------------
Position Held Length of Service
Name and Age With the Fund and Term of Office
John F. Cogan, Jr. (81)* Chairman of the Trustee since 1992.
Board, Trustee and Serves until a succes-
President sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Daniel K. Kingsbury (49)* Trustee and Executive Trustee since March
Vice President 2007. Serves until a
successor trustee is
elected or earlier
retirement or removal.
- --------------------------------------------------------------------------------
* Mr. Cogan and Mr. Kingsbury are Interested Trustees because they are officers
or directors of the Fund's investment adviser and certain of its affiliates.
Other Directorships Held
Name and Age Principal Occupation During Past Five Years by this Trustee
John F. Cogan, Jr. (81)* Deputy Chairman and a Director of Pioneer Global Asset None
Management S.p.A. ("PGAM"); Non-Executive Chairman
and a Director of Pioneer Investment Management USA
Inc. ("PIM-USA"); Chairman and a Director of Pioneer;
Chairman and Director of Pioneer Institutional Asset
Management, Inc. (since 2006); Director of Pioneer
Alternative Investment Management Limited (Dublin);
President and a Director of Pioneer Alternative Investment
Management (Bermuda) Limited and affiliated funds; Direc-
tor of PIOGLOBAL Real Estate Investment Fund (Russia)
(until June 2006); Director of Nano-C, Inc. (since 2003);
Director of Cole Management Inc. (since 2004); Director of
Fiduciary Counseling, Inc.; President and Director of
Pioneer Funds Distributor, Inc. ("PFD") (until May 2006);
President of all of the Pioneer Funds; and Of Counsel,
Wilmer Cutler Pickering Hale and Dorr LLP
- -----------------------------------------------------------------------------------------------------------------------------
Daniel K. Kingsbury (49)* Director, CEO and President of Pioneer Investment None
Management USA Inc.; Pioneer Investment Management,
Inc. and Pioneer Institutional Asset Management, Inc.
(since March 2007); Executive Vice President of all of the
Pioneer Funds (since March 2007); Director of Pioneer
Global Asset Management S.p.A. (since March 2007);
Head of New Markets Division, Pioneer Global Asset
Management S.p.A. (2000 - 2007)
- -----------------------------------------------------------------------------------------------------------------------------
* Mr. Cogan and Mr. Kingsbury are Interested Trustees because they are officers
or directors of the Fund's investment adviser and certain of its affiliates.
49
Pioneer International Value Fund
- --------------------------------------------------------------------------------
INDEPENDENT TRUSTEES
- --------------------------------------------------------------------------------
Position Held Length of Service
Name and Age With the Fund and Term of Office
David R. Bock (63) Trustee Trustee since 2005.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Mary K. Bush (59) Trustee Trustee since 1997.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Other Directorships Held
Name and Age Principal Occupation During Past Five Years by this Trustee
David R. Bock (63) Executive Vice President and Chief Financial Officer, I-trax, Director of The Enterprise
Inc. (publicly traded health care services company) (2004 Social Investment
- present); Partner, Federal City Capital Advisors (boutique Company (privately-held
merchant bank) (1997 to 2004); and Executive Vice affordable housing
President and Chief Financial Officer, Pedestal Inc. finance company); and
(internet-based mortgage trading company) (2000 - 2002) Director of New York
Mortgage Trust (publicly
traded mortgage REIT)
- -----------------------------------------------------------------------------------------------------------------------------
Mary K. Bush (59) President, Bush International, LLC (international financial Director of Brady Corpora-
advisory firm) tion (industrial identifica-
tion and specialty coated
material products
manufacturer); Director of
Briggs & Stratton Co.
(engine manufacturer);
Director of UAL Corpora-
tion (airline holding
company); Director of
Mantech International
Corporation (national
security, defense, and
intelligence technology
firm): and Member, Board
of Governors, Investment
Company Institute
- -----------------------------------------------------------------------------------------------------------------------------
50
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Position Held Length of Service
Name and Age With the Fund and Term of Office
Margaret B.W. Graham (60) Trustee Trustee since 1992.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Thomas J. Perna (57) Trustee Trustee since 2006.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Marguerite A. Piret (59) Trustee Trustee since 1992.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Stephen K. West (79) Trustee Trustee since 1993.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
John Winthrop (71) Trustee Trustee since 1992.
