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 811-21664
Pioneer Series Trust III
(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: August 31, 2019
Date of reporting period: September 1, 2018 through August 31, 2019
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 Disciplined
Value Fund
--------------------------------------------------------------------------------
Annual Report | August 31, 2019
--------------------------------------------------------------------------------
Ticker Symbols:
Class A CVFCX
Class C CVCFX
Class R CVRFX
Class Y CVFYX
Beginning in February 2021, as permitted by regulations adopted by the
Securities and Exchange Commission, paper copies of the Fund's shareholder
reports like this one will no longer be sent by mail, unless you specifically
request paper copies of the reports from the Fund or from your financial
intermediary, such as a broker-dealer, bank or insurance company. Instead, the
reports will be made available on the Fund's website, and you will be notified
by mail each time a report is posted and provided with a website link to access
the report.
If you already elected to receive shareholder reports electronically, you will
not be affected by this change and you need not take any action. You may elect
to receive shareholder reports and other communications electronically by
contacting your financial intermediary or, if you invest directly with the
Fund, by calling 1-800-225-6292.
You may elect to receive all future reports in paper free of charge. If you
invest directly with the Fund, you can inform the Fund that you wish to
continue receiving paper copies of your shareholder reports by calling
1-800-225-6292. If you invest through a financial intermediary, you can contact
your financial intermediary to request that you continue to receive paper
copies of your shareholder reports. Your election to receive reports in paper
will apply to all funds held in your account if you invest through your
financial intermediary or all funds held within the Pioneer Fund complex if you
invest directly.
[LOGO] Amundi Pioneer
==============
ASSET MANAGEMENT
visit us: www.amundipioneer.com/us
Table of Contents
President's Letter 2
Portfolio Management Discussion 4
Portfolio Summary 10
Prices and Distributions 11
Performance Update 12
Comparing Ongoing Fund Expenses 16
Schedule of Investments 18
Financial Statements 23
Notes to Financial Statements 31
Report of Independent Registered Public Accounting Firm 39
Additional Information 41
Trustees, Officers and Service Providers 42
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 1
President's Letter
Since 1928, active portfolio management based on in-depth, fundamental
research, has been the foundation of Amundi Pioneer's investment approach. We
believe an active management investment strategy is a prudent approach to
investing, especially during periods of market volatility, which can result
from any number of risk factors, including slow U.S. economic growth, rising
interest rates, and geopolitical factors. Of course, in today's global economy,
risk factors extend well beyond U.S. borders. In fact, it's not unusual for
political and economic issues on the international front to cause or contribute
to volatility in U.S. markets.
At Amundi Pioneer, each security under consideration is researched by our team
of experienced investment professionals, who communicate directly with the
management teams of those companies. At the end of this research process, if we
have conviction in a company's business model and management team, and regard
the security as a potentially solid investment opportunity, an Amundi Pioneer
portfolio manager makes an active decision to invest in that security. The
portfolio resulting from these decisions represents an expression of his or her
convictions, and strives to balance overall risk and return opportunity.
As an example, the Standard & Poor's 500 Index -- the predominant benchmark for
many U.S. Large-Cap Core Equity funds -- has 500 stocks. An Amundi Pioneer
portfolio manager chooses to invest in only those companies that he or she
believes can offer the most attractive opportunities to pursue the fund's
investment objective, thus potentially benefiting the fund's shareowners. This
process results in a portfolio that does not own all 500 stocks, but a much
narrower universe.
The same active decision to invest in a company is also applied when we decide
to sell a security, due to changing fundamentals, valuation concerns, or market
risks. We apply this active decision-making across all of our equity,
fixed-income, and global portfolios.
Today, as investors, we have many options. It is our view that active
management can serve shareholders well not only when markets are thriving, but
also during periods of market volatility and uncertainty, thus making it a
compelling investment choice. As you consider the many choices today, 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.
2 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
We greatly appreciate the trust you have placed in us and look forward to
continuing to serve you in the future.
Sincerely,
/s/ Lisa M. Jones
Lisa M. Jones
Head of the Americas, President and CEO of U.S.
Amundi Pioneer Asset Management USA, Inc.
