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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 811-21569
Pioneer Asset Allocation Trust
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Terrence J. Cullen, Pioneer Investment Management, Inc.,
60 State Street, Boston, MA 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: (617) 742-7825
Date of fiscal year end: July 31
Date of reporting period: August 1, 2014 through January 31, 2015
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 STOCKHOLDERS.
Pioneer Solutions - Conservative Fund
Pioneer Solutions - Balanced Fund
Pioneer Solutions - Growth Fund
(Formerly Pioneer Ibbotson Asset Allocation Series)
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Semiannual Report | January 31, 2015
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Ticker Symbols:
Conservative Balanced Growth
Class Fund Fund Fund
----- ---- ---- ----
A PIAVX PIALX GRAAX
C PICVX PIDCX GRACX
Y IBBCX IMOYX IBGYX
[LOGO] PIONEER
Investments(R)
visit us: us.pioneerinvestments.com
Table of Contents
President's Letter 2
Portfolio Management Discussion 4
Fund Reviews 10
Comparing Ongoing Fund Expenses 12
Prices and Distributions 18
Portfolio Summary & Performance Update 21
Schedule of Investments 33
Financial Statements 39
Notes to Financial Statements 56
Approval of Investment Advisory Agreement 80
Trustees, Officers and Service Providers 95
Pioneer Solutions Funds | Semiannual Report | 1/31/15 1
President's Letter
Dear Shareowner,
Today's market environment presents numerous opportunities as well as challenges
for investors. A disparate global economic landscape has formed, with the U.S.
facing prospects for continued growth, while questions abound regarding the
outlook for other regions. Employment, household income, and corporate profits
have been rising in the U.S. and inflation pressures remain low. However, many
countries across Europe as well as Japan face muted growth. In addition, a
variety of factors have clouded the outlook for countries such as Russia and
Brazil and China's investment-driven economy continues to slow.
Monetary policies of major central banks are diverging, reflecting different
economic conditions. With the U.S. economy no longer in need of extraordinary
stimulus, the Federal Reserve Board may be closer to raising short-term interest
rates. Conversely, the European Central Bank and the Bank of Japan are likely to
be adding, not removing, stimulus.
While we anticipate continued growth for the U.S., the outlook is far from
certain, nor is the outlook for other regions necessarily dire. It remains to be
seen how weakness outside the U.S. will affect global growth and whether easing
monetary policies in other regions will spur an economic recovery.
While these economic conditions may lead to increasing volatility in 2015, we
believe the opportunity for investors to earn attractive returns will persist.
However, in an environment where interest rates remain low and equity valuations
have been buoyed by an extended bull market, we believe it is imperative
investors adhere to a disciplined investment approach that is consistent with
one's goals and objectives, being mindful of the tradeoff between risk and
return.
Since 1928 Pioneer's investment professionals have been focused on identifying
and capitalizing on investment opportunities that present themselves in a
variety of ever changing market conditions, including those we face today. We
seek returns consistent with our strategies' stated style and
2 Pioneer Solutions Funds| Semiannual Report | 1/31/15
objectives and consistent with our shareholders' expectations, regardless of
market conditions. We believe our shareowners benefit from the experience
and tenure of our investment teams, the insights generated from extensive
research resources and a commitment to prudent risk management that seeks
to mitigate downside and preserve returns over time.
We encourage you to work with your financial advisor to develop an overall
investment plan that addresses both your short- and long-term goals, and to
implement such a plan in a disciplined manner, as we do when deploying
strategies on behalf of our shareowners.
We greatly appreciate your trust in us in the past and look forward to
continuing to serve you in the future.
Sincerely,
/s/ Lisa M. Jones
Lisa M. Jones
President and CEO
Pioneer Investment Management USA, Inc.
Any information in this shareowner report regarding market or economic trends or
the factors influencing the Fund's historical or future performance are
statements of opinion as of the date of this report. These statements should not
be relied upon for any other purposes. Past performance is no guarantee of
future results, and there is no guarantee that market forecasts discussed will
be realized.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 3
Portfolio Management Discussion | 1/31/15
Effective November 14, 2014, the Pioneer Ibbotson Aggressive Allocation Fund
merged into Pioneer Ibbotson Growth Allocation Fund. The Fund was then renamed
Pioneer Solutions - Growth Fund. Also on November 14, 2014, Pioneer Ibbotson
Conservative Allocation Fund was renamed Pioneer Solutions - Conservative Fund,
and Pioneer Ibbotson Moderate Allocation Fund was renamed Pioneer Solutions -
Balanced Fund, and investment adviser duties for all three funds were
transitioned from Ibbotson Associates to Pioneer Investments.
In the following interview, portfolio managers John O'Toole and Paul Weber
discuss the market environment and investment strategies that applied to the
Pioneer Solutions Funds for the six-month period ended January 31, 2015. Working
out of Pioneer's Dublin, Ireland office, Mr. O'Toole, Head of Multi-Asset
Portfolio Management at Pioneer, Mr. Weber, Head of Fund Research & Manager
Selection at Pioneer, and Salvatore Buono, Head of Strategy Alignment and
Structured Products at Pioneer, are responsible for the day-to-day management of
the portfolios.
Q Can you review your overall approach with respect to management of the
Funds' portfolios in the wake of the transition from the previous management
team?
A As under the previous managers, the assets of each Fund are allocated within
broad strategic guidelines designed to address a particular investor risk
profile. In seeking to gain the desired exposures in the portfolios to U.S.
equities, international equities, bonds and cash, we utilize a broad
selection of mutual funds. Under the new investment approach, we typically
incorporate into the portfolios a substantial representation of carefully
selected mutual funds managed by Pioneer and by other third-party managers.
In addition, derivative positions are now used to help manage exposures and
the overall risk/reward profiles of each Fund. Importantly, each Fund is now
managed with an eye toward the allocation of a "risk budget," rather than
according to a straightforward asset allocation approach. This change
reflects the fact that the majority of the risk embedded in an equally
weighted bond and equity portfolio is normally concentrated within the
equity component of the portfolio.
4 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Q How would you characterize the economic and market backdrop during the
six-month period ended January 31, 2015?
A As the period opened in August 2014, financial markets were unsettled by a
range of geopolitical and macroeconomic concerns. On the geopolitical front,
the rise of ISIS carried the potential to disrupt stability in the Middle
East and the global energy supply even as tensions deepened between the
U.S., Europe and Russia over the latter nation's incursion into the Ukraine;
in addition, the Israeli-Palestinian conflict briefly escalated. On the
economic front, concerns over global growth transformed into fears of
outright deflation in Europe and Japan. At the same time, markets watched
closely to gauge the impact of China's efforts to reform its economy in the
direction of a more sustainable growth model. The United States stood out as
the primary engine of growth globally, as economic activity rebounded over
the second half of 2014 after an exceptionally harsh winter likely caused a
temporary slowdown earlier in the year. U.S. inflation remained subdued and,
with employment conditions improving but still weak by many measures, the
U.S. Federal Reserve (the Fed) signaled that there was no urgency on its
part with respect to hiking short-term interest rates.
As the six-month period progressed, market conditions were increasingly
dominated by a collapse in oil prices, which was caused by many factors,
including the outlook for both weakened global demand and continued strong
supply. Lower oil prices were a positive for consumers in many countries,
including the U.S., but for those emerging markets nations whose economies
are highly dependent on oil revenues, the drop in prices created a strain on
finances. For example, Russia's economy, already laboring under the weight
of economic sanctions imposed by the West in response to events in the
Ukraine, felt the pressure of lower oil prices as the ruble plummeted in
relation to other leading currencies; this situation contributed to the
already heightened geopolitical uncertainty. Against that backdrop, U.S.
dollar-denominated assets were favored by investors, and that helped to
drive further declines in U.S. interest rates.
For the six-month period, global equities, as measured by the MSCI World ND
Index, returned -1.39%, underperforming the U.S. equity market, as measured
by the S&P 500 Index, which returned 4.36%. Emerging markets equities lagged
equities in developed markets, as the MSCI Emerging Markets ND Index
finished the period decidedly negative, returning -9.05%. Within the U.S.
market, growth stocks notably outperformed their value counterparts.
Domestic bonds returned 4.36% for the six-month period, as measured by the
Barclays Aggregate Bond Index, a common measure of the U.S. bond market.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 5
Q What were the considerations and tactical shifts that you applied in
allocating the Funds' assets during the six-month period ended January 31,
2015?
A The six-month period was a transitional one for the Funds as we implemented
a number of new positions. In particular, on the fixed-income side of the
Funds' portfolios, we sought to add duration and corresponding exposure to
interest-rate changes, while dialing back credit sensitivity to some degree.
(Duration is a measure of the sensitivity of the price - the value of
principal - of a fixed income investment to a change in interest rates,
expressed as a number of years.) We did this by adding positions in a number
of bond funds that actively manage interest-rate exposure, while trimming
the portfolios' exposure to lower-rated, high-yield bond funds. The
rationale for the shift is that we expect any increase in interest-rate
levels over the near term to be modest, in view of the continued efforts of
global central banks to support their national and, in the case of the
European Central Bank, regional economies. In addition, the immediate
prospects appear limited for any sharp upturn in global economic growth that
would lead to a spike in longer-term rates. As a result, we view the
incremental income available from longer-term bonds as favorable in relation
to the associated interest-rate risk.
Overall, we assumed a more constructive stance towards equities in the
Funds' portfolios during the period. The Funds' relative exposure to U.S.
equities was modestly increased, and we trimmed holdings of domestic funds
focused on small- and mid-cap stocks in favor of large-cap equity fund
exposure. In addition, the Funds' exposure to European equities was
increased during the period, as we view the region as favorably valued and
positioned to benefit from central-bank stimulus and, longer-term, from
economic reform efforts.
Q The Funds now have the ability to invest in derivatives. Did you use
derivatives as part of your investment strategy during the six-month period
ended January 31, 2015, and did those positions have a material effect on
performance?
A We did use derivatives in order to give the portfolios some exposure to the
broad Japanese stock market. Japan's central bank has been putting forth
extraordinary efforts to stimulate the country's economy, and the country
has been a particular beneficiary of the drop in oil prices. In addition, we
believe the announced plans to structurally reform the economy, while
somewhat halting to date in terms of execution, hold promise for Japan's
economy and markets. The positions had a negligible effect on the Fund's
performance during the timeframe covered by this report.
6 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Q What factors are you watching most closely as you determine the strategy for
the Funds going forward?
A We would not find it surprising to see continued high levels of financial
market volatility going forward. Geopolitical risks remain heightened, major
central banks are pursuing conflicting policies, and reform efforts hang in
the balance in a number of key economies. We anticipate that valuation
opportunities will be presented as markets react to headlines and
speculation with respect to all of these factors. In addition, given the
slackened conditions in most major economies, we have positioned the Funds
to take advantage of what should be relatively stable interest-rate levels
over the near term. This includes both our willingness to assume
interest-rate risk on the bond side of the Funds' portfolios as well as an
overall positive view on equities relative to bonds.
With respect to emerging markets, given the divergence in conditions across
those economies, we are looking to reduce the Funds' overall exposure in
favor of a more targeted approach. In particular, we see India and China as
having the most favorable conditions among emerging markets economies. Both
countries are enormous importers of oil and are undergoing government-reform
efforts.
We will continue to closely monitor the economic backdrop as we manage the
Funds' portfolios within their strategic asset allocation and risk
guidelines.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 7
Please refer to the Schedule of Investments on pages 31-36 for a full listing of
fund securities.
Each portfolio in Pioneer Solutions Funds is a "fund-of-funds" which seeks to
achieve its investment objectives by primarily investing in mainly funds managed
by Pioneer or one of its affiliates, rather than direct position in securities.
A Solutions Fund's performance depends on the adviser's skill in determining the
strategic asset allocations, the mix of underlying funds, as well as the
performance of those underlying funds. The underlying funds' performance may be
lower than the performance of the asset class that they were selected to
represent. In addition to the Fund's operating expenses, investors will
indirectly bear the operating expenses of investments in any underlying funds.
Each of the underlying funds has its own investment risks.
At times, the Fund's investments may represent industries or sectors that are
interrelated or have common risks, making them more susceptible to any economic,
political, or regulatory developments or other risks affecting those industries
and sectors.
Investments in equity securities are subject to price fluctuation.
When interest rates rise, the prices of fixed income securities in the fund will
generally fall. Conversely, when interest rates fall, the prices of fixed income
securities in the fund will generally rise.
Investments in the Fund are subject to possible loss due to the financial
failure of issuers of underlying securities and their inability to meet their
debt obligations.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, economic, and political conditions.
The portfolio invests in REIT securities, the value of which can fall for a
variety of reasons, such as declines in rental income, fluctuating interest
rates, poor property management, environmental liabilities, uninsured damage,
increased competition, or changes in real estate tax laws.
The Fund may invest in commodities. The value of commodity-linked derivatives
may be affected by changes in overall market movements, commodity index
volatility, changes in interest rates, factors affecting a particular industry
or commodity, international economic, political and regulatory developments,
supply and demand, and governmental regulatory policies.
The Fund may use derivatives, such as options, futures, inverse floating rate
obligations, swaps, and others, which can be illiquid, may disproportionately
increase losses, and have a potentially large impact on Fund performance.
Derivatives may have a leveraging effect on the Fund.
8 Pioneer Solutions Funds| Semiannual Report | 1/31/15
The Fund may invest in credit default swaps, which may in some cases be
illiquid, and they increase credit risk since the fund has exposure to both the
issuer of the referenced obligation and the counterparty to the credit default
swap.
The Fund and some of the underlying funds employ leverage, which increases the
volatility of investment returns and subjects the Fund to magnified losses if an
underlying fund's investments decline in value.
The Fund and some of the underlying funds may employ short selling, a
speculative strategy. Unlike the possible loss on a security that is purchased,
there is no limit on the amount of loss on an appreciating security that is sold
short.
The value of the investments held by the fund for cash management or temporary
defensive purposes may be affected by market risks, changing interest rates, and
by changes in credit ratings of the investments. If the fund holds cash
un-invested, the fund will not earn income on the cash and the fund's yield will
go down.
These risks may increase share price volatility.
There is no assurance that these and other strategies used by the Fund will be
successful. Please see the prospectus for a more complete discussion of the
Fund's risks.
Before making an investment in any fund, you should consider all the risks
associated with it. Please see the Fund Reviews beginning on page 9 for
information on specific weightings and performance for each of the funds.
Before investing, consider the product's investment objectives, risks, charges
and expenses. Contact your advisor or Pioneer Investments for a prospectus or
summary prospectus containing this information. Read it carefully.
Any information in this shareowner report regarding market or economic trends or
the factors influencing each fund's historical or future performance are
statements of opinion as of the date of this report. Past performance is no
guarantee of future results.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 9
Fund Reviews | 1/31/15
Portfolio Reviews
Pioneer Solutions - Conservative Fund
During the six-month period ended January 31, 2015, Pioneer Solutions -
Conservative Fund's Class A shares returned 0.53% at net asset value, while the
Standard & Poor's 500 Index (the S&P 500 Index) returned 4.36%*, the Barclays
Aggregate Bond Index returned 4.36%, and the Morgan Stanley Capital
International (MSCI) World ND Index(1) returned -1.39%. During the same period,
the average return of the 374 mutual funds in Lipper's Mixed-Asset Target
Allocation Conservative Funds category was 0.85%, and the average return of the
756 mutual funds in Morningstar's Conservative Allocation Funds category was
0.37%. Within the fixed-income portion of the Fund, the largest holding at the
end of the period was in Pioneer Bond Fund, at 22.2% of assets, followed by
Pioneer Short Term Income Fund, at 12.5%, and Pioneer Strategic Income Fund, at
9.9%. The largest equity positions were in Pioneer International Value Fund and
Pioneer Global Equity Fund, at 4.8% and 3.9% of assets, respectively.
Pioneer Solutions - Balanced Fund
During the six-month period ended January 31, 2015, Pioneer Solutions - Balanced
Fund's Class A shares returned -0.31% at net asset value, while the Standard &
Poor's 500 Index (the S&P 500 Index) returned 4.36%*, the Barclays Aggregate
Bond Index returned 4.36%, and the Morgan Stanley Capital International (MSCI)
World ND Index1 returned -1.39%. During the same period, the average return of
the 555 mutual funds in Lipper's Mixed-Asset Target Allocation Moderate Funds
category was 0.73%, and the average return of the 897 mutual funds in
Morningstar's Moderate Allocation Funds category was 1.28%. Within the
fixed-income portion of the Fund, the largest holding at the end of the period
was in Pioneer Bond Fund, at 11.2% of assets, followed by Pioneer Short Term
Income Fund, at 10.0%. Within the equity portion of the Fund, Pioneer
International Value Fund was the largest holding, at 12.0% of assets. Pioneer
Global Equity Fund was the next-largest equity holding, at 7.6% of assets.
10 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Growth Fund
During the six-month period ended January 31, 2015, Pioneer Solutions - Growth
Fund's Class A shares returned -0.24% at net asset value, while the Standard &
Poor's 500 Index (the S&P 500 Index) returned 4.36%*, the Barclays Aggregate
Bond Index returned 4.36%, and the Morgan Stanley Capital International (MSCI)
World ND Index(1) returned -1.39%. During the same period, the average return of
the 577 mutual funds in Lipper's Mixed-Asset Target Allocation Growth Funds
category was 1.30%, and the average return of the 435 mutual funds in
Morningstar's Aggressive Allocation Funds category was 0.69%. Within the equity
portion of the Fund, Pioneer International Value Fund was the largest holding,
at 15.2% of assets. Pioneer Global Equity Fund was the next-largest equity
holding, at 10.3% of assets. Within the fixed-income portion of the Fund, the
largest holding at the end of the period was in Pioneer Bond Fund, at 8.2% of
assets.
(1) The MSCI information may only be used for your internal use, may not be
reproduced or redisseminated in any form and may not be used as a basis for
or a component of any financial instruments or products or indices. None of
the MSCI information is intended to constitute investment advice or a
recommendation to make (or refrain from making) any kind of investment
decision and may not be relied on as such. Historical data and analysis
should not be taken as an indication or guarantee of any future performance
analysis, forecast or prediction. The MSCI information is provided on an "as
is" basis and the user of this information assumes the entire risk of any
use made of this information. MSCI, each of its affiliates and each other
person involved in or related to compiling, computing or creating any MSCI
information (collectively, the "MSCI Parties") expressly disclaims all
warranties (including, without limitation, any warranties of originality,
accuracy, completeness, timeliness, non-infringement, merchantability and
fitness for a particular purpose) with respect to this information. Without
limiting any of the foregoing, in no event shall any MSCI Party have any
liability for any direct, indirect, special, incidental, punitive,
consequential (including, without limitation, lost profits) or any other
damages.
* The S&P 500 Index was the equity benchmark for the Pioneer Ibbotson
Allocation Series. The MSCI World ND Index replaced the S&P 500 Index as the
equity benchmark for the Pioneer Solutions Funds after the transition from
Ibbotson Associates to Pioneer took place in November 2014. For comparison
purposes, Pioneer will continue to report returns for the S&P 500 Index in
this semiannual report dated January 31, 2015, and in the Funds' annual
report to be dated July 31, 2015.
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 11
Comparing Ongoing Fund Expenses
Pioneer Solutions - Conservative Fund
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value (divided by) $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period" to
estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Solutions Conservative Fund
Based on actual returns from August 1, 2014 through January 31, 2015.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 8/1/14
--------------------------------------------------------------------------------
Ending Account Value $1,005.30 $1,000.90 $1,005.30
(after expenses)
on 1/31/15
--------------------------------------------------------------------------------
Expenses Paid $ 6.98 $ 10.69 $ 6.82
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio plus the
expense ratios of the underlying funds. These combined totals were 1.38%,
2.12% and 1.35% for Class A, Class C and Class Y shares, respectively. These
combined ratios were multiplied by the average account value over the
period, and then multiplied by 184/365 (to reflect the one-half year period)
to calculate the "Expenses Paid During Period" in the table above.
12 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Hypothetical Example for Comparison Purposes
The table below provides information about hypothetical account values and
hypothetical expenses based on the Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not the Fund's actual
return. The hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in the
Fund and other funds. To do so, compare this 5% hypothetical example with the 5%
hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the tables are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as sales
charges (loads) that are charged at the time of the transaction. Therefore, the
table below is useful in comparing ongoing costs only and will not help you
determine the relative total costs of owning different funds. In addition, if
these transaction costs were included, your costs would have been higher.
Expenses Paid on a $1,000 Investment in Pioneer Solutions Conservative Fund
Based on a hypothetical 5% per year return before expenses, reflecting the
period from August 1, 2014 through January 31, 2015.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 8/1/14
--------------------------------------------------------------------------------
Ending Account Value $1,018.25 $1,014.52 $1,018.40
(after expenses)
on 1/31/15
--------------------------------------------------------------------------------
Expenses Paid $ 7.02 $ 10.76 $ 6.87
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio plus the
expense ratios of the underlying funds. These combined totals were 1.38%,
2.12% and 1.35% for Class A, Class C and Class Y shares, respectively. These
combined ratios were multiplied by the average account value over the
period, and then multiplied by 184/365 (to reflect the one-half year period)
to calculate the "Expenses Paid During Period" in the table above.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 13
Comparing Ongoing Fund Expenses
Pioneer Solutions - Balanced Fund
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value (divided by) $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period" to
estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Solutions Balanced Fund
Based on actual returns from August 1, 2014 through January 31, 2015.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 8/1/14
--------------------------------------------------------------------------------
Ending Account Value $ 996.90 $ 993.50 $ 998.60
(after expenses)
on 1/31/15
--------------------------------------------------------------------------------
Expenses Paid $ 6.95 $ 10.40 $ 5.19
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio plus the
expense ratios of the underlying funds. These combined totals were 1.38%,
2.07% and 1.03% for Class A, Class C and Class Y shares, respectively. These
combined ratios were multiplied by the average account value over the
period, and then multiplied by 184/365 (to reflect the one-half year period)
to calculate the "Expenses Paid During Period" in the table above.
14 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Hypothetical Example for Comparison Purposes
The table below provides information about hypothetical account values and
hypothetical expenses based on the Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not the Fund's actual
return. The hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in the
Fund and other funds. To do so, compare this 5% hypothetical example with the 5%
hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the tables are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as sales
charges (loads) that are charged at the time of the transaction. Therefore, the
table below is useful in comparing ongoing costs only and will not help you
determine the relative total costs of owning different funds. In addition, if
these transaction costs were included, your costs would have been higher.
Expenses Paid on a $1,000 Investment in Pioneer Solutions Balanced Fund
Based on a hypothetical 5% per year return before expenses, reflecting the
period from August 1, 2014 through January 31, 2015.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 8/1/14
--------------------------------------------------------------------------------
Ending Account Value $1,018.25 $1,014.77 $1,020.01
(after expenses)
on 1/31/15
--------------------------------------------------------------------------------
Expenses Paid $ 7.02 $ 10.51 $ 5.24
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio plus the
expense ratios of the underlying funds. These combined totals were 1.38%,
2.07% and 1.03% for Class A, Class C and Class Y shares, respectively. These
combined ratios were multiplied by the average account value over the
period, and then multiplied by 184/365 (to reflect the one-half year period)
to calculate the "Expenses Paid During Period" in the table above.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 15
Comparing Ongoing Fund Expenses
Pioneer Solutions - Growth Fund
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value (divided by) $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period" to
estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Solutions Growth Fund
Based on actual returns from August 1, 2014 through January 31, 2015.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 8/1/14
--------------------------------------------------------------------------------
Ending Account Value $ 997.60 $ 994.90 $ 999.20
(after expenses)
on 1/31/15
--------------------------------------------------------------------------------
Expenses Paid $ 7.20 $ 10.56 $ 5.59
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio plus the
expense ratios of the underlying funds. These combined totals were 1.43%,
2.10% and 1.11% for Class A, Class C and Class Y shares, respectively. These
combined ratios were multiplied by the average account value over the
period, and then multiplied by 184/365 (to reflect the one-half year period)
to calculate the "Expenses Paid During Period" in the table above.
16 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Hypothetical Example for Comparison Purposes
The table below provides information about hypothetical account values and
hypothetical expenses based on the Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not the Fund's actual
return. The hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in the
Fund and other funds. To do so, compare this 5% hypothetical example with the 5%
hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the tables are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as sales
charges (loads) that are charged at the time of the transaction. Therefore, the
table below is useful in comparing ongoing costs only and will not help you
determine the relative total costs of owning different funds. In addition, if
these transaction costs were included, your costs would have been higher.