Serves until a succes-
sor trustee is elected
or earlier retirement or
removal.
- --------------------------------------------------------------------------------
Pioneer International Value Fund
Other Directorships Held
Name and Age Principal Occupation During Past Five Years by this Trustee
Margaret B.W. Graham (60) Founding Director, Vice-President and Corporate Secretary, None
The Winthrop Group, Inc. (consulting firm); and Desautels
Faculty of Management, McGill University
- -----------------------------------------------------------------------------------------------------------------------------
Thomas J. Perna (57) Private investor (2004 - present); and Senior Executive Director of Quadriserv
Vice President, The Bank of New York (financial and securi- Inc. (technology products
ties services) (1986 - 2004) for securities lending
industry)
- -----------------------------------------------------------------------------------------------------------------------------
Marguerite A. Piret (59) President and Chief Executive Officer, Newbury, Piret & Director of New America
Company, Inc. (investment banking firm) High Income Fund, Inc.
(closed-end investment
company)
- -----------------------------------------------------------------------------------------------------------------------------
Stephen K. West (79) Senior Counsel, Sullivan & Cromwell (law firm) Director, The Swiss
Helvetia Fund, Inc.
(closed-end investment
company)
- -----------------------------------------------------------------------------------------------------------------------------
John Winthrop (71) President, John Winthrop & Co., Inc. (private investment None
firm)
- -----------------------------------------------------------------------------------------------------------------------------
51
Pioneer International Value Fund
- --------------------------------------------------------------------------------
FUND OFFICERS
- --------------------------------------------------------------------------------
Position Held Length of Service
Name and Age With the Fund and Term of Office
Dorothy E. Bourassa (59) Secretary Since 2003. Serves at
the discretion of the
Board
- --------------------------------------------------------------------------------
Christopher J. Kelley (42) Assistant Secretary Since 2003. Serves at
the discretion of the
Board
- --------------------------------------------------------------------------------
Vincent Nave (62) Treasurer Since 2000. Serves at
the discretion of the
Board
- --------------------------------------------------------------------------------
Mark E. Bradley (48) Assistant Treasurer Since 2004. Serves at
the discretion of the
Board
- --------------------------------------------------------------------------------
Luis I. Presutti (42) Assistant Treasurer Since 2000. Serves at
the discretion of the
Board
- --------------------------------------------------------------------------------
Gary Sullivan (49) Assistant Treasurer Since 2002. Serves at
the discretion of the
Board
- --------------------------------------------------------------------------------
Other Directorships Held
Name and Age Principal Occupation During Past Five Years by this Officer
Dorothy E. Bourassa (59) Secretary of PIM-USA; Senior Vice President - Legal of None
Pioneer; Secretary/Clerk of most of PIM-USA's subsidiar-
ies; and Secretary of all of the Pioneer Funds since
September 2003 (Assistant Secretary from November
2000 to September 2003)
- -----------------------------------------------------------------------------------------------------------------------------
Christopher J. Kelley (42) Vice President and Senior Counsel of Pioneer since July None
2002 and Assistant Secretary of all of the Pioneer Funds
since September 2003; Vice President and Senior Counsel
of BISYS Fund Services, Inc. (April 2001 to June 2002);
Senior Vice President and Deputy General Counsel of
Funds Distributor, Inc. (July 2000 to April 2001)
- -----------------------------------------------------------------------------------------------------------------------------
Vincent Nave (62) Vice President - Fund Accounting, Administration and None
Controllership Services of Pioneer; and Treasurer of all of
the Pioneer Funds
- -----------------------------------------------------------------------------------------------------------------------------
Mark E. Bradley (48) Deputy Treasurer of Pioneer since 2004 and Assistant None
Treasurer of all of the Pioneer Funds since November
2004; Treasurer and Senior Vice President, CDC IXIS As-
set Management Services from 2002 to 2003
- -----------------------------------------------------------------------------------------------------------------------------
Luis I. Presutti (42) Assistant Vice President - Fund Accounting, Administration None
and Controllership Services of Pioneer; and Assistant
Treasurer of all of the Pioneer Funds
- -----------------------------------------------------------------------------------------------------------------------------
