UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-07318
Pioneer Series Trust VIII
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Terrence J. Cullen, Amundi Pioneer Asset Management, Inc.,
60 State Street, Boston, MA 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: (617) 742-7825
Date of fiscal year end: November 30
Date of reporting period: December 1, 2017 through May 31, 2018
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 International
Equity Fund
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Semiannual Report | May 31, 2018
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Ticker Symbols:
Class A PIIFX
Class C PCITX
Class Y INVYX
[LOGO] Amundi Pioneer
==============
ASSET MANAGEMENT
visit us: www.amundipioneer.com
Table of Contents
President's Letter 2
Portfolio Management Discussion 4
Portfolio Summary 9
Prices and Distributions 10
Performance Update 11
Comparing Ongoing Fund Expenses 14
Schedule of Investments 16
Financial Statements 22
Notes to Financial Statements 29
Additional Information 38
Trustees, Officers and Service Providers 40
Pioneer International Equity Fund | Semiannual Report | 5/31/18 1
President's Letter
While 2017 delivered strong positive performance, 2018, thus far, has
introduced market volatility. Equity and fixed-income markets pulled back in
the first quarter of this year, as the Standard & Poor's 500 Index and the
Bloomberg Barclays U.S. Aggregate Bond Index both finished in negative
territory, returning -0.76% and -1.46%, respectively, for the three-month
period ended March 31, 2018. Concerns about the sustainability of the pace of
economic growth, extended equity valuations, and rising interest rates drove a
significant stock market sell-off beginning in late January, approaching
correction levels. The market did recover from its initial slump, but this
year's significant fluctuations have served to remind investors that even the
strongest "bulls" cannot run forever. Within fixed income, rising interest
rates helped drive down returns of most asset classes in the first quarter,
though floating-rate sectors such as bank loans fared well in the rising-rate
environment.
Our view is that the first-quarter pause in the market's near-continuous upward
momentum over the previous 15 months, dating back to the final quarter of 2016,
presents an opportunity for investors to enter the market at healthier
valuation levels. We believe fundamentals are still quite positive, yet also
believe that caution is warranted given that the market remains vulnerable to
corrections. Some areas, such as growth stocks, appear expensive, but we do see
opportunity in value stocks, with prices supported by better corporate earnings
due to the recent tax reforms in the U.S. as well as robust, nominal gross
domestic product (GDP) growth. In fact, GDP growth in the U.S. rose to close to
or better than 3% over the final three quarters of 2017, and GDP growth in the
first quarter of 2018 registered at 2.3%.
In the fixed-income markets, we believe investors should consider positioning
their portfolios to defend against rising interest rates, with underweight
positions in U.S. Treasuries. We see more attractive valuations within
structured investment vehicles, such as mortgage-backed securities (MBS) in
both the agency and non-agency residential MBS sectors, as fundamentals within
the U.S. housing market remain positive. We believe that agency MBS, in
particular, offer investors reasonable value.
Since 1928, the foundation of Amundi Pioneer's investment approach has been
active management, which is especially important during periods of market
volatility. We believe investors can benefit from the experience and tenure of
our investment teams who make active and informed decisions across our funds.
In fact, the Pioneer Fund, the third-oldest mutual fund in the U.S., recently
celebrated its 90th birthday. We believe the Fund serves as an important
ambassador of our time-tested value style of investing and our early focus on
understanding the potential benefits of investing in companies with
2 Pioneer International Equity Fund | Semiannual Report | 5/31/18
sustainable business models. Over its nine decades of existence -- a time
period that included a Great Depression, a devastating World War, a long Cold
War, and enormous technological as well as societal changes -- the Fund has
been well-served by this investment approach.
As always, and particularly during times of market uncertainty, 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.
We greatly appreciate the trust you have placed in us and look forward to
continuing to serve you in the future.
/s/ Lisa M. Jones
Lisa M. Jones
Head of the Americas, President and CEO of U.S.
Amundi Pioneer Asset Management USA, Inc.
May 31, 2018
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. Past performance is no
guarantee of future results.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 3
Portfolio Management Discussion | 5/31/18
In the follow interview, Madelynn Matlock discusses the market environment for
international equities and the factors that influenced the performance of
Pioneer International Equity Fund during the six-month period ended May 31,
2018. Ms. Matlock, a senior vice president and a portfolio manager at Amundi
Pioneer Asset Management, Inc. (Amundi Pioneer), and Marco Pirondini, Senior
Managing Director, Head of Equities, U.S., and a portfolio manager at Amundi
Pioneer, are responsible for the day-to-day management of the Fund.
Q How did the Fund perform during the six-month period ended May 31, 2018?
A Pioneer International Equity Fund's Class A shares returned 0.01% at net
asset value during the six-month period ended May 31, 2018, while the
Fund's benchmark, the Morgan Stanley Capital International (MSCI) Europe,
Australasia, Far East (EAFE) ND Index (the MSCI EAFE Index)(1), returned
0.03%. During the same period, the average return for the 797 mutual funds
in Morningstar's Foreign Large Blend Funds category was 0.20%.
Q How would you characterize the investment environment for international
equities during the six-month period ended May 31, 2018?
A International equities delivered relatively flat performance, but that
result belies the underlying market volatility that characterized the
six-month period. The period began with the markets in an upbeat mood in
the wake of the passage of U.S. tax legislation in December 2017, which
investors believed would accelerate U.S. corporate earnings growth.
However, primarily due to concerns about less-accommodative central-bank
policies, protectionist trade initiatives in the U.S., and the ongoing
Brexit negotiations in the United Kingdom, international markets sold off
during the first quarter of 2018 (January through March).
(1) The MSCI information may only be used for your internal use, may not be
reproduced or re-disseminated 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.
4 Pioneer International Equity Fund | Semiannual Report | 5/31/18
The markets stabilized early in the second quarter, however, as
better-than-expected corporate earnings growth as well as positive jobs
data helped to bolster optimism about the U.S. economy, which investors
hoped would ease global economic growth concerns.
Over the full six-month reporting period, international equity markets, as
measured by the Fund's benchmark, the MSCI EAFE Index, underperformed U.S.
stocks, as measured by the Standard & Poor's 500 Index (the S&P 500). The
MSCI EAFE Index returned 0.03% for the six months, while the S&P 500
returned 3.16%.
From a regional perspective, Japanese stocks, which returned 1.21%, edged
out emerging markets and European stocks, which returned 0.89% and -1.11%,
respectively. From a sector perspective, the more defensive sectors within
the Fund's benchmark were the better performers, led by information
technology, utilities, consumer staples, and health care. Energy, consumer
discretionary, and real estate were the worst-performing sectors during the
six-month period.
Q Which of your investment strategies or individual portfolio holdings
contributed to the Fund's benchmark-relative performance during the
six-month period ended May 31, 2018?
A Broadly speaking, during a period when the Fund's return was essentially
neutral versus the benchmark, both sector allocation and security selection
results were positive for performance. With regard to sector allocations,
the portfolio's overweights to information technology and materials and an
underweight to banks contributed to benchmark-relative returns. Security
selection also contributed to benchmark-relative performance, as did our
timely decisions to trim some Fund positions during market rallies, and add
to positions when the markets were under pressure.
With regard to individual Fund holdings, the top performance contributor in
the portfolio during the six-month period was Smurfit Kappa, a leading
global provider of paper-based packaging solutions. As e-commerce has
grown, the Irish-based company has become a major player in the packaging
market by expanding its production capabilities while also reducing costs.
During the reporting period, International Paper made a bid to acquire
Smurfit Kappa, which declined the takeover offer. We took advantage of the
rally in Smurfit Kappa's stock price leading up to the decision by reducing
the Fund's position and locking in profits. Smurfit Kappa also announced
strong earnings during the period, and agreed to purchase Reparenco
Holdings in the Netherlands to increase capacity. We believe the move
should augment the company's future earnings capabilities.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 5
Two of the Fund's three best-performing stocks were Japanese companies:
Ichigo and Hoya. Ichigo is a real estate owner/operator focused on mid-size
office buildings in Japan's major cities. In addition to developing
properties, Ichigo manages three real estate investments trusts and is a
clean-energy producer of solar power. When we purchased the stock, the
share price did not reflect the value of the sum of Ichigo's various
businesses, in our view. However, as the company's various businesses came
to be better understood by investors, the stock's price climbed sharply
during the six-month period.
Hoya, a long-term holding in the Fund, is a global med-tech company that
manufactures eyeglass lenses, contact lenses, and lens inserts for cataract
surgery. In addition to their optical products, Hoya produces
glass-magnetic-memory discs, which are an important component of cloud
data-storage operations. Hoya's stock rallied during the period on strong
earnings announcements
Q Which of your investment strategies or individual portfolio holdings
detracted from the Fund's benchmark-relative performance during the
six-month period ended May 31, 2018?
A The Fund's investments in European financials weighed on relative returns
during the reporting period. The portfolio's investment in French insurer
AXA detracted from performance as the company made an offer to buy another
insurance company, XL Group, in order to create one of the world's largest
property-and-casualty insurers. At the time, AXA's management was also in
the process of bringing to market an initial public offering (IPO) for the
company's U.S. investment management operations. Consequently, AXA's stock
saw significant volatility, as investors questioned the timing of the
acquisition on the eve of the IPO. We continue to hold AXA in the Fund's
portfolio, as we believe its business units are doing well and that the XL
acquisition will create long-term value, with cross-selling opportunities.