Expenses Paid on a $1,000 Investment in Pioneer Solutions Growth Fund
Based on a hypothetical 5% per year return before expenses, reflecting the
period from August 1, 2014 through January 31, 2015.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 8/1/14
--------------------------------------------------------------------------------
Ending Account Value $1,018.00 $1,014.62 $1,019.61
(after expenses)
on 1/31/15
--------------------------------------------------------------------------------
Expenses Paid $ 7.27 $ 10.66 $ 5.65
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio plus the
expense ratios of the underlying funds. These combined totals were 1.43%,
2.10% and 1.11% for Class A, Class C and Class Y shares, respectively. These
combined ratios were multiplied by the average account value over the
period, and then multiplied by 184/365 (to reflect the one-half year period)
to calculate the "Expenses Paid During Period" in the table above.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 17
Prices and Distributions | 1/31/15
Net Asset Value per Share
--------------------------------------------------------------------------------
Conservative Fund
--------------------------------------------------------------------------------
Class 1/31/15 7/31/14
--------------------------------------------------------------------------------
A $11.61 $11.86
--------------------------------------------------------------------------------
C $11.29 $11.51
--------------------------------------------------------------------------------
Y $11.04 $11.32
--------------------------------------------------------------------------------
Balanced Fund
--------------------------------------------------------------------------------
Class 1/31/15 7/31/14
--------------------------------------------------------------------------------
A $12.33 $12.73
--------------------------------------------------------------------------------
C $11.46 $11.82
--------------------------------------------------------------------------------
Y $12.47 $12.88
--------------------------------------------------------------------------------
Growth Fund
--------------------------------------------------------------------------------
Class 1/31/15 7/31/14
--------------------------------------------------------------------------------
A $13.14 $13.60
--------------------------------------------------------------------------------
C $12.47 $12.82
--------------------------------------------------------------------------------
Y $13.39 $13.88
--------------------------------------------------------------------------------
18 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Distributions per Share: 8/1/14-1/31/15
--------------------------------------------------------------------------------
Conservative Fund
--------------------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.3132 $ -- $ --
--------------------------------------------------------------------------------
C $0.2301 $ -- $ --
--------------------------------------------------------------------------------
Y $0.3396 $ -- $ --
--------------------------------------------------------------------------------
Balanced Fund
--------------------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.3644 $ -- $ --
--------------------------------------------------------------------------------
C $0.2859 $ -- $ --
--------------------------------------------------------------------------------
Y $0.3961 $ -- $ --
--------------------------------------------------------------------------------
Growth Fund
--------------------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.4341 $ -- $ --
--------------------------------------------------------------------------------
C $0.2894 $ -- $ --
--------------------------------------------------------------------------------
Y $0.4863 $ -- $ --
--------------------------------------------------------------------------------
Pioneer Solutions Funds | Semiannual Report | 1/31/15 19
Prices and Distributions | 1/31/15 (continued)
Index Definitions
--------------------------------------------------------------------------------
The Morgan Stanley Capital International (MSCI) World ND Index is an unmanaged
measure of the performance of stock markets in the developed world. Index
returns are calculated monthly, assume reinvestment of dividends and, unlike
Fund returns, do not reflect any fees, expenses or sales charges. The Standard &
Poor's 500 Index (the S&P 500) is an unmanaged, commonly used measure of the
broad U.S. stock market. The Barclays Aggregate Bond Index is an unmanaged
measure of the U.S. bond market. Index returns are calculated monthly, assume
reinvestment of dividends and, unlike Fund returns, do not reflect any fees,
expenses or sales charges. It is not possible to invest directly in an index.
The indices defined here pertain to the "Value of $10,000 Investment" and "Value
of $5 Million Investment" charts on pages 22-24, 26-28 and 30-32.
20 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Portfolio Summary | 1/31/15
Pioneer Solutions - Conservative Fund
Asset Allocations
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Fixed Income 76.2%
U.S. Equity 13.5%
International Equity 10.3%
Actual Portfolio Holdings
(based on total portfolio)
--------------------------------------------------------------------------------
U.S. Stock Funds
--------------------------------------------------------------------------------
Pioneer Equity Income Fund Class Y 6.26%
--------------------------------------------------------------------------------
Pioneer Fundamental Growth Fund Class Y 3.11
--------------------------------------------------------------------------------
Pioneer Real Estate Shares Class Y 2.17
--------------------------------------------------------------------------------
Pioneer Mid Cap Value Fund Class Y 1.98
--------------------------------------------------------------------------------
International Stock Funds
--------------------------------------------------------------------------------
Pioneer International Value Fund Class Y 5.10%
--------------------------------------------------------------------------------
Pioneer Global Equity Fund Class Y 4.14
--------------------------------------------------------------------------------
T Rowe Price International Funds -
European Stock Fund 1.06
--------------------------------------------------------------------------------
Bond Funds
--------------------------------------------------------------------------------
Pioneer Bond Fund Class K 23.69%
--------------------------------------------------------------------------------
Pioneer Short Term Income Fund Class Y 13.40
--------------------------------------------------------------------------------
Pioneer Strategic Income Fund Class K 10.59
--------------------------------------------------------------------------------
Pioneer Global High Yield Fund Class Y 5.36
--------------------------------------------------------------------------------
Western Asset Core Plus Bond Fund
Series IS 5.16
--------------------------------------------------------------------------------
Doubleline Total Return Bond Fund
Class I 5.16
--------------------------------------------------------------------------------
Pioneer Dynamic Credit Fund Class Y 4.18
--------------------------------------------------------------------------------
Pioneer High Yield Fund Class Y 3.08
--------------------------------------------------------------------------------
Columbia Funds Series Trust I Contrarian
Core Fund Class Y 2.39
--------------------------------------------------------------------------------
Pioneer Global Multisector Income Fund
Class Y 2.12
--------------------------------------------------------------------------------
Pioneer Floating Rate Fund Class Y 1.05
--------------------------------------------------------------------------------
This list excludes temporary cash investments and derivative instruments. The
portfolio is actively managed, and current holdings may be different. The
holdings listed should not be considered recommendations to buy or sell any
security listed.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 21
Performance Update | 1/31/15 Class A Shares
Pioneer Solutions - Conservative Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class A shares of Pioneer Solutions - Conservative Fund at
public offering price during the periods shown, compared to that of the MSCI
World ND Index, the Standard & Poor's 500 Index and the Barclays Aggregate Bond
Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Net Public Barclays Standard MSCI
Asset Offering Aggregate & Poor's World
Value Price Bond 500 ND
Period (NAV) (POP) Index Index Index
--------------------------------------------------------------------------------
Life-of-Class
5/12/05 4.70% 4.07% 4.96% 7.98% 6.35%
5 Years 6.15 4.92 4.57 15.58 10.73
1 Year 4.41 -1.62 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
1.46% 1.40%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Solutions - Barclays Aggregate Standard & Poor's MSCI World
Conservative Fund Bond Index 500 Index ND Index
5/31/2005 $ 9,425 $10,000 $10,000 $10,000
1/31/2006 $ 9,900 $10,080 $10,901 $11,600
1/31/2007 $10,542 $10,639 $12,205 $13,440
1/31/2008 $10,820 $11,416 $11,766 $13,368
1/31/2009 $ 8,617 $11,651 $ 6,672 $ 7,069
1/31/2010 $10,819 $12,737 $10,246 $10,908
1/31/2011 $12,015 $13,365 $12,561 $13,272
1/31/2012 $12,212 $14,484 $13,201 $13,047
1/31/2013 $13,222 $14,936 $14,975 $14,442
1/31/2014 $13,966 $14,959 $18,772 $17,574
1/31/2015 $14,581 $15,864 $20,502 $17,907
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
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 shown reflect any applicable expense waivers in effect
during the periods shown. Without such waivers Fund performance would be lower.
Waivers may not be in effect for all funds. Certain fee waivers are contractual
through a specified period. Otherwise, fee waivers can be rescinded at any time.
See the prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through December 1, 2015, for Class A shares. There can be no assurance
that Pioneer will extend the expense limitation beyond such time. Please see the
prospectus 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.
22 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Performance Update | 1/31/15 Class C Shares
Pioneer Solutions - Conservative Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class C shares of Pioneer Solutions - Conservative Fund
during the periods shown, compared to that of the MSCI World ND Index, the
Standard & Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Barclays Standard MSCI
If Aggregate & Poor's World
If Re- Bond 500 ND
Period Held deemed Index Index Index
--------------------------------------------------------------------------------
Life-of-Class
5/12/05 3.83% 3.83% 4.96% 7.98% 6.35%
5 Years 5.39 5.39 4.57 15.58 10.73
1 Year 3.60 3.60 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
2.19% 2.15%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Solutions - Barclays Aggregate Standard & Poor's MSCI World
Conservative Fund Bond Index 500 Index ND Index
5/31/2005 $10,000 $10,000 $10,000 $10,000
1/31/2006 $10,439 $10,080 $10,901 $11,600
1/31/2007 $11,029 $10,639 $12,205 $13,440
1/31/2008 $11,223 $11,416 $11,766 $13,368
1/31/2009 $ 8,843 $11,651 $ 6,672 $ 7,069
1/31/2010 $10,985 $12,737 $10,246 $10,908
1/31/2011 $12,128 $13,365 $12,561 $13,272
1/31/2012 $12,231 $14,484 $13,201 $13,047
1/31/2013 $13,129 $14,936 $14,975 $14,442
1/31/2014 $13,784 $14,959 $18,772 $17,574
1/31/2015 $14,280 $15,864 $20,502 $17,907
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). "If Held" results represent the percent change in
net asset value per share. Returns would have been lower had sales charges been
reflected. All results are historical and assume the reinvestment of dividends
and capital gains. Other share classes are available for which performance and
expenses will differ.
Performance results shown reflect any applicable expense waivers in effect
during the periods shown. Without such waivers Fund performance would be lower.
Waivers may not be in effect for all funds. Certain fee waivers are contractual
through a specified period. Otherwise, fee waivers can be rescinded at any time.
See the prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through December 1, 2015, for Class C shares. There can be no assurance
that Pioneer will extend the expense limitation beyond such time. Please see the
prospectus for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 23
Performance Update | 1/31/15 Class Y Shares
Pioneer Solutions - Conservative Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $5 million
investment made in Class Y shares of Pioneer Solutions - Conservative Fund
during the periods shown, compared to that of the MSCI World ND Index, the
Standard & Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Net Barclays Standard MSCI
Asset Aggregate & Poor's World
Value Bond 500 ND
Period (NAV) Index Index Index
--------------------------------------------------------------------------------
Life-of-Class
5/12/05 3.69% 4.96% 7.98% 6.35%
5 Years 5.72 4.57 15.58 10.73
1 Year 4.02 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.68%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Solutions - Barclays Aggregate Standard & Poor's MSCI World
Conservative Fund Bond Index 500 Index ND Index
5/31/2005 $5,000,000 $5,000,000 $ 5,000,000 $5,000,000
1/31/2006 $5,263,864 $5,040,044 $ 5,450,651 $5,800,025
1/31/2007 $5,591,061 $5,319,384 $ 6,102,704 $6,719,794
1/31/2008 $5,726,576 $5,707,944 $ 5,882,796 $6,684,151
1/31/2009 $4,423,927 $5,825,482 $ 3,336,243 $3,534,598
1/31/2010 $5,330,149 $6,368,663 $ 5,122,902 $5,453,899
1/31/2011 $5,937,406 $6,682,733 $ 6,280,328 $6,635,998
1/31/2012 $6,008,680 $7,241,818 $ 6,600,306 $6,523,528
1/31/2013 $6,433,159 $7,468,008 $ 7,487,709 $7,221,125
1/31/2014 $6,766,675 $7,479,531 $ 9,386,238 $8,786,793
1/31/2015 $7,038,960 $7,931,952 $10,250,853 $8,953,510
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Performance shown for periods prior to the inception of the Fund's Class Y
shares on October 5, 2005, reflects the NAV performance of the Fund's Class A
shares. The performance does not reflect differences in expenses, including the
Rule 12b-1 fees applicable to Class A shares. Since fees for Class A shares are
generally higher than those of Class Y shares, the performance for Class Y
shares prior to their inception would have been higher than the performance
shown. Class Y shares are not subject to sales charges and are available for
limited groups of eligible investors, including institutional investors.
All results are historical and assume the reinvestment of dividends and capital
gains. Other share classes are available for which performance and expenses will
differ.
Performance results shown 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.
24 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Portfolio Summary | 1/31/15
Pioneer Solutions - Balanced Fund
Asset Allocations
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Fixed Income 45.4%
International Equity 28.1%
U.S. Equity 26.5%
Actual Portfolio Holdings
(based on total portfolio)
--------------------------------------------------------------------------------
U.S. Stock Funds
--------------------------------------------------------------------------------
Pioneer Fundamental Growth Fund Class Y 4.97%
--------------------------------------------------------------------------------
Pioneer Mid Cap Value Fund Class Y 4.49
--------------------------------------------------------------------------------
Oak Ridge Small Cap Growth Fund Class Y 4.14
--------------------------------------------------------------------------------
Pioneer Core Equity Fund Class Y 3.95
--------------------------------------------------------------------------------
Pioneer Fund Class Y 3.06
--------------------------------------------------------------------------------
Pioneer Real Estate Shares Class Y 2.32
--------------------------------------------------------------------------------
Pioneer Select Mid Cap Growth Fund
Class Y 1.86
--------------------------------------------------------------------------------
Aston/Fairpointe Mid Cap Fund Class I 1.71
--------------------------------------------------------------------------------
International Stock Funds
--------------------------------------------------------------------------------
Pioneer International Value Fund Class Y 12.20%
--------------------------------------------------------------------------------
Pioneer Global Equity Fund Class Y 7.71
--------------------------------------------------------------------------------
T Rowe Price International Funds -
European Stock Fund 3.38
--------------------------------------------------------------------------------
Pioneer Emerging Markets Fund Class Y 3.36
--------------------------------------------------------------------------------
iShares MSCI Canada ETF 1.42
--------------------------------------------------------------------------------
Bond Funds
--------------------------------------------------------------------------------
Pioneer Bond Fund Class K 11.40%
--------------------------------------------------------------------------------
Pioneer Short Term Income Fund Class Y 10.11
--------------------------------------------------------------------------------
Doubleline Total Return Bond Fund Class I 4.93
--------------------------------------------------------------------------------
Pioneer Strategic Income Fund Class K 4.12
--------------------------------------------------------------------------------
Pioneer Dynamic Credit Fund Class Y 3.91
--------------------------------------------------------------------------------
Pioneer Global High Yield Fund Class Y 3.08
--------------------------------------------------------------------------------
Western Asset Core Plus Bond Fund
Series IS 2.04
--------------------------------------------------------------------------------
Pioneer Global Multisector Income Fund
Class Y 2.01
--------------------------------------------------------------------------------
Pioneer High Yield Fund Class Y 1.99
--------------------------------------------------------------------------------
Columbia Funds Series Trust I Contrarian
Core Fund Class Y 1.84
--------------------------------------------------------------------------------
This list excludes temporary cash investments and derivative instruments. The
portfolio is actively managed, and current holdings may be different. The
holdings listed should not be considered recommendations to buy or sell any
security listed.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 25
Performance Update | 1/31/15 Class A Shares
Pioneer Solutions - Balanced Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class A shares of Pioneer Solutions - Balanced Fund at public
offering price during the periods shown, compared to that of the MSCI World ND
Index, the Standard & Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Net Public Barclays Standard MSCI
Asset Offering Aggregate & Poor's World
Value Price Bond 500 ND
Period (NAV) (POP) Index Index Index
--------------------------------------------------------------------------------
10 Years 5.04% 4.42% 4.86% 7.61% 6.08%
5 Years 8.12 6.84 4.57 15.58 10.73
1 Year 5.23 -0.85 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.43%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,00 Investment
Pioneer Solutions - MSCI World Barclays Aggregate Standard & Poor's
Balanced Fund ND Index Bond Index 500 Index
1/31/2005 $ 9,425 $10,000 $10,000 $10,000
1/31/2006 $10,450 $11,701 $10,180 $11,038
1/31/2007 $11,393 $13,607 $10,616 $12,638
1/31/2008 $11,347 $13,543 $11,551 $12,346
1/31/2009 $ 7,907 $ 7,932 $11,850 $ 7,579
1/31/2010 $10,435 $10,834 $12,858 $10,090
1/31/2011 $12,047 $12,915 $13,508 $12,330
1/31/2012 $12,114 $12,529 $14,678 $12,847
1/31/2013 $13,279 $14,522 $15,058 $15,000
1/31/2014 $14,648 $16,856 $15,077 $18,226
1/31/2015 $15,415 $18,036 $16,074 $20,814
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
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 the 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 shown 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.
26 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Performance Update | 1/31/15 Class C Shares
Pioneer Solutions - Balanced Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class C shares of Pioneer Solutions - Balanced Fund during
the periods shown, compared to that of the MSCI World ND Index, the Standard &
Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Barclays Standard MSCI
If Aggregate & Poor's World
If Re- Bond 500 ND
Period Held deemed Index Index Index
--------------------------------------------------------------------------------
10 Years 4.26% 4.26% 4.86% 7.61% 6.08%
5 Years 7.35 7.35 4.57 15.58 10.73
1 Year 4.48 4.48 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
2.12%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Solutions - MSCI World Barclays Aggregate Standard & Poor's
Balanced Fund ND Index Bond Index 500 Index
1/31/2005 $10,000 $10,000 $10,000 $10,000
1/31/2006 $10,984 $11,701 $10,180 $11,038
1/31/2007 $11,882 $13,607 $10,616 $12,638
1/31/2008 $11,749 $13,543 $11,551 $12,346
1/31/2009 $ 8,124 $ 7,932 $11,850 $ 7,579
1/31/2010 $10,641 $10,834 $12,858 $10,090
1/31/2011 $12,197 $12,915 $13,508 $12,330
1/31/2012 $12,173 $12,529 $14,678 $12,847
1/31/2013 $13,248 $14,522 $15,058 $15,000
1/31/2014 $14,524 $16,856 $15,077 $18,226
1/31/2015 $15,174 $18,036 $16,074 $20,814
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). "If Held" results represent the percent change in
net asset value per share. Returns would have been lower had sales charges been
reflected. All results are historical and assume the reinvestment of dividends
and capital gains. Other share classes are available for which performance and
expenses will differ.
Performance results shown reflect any applicable expense waivers in effect
during the periods shown. Without such waivers Fund performance would be lower.
Waivers may not be in effect for all funds. Certain fee waivers are contractual
through a specified period. Otherwise, fee waivers can be rescinded at any time.
See the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 27
Performance Update | 1/31/15 Class Y Shares
Pioneer Solutions - Balanced Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $5 million
investment made in Class Y shares of Pioneer Solutions - Balanced Fund during
the periods shown, compared to that of the MSCI World ND Index, the Standard &
Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Net Barclays Standard MSCI
Asset Aggregate & Poor's World
Value Bond 500 ND
Period (NAV) Index Index Index
--------------------------------------------------------------------------------
10 Years 5.49% 4.86% 7.61% 6.08%
5 Years 8.47 4.57 15.58 10.73
1 Year 5.51 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.19%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Solutions - MSCI World Barclays Aggregate Standard & Poor's
Balanced Fund ND Index Bond Index 500 Index
1/31/2005 $5,000,000 $5,000,000 $5,000,000 $ 5,000,000
1/31/2006 $5,560,452 $5,850,444 $5,089,782 $ 5,518,793
1/31/2007 $6,085,059 $6,803,520 $5,307,862 $ 6,318,948
1/31/2008 $6,081,799 $6,771,409 $5,775,390 $ 6,172,793
1/31/2009 $4,274,510 $3,965,968 $5,924,861 $ 3,789,258
1/31/2010 $5,683,131 $5,416,760 $6,428,852 $ 5,044,908
1/31/2011 $6,589,123 $6,457,619 $6,754,185 $ 6,164,917
1/31/2012 $6,648,612 $6,264,431 $7,339,243 $ 6,423,334
1/31/2013 $7,309,310 $7,261,062 $7,529,000 $ 7,500,043
1/31/2014 $8,086,433 $8,428,062 $7,538,332 $ 9,113,083
1/31/2015 $8,532,431 $9,017,896 $8,036,815 $10,407,080
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Performance shown for periods prior to the inception of the Fund's Class Y
shares on September 23, 2005, reflects the NAV performance of the Fund's Class A
shares. The performance does not reflect differences in expenses, including the
Rule 12b-1 fees applicable to Class A shares. Since fees for Class A shares are
generally higher than those of Class Y shares, the performance for Class Y
shares prior to their inception would have been higher than the performance
shown. Class Y shares are not subject to sales charges and are available for
limited groups of eligible investors, including institutional investors.
All results are historical and assume the reinvestment of dividends and capital
gains. Other share classes are available for which performance and expenses will
differ.
Performance results shown 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.
28 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Portfolio Summary | 1/31/15
Pioneer Solutions - Growth Fund
Asset Allocations
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
International Equity 39.5%
U.S. Equity 38.2%
Fixed Income 22.3%
Actual Portfolio Holdings
(based on total portfolio)
--------------------------------------------------------------------------------
U.S. Stock Funds
--------------------------------------------------------------------------------
Pioneer Fundamental Growth Fund Class Y 7.96%
--------------------------------------------------------------------------------
Pioneer Core Equity Fund Class Y 6.42
--------------------------------------------------------------------------------
Pioneer Mid Cap Value Fund Class Y 6.40
--------------------------------------------------------------------------------
Pioneer Oak Ridge Small Cap Growth Fund
Class Y 5.26
--------------------------------------------------------------------------------
Pioneer Real Estate Shares Class Y 3.99
--------------------------------------------------------------------------------
Pioneer Fund Class Y 3.06
--------------------------------------------------------------------------------
Pioneer Select Mid Cap Growth Fund
Class Y 2.58
--------------------------------------------------------------------------------
Aston/Fairpointe Mid Cap Fund Class I 2.55
--------------------------------------------------------------------------------
International Stock Funds
--------------------------------------------------------------------------------
Pioneer International Value Fund Class Y 15.33%
--------------------------------------------------------------------------------
Pioneer Global Equity Fund Class Y 10.37
--------------------------------------------------------------------------------
T Rowe Price International Funds -
European Stock Fund 5.17
--------------------------------------------------------------------------------
Pioneer Emerging Markets Fund Class Y 3.57
--------------------------------------------------------------------------------
JPMorgan Intrepid European Fund Class I 2.56
--------------------------------------------------------------------------------
iShares MSCI Canada ETF 2.47
--------------------------------------------------------------------------------
Bond Funds
--------------------------------------------------------------------------------
Pioneer Bond Fund Class K 8.29%
--------------------------------------------------------------------------------
Pioneer Strategic Income Fund Class K 3.60
--------------------------------------------------------------------------------
Pioneer Short Term Income Fund Class Y 3.60
--------------------------------------------------------------------------------
Columbia Funds Series Trust I Contrarian
Core Fund Class Y 3.50
--------------------------------------------------------------------------------
Doubleline Total Return Bond Fund
Class I 2.07
--------------------------------------------------------------------------------
Pioneer Global Multisector Income Fund
Class Y 1.25
--------------------------------------------------------------------------------
This list excludes temporary cash investments and derivative instruments. The
portfolio is actively managed, and current holdings may be different. The
holdings listed should not be considered recommendations to buy or sell any
security listed.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 29
Performance Update | 1/31/15 Class A Shares
Pioneer Solutions - Growth Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class A shares of Pioneer Solutions - Growth Fund at public
offering price during the periods shown, compared to that of the MSCI World ND
Index, the Standard & Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Net Public Barclays Standard MSCI
Asset Offering Aggregate & Poor's World
Value Price Bond 500 ND
Period (NAV) (POP) Index Index Index
--------------------------------------------------------------------------------
10 Years 5.16% 4.54% 4.86% 7.61% 6.08%
5 Years 9.04 7.75 4.57 15.58 10.73
1 Year 6.16 0.06 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.51%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Solutions - Barclays Aggregate Standard & Poor's MSCI World
Growth Fund Bond Index 500 Index ND Index
1/31/2005 $ 9,425 $10,000 $10,000 $10,000
1/31/2006 $10,743 $10,080 $10,901 $11,600
1/31/2007 $11,841 $10,639 $12,205 $13,440
1/31/2008 $11,648 $11,416 $11,766 $13,368
1/31/2009 $ 7,491 $11,651 $ 6,672 $ 7,069
1/31/2010 $10,111 $12,737 $10,246 $10,908
1/31/2011 $11,917 $13,365 $12,561 $13,272
1/31/2012 $11,899 $14,484 $13,201 $13,047
1/31/2013 $13,116 $14,936 $14,975 $14,442
1/31/2014 $14,680 $14,959 $18,772 $17,574
1/31/2015 $15,585 $15,864 $20,502 $17,907
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
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 the 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 shown 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.
30 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Performance Update | 1/31/15 Class C Shares
Pioneer Solutions - Growth Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class C shares of Pioneer Solutions - Growth Fund during the
periods shown, compared to that of the MSCI World ND Index, the Standard &
Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Barclays Standard MSCI
If Aggregate & Poor's World
If Re- Bond 500 ND
Period Held deemed Index Index Index
--------------------------------------------------------------------------------
10 Years 4.42% 4.42% 4.86% 7.61% 6.08%
5 Years 8.32 8.32 4.57 15.58 10.73
1 Year 5.41 5.41 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
2.20%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Solutions - Barclays Aggregate Standard & Poor's MSCI World
Growth Fund Bond Index 500 Index ND Index
1/31/2005 $10,000 $10,000 $10,000 $10,000
1/31/2006 $11,297 $10,080 $10,901 $11,600
1/31/2007 $12,362 $10,639 $12,205 $13,440
1/31/2008 $12,077 $11,416 $11,766 $13,368
1/31/2009 $ 7,725 $11,651 $ 6,672 $ 7,069
1/31/2010 $10,331 $12,737 $10,246 $10,908
1/31/2011 $12,094 $13,365 $12,561 $13,272
1/31/2012 $11,999 $14,484 $13,201 $13,047
1/31/2013 $13,147 $14,936 $14,975 $14,442
1/31/2014 $14,614 $14,959 $18,772 $17,574
1/31/2015 $15,405 $15,864 $20,502 $17,907
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). "If Held" results represent the percent change in
net asset value per share. Returns would have been lower had sales charges been
reflected. All results are historical and assume the reinvestment of dividends
and capital gains. Other share classes are available for which performance and
expenses will differ.