August 31, 2019
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 Disciplined Value Fund | Annual Report | 8/31/19 3
Portfolio Management Discussion | 8/31/19
In the following interview, Craig Sterling discusses the factors that affected
the performance of Pioneer Disciplined Value Fund during the 12-month period
ended August 31, 2019. Mr. Sterling, Managing Director, Director of Core
Equity, Head of Equity Research, U.S., and a portfolio manager at Amundi
Pioneer Asset Management, Inc. (Amundi Pioneer), is responsible for day-to-day
management of the Fund's investment portfolio, along with Ashesh ("Ace") Savla,
a vice president, Team Leader of U.S. Equity Quantitative Research, and a
portfolio manager at Amundi Pioneer.
Q How did the Fund perform during the 12-month period ended August 31, 2019?
A Pioneer Disciplined Value Fund's Class A shares returned -1.63% at net
asset value during the 12-month period ended August 31, 2019, while the
Fund's benchmark, the Russell 1000 Value Index, returned 0.62%. During the
same period, the average return of the 1,382 mutual funds in Morningstar's
Large Value Funds category was -1.41%.
Q How would you describe the market environment for investors over the
12-month period ended August 31, 2019?
A Entering the period, robust economic data and corporate earnings results
boosted market sentiment for riskier assets, outweighing concerns over
trade disputes between the U.S. and some of its key partners. The U.S.
Federal Reserve ("Fed") raised interest rates for a third time in 2018 at
its September meeting, but equities continued to move higher and the
market performed well through the end of the third quarter.
Conditions reversed in the fourth quarter of 2018, however, and it proved
to be one of the most challenging three-month periods for investors in
roughly a decade. A number of issues converged to produce poor returns for
equities heading into the end of the calendar year, including escalating
trade tensions between the U.S. and China as well as concerns that the Fed
would "overshoot" and raise interest rates too high after doing so again
in December, the fourth rate increase in 2018.
Investor sentiment rebounded in January 2019 as Fed Chairman Powell
indicated that interest-rate policy (that is, continued increases) was not
on a fixed course. Later, the Fed issued another statement announcing that
it was prepared to be "patient" on further rate hikes, given "muted
inflation pressures." In addition, positive employment and manufacturing
data helped boost risk sentiment at the beginning of the 2019 calendar
year.
4 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Despite some interim volatility, riskier assets generally maintained a
firm tone through the end of April 2019. In May, however, President
Trump's announcement of plans to institute a 25% tariff on approximately
$200 billion worth of Chinese goods led to another brief market downturn,
as it became clear that a comprehensive trade deal between the two
countries was not going to be easy to achieve. At that point, the Fed
signaled a willingness to implement one or more cuts in the federal funds
rate before the end of 2019, and later implemented a 0.25% rate reduction
in July. The Fed's action on interest rates helped contribute to solid
returns in the domestic equity markets over the final three months of the
period.
U.S. equity markets turned in positive, if unspectacular performance over
the full 12-month period ended August 31, 2019. Value stocks, as measured
by the Fund's benchmark, the Russell 1000 Value Index (the Russell Index),
returned 0.62%, while growth stocks, as measured by the Russell 1000
Growth Index, returned 4.27%.
Q Which of your investment decisions detracted from the Fund's
benchmark-relative performance during the 12-month period ended August 31,
2019?
A Energy and industrials were the two worst-performing sectors for the Fund
versus the Russell Index over the 12-month period.
The energy sector has been a tough place for investors in recent months,
due to lower oil prices driven by oversupply and other factors. Not
surprisingly, the portfolio's energy holdings struggled during the period,
as the Fund does not own shares in any of the big integrated companies,
which have weathered the storm better than other energy firms. Four of the
five largest detractors from the Fund's benchmark-relative performance
during the 12-month period were energy positions: EOG Resources,
Halliburton, National Oilwell Varco, and Total SA. We had based our
investment thesis for Halliburton, an oil & gas equipment services firm,
on the company's historically strong and competitive position in the
attractive (from their customers' point of view) U.S. market. However,
some previously "low-end" competitors of Halliburton's have improved their
ability to provide more high-value solutions, thus reducing the company's
competitive advantage. That factor, combined with a poorer-than-expected
spending environment from its target customer base, caused us to
re-evaluate the investment case for Halliburton and led us to sell the
stock from the portfolio.