Gary Sullivan (49) Fund Accounting Manager - Fund Accounting, Administra- None
tion and Controllership Services of Pioneer; and Assistant
Treasurer of all of the Pioneer Funds
- -----------------------------------------------------------------------------------------------------------------------------
52
Pioneer International Value Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Other
Directorships
Position Held Length of Service Principal Occupation Held by
Name and Age With the Fund and Term of Office During Past Five Years this Officer
Katherine Kim Sullivan (33) Assistant Treasurer Since 2003. Serves at Fund Administration Manager - Fund None
the discretion of the Accounting, Administration and
Board Controllership Services since June 2003
and Assistant Treasurer of all of the
Pioneer Funds since September 2003;
Assistant Vice President - Mutual Fund
Operations of State Street Corporation
from June 2002 to June 2003 (formerly
Deutsche Bank Asset Management)
- ------------------------------------------------------------------------------------------------------------------------------------
Teri W. Anderholm (48) Chief Compliance Since January 2007. Chief Compliance Officer of Pioneer None
Officer Serves at the discre- since December 2006 and of all the
tion of the Board Pioneer Funds since January 2007; Vice
President and Compliance Officer, MFS
Investment Management (August 2005 to
December 2006); Consultant, Fidelity
Investments (February 2005 to July
2005); Independent Consultant (July 1997
to February 2005)
- ------------------------------------------------------------------------------------------------------------------------------------
The outstanding capital stock of PFD, Pioneer and PIMSS is indirectly wholly
owned by UniCredito Italiano S.p.A. ("UniCredito Italiano"), one of the largest
banking groups in Italy. Pioneer, the fund's investment adviser, provides
investment management and financial services to mutual funds, institutional and
other clients.
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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
Telecommunications Device for the Deaf (TDD) 1-800-225-1997
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: www.pioneerinvestments.com
Before investing consider the Fund's investment objectives, risks, charges and
expenses. Contact your advisor or Pioneer Investments for a prospectus
containing this information. Read it carefully.
The Fund files a complete statement of investments with the Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareholders may view the filed Form N-Q by visiting the Commission's
web site at http://www.sec.gov. The filed form may also be viewed and copied at
the Commission's Public Reference Room in Washington, DC. Information regarding
the operations of the Public Reference Room may be obtained by calling
1-800-SEC-0330.
ITEM 2. CODE OF ETHICS.
(a) Disclose whether, as of the end of the period covered by the report, the
registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions, regardless of
whether these individuals are employed by the registrant or a third party. If
the registrant has not adopted such a code of ethics, explain why it has not
done so.
The registrant has adopted, as of the end of the period covered by this report,
a code of ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer and controller.
(b) For purposes of this Item, the term "code of ethics" means written standards
that are reasonably designed to deter wrongdoing and to promote:
(1) Honest and ethical conduct, including the ethical handling of actual
or apparent conflicts of interest between personal and professional
relationships;
(2) Full, fair, accurate, timely, and understandable disclosure in
reports and documents that a registrant files with, or submits to, the
Commission and in other public communications made by the registrant;
(3) Compliance with applicable governmental laws, rules, and
regulations;
(4) The prompt internal reporting of violations of the code to an
appropriate person or persons identified in the code; and
(5) Accountability for adherence to the code.
(c) The registrant must briefly describe the nature of any amendment, during the
period covered by the report, to a provision of its code of ethics that applies
to the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, and that relates to any element of the code of
ethics definition enumerated in paragraph (b) of this Item. The registrant must
file a copy of any such amendment as an exhibit pursuant to Item 10(a), unless
the registrant has elected to satisfy paragraph (f) of this Item by posting its
code of ethics on its website pursuant to paragraph (f)(2) of this Item, or by
undertaking to provide its code of ethics to any person without charge, upon
request, pursuant to paragraph (f)(3) of this Item.
The registrant has made no amendments to the code of ethics during the period
covered by this report.