With lackluster profits amidst negative interest rates, Europe's banking
sector continues to struggle to find a sustainable and profitable business
model, while coping with the costs of the industry's missteps during and
following the 2008 financial crisis. Restructurings and litigation due to
misconduct are also creating a headwind for the sector. In that
environment, the Fund's investments in BNP Paribas and ING sold off during
the period. We retained the portfolio's positions in both banks, however,
as we remain upbeat about their prospects as well as their management
teams' efforts to adapt the companies' business models to ensure
sustainable profitability.
6 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Q Did the Fund have any derivative exposure during the six-month period ended
May 31, 2018?
A No, we did not invest the Fund in derivative securities during the period.
Q What is your outlook for international equities in the coming months, and
how are you positioning the Fund entering the second half of its fiscal
year?
A Global economic growth is approaching a more mature stage, led by the
economies of China and the United States. Central-bank policies are likely
to continue exerting a meaningful influence on the markets for the
foreseeable future, in our opinion. In the United States, fundamentals are
generally strong across the U.S. economy. With U.S. consumption and tax
reform expected to support further expansion, the Federal Reserve (the Fed)
has moved its monetary policy in a more hawkish direction -- raising the
benchmark short-term interest rate twice so far in 2018, with the second
increase coming in June, after the close of the six-month period.
In international markets, where economic recoveries are improving but still
lagging the recovery in the United States, key central banks are beginning
the process of normalizing monetary policies. The European Central Bank is
planning to end its quantitative-easing program by the end of 2018. The
Bank of Japan, on the other hand, held steady at its June 2018 meeting, but
continues to grapple with the potential side effects of ultra-low interest
rates after an extended period of accommodative monetary policy.
Against that backdrop, we have a constructive view of international
equities, but we believe market volatility is likely to persist. Concerns
about protectionist trade policies, an Italian exit from the euro, or
stress in the emerging markets could add to uncertainty and weigh on
investor sentiment. Given those uncertainties as well as elevated equity
valuations, we believe returns are likely to become more muted. Therefore,
adept, bottom-up research will be the key to uncovering quality companies
with sustainable competitive advantages and the ability to grow organically
amid the myriad crosscurrents currently affecting the markets.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 7
Please refer to the Schedule of Investments on pages 16-21 for a full listing
of Fund securities.
All investments are subject to risk, including the possible loss of principal.
In the past several years, financial markets have experienced increased
volatility, depressed valuations, decreased liquidity and heightened
uncertainty. These conditions may continue, recur, worsen or spread.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, economic, and political
conditions.
To the extent the Fund invests in issuers located within specific countries or
regions, the Fund may be particularly affected by adverse markets, rates, and
events, which may occur in those countries and regions.
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.
At times, the Fund's investments may represent industries or industry sectors
that are interrelated or have common risks, making it more susceptible to any
economic, political, or regulatory developments or other risks affecting those
industries or sectors.
These risks may increase share price volatility.
Before investing, consider the product's investment objectives, risks, charges
and expenses. Contact your advisor or Amundi Pioneer Asset Management, Inc.,
for a prospectus or summary prospectus containing this information. Read it
carefully.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of opinion as of the date of this report. Past performance is no
guarantee of future results.
8 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Portfolio Summary | 5/31/18
Sector Distribution
--------------------------------------------------------------------------------
(As a percentage of total investments)*
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Industrials 17.1%
Financials 14.7%
Health Care 12.2%
Consumer Staples 10.9%
Information Technology 9.4%
Consumer Discretionary 9.0%
Real Estate 7.0%
Energy 6.4%
Materials 5.5%
Telecommunication Services 3.9%
Government 2.7%
Utilities 1.2%
Geographical Distribution
--------------------------------------------------------------------------------
(As a percentage of total investments based on country of domicile)*
[THE FOLLOWING DATA WAS REPRESENTED AS A BAR CHART IN THE PRINTED MATERIAL]
Japan 19.9%
France 16.0%
United Kingdom 13.7%
Switzerland 13.0%
Germany 12.3%
Netherlands 6.1%
Ireland 5.2%
United States 4.9%
Taiwan 2.4%
Canada 1.7%
Luxembourg 1.4%
Spain 1.2%
Malaysia 1.1%
South Korea 1.0%
Other (individually less than 1%) 0.1%
10 Largest Holdings
--------------------------------------------------------------------------------
(As a percentage of total investments)*
1. TOTAL SA 2.61%
--------------------------------------------------------------------------------
2. Hoya Corp. 2.29
--------------------------------------------------------------------------------
3. Carnival Plc 2.20
--------------------------------------------------------------------------------
4. Royal Dutch Shell Plc, Class A 2.11
--------------------------------------------------------------------------------
5. BAE Systems Plc 2.09
--------------------------------------------------------------------------------
6. BNP Paribas SA 1.97
--------------------------------------------------------------------------------
7. Henkel AG & Co. KGaA 1.94
--------------------------------------------------------------------------------
8. Zurich Insurance Group AG 1.94
--------------------------------------------------------------------------------
9. Ashtead Group Plc 1.92
--------------------------------------------------------------------------------
10. Allianz SE 1.92
--------------------------------------------------------------------------------
* Excludes temporary cash investments and all derivative contracts except for
options purchased. The Fund is actively managed, and current holdings may
be different. The holdings listed should not be considered recommendations
to buy or sell any securities listed.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 9
Prices and Distributions | 5/31/18
Net Asset Value per Share
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--------------------------------------------------------------------------------
Class 5/31/18 11/30/17
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A $24.28 $24.72
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C $21.14 $21.52
--------------------------------------------------------------------------------
Y $24.30 $24.79
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Distributions per Share: 12/1/17-5/31/18
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--------------------------------------------------------------------------------
Short-Term Long-Term
Class Dividends Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.4488 $ -- $ --
--------------------------------------------------------------------------------
C $0.2843 $ -- $ --
--------------------------------------------------------------------------------
Y $0.5371 $ -- $ --
--------------------------------------------------------------------------------
Index Definition
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The MSCI EAFE ND Index is an unmanaged, commonly used measure of international
stocks. Index returns are calculated monthly, assume reinvestment of dividends
and, unlike Fund returns, do not reflect any fees, expenses or sales charges.
It is not possible to invest directly in an index.
The index defined here pertains to the "Value of $10,000 Investment" and "Value
of $5 Million Investment" charts on pages 11-13.
10 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Performance Update | 5/31/18 Class A Shares
Investment Returns
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The mountain chart on the right shows the change in value of a $10,000
investment made in Class A shares of Pioneer International Equity Fund at
public offering price during the periods shown, compared to that of the Morgan
Stanley Capital International (MSCI) Europe, Australasia and Far East (EAFE) ND
Index.
Average Annual Total Returns
(As of May 31, 2018)
--------------------------------------------------------------------------------
Net Public MSCI
Asset Offering EAFE
Value Price ND
Period (NAV) (POP) Index
--------------------------------------------------------------------------------
10 Years 1.07% 0.47% 2.10%
5 Years 5.88 4.63 5.93
1 Year 7.87 1.67 7.97
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated April 1, 2018)
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Gross Net
--------------------------------------------------------------------------------
1.59% 1.25%
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[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer
International MSCI EAFE ND
Equity Fund Index
5/08 $9,425 $10,000
5/09 $6,032 $10,492
5/10 $6,112 $10,851
5/11 $7,792 $11,111
5/12 $6,151 $11,233
5/13 $7,878 $11,336
5/14 $8,979 $11,455
5/15 $9,252 $11,560
5/16 $8,348 $11,669
5/17 $9,716 $11,785
5/18 $10,481 $11,803
Call 1-800-225-6292 or visit www.amundipioneer.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
NAV results represent the percent change in net asset value per share. Returns
would have been lower had sales charges been reflected. POP returns reflect
deduction of maximum 5.75% sales charge. All results are historical and assume
the reinvestment of dividends and capital gains. Other share classes are
available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through April 1, 2019, for Class A shares. There can be no assurance
that Amundi Pioneer will extend the expense limitation beyond such time. Please
see the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Please refer to the financial highlights for a more current expense ratio.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 11
Performance Update | 5/31/18 Class C Shares
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 International Equity Fund during
the periods shown, compared to that of the Morgan Stanley Capital International
(MSCI) Europe, Australasia and Far East (EAFE) ND Index.
Average Annual Total Returns
(As of May 31, 2018)
--------------------------------------------------------------------------------
MSCI
EAFE
If If ND
Period Held Redeemed Index
--------------------------------------------------------------------------------
10 Years 0.15% 0.15% 2.10%
5 Years 4.93 4.93 5.93
1 Year 6.94 6.94 7.97
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated April 1, 2018)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
2.32% 2.15%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer
International MSCI EAFE ND
Equity Fund Index
5/08 $10,000 $10,000
5/09 $6,337 $10,492
5/10 $6,362 $10,851
5/11 $8,039 $11,111
5/12 $6,290 $11,233
5/13 $7,985 $11,336
5/14 $9,017 $11,455
5/15 $9,208 $11,560
5/16 $8,242 $11,669
5/17 $9,497 $11,785
5/18 $10,156 $11,803
Call 1-800-225-6292 or visit www.amundipioneer.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). "If Held" results represent the percent change in
net asset value per share. Returns would have been lower had sales charges been
reflected. All results are historical and assume the reinvestment of dividends
and capital gains. Other share classes are available for which performance and
expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through April 1, 2019, for Class C shares. There can be no assurance
that Amundi Pioneer will extend the expense limitation beyond such time. Please
see the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Please refer to the financial highlights for a more current expense ratio.