Within industrials, the Fund was overweight cyclical stocks -- or shares
of companies that typically are more exposed to momentum swings in the
economic cycle -- at the beginning of the period, and many of those stocks
slumped dramatically during the fourth-quarter 2018 market correction. The
stocks rebounded in the first quarter of 2019, and the Fund recovered a
good portion of the earlier losses, but not enough to offset the declines
from
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 5
the fourth quarter. Within industrials, the Fund's position in FedEx was a
big detractor from benchmark-relative performance. FedEx struggled due to
a poor first-quarter 2019 earnings report and full-year 2019 outlook. The
company's recent difficulties caused us to rethink our original investment
thesis and to exit the Fund's position.
An underweight to utilities also detracted from the Fund's
benchmark-relative performance over the 12-month period. We underweighted
the portfolio to utilities and other so-called "bond proxy" stocks because
valuations are simply too high. The Fund's underweight detracted from
relative returns as the sector fared well during an uncertain
interest-rate environment over the period.
Q Which of your investment decisions benefited the Fund's benchmark-relative
performance during the 12-month period ended August 31, 2019?
A Stock selection in financials and materials, and stock selection plus an
underweight to information technology were the main positive contributors
to the Fund's benchmark-relative performance during the 12-month period.
Within information technology, the portfolio's significant underweight
when the late-2018 market correction occurred was a key positive
contributor to benchmark-relative performance. Technology stock prices
peaked around October 1, 2018, and the Fund was meaningfully underweight
in the sector versus the Russell Index at that time, due to valuation
concerns. Therefore, when the fourth-quarter correction happened, the
Fund's large underweight benefited benchmark-relative returns. After the
downturn when valuations were much improved, we increased the Fund's
weighting, and by February 1, 2019, the portfolio was actually overweight
in the sector versus the Russell Index. The overweight benefited the
Fund's relative results when the sector rallied along with the rest of the
equity market in early 2019. We then reduced the Fund's weighting when
valuations began to swing back upward, and the portfolio was again
meaningfully underweight to information technology by period-end.
As for individual stocks, Fund positions that contributed positively to
benchmark-relative performance during the 12-month period included
Progressive (financials), Ball (materials), Apple (information
technology), Home Depot (consumer discretionary), and Marsh & McLennan
(financials).
Progressive, the top individual positive contributor to the Fund's
benchmark-relative returns for the period, is a leading provider of auto
and homeowners insurance. The company has been able to use proprietary
information technology more effectively than its peers, which has helped
it generate strong returns while limiting loss volatility. We believe the
market is just beginning to realize the growth potential and financial
benefits Progressive could experience from combining auto and
6 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
home products. In materials, the Fund's position in Ball contributed
positively to benchmark-relative performance. Ball makes metal cans for
beer and soda and other products, and it has benefited from the consumer
backlash against single-use plastic bottles, as its share price was up
significantly for the full 12-month period.
Apple was another stock that aided the Fund's benchmark-relative returns
over the 12-month period. The Fund did not own Apple back in October 2018,
and that benefited benchmark-relative performance during the late-year
market correction. We then established a position in Apple when the
valuation improved, which aided relative returns when the market
subsequently rallied. We reduced the Fund's position prior to period-end
when the valuation moved higher, but still own shares of Apple in the
portfolio.
Home Depot, the home improvement retailer, also performed well for the
Fund over the 12-month period. Thanks to its strong competitive position,
healthy home values, and a buoyant consumer, Home Depot has continued to
benefit from economies of scale, which has been evident in its rising
profit margins and asset efficiency. Should the U.S. economy enter a
slower growth period in the future, we believe this durable franchise
would still have the potential to generate strong performance.
Finally, Marsh & McLennan is the largest global insurance broker. We saw a
lot of value in the company when we purchased the shares, and the decision
aided the Fund's relative performance as the stock performed well over the
12-month period.
Q Did you invest in any derivative securities during the 12-month period
ended August 31, 2019? If so, did the derivatives have a material effect
on the Fund's performance?
A No, the Fund held no derivatives during the period.
Q How is the Fund positioned heading into a new fiscal year?