(d) If the registrant has, during the period covered by the report, granted a
waiver, including an implicit waiver, from a provision of the code of ethics to
the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, that relates to one or more of the items set forth
in paragraph (b) of this Item, the registrant must briefly describe the nature
of the waiver, the name of the person to whom the waiver was granted, and the
date of the waiver.
Not applicable.
(e) If the registrant intends to satisfy the disclosure requirement under
paragraph (c) or (d) of this Item regarding an amendment to, or a waiver from,
a provision of its code of ethics that applies to the registrant's principal
executive officer, principal financial officer, principal accounting officer or
controller, or persons performing similar functions and that relates to any
element of the code of ethics definition enumerated in paragraph (b) of this
Item by posting such information on its Internet website, disclose the
registrant's Internet address and such intention.
Not applicable.
(f) The registrant must:
(1) File with the Commission, pursuant to Item 10(a), a copy of its code
of ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer or controller,
or persons performing similar functions, as an exhibit to its annual
report on this Form N-CSR;
(2) Post the text of such code of ethics on its Internet website and
disclose, in its most recent report on this Form N-CSR, its Internet
address and the fact that it has posted such code of ethics on its
Internet website; or
(3) Undertake in its most recent report on this Form N-CSR to provide to
any person without charge, upon request, a copy of such code of ethics
and explain the manner in which such request may be made.
See Item 10(2)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a) (1) Disclose that the registrant's board of trustees has determined that
the registrant either:
(i) Has at least one audit committee financial expert serving on its audit
committee; or
(ii) Does not have an audit committee financial expert serving on its audit
committee.
The registrant's Board of Trustees has determined that the registrant has at
least one audit committee financial expert.
(2) If the registrant provides the disclosure required by paragraph
(a)(1)(i) of this Item, it must disclose the name of the audit committee
financial expert and whether that person is "independent." In order to be
considered "independent" for purposes of this Item, a member of an audit
committee may not, other than in his or her capacity as a member of the audit
committee, the board of trustees, or any other board committee:
(i) Accept directly or indirectly any consulting, advisory, or other
compensatory fee from the issuer; or
(ii) Be an "interested person" of the investment company as defined in
Section 2(a)(19) of the Act (15 U.S.C. 80a-2(a)(19)).
Ms. Marguerite A. Piret, an independent trustee, is such an audit committee
financial expert.
(3) If the registrant provides the disclosure required by paragraph (a)(1)
(ii) of this Item, it must explain why it does not have an audit committee
financial expert.
Not applicable.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Disclose, under the caption AUDIT FEES, the aggregate fees billed for each
of the last two fiscal years for professional services rendered by the principal
accountant for the audit of the registrant's annual financial statements or
services that are normally provided by the accountant in connection with
statutory and regulatory filings or engagements for those fiscal years.
Audit Fees
Fees for audit services provided to the Fund, including fees
associated with the annual filing of its Form N-1A, totaled
approximately $40,735 in 2007 and $39,165 in 2006.
(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.
Audit-Related Fees and Other Fees
Audit related fees for the Fund's audit related services
totaled approximately $5,200 during the fiscal year ended
November 30, 2007. These relate to German translation
services.
(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.
Tax Fees
Fees for tax compliance services, primarily for tax returns,
totaled approximately $7,820 and $7,515 in 2007 and 2006,
respectively.
(d) Disclose, under the caption ALL OTHER FEES, the aggregate fees billed in
each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a) through
(c) of this Item. Registrants shall describe the nature of the services
comprising the fees disclosed under this category.
N/A
(e) (1) Disclose the audit committee's pre-approval policies and procedures
described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
PIONEER FUNDS
APPROVAL OF AUDIT, AUDIT-RELATED, TAX AND OTHER SERVICES
PROVIDED BY THE INDEPENDENT AUDITOR
SECTION I - POLICY PURPOSE AND APPLICABILITY
The Pioneer Funds recognize the importance of maintaining the independence of
their outside auditors. Maintaining independence is a shared responsibility
involving Pioneer Investment Management, Inc ("PIM"), the audit committee and
the independent auditors.