12 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Performance Update | 5/31/18 Class Y Shares
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 International Equity Fund during
the periods shown, compared to that of the Morgan Stanley Capital International
(MSCI) Europe, Australasia and Far East (EAFE) ND Index.
Average Annual Total Returns
(As of May 31, 2018)
--------------------------------------------------------------------------------
Net MSCI
Asset EAFE
Value ND
Period (NAV) Index
--------------------------------------------------------------------------------
10 Years 1.45% 2.10%
5 Years 6.28 5.93
1 Year 8.29 7.97
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated April 1, 2018)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
1.06% 0.90%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer
International MSCI EAFE ND
Equity Fund Index
5/08 $5,000,000 $5,000,000
5/09 $3,203,940 $5,245,825
5/10 $3,259,062 $5,425,748
5/11 $4,175,474 $5,555,587
5/12 $3,309,189 $5,616,457
5/13 $4,255,720 $5,668,209
5/14 $4,870,583 $5,727,452
5/15 $5,037,923 $5,779,844
5/16 $4,566,970 $5,834,423
5/17 $5,329,812 $5,892,414
5/18 $5,771,824 $5,901,616
Call 1-800-225-6292 or visit www.amundipioneer.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted. The performance data quoted represents past
performance, which is no guarantee of future results.
Investment return and principal value will fluctuate, and shares, when
redeemed, may be worth more or less than their original cost.
Class Y shares were first publicly offered on April 16, 2009. Performance shown
for periods prior to the inception of Class Y shares on April 16, 2009,
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. For the period
beginning April 16, 2009, the actual performance of Class Y shares is
reflected. Class Y shares are not subject to sales charges and are available
for limited groups of eligible investors, including institutional investors.
All results are historical and assume the reinvestment of dividends and capital
gains. Other share classes are available for which performance and expenses
will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through April 1, 2019, for Class Y shares. There can be no assurance
that Amundi Pioneer will extend the expense limitation beyond such time. Please
see the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Please refer to the financial highlights for a more current expense ratio.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 13
Comparing Ongoing Fund Expenses
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value / $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period"
to estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer International Equity Fund
Based on actual returns from December 1, 2017, through May 31, 2018.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 12/1/17
--------------------------------------------------------------------------------
Ending Account $1,000.10 $ 995.30 $1,001.70
Value (after expenses)
on 5/31/18
--------------------------------------------------------------------------------
Expenses Paid $ 6.18 $ 10.65 $ 4.49
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.24%,
2.14% and 0.90% for Class A, Class C and Class Y shares, respectively,
multiplied by the average account value over the period, multiplied by
182/365 (to reflect the one-half year period).
14 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Hypothetical Example for Comparison Purposes
The table below provides information about hypothetical account values and
hypothetical expenses based on the Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not the Fund's actual
return. The hypothetical account values and expenses may not be used to
estimate the actual ending account balance or expenses you paid for the
period.
You may use this information to compare the ongoing costs of investing in the
Fund and other funds. To do so, compare this 5% hypothetical example with the
5% hypothetical examples that appear in the shareholder reports of the other
funds.
Please note that the expenses shown in the tables are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as sales
charges (loads), or redemption fees that are charged at the time of the
transaction. Therefore, the table below is useful in comparing ongoing costs
only and will not help you determine the relative total costs of owning
different funds. In addition, if these transaction costs were included, your
costs would have been higher.
Expenses Paid on a $1,000 Investment in Pioneer International Equity Fund
Based on a hypothetical 5% return per year before expenses, reflecting the
period from December 1, 2017, through May 31, 2018.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 12/1/17
--------------------------------------------------------------------------------
Ending Account $1,018.75 $1,014.26 $1,020.44
Value (after expenses)
on 5/31/18
--------------------------------------------------------------------------------
Expenses Paid $ 6.24 $ 10.75 $ 4.53
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.24%,
2.14% and 0.90% for Class A, Class C and Class Y shares, respectively,
multiplied by the average account value over the period, multiplied by
182/365 (to reflect the one-half year period).
Pioneer International Equity Fund | Semiannual Report | 5/31/18 15
Schedule of Investments | 5/31/18 (unaudited)
--------------------------------------------------------------------------------
Shares Value
--------------------------------------------------------------------------------
UNAFFILIATED ISSUERS -- 99.3%
COMMON STOCKS -- 96.6% of Net Assets
AUTOMOBILES & COMPONENTS -- 2.6%
Auto Parts & Equipment -- 2.6%
42,700 Aisin Seiki Co., Ltd. $ 2,144,568
37,600 Valeo SA 2,381,140
--------------
Total Automobiles & Components $ 4,525,708
--------------------------------------------------------------------------------
BANKS -- 6.8%
Diversified Banks -- 6.8%
1,082,100 Barclays Plc $ 2,840,199
54,350 BNP Paribas SA 3,386,679
178,400 ING Groep NV 2,590,998
762,500 Malayan Banking Bhd 1,843,061
191,700 Mitsubishi UFJ Financial Group, Inc. 1,146,681
--------------
Total Banks $ 11,807,618
--------------------------------------------------------------------------------
CAPITAL GOODS -- 17.0%
Aerospace & Defense -- 2.1%
422,900 BAE Systems Plc $ 3,593,886
--------------------------------------------------------------------------------
Agricultural & Farm Machinery -- 1.5%
151,100 Kubota Corp. $ 2,536,026
--------------------------------------------------------------------------------
Building Products -- 4.8%
26,900 Daikin Industries, Ltd. $ 3,099,341
5,300 Geberit AG 2,285,869
65,100 Kingspan Group Plc 3,003,013
--------------
$ 8,388,223
--------------------------------------------------------------------------------
Electrical Components & Equipment -- 1.9%
37,300 Schneider Electric SE $ 3,236,523
--------------------------------------------------------------------------------
Heavy Electrical Equipment -- 1.3%
165,700 Mitsubishi Electric Corp. $ 2,345,365
--------------------------------------------------------------------------------
Industrial Conglomerates -- 1.9%
24,900 Siemens AG $ 3,245,779
--------------------------------------------------------------------------------
Trading Companies & Distributors -- 3.5%
107,000 Ashtead Group Plc $ 3,300,325
35,800 Ferguson Plc 2,773,307
--------------
$ 6,073,632
--------------
Total Capital Goods $ 29,419,434
--------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 1.3%
Homebuilding -- 1.3%
138,400 Sekisui Chemical Co., Ltd. $ 2,269,025
--------------
Total Consumer Durables & Apparel $ 2,269,025
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
16 Pioneer International Equity Fund | Semiannual Report | 5/31/18
--------------------------------------------------------------------------------
Shares Value
--------------------------------------------------------------------------------
CONSUMER SERVICES -- 2.2%
Hotels, Resorts & Cruise Lines -- 2.2%
59,100 Carnival Plc $ 3,779,560
--------------
Total Consumer Services $ 3,779,560
--------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 2.3%
Diversified Capital Markets -- 1.4%
162,000 UBS Group AG $ 2,435,080
--------------------------------------------------------------------------------
Specialized Finance -- 0.9%
24,500 Euronext NV (144A) $ 1,567,051
--------------
Total Diversified Financials $ 4,002,131
--------------------------------------------------------------------------------
ENERGY -- 6.4%
Integrated Oil & Gas -- 4.7%
104,000 Royal Dutch Shell Plc, Class A $ 3,616,337
73,900 TOTAL SA 4,488,525
--------------
$ 8,104,862
--------------------------------------------------------------------------------
Oil & Gas Exploration & Production -- 1.7%
228,000 Encana Corp. $ 2,904,122
--------------
Total Energy $ 11,008,984
--------------------------------------------------------------------------------
FOOD & STAPLES RETAILING -- 2.9%
Drug Retail -- 1.2%
43,500 Sundrug Co., Ltd. $ 1,973,167
--------------------------------------------------------------------------------
Food Retail -- 1.7%
67,800 Seven & i Holdings Co., Ltd. $ 2,997,903
--------------
Total Food & Staples Retailing $ 4,971,070
--------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 3.2%
Packaged Foods & Meats -- 3.2%
32,400 Danone SA $ 2,470,702
29,300 Kerry Group Plc, Class A 3,075,773
--------------
Total Food, Beverage & Tobacco $ 5,546,475
--------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 5.4%
Health Care Equipment -- 1.6%
68,000 Koninklijke Philips NV $ 2,774,778
--------------------------------------------------------------------------------
Health Care Services -- 1.5%
34,200 Fresenius SE & Co. KGaA $ 2,628,514
--------------------------------------------------------------------------------