Performance results shown reflect any applicable expense waivers in effect
during the periods shown. Without such waivers Fund performance would be lower.
Waivers may not be in effect for all funds. Certain fee waivers are contractual
through a specified period. Otherwise, fee waivers can be rescinded at any time.
See the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 31
Performance Update | 1/31/15 Class Y Shares
Pioneer Solutions - Growth Fund
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $5 million
investment made in Class Y shares of Pioneer Solutions - Growth Fund during the
periods shown, compared to that of the MSCI World ND Index, the Standard &
Poor's 500 Index and the Barclays Aggregate Bond Index.
Average Annual Total Returns
(As of January 31, 2015)
--------------------------------------------------------------------------------
Net Barclays Standard MSCI
Asset Aggregate & Poor's World
Value Bond 500 ND
Period (NAV) Index Index Index
--------------------------------------------------------------------------------
10 Years 5.64% 4.86% 7.61% 6.08%
5 Years 9.11 4.57 15.58 10.73
1 Year 6.44 6.61 14.20 7.00
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated December 1, 2014)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.23%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Solutions - Barclays Aggregate Standard & Poor's MSCI World
Growth Fund Bond Index 500 Index ND Index
1/31/2005 $5,000,000 $5,000,000 $ 5,000,000 $5,000,000
1/31/2006 $5,719,834 $5,040,044 $ 5,450,651 $5,800,025
1/31/2007 $6,344,884 $5,319,384 $ 6,102,704 $6,719,794
1/31/2008 $6,278,656 $5,707,944 $ 5,882,796 $6,684,151
1/31/2009 $4,137,139 $5,825,482 $ 3,336,243 $3,534,598
1/31/2010 $5,595,553 $6,368,663 $ 5,122,902 $5,453,899
1/31/2011 $6,618,083 $6,682,733 $ 6,280,328 $6,635,998
1/31/2012 $6,557,233 $7,241,818 $ 6,600,306 $6,523,528
1/31/2013 $7,248,725 $7,468,008 $ 7,487,709 $7,221,125
1/31/2014 $8,130,421 $7,479,531 $ 9,386,238 $8,786,793
1/31/2015 $8,654,273 $7,931,952 $10,250,853 $8,953,510
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Performance shown for periods prior to the inception of the Fund's Class Y
shares on September 26, 2005, reflects the NAV performance of the Fund's Class A
shares. The performance does not reflect differences in expenses, including the
Rule 12b-1 fees applicable to Class A shares. Since fees for Class A shares are
generally higher than those of Class Y shares, the performance for Class Y
shares prior to their inception would have been higher than the performance
shown. Class Y shares are not subject to sales charges and are available for
limited groups of eligible investors, including institutional investors.
All results are historical and assume the reinvestment of dividends and capital
gains. Other share classes are available for which performance and expenses will
differ.
Performance results shown 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.
32 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Schedule of Investments | 1/31/15
Pioneer Solutions - Conservative Fund
----------------------------------------------------------------------------------------------
Shares Value
----------------------------------------------------------------------------------------------
MUTUAL FUNDS -- 93.6%
NON-PIONEER FUNDS -- 12.8%
76,976 Columbia Funds Series Trust I Contrarian Core Fund Class Y $ 1,628,042
316,808 Doubleline Total Return Bond Fund Class I 3,513,401
36,033 T Rowe Price International Funds - European Stock Fund 720,300
296,940 Western Asset Core Plus Bond Fund Class IS 3,518,739
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN NON-PIONEER FUNDS
(Cost $9,544,476) $ 9,380,482
----------------------------------------------------------------------------------------------
PIONEER FUNDS* -- 80.8%
1,632,437 Pioneer Bond Fund Class K $ 16,144,802
298,481 Pioneer Dynamic Credit Fund Class Y 2,847,509
125,465 Pioneer Equity Income Fund Class Y 4,268,328
105,828 Pioneer Floating Rate Fund Class Y 718,575
115,870 Pioneer Fundamental Growth Fund Class Y 2,122,736
213,649 Pioneer Global Equity Fund Class Y 2,824,434
407,354 Pioneer Global High Yield Fund Class Y 3,649,894
132,059 Pioneer Global Multisector Income Fund Class Y 1,442,081
216,701 Pioneer High Yield Fund Class Y 2,095,500
169,434 Pioneer International Value Fund Class Y 3,476,793
50,080 Pioneer Mid Cap Value Fund Class Y 1,348,151
46,862 Pioneer Real Estate Shares Class Y 1,475,699
951,483 Pioneer Short Term Income Fund Class Y 9,134,241
668,958 Pioneer Strategic Income Fund Class K 7,218,057
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN PIONEER FUNDS
(Cost $55,734,859) $ 58,766,800
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN SECURITIES -- 93.6%
(Cost $65,279,335) (a) $ 68,147,282
----------------------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- 6.4% $ 4,667,419
----------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100% $ 72,814,701
==============================================================================================
* Affiliated funds managed by Pioneer Investment Management, Inc.
(a) At January 31, 2015, the net unrealized appreciation on investments based
on cost for federal tax purposes of $66,155,215 was as follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of tax cost over value $ 3,221,981
Aggregate gross unrealized depreciation for all investments in which
there is an excess of tax cost over value (1,229,914)
------------
Net unrealized appreciation $ 1,992,067
============
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended January 31, 2015 aggregated $44,113,991 and $41,137,372,
respectively.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 33
Schedule of Investments | 1/31/15
Pioneer Solutions - Conservative Fund (continued)
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels below.
Highest priority is given to Level 1 inputs and lowest priority is given to
Level 3.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risks, etc.).
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments). See Notes
to Financial Statements -- Note 1A.
Generally, equity securities are categorized as Level 1, fixed income securities
and senior loans as Level 2 and securities valued using fair value methods
(other than prices supplied by independent pricing services or broker-dealers)
as Level 3. See Notes to Financial Statements -- Note 1A.
The following is a summary of the inputs used as of January 31, 2015, in valuing
the Fund's assets:
--------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
--------------------------------------------------------------------------------
Mutual Funds $68,147,282 $ -- $ -- $68,147,282
--------------------------------------------------------------------------------
Total $68,147,282 $ -- $ -- $68,147,282
--------------------------------------------------------------------------------
Other Financial Instruments
Net Unrealized Depreciation
on Futures Contracts $ (16,779) $ -- $ -- $ (16,779)
Net Unrealized Appreciation
on Forward Foreign
Currency Contracts -- 268,165 -- 268,165
Net Unrealized Depreciation
on Forward Foreign
Currency Contracts -- (217,609) -- (217,609)
--------------------------------------------------------------------------------
Total Other Financial
Instruments $ (16,779) $ 50,556 $ -- $ 33,777
================================================================================
During the six months ended January 31, 2015, there were no transfers between
Levels 1, 2, and 3.
The following is a summary of the fair valuation of certain of the Fund's assets
and liabilities as of January 31, 2015:
--------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
--------------------------------------------------------------------------------
Assets:
Futures Collateral $85,182 $ -- $ -- $ 85,182
Variation Margin 6,210 -- -- 6,210
Liabilities:
Due to Custodian -- (123,055) -- (123,055)
--------------------------------------------------------------------------------
Total $91,392 $ (123,055) $ -- $ (31,663)
================================================================================
The accompanying notes are an integral part of these financial statements.
34 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Schedule of Investments | 1/31/15
Pioneer Solutions - Balanced Fund
----------------------------------------------------------------------------------------------
Shares Value
----------------------------------------------------------------------------------------------
MUTUAL FUNDS -- 98.8%
NON-PIONEER FUNDS -- 19.2%
92,711 Aston/Fairpointe Mid Cap Fund Class I $ 3,714,930
188,952 Columbia Funds Series Trust I Contrarian Core Fund Class Y 3,996,335
965,042 Doubleline Total Return Bond Fund Class I 10,702,316
116,892 iShares MSCI Canada ETF 3,090,624
239,196 Oak Ridge Small Cap Growth Fund Class K 8,972,242
366,924 T Rowe Price International Funds -- European Stock Fund 7,334,811
373,062 Western Asset Core Plus Bond Fund Class IS 4,420,785
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN NON-PIONEER FUNDS
(Cost $44,520,710) $ 42,232,043
----------------------------------------------------------------------------------------------
PIONEER FUNDS* -- 79.6%
2,500,316 Pioneer Bond Fund Class K $ 24,728,125
512,354 Pioneer Core Equity Fund Class Y 8,561,435
889,926 Pioneer Dynamic Credit Fund Class Y 8,489,897
349,759 Pioneer Emerging Markets Fund Class Y 7,285,480
184,966 Pioneer Fund Class Y 6,634,727
588,259 Pioneer Fundamental Growth Fund Class Y 10,776,906
1,265,512 Pioneer Global Equity Fund Class Y 16,730,072
744,515 Pioneer Global High Yield Fund Class Y 6,670,854
399,143 Pioneer Global Multisector Income Fund Class Y 4,358,641
446,989 Pioneer High Yield Fund Class Y 4,322,380
1,290,354 Pioneer International Value Fund Class Y 26,478,071
361,891 Pioneer Mid Cap Value Fund Class Y 9,742,115
160,107 Pioneer Real Estate Shares Class Y 5,041,754
104,485 Pioneer Select Mid Cap Growth Fund Class Y 4,023,721
2,285,303 Pioneer Short Term Income Fund Class Y 21,938,908
828,787 Pioneer Strategic Income Fund Class K 8,942,612
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN PIONEER FUNDS
(Cost $150,964,109) $ 174,725,698
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN SECURITIES -- 98.8%
(Cost $195,484,819) (a) $ 216,957,741
----------------------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- 1.2% $ 2,630,910
----------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100% $ 219,588,651
==============================================================================================
* Affiliated funds managed by Pioneer Investment Management, Inc.
(a) At January 31, 2015, the net unrealized appreciation on investments based
on cost for federal tax purposes of $198,072,437 was as follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of tax cost over value $25,022,132
Aggregate gross unrealized depreciation for all investments in which
there is an excess of tax cost over value (6,136,828)
------------
Net unrealized appreciation $18,885,304
============
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 35
Schedule of Investments | 1/31/15
Pioneer Solutions - Balanced Fund (continued)
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended January 31, 2015 aggregated $96,692,201 and $85,010,562,
respectively.
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels below.
Highest priority is given to Level 1 inputs and lowest priority is given to
Level 3.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risks, etc.).
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments). See Notes
to Financial Statements -- Note 1A.
Generally, equity securities are categorized as Level 1, fixed income securities
and senior loans as Level 2 and securities valued using fair value methods
(other than prices supplied by independent pricing services or broker-dealers)
as Level 3. See Notes to Financial Statements -- Note 1A.
The following is a summary of the inputs used as of January 31, 2015, in valuing
the Fund's assets:
--------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
--------------------------------------------------------------------------------
Mutual Funds $216,957,741 $ -- $ -- $216,957,741
--------------------------------------------------------------------------------
Total $216,957,741 $ -- $ -- $216,957,741
================================================================================
Other Financial Instruments
Net Unrealized Depreciation
on Futures Contracts $ (50,421) $ -- $ -- $ (50,421)
Net Unrealized Appreciation
on Forward Foreign
Currency Contracts -- 838,252 -- 838,252
Net Unrealized Depreciation
on Forward Foreign
Currency Contracts -- (689,876) -- (689,876)
--------------------------------------------------------------------------------
Total Other Financial
Instruments $ (50,421) $ 148,376 $ -- $ 97,955
================================================================================
During the six months ended January 31, 2015, there were no transfers between
Levels 1, 2, and 3.
The following is a summary of the fair valuation of certain of the Fund's assets
and liabilities as of January 31, 2015:
--------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
--------------------------------------------------------------------------------
Assets:
Futures Collateral $333,439 $ -- $ -- $ 333,439
Variation Margin 10,325 -- -- 10,325
Liabilities:
Due to Custodian -- (365,051) -- (365,051)
--------------------------------------------------------------------------------
Total $343,764 $ (365,051) $ -- $ (21,287)
================================================================================
The accompanying notes are an integral part of these financial statements.
36 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Schedule of Investments | 1/31/15
Pioneer Solutions - Growth Fund
----------------------------------------------------------------------------------------------
Shares Value
----------------------------------------------------------------------------------------------
MUTUAL FUNDS -- 99.2%
NON-PIONEER FUNDS -- 23.4%
226,218 Aston/Fairpointe Mid Cap Fund Class I $ 9,064,555
588,380 Columbia Funds Series Trust I Contrarian Core Fund Class Y 12,444,237
663,597 Doubleline Total Return Bond Fund Class I 7,359,291
332,812 iShares MSCI Canada ETF 8,799,549
380,649 JPMorgan Intrepid European Fund Class I 9,124,157
498,987 Oak Ridge Small Cap Growth Fund Class K 18,717,002
919,082 T Rowe Price International Funds -- European Stock Fund 18,372,449
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN NON-PIONEER FUNDS
(Cost $89,125,137) $ 83,881,240
----------------------------------------------------------------------------------------------
PIONEER FUNDS* -- 75.8%
2,980,498 Pioneer Bond Fund Class K $ 29,477,125
1,366,523 Pioneer Core Equity Fund Class Y 22,834,595
608,858 Pioneer Emerging Markets Fund Class Y 12,682,508
303,384 Pioneer Fund Class Y 10,882,370
1,544,832 Pioneer Fundamental Growth Fund Class Y 28,301,322
2,790,750 Pioneer Global Equity Fund Class Y 36,893,719
405,895 Pioneer Global Multisector Income Fund Class Y 4,432,373
2,656,613 Pioneer International Value Fund Class Y 54,513,707
845,398 Pioneer Mid Cap Value Fund Class Y 22,758,120
450,812 Pioneer Real Estate Shares Class Y 14,196,065
238,172 Pioneer Select Mid Cap Growth Fund Class Y 9,172,023
1,331,995 Pioneer Short Term Income Fund Class Y 12,787,156
1,187,684 Pioneer Strategic Income Fund Class K 12,815,110
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN PIONEER FUNDS
(Cost $211,661,869) $ 271,746,193
----------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN SECURITIES -- 99.2%
(Cost $300,787,006) (a) $ 355,627,433
----------------------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- 0.8% $ 2,712,558
----------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100% $ 358,339,991
==============================================================================================
* Affiliated funds managed by Pioneer Investment Management, Inc.
(a) At January 31, 2015, the net unrealized appreciation on investments based
on cost for federal tax purposes of $302,404,668 was as follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of tax cost over value $60,265,186
Aggregate gross unrealized depreciation for all investments in which
there is an excess of tax cost over value (7,042,421)
------------
Net unrealized appreciation $53,222,765
============
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended January 31, 2015 aggregated $161,700,193 and $147,909,913,
respectively.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 37
Schedule of Investments | 1/31/15
Pioneer Solutions - Growth Fund (continued)
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels below.
Highest priority is given to Level 1 inputs and lowest priority is given to
Level 3.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risks, etc.).
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments). See Notes
to Financial Statements -- Note 1A.
Generally, equity securities are categorized as Level 1, fixed income securities
and senior loans as Level 2 and securities valued using fair value methods
(other than prices supplied by independent pricing services or broker-dealers)
as Level 3. See Notes to Financial Statements -- Note 1A.
The following is a summary of the inputs used as of January 31, 2015, in valuing
the Fund's assets:
---------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
---------------------------------------------------------------------------------------
Mutual Funds $355,627,433 $ -- $ -- $355,627,433
---------------------------------------------------------------------------------------
Total $355,627,433 $ -- $ -- $355,627,433
=======================================================================================
Other Financial Instruments
Net Unrealized Depreciation
on Futures Contracts $ (53,291) $ -- $ -- $ (53,291)
Net Unrealized Appreciation
on Forward Foreign
Currency Contracts -- 1,329,180 -- 1,329,180
Net Unrealized Depreciation
on Forward Foreign
Currency Contracts -- (1,078,710) -- (1,078,710)
---------------------------------------------------------------------------------------
Total Other Financial
Instruments $ (53,291) $ 250,470 $ -- $ 197,179
=======================================================================================
During the six months ended January 31, 2015, there were no transfers between
Levels 1, 2, and 3.
The following is a summary of the fair valuation of certain of the Fund's assets
and liabilities as of January 31, 2015:
--------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
--------------------------------------------------------------------------------
Assets:
Futures Collateral $592,024 $ -- $ -- $ 592,024
Variation Margin 18,592 -- -- 18,592
Liabilities:
Due to Custodian -- (609,668) -- (609,668)
--------------------------------------------------------------------------------
Total $610,616 $ (609,668) $ -- $ 948
================================================================================
The accompanying notes are an integral part of these financial statements.
38 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Statements of Assets and Liabilities | 1/31/15
------------------------------------------------------------------------------------------------
Pioneer Pioneer Pioneer
Solutions - Solutions - Solutions -
Conservative Balanced Growth
Fund Fund Fund
------------------------------------------------------------------------------------------------
ASSETS:
Investments in securities of affiliated issuers, at
value (at cost $55,734,859, $150,964,109
and $211,661,869, respectively) $58,766,800 $174,725,698 $271,746,193
Investments in securities of unaffiliated issuers,
at value (at cost $9,544,476, $44,520,710
and $89,125,137, respectively) 9,380,482 42,232,043 83,881,240
Cash 4,560,678 3,298,140 2,620,510
Futures collateral 85,182 333,439 592,024
Net unrealized appreciation on forward foreign
currency contracts 268,165 838,252 1,329,180
Receivables for:
Capital stock sold 80,688 365,848 143,853
Variation margin 6,210 10,325 18,592
Dividends 148,249 268,796 203,496
Due from Pioneer Investment
Management, Inc. 254 -- --
Other assets 35,129 37,651 40,804
------------------------------------------------------------------------------------------------
Total assets $73,331,837 $222,110,192 $360,575,892
================================================================================================
LIABILITIES:
Due to custodian (Cost $131,053, $388,428
and $648,917, respectively) 123,055 365,051 609,668
Net unrealized depreciation on futures contracts 16,779 50,421 53,291
Net unrealized depreciation on forward foreign
currency contracts 217,609 689,876 1,078,710
Payables for:
Capital stock redeemed 105,595 1,233,646 284,229
Due to affiliates 44,028 153,841 194,512
Distributions to shareowners 475 -- --
Accrued expenses and other liabilities 9,595 28,706 15,491
------------------------------------------------------------------------------------------------
Total liabilities: $ 517,136 $ 2,521,541 $ 2,235,901
================================================================================================
NET ASSETS:
Paid-in capital $66,131,486 $200,650,181 $299,410,155
Undistributed (distributions in excess of) net
investment income (151,724) 1,228,304 852,687
Accumulated net realized gain (loss) on
investments, futures contracts and foreign
currency transactions 3,925,217 (3,884,088) 3,000,294
Net unrealized appreciation on investments 2,867,947 21,472,922 54,840,427
Net unrealized depreciation on futures
contracts (16,779) (50,421) (53,291)
Net unrealized appreciation on forward foreign
currency contracts and other assets and
liabilities denominated in foreign currencies 58,554 171,753 289,719
------------------------------------------------------------------------------------------------
Total net assets $72,814,701 $219,588,651 $358,339,991
================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 39
Statements of Assets and Liabilities | 1/31/15 (continued)
----------------------------------------------------------------------------------
Pioneer Pioneer Pioneer
Solutions - Solutions - Solutions -
Conservative Balanced Growth
Fund Fund Fund
----------------------------------------------------------------------------------
NET ASSET VALUE PER SHARE:
(No par value, unlimited number of
shares authorized)
Net Assets of Class A shares $50,290,706 $139,921,919 $268,674,006
Net Assets of Class C shares $22,399,662 $ 76,470,084 $ 88,303,002
Net Assets of Class Y shares $ 124,333 $ 3,196,648 $ 1,362,983
Class A Shares outstanding 4,331,676 11,346,168 20,445,134
Class C Shares outstanding 1,984,112 6,671,062 7,083,154
Class Y Shares outstanding 11,259 256,268 101,794
Net Asset Value - Class A shares $ 11.61 $ 12.33 $ 13.14
Net Asset Value - Class C shares $ 11.29 $ 11.46 $ 12.47
Net Asset Value - Class Y shares $ 11.04 $ 12.47 $ 13.39
MAXIMUM OFFERING PRICE:
Class A (100/94.25 x net asset value
per share) $ 12.32 $ 13.08 $ 13.94
==================================================================================
The accompanying notes are an integral part of these financial statements.
40 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Statements of Operations
For the Six Months Ended 1/31/15
--------------------------------------------------------------------------------------
Pioneer Pioneer Pioneer
Solutions - Solutions - Solutions -
Conservative Balanced Growth
Fund Fund Fund
--------------------------------------------------------------------------------------
INVESTMENT INCOME:
Dividend income from underlying
affiliated funds $1,349,694 $4,349,705 $7,062,161
Dividend income from underlying
unaffiliated funds 58,329 991,280 2,052,663
Interest 473 750 685
--------------------------------------------------------------------------------------
Total Investment Income $1,408,496 $5,341,735 $9,115,509
--------------------------------------------------------------------------------------
EXPENSES:
Management fees $ 47,587 $ 145,443 $ 189,446
Transfer agent fees
Class A 17,815 62,155 139,841
Class B* 1,514 6,215 11,499
Class C 6,101 17,181 25,071
Class Y 125 200 195
Distribution fees
Class A 62,192 175,415 262,081
Class B* 4,963 17,846 29,334
Class C 111,630 382,677 373,380
Shareholder communications expense 15,494 64,851 79,518
Administrative fees 16,995 39,314 50,468
Custodian fees 7,208 10,142 11,993
Registration fees 27,684 38,958 36,201
Professional fees 18,039 16,867 38,440
Printing fees 5,689 8,327 10,123
Fees and expenses of non-affiliated trustees 1,479 3,238 3,468
Insurance expense 459 493 1,479
Miscellaneous 3,505 3,616 2,847
--------------------------------------------------------------------------------------
Total expenses $ 348,479 $ 992,938 $1,265,384
Less fees waived and expenses reimbursed
by Pioneer Investment Management, Inc. $ (914) $ (4,165) $ (4,992)
--------------------------------------------------------------------------------------
Net expenses $ 347,565 $ 988,773 $1,260,392
--------------------------------------------------------------------------------------
Net investment income $1,060,931 $4,352,962 $7,855,117
--------------------------------------------------------------------------------------
* Class B shares converted to Class A shares on November 10, 2014.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 41
Statements of Operations (continued)
For the Six Months Ended 1/31/15
------------------------------------------------------------------------------------------------
Pioneer Pioneer Pioneer
Solutions - Solutions - Solutions -
Conservative Balanced Growth
Fund Fund Fund
------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
ON INVESTMENTS, FUTURES CONTRACTS
AND FOREIGN CURRENCY TRANSACTIONS:
Net realized gain (loss) on:
Underlying affiliated funds $ 4,072,069 $ 9,650,034 $ 15,490,368
Underlying unaffiliated funds 144,592 3,459,234 5,631,405
Capital gain on distributions from underlying
affiliated funds 1,569,658 7,794,382 13,492,911
Capital gain on distributions from underlying
unaffiliated funds 109,029 267,632 1,890,143
Futures contracts (5,407) 321 (11,802)
Forward foreign currency contracts and
other assets and liabilities denominated
in foreign currencies (130,638) (398,449) (653,073)
------------------------------------------------------------------------------------------------
$ 5,759,303 $ 20,773,154 $ 35,839,952
------------------------------------------------------------------------------------------------
Change in net unrealized appreciation
(depreciation) on:
Underlying affiliated funds $ (6,431,727) $ (24,608,601) $ (42,877,072)
Underlying unaffiliated funds (163,994) (1,489,752) (3,577,280)
Futures contracts (16,779) (50,421) (53,291)
Forward foreign currency contracts and
other assets and liabilities denominated
in foreign currencies 58,554 171,753 289,719
------------------------------------------------------------------------------------------------
$ (6,553,946) $ (25,977,021) $ (46,217,924)
------------------------------------------------------------------------------------------------
Net increase (decrease) on investments,
futures contracts and foreign
currency transactions $ (794,643) $ (5,203,867) $ (10,377,972)
------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting
from operations $ 266,288 $ (850,905) $ (2,522,855)
================================================================================================
The accompanying notes are an integral part of these financial statements.