The Funds recognize that a Fund's independent auditors: 1) possess knowledge of
the Funds, 2) are able to incorporate certain services into the scope of the
audit, thereby avoiding redundant work, cost and disruption of Fund personnel
and processes, and 3) have expertise that has value to the Funds. As a result,
there are situations where it is desirable to use the Fund's independent
auditors for services in addition to the annual audit and where the potential
for conflicts of interests are minimal. Consequently, this policy, which is
intended to comply with Rule 210.2-01(C)(7), sets forth guidelines and
procedures to be followed by the Funds when retaining the independent audit firm
to perform audit, audit-related tax and other services under those
circumstances, while also maintaining independence.
Approval of a service in accordance with this policy for a Fund shall also
constitute approval for any other Fund whose pre-approval is required pursuant
to Rule 210.2-01(c)(7)(ii).
In addition to the procedures set forth in this policy, any non-audit services
that may be provided consistently with Rule 210.2-01 may be approved by the
Audit Committee itself and any pre-approval that may be waived in accordance
with Rule 210.2-01(c)(7)(i)(C) is hereby waived.
Selection of a Fund's independent auditors and their compensation shall be
determined by the Audit Committee and shall not be subject to this policy.
SECTION II - POLICY
- ---------------- -------------------------------- -------------------------------------------------
SERVICE SERVICE CATEGORY DESCRIPTION SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
CATEGORY
- ---------------- -------------------------------- -------------------------------------------------
I. AUDIT Services that are directly o Accounting research assistance
SERVICES related to performing the o SEC consultation, registration
independent audit of the Funds statements, and reporting
o Tax accrual related matters
o Implementation of new accounting
standards
o Compliance letters (e.g. rating agency
letters)
o Regulatory reviews and assistance
regarding financial matters
o Semi-annual reviews (if requested)
o Comfort letters for closed end
offerings
- ---------------- -------------------------------- -------------------------------------------------
II. Services which are not o AICPA attest and agreed-upon procedures
AUDIT-RELATED prohibited under Rule o Technology control assessments
SERVICES 210.2-01(C)(4) (the "Rule") o Financial reporting control assessments
and are related extensions of o Enterprise security architecture
the audit services support the assessment
audit, or use the
knowledge/expertise gained
from the audit procedures as a
foundation to complete the
project. In most cases, if
the Audit-Related Services are
not performed by the Audit
firm, the scope of the Audit
Services would likely
increase. The Services are
typically well-defined and
governed by accounting
professional standards (AICPA,
SEC, etc.)
- ---------------- -------------------------------- -------------------------------------------------
------------------------------------- ------------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the audit period for all services and related fees
pre-approved specific service reported at each regularly
subcategories. Approval of the scheduled Audit Committee
independent auditors as meeting.
auditors for a Fund shall
constitute pre approval for
these services.
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the fund fiscal year within services and related fees
a specified dollar limit (including comparison to
for all pre-approved specified dollar limits)
specific service subcategories reported quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limit for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for Audit-Related
Services not denoted as
"pre-approved", or
to add a specific service
subcategory as "pre-approved"
------------------------------------- ------------------------------------
SECTION III - POLICY DETAIL, CONTINUED
- ----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
- ----------------------- --------------------------- -----------------------------------------------
III. TAX SERVICES Services which are not o Tax planning and support
prohibited by the Rule, o Tax controversy assistance
if an officer of the Fund o Tax compliance, tax returns, excise
determines that using the tax returns and support
Fund's auditor to provide o Tax opinions
these services creates
significant synergy in
the form of efficiency,
minimized disruption, or
the ability to maintain a
desired level of
confidentiality.
- ----------------------- --------------------------- -----------------------------------------------
- ------------------------------------- -------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
- ------------------------------------- -------------------------
- ------------------------------------- -------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year all such services and
within a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for tax services not
denoted as pre-approved, or to add a specific
service subcategory as
"pre-approved"
- ------------------------------------- -------------------------
SECTION III - POLICY DETAIL, CONTINUED
- ----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
- ----------------------- --------------------------- -----------------------------------------------
IV. OTHER SERVICES Services which are not o Business Risk Management support
prohibited by the Rule, o Other control and regulatory
A. SYNERGISTIC, if an officer of the Fund compliance projects
UNIQUE QUALIFICATIONS determines that using the
Fund's auditor to provide
these services creates
significant synergy in
the form of efficiency,
minimized disruption,
the ability to maintain a
desired level of
confidentiality, or where
the Fund's auditors
posses unique or superior
qualifications to provide
these services, resulting
in superior value and
results for the Fund.