Health Care Supplies -- 2.3%
66,400 Hoya Corp. $ 3,931,004
--------------
Total Health Care Equipment & Services $ 9,334,296
--------------------------------------------------------------------------------
HOUSEHOLD & PERSONAL PRODUCTS -- 4.7%
Household Products -- 1.9%
29,600 Henkel AG & Co. KGaA $ 3,335,702
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 17
Schedule of Investments | 5/31/18 (unaudited) (continued)
--------------------------------------------------------------------------------
Shares Value
--------------------------------------------------------------------------------
Personal Products -- 2.8%
11,700 L'Oreal SA $ 2,810,703
36,032 Unilever NV 2,006,474
--------------
$ 4,817,177
--------------
Total Household & Personal Products $ 8,152,879
--------------------------------------------------------------------------------
INSURANCE -- 5.5%
Multi-line Insurance -- 5.5%
16,000 Allianz SE $ 3,299,337
113,300 AXA SA 2,835,690
11,200 Zurich Insurance Group AG 3,327,424
--------------
Total Insurance $ 9,462,451
--------------------------------------------------------------------------------
MATERIALS -- 5.4%
Commodity Chemicals -- 1.0%
5,600 LG Chem, Ltd. $ 1,750,428
--------------------------------------------------------------------------------
Diversified Chemicals -- 1.8%
31,700 BASF SE $ 3,122,311
--------------------------------------------------------------------------------
Paper Packaging -- 0.7%
30,700 Smurfit Kappa Group Plc $ 1,258,355
--------------------------------------------------------------------------------
Specialty Chemicals -- 1.9%
52,682 Croda International Plc $ 3,264,223
--------------
Total Materials $ 9,395,317
--------------------------------------------------------------------------------
MEDIA -- 2.8%
Advertising -- 1.6%
40,600 Publicis Groupe SA $ 2,834,696
--------------------------------------------------------------------------------
Broadcasting -- 1.2%
921,000 ITV Plc $ 1,985,925
--------------
Total Media $ 4,820,621
--------------------------------------------------------------------------------
PHARMACEUTICALS, BIOTECHNOLOGY & LIFE
SCIENCES -- 6.7%
Life Sciences Tools & Services -- 1.7%
11,000 Lonza Group AG $ 2,953,265
--------------------------------------------------------------------------------
Pharmaceuticals -- 5.0%
41,100 AstraZeneca Plc $ 2,998,632
33,200 Novartis AG 2,463,979
14,806 Roche Holding AG 3,176,596
--------------
$ 8,639,207
--------------
Total Pharmaceuticals, Biotechnology &
Life Sciences $ 11,592,472
--------------------------------------------------------------------------------
REAL ESTATE -- 6.9%
Diversified REIT -- 2.0%
370,115 Hibernia Real Estate Investment Trust Plc $ 633,098
507,700 Hibernia Real Estate Investment Trust Plc 879,076
146,800 Merlin Properties Socimi SA 2,024,918
--------------
$ 3,537,092
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer International Equity Fund | Semiannual Report | 5/31/18
--------------------------------------------------------------------------------
Shares Value
--------------------------------------------------------------------------------
Real Estate Operating Companies -- 4.9%
101,200 Grand City Properties SA $ 2,483,325
691,300 Ichigo, Inc. 3,240,271
59,299 Vonovia SE 2,797,477
--------------
$ 8,521,073
--------------
Total Real Estate $ 12,058,165
--------------------------------------------------------------------------------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT -- 5.2%
Semiconductor Equipment -- 2.3%
68,200 SUMCO Corp. $ 1,645,333
13,000 Tokyo Electron, Ltd. 2,421,456
--------------
$ 4,066,789
--------------------------------------------------------------------------------
Semiconductors -- 2.9%
97,700 Infineon Technologies AG $ 2,683,214
306,000 Taiwan Semiconductor Manufacturing Co., Ltd. 2,281,459
--------------
$ 4,964,673
--------------
Total Semiconductors & Semiconductor Equipment $ 9,031,462
--------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 1.8%
Application Software -- 1.7%
20,000 Temenos AG $ 2,970,869
--------------------------------------------------------------------------------
Internet Software & Services -- 0.1%
6,659(a) iQIYI, Inc. (A.D.R.) $ 168,473
--------------
Total Software & Services $ 3,139,342
--------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 2.4%
Communications Equipment -- 1.1%
618,000 Accton Technology Corp. $ 1,771,392
--------------------------------------------------------------------------------
Electronic Equipment Manufacturers -- 1.3%
3,700 Keyence Corp. $ 2,264,257
--------------
Total Technology Hardware & Equipment $ 4,035,649
--------------------------------------------------------------------------------
TELECOMMUNICATIONS SERVICES -- 3.9%
Integrated Telecommunication Services -- 1.8%
177,300 Orange SA $ 3,045,674
--------------------------------------------------------------------------------
Wireless Telecommunications Services -- 2.1%
81,200 KDDI Corp. $ 2,194,457
598,800 Vodafone Group Plc 1,531,313
--------------
$ 3,725,770
--------------
Total Telecommunications Services $ 6,771,444
--------------------------------------------------------------------------------
UTILITIES -- 1.2%
Electric Utilities -- 1.2%
112,600 SSE Plc $ 2,046,147
--------------
Total Utilities $ 2,046,147
--------------------------------------------------------------------------------
TOTAL COMMON STOCKS
(Cost $142,821,294) $ 167,170,250
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 19
Schedule of Investments | 5/31/18 (unaudited) (continued)
--------------------------------------------------------------------------------
Principal
Amount USD ($) Value
--------------------------------------------------------------------------------
U.S. GOVERNMENT AND AGENCY OBLIGATIONS --
2.7% of Net Assets
3,250,000(b) U.S. Treasury Bills, 6/14/18 $ 3,248,145
1,360,000(b) U.S. Treasury Bills, 6/21/18 1,358,712
-------------
$ 4,606,857
--------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT AND AGENCY OBLIGATIONS
(Cost $4,606,774) $ 4,606,857
--------------------------------------------------------------------------------
TOTAL INVESTMENTS IN UNAFFILIATED
ISSUERS -- 99.3%
(Cost $147,428,068)(c) $ 171,777,107
--------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- 0.7% $ 1,183,631
--------------------------------------------------------------------------------
NET ASSETS -- 100.0% $ 172,960,738
================================================================================
(A.D.R.) American Depositary Receipts.
REIT Real Estate Investment Trust.
(144A) Security is exempt from registration under Rule 144A of the Securities
Act of 1933. Such securities may be resold normally to qualified
institutional buyers in a transaction exempt from registration. At May
31, 2018, the value of these securities amounted to $1,567,051, or
0.9% of net assets.
(a) Non-income producing security.
(b) Security issued with a zero coupon. Income is recognized through
accretion of discount.
(c) Distributions of investments by country of domicile (excluding
temporary cash investments) as a percentage of total investments in
securities, is as follows:
Japan 19.9%
France 16.0
United Kingdom 13.7
Switzerland 13.0
Germany 12.3
Netherlands 6.1
Ireland 5.2
United States 4.9
Taiwan 2.4
Canada 1.7
Luxembourg 1.4
Spain 1.2
Malaysia 1.1
South Korea 1.0
Other (individually less than 1%) 0.1
------
100.0%
======
Purchases and sales of securities (excluding temporary cash investments) for
the six months ended May 31, 2018, aggregated $38,631,098 and $46,954,582,
respectively.
The Fund is permitted to engage in purchase and sale transactions ("cross
trades") with certain funds and accounts for which Amundi Pioneer Asset
Management, Inc. (the "Adviser"), serves as the Fund's investment adviser, as
set forth in Rule 17a-7 under the Investment Company Act of 1940, pursuant to
procedures adopted by the Board of Trustees. Under these procedures, cross
trades are affected at current market prices. During the six months ended May
31, 2018, the Fund did not engage in cross trade activity.
The accompanying notes are an integral part of these financial statements.
20 Pioneer International Equity Fund | Semiannual Report | 5/31/18
At May 31, 2018, the net unrealized appreciation on investments based on cost
for federal tax purposes of $150,233,092 was as follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of value over tax cost $29,359,505
Aggregate gross unrealized depreciation for all investments in which
there is an excess of tax cost over value (7,815,490)
-----------
Net unrealized appreciation $21,544,015
===========
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels below.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risks, etc.). See Notes to Financial Statements -- Note 1A.
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments). See Notes
to Financial Statements -- Note 1A.
The following is a summary of the inputs used as of May 31, 2018, in valuing
the Fund's investments.
-----------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
-----------------------------------------------------------------------------------
Common Stocks
Energy
Oil & Gas Exploration
& Production $2,904,122 $ -- $-- $ 2,904,122
Software & Services
Internet Software
& Services 168,473 -- -- 168,473
All Other Common
Stocks* -- 164,097,655 -- 164,097,655
U.S. Government and
Agency Obligations -- 4,606,857 -- 4,606,857
-----------------------------------------------------------------------------------
Total Investments
in Securities $3,072,595 $168,704,512 $-- $171,777,107
===================================================================================
* Level 2 securities are valued using inputs/data furnished by independent
pricing services using fair value factors.
During the six months ended May 31, 2018, there were no transfers between
Levels 1, 2 and 3.