42 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Statements of Changes in Net Assets
-----------------------------------------------------------------------------------------------
Pioneer Solutions - Pioneer Solutions -
Conservative Fund Balanced Fund
--------------------------- ----------------------------
Six Months Six Months
Ended Year Ended Year
1/31/15 Ended 1/31/15 Ended
(unaudited) 7/31/14 (unaudited) 7/31/14
-----------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 1,060,931 $ 1,301,536 $ 4,352,962 $ 2,818,994
Net realized gain on investments,
futures contracts and foreign
currency transactions 5,759,303 1,850,622 20,773,154 10,709,663
Change in net unrealized
appreciation (depreciation) on
investments, futures contracts
and foreign currency transactions (6,553,946) 1,439,336 (25,977,021) 7,279,886
-----------------------------------------------------------------------------------------------
Net increase (decrease) in
net assets resulting
from operations $ 266,288 $ 4,591,494 $ (850,905) $ 20,808,543
-----------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.31, $0.36, $0.36
and $0.21, respectively) $ (1,323,297) $ (1,350,144) $ (4,057,950) $ (2,249,406)
Class B* ($0.00, $0.22, $0.00
and $0.04, respectively) -- (55,077) -- (34,306)
Class C ($0.23, $0.28, $0.29
and $0.15, respectively) (444,119) (519,914) (1,842,345) (947,689)
Class Y ($0.34, $0.27, $0.40
and $0.24, respectively) (3,714) (3,739) (101,158) (65,977)
-----------------------------------------------------------------------------------------------
Total distributions to
shareowners $ (1,771,130) $ (1,928,874) $ (6,001,453) $ (3,297,378)
-----------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sales or
exchange of shares $ 9,399,931 $ 16,042,138 $ 24,646,907 $ 39,270,319
Reinvestment of distributions 1,578,285 1,723,597 5,480,505 3,036,320
Cost of shares repurchased (7,843,304) (17,505,472) (25,574,933) (45,544,611)
-----------------------------------------------------------------------------------------------
Net increase (decrease) in
net assets resulting from
Fund share transactions 3,134,912 260,263 4,552,479 (3,237,972)
-----------------------------------------------------------------------------------------------
Net increase (decrease) in
net assets $ 1,630,070 $ 2,922,883 $ (2,299,879) $ 14,273,193
NET ASSETS:
Beginning of period 71,184,631 68,261,748 221,888,530 207,615,337
-----------------------------------------------------------------------------------------------
End of period $ 72,814,701 $ 71,184,631 $219,588,651 $221,888,530
-----------------------------------------------------------------------------------------------
Undistributed (distributions in
excess of) net investment
income, end of period $ (151,724) $ 558,475 $ 1,228,304 $ 2,876,795
===============================================================================================
* Class B shares converted to Class A shares on November 10, 2014.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 43
Statements of Changes in Net Assets (continued)
----------------------------------------------------------------------------------
Pioneer Solutions -
Growth Fund
----------------------------
Six Months
Ended Year
1/31/15 Ended
(unaudited) 7/31/14
----------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 7,855,117 $ 2,354,017
Net realized gain on investments, futures contracts
and foreign currency transactions 35,839,952 11,147,586
Change in net unrealized appreciation (depreciation)
on investments, futures contracts and foreign
currency transactions (46,217,924) 12,104,219
----------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting
from operations $ (2,522,855) $ 25,605,822
----------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.43 and $0.19, respectively) $ (7,525,389) $ (2,221,392)
Class B* ($0.00 and $0.02, respectively) -- (28,898)
Class C ($0.29 and $0.12, respectively) (1,855,255) (555,724)
Class Y ($0.49 and $0.21, respectively) (44,315) (23,647)
----------------------------------------------------------------------------------
Total distributions to shareowners $ (9,424,959) $ (2,829,661)
----------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sales or exchange of shares $ 30,384,819 $ 38,239,391
Shares issued in reorganization 128,735,046 --
Reinvestment of distributions 8,866,242 2,678,217
Cost of shares repurchased (36,681,259) (46,083,872)
----------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting
from Fund share transactions 131,304,848 (5,166,264)
----------------------------------------------------------------------------------
Net increase in net assets $119,357,034 $ 17,609,897
NET ASSETS:
Beginning of period 238,982,957 221,373,060
----------------------------------------------------------------------------------
End of period $358,339,991 $238,982,957
----------------------------------------------------------------------------------
Undistributed net investment income, end of period $ 852,687 $ 2,422,529
==================================================================================
* Class B shares converted to Class A shares on November 10, 2014.
The accompanying notes are an integral part of these financial statements.
44 Pioneer Solutions Funds| Semiannual Report | 1/31/15
--------------------------------------------------------------------------------------
Pioneer Solutions - Conservative Fund
------------------------------------------------------
'15 Shares '15 Amount
(unaudited) (unaudited) '14 Shares '14 Amount
--------------------------------------------------------------------------------------
Class A
Shares sold 563,999 $ 6,704,075 887,243 $ 10,329,684
Reinvestment of distributions 108,759 1,262,696 114,334 1,312,556
Less shares repurchased (291,803) (3,454,382) (926,350) (10,750,423)
--------------------------------------------------------------------------------------
Net increase 380,955 $ 4,512,389 75,227 $ 891,817
======================================================================================
Class B*
Shares sold or exchanged 4,713 $ 54,608 8,303 $ 94,672
Reinvestment of distributions -- -- 4,767 54,011
Less shares repurchased (167,693) (1,956,877) (148,745) (1,699,869)
--------------------------------------------------------------------------------------
Net decrease (162,980) $ (1,902,269) (135,675) $ (1,551,186)
======================================================================================
Class C
Shares sold 228,530 $ 2,619,727 494,388 $ 5,586,236
Reinvestment of distributions 27,838 314,573 31,902 356,669
Less shares repurchased (209,705) (2,413,662) (441,817) (5,000,197)
--------------------------------------------------------------------------------------
Net increase 46,663 $ 520,638 84,473 $ 942,708
======================================================================================
Class Y
Shares sold 1,900 $ 21,521 2,819 $ 31,546
Reinvestment of distributions 92 1,016 33 361
Less shares repurchased (1,621) (18,383) (4,982) (54,983)
--------------------------------------------------------------------------------------
Net increase (decrease) 371 $ 4,154 (2,130) $ (23,076)
======================================================================================
--------------------------------------------------------------------------------------
Pioneer Solutions - Balanced Fund
------------------------------------------------------
'15 Shares '15 Amount
(unaudited) (unaudited) '14 Shares '14 Amount
--------------------------------------------------------------------------------------
Class A
Shares sold or exchanged 1,187,594 $ 15,139,075 1,730,399 $ 21,244,963
Reinvestment of distributions 321,826 4,006,744 181,389 2,225,640
Less shares repurchased (890,307) (11,249,887) (2,140,186) (26,312,690)
--------------------------------------------------------------------------------------
Net increase (decrease) 619,113 $ 7,895,932 (228,398) $ (2,842,087)
======================================================================================
Class B*
Shares sold or exchanged 4,578 $ 57,243 24,572 $ 288,491
Reinvestment of distributions 2 29 2,819 33,719
Less shares repurchased (552,570) (6,850,527) (369,252) (4,391,960)
--------------------------------------------------------------------------------------
Net decrease (547,990) $ (6,793,255) (341,861) $ (4,069,750)
======================================================================================
Class C
Shares sold 779,137 $ 9,118,990 1,500,562 $ 17,145,235
Reinvestment of distributions 120,191 1,391,813 63,300 724,152
Less shares repurchased (607,203) (7,123,484) (1,136,287) (13,011,583)
--------------------------------------------------------------------------------------
Net increase 292,125 $ 3,387,319 427,575 $ 4,857,804
======================================================================================
Class Y
Shares sold 25,530 $ 331,599 47,248 $ 591,630
Reinvestment of distributions 6,507 81,919 4,259 52,809
Less shares repurchased (27,339) (351,035) (148,680) (1,828,378)
--------------------------------------------------------------------------------------
Net increase (decrease) 4,698 $ 62,483 (97,173) $ (1,183,939)
======================================================================================
* Class B shares converted to Class A shares on November 10, 2014.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 45
Statements of Changes in Net Assets (continued)
------------------------------------------------------------------------------------------
Pioneer Solutions - Growth Fund
--------------------------------------------------------
'15 Shares '15 Amount
(unaudited) (unaudited) '14 Shares '14 Amount
------------------------------------------------------------------------------------------
Class A
Shares sold 1,732,768 $ 20,515,118 1,736,995 $ 22,612,720
Shares issued in reorganization 7,524,857 105,417,866 -- --
Reinvestment of distributions 557,074 7,471,810 169,003 2,208,870
Less shares repurchased (1,381,323) (18,636,906) (2,034,554) (26,595,672)
------------------------------------------------------------------------------------------
Net increase (decrease) 8,433,376 $ 114,767,888 (128,556) $ (1,774,082)
==========================================================================================
Class B*
Shares sold or exchanged 4,535 $ 53,845 14,332 $ 164,771
Reinvestment of distributions -- -- 2,462 28,776
Less shares repurchased (935,783) (11,405,246) (681,493) (7,889,671)
------------------------------------------------------------------------------------------
Net decrease (931,248) $ (11,351,401) (664,699) $ (7,696,124)
==========================================================================================
Class C
Shares sold 815,590 $ 9,586,254 1,219,202 $ 15,073,934
Shares issued in reorganization 1,722,284 22,944,724 -- --
Reinvestment of distributions 108,062 1,373,818 34,448 426,113
Less shares repurchased (501,154) (6,398,320) (868,349) (10,778,809)
------------------------------------------------------------------------------------------
Net increase 2,144,782 $ 27,506,476 385,301 $ 4,721,238
==========================================================================================
Class Y
Shares sold 16,977 $ 229,602 29,478 $ 387,966
Shares issued in reorganization 26,428 372,456 -- --
Reinvestment of distributions 1,508 20,614 1,086 14,458
Less shares repurchased (17,410) (240,787) (60,880) (819,720)
------------------------------------------------------------------------------------------
Net increase (decrease) 27,503 $ 381,885 (30,316) $ (417,296)
==========================================================================================
* Class B shares converted to Class A shares on November 10, 2014.
The accompanying notes are an integral part of these financial statements.
46 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Financial Highlights
---------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Conservative Fund
------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
---------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 11.86 $ 11.42 $ 10.73 $ 10.85 $ 10.19 $ 9.40
---------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.19 $ 0.25 $ 0.28 $ 0.28 $ 0.26 $ 0.25
Net realized and unrealized gain (loss) on investments (0.13) 0.55 0.64 (0.09) 0.65 0.86
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.06 $ 0.80 $ 0.92 $ 0.19 $ 0.91 $ 1.11
---------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.31) $ (0.36) $ (0.23) $ (0.31) $ (0.25) $ (0.32)
---------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.31) $ (0.36) $ (0.23) $ (0.31) $ (0.25) $ (0.32)
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.25) $ 0.44 $ 0.69 $ (0.12) $ 0.66 $ 0.79
---------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 11.61 $ 11.86 $ 11.42 $ 10.73 $ 10.85 $ 10.19
===========================================================================================================================
Total return* 0.53%** 7.10% 8.72% 1.85% 9.04% 11.88%
Ratio of net expenses to average net assets+ 0.71%*** 0.76% 0.77% 0.78% 0.78% 0.78%
Ratio of net investment income to average net assets+ 3.21%*** 2.15% 2.51% 2.69% 2.47% 2.55%
Portfolio turnover rate 60%*** 12% 17% 20% 15% 13%
Net assets, end of period (in thousands) $50,291 $46,873 $44,239 $42,613 $42,882 $35,986
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 0.71%*** 0.76% 0.77% 0.82% 0.80% 0.84%
Net investment income 3.21%*** 2.15% 2.51% 2.65% 2.45% 2.49%
===========================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 47
Financial Highlights (continued)
---------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Conservative Fund
------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
---------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 11.51 $ 11.09 $ 10.44 $ 10.56 $ 9.96 $ 9.21
---------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.14 $ 0.16 $ 0.18 $ 0.20 $ 0.18 $ 0.17
Net realized and unrealized gain (loss) on investments (0.13) 0.54 0.63 (0.09) 0.63 0.83
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.01 $ 0.70 $ 0.81 $ 0.11 $ 0.81 $ 1.00
---------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.23) $ (0.28) $ (0.16) $ (0.23) $ (0.21) $ (0.25)
---------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.23) $ (0.28) $ (0.16) $ (0.23) $ (0.21) $ (0.25)
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.22) $ 0.42 $ 0.65 $ (0.12) $ 0.60 $ 0.75
---------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 11.29 $ 11.51 $ 11.09 $ 10.44 $ 10.56 $ 9.96
===========================================================================================================================
Total return* 0.09%** 6.42% 7.83% 1.16% 8.18% 10.91%
Ratio of net expenses to average net assets+ 1.45%*** 1.49% 1.51% 1.56% 1.55% 1.59%
Ratio of net investment income to average net assets+ 2.37%*** 1.40% 1.70% 1.91% 1.71% 1.73%
Portfolio turnover rate 60% 12% 17% 20% 15% 13%
Net assets, end of period (in thousands) $22,400 $22,290 $20,542 $16,257 $15,068 $14,063
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 1.45%*** 1.49% 1.51% 1.56% 1.55% 1.59%
Net investment income 2.37%*** 1.40% 1.70% 1.91% 1.71% 1.73%
===========================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
48 Pioneer Solutions Funds| Semiannual Report | 1/31/15
---------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Conservative Fund
------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
---------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 11.32 $ 10.86 $ 10.21 $ 10.41 $ 9.79 $ 9.02
---------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.18 $ 0.24 $ 0.20 $ 0.13 $ 0.24 $ 0.28
Net realized and unrealized gain (loss) on investments (0.12) 0.49 0.61 (0.10) 0.65 0.78
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.06 $ 0.73 $ 0.81 $ 0.03 $ 0.89 $ 1.06
---------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.34) $ (0.27) $ (0.16) $ (0.23) $ (0.27) $ (0.29)
---------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.34) $ (0.27) $ (0.16) $ (0.23) $ (0.27) $ (0.29)
---------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.28) $ 0.46 $ 0.65 $ (0.20) $ 0.62 $ 0.77
---------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 11.04 $ 11.32 $ 10.86 $ 10.21 $ 10.41 $ 9.79
===========================================================================================================================
Total return* 0.53%** 6.83% 8.00% 0.34% 9.18% 11.89%
Ratio of net expenses to average net assets+ 0.68%*** 0.98% 1.43% 2.26% 0.82% 0.63%
Ratio of net investment income to average net assets+ 3.08%*** 2.13% 1.88% 1.28% 2.36% 2.94%
Portfolio turnover rate 60% 12% 17% 20% 15% 13%
Net assets, end of period (in thousands) $ 124 $ 123 $ 141 $ 65 $ 72 $ 119
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 0.68%*** 0.98% 1.43% 2.26% 0.82% 0.63%
Net investment income 3.08%*** 2.13% 1.88% 1.28% 2.36% 2.94%
===========================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 49
Financial Highlights (continued)
----------------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Balanced Fund
--------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
----------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 12.73 $ 11.72 $ 10.46 $ 10.74 $ 9.68 $ 8.79
----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.27 $ 0.19 $ 0.21 $ 0.18 $ 0.17 $ 0.16
Net realized and unrealized gain (loss) on investments (0.31) 1.03 1.27 (0.22) 1.07 1.00
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.04) $ 1.22 $ 1.48 $ (0.04) $ 1.24 $ 1.16
----------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.36) $ (0.21) $ (0.22) $ (0.24) $ (0.18) $ (0.27)
----------------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.36) $ (0.21) $ (0.22) $ (0.24) $ (0.18) $ (0.27)
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.40) $ 1.01 $ 1.26 $ (0.28) $ 1.06 $ 0.89
----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 12.33 $ 12.73 $ 11.72 $ 10.46 $ 10.74 $ 9.68
==================================================================================================================================
Total return* (0.31)%** 10.48% 14.32% (0.27)% 12.91% 13.26%
Ratio of net expenses to average net assets+ 0.64%*** 0.64% 0.66% 0.72% 0.71% 0.73%
Ratio of net investment income to average net assets+ 4.25%*** 1.57% 1.85% 1.75% 1.59% 1.70%
Portfolio turnover rate 39% 10% 9% 9% 14% 10%
Net assets, end of period (in thousands) $139,922 $136,511 $128,425 $118,833 $132,166 $125,354
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 0.64%*** 0.64% 0.66% 0.72% 0.71% 0.73%
Net investment income 4.25%*** 1.57% 1.85% 1.75% 1.59% 1.70%
==================================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
50 Pioneer Solutions Funds| Semiannual Report | 1/31/15
----------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Balanced Fund
--------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
----------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 11.82 $ 10.92 $ 9.77 $ 10.07 $ 9.10 $ 8.29
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.20 $ 0.09 $ 0.12 $ 0.10 $ 0.09 $ 0.09
Net realized and unrealized gain (loss) on investments (0.27) 0.96 1.19 (0.22) 1.01 0.94
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.07) $ 1.05 $ 1.31 $ (0.12) $ 1.10 $ 1.03
----------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.29) $ (0.15) $ (0.16) $ (0.18) $ (0.13) $ (0.22)
----------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.29) $ (0.15) $ (0.16) $ (0.18) $ (0.13) $ (0.22)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.36) $ 0.90 $ 1.15 $ (0.30) $ 0.97 $ 0.81
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 11.46 $ 11.82 $ 10.92 $ 9.77 $ 10.07 $ 9.10
============================================================================================================================
Total return* (0.65)%** 9.70% 13.56% (1.08)% 12.12% 12.43%
Ratio of net expenses to average net assets+ 1.33%*** 1.33% 1.34% 1.41% 1.40% 1.44%
Ratio of net investment income to average net assets+ 3.42%*** 0.81% 1.15% 1.06% 0.89% 0.98%
Portfolio turnover rate 39% 10% 9% 9% 14% 10%
Net assets, end of period (in thousands) $76,470 $75,377 $64,989 $53,594 $52,059 $43,725
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 1.33%*** 1.33% 1.34% 1.41% 1.40% 1.44%
Net investment income 3.42%*** 0.87% 1.15% 1.06% 0.89% 0.98%
============================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 51
Financial Highlights (continued)
------------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Balanced Fund
----------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
------------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 12.88 $ 11.86 $ 10.58 $ 10.88 $ 9.80 $ 8.89
------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.29 $ 0.23 $ 0.25 $ 0.22 $ 0.21 $ 0.20
Net realized and unrealized gain (loss) on investments (0.30) 1.03 1.28 (0.23) 1.09 1.02
------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.01) $ 1.26 $ 1.53 $ (0.01) $ 1.30 $ 1.22
------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.40) $ (0.24) $ (0.25) $ (0.29) $ (0.22) $ (0.31)
------------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.40) $ (0.24) $ (0.25) $ (0.29) $ (0.22) $ (0.31)
------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.41) $ 1.02 $ 1.28 $ (0.30) $ 1.08 $ 0.91
------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 12.47 $ 12.88 $ 11.86 $ 10.58 $ 10.88 $ 9.80
==============================================================================================================================
Total return* (0.14)%** 10.68% 14.68% 0.00%(b) 13.37% 13.75%
Ratio of net expenses to average net assets+ 0.29%*** 0.40% 0.36% 0.38% 0.32% 0.33%
Ratio of net investment income to average net assets+ 4.54%*** 1.88% 2.26% 2.14% 2.00% 2.10%
Portfolio turnover rate 39% 10% 9% 9% 14% 10%
Net assets, end of period (in thousands) $ 3,197 $ 3,239 $ 4,134 $ 5,208 $ 8,069 $ 8,120
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 0.29%*** 0.40% 0.36% 0.38% 0.32% 0.33%
Net investment income 4.54%*** 1.88% 2.26% 2.14% 2.00% 2.10%
==============================================================================================================================
(a) Calculated using average shares outstanding for the period.
(b) Amount rounds to less than 0.01%.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
52 Pioneer Solutions Funds| Semiannual Report | 1/31/15
-----------------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Growth Fund
---------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
-----------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 13.60 $ 12.32 $ 10.75 $ 11.09 $ 9.77 $ 8.74
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.40 $ 0.16 $ 0.17 $ 0.14 $ 0.12 $ 0.11
Net realized and unrealized gain (loss) on investments (0.43) 1.31 1.57 (0.29) 1.33 1.10
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.03) $ 1.47 $ 1.74 $ (0.15) $ 1.45 $ 1.21
-----------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.43) $ (0.19) $ (0.17) $ (0.19) $ (0.13) $ (0.18)
-----------------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.43) $ (0.19) $ (0.17) $ (0.19) $ (0.13) $ (0.18)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.46) $ 1.28 $ 1.57 $ (0.34) $ 1.32 $ 1.03
-----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 13.14 $ 13.60 $ 12.32 $ 10.75 $ 11.09 $ 9.77
===================================================================================================================================
Total return* (0.24)%** 11.96% 16.40% (1.31)% 14.85% 13.90%
Ratio of net expenses to average net assets+ 0.67%*** 0.68% 0.69% 0.76% 0.76% 0.79%
Ratio of net investment income to average net assets+ 5.87%*** 1.24% 1.50% 1.29% 1.11% 1.12%
Portfolio turnover rate 52% 8% 6% 7% 12% 11%
Net assets, end of period (in thousands) $268,674 $163,349 $149,586 $134,988 $140,979 $125,433
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 0.67%*** 0.68% 0.69% 0.76% 0.76% 0.80%
Net investment income 5.87%*** 1.24% 1.50% 1.29% 1.11% 1.11%
===================================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 53
Financial Highlights (continued)
----------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Growth Fund
--------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
----------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 12.82 $ 11.65 $ 10.18 $ 10.50 $ 9.26 $ 8.30
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.29 $ 0.06 $ 0.09 $ 0.06 $ 0.04 $ 0.04
Net realized and unrealized gain (loss) on investments (0.35) 1.23 1.48 (0.27) 1.26 1.04
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.06) $ 1.29 $ 1.57 $ (0.21) $ 1.30 $ 1.08
----------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.29) $ (0.12) $ (0.10) $ (0.11) $ (0.06) $ (0.12)
----------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.29) $ (0.12) $ (0.10) $ (0.11) $ (0.06) $ (0.12)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.35) $ 1.17 $ 1.47 $ (0.32) $ 1.24 $ 0.96
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 12.47 $ 12.82 $ 11.65 $ 10.18 $ 10.50 $ 9.26
============================================================================================================================
Total return* (0.51)%** 11.09% 15.58% (1.91)% 14.10% 13.08%
Ratio of net expenses to average net assets+ 1.34%*** 1.37% 1.40% 1.46% 1.46% 1.51%
Ratio of net investment income to average net assets+ 4.45%*** 0.46% 0.78% 0.59% 0.40% 0.40%
Portfolio turnover rate 52% 8% 6% 7% 12% 11%
Net assets, end of period (in thousands) $88,303 $63,333 $53,032 $45,570 $48,586 $43,087
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 1.34%*** 1.37% 1.40% 1.46% 1.46% 1.51%
Net investment income 4.45%*** 0.46% 0.78% 0.59% 0.40% 0.40%
============================================================================================================================
(a) Calculated using average shares outstanding for the period.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period.
** Not annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
54 Pioneer Solutions Funds| Semiannual Report | 1/31/15
----------------------------------------------------------------------------------------------------------------------------
Pioneer Solutions - Growth Fund
--------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
1/31/15 Ended Ended Ended Ended Ended
(unaudited) 7/31/14 7/31/13 7/31/12 7/31/11 7/31/10
----------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 13.88 $ 12.56 $ 10.95 $ 11.45 $ 10.07 $ 9.00
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (a) $ 0.38 $ 0.28 $ 0.20 $ 0.17 $ 0.17 $ 0.15
Net realized and unrealized gain (loss) on investments (0.38) 1.25 1.61 (0.44) 1.37 1.14
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.00)(b) $ 1.53 $ 1.81 $ (0.27) $ 1.54 $ 1.29
----------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.49) $ (0.21) $ (0.20) $ (0.23) $ (0.16) $ (0.22)
----------------------------------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (0.49) $ (0.21) $ (0.20) $ (0.23) $ (0.16) $ (0.22)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.49) $ 1.32 $ 1.61 $ (0.50) $ 1.38 $ 1.07
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 13.39 $ 13.88 $ 12.56 $ 10.95 $ 11.45 $ 10.07
============================================================================================================================
Total return* (0.08)%** 12.25% 16.70% (2.28)% 15.39% 14.33%
Ratio of net expenses to average net assets+ 0.35%*** 0.40% 0.44% 0.50% 0.36% 0.39%
Ratio of net investment income to average net assets+ 5.49%*** 2.10% 1.71% 1.60% 1.58% 1.54%
Portfolio turnover rate 52% 8% 6% 7% 12% 11%
Net assets, end of period (in thousands) $ 1,363 $ 1,031 $ 1,314 $ 2,012 $ 1,947 $ 2,508
Ratios with no waivers of fees and assumption of expenses
by the Adviser and no reduction for fees paid indirectly:
Net expenses 0.35%*** 0.40% 0.44% 0.50% 0.36% 0.39%
Net investment income 5.49%*** 2.10% 1.71% 1.60% 1.58% 1.54%
============================================================================================================================
(a) Calculated using average shares outstanding for the period.
(b) Amount rounds to less than $(0.01).
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions and the complete redemption of
the investment at net asset value at the end of each period. ** Not
annualized.