A As mentioned earlier, we find stocks in "bond proxy" sectors to be quite
expensive, and so as of period-end, the Fund's largest sector underweight
relative to the Russell Index was in utilities. The Fund remains
underweight to energy, which continues to struggle. Furthermore, we find
it difficult to foresee how companies in the sector, many of which we
consider to be poorly run, will figure out how to deal with the difficult
conditions in a way that creates economic value for shareholders.
The portfolio's largest benchmark-relative overweight at period-end was in
financials, as we believe there is a lot of value in the sector. To
illustrate, one recent value-driven addition to the portfolio in the
sector is a position in Berkshire Hathaway. We are especially positive on
the banking sector, as we believe banks now have more stable business
models than in the past,
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 7
and valuations are very good. Finally, the Fund is overweight to consumer
discretionary, especially retail, as we remain positive on the condition
of the U.S. consumer and we believe the retailers the Fund owns, such as
Home Depot and TJX, can fare well in an e-commerce-driven world.
Q What is your outlook for the remainder of 2019?
A In early September, the market saw a sharp value rally as the
relative-valuation spread versus growth/low-beta/momentum was at historic
proportions, while investor sentiment was so negative that the risk of
value stocks performing was to the upside. Put another way, at some point,
valuations can become so depressed that negative fundamental developments,
slowing earnings growth, trade conflicts, a decelerating economy, and
other factors are more or less priced in to shares, and that if
subsequent, incremental information releases are not as bad as feared, or
perhaps even positive, then stock prices can react quite positively. The
market was on this path at that time, but the value rally did not last, as
a confluence of events in mid-September brought about new fears for
investors to digest. The events included an attack on half of Saudi
Arabia's oil facilities, an impeachment inquiry of President Trump, and a
decelerating economy.
Our general view and the Fund's resulting bottom-up positioning is that
the risk for value is to the upside, as most market fears do seem priced
in, and valuations for shares of quality, cyclical value companies is
compelling.
We will always seek to position the Fund where we find the most relative
value, as that approach has tended to serve the Fund's investors well.
While these views are current through the end of the 12-month period,
information constantly and rapidly changes, given uncertainties about the
global economy, trade conflicts, and the upcoming 2020 U.S. Presidential
election. We continue to rely on the combination of our experienced
fundamental analyst team and a proprietary corporate performance and
valuation framework grounded in business-model economics, or economic
value added ("EVA"). We believe those two key investment-process
components are critical to the success of the Fund, given the evolving
secular and cyclical shifts taking place in nearly every industry and the
changing political and economic environments.
8 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Please refer to the Schedule of Investments on pages 18-22 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.
The Fund may invest in fewer than 40 securities, and as a result, the Fund's
performance may be more volatile than the performance of funds holding more
securities.
Investments in small- and mid-sized companies may offer the potential for
higher returns, but are also subject to greater short-term price fluctuations
than larger, more established companies.
At times, the Fund's investments may represent industries or industry sectors
that are interrelated or have common risks, making it more susceptible to any
economic, political, or regulatory developments or other risks affecting those
industries and sectors.
These risks may increase share price volatility.
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.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 9
Portfolio Summary | 8/31/19
Portfolio Diversification
--------------------------------------------------------------------------------
(As a percentage of total investments)*
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Common Stocks 93.9%
U.S. Government and Agency Obligations 6.1%
Sector Distribution
--------------------------------------------------------------------------------
(As a percentage of total investments)*
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Financials 34.3%
Health Care 13.7%
Consumer Discretionary 11.5%
Real Estate 7.9%
Industrials 7.6%
Consumer Staples 7.1%
Communication Services 6.1%
Information Technology 5.1%
Energy 3.4%
Materials 2.2%
Utilities 1.1%
10 Largest Holdings
--------------------------------------------------------------------------------
(As a percentage of total investments)*
1. JPMorgan Chase & Co. 5.73%
--------------------------------------------------------------------------------
2. Bank of America Corp. 5.42
--------------------------------------------------------------------------------
3. Berkshire Hathaway, Inc., Class B 4.84
--------------------------------------------------------------------------------
4. Home Depot, Inc. 4.04
--------------------------------------------------------------------------------
5. United States Treasury Bill, 9/24/19 3.97
--------------------------------------------------------------------------------
6. AT&T, Inc. 3.29
--------------------------------------------------------------------------------
7. American International Group, Inc. 3.14
--------------------------------------------------------------------------------
8. BlackRock, Inc., Class A 3.07
--------------------------------------------------------------------------------
9. Merck & Co., Inc. 2.79
--------------------------------------------------------------------------------
10. Humana, Inc. 2.77
--------------------------------------------------------------------------------
* 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.