The accompanying notes are an integral part of these financial statements.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 21
Statement of Assets and Liabilities | 5/31/18 (unaudited)
ASSETS:
Investments in unaffiliated issuers, at value (cost $147,428,068) $171,777,107
Cash 95,665
Foreign currencies, at value (cost $114,075) 113,567
Receivables --
Fund shares sold 25,119
Dividends 1,187,036
Due from the Adviser 70,328
Other assets 32,667
------------------------------------------------------------------------------------------
Total assets $173,301,489
==========================================================================================
LIABILITIES:
Payables --
Fund shares repurchased $ 114,661
Trustees' fees 1,222
Professional fees 10,876
Transfer agent fees 31,174
Registration fees 45,993
Shareowner communications expense 33,588
Printing expense 17,488
Custodian fees 13,603
Due to affiliates
Management fees 55,463
Others due to affiliates 2,477
Accrued expenses 14,206
------------------------------------------------------------------------------------------
Total liabilities $ 340,751
==========================================================================================
NET ASSETS:
Paid-in capital $143,965,168
Distributions in excess of net investment income (473,804)
Accumulated net realized gain on investments 5,161,441
Net unrealized appreciation on investments 24,307,933
------------------------------------------------------------------------------------------
Net assets $172,960,738
==========================================================================================
NET ASSET VALUE PER SHARE:
No par value (unlimited number of shares authorized)
Class A (based on $79,508,561/3,274,836 shares) $ 24.28
Class C (based on $11,151,879/527,452 shares) $ 21.14
Class Y (based on $82,300,298/3,387,105 shares) $ 24.30
MAXIMUM OFFERING PRICE:
Class A ($24.28 (divided by) 94.25%) $ 25.76
==========================================================================================
The accompanying notes are an integral part of these financial statements.
22 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Statement of Operations (unaudited)
For the Six Months Ended 5/31/18
INVESTMENT INCOME:
Dividends from unaffiliated issuers (net of foreign taxes
withheld $405,427) $ 2,949,700
Interest from unaffiliated issuers 34,115
--------------------------------------------------------------------------------------------
Total investment income $ 2,983,815
============================================================================================
EXPENSES:
Management fees $ 780,040
Administrative expense 59,904
Transfer agent fees
Class A 63,985
Class C 9,252
Class Y 3,134
Distribution fees
Class A 101,898
Class C 57,284
Shareowner communications expense 45,030
Custodian fees 25,764
Registration fees 22,336
Professional fees 29,986
Printing expense 16,772
Pricing fees 5,207
Trustees' fees 3,711
Miscellaneous 12,154
--------------------------------------------------------------------------------------------
Total expenses $ 1,236,457
Less fees waived and expenses reimbursed by the Adviser (201,722)
--------------------------------------------------------------------------------------------
Net expenses $ 1,034,735
--------------------------------------------------------------------------------------------
Net investment income $ 1,949,080
============================================================================================
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on:
Investments in unaffiliated issuers $ 7,667,018
Other assets and liabilities denominated in
foreign currencies (59,967) $ 7,607,051
--------------------------------------------------------------------------------------------
Change in net unrealized appreciation (depreciation) on:
Investments in unaffiliated issuers $(9,271,697)
Other assets and liabilities denominated in
foreign currencies (18,062) $(9,289,759)
--------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) on investments $(1,682,708)
--------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 266,372
============================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 23
Statements of Changes in Net Assets
-----------------------------------------------------------------------------------------------
Six Months
Ended
5/31/18 Year Ended
(unaudited) 11/30/17
-----------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income (loss) $ 1,949,080 $ 2,073,584
Net realized gain (loss) on investments 7,607,051 9,093,578
Change in net unrealized appreciation (depreciation)
on investments (9,289,759) 30,172,757
-----------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 266,372 $ 41,339,919
-----------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.45 and $0.18 per share, respectively) $ (1,459,823) $ (590,165)
Class C ($0.28 and $0.02 per share, respectively) (148,576) (9,746)
Class Y ($0.54 and $0.25 per share, respectively) (2,032,495) (956,462)
-----------------------------------------------------------------------------------------------
Total distributions to shareowners $ (3,640,894) $ (1,556,373)
-----------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sales of shares $ 8,713,587 $ 14,943,635
Reinvestment of distributions 1,639,579 585,085
Cost of shares repurchased (19,404,767) (20,045,718)
-----------------------------------------------------------------------------------------------
Net decrease in net assets resulting from Fund
share transactions $ (9,051,601) $ (4,516,998)
-----------------------------------------------------------------------------------------------
Net increase (decrease) in net assets $(12,426,123) $ 35,266,548
NET ASSETS:
Beginning of period $185,386,861 $150,120,313
-----------------------------------------------------------------------------------------------
End of period $172,960,738 $185,386,861
-----------------------------------------------------------------------------------------------
Undistributed (distributions in excess of) net investment income $ (473,804) $ 1,218,010
===============================================================================================
The accompanying notes are an integral part of these financial statements.
24 Pioneer International Equity Fund | Semiannual Report | 5/31/18
------------------------------------------------------------------------------------------------
Six Months Six Months
Ended Ended
5/31/18 5/31/18 Year Ended Year Ended
Shares Amount 11/30/17 11/30/17
(unaudited) (unaudited) Shares Amount
------------------------------------------------------------------------------------------------
Class A
Shares sold 234,911 $ 5,846,863 388,951 $ 8,695,271
Reinvestment of distributions 57,118 1,402,798 28,801 563,057
Less shares repurchased (281,051) (6,979,329) (538,698) (11,799,449)
------------------------------------------------------------------------------------------------
Net increase (decrease) 10,978 $ 270,332 (120,946) $ (2,541,121)
================================================================================================
Class C
Shares sold 73,223 $ 1,591,052 129,706 $ 2,515,912
Reinvestment of distributions 6,875 147,624 534 9,173
Less shares repurchased (67,207) (1,452,481) (195,646) (3,722,718)
------------------------------------------------------------------------------------------------
Net increase (decrease) 12,891 $ 286,195 (65,406) $ (1,197,633)
================================================================================================
Class Y
Shares sold 51,456 $ 1,275,672 156,828 $ 3,732,452
Reinvestment of distributions 3,631 89,157 658 12,855
Less shares repurchased (445,325) (10,972,957) (197,857) (4,523,551)
------------------------------------------------------------------------------------------------
Net decrease (390,238) $ (9,608,128) (40,371) $ (778,244)
================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 25
Financial Highlights
------------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
5/31/18 Ended Ended Ended Ended Ended
(unaudited) 11/30/17 11/30/16* 11/30/15* 11/30/14* 11/30/13
------------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 24.72 $ 19.45 $ 20.74 $ 22.34 $ 22.49 $ 18.67
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.25(a) $ 0.24(a) $ 0.21(a) $ 0.16(a) $ 0.63 $ 0.27
Net realized and unrealized gain (loss) on investments (0.24) 5.21 (1.17) (0.53) (0.28) 3.87
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.01 $ 5.45 $ (0.96) $ (0.37) $ 0.35 $ 4.14
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.45) $ (0.18) $ (0.33) $ (1.23) $ (0.50) $ (0.32)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.45) $ (0.18) $ (0.33) $ (1.23) $ (0.50) $ (0.32)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.44) $ 5.27 $ (1.29) $ (1.60) $ (0.15) $ 3.82
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 24.28 $ 24.72 $ 19.45 $ 20.74 $ 22.34 $ 22.49
====================================================================================================================================
Total return (b) 0.01%(c) 28.24% (4.70)% (1.69)% 1.55% 22.50%
Ratio of net expenses to average net assets (d) 1.24%(e) 1.38% 1.45% 1.45% 1.46% 1.45%
Ratio of net investment income (loss) to average net assets 2.05%(e) 1.09% 1.10% 0.73% 2.72% 1.26%
Portfolio turnover rate 22%(c) 36% 41% 49% 100% 101%
Net assets, end of period (in thousands) $79,509 $80,688 $65,844 $77,173 $83,544 $86,602
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses to average net assets (d) 1.55%(e) 1.59% 1.68% 1.71% 1.70% 1.69%
Net investment income (loss) to average net assets 1.74%(e) 0.88% 0.87% 0.47% 2.48% 1.02%
====================================================================================================================================
* The Fund was audited by an independent registered public accounting firm
other than Ernst & Young LLP.
(a) The per-share data presented above is based on the average shares
outstanding for the periods presented.
(b) Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
(c) Not annualized.
(d) Includes interest expense of 0.00%, 0.00%, 0.00%, 0.00%, 0.01% and 0.00%,
respectively.
(e) Annualized.
The accompanying notes are an integral part of these financial statements.
26 Pioneer International Equity Fund | Semiannual Report | 5/31/18
------------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
5/31/18 Ended Ended Ended Ended Ended
(unaudited) 11/30/17 11/30/16* 11/30/15* 11/30/14* 11/30/13
------------------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 21.52 $ 16.95 $18.13 $ 19.69 $ 19.91 $ 16.57
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.12(a) $ 0.04(a) $ 0.03(a) $ (0.04)(a) $ 0.35 $ 0.08
Net realized and unrealized gain (loss) on investments (0.22) 4.55 (1.02) (0.46) (0.23) 3.44
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.10) $ 4.59 $(0.99) $ (0.50) $ 0.12 $ 3.52
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.28) $ (0.02) $(0.19) $ (1.06) $ (0.34) $ (0.18)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.28) $ (0.02) $(0.19) $ (1.06) $ (0.34) $ (0.18)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.38) $ 4.57 $(1.18) $ (1.56) $ (0.22) $ 3.34
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 21.14 $ 21.52 $16.95 $ 18.13 $ 19.69 $ 19.91
====================================================================================================================================
Total return (b) (0.47)%(c) 27.09% (5.50)% (2.58)% 0.60% 21.43%
Ratio of net expenses to average net assets (d) 2.14%(e) 2.26% 2.35% 2.35% 2.36% 2.35%
Ratio of net investment income (loss) to average net assets 1.15%(e) 0.22% 0.20% (0.20)% 1.78% 0.36%
Portfolio turnover rate 22%(c) 36% 41% 49% 100% 101%
Net assets, end of period (in thousands) $11,152 $11,072 $9,829 $11,981 $10,865 $10,826
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses to average net assets (d) 2.29%(e) 2.32% 2.37% 2.42% 2.44% 2.41%
Net investment income (loss) to average net assets 1.00%(e) 0.16% 0.18% (0.27)% 1.70% 0.30%
====================================================================================================================================
* The Fund was audited by an independent registered public accounting firm
other than Ernst & Young LLP.