+ In addition to the expenses which the Fund bears directly, the Fund
indirectly bears pro rata shares of the expenses of the funds in which the
Fund invests. Because each of the underlying funds bears its own varying
expense levels and because the Fund may own differing proportions of each
fund at different times, the amount of expenses incurred indirectly by the
Fund will vary from time to time.
*** Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 55
Notes to Financial Statements | 1/31/15
1. Organization and Significant Accounting Policies
Pioneer Asset Allocation Trust (formerly known as Pioneer Ibbotson Asset
Allocation Series) (the "Trust") is organized as a Delaware statutory trust and
is registered with the Securities and Exchange Commission under the Investment
Company Act of 1940 (the 1940 Act) as an open-end management investment company.
The Trust consists of three separate funds (each, a "Fund," and collectively,
the "Funds"), each issuing three classes of shares as follows:
Pioneer Solutions - Conservative Fund (formerly Pioneer Ibbotson Conservative
Allocation Fund ("Conservative Fund")
Pioneer Solutions - Growth Fund (formerly Pioneer Ibbotson Growth Allocation
Fund) ("Growth Fund")
Pioneer Solutions - Balanced Fund (formerly Pioneer Ibbotson Moderate Allocation
Fund) ("Balanced Fund")
The investment objective of each of the Conservative Fund, the Growth Fund and
the Balanced Fund is to seek long-term capital growth and current income.
Each Fund is a "fund of funds." Each Fund seeks to achieve its investment
objective by investing primarily in other funds ("underlying funds"). Each Fund
may also invest directly in securities and use derivatives. Each Fund invests
mainly in funds managed by Pioneer Investment Management, Inc. (PIM). Each Fund
may also invest in unaffiliated mutual funds or exchange- traded funds (ETFs).
The Funds indirectly pay a portion of the expenses incurred by underlying funds.
Consequently, an investment in the Funds entails more direct and indirect
expenses than direct investment in the applicable underlying funds.
Each Fund offers three classes of shares designated as Class A, Class C and
Class Y shares. Each Fund ceased to offer Class B shares on November 10, 2014.
Class B shares were converted to Class A shares as of the close of business on
November 10, 2014. Each class of shares represents an interest in the same
portfolio of investments of each Fund and has identical rights (based on
relative net asset values) to assets and liquidation proceeds. Share classes can
bear different rates of class-specific fees and expenses such as transfer agent
and distribution fees. Differences in class specific fees and expenses will
result in differences in net investment income and, therefore, the payment of
different dividends from net investment income earned by each class. The Amended
and Restated Declaration of Trust of each Fund gives the Board the flexibility
to specify either per-share voting or dollar-weighted voting when submitting
matters for shareholder approval. Under per-share voting, each share of a class
of a Fund is entitled to one vote. Under dollar-weighted voting, a
56 Pioneer Solutions Funds| Semiannual Report | 1/31/15
shareholder's voting power is determined not by the number of shares owned, but
by the dollar value of the shares on the record date. Each share class has
exclusive voting rights with respect to matters affecting only that class,
including with respect to the distribution plan for that class. There is no
distribution plan for Class Y shares.
The financial statements have been prepared in conformity with U.S. generally
accepted accounting principles that require the management of the Funds to,
among other things, make estimates and assumptions that affect the reported
amounts of assets and liabilities at the date of the financial statements and
the reported amounts of income and expenses during the reporting period. Actual
results could differ from these estimates.
The following is a summary of significant accounting policies followed by the
Trust in preparation of its financial statements, which are consistent with
those policies generally accepted in the investment company industry:
A. Security Valuation
Security transactions are recorded as of the trade date. The net asset
value 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, holdings of mutual fund shares are valued
at the net asset value of each fund held. Cash may include overnight time
deposits at approved financial institutions.
B. Investment Income and Transactions
Dividend income and realized capital gain distributions from investment
company shares held are recorded on the ex-dividend date. Temporary cash
investments are valued at amortized cost which approximates market value.
Gains and losses on sales of investments are calculated on the identified
cost method for both financial reporting and federal income tax purposes.
C. Foreign Currency Translation
The books and records of the Funds are maintained in U.S. dollars. Amounts
denominated in foreign currencies are translated into U.S. dollars using
current exchange rates.
Net realized gains and losses on foreign currency transactions, if any,
represent, among other things, the net realized gains and losses on
foreign currency contracts, disposition of foreign currencies and the
difference between the amount of income accrued and the U.S. dollars
actually received. Further, the effects of changes in foreign currency
exchange rates on investments are not segregated in the Statement of
Operations from the effects of changes in the market price of those
securities but are included with the net realized and unrealized gain or
loss on investments.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 57
D. Forward Foreign Currency Contracts
The Funds may enter into forward foreign currency contracts (contracts)
for the purchase or sale of a specific foreign currency at a fixed price
on a future date. All contracts are marked to market daily at the
applicable exchange rates, and any resulting unrealized appreciation or
depreciation are recorded in the Funds' financial statements. The Funds
record realized gains and losses at the time a contract 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 contracts and from
unanticipated movements in the value of foreign currencies relative to the
U.S. dollar (see Note 5).
E. Federal Income Taxes
It is the Funds' policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to
distribute all taxable income and net realized capital gains, if any, to
shareholders. Therefore, no federal income tax provisions are required.
Tax years for the prior three fiscal years remain subject to examination
by federal and state tax authorities.
The amounts and characterizations of distributions to shareowners for
financial reporting purposes are determined in accordance with federal
income tax rules. Therefore, the sources of the Funds' distributions may
be shown in the accompanying financial statements as from or in excess of
net investment income or as from net realized gain on investment
transactions, or as from paid-in capital, depending on the type of
book/tax differences that may exist.
The tax character of current year distributions paid will be determined at
the end of the current taxable year. The tax character of distributions
paid during the year ended July 31, 2014 was as follows:
---------------------------------------------------------------------------
Ordinary Long-Term
Fund Income Capital Gains Total
---------------------------------------------------------------------------
Conservative Fund $1,928,874 $ -- $1,928,874
Moderate Fund 3,297,378 -- 3,297,378
Growth Fund 2,829,661 -- 2,829,661
Aggressive Fund 1,042,181 -- 1,042,181
The following table shows the components of distributable earnings on a
federal income tax basis at July 31, 2014:
--------------------------------------------------------------------------------
Other Net
Undistributed Book/Tax Unrealized
Ordinary Capital Loss Temporary Appreciation
Fund Income Carryforward Differences (Depreciation)
--------------------------------------------------------------------------------
Conservative Fund $ 558,475 $ (958,206) $ (875,880) $9,463,668
Moderate Fund 2,876,795 (22,069,624) (2,587,618) 47,571,275
Growth Fund 2,422,301 (31,221,768) (1,617,662) 61,630,012
Aggressive Fund 842,780 (24,127,121) (1,594,201) 39,762,873
58 Pioneer Solutions Funds| Semiannual Report | 1/31/15
The differences between book-basis and tax-basis net unrealized
appreciation are attributable to the tax deferral of losses on wash sales.
F. Fund Shares
The Funds record sales and repurchases of Fund shares as of trade date.
Pioneer Funds Distributor, Inc. (PFD), the principal underwriter for the
Funds and a wholly owned indirect subsidiary of UniCredit
S.p.A.(UniCredit), earned the following in underwriting commissions on the
sale of Class A shares during the six months ended January 31, 2015:
---------------------------------------------------------------------------
Fund Amount
---------------------------------------------------------------------------
Conservative Fund $ 6,995
Balanced Fund 21,155
Growth Fund 39,652
G. Class Allocations
Income, common expenses and realized and unrealized gains and losses are
calculated at the Fund level and allocated daily to each class of shares
based on its respective percentage of adjusted net assets at the beginning
of the day. Distribution fees are calculated based on the average daily
net asset value attributable to Class A and Class C shares of each Fund,
respectively (see Note 4). Class Y shares do not pay distribution fees.
All expenses and fees paid to the transfer agent, Pioneer Investment
Management Shareholder Services, Inc. (PIMSS), for its services are
allocated among the class of shares based on the number of accounts in
each class and the ratable allocation of related out-of-pocket expenses
(see Note 3).
Distributions to shareowners are recorded as of the ex-dividend date.
Distributions paid by each of the Funds with respect to each class of
shares are calculated in the same manner and at the same time, except that
net investment income dividends to Class A, Class B, Class C and Class Y
shares of each Fund can reflect different transfer agent and distribution
expense rates.
H. Risks
Some of the underlying funds can invest in either high yield securities or
small/ emerging growth companies. Investments in these types of securities
generally are subject to greater volatility than either higher-grade
securities or more- established companies in more developed markets,
respectively. The Funds' prospectus contains unaudited information
regarding the Funds' principal risks. Please refer to that document when
considering the Funds' principal risks.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 59
I. Futures Contracts
The Funds may enter into futures transactions in order to attempt to hedge
against changes in interest rates, securities prices and currency exchange
rates or to seek to increase total return. Futures contracts are types of
derivatives. All futures contracts entered into by the Funds are traded on
a futures exchange. Upon entering into a futures contract, the Funds are
required to deposit with a broker an amount of cash or securities equal to
the minimum "initial margin" requirements of the associated futures
exchange.
The amount of cash deposited with the broker as collateral at January 31,
2015, were as follows:
---------------------------------------------------------------------------
Conservative Balanced Growth
Fund Fund Fund
---------------------------------------------------------------------------
Futures Collateral $85,182 $333,439 $592,024
Subsequent payments for futures contracts ("variation margin") are paid or
received by the Funds, depending on the daily fluctuation in the value of
the contracts, and are recorded by the Funds as unrealized appreciation or
depreciation. When the contract is closed, the Funds realize a gain or loss
equal to the difference between the opening and closing value of the
contract as well as any fluctuation in foreign currency exchange rates
where applicable. The use of futures contracts are subject to market risk,
interest rate risk and currency exchange rate risk. Changes in value of the
contracts may not directly correlate to the changes in value of the
underlying securities. The average value of contracts open during the six
months ended January 31, 2015, were as follows:
---------------------------------------------------------------------------
Conservative Balanced Growth
Fund Fund Fund
---------------------------------------------------------------------------
$690,920 $3,785,846 $8,365,303
At January 31, 2015, open futures contracts were as follows:
Pioneer Solutions - Conservative Fund
---------------------------------------------------------------------------
Number of Unrealized
Contracts Settlement Appreciation
Type Long/(Short) Month Value (Depreciation)
---------------------------------------------------------------------------
S&P 500 E-Mini (3) 3/15 $(298,260) $ 5,430
Euro Stoxx 50 4 3/15 151,274 18,339
SPI 200 (4) 3/15 (431,195) (33,379)
Russell 2000 Mini 4 3/15 464,480 (9,728)
Nikkei 225 (SGX) 10 3/15 751,064 2,559
---------------------------------------------------------------------------
$ 637,363 $(16,779)
---------------------------------------------------------------------------
60 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Balanced Fund
----------------------------------------------------------------------------
Number of Unrealized
Contracts Settlement Appreciation
Type Long/(Short) Month Value (Depreciation)
----------------------------------------------------------------------------
S&P 500 E-Mini (15) 3/15 $(1,491,300) $ 27,148
Euro Stoxx 50 9 3/15 340,367 41,263
SPI 200 (12) 3/15 (1,293,586) (100,135)
Russell 2000 Mini 14 3/15 1,625,680 (34,049)
Nikkei 225 (SGX) 60 3/15 4,506,383 15,352
----------------------------------------------------------------------------
$ 3,687,544 $ (50,421)
----------------------------------------------------------------------------
Pioneer Solutions - Growth Fund
----------------------------------------------------------------------------
Number of Unrealized
Contracts Settlement Appreciation
Type Long/(Short) Month Value (Depreciation)
----------------------------------------------------------------------------
S&P 500 E-Mini (24) 3/15 $(2,386,080) $ 43,437
Euro Stoxx 50 17 3/15 642,916 77,941
SPI 200 (18) 3/15 (1,940,379) (150,203)
Russell 2000 Mini 23 3/15 2,670,760 (55,938)
Nikkei 225 (SGX) 123 3/15 9,238,085 31,472
----------------------------------------------------------------------------
$ 8,225,302 $ (53,291)
----------------------------------------------------------------------------
2. Management Agreement
PIM, a wholly owned indirect subsidiary of UniCredit, manages the Funds'
portfolios. Management fees for each Fund are calculated daily at an annual rate
equal to 0.13% of the fund's average daily net assets up to $2.5 billion; 0.11%
of the fund's average daily net assets over $2.5 billion up to $4 billion; 0.10%
of the fund's average daily net assets over $4 billion up to $5.5 billion; and
0.08% of the fund's average daily net assets over $5.5 billion.
For the six months ended January 31, 2015, the effective management fee for each
Fund was equivalent to 0.13% of the Fund's average daily net assets. Fees waived
and expenses reimbursed during the six months ended January 31, 2015 are
reflected in the Statements of Operations.
Prior to November 17, 2014, Ibbotson Associates, Inc. (Ibbotson) provided
sub-advisory services to each Fund pursuant to a sub-advisory agreement between
PIM and Ibbotson. PIM, not the Funds, paid a portion of the fee it received from
each Fund to Ibbotson as compensation for Ibbotson's services to the Funds.
Effective November 17, 2014, PIM assumed direct responsibility for day-to-day
management of the Funds' portfolios.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 61
In addition, under the management and administration agreements, certain other
services and costs, including accounting, regulatory reporting and insurance
premiums, are paid by the Funds as administrative reimbursements. Included in
"Due to affiliates" reflected on the Statements of Assets and Liabilities are
the following amounts payable to PIM at January 31, 2015:
--------------------------------------------------------------------------------
Fund Amount
--------------------------------------------------------------------------------
Conservative Fund $10,176
Balanced Fund 31,430
Growth Fund 49,916
PIM has contractually agreed to limit ordinary operating expenses to the extent
required to reduce fund expenses, other than underlying fund fees and expenses,
as follows. These expense limitations are in effect through December 1, 2015.
There can be no assurance that PIM will extend the expense limitation agreement
for a class of shares beyond the date referred to above:
--------------------------------------------------------------------------------
Fund Class A Class C
--------------------------------------------------------------------------------
Conservative Fund 0.70% 1.45%
Balanced Fund 0.70% 1.45%
Growth Fund 0.70% 1.45%
3. Transfer Agent
PIMSS, a wholly owned indirect subsidiary of UniCredit, provides substantially
all transfer agent and shareowner services to the Funds at negotiated rates.
Included in "Due to affiliates" reflected on the Statements of Assets and
Liabilities are the following amounts of transfer agent fees payable to PIMSS at
January 31, 2015:
--------------------------------------------------------------------------------
Fund Amount
--------------------------------------------------------------------------------
Conservative Fund $ 3,267
Balanced Fund 24,345
Growth Fund 7,152
4. Distribution Plan
The Funds have adopted a Distribution Plan pursuant to Rule 12b-1 of the
Investment Company Act of 1940 with respect to Class A, and Class C shares.
Pursuant to the Plan, each Fund pays PFD 0.25% of the Fund's average daily net
assets attributable to Class A shares as compensation for personal services
and/or account maintenance services or distribution services with respect to
Class A shares. Pursuant to the Plan, each Fund also pays PFD 1.00% of the
average daily net assets attributable to Class C shares. The fee for Class C
shares consists of a 0.25% service fee and a 0.75% distribution fee paid as
compensation for personal services and/or account maintenance services or
62 Pioneer Solutions Funds| Semiannual Report | 1/31/15
distribution services with regard to Class C shares. Included in "Due to
affiliates" reflected on the Statements of Assets and Liabilities are the
following amounts in distribution fees payable to PFD at January 31, 2015:
--------------------------------------------------------------------------------
Fund Amount
--------------------------------------------------------------------------------
Conservative Fund $ 30,585
Balanced Fund 98,066
Growth Fund 137,444
In addition, redemptions of each class of shares (except Class Y shares) may be
subject to a contingent deferred sales charge (CDSC). A CDSC of 1.00% may be
imposed on redemptions of certain net asset value purchases of Class A shares
within 12 months of purchase. Redemptions of Class C shares within one year of
purchase are subject to a CDSC of 1.00% based on the lower of cost or market
value of shares being redeemed. Shares purchased as part of an exchange remain
subject to any CDSC that applied to the original purchase of those shares. There
is no CDSC for Class Y shares. Proceeds from the CDSCs are paid to PFD.
For the six months ended January 31, 2015, the following CDSCs were paid to PFD:
--------------------------------------------------------------------------------
Fund Amount
--------------------------------------------------------------------------------
Conservative Fund $ 868
Balanced Fund 2,115
Growth Fund 8,328
5. Forward Foreign Currency Contracts
At January 31, 2015, the Funds had entered into various forward foreign currency
contracts that obligate the Funds to deliver or take delivery of currencies at
specified future maturity dates. Alternatively, prior to the settlement date of
a forward foreign currency contract, the Funds may close out such contract by
entering into an offsetting contract.
The average value of contracts open during the six months ended January 31,
2015, were as follows:
--------------------------------------------------------------------------------
Conservative Balanced Growth
Fund Fund Fund
--------------------------------------------------------------------------------
$31,024,967 $59,696,662 $11,977,011
Pioneer Solutions Funds | Semiannual Report | 1/31/15 63
Open forward foreign currency contracts at January 31, 2015, were as follows:
Pioneer Solutions - Conservative Fund
---------------------------------------------------------------------------------------------------------
Quantity/
Shares US $ Value Net
Currency Purchased/ Book Settlement at Unrealized
Description Counterparty Sold Value Date 1/31/15 Appreciation
---------------------------------------------------------------------------------------------------------
AUD (Australian
Dollar) Barclays Bank (520,000) $ (412,782) 4/17/15 $ (402,660) $ 10,122
AUD (Australian
Dollar) Barclays Bank (1,530,000) (1,237,878) 4/17/15 (1,184,749) 53,129
AUD (Australian
Dollar) Goldman Sachs (550,000) (445,617) 4/17/15 (425,890) 19,727
EUR (Euro) Barclays Bank (273,749) (325,940) 4/17/15 (309,339) 16,601
EUR (Euro) Barclays Bank (274,453) (325,000) 4/17/15 (310,135) 14,865
EUR (Euro) Barclays Bank (323,845) (386,089) 4/17/15 (365,949) 20,140
GBP (British
Pound) Barclays Bank (255,211) (386,056) 4/17/15 (384,074) 1,982
KRW (Korean
Won) Barclays Bank (457,422,000) (420,000) 2/13/15 (414,559) 5,441
KRW (Korean
Won) Morgan Stanley (455,364,000) (420,000) 2/13/15 (412,694) 7,306
NZD (New
Zealand Dollar) Barclays Bank (493,757) (381,847) 4/17/15 (356,412) 25,435
NZD (New
Zealand Dollar) Barclays Bank (2,195,198) (1,662,604) 4/17/15 (1,584,577) 78,027
NZD (New
Zealand Dollar) Goldman Sachs (275,000) (204,002) 4/17/15 (198,505) 5,497
SEK (Swedish
Krona) Barclays Bank (3,093,464) (383,859) 4/17/15 (373,966) 9,893
---------------------------------------------------------------------------------------------------------
Total $ 268,165
=========================================================================================================
---------------------------------------------------------------------------------------------------------
Quantity/
Shares US $ Value Net
Currency Purchased/ Book Settlement at Unrealized
Description Counterparty Sold Value Date 1/31/15 Depreciation
---------------------------------------------------------------------------------------------------------
AUD (Australian
Dollar) Barclays Bank 2,080,000 $ 1,662,604 4/17/15 $ 1,610,639 $ (51,965)
CAD (Canadian
Dollar) Barclays Bank 512,025 412,782 4/17/15 403,336 (9,446)
CAD (Canadian
Dollar) Barclays Bank 385,000 325,940 4/17/15 303,275 (22,665)
CAD (Canadian
Dollar) Goldman Sachs 252,993 204,002 4/17/15 199,289 (4,713)
EUR (Euro) Barclays Bank 326,240 386,056 4/17/15 368,655 (17,401)
EUR (Euro) Barclays Bank 325,097 383,859 4/17/15 367,364 (16,495)
EUR (Euro) Barclays Bank 323,393 381,847 4/17/15 365,439 (16,408)
NOK (Norwegian
Krone) Barclays Bank 2,940,028 386,089 4/17/15 379,729 (6,360)
NZD (New
Zealand Dollar) Barclays Bank 1,643,884 1,237,878 4/17/15 1,186,617 (51,261)
NZD (New
Zealand Dollar) Goldman Sachs 588,390 445,617 4/17/15 424,722 (20,895)
---------------------------------------------------------------------------------------------------------
Total $(217,609)
=========================================================================================================
64 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Balanced Fund
------------------------------------------------------------------------------------------------------------
Quantity/
Shares US $ Value Net
Currency Purchased/ Book Settlement at Unrealized
Description Counterparty Sold Value Date 1/31/15 Appreciation
------------------------------------------------------------------------------------------------------------
AUD (Australian
Dollar) Barclays Bank (1,565,000) $(1,242,317) 4/17/15 $(1,211,851) $ 30,466
AUD (Australian
Dollar) Goldman Sachs (1,580,000) (1,280,136) 4/17/15 (1,223,466) 56,670
AUD (Australian
Dollar) Barclays Bank (4,710,000) (3,812,244) 4/17/15 (3,647,167) 165,077
EUR (Euro) Barclays Bank (835,466) (994,751) 4/17/15 (944,087) 50,664
EUR (Euro) Barclays Bank (844,470) (1,000,000) 4/17/15 (954,261) 45,739
EUR (Euro) Barclays Bank (984,002) (1,173,130) 4/17/15 (1,111,935) 61,195
GBP (British
Pound) Barclays Bank (775,457) (1,173,029) 4/17/15 (1,167,006) 6,023
KRW (Korean
Won) Barclays Bank (1,383,157,000) (1,270,000) 2/13/15 (1,253,548) 16,452
KRW (Korean Morgan
Won) Stanley (1,376,934,000) (1,270,000) 2/13/15 (1,247,908) 22,092
NZD (New
Zealand Dollar) Barclays Bank (1,500,279) (1,160,240) 4/17/15 (1,082,958) 77,282
NZD (New
Zealand Dollar) Barclays Bank (6,638,250) (5,051,682) 4/17/15 (4,791,739) 259,943
NZD (New
Zealand Dollar) Goldman Sachs (830,000) (615,715) 4/17/15 (599,125) 16,590
SEK (Swedish
Krona) Barclays Bank (9,399,478) (1,166,353) 4/17/15 (1,136,294) 30,059
------------------------------------------------------------------------------------------------------------
Total $ 838,252
============================================================================================================
------------------------------------------------------------------------------------------------------------
Quantity/
Shares US $ Value Net
Currency Purchased/ Book Settlement at Unrealized
Description Counterparty Sold Value Date 1/31/15 Depreciation
------------------------------------------------------------------------------------------------------------
AUD (Australian
Dollar) Barclays Bank 6,290,000 $ 5,051,682 4/17/15 $ 4,870,634 $(181,048)
CAD (Canadian
Dollar) Barclays Bank 1,540,999 1,242,317 4/17/15 1,213,886 (28,431)
CAD (Canadian
Dollar) Barclays Bank 1,175,000 994,751 4/17/15 925,579 (69,172)
CAD (Canadian
Dollar) Goldman Sachs 763,579 615,715 4/17/15 601,491 (14,224)
CAD (Canadian
Dollar) Morgan Stanley 753,682 595,961 4/17/15 593,695 (2,266)
EUR (Euro) Barclays Bank 991,278 1,173,029 4/17/15 1,120,157 (52,872)
EUR (Euro) Barclays Bank 987,807 1,166,353 4/17/15 1,116,234 (50,119)
EUR (Euro) Barclays Bank 982,630 1,160,240 4/17/15 1,110,384 (49,856)
NOK (Norwegian
Krone) Barclays Bank 8,933,264 1,173,130 4/17/15 1,153,806 (19,324)
NZD (New
Zealand Dollar) Barclays Bank 5,060,516 3,812,244 4/17/15 3,652,871 (159,373)
NZD (New
Zealand Dollar) Goldman Sachs 1,690,284 1,280,136 4/17/15 1,220,110 (60,026)
NZD (New
Zealand Dollar) Morgan Stanley (830,000) (595,961) 4/17/15 (599,126) (3,165)
------------------------------------------------------------------------------------------------------------
Total $(689,876)
============================================================================================================
Pioneer Solutions Funds | Semiannual Report | 1/31/15 65
Pioneer Solutions - Growth Fund
------------------------------------------------------------------------------------------------------------
Quantity/
Shares US $ Value Net
Currency Purchased/ Book Settlement at Unrealized
Description Counterparty Sold Value Date 1/31/15 Appreciation
------------------------------------------------------------------------------------------------------------
AUD (Australian
Dollar) Barclays Bank (2,570,000) $(2,040,111) 4/17/15 $(1,990,068) $ 50,043
AUD (Australian
Dollar) Goldman Sachs (2,590,000) (2,098,452) 4/17/15 (2,005,556) 92,896
AUD (Australian
Dollar) Barclays Bank (7,680,000) (6,215,921) 4/17/15 (5,946,975) 268,946
EUR (Euro) Barclays Bank (1,361,633) (1,621,233) 4/17/15 (1,538,662) 82,571
EUR (Euro) Barclays Bank (1,368,041) (1,620,000) 4/17/15 (1,545,903) 74,097
EUR (Euro) Barclays Bank (1,607,683) (1,916,683) 4/17/15 (1,816,702) 99,981
GBP (British
Pound) Barclays Bank (1,266,957) (1,916,518) 4/17/15 (1,906,678) 9,840