- ----------------------- --------------------------- -----------------------------------------------
- --------------------------------------- ------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
- ------------------------------------- --------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year within all such services and
a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for "Synergistic" or
"Unique Qualifications" Other
Services not denoted as
pre-approved to the left, or to
add a specific service
subcategory as "pre-approved"
- ------------------------------------- --------------------------
SECTION III - POLICY DETAIL, CONTINUED
- ----------------------- ------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PROHIBITED SERVICE SUBCATEGORIES
DESCRIPTION
- ----------------------- ------------------------- -----------------------------------------------
PROHIBITED SERVICES Services which result 1. Bookkeeping or other services
in the auditors losing related to the accounting records or
independence status financial statements of the audit
under the Rule. client*
2. Financial information systems design
and implementation*
3. Appraisal or valuation services,
fairness* opinions, or
contribution-in-kind reports
4. Actuarial services (i.e., setting
actuarial reserves versus actuarial
audit work)*
5. Internal audit outsourcing services*
6. Management functions or human
resources
7. Broker or dealer, investment
advisor, or investment banking services
8. Legal services and expert services
unrelated to the audit
9. Any other service that the Public
Company Accounting Oversight Board
determines, by regulation, is
impermissible
- ----------------------- ------------------------- -----------------------------------------------
- ------------------------------------------- ------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
- ------------------------------------------- ------------------------------
o These services are not to be o A summary of all
performed with the exception of the(*) services and related
services that may be permitted fees reported at each
if they would not be subject to audit regularly scheduled
procedures at the audit client (as Audit Committee meeting
defined in rule 2-01(f)(4)) level will serve as continual
the firm providing the service. confirmation that has
not provided any
restricted services.
- ------------------------------------------- ------------------------------
- --------------------------------------------------------------------------------
GENERAL AUDIT COMMITTEE APPROVAL POLICY:
o For all projects, the officers of the Funds and the Fund's auditors will each
make an assessment to determine that any proposed projects will not impair
independence.
o Potential services will be classified into the four non-restricted service
categories and the "Approval of Audit, Audit-Related, Tax and Other
Services" Policy above will be applied. Any services outside the specific
pre-approved service subcategories set forth above must be specifically
approved by the Audit Committee.
o At least quarterly, the Audit Committee shall review a report summarizing the
services by service category, including fees, provided by the Audit firm as
set forth in the above policy.
- --------------------------------------------------------------------------------
(2) Disclose the percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee pursuant
to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
Non-Audit Services
Beginning with non-audit service contracts entered into on
or after May 6, 2003, the effective date of the new SEC pre-
approval rules, the Fund's audit committee is required to
pre-approve services to affiliates defined by SEC rules to the
extent that the services are determined to have a direct
impact on the operations or financial reporting of the Fund.
For the years ended November 30, 2007 and 2006, there
were no services provided to an affiliate that required the
Fund's audit committee pre-approval.
(f) If greater than 50 percent, disclose the percentage of hours expended on the
principal accountant's engagement to audit the registrant's financial statements
for the most recent fiscal year that were attributed to work performed by
persons other than the principal accountant's full-time, permanent employees.
N/A
(g) Disclose the aggregate non-audit fees billed by the registrant's accountant
for services rendered to the registrant, and rendered to the registrant's
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant for each of
the last two fiscal years of the registrant.
The aggregate non-audit fees for the Fund and affiliates, as
previously defined, totaled approximately $13,020 in 2007
and $7,515 in 2006.
(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 International Value Fund
By (Signature and Title)* /s/ John F. Cogan, Jr.
John F. Cogan, Jr, President
Date January 29, 2008
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 January 29, 2008
By (Signature and Title)* /s/ Vincent Nave
Vincent Nave, Treasurer
Date January 29, 2008
* Print the name and title of each signing officer under his or her signature.