(a) The per-share data presented above is based on the average shares
outstanding for the periods presented.
(b) Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
(c) Not annualized.
(d) Includes interest expense of 0.00%, 0.00%, 0.00%, 0.00%, 0.01% and 0.00%,
respectively.
(e) Annualized.
The accompanying notes are an integral part of these financial statements.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 27
Financial Highlights (continued)
------------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
5/31/18 Ended Ended Ended Ended Ended
(unaudited) 11/30/17 11/30/16* 11/30/15* 11/30/14* 11/30/13
------------------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 24.79 $ 19.50 $ 20.81 $ 22.41 $ 22.56 $ 18.73
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.29(a) $ 0.33(a) $ 0.28(a) $ 0.25(a) $ 1.29 $ 0.37
Net realized and unrealized gain (loss) on investments (0.24) 5.21 (1.17) (0.54) (0.85) 3.87
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.05 $ 5.54 $ (0.89) $ (0.29) $ 0.44 $ 4.24
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.54) $ (0.25) $ (0.42) $ (1.31) $ (0.59) $ (0.41)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.54) $ (0.25) $ (0.42) $ (1.31) $ (0.59) $ (0.41)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.49) $ 5.29 $ (1.31) $ (1.60) $ (0.15) $ 3.83
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 24.30 $ 24.79 $ 19.50 $ 20.81 $ 22.41 $ 22.56
====================================================================================================================================
Total return (b) 0.17%(c) 28.76% (4.34)% (1.29)% 1.94% 23.02%
Ratio of net expenses to average net assets (d) 0.90%(e) 0.99% 1.09% 1.04% 1.06% 1.04%
Ratio of net investment income (loss) to average net assets 2.32%(e) 1.48% 1.45% 1.16% 3.89% 1.69%
Portfolio turnover rate 22%(c) 36% 41% 49% 100% 101%
Net assets, end of period (in thousands) $82,300 $93,627 $74,448 $84,957 $102,563 $224,523
Ratios with no waiver of fees and assumption of expenses by
the Adviser and no reduction for fees paid indirectly:
Total expenses to average net assets (d) 1.05%(e) 1.06% 1.09% 1.04% 1.06% 1.04%
Net investment income (loss) to average net assets 2.17%(e) 1.41% 1.45% 1.16% 3.89% 1.69%
====================================================================================================================================
* The Fund was audited by an independent registered public accounting firm
other than Ernst & Young LLP.
(a) The per-share data presented above is based on the average shares
outstanding for the periods presented.
(b) 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.
(c) Not annualized.
(d) Includes interest expense of 0.00%, 0.00%, 0.00%, 0.00%, 0.01% and 0.00%,
respectively.
(e) Annualized.
The accompanying notes are an integral part of these financial statements.
28 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Notes to Financial Statements | 5/31/18 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer International Equity Fund (the "Fund") is the sole portfolio comprising
Pioneer Series Trust VIII, a Delaware statutory trust. The Fund is registered
under the Investment Company Act of 1940 as a diversified, open-end management
investment company. The investment objective of the Fund is long-term growth of
capital.
The Fund offers five classes of shares designated as Class A, Class C, Class K,
Class T and Class Y shares. Class K and Class T shares had not commenced
operations as of May 31, 2018. Each class of shares represents an interest in
the same portfolio of investments of the Fund and has identical rights (based
on relative net asset values) to assets and liquidation proceeds. Share classes
can bear different rates of class-specific fees and expenses such as transfer
agent and distribution fees. Differences in class-specific fees and expenses
will result in differences in net investment income and, therefore, the payment
of different dividends from net investment income earned by each class. The
Amended and Restated Declaration of Trust of the Fund gives the Board of
Trustees the flexibility to specify either per-share voting or dollar-weighted
voting when submitting matters for shareholder approval. Under per-share
voting, each share of a class of the Fund is entitled to one vote. Under
dollar-weighted voting, a shareholder's voting power is determined not by the
number of shares owned, but by the dollar value of the shares on the record
date. Each share class has exclusive voting rights with respect to matters
affecting only that class, including with respect to the distribution plan for
that class. There is no distribution plan for Class Y shares.
On July 3, 2017, Amundi acquired Pioneer Investments, a group of asset
management companies located throughout the world. Amundi, one of the world's
largest asset managers, is headquartered in Paris, France. As a result of the
transaction, Pioneer Investment Management, Inc., the Fund's investment
adviser, became an indirect wholly owned subsidiary of Amundi and Amundi's
wholly owned subsidiary, Amundi USA, Inc. Prior to July 3, 2017, Pioneer
Investments was owned by Pioneer Global Asset Management S.p.A., a wholly owned
subsidiary of UniCredit S.p.A.
In connection with the transaction, the names of the Fund's investment adviser
and principal underwriter changed. Effective July 3, 2017, the name of Pioneer
Investment Management, Inc. changed to Amundi Pioneer Asset Management, Inc.
(the "Adviser") and the name of Pioneer Funds Distributor, Inc. changed to
Amundi Pioneer Distributor, Inc. (the "Distributor").
Pioneer International Equity Fund | Semiannual Report | 5/31/18 29
In October 2016, the Securities and Exchange Commission ("SEC") released its
Final Rule on Investment Company Reporting Modernization. In addition to
introducing two new regulatory reporting forms (Form N-PORT and Form N-CEN),
the Final Rule amends Regulation S-X, which impacts financial statement
presentation, particularly related to the presentation of derivative
investments. The Fund's financial statements were prepared in compliance with
the amendments to Regulation S-X.
The Fund's financial statements have been prepared in conformity with U.S.
generally accepted accounting principles ("U.S. GAAP") that require the
management of the Fund to make estimates and assumptions that affect the
reported amounts of assets and liabilities, the disclosure of contingent assets
and liabilities at the date of the financial statements, and the reported
amounts of income, expenses and gain or loss on investments during the
reporting period. Actual results could differ from those estimates.
The Fund is an investment company and follows investment company accounting and
reporting guidance under U.S. GAAP. The following is a summary of significant
accounting policies followed by the Fund in the preparation of its financial
statements:
A. Security Valuation
The net asset value of the Fund is computed once daily, on each day the New
York Stock Exchange ("NYSE") is open, as of the close of regular trading on
the NYSE.
Equity securities that have traded on an exchange are valued by using the
last sale price on the principal exchange where they are traded. Equity
securities that have not traded on the date of valuation, or securities for
which sale prices are not available, generally are valued using the mean
between the last bid and asked prices or, if both last bid and asked prices
are not available, at the last quoted bid price. Last sale and bid and
asked prices are provided by independent third party pricing services. In
the case of equity securities not traded on an exchange, prices are
typically determined by independent third party pricing services using a
variety of techniques and methods.
The value of foreign securities is translated into U.S. dollars based on
foreign currency exchange rate quotations supplied by a third party pricing
source. Trading in non-U.S. equity securities is substantially completed
each day at various times prior to the close of the NYSE. The values of
such securities used in computing the net asset value of the Fund's shares
are determined as of such times. The Fund may use a fair value model
developed by an independent pricing service to value non-U.S. equity
securities.
30 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Securities for which independent pricing services or broker-dealers are
unable to supply prices or for which market prices and/or quotations are
not readily available or are considered to be unreliable are valued by a
fair valuation team comprised of certain personnel of the Adviser, pursuant
to procedures adopted by the Fund's Board of Trustees. The Adviser's fair
valuation team uses fair value methods approved by the Valuation Committee
of the Board of Trustees. The Adviser's fair valuation team is responsible
for monitoring developments that may impact fair valued securities and for
discussing and assessing fair values on an ongoing basis, and at least
quarterly, with the Valuation Committee of the Board of Trustees.
Inputs used when applying fair value methods to value a security may
include credit ratings, the financial condition of the company, current
market conditions and comparable securities. The Fund may use fair value
methods if it is determined that a significant event has occurred after the
close of the exchange or market on which the security trades and prior to
the determination of the Fund's net asset value. Examples of a significant
event might include political or economic news, corporate restructurings,
natural disasters, terrorist activity or trading halts. Thus, the valuation
of the Fund's securities may differ significantly from exchange prices and
such differences could be material.
At May 31, 2018, no securities were valued using fair value methods (other
than securities valued using prices supplied by independent pricing
services, broker-dealers or using a third party insurance industry pricing
model).
B. Investment Income and Transactions
Dividend income is recorded on the ex-dividend date, except that certain
dividends from foreign securities where the ex-dividend date may have
passed are recorded as soon as the Fund becomes aware of the ex-dividend
data in the exercise of reasonable diligence.
Interest income, including interest on income-bearing cash accounts, is
recorded on the accrual basis. Dividend and interest income are reported
net of unrecoverable foreign taxes withheld at the applicable country rates
and net of income accrued on defaulted securities.