KRW (Korean Morgan
Won) Stanley (2,244,294,000) (2,070,000) 2/13/15 (2,033,992) 36,008
KRW (Korean
Won) Barclays Bank (2,254,437,000) (2,070,000) 2/13/15 (2,043,184) 26,816
NZD (New
Zealand Dollar) Goldman Sachs (1,360,000) (1,008,883) 4/17/15 (981,699) 27,184
NZD (New
Zealand Dollar) Barclays Bank (2,451,187) (1,895,624) 4/17/15 (1,769,359) 126,265
NZD (New
Zealand Dollar) Barclays Bank (10,838,656) (8,209,172) 4/17/15 (7,823,750) 385,422
SEK (Swedish
Krona) Barclays Bank (15,357,060) (1,905,612) 4/17/15 (1,856,501) 49,111
------------------------------------------------------------------------------------------------------------
Total $1,329,180
============================================================================================================
------------------------------------------------------------------------------------------------------------
Quantity/
Shares US $ Value Net
Currency Purchased/ Book Settlement at Unrealized
Description Counterparty Sold Value Date 1/31/15 Depreciation
------------------------------------------------------------------------------------------------------------
AUD (Australian
Dollar) Barclays Bank 10,270,000 $ 8,209,172 4/17/15 $ 7,952,529 $ (256,643)
CAD (Canadian
Dollar) Barclays Bank 2,530,598 2,040,111 4/17/15 1,993,419 (46,692)
CAD (Canadian
Dollar) Barclays Bank 1,915,000 1,621,233 4/17/15 1,508,497 (112,736)
CAD (Canadian
Dollar) Goldman Sachs 1,251,166 1,008,883 4/17/15 985,577 (23,306)
EUR (Euro) Barclays Bank 1,619,570 1,916,518 4/17/15 1,830,134 (86,384)
EUR (Euro) Barclays Bank 1,613,899 1,905,612 4/17/15 1,823,727 (81,885)
EUR (Euro) Barclays Bank 1,605,441 1,895,624 4/17/15 1,814,168 (81,456)
NOK (Norwegian
Krone) Barclays Bank 14,595,350 1,916,683 4/17/15 1,885,111 (31,572)
NZD (New
Zealand Dollar) Barclays Bank 8,251,552 6,215,921 4/17/15 5,956,282 (259,639)
NZD (New
Zealand Dollar) Goldman Sachs 2,770,782 2,098,452 4/17/15 2,000,055 (98,397)
------------------------------------------------------------------------------------------------------------
Total $(1,078,710)
============================================================================================================
66 Pioneer Solutions Funds| Semiannual Report | 1/31/15
6. Assets and Liabilities Offsetting
Financial instruments subject to an enforceable master netting agreement have
been offset on the Statements of Assets and Liabilities. The following charts
show gross assets and liabilities as of January 31, 2015:
Pioneer Solutions - Conservative Fund
-------------------------------------------------------------------------------------------------
Assets:
Gross Net
Amounts Amounts of Gross Amounts Not Offset
Offset Assets in the Statement of
in the Presented Assets and Liabilities
Gross Statement in the -------------------------
Amounts of Of Assets Statement of Cash
Recognized and Assets and Financial Collateral Net
Description Assets Liabilities Liabilities Instruments Received Amount
-------------------------------------------------------------------------------------------------
Forward foreign
currency
contracts $268,165 $ -- $ -- $ -- $ -- $268,165
-------------------------------------------------------------------------------------------------
$268,165 $ -- $ -- $ -- $ -- $268,165
=================================================================================================
-------------------------------------------------------------------------------------------------
Liabilities:
Gross Net
Amounts Amounts of Gross Amounts Not Offset
Offset Assets in the Statement of
in the Presented Assets and Liabilities
Gross Statement in the -------------------------
Amounts of Of Assets Statement of Cash
Recognized and Assets and Financial Collateral Net
Description Liabilities Liabilities Liabilities Instruments Received Amount
-------------------------------------------------------------------------------------------------
Forward foreign
currency
contracts $217,609 $ -- $ -- $ -- $ -- $217,609
-------------------------------------------------------------------------------------------------
$217,609 $ -- $ -- $ -- $ -- $217,609
=================================================================================================
Pioneer Solutions - Balanced Fund
-------------------------------------------------------------------------------------------------
Assets:
Gross Net
Amounts Amounts of Gross Amounts Not Offset
Offset Assets in the Statement of
in the Presented Assets and Liabilities
Gross Statement in the -------------------------
Amounts of Of Assets Statement of Cash
Recognized and Assets and Financial Collateral Net
Description Assets Liabilities Liabilities Instruments Received Amount
-------------------------------------------------------------------------------------------------
Forward foreign
currency
contracts $838,252 $ -- $ -- $ -- $ -- $838,252
-------------------------------------------------------------------------------------------------
$838,252 $ -- $ -- $ -- $ -- $838,252
=================================================================================================
Pioneer Solutions Funds | Semiannual Report | 1/31/15 67
-------------------------------------------------------------------------------------------------
Liabilities:
Gross Net
Amounts Amounts of Gross Amounts Not Offset
Offset Assets in the Statement of
in the Presented Assets and Liabilities
Gross Statement in the -------------------------
Amounts of Of Assets Statement of Cash
Recognized and Assets and Financial Collateral Net
Description Liabilities Liabilities Liabilities Instruments Received Amount
-------------------------------------------------------------------------------------------------
Forward foreign
currency
contracts $689,876 $ -- $ -- $ -- $ -- $689,876
-------------------------------------------------------------------------------------------------
$689,876 $ -- $ -- $ -- $ -- $689,876
=================================================================================================
Pioneer Solutions - Growth Fund
---------------------------------------------------------------------------------------------------
Assets:
Gross Net
Amounts Amounts of Gross Amounts Not Offset
Offset Assets in the Statement of
in the Presented Assets and Liabilities
Gross Statement in the -------------------------
Amounts of Of Assets Statement of Cash
Recognized and Assets and Financial Collateral Net
Description Assets Liabilities Liabilities Instruments Received Amount
---------------------------------------------------------------------------------------------------
Forward foreign
currency
contracts $1,329,180 $ -- $ -- $ -- $ -- $1,329,180
---------------------------------------------------------------------------------------------------
$1,329,180 $ -- $ -- $ -- $ -- $1,329,180
===================================================================================================
---------------------------------------------------------------------------------------------------
Liabilities:
Gross Net
Amounts Amounts of Gross Amounts Not Offset
Offset Assets in the Statement of
in the Presented Assets and Liabilities
Gross Statement in the -------------------------
Amounts of Of Assets Statement of Cash
Recognized and Assets and Financial Collateral Net
Description Liabilities Liabilities Liabilities Instruments Received Amount
---------------------------------------------------------------------------------------------------
Forward foreign
currency
contracts $1,078,710 $ -- $ -- $ -- $ -- $1,078,710
---------------------------------------------------------------------------------------------------
$1,078,710 $ -- $ -- $ -- $ -- $1,078,710
===================================================================================================
68 Pioneer Solutions Funds| Semiannual Report | 1/31/15
7. Additional Disclosures about Derivative Instruments and Hedging Activities:
Values of derivative instruments as of January 31, 2015, were as follows:
Pioneer Solutions - Conservative Fund
-------------------------------------------------------------------------------------------
Derivatives not
accounted for as Asset Derivatives 2015 Liabilities Derivatives 2015
Hedging instruments ---------------------------- ------------------------------
Under Accounting Statement of Assets Statement of Assets
Standards Codification and Liabilities and Liabilities
(ASC) 815 Location Value Location Value
-------------------------------------------------------------------------------------------
Forward foreign Net unrealized Net unrealized
currency contracts appreciation on depreciation on
forward foreign forward foreign
currency contracts $268,165 currency contracts $(217,609)
Futures contracts Net unrealized Net unrealized
appreciation on depreciation on
futures contracts $ -- futures contracts $ (16,779)
-------------------------------------------------------------------------------------------
Total $268,165 $(234,388)
===========================================================================================
Pioneer Solutions - Balanced Fund
-------------------------------------------------------------------------------------------
Derivatives not
accounted for as Asset Derivatives 2015 Liabilities Derivatives 2015
Hedging instruments ---------------------------- ------------------------------
Under Accounting Statement of Assets Statement of Assets
Standards Codification and Liabilities and Liabilities
(ASC) 815 Location Value Location Value
-------------------------------------------------------------------------------------------
Forward foreign Net unrealized Net unrealized
currency contracts appreciation on depreciation on
forward foreign forward foreign
currency contracts $838,252 currency contracts $(689,876)
Futures contracts Net unrealized Net unrealized
appreciation on depreciation on
futures contracts $ -- futures contracts $ (50,421)
-------------------------------------------------------------------------------------------
Total $838,252 $(740,297)
===========================================================================================
Pioneer Solutions - Growth Fund
---------------------------------------------------------------------------------------------
Derivatives not
accounted for as Asset Derivatives 2015 Liabilities Derivatives 2015
Hedging instruments ---------------------------- --------------------------------
Under Accounting Statement of Assets Statement of Assets
Standards Codification and Liabilities and Liabilities
(ASC) 815 Location Value Location Value
---------------------------------------------------------------------------------------------
Forward foreign Net unrealized Net unrealized
currency contracts appreciation on depreciation on
forward foreign forward foreign
currency contracts $1,329,180 currency contracts $(1,078,710)
Futures contracts Net unrealized Net unrealized
appreciation on depreciation on
futures contracts $ -- futures contracts $ (53,291)
---------------------------------------------------------------------------------------------
Total $1,329,180 $(1,132,001)
=============================================================================================
Pioneer Solutions Funds | Semiannual Report | 1/31/15 69
The effect of derivative instruments on the Statements of Operations for the six
months ended January 31, 2015, were as follows:
Pioneer Solutions - Conservative Fund
-----------------------------------------------------------------------------------------------
Change in
Derivatives Not Realized Unrealized
Accounted for as Gain or Appreciation or
Hedging Instruments (Loss) on (Depreciation)
Under Accounting Location of Gain or (Loss) Derivatives on Derivatives
Standards Codification on Derivatives Recognized Recognized Recognized
(ASC) 815 in Income in Income in Income
-----------------------------------------------------------------------------------------------
Forward foreign Net realized gain (loss) on forward
currency contracts foreign currency contracts and other
assets and liabilities denominated
in foreign currency $(125,783)
Forward foreign Change in net unrealized appreciation
currency contracts (depreciation) on forward foreign
currency contracts $ 50,556
Futures contracts Net realized gain (loss) on futures
contracts $ (5,407)
Futures contracts Change in unrealized appreciation
(depreciation) on futures contracts $(16,779)
-----------------------------------------------------------------------------------------------
Total $(131,190) $ 33,777
===============================================================================================
Pioneer Solutions - Balanced Fund
------------------------------------------------------------------------------------------------
Change in
Derivatives Not Realized Unrealized
Accounted for as Gain or Appreciation or
Hedging Instruments (Loss) on (Depreciation)
Under Accounting Location of Gain or (Loss) Derivatives on Derivatives
Standards Codification on Derivatives Recognized Recognized Recognized
(ASC) 815 in Income in Income in Income
------------------------------------------------------------------------------------------------
Forward foreign Net realized gain (loss) on forward
currency contracts foreign currency contracts and other
assets and liabilities denominated
in foreign currency $(382,926)
Forward foreign Change in net unrealized appreciation
currency contracts (depreciation) on forward foreign
currency contracts $148,376
Futures contracts Net realized gain (loss) on futures
contracts $ 321
Futures contracts Change in unrealized appreciation
(depreciation) on futures contracts $(50,421)
------------------------------------------------------------------------------------------------
Total $(382,605) $ 97,955
================================================================================================
70 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Growth Fund
--------------------------------------------------------------------------------------------
Change in
Derivatives Not Realized Unrealized
Accounted for as Gain or Appreciation or
Hedging Instruments (Loss) on (Depreciation)
Under Accounting Location of Gain or (Loss) Derivatives on Derivatives
Standards Codification on Derivatives Recognized Recognized Recognized
(ASC) 815 in Income in Income in Income
--------------------------------------------------------------------------------------------
Forward foreign Net realized gain (loss) on forward
currency contracts foreign currency contracts $(628,783)
Forward foreign Change in net unrealized appreciation
currency contracts (depreciation) on forward foreign
currency contracts $ 250,470
Futures contracts Net realized gain (loss) on futures
contracts $ (11,802)
Futures contracts Change in unrealized appreciation
(depreciation) on futures contracts $ (53,291)
--------------------------------------------------------------------------------------------
Total $(640,585) $ 197,179
============================================================================================
Pioneer Solutions Funds | Semiannual Report | 1/31/15 71
8. Transactions in Underlying Funds
An affiliated issuer may be considered one in which each Fund owns 5% or more of
the outstanding voting securities, or a company which is under common control.
For the purposes of this report, each Fund assumes the following to be
affiliated issuers:
Pioneer Solutions - Conservative Fund
------------------------------------------------------------------------------------------------
Beginning Acquisitions Dispositions Ending
Underlying Funds (Affiliated) Shares Shares Shares Shares
------------------------------------------------------------------------------------------------
Pioneer Bond Fund Class K -- 1,632,437 -- 1,632,437
Pioneer Bond Fund Class Y 1,686,460 51,822 (1,738,282) --
Pioneer Core Equity Fund Class Y 85,125 3,785 (88,910) --
Pioneer Disciplined Growth Fund Class Y 40,153 1,225 (41,378) --
Pioneer Disciplined Value Fund Class Y 137,391 7,815 (145,206) --
Pioneer Dynamic Credit Fund Class Y 285,961 18,481 (5,961) 298,481
Pioneer Emerging Markets Fund Class Y 25,794 3,321 (29,115) --
Pioneer Equity Income Fund Class Y 19,793 107,044 (1,372) 125,465
Pioneer Floating Rate Fund Class Y 102,989 3,539 (700) 105,828
Pioneer Fund Class Y 51,306 2,390 (53,696) --
Pioneer Fundamental Growth Fund Class Y 80,095 154,311 (118,536) 115,870
Pioneer Global Equity Fund Class Y 204,577 11,661 (2,589) 213,649
Pioneer Global High Yield Fund Class Y 429,821 38,156 (60,623) 407,354
Pioneer Global Multisector Income Fund
Class Y 128,640 4,871 (1,452) 132,059
Pioneer High Yield Fund Class Y 196,990 25,978 (6,267) 216,701
Pioneer International Value Fund Class Y 213,873 19,262 (63,701) 169,434
Pioneer Mid Cap Value Fund Class Y 47,879 3,309 (1,108) 50,080
Pioneer Multi-Asset Ultrashort Income Fund
Class Y 71,202 1,897 (73,099) --
Pioneer Real Estate Shares Class Y 24,862 26,748 (4,748) 46,862
Pioneer Select Mid Cap Growth Fund
Class Y 16,637 996 (17,633) --
Pioneer Short Term Income Fund Class Y 1,116,706 111,260 (276,483) 951,483
Pioneer Strategic Income Fund Class K -- 674,538 (5,580) 668,958
Pioneer Strategic Income Fund Class Y 646,085 21,105 (667,190) --
72 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Conservative Fund
------------------------------------------------------------------------------------------------
Realized Capital Gain Dividend Ending
Underlying Funds (Affiliated) Gain (Loss) Distributions Income Value
------------------------------------------------------------------------------------------------
Pioneer Bond Fund Class K $ -- $ -- $ 91,446 $16,144,802
Pioneer Bond Fund Class Y 1,175,745 68,727 192,831 --
Pioneer Core Equity Fund Class Y 766,925 -- 18,853 --
Pioneer Disciplined Growth Fund Class Y 300,078 36,622 -- --
Pioneer Disciplined Value Fund Class Y 62,263 515,288 -- --
Pioneer Dynamic Credit Fund Class Y (2,218) -- 59,229 2,847,509
Pioneer Emerging Markets Fund Class Y 138,885 -- -- --
Pioneer Equity Income Fund Class Y 10,473 70,230 48,259 4,268,328
Pioneer Floating Rate Fund Class Y (76) -- 14,380 718,575
Pioneer Fund Class Y 256,836 338,332 6,266 --
Pioneer Fundamental Growth Fund
Class Y 754,038 37,580 23,181 2,122,736
Pioneer Global Equity Fund Class Y 7,774 -- 95,971 2,824,434
Pioneer Global High Yield Fund Class Y (30,460) -- 132,821 3,649,894
Pioneer Global Multisector Income Fund
Class Y (654) 12,717 23,308 1,442,081
Pioneer High Yield Fund Class Y (6,714) 100,685 53,505 2,095,500
Pioneer International Value Fund Class Y 120,296 -- 298,083 3,476,793
Pioneer Mid Cap Value Fund Class Y 6,398 154,822 10,286 1,348,151
Pioneer Multi-Asset Ultrashort Income
Fund Class Y 375 -- 2,788 --
Pioneer Real Estate Shares Class Y 27,425 39,352 14,101 1,475,699
Pioneer Select Mid Cap Growth Fund
Class Y 309,010 96,748 -- --
Pioneer Short Term Income Fund Class Y (31,437) -- 115,155 9,134,241
Pioneer Strategic Income Fund Class K (167) -- 45,793 7,218,057
Pioneer Strategic Income Fund Class Y
207,274 98,555 103,438 --
------------ ---------- ----------- -----------
$ 4,072,069 $1,569,658 $ 1,349,694 $58,766,800
------------ ---------- ----------- -----------
Pioneer Solutions Funds | Semiannual Report | 1/31/15 73
Pioneer Solutions - Balanced Fund
------------------------------------------------------------------------------------------------
Beginning Acquisitions Dispositions Ending
Underlying Funds (Affiliated) Shares Shares Shares Shares
------------------------------------------------------------------------------------------------
Pioneer Bond Fund Class K -- 2,500,316 -- 2,500,316
Pioneer Bond Fund Class Y 2,717,659 33,202 (2,750,861) --
Pioneer Core Equity Fund Class Y 274,648 369,290 (131,584) 512,354
Pioneer Disciplined Growth Fund Class Y 135,761 -- (135,761) --
Pioneer Disciplined Value Fund Class Y 647,431 6,315 (653,746) --
Pioneer Dynamic Credit Fund Class Y 868,250 27,508 (5,832) 889,926
Pioneer Emerging Markets Fund Class Y 411,785 21,763 (83,789) 349,759
Pioneer Equity Income Fund Class Y 125,210 8,374 (133,584) --
Pioneer Fund Class Y 165,627 23,982 (4,643) 184,966
Pioneer Fundamental Growth Fund
Class Y 277,576 391,022 (80,339) 588,259
Pioneer Global Equity Fund Class Y 1,404,875 5,257 (144,620) 1,265,512
Pioneer Global High Yield Fund Class Y 892,387 15,169 (163,041) 744,515
Pioneer Global Multisector Income Fund
Class Y 396,944 6,689 (4,490) 399,143
Pioneer High Yield Fund Class Y 407,607 39,698 (316) 446,989
Pioneer International Value Fund Class Y 1,257,978 33,787 (1,411) 1,290,354
Pioneer Mid Cap Value Fund Class Y 461,877 3,172 (103,158) 361,891
Pioneer Multi-Asset Ultrashort Income
Fund Class Y 217,409 4,003 (221,412) --
Pioneer Real Estate Shares Class Y 200,085 3,905 (43,883) 160,107
Pioneer Select Mid Cap Growth Fund
Class Y 112,473 437 (8,425) 104,485
Pioneer Short Term Income Fund Class Y 2,282,340 34,544 (31,581) 2,285,303
Pioneer Strategic Income Fund Class K -- 828,787 -- 828,787
Pioneer Strategic Income Fund Class Y 788,862 18,136 (806,998) --
74 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Balanced Fund
------------------------------------------------------------------------------------------------
Realized Capital Gain Dividend Ending
Underlying Funds (Affiliated) Gain (Loss) Distributions Income Value
------------------------------------------------------------------------------------------------
Pioneer Bond Fund Class K $ -- $ -- $ 140,063 $ 24,728,125
Pioneer Bond Fund Class Y 2,393,080 106,967 305,121 --
Pioneer Core Equity Fund Class Y 940,996 -- 137,715 8,561,435
Pioneer Disciplined Growth Fund
Class Y 1,134,405 113,263 -- --
Pioneer Disciplined Value Fund Class Y 1,202,015 2,345,618 -- --
Pioneer Dynamic Credit Fund Class Y (1,955) -- 176,263 8,489,897
Pioneer Emerging Markets Fund Class Y (412,623) 520,587 187,217 7,285,480
Pioneer Equity Income Fund Class Y 1,784,470 417,028 29,867 --
Pioneer Fund Class Y 24,651 1,035,305 42,967 6,634,727
Pioneer Fundamental Growth Fund
Class Y 790,184 124,691 63,866 10,776,906
Pioneer Global Equity Fund Class Y 884,307 -- 568,468 16,730,072
Pioneer Global High Yield Fund Class Y (223,928) -- 267,544 6,670,854
Pioneer Global Multisector Income
Fund Class Y (2,532) 38,437 70,782 4,358,641
Pioneer High Yield Fund Class Y (9) 210,397 108,818 4,322,380
Pioneer International Value Fund
Class Y 2,877 -- 1,688,558 26,478,071
Pioneer Mid Cap Value Fund Class Y 608,649 1,251,975 83,181 9,742,115
Pioneer Multi-Asset Ultrashort Income
Fund Class Y 2,055 -- 8,462 --
Pioneer Real Estate Shares Class Y 166,189 301,007 63,274 5,041,754
Pioneer Select Mid Cap Growth Fund
Class Y 178,449 587,488 -- 4,023,721
Pioneer Short Term Income Fund
Class Y (2,213) -- 225,658 21,938,908
Pioneer Strategic Income Fund Class K -- -- 56,411 8,942,612
Pioneer Strategic Income Fund Class Y
180,967 119,071 125,470 --
------------ ------------ ---------- ------------
$ 9,650,034 $ 7,171,834 $4,349,705 $174,725,698
------------ ------------ ---------- ------------
Pioneer Solutions Funds | Semiannual Report | 1/31/15 75
Pioneer Solutions - Growth Fund
------------------------------------------------------------------------------------------------
Beginning Acquisitions Dispositions Ending
Underlying Funds (Affiliated) Shares Shares Shares Shares
------------------------------------------------------------------------------------------------
Pioneer Bond Fund Class K -- 2,980,498 -- 2,980,498
Pioneer Bond Fund Class Y 2,514,354 701,271 (3,215,625) --
Pioneer Core Equity Fund Class Y 524,733 841,790 -- 1,366,523
Pioneer Disciplined Growth Fund Class Y 232,223 145,699 (377,922) --
Pioneer Disciplined Value Fund Class Y 712,776 371,672 (1,084,448) --
Pioneer Dynamic Credit Fund Class Y 161,684 19,891 (181,575) --
Pioneer Emerging Markets Fund Class Y 631,523 535,567 (558,232) 608,858
Pioneer Equity Income Fund Class Y 213,458 110,148 (323,606) --
Pioneer Fund Class Y 186,671 125,236 (8,523) 303,384
Pioneer Fundamental Growth Fund
Class Y 462,549 1,120,740 (38,457) 1,544,832
Pioneer Global Equity Fund Class Y 1,906,318 1,138,949 (254,517) 2,790,750
Pioneer Global High Yield Fund Class Y 458,523 7,768 (466,291) --
Pioneer Global Multisector Income Fund
Class Y 397,586 8,309 -- 405,895
Pioneer High Yield Fund Class Y 206,145 4,163 (210,308) --
Pioneer International Value Fund Class Y 1,541,503 1,115,110 -- 2,656,613
Pioneer Mid Cap Value Fund Class Y 599,996 390,701 (145,299) 845,398
Pioneer Real Estate Shares Class Y 288,635 184,880 (22,703) 450,812
Pioneer Select Mid Cap Growth Fund
Class Y 211,426 96,556 (69,810) 238,172
Pioneer Short Term Income Fund Class Y 1,567,403 388,744 (624,152) 1,331,995
Pioneer Strategic Income Fund Class K -- 1,187,684 -- 1,187,684
Pioneer Strategic Income Fund Class Y 760,500 455,813 (1,216,313) --
76 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Growth Fund
------------------------------------------------------------------------------------------------
Realized Capital Gain Dividend Ending
Underlying Funds (Affiliated) Gain (Loss) Distributions Income Value
------------------------------------------------------------------------------------------------
Pioneer Bond Fund Class K $ -- $ -- $ 166,962 $ 29,477,125
Pioneer Bond Fund Class Y 3,026,546 132,731 296,449 --
Pioneer Core Equity Fund Class Y -- -- 248,470 22,834,595
Pioneer Disciplined Growth Fund
Class Y 2,518,968 295,727 -- --
Pioneer Disciplined Value Fund Class Y 2,521,345 3,879,208 -- --
Pioneer Dynamic Credit Fund Class Y (30,108) -- 15,632 --
Pioneer Emerging Markets Fund
Class Y (1,877,721) 1,174,288 422,305 12,682,508
Pioneer Equity Income Fund Class Y 4,606,161 990,924 50,597 --
Pioneer Fund Class Y 13,608 1,744,518 60,602 10,882,370
Pioneer Fundamental Growth Fund
Class Y 369,165 301,384 139,522 28,301,322
Pioneer Global Equity Fund Class Y 1,182,212 -- 1,253,605 36,893,719
Pioneer Global High Yield Fund Class Y 680,768 -- 138,326 --
Pioneer Global Multisector Income
Fund Class Y -- 39,088 71,463 4,432,373
Pioneer High Yield Fund Class Y 103,315 -- 30,030 --
Pioneer International Value Fund Class Y -- -- 3,476,444 54,513,707
Pioneer Mid Cap Value Fund Class Y 843,765 2,613,549 173,645 22,758,120
Pioneer Real Estate Shares Class Y 105,949 700,742 134,921 14,196,065
Pioneer Select Mid Cap Growth Fund
Class Y 1,455,254 1,439,487 -- 9,172,023
Pioneer Short Term Income Fund
Class Y (66,385) -- 170,293 12,787,156
Pioneer Strategic Income Fund Class K -- -- 80,840 12,815,110
Pioneer Strategic Income Fund Class Y
37,526 181,265 132,055 --
------------- ----------- ---------- ------------
$ 15,490,368 $13,492,911 $7,062,161 $271,746,193
------------- ----------- ---------- ------------
9. Change in Independent Registered Public Accounting Firm
The Board of Trustees of the Trust, with the approval and recommendation of the
Audit Committee, appointed Deloitte & Touche LLP to serve as the Trust's
independent registered public accounting firm for the fiscal year ending July
31, 2014. Deloitte & Touche LLP replaces Ernst & Young LLP, which resigned as
the Trust's independent registered public accounting firm, effective upon
completion of the audit of the Trust's financial statements for the fiscal year
ended July 31, 2013.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 77
During the periods that Ernst & Young LLP served as the Trust's independent
registered public accounting firm, including the Trust's fiscal years ended July
31, 2013 and July 31, 2012, Ernst & Young LLP's reports on the financial
statements of the Trust have not contained an adverse opinion or disclaimer of
opinion and have not been qualified or modified as to uncertainty, audit scope
or accounting principles. Further, there have been no disagreements with Ernst &
Young LLP on any matter of accounting principles or practices, financial
statement disclosure, or auditing scope or procedure, which, if not resolved to
the satisfaction of Ernst & Young LLP would have caused Ernst & Young LLP to
make reference to the subject matter of the disagreement in connection with its
report on the financial statements. In addition, there have been no reportable
events of the kind described in Item 304(a)(1)(v) of Regulation S-K under the
Securities Exchange Act of 1934.
10. Conversion of Class B Shares
As of the close of business on November 10, 2014 (the "Conversion Date"), all
outstanding Class B shares of the Funds were converted to Class A shares.
11. Reorganization Information
On November 14, 2014 ("Closing Date"), Pioneer Ibbotson Aggressive Allocation
Fund ("Aggressive Fund") was reorganized into Growth Fund. The purpose of this
transaction was to combine two funds (managed by PIM) with similar investment
objectives and strategies.
This tax-free reorganization was accomplished by exchanging the assets and
liabilities of the Aggressive Fund for shares of the Growth Fund. Shareowners
holding Class A, Class C and Class Y shares of the Aggressive Fund received
Class A, Class C and Class Y shares of the Growth Fund, respectively, in the
reorganization. The investment portfolio of the Aggressive Fund, with an
aggregate value of $128,596,529 and an identified cost of $88,931,762 at
November 14, 2014, was the principal asset acquired by the Growth Fund.
For financial reporting purposes, assets received and shares issued by the
Growth Fund were recorded at net asset value, however, the cost basis of the
investments received from the Aggressive Fund was carried forward to align
ongoing reporting of the Growth Fund's realized and unrealized gains and losses
with amounts distributable to shareowners for tax reporting purposes.
78 Pioneer Solutions Funds| Semiannual Report | 1/31/15
The following charts show the details of the reorganization as of the Closing
Date:
-----------------------------------------------------------------------------------------
Aggressive Fund Growth Fund Growth Fund
(Pre-Reorganization) (Pre-Reorganization) (Post-Reorganization)
-----------------------------------------------------------------------------------------
Net Assets
Class A $105,417,866 $171,483,703 $276,901,569
Class C 22,944,724 64,868,995 87,813,719
Class Y 372,456 1,027,929 1,400,385
-----------------------------------------------------------------------------------------
Total Net Assets $128,735,046 $237,380,627 $366,115,673
-----------------------------------------------------------------------------------------
Shares Outstanding
Class A 7,524,857 12,612,148 20,137,005
Class C 1,722,284 5,042,583 6,764,867
Class Y 26,428 74,140 100,568
-----------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------
Pre-conversion Conversion Post-conversion
Shares Ratio Shares
-----------------------------------------------------------------------------------------
Class A 12,612,148 1.00 20,137,005
Class C 5,042,583 1.00 6,764,867
Class Y 74,140 1.00 100,568
-----------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------
Exchange Shares Issued
Ratio in Reorganization
-----------------------------------------------------------------------------------------
Class A 1.00 7,524,857
Class C 1.00 1,722,284
Class Y 1.00 26,428
-----------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------
Unrealized Accumulated
Appreciation on Gain (Loss) on
Closing Date Closing Date
-----------------------------------------------------------------------------------------
Aggressive $39,664,767 $(24,232,621)
Growth $62,059,622 $(30,765,442)
-----------------------------------------------------------------------------------------
Assuming the Reorganization had been completed on August 1, 2014, the beginning
of the Fund's current fiscal period, the pro forma results of operations for the
six months ended January 31, 2015, are as follows:
-----------------------------------------------------------------------------------------
Net Investment Income (Loss) $ 7,991,367
Net Realized and Unrealized Gains (8,987,377)
-----------------------------------------------------------------------------------------
Change in Net Assets Resulting from Operations $ (996,010)
-----------------------------------------------------------------------------------------
Because the combined investment portfolios have been managed as a single
integrated portfolio since the reorganization was completed, it is not practical
to separate the amounts of revenue and earnings of the Growth Fund that have
been included in the Statements of Operations since the Reorganization was
consummated.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 79
Pioneer Solutions - Conservative Fund
Approval of Investment Advisory Agreement
Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to
Pioneer Solutions - Conservative Fund (the Fund) pursuant to an investment
advisory agreement between PIM and the Fund. In order for PIM to remain the
investment adviser of the Fund, the Trustees of the Fund must determine annually
whether to renew the investment advisory agreement for the Fund.
The contract review process began in January 2014 as the Trustees of the Fund
agreed on, among other things, an overall approach and timeline for the process.
Contract review materials were provided to the Trustees in March 2014 and July
2014. Supplemental contract review materials were provided to the Trustees in
September 2014. In addition, the Trustees reviewed and discussed the Fund's
performance at regularly scheduled meetings throughout the year, and took into
account other information related to the Fund provided to the Trustees at
regularly scheduled meetings, in connection with the review of the Fund's
investment advisory agreement.
In March 2014, the Trustees, among other things, discussed the memorandum
provided by Fund counsel that summarized the legal standards and other
considerations that are relevant to the Trustees in their deliberations
regarding the renewal of the investment advisory agreement, and reviewed and
discussed the qualifications of the investment management teams, as well as the
level of investment by the Fund's portfolio managers in the Fund. In July 2014,
the Trustees, among other things, reviewed the Fund's management fee and total
expense ratios, the financial statements of PIM and its parent companies, the
profitability analyses provided by PIM, and possible economies of scale. The
Trustees also reviewed the profitability of the institutional business of PIM
and PIM's affiliate, Pioneer Institutional Asset Management, Inc. (together with
PIM, "Pioneer"), as compared to that of PIM's fund management business, and
considered the differences between the fees and expenses of the Fund and the
fees and expenses of Pioneer's institutional accounts, as well as the different
services provided by PIM to the Fund and by Pioneer to the institutional
accounts. The Trustees further considered contract review materials in September
2014.
At a meeting held on September 16, 2014, based on their evaluation of the
information provided by PIM and third parties, the Trustees of the Fund,
including the Independent Trustees voting separately, unanimously approved the
renewal of the investment advisory agreement for another year. In considering
the renewal of the investment advisory agreement, the Trustees considered
various factors that they determined were relevant, including the
80 Pioneer Solutions Funds| Semiannual Report | 1/31/15
factors described below. In all quintile rankings referred to throughout this
disclosure, first quintile is most favorable to the Fund's shareowners. The
Trustees did not identify any single factor as the controlling factor in
determining to approve the renewal of the agreement.
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services that had
been provided by PIM to the Fund and would be provided by PIM to the Fund
following the implementation of investment strategy changes for the Fund and
PIM's assumption of direct responsibility for portfolio management decisions for
the Fund. The Trustees took into account the investment objective and current
and proposed strategy of the Fund. The Trustees reviewed the terms of the
investment advisory agreement. The Trustees also reviewed PIM's investment
approach for the Fund and its research process. The Trustees considered the
resources of PIM and the personnel of PIM who provide investment management
services to the Fund and would provide services following the implementation of
investment strategy changes for the Fund. They also reviewed the amount of
non-Fund assets managed by the portfolio managers of the Fund. The Trustees
considered the non-investment resources and personnel of PIM involved in PIM's
services to the Fund, including PIM's compliance and legal resources and
personnel. The Trustees noted the substantial attention and high priority given
by PIM's senior management to the Pioneer fund complex.
The Trustees considered that PIM supervises and monitors the performance of the
Fund's service providers and provides the Fund with personnel (including Fund
officers) and other resources that are necessary for the Fund's business
management and operations. The Trustees also considered that, as administrator,
PIM is responsible for the administration of the Fund's business and other
affairs. The Trustees considered the fees paid to PIM for the provision of
administration services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services that had been provided by PIM to the Fund were
satisfactory and consistent with the terms of the investment advisory agreement.
Performance of the Fund
In considering the Fund's performance, the Trustees regularly review and discuss
analysis and data prepared by PIM and information comparing the Fund's
performance with the performance of its peer group of funds as classified by
each of Morningstar, Inc. (Morningstar) and Lipper, and with the performance of
the Fund's benchmark index. They also discuss the Fund's performance with PIM on
a regular basis. The Trustees confirmed that these regular reviews and
discussions were factored into the Trustees' deliberations
Pioneer Solutions Funds | Semiannual Report | 1/31/15 81
concerning the renewal of the advisory agreement. For purposes of their contract
renewal deliberations, the Trustees considered the discussions held throughout
the year regarding the Fund's performance and the performance results of the
Fund over various time periods, including the Fund's performance results for
periods ended June 30, 2014. The Trustees noted the Fund's relatively poor peer
comparisons of total return over the 1-, 3- and 5-year periods, but indicated
that they were satisfied with PIM's response to the Fund's performance issues.
In particular, the Trustees noted that Ibbotson Associates, Inc. served as the
Fund's sub-adviser for all periods under consideration. The Trustees noted that,
in connection with the implementation of investment strategy changes for the
Fund, PIM would assume direct responsibility for portfolio management decisions
for the Fund.
Management Fee and Expenses
The Trustees considered information showing the fees and expenses of the Fund in
comparison to the management fees and expense ratios of its peer group of funds
as classified by Morningstar and also to the expense ratios of a peer group of
funds selected on the basis of criteria determined by the Independent Trustees
for this purpose using data provided by Strategic Insight Mutual 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, 2014 was in the third quintile relative to the management fees
paid by other funds in its Morningstar peer group for the comparable period. The
Trustees also considered the breakpoints in the management fee schedule and the
reduced fee rates above certain asset levels. The Trustees considered that the
expense ratio of the Fund's Class A shares for the twelve months ended June 30,
2014 was in the fifth quintile relative to its Morningstar peer group and in the
fourth quintile relative its Strategic Insight peer group, in each case for the
comparable period. The Trustees considered the impact of transfer agency,
sub-transfer agency, and other non-management fee expenses on the expense ratios
of the Fund. The Trustees noted that they separately review the Fund's transfer
agency, sub-transfer agency and intermediary arrangements. The Trustees noted
the Fund's relatively small asset size compared to most of the other funds in
its peer groups. They noted that the Fund's non-management fee operating
expenses generally are spread over a smaller asset base than the other funds in
the peer group, which results in these fees being significantly higher as a
percentage of assets. The Trustees also considered information showing
significant expense reimbursements by the sponsors of the other funds in the
peer groups.
82 Pioneer Solutions Funds| Semiannual Report | 1/31/15
The Trustees reviewed management fees charged by Pioneer to institutional and
other clients, including publicly offered European funds sponsored by affiliates
of Pioneer, unaffiliated U.S. registered investment companies (in a sub-advisory
capacity), and unaffiliated foreign and domestic separate accounts. The Trustees
also considered PIM's costs in providing services to the Fund and Pioneer's
costs in providing services to the other clients and considered the differences
in management fees and profit margins for Fund and non-Fund services. In
evaluating the fees associated with Pioneer's client accounts, the Trustees took
into account the respective demands, resources and complexity associated with
the Fund and client accounts. The Trustees noted that, in some instances, the
fee rates for those clients were lower than the management fee for the Fund and
considered that, under the investment advisory agreement with the Fund, PIM
performs additional services for the Fund that it does not provide to those
other clients or services that are broader in scope, including oversight of the
Fund's other service providers and activities related to compliance and the
extensive regulatory and tax regimes to which the Fund is subject. The Trustees
also considered the different entrepreneurial risks associated with PIM's
management of the Fund and Pioneer's management of the other client accounts.
The Trustees concluded that the management fee payable by the Fund to PIM was
reasonable in relation to the nature and quality of the services provided by PIM
to the Fund.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Fund,
including the methodology used by PIM in allocating certain of its costs to the
management of the Fund. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Fund. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Fund in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors, including its
organizational structure and method for allocating expenses. The Trustees
concluded that PIM's profitability with respect to the management of the Fund
was not unreasonable.
Economies of Scale
The Trustees considered PIM's views relating to economies of scale in connection
with the Pioneer Funds as fund assets grow and the extent to which any such
economies of scale are shared with funds and fund shareholders. The Trustees
noted the breakpoints in the management fee schedule. The Trustees recognize
that economies of scale are difficult to
Pioneer Solutions Funds | Semiannual Report | 1/31/15 83
identify and quantify, and that, among other factors that may be relevant, are
the following: fee levels, expense subsidization, investment by PIM in research
and analytical capabilities and PIM's commitment and resource allocation to the
Fund. The Trustees noted that profitability also may be an indicator of the
availability of any economies of scale, although profitability may vary for
other reasons including due to reductions in expenses. The Trustees concluded
that economies of scale, if any, were being appropriately shared with the Funds.
Other Benefits
The Trustees considered the other benefits to PIM from its relationship with the
Fund. The Trustees considered the character and amount of fees paid by the Fund,
other than under the investment advisory agreement, for services provided by PIM
and its affiliates. The Trustees further considered the revenues and
profitability of PIM's businesses other than the fund business. Pioneer is the
principal U.S. asset management business of Pioneer Global Asset Management, the
worldwide asset management business of UniCredit Group, which manages over $150
billion in assets (including the Funds). Pioneer and the Funds receive
reciprocal intangible benefits from the relationship, including mutual brand
recognition and, for the Funds, direct and indirect access to the resources of a
large global asset manager. The Trustees concluded that any such benefits
received by Pioneer as a result of its relationship with the Funds were
reasonable and their consideration of the advisory agreement between the Fund
and PIM and the fees thereunder were unaffected by Pioneer's possible receipt of
any such intangible benefits.
Conclusion
After consideration of the factors described above as well as other factors, the
Trustees, including all of the Independent Trustees, concluded that the
investment advisory agreement between PIM and the Fund, including the fees
payable thereunder, was fair and reasonable and voted to approve the proposed
renewal of the investment advisory agreement for the Fund.
84 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Pioneer Solutions - Balanced Fund
Approval of Investment Advisory Agreement
Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to
Pioneer Solutions - Balanced Fund (the Fund) pursuant to an investment advisory
agreement between PIM and the Fund. In order for PIM to remain the investment
adviser of the Fund, the Trustees of the Fund must determine annually whether to
renew the investment advisory agreement for the Fund.
The contract review process began in January 2014 as the Trustees of the Fund
agreed on, among other things, an overall approach and timeline for the process.
Contract review materials were provided to the Trustees in March 2014 and July
2014. Supplemental contract review materials were provided to the Trustees in
September 2014. In addition, the Trustees reviewed and discussed the Fund's
performance at regularly scheduled meetings throughout the year, and took into
account other information related to the Fund provided to the Trustees at
regularly scheduled meetings, in connection with the review of the Fund's
investment advisory agreement.
In March 2014, the Trustees, among other things, discussed the memorandum
provided by Fund counsel that summarized the legal standards and other
considerations that are relevant to the Trustees in their deliberations
regarding the renewal of the investment advisory agreement, and reviewed and
discussed the qualifications of the investment management teams, as well as the
level of investment by the Fund's portfolio managers in the Fund. In July 2014,
the Trustees, among other things, reviewed the Fund's management fee and total
expense ratios, the financial statements of PIM and its parent companies, the
profitability analyses provided by PIM, and possible economies of scale. The
Trustees also reviewed the profitability of the institutional business of PIM
and PIM's affiliate, Pioneer Institutional Asset Management, Inc. (together with
PIM, "Pioneer"), as compared to that of PIM's fund management business, and
considered the differences between the fees and expenses of the Fund and the
fees and expenses of Pioneer's institutional accounts, as well as the different
services provided by PIM to the Fund and by Pioneer to the institutional
accounts. The Trustees further considered contract review materials in September
2014.
At a meeting held on September 16, 2014, based on their evaluation of the
information provided by PIM and third parties, the Trustees of the Fund,
including the Independent Trustees voting separately, unanimously approved the
renewal of the investment advisory agreement for another year. In considering
the renewal of the investment advisory agreement, the Trustees considered
various factors that they determined were relevant, including the
Pioneer Solutions Funds | Semiannual Report | 1/31/15 85
factors described below. In all quintile rankings referred to throughout this
disclosure, first quintile is most favorable to the Fund's shareowners. The
Trustees did not identify any single factor as the controlling factor in
determining to approve the renewal of the agreement.
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services that had
been provided by PIM to the Fund and would be provided by PIM to the Fund
following the implementation of investment strategy changes for the Fund and
PIM's assumption of direct responsibility for portfolio management decisions for
the Fund. The Trustees took into account the investment objective and current
and proposed strategy of the Fund. The Trustees reviewed the terms of the
investment advisory agreement. The Trustees also reviewed PIM's investment
approach for the Fund and its research process. The Trustees considered the
resources of PIM and the personnel of PIM who provide investment management
services to the Fund and would provide services following the implementation of
investment strategy changes for the Fund. They also reviewed the amount of
non-Fund assets managed by the portfolio managers of the Fund. The Trustees
considered the non-investment resources and personnel of PIM involved in PIM's
services to the Fund, including PIM's compliance and legal resources and
personnel. The Trustees noted the substantial attention and high priority given
by PIM's senior management to the Pioneer fund complex.
The Trustees considered that PIM supervises and monitors the performance of the
Fund's service providers and provides the Fund with personnel (including Fund
officers) and other resources that are necessary for the Fund's business
management and operations. The Trustees also considered that, as administrator,
PIM is responsible for the administration of the Fund's business and other
affairs. The Trustees considered the fees paid to PIM for the provision of
administration services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services that had been provided by PIM to the Fund were
satisfactory and consistent with the terms of the investment advisory agreement.
Performance of the Fund
In considering the Fund's performance, the Trustees regularly review and discuss
analysis and data prepared by PIM and information comparing the Fund's
performance with the performance of its peer group of funds as classified by
each of Morningstar, Inc. (Morningstar) and Lipper, and with the performance of
the Fund's benchmark index. They also discuss the Fund's
86 Pioneer Solutions Funds| Semiannual Report | 1/31/15
performance with PIM on a regular basis. The Trustees confirmed that these
regular reviews and discussions were factored into the Trustees' deliberations
concerning the renewal of the advisory agreement. For purposes of their contract
renewal deliberations, the Trustees considered the discussions held throughout
the year regarding the Fund's performance and the performance results of the
Fund over various time periods, including the Fund's performance results for
periods ended June 30, 2014. The Trustees noted the Fund's relatively poor peer
comparisons of total return over the 1-, 3- and 5-year periods, but indicated
that they were satisfied with PIM's response to the Fund's performance issues.
In particular, the Trustees noted that Ibbotson Associates, Inc. served as the
Fund's sub-adviser for all periods under consideration. The Trustees noted that,
in connection with the implementation of investment strategy changes for the
Fund, PIM would assume direct responsibility for portfolio management decisions
for the Fund.
Management Fee and Expenses
The Trustees considered information showing the fees and expenses of the Fund in
comparison to the management fees and expense ratios of its peer group of funds
as classified by Morningstar and also to the expense ratios of a peer group of
funds selected on the basis of criteria determined by the Independent Trustees
for this purpose using data provided by Strategic Insight Mutual 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, 2014 was in the third quintile relative to the management fees
paid by other funds in its Morningstar peer group for the comparable period. The
Trustees also considered the breakpoints in the management fee schedule and the
reduced fee rates above certain asset levels. The Trustees considered that the
expense ratio of the Fund's Class A shares for the twelve months ended June 30,
2014 was in the fifth quintile relative to its Morningstar peer group and in the
fourth quintile relative its Strategic Insight peer group, in each case for the
comparable period. The Trustees considered the impact of transfer agency,
sub-transfer agency, and other non-management fee expenses on the expense ratios
of the Fund. The Trustees noted that they separately review the Fund's transfer
agency, sub-transfer agency and intermediary arrangements. The Trustees noted
the Fund's relatively small asset size compared to most of the other funds in
its peer groups. They noted that the Fund's non-management fee operating
expenses generally are spread over a smaller asset base than the other funds in
the peer group, which results in these fees being significantly higher as a
percentage of assets. The Trustees also considered information showing
significant expense reimbursements by the sponsors of the other funds in the
peer groups.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 87
The Trustees reviewed management fees charged by Pioneer to institutional and
other clients, including publicly offered European funds sponsored by affiliates
of Pioneer, unaffiliated U.S. registered investment companies (in a sub-advisory
capacity), and unaffiliated foreign and domestic separate accounts. The Trustees
also considered PIM's costs in providing services to the Fund and Pioneer's
costs in providing services to the other clients and considered the differences
in management fees and profit margins for Fund and non-Fund services. In
evaluating the fees associated with Pioneer's client accounts, the Trustees took
into account the respective demands, resources and complexity associated with
the Fund and client accounts. The Trustees noted that, in some instances, the
fee rates for those clients were lower than the management fee for the Fund and
considered that, under the investment advisory agreement with the Fund, PIM
performs additional services for the Fund that it does not provide to those
other clients or services that are broader in scope, including oversight of the
Fund's other service providers and activities related to compliance and the
extensive regulatory and tax regimes to which the Fund is subject. The Trustees
also considered the different entrepreneurial risks associated with PIM's
management of the Fund and Pioneer's management of the other client accounts.
The Trustees concluded that the management fee payable by the Fund to PIM was
reasonable in relation to the nature and quality of the services provided by PIM
to the Fund.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Fund,
including the methodology used by PIM in allocating certain of its costs to the
management of the Fund. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Fund. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Fund in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors, including its
organizational structure and method for allocating expenses. The Trustees
concluded that PIM's profitability with respect to the management of the Fund
was not unreasonable.
Economies of Scale
The Trustees considered PIM's views relating to economies of scale in connection
with the Pioneer Funds as fund assets grow and the extent to which any such
economies of scale are shared with funds and fund shareholders. The Trustees
noted the breakpoints in the management fee
88 Pioneer Solutions Funds| Semiannual Report | 1/31/15
schedule. The Trustees recognize that economies of scale are difficult to
identify and quantify, and that, among other factors that may be relevant, are
the following: fee levels, expense subsidization, investment by PIM in research
and analytical capabilities and PIM's commitment and resource allocation to the
Fund. The Trustees noted that profitability also may be an indicator of the
availability of any economies of scale, although profitability may vary for
other reasons including reductions in expenses. The Trustees concluded that
economies of scale, if any, were being appropriately shared with the Funds.
Other Benefits
The Trustees considered the other benefits to PIM from its relationship with the
Fund. The Trustees considered the character and amount of fees paid by the Fund,
other than under the investment advisory agreement, for services provided by PIM
and its affiliates. The Trustees further considered the revenues and
profitability of PIM's businesses other than the fund business. Pioneer is the
principal U.S. asset management business of Pioneer Global Asset Management, the
worldwide asset management business of UniCredit Group, which manages over $150
billion in assets (including the Funds). Pioneer and the Funds receive
reciprocal intangible benefits from the relationship, including mutual brand
recognition and, for the Funds, direct and indirect access to the resources of a
large global asset manager. The Trustees concluded that any such benefits
received by Pioneer as a result of its relationship with the Funds were
reasonable and their consideration of the advisory agreement between the Fund
and PIM and the fees thereunder were unaffected by Pioneer's possible receipt of
any such intangible benefits.