Interest and dividend income payable by delivery of additional shares is
reclassified as PIK (payment-in-kind) income upon receipt and is included
in interest and dividend income, respectively.
Security transactions are recorded as of trade date. Gains and losses on
sales of investments are calculated on the identified cost method for both
financial reporting and federal income tax purposes.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 31
C. Foreign Currency Translation
The books and records of the Fund are maintained in U.S. dollars. Amounts
denominated in foreign currencies are translated into U.S. dollars using
current exchange rates.
Net realized gains and losses on foreign currency transactions, if any,
represent, among other things, the net realized gains and losses on foreign
currency contracts, disposition of foreign currencies and the difference
between the amount of income accrued and the U.S. dollars actually
received. Further, the effects of changes in foreign currency exchange
rates on investments are not segregated on the Statement of Operations from
the effects of changes in the market prices of those securities, but are
included with the net realized and unrealized gain or loss on investments.
D. Federal Income Taxes
It is the Fund's policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to distribute
all of its net taxable income and net realized capital gains, if any, to
its shareowners. Therefore, no provision for federal income taxes is
required. As of November 30, 2017, the Fund did not accrue any interest or
penalties with respect to uncertain tax positions, which, if applicable,
would be recorded as an income tax expense on the Statement of Operations.
Tax returns filed within the prior three years remain subject to
examination by federal and state tax authorities.
In addition to meeting the requirements of the Internal Revenue Code, the
Fund may be required to pay local taxes on the recognition of capital gains
and/or the repatriation of foreign currencies in certain countries. During
the six months ended May 31, 2018, the Fund paid no such taxes.
The amount and character of income and capital gain distributions to
shareowners are determined in accordance with federal income tax rules,
which may differ from U.S. GAAP. Distributions in excess of net investment
income or net realized gains are temporary over distributions for financial
statement purposes resulting from differences in the recognition or
classification of income or distributions for financial statement and tax
purposes. Capital accounts within the financial statements are adjusted for
permanent book/tax differences to reflect tax character, but are not
adjusted for temporary differences.
32 Pioneer International Equity Fund | Semiannual Report | 5/31/18
The tax character of current year distributions payable will be determined
at the end of the current taxable year. The tax character of distributions
paid during the year ended November 30, 2017 was as follows:
---------------------------------------------------------------------------
2017
---------------------------------------------------------------------------
Distributions paid from:
Ordinary income $1,556,373
---------------------------------------------------------------------------
Total $1,556,373
===========================================================================
The following shows the components of distributable earnings on a federal
income tax basis at November 30, 2017:
---------------------------------------------------------------------------
2017
---------------------------------------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 3,640,749
Capital loss carryforward (2,063,325)
Net unrealized appreciation 30,792,668
---------------------------------------------------------------------------
Total $32,370,092
===========================================================================
The difference between book-basis and tax-basis net unrealized appreciation
is attributable to the tax deferral of losses on wash sales and adjustments
relating to Passive Foreign Investment Companies ("PFICs").
E. Fund Shares
The Fund records sales and repurchases of its shares as of trade date. The
Distributor earned $6,010 in underwriting commissions on the sale of
Class A shares during the six months ended May 31, 2018.
F. Class Allocations
Income, common expenses and realized and unrealized gains and losses are
calculated at the Fund level and allocated daily to each class of shares
based on its respective percentage of adjusted net assets at the beginning
of the day.
Distribution fees are calculated based on the average daily net asset value
attributable to Class A and Class C shares of the Fund, respectively (see
Note 4). Class Y shares do not pay distribution fees. All expenses and fees
paid to the Fund's transfer agent for its services are allocated among the
classes of shares based on the number of accounts in each class and the
ratable allocation of related out-of-pocket expenses (see Note 3).
Pioneer International Equity Fund | Semiannual Report | 5/31/18 33
Distributions to shareowners are recorded as of the ex-dividend date.
Distributions paid by the Fund with respect to each class of shares are
calculated in the same manner and at the same time, except that net
investment income dividends to Class A, Class C and Class Y shares can
reflect different transfer agent and distribution expense rates.
G. Risks
The value of securities held by the Fund may go up or down, sometimes
rapidly or unpredictably, due to general market conditions, such as real or
perceived adverse economic, political or regulatory conditions, inflation,
changes in interest rates, lack of liquidity in the bond markets or adverse
investor sentiment. In the past several years, financial markets have
experienced increased volatility, depressed valuations, decreased liquidity
and heightened uncertainty. These conditions may continue, recur, worsen or
spread.
At times, the Fund's investments may represent industries or industry
sectors that are interrelated or have common risks, making the Fund more
susceptible to any economic, political, or regulatory developments or other
risks affecting those industries and sectors. The Fund's investments in
foreign markets and countries with limited developing markets may subject
the Fund to a greater degree of risk than investments in a developed
market. These risks include disruptive political or economic conditions and
the imposition of adverse governmental laws or currency exchange
restrictions. The Fund's prospectus contains unaudited information
regarding the Fund's principal risks. Please refer to that document when
considering the Fund's principal risks.
Investing in foreign and/or emerging markets securities involves risks
relating to interest rates, currency exchange rates and economic and
political conditions. The Fund may invest a substantial amount of its
assets in issuers located in a limited number of countries and therefore is
susceptible to adverse economic, political or regulatory developments
affecting those countries.
With the increased use of technologies such as the Internet to conduct
business, the Fund is susceptible to operational, information security and
related risks. While the Fund's Adviser has established business continuity
plans in the event of, and risk management systems to prevent, limit or
mitigate, such cyber-attacks, there are inherent limitations in such plans
and systems including the possibility that certain risks have not been
identified. Furthermore, the Fund cannot control the cybersecurity plans
and systems put in place by service providers to the Fund such as Brown
Brothers Harriman & Co., the Fund's custodian and accounting agent, and DST
Asset Manager Solutions, Inc., the Fund's transfer agent. In addition, many
beneficial owners of Fund shares hold them through accounts at
broker-dealers, retirement
34 Pioneer International Equity Fund | Semiannual Report | 5/31/18
platforms and other financial market participants over which neither the
Fund nor Amundi Pioneer exercises control. Each of these may in turn rely
on service providers to them, which are also subject to the risk of
cyber-attacks. Cybersecurity failures or breaches at Amundi Pioneer or the
Fund's service providers or intermediaries have the ability to cause
disruptions and impact business operations potentially resulting in
financial losses, interference with the Fund's ability to calculate its net
asset value, impediments to trading, the inability of Fund shareowners to
effect share purchases or receive distributions, loss of or unauthorized
access to private shareowner information and violations of applicable
privacy and other laws, regulatory fines, penalties, reputational damage,
or additional compliance costs. Such costs and losses may not be covered
under any insurance. In addition, maintaining vigilance against
cyber-attacks may involve substantial costs over time, and system
enhancements may themselves be subject to cyber-attacks.
2. Management Agreement
The Adviser manages the Fund's portfolio. Management fees are calculated daily
at the annual rate of 0.85% of the Fund's average daily net assets up to $500
million and 0.75% on assets over $500 million. For the six months ended May 31,
2018, the effective management fee (excluding waivers and/or assumptions of
expenses) was equivalent to 0.85% (annualized) of the Fund's average daily net
assets.
The Adviser has contractually agreed to limit ordinary operating expenses
(ordinary operating expenses means all fund expenses other than extraordinary
expenses, such as litigation, taxes, brokerage commissions and acquired fund
fees and expenses) to the extent required to reduce Fund expenses to 1.25%,
2.15% and 0.90%, of the average daily net assets attributable to Class A, Class
C and Class Y shares, respectively. Fees waived and expenses reimbursed during
the six months ended May 31, 2018, are reflected on the Statement of
Operations. These expense limitations will be in effect through April 1, 2019.
There can be no assurance that the Adviser will extend the expense limitation
agreement for a class of shares beyond the date referred to above.
In addition, under the management and administration agreements, certain other
services and costs, including accounting, regulatory reporting and insurance
premiums, are paid by the Fund as administrative reimbursements. Included in
"Due to affiliates" reflected on the Statement of Assets and Liabilities is
$52,758 in management fees, administrative costs and certain other
reimbursements payable to the Adviser at May 31, 2018.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 35
3. Transfer Agent
DST Asset Manager Solutions, Inc. serves as the transfer agent to the Fund at
negotiated rates. Transfer agent fees and payables shown on the Statement of
Operations and the Statement of Assets and Liabilities, respectively, include
sub-transfer agent expenses incurred through the Fund's omnibus relationship
contracts.
In addition, the Fund reimbursed the transfer agent for out-of-pocket expenses
incurred by the transfer agent related to shareowner communications activities
such as proxy and statement mailings, and outgoing phone calls. For the six
months ended May 31, 2018, such out-of-pocket expenses by class of shares were
as follows:
--------------------------------------------------------------------------------
Shareowner Communications:
--------------------------------------------------------------------------------
Class A $39,987
Class C 5,043
--------------------------------------------------------------------------------
Total $45,030
================================================================================
4. Distribution Plan
The Fund has adopted a distribution plan (the "Plan") pursuant to Rule 12b-1 of
the Investment Company Act of 1940 with respect to its Class A and Class C
shares. Pursuant to the Plan, the Fund pays the Distributor 0.25% of the
average daily net assets attributable to Class A shares as compensation for
personal services and/or account maintenance services or distribution services
with regard to Class A shares. Pursuant to the Plan, the Fund also pays the
Distributor 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 distribution services with regard to Class C shares.
Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $5,182 in distribution fees payable to the Distributor at May
31, 2018.
In addition, redemptions of each class of shares (except Class Y shares) may be
subject to a contingent deferred sales charge (the "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 12
months 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 the Distributor. For the six months ended May 31, 2018, no CDSCs were
paid to the Distributor.
36 Pioneer International Equity Fund | Semiannual Report | 5/31/18
5. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
"Funds"), participates in a committed, unsecured revolving line of credit
facility. Borrowings are used solely for temporary or emergency purposes. The
Fund may borrow up to the lesser of the amount available under the facility or
the limits set for borrowing by the Fund's prospectus and the 1940 Act. The
Fund participates in a credit facility that is in the amount of $25 million.
Under such facility, depending on the type of loan, interest on borrowings is
payable at the London Interbank Offered Rate ("LIBOR") plus 0.90% on an
annualized basis, or the Alternate Base Rate, which is the greater of (a) the
facility's administrative agent's daily announced prime rate on the borrowing
date, (b) 2% plus the Federal Funds Rate on the borrowing date or (c) 2% plus
the overnight Eurodollar rate on the borrowing date. The Funds pay an annual
commitment fee to participate in a credit facility. The commitment fee is
allocated among participating Funds based on an allocation schedule set forth
in the credit agreement. For the six months ended May 31, 2018, the Fund had no
borrowings under the credit facility.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 37
ADDITIONAL INFORMATION
Change in Independent Registered Public Accounting Firm
Prior to July 3, 2017 Pioneer Investment Management, Inc. (the "Adviser"), the
Fund's investment adviser, was an indirect, wholly owned subsidiary of
UniCredit S.p.A. ("UniCredit"). On that date, UniCredit completed the sale of
its Pioneer Investments business, which includes the Adviser, to Amundi (the
"Transaction"). As a result of the Transaction, the Adviser became an indirect,
wholly owned subsidiary of Amundi. Amundi is controlled by Credit Agricole S.A.
Amundi is headquartered in Paris, France, and, as of September 30, 2016, had
more than $1.1 trillion in assets under management worldwide. Deloitte & Touche
LLP ("D&T"), the Fund's previous independent registered public accounting firm,
informed the Audit Committee and the Board that it would no longer be
independent with respect to the Fund upon the completion of the Transaction as
a result of certain services being provided to Amundi and Credit Agricole, and,
accordingly, that it intended to resign as the Fund's independent registered
public accounting firm upon the completion of the Transaction. D&T's
resignation was effective on July 3, 2017, when the Transaction was completed.
During the periods as to which D&T has served as the Fund's independent
registered public accounting firm, including the Fund's two most recent fiscal
years, D&T's reports on the Fund's financial statements 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 D&T on any matter of accounting
principles or practices, financial statement disclosure, or auditing scope or
procedure, which, if not resolved to the satisfaction of D&T, would have caused
D&T 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.
Effective immediately following the completion of the Transaction on July 3,
2017, the Board, acting upon the recommendation of the Audit Committee, engaged
a new independent registered public accounting firm, Ernst & Young LLP ("EY"),
for the Fund's fiscal year ended November 30, 2017.
38 Pioneer International Equity Fund | Semiannual Report | 5/31/18
Prior to its engagement, EY had advised the Fund's Audit Committee that EY had
identified the following matters, in each case relating to services rendered by
other member firms of Ernst & Young Global Limited, all of which are located
outside the United States, to UniCredit and certain of its subsidiaries during
the period commencing July 1, 2016, that it determined to be inconsistent with
the auditor independence rules set forth by the Securities and Exchange
Commission ("SEC"): (a) project management support services to UniCredit in the
Czech Republic, Germany, Italy, Serbia and Slovenia in relation to twenty-two
projects, that were determined to be inconsistent with Rule 2-01(c)(4)(vi) of
Regulation S-X (management functions); (b) two engagements for UniCredit in
Italy where fees were contingent/success based and that were determined to be
inconsistent with Rule 2-01(c)(5) of Regulation S-X (contingent fees); (c) four
engagements where legal and expert services were provided to UniCredit in the
Czech Republic and Germany, and twenty engagements where the legal advisory
services were provided to UniCredit in Austria, Czech Republic, Italy and
Poland, that were determined to be inconsistent with Rule 2-01(c)(4)(ix) and
(x) of Regulation S-X (legal and expert services); and (d) two engagements for
UniCredit in Italy involving assistance in the sale of certain assets, that
were determined to be inconsistent with Rule 2-01(c)(4)(viii) of Regulation S-X
(broker-dealer, investment adviser or investment banking services). None of the
foregoing services involved the Fund, any of the other Funds in the Pioneer
Family of Funds or any other Pioneer entity sold by UniCredit in the
Transaction.
EY advised the Audit Committee that it had considered the matters described
above and had concluded that such matters would not impair EY's ability to
exercise objective and impartial judgment in connection with the audits of the
financial statements of the Fund under the SEC and Public Company Accounting
Oversight Board independence rules, and that a reasonable investor with
knowledge of all relevant facts and circumstances would reach the same
conclusion. Management and the Audit Committee considered these matters and
discussed the matters with EY and, based upon EY's description of the matters
and statements made by EY, Management and the Audit Committee believe that EY
will be capable of exercising objective and impartial judgment in connection
with the audits of the financial statements of the Fund, and Management further
believes that a reasonable investor with knowledge of all relevant facts and
circumstances would reach the same conclusion.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 39
Trustees, Officers and Service Providers
Trustees Officers
Thomas J. Perna, Chairman Lisa M. Jones, President and
David R. Bock Chief Executive Officer
Benjamin M. Friedman Mark E. Bradley, Treasurer and
Margaret B.W. Graham Chief Financial Officer
Lisa M. Jones Christopher J. Kelley, Secretary and
Lorraine H. Monchak Chief Legal Officer
Marguerite A. Piret
Fred J. Ricciardi
Kenneth J. Taubes
Investment Adviser and Administrator
Amundi Pioneer Asset Management, Inc.
Custodian and Sub-Administrator
Brown Brothers Harriman & Co.
Principal Underwriter
Amundi Pioneer Distributor, Inc.
Legal Counsel
Morgan, Lewis & Bockius LLP
Shareowner Services and Transfer Agent
DST Asset Manager Solutions, 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 www.amundipioneer.com. This information is also available on the
Securities and Exchange Commission's web site at www.sec.gov.
40 Pioneer International Equity Fund | Semiannual Report | 5/31/18
This page is for your notes.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 41
This page is for your notes.
42 Pioneer International Equity Fund | Semiannual Report | 5/31/18
This page is for your notes.
Pioneer International Equity Fund | Semiannual Report | 5/31/18 43
This page is for your notes.
44 Pioneer International Equity Fund | Semiannual Report | 5/31/18
How to Contact Amundi 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
FactFoneSM for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Write to us:
--------------------------------------------------------------------------------
Amundi Pioneer
P.O. Box 55014
Boston, Massachusetts 02205-5014
Our toll-free fax 1-800-225-4240
Our internet e-mail address us.askamundipioneer@amundipioneer.com
(for general questions about Amundi Pioneer only)
Visit our web site: www.amundipioneer.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] Amundi Pioneer
==============
ASSET MANAGEMENT
Amundi Pioneer Asset Management Inc.
60 State Street
Boston, MA 02109
www.amundipioneer.com
Securities offered through Amundi Pioneer Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
[C] 2018 Amundi Pioneer Asset Management 19390-12-0718
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.
Pioneer Emerging Markets Fund:
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 Amudi Pioneer Asset Management, Inc, 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.
N/A
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.
N/A
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).
N/A
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. Disclosure of Securities Lending Activities for Closed-End
Management Investment Companies.
(a) If the registrant is a closed-end management investment company,
provide the following dollar amounts of income and compensation related
to the securities lending activities of the registrant during its most
recent fiscal year:
N/A
(1) Gross income from securities lending activities;
N/A
(2) All fees and/or compensation for each of the following securities
lending activities and related services: any share of revenue generated
by the securities lending program paid to the securities lending agent(s)
(revenue split); fees paid for cash collateral management services
(including fees deducted from a pooled cash collateral reinvestment
vehicle) that are not included in the revenue split; administrative
fees that are not included in the revenue split; fees for
indemnification that are not included in the revenue split; rebates
paid to borrowers; and any other fees relating to the securities lending
program that are not included in the revenue split, including a description
of those other fees;
N/A
(3) The aggregate fees/compensation disclosed pursuant to paragraph (2); and
N/A
(4) Net income from securities lending activities (i.e., the dollar amount in
paragraph (1) minus the dollar amount in paragraph (3)).
If a fee for a service is included in the revenue split, state that the fee
is included in the revenue split.
N/A
(b) If the registrant is a closed-end management investment company, describe
the services provided to the registrant by the securities lending agent in
the registrants most recent fiscal year.
N/A
ITEM 13. 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 Series Trust VIII
By (Signature and Title)* /s/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date July 26, 2018
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 July 26, 2018
By (Signature and Title)* /s/ Mark E. Bradley
Mark E. Bradley, Treasurer & Chief Accounting & Financial Officer
Date July 26, 2018
* Print the name and title of each signing officer under his or her signature.