Conclusion
After consideration of the factors described above as well as other factors, the
Trustees, including all of the Independent Trustees, concluded that the
investment advisory agreement between PIM and the Fund, including the fees
payable thereunder, was fair and reasonable and voted to approve the proposed
renewal of the investment advisory agreement for the Fund.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 89
Pioneer Solutions - Growth Fund
Approval of Investment Advisory Agreement
Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to
Pioneer Solutions - Growth Fund (the Fund) pursuant to an investment advisory
agreement between PIM and the Fund. In order for PIM to remain the investment
adviser of the Fund, the Trustees of the Fund must determine annually whether to
renew the investment advisory agreement for the Fund.
The contract review process began in January 2014 as the Trustees of the Fund
agreed on, among other things, an overall approach and timeline for the process.
Contract review materials were provided to the Trustees in March 2014 and July
2014. Supplemental contract review materials were provided to the Trustees in
September 2014. In addition, the Trustees reviewed and discussed the Fund's
performance at regularly scheduled meetings throughout the year, and took into
account other information related to the Fund provided to the Trustees at
regularly scheduled meetings, in connection with the review of the Fund's
investment advisory agreement.
In March 2014, the Trustees, among other things, discussed the memorandum
provided by Fund counsel that summarized the legal standards and other
considerations that are relevant to the Trustees in their deliberations
regarding the renewal of the investment advisory agreement, and reviewed and
discussed the qualifications of the investment management teams, as well as the
level of investment by the Fund's portfolio managers in the Fund. In July 2014,
the Trustees, among other things, reviewed the Fund's management fee and total
expense ratios, the financial statements of PIM and its parent companies, the
profitability analyses provided by PIM, and possible economies of scale. The
Trustees also reviewed the profitability of the institutional business of PIM
and PIM's affiliate, Pioneer Institutional Asset Management, Inc. (together with
PIM, "Pioneer"), as compared to that of PIM's fund management business, and
considered the differences between the fees and expenses of the Fund and the
fees and expenses of Pioneer's institutional accounts, as well as the different
services provided by PIM to the Fund and by Pioneer to the institutional
accounts. The Trustees further considered contract review materials in September
2014.
At a meeting held on September 16, 2014, based on their evaluation of the
information provided by PIM and third parties, the Trustees of the Fund,
including the Independent Trustees voting separately, unanimously approved the
renewal of the investment advisory agreement for another year. In considering
the renewal of the investment advisory agreement, the Trustees considered
various factors that they determined were relevant, including the
90 Pioneer Solutions Funds| Semiannual Report | 1/31/15
factors described below. In all quintile rankings referred to throughout this
disclosure, first quintile is most favorable to the Fund's shareowners. The
Trustees did not identify any single factor as the controlling factor in
determining to approve the renewal of the agreement.
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services that had
been provided by PIM to the Fund and would be provided by PIM to the Fund
following the implementation of investment strategy changes for the Fund and
PIM's assumption of direct responsibility for portfolio management decisions for
the Fund. The Trustees took into account the investment objective and current
and proposed strategy of the Fund. The Trustees reviewed the terms of the
investment advisory agreement. The Trustees also reviewed PIM's investment
approach for the Fund and its research process. The Trustees considered the
resources of PIM and the personnel of PIM who provide investment management
services to the Fund and would provide services following the implementation of
investment strategy changes for the Fund. They also reviewed the amount of
non-Fund assets managed by the portfolio managers of the Fund. The Trustees
considered the non-investment resources and personnel of PIM involved in PIM's
services to the Fund, including PIM's compliance and legal resources and
personnel. The Trustees noted the substantial attention and high priority given
by PIM's senior management to the Pioneer fund complex.
The Trustees considered that PIM supervises and monitors the performance of the
Fund's service providers and provides the Fund with personnel (including Fund
officers) and other resources that are necessary for the Fund's business
management and operations. The Trustees also considered that, as administrator,
PIM is responsible for the administration of the Fund's business and other
affairs. The Trustees considered the fees paid to PIM for the provision of
administration services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services that had been provided by PIM to the Fund were
satisfactory and consistent with the terms of the investment advisory agreement.
Performance of the Fund
In considering the Fund's performance, the Trustees regularly review and discuss
analysis and data prepared by PIM and information comparing the Fund's
performance with the performance of its peer group of funds as classified by
each of Morningstar, Inc. (Morningstar) and Lipper, and with the performance of
the Fund's benchmark index. They also discuss the Fund's performance with PIM on
a regular basis. The Trustees confirmed that these
Pioneer Solutions Funds | Semiannual Report | 1/31/15 91
regular reviews and discussions were factored into the Trustees' deliberations
concerning the renewal of the advisory agreement. For purposes of their contract
renewal deliberations, the Trustees considered the discussions held throughout
the year regarding the Fund's performance and the performance results of the
Fund over various time periods, including the Fund's performance results for
periods ended June 30, 2014. The Trustees noted the Fund's relatively poor peer
comparisons of total return over the 1-, 3- and 5-year periods, but indicated
that they were satisfied with PIM's response to the Fund's performance issues.
In particular, the Trustees noted that Ibbotson Associates, Inc. served as the
Fund's sub-adviser for all periods under consideration. The Trustees noted that,
in connection with the implementation of investment strategy changes for the
Fund, PIM would assume direct responsibility for portfolio management decisions
for the Fund.
Management Fee and Expenses
The Trustees considered information showing the fees and expenses of the Fund in
comparison to the management fees and expense ratios of its peer group of funds
as classified by Morningstar and also to the expense ratios of a peer group of
funds selected on the basis of criteria determined by the Independent Trustees
for this purpose using data provided by Strategic Insight Mutual 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, 2014 was in the third quintile relative to the management fees
paid by other funds in its Morningstar peer group for the comparable period. The
Trustees also considered the breakpoints in the management fee schedule and the
reduced fee rates above certain asset levels. The Trustees considered that the
expense ratio of the Fund's Class A shares for the twelve months ended June 30,
2014 was in the fourth quintile relative to its Morningstar peer group and in
the fifth quintile relative its Strategic Insight peer group, in each case for
the comparable period. The Trustees considered the impact of transfer agency,
sub-transfer agency, and other non-management fee expenses on the expense ratios
of the Fund. The Trustees noted that they separately review the Fund's transfer
agency, sub-transfer agency and intermediary arrangements. The Trustees noted
the Fund's relatively small asset size compared to most of the other funds in
its peer groups. They noted that the Fund's non-management fee operating
expenses generally are spread over a smaller asset base than the other funds in
the peer group, which results in these fees being significantly higher as a
percentage of assets. The Trustees also considered information showing
significant expense reimbursements by the sponsors of the other funds in the
peer groups.
92 Pioneer Solutions Funds| Semiannual Report | 1/31/15
The Trustees reviewed management fees charged by Pioneer to institutional and
other clients, including publicly offered European funds sponsored by affiliates
of Pioneer, unaffiliated U.S. registered investment companies (in a sub-advisory
capacity), and unaffiliated foreign and domestic separate accounts. The Trustees
also considered PIM's costs in providing services to the Fund and Pioneer's
costs in providing services to the other clients and considered the differences
in management fees and profit margins for Fund and non-Fund services. In
evaluating the fees associated with Pioneer's client accounts, the Trustees took
into account the respective demands, resources and complexity associated with
the Fund and client accounts. The Trustees noted that, in some instances, the
fee rates for those clients were lower than the management fee for the Fund and
considered that, under the investment advisory agreement with the Fund, PIM
performs additional services for the Fund that it does not provide to those
other clients or services that are broader in scope, including oversight of the
Fund's other service providers and activities related to compliance and the
extensive regulatory and tax regimes to which the Fund is subject. The Trustees
also considered the different entrepreneurial risks associated with PIM's
management of the Fund and Pioneer's management of the other client accounts.
The Trustees concluded that the management fee payable by the Fund to PIM was
reasonable in relation to the nature and quality of the services provided by PIM
to the Fund.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Fund,
including the methodology used by PIM in allocating certain of its costs to the
management of the Fund. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Fund. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Fund in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors, including its
organizational structure and method for allocating expenses. The Trustees
concluded that PIM's profitability with respect to the management of the Fund
was not unreasonable.
Economies of Scale
The Trustees considered PIM's views relating to economies of scale in connection
with the Pioneer Funds as fund assets grow and the extent to which any such
economies of scale are shared with funds and fund shareholders. The Trustees
noted the breakpoints in the management fee schedule. The Trustees recognize
that economies of scale are difficult to
Pioneer Solutions Funds | Semiannual Report | 1/31/15 93
identify and quantify, and that, among other factors that may be relevant, are
the following: fee levels, expense subsidization, investment by PIM in research
and analytical capabilities and PIM's commitment and resource allocation to the
Fund. The Trustees noted that profitability also may be an indicator of the
availability of any economies of scale, although profitability may vary for
other reasons including reductions in expenses. The Trustees concluded that
economies of scale, if any, were being appropriately shared with the Funds.
Other Benefits
The Trustees considered the other benefits to PIM from its relationship with the
Fund. The Trustees considered the character and amount of fees paid by the Fund,
other than under the investment advisory agreement, for services provided by PIM
and its affiliates. The Trustees further considered the revenues and
profitability of PIM's businesses other than the fund business. Pioneer is the
principal U.S. asset management business of Pioneer Global Asset Management, the
worldwide asset management business of UniCredit Group, which manages over $150
billion in assets (including the Funds). Pioneer and the Funds receive
reciprocal intangible benefits from the relationship, including mutual brand
recognition and, for the Funds, direct and indirect access to the resources of a
large global asset manager. The Trustees concluded that any such benefits
received by Pioneer as a result of its relationship with the Funds were
reasonable and their consideration of the advisory agreement between the Fund
and PIM and the fees thereunder were unaffected by Pioneer's possible receipt of
any such intangible benefits.
Conclusion
After consideration of the factors described above as well as other factors, the
Trustees, including all of the Independent Trustees, concluded that the
investment advisory agreement between PIM and the Fund, including the fees
payable thereunder, was fair and reasonable and voted to approve the proposed
renewal of the investment advisory agreement for the Fund.
94 Pioneer Solutions Funds| Semiannual Report | 1/31/15
Trustees, Officers and Service Providers
Trustees Advisory Trustee
Thomas J. Perna, Chairman Lorraine H. Monchak*
David R. Bock
Benjamin M. Friedman Officers
Margaret B.W. Graham Lisa M. Jones, President and Chief
Marguerite A. Piret Executive Officer
Fred J. Ricciardi Mark E. Bradley, Treasurer and
Kenneth J. Taubes Chief Financial and
Accounting Officer
Christopher J. Kelley, Secretary and
Chief Legal Officer
Investment Adviser and Administrator
Pioneer Investment Management, Inc.
Custodian and Sub-Administrator
Brown Brothers Harriman & Co.
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Morgan, Lewis & Bockius LLP
Shareowner Services and Transfer Agent
Pioneer Investment Management Shareholder Services, Inc.
Proxy Voting Policies and Procedures of the Fund are available without charge,
upon request, by calling our toll free number (1-800-225-6292). Information
regarding how the Fund voted proxies relating to portfolio securities during the
most recent 12-month period ended June 30 is publicly available to shareowners
at us.pioneerinvestments.com. This information is also available on the
Securities and Exchange Commission's web site at www.sec.gov.
* Ms. Monchak is a non-voting Advisory Trustee.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 95
This page for your notes.
96 Pioneer Solutions Funds| Semiannual Report | 1/31/15
This page for your notes.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 97
This page for your notes.
98 Pioneer Solutions Funds| Semiannual Report | 1/31/15
This page for your notes.
Pioneer Solutions Funds | Semiannual Report | 1/31/15 99
This page for your notes.
100 Pioneer Solutions Funds| Semiannual Report | 1/31/15
How to Contact Pioneer
We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
Call us for:
--------------------------------------------------------------------------------
Account Information, including existing accounts,
new accounts, prospectuses, applications
and service forms 1-800-225-6292
FactFone(SM) for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Write to us:
--------------------------------------------------------------------------------
PIMSS, Inc.
P.O. Box 55014
Boston, Massachusetts 02205-5014
Our toll-free fax 1-800-225-4240
Our internet e-mail address ask.pioneer@pioneerinvestments.com
(for general questions about Pioneer only)
Visit our web site: us.pioneerinvestments.com
This report must be preceded or accompanied by a prospectus.
The Fund files a complete schedule of investments with the Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareholders may view the filed Form N-Q by visiting the Commission's
web site at http://www.sec.gov. The filed form may also be viewed and copied at
the Commission's Public Reference Room in Washington, DC. Information regarding
the operations of the Public Reference Room may be obtained by calling
1-800-SEC-0330.
[LOGO] PIONEER
Investments(R)
Pioneer Investment Management, Inc.
60 State Street
Boston, MA 02109
us.pioneerinvestments.com
Securities offered through Pioneer Funds Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
(C) 2015 Pioneer Investments 19016-09-0315
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 12(a)(1), a copy of
its code of ethics that applies to the registrant's principal
executive officer,principal financial officer, principal accounting
officer or controller, or persons performing similar functions,
as an exhibit to its annual
report on this Form N-CSR (see attachment);
(2) Post the text of such code of ethics on its Internet website and
disclose, in its most recent report on this Form N-CSR, its Internet
address and the fact that it has posted such code of ethics on its
Internet website; or
(3) Undertake in its most recent report on this Form N-CSR to provide to
any person without charge, upon request, a copy of such code of ethics
and explain the manner in which such request may be made.
See Item 10(2)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a) (1) Disclose that the registrant's board of trustees has determined that
the registrant either:
(i) Has at least one audit committee financial expert serving on its audit
committee; or
(ii) Does not have an audit committee financial expert serving on its audit
committee.
The registrant's Board of Trustees has determined that the registrant has at
least one audit committee financial expert.
(2) If the registrant provides the disclosure required by paragraph
(a)(1)(i) of this Item, it must disclose the name of the audit committee
financial expert and whether that person is "independent." In order to be
considered "independent" for purposes of this Item, a member of an audit
committee may not, other than in his or her capacity as a member of the audit
committee, the board of trustees, or any other board committee:
(i) Accept directly or indirectly any consulting, advisory, or other
compensatory fee from the issuer; or
(ii) Be an "interested person" of the investment company as defined in
Section 2(a)(19) of the Act (15 U.S.C. 80a-2(a)(19)).
Ms. Marguerite A. Piret, an independent trustee, is such an audit committee
financial expert.
(3) If the registrant provides the disclosure required by paragraph (a)(1)
(ii) of this Item, it must explain why it does not have an audit committee
financial expert.
Not applicable.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Disclose, under the caption AUDIT FEES, the aggregate fees billed for each
of the last two fiscal years for professional services rendered by the principal
accountant for the audit of the registrant's annual financial statements or
services that are normally provided by the accountant in connection with
statutory and regulatory filings or engagements for those fiscal years.
N/A
(b) Disclose, under the caption AUDIT-RELATED FEES, the aggregate fees billed in
each of the last two fiscal years for assurance and related services by the
principal accountant that are reasonably related to the performance of the audit
of the registrant's financial statements and are not reported under
paragraph (a) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.
N/A
(c) Disclose, under the caption TAX FEES, the aggregate fees billed in each of
the last two fiscal years for professional services rendered by the principal
accountant for tax compliance, tax advice, and tax planning. Registrants shall
describe the nature of the services comprising the fees disclosed under this
category.
N/A
(d) Disclose, under the caption ALL OTHER FEES, the aggregate fees billed in
each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a) through
(c) of this Item. Registrants shall describe the nature of the services
comprising the fees disclosed under this category.
N/A
(e) (1) Disclose the audit committee's pre-approval policies and procedures
described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
PIONEER FUNDS
APPROVAL OF AUDIT, AUDIT-RELATED, TAX AND OTHER SERVICES
PROVIDED BY THE INDEPENDENT AUDITOR
SECTION I - POLICY PURPOSE AND APPLICABILITY
The Pioneer Funds recognize the importance of maintaining the independence of
their outside auditors. Maintaining independence is a shared responsibility
involving Pioneer Investment Management, Inc ("PIM"), the audit committee and
the independent auditors.
The Funds recognize that a Fund's independent auditors: 1) possess knowledge of
the Funds, 2) are able to incorporate certain services into the scope of the
audit, thereby avoiding redundant work, cost and disruption of Fund personnel
and processes, and 3) have expertise that has value to the Funds. As a result,
there are situations where it is desirable to use the Fund's independent
auditors for services in addition to the annual audit and where the potential
for conflicts of interests are minimal. Consequently, this policy, which is
intended to comply with Rule 210.2-01(C)(7), sets forth guidelines and
procedures to be followed by the Funds when retaining the independent audit firm
to perform audit, audit-related tax and other services under those
circumstances, while also maintaining independence.
Approval of a service in accordance with this policy for a Fund shall also
constitute approval for any other Fund whose pre-approval is required pursuant
to Rule 210.2-01(c)(7)(ii).
In addition to the procedures set forth in this policy, any non-audit services
that may be provided consistently with Rule 210.2-01 may be approved by the
Audit Committee itself and any pre-approval that may be waived in accordance
with Rule 210.2-01(c)(7)(i)(C) is hereby waived.
Selection of a Fund's independent auditors and their compensation shall be
determined by the Audit Committee and shall not be subject to this policy.
SECTION II - POLICY
---------------- -------------------------------- -------------------------------------------------
SERVICE SERVICE CATEGORY DESCRIPTION SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
CATEGORY
---------------- -------------------------------- -------------------------------------------------
I. AUDIT Services that are directly o Accounting research assistance
SERVICES related to performing the o SEC consultation, registration
independent audit of the Funds statements, and reporting
o Tax accrual related matters
o Implementation of new accounting
standards
o Compliance letters (e.g. rating agency
letters)
o Regulatory reviews and assistance
regarding financial matters
o Semi-annual reviews (if requested)
o Comfort letters for closed end
offerings
---------------- -------------------------------- -------------------------------------------------
II. Services which are not o AICPA attest and agreed-upon procedures
AUDIT-RELATED prohibited under Rule o Technology control assessments
SERVICES 210.2-01(C)(4) (the "Rule") o Financial reporting control assessments
and are related extensions of o Enterprise security architecture
the audit services support the assessment
audit, or use the
knowledge/expertise gained
from the audit procedures as a
foundation to complete the
project. In most cases, if
the Audit-Related Services are
not performed by the Audit
firm, the scope of the Audit
Services would likely
increase. The Services are
typically well-defined and
governed by accounting
professional standards (AICPA,
SEC, etc.)
---------------- -------------------------------- -------------------------------------------------
------------------------------------- ------------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the audit period for all services and related fees
pre-approved specific service reported at each regularly
subcategories. Approval of the scheduled Audit Committee
independent auditors as meeting.
auditors for a Fund shall
constitute pre approval for
these services.
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the fund fiscal year within services and related fees
a specified dollar limit (including comparison to
for all pre-approved specified dollar limits)
specific service subcategories reported quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limit for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for Audit-Related
Services not denoted as
"pre-approved", or
to add a specific service
subcategory as "pre-approved"
------------------------------------- ------------------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- --------------------------- -----------------------------------------------
III. TAX SERVICES Services which are not o Tax planning and support
prohibited by the Rule, o Tax controversy assistance
if an officer of the Fund o Tax compliance, tax returns, excise
determines that using the tax returns and support
Fund's auditor to provide o Tax opinions
these services creates
significant synergy in
the form of efficiency,
minimized disruption, or
the ability to maintain a
desired level of
confidentiality.
----------------------- --------------------------- -----------------------------------------------
------------------------------------- -------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- -------------------------
------------------------------------- -------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year all such services and
within a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for tax services not
denoted as pre-approved, or to add a specific
service subcategory as
"pre-approved"
------------------------------------- -------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- --------------------------- -----------------------------------------------
IV. OTHER SERVICES Services which are not o Business Risk Management support
prohibited by the Rule, o Other control and regulatory
A. SYNERGISTIC, if an officer of the Fund compliance projects
UNIQUE QUALIFICATIONS determines that using the
Fund's auditor to provide
these services creates
significant synergy in
the form of efficiency,
minimized disruption,
the ability to maintain a
desired level of
confidentiality, or where
the Fund's auditors
posses unique or superior
qualifications to provide
these services, resulting
in superior value and
results for the Fund.
----------------------- --------------------------- -----------------------------------------------
--------------------------------------- ------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- --------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year within all such services and
a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for "Synergistic" or
"Unique Qualifications" Other
Services not denoted as
pre-approved to the left, or to
add a specific service
subcategory as "pre-approved"
------------------------------------- --------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- ------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PROHIBITED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- ------------------------- -----------------------------------------------
PROHIBITED SERVICES Services which result 1. Bookkeeping or other services
in the auditors losing related to the accounting records or
independence status financial statements of the audit
under the Rule. client*
2. Financial information systems design
and implementation*
3. Appraisal or valuation services,
fairness* opinions, or
contribution-in-kind reports
4. Actuarial services (i.e., setting
actuarial reserves versus actuarial
audit work)*
5. Internal audit outsourcing services*
6. Management functions or human
resources
7. Broker or dealer, investment
advisor, or investment banking services
8. Legal services and expert services
unrelated to the audit
9. Any other service that the Public
Company Accounting Oversight Board
determines, by regulation, is
impermissible
----------------------- ------------------------- -----------------------------------------------
------------------------------------------- ------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------------- ------------------------------
o These services are not to be o A summary of all
performed with the exception of the(*) services and related
services that may be permitted fees reported at each
if they would not be subject to audit regularly scheduled
procedures at the audit client (as Audit Committee meeting
defined in rule 2-01(f)(4)) level will serve as continual
the firm providing the service. confirmation that has
not provided any
restricted services.
------------------------------------------- ------------------------------
--------------------------------------------------------------------------------
GENERAL AUDIT COMMITTEE APPROVAL POLICY:
o For all projects, the officers of the Funds and the Fund's auditors will each
make an assessment to determine that any proposed projects will not impair
independence.
o Potential services will be classified into the four non-restricted service
categories and the "Approval of Audit, Audit-Related, Tax and Other
Services" Policy above will be applied. Any services outside the specific
pre-approved service subcategories set forth above must be specifically
approved by the Audit Committee.
o At least quarterly, the Audit Committee shall review a report summarizing the
services by service category, including fees, provided by the Audit firm as
set forth in the above policy.
--------------------------------------------------------------------------------
(2) Disclose the percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee pursuant
to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
N/A
(f) If greater than 50 percent, disclose the percentage of hours expended on the
principal accountants 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 registrants accountant
for services rendered to the registrant, and rendered to the registrants
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant for each of
the last two fiscal years of the registrant.
N/A
(h) Disclose whether the registrants audit committee of the board of trustees
has considered whether the provision of non-audit services that were rendered to
the registrants 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 registrant's 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 of Investments in securities of unaffiliated issuers
as of the close of the reporting period as set forth in 210.1212
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 registrant's portfolio ("Portfolio Manager"). Also state each Portfolio
Manager's 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 registrant's equity securities
that is registered by the registrant pursuant to Section 12 of the
Exchange Act (15 U.S.C. 781).
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 registrant's board of directors, where
those changes were implemented after the registrant last provided
disclosure in response to the requirements of Item 407(c)(2)(iv) of
Regulation S-R(17 CFR 229.407)(as required by Item 22(b)(15))
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 registrant's board of
directors since the registrant last provided disclosure in response
to the requirements of Item 407(c)(2)(iv) of Regulation S-R 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 and
principal financials officers, or persons performing similar functions,
regarding the effectiveness of the registrant's disclosure
controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR
270.30a-3(c))) as of a date within 90 days of the filing date of the report
that includes the disclosure required by this paragraph,
based on the evaluation of these controls and procedures required by Rule
30a-3(b) under the Act (17 CFR 270.30(a)-3(b) and Rules 13a-15(b) or 15d-15(b)
under the Exchange Act (17 CFR 240.13a-15(b) or 240.15d-15(b)).
The registrant's principal executive officer
and principal financial officer have
concluded that the registrant's disclosure
controls and procedures are effective based
on the evaluation of these controls and
procedures as of a date within 90 days of the
filing date of this report.
(b) Disclose any change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act (17CFR 270.30a-3(d)) that
occured during the second fiscal quarter of the period covered by this report
that has materially affected, or is reasonably likely to materially affect,
the registrant's internal control over financial reporting.
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.
(a) File the exhibits listed below as part of this Form. Letter or number the
exhibits in the sequence indicated.
(1) 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.
(2) A separate certification for each principal executive officer and principal
financial officer of the registrant as required by Rule 30a-2(a) under the Act
(17 CFR 270.30a-2(a)) , exactly as set forth below:
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 Asset Allocation Trust
By (Signature and Title)* /s/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date April 1, 2015
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/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date April 1, 2015
By (Signature and Title)* /s/ Mark Bradley
Mark Bradley, Treasurer & Chief Accounting & Financial Officer
Date April 1, 2015
* Print the name and title of each signing officer under his or her signature.