10 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Prices and Distributions | 8/31/19
Net Asset Value per Share
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Class 8/31/19 8/31/18
--------------------------------------------------------------------------------
A $13.58 $16.20
--------------------------------------------------------------------------------
C $13.29 $15.85
--------------------------------------------------------------------------------
R $13.02 $15.63
--------------------------------------------------------------------------------
Y $13.68 $16.30
--------------------------------------------------------------------------------
Distributions per Share: 9/1/18 - 8/31/19
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.1351 $0.6369 $1.4540
--------------------------------------------------------------------------------
C $ -- $0.6369 $1.4540
--------------------------------------------------------------------------------
R $0.0996 $0.6369 $1.4540
--------------------------------------------------------------------------------
Y $0.1709 $0.6369 $1.4540
--------------------------------------------------------------------------------
The Russell 1000 Value Index is an unmanaged measure of the performance of
large-cap U.S. value 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 12-15.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 11
Performance Update | 8/31/19 Class A Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class A shares of Pioneer Disciplined Value Fund at public
offering price during the periods shown, compared to that of the Russell 1000
Value Index.
Average Annual Total Returns
(As of August 31, 2019)
----------------------------------------------------------
Net Public Russell
Asset Offering 1000
Value Price Value
Period (NAV) (POP) Index
----------------------------------------------------------
10 years 9.64% 8.99% 11.49%
5 years 5.93 4.68 6.59
1 year -1.63 -7.29 0.62
----------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2018)
----------------------------------------------------------
Gross
----------------------------------------------------------
1.13%
----------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Disciplined Russell 1000
Value Fund Value Index
8/09 $ 9,425 $10,000
8/10 $ 9,612 $10,496
8/11 $10,928 $12,004
8/12 $12,547 $14,081
8/13 $14,587 $17,334
8/14 $17,734 $21,569
8/15 $16,819 $20,818
8/16 $18,055 $23,508
8/17 $21,644 $26,230
8/18 $24,046 $29,500
8/19 $23,654 $29,682
Call 1-800-225-6292 or visit www.amundipioneer.com/us 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. NAV
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 performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Fund acquired the assets and liabilities of Pioneer Disciplined Value Fund
("the predecessor fund") on June 7, 2013. As a result of the reorganization,
the predecessor fund's performance and financial history became the performance
and financial history of the Fund. The performance of Class A shares of the
Fund is the performance of Class A shares of the predecessor fund for periods
prior to the reorganization, and has not been restated to reflect any
differences in expenses.
Please refer to the financial highlights for a more current expense ratio.
12 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Performance Update | 8/31/19 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 Disciplined Value Fund during the
periods shown, compared to that of the Russell 1000 Value Index.
Average Annual Total Returns
(As of August 31, 2019)
----------------------------------------------------------
Russell
1000
If If Value
Period Held Redeemed Index
----------------------------------------------------------
10 years 8.75% 8.75% 11.49%
5 years 5.15 5.15 6.59
1 year -2.39 -2.39 0.62
----------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2018)
----------------------------------------------------------
Gross
----------------------------------------------------------
1.84%
----------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Disciplined Russell 1000
Value Fund Value Index
8/09 $10,000 $10,000
8/10 $10,107 $10,496
8/11 $11,385 $12,004
8/12 $12,936 $14,081
8/13 $14,912 $17,334
8/14 $18,000 $21,569
8/15 $16,945 $20,818
8/16 $18,066 $23,508
8/17 $21,494 $26,230
8/18 $23,706 $29,500
8/19 $23,139 $29,682
Call 1-800-225-6292 or visit www.amundipioneer.com/us 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. "If Redeemed" returns would have been lower had
sales charges been reflected. All results are historical and assume the
reinvestment of dividends and capital gains. Other share classes are available
for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
The Fund acquired the assets and liabilities of Pioneer Disciplined Value Fund
("the predecessor fund") on June 7, 2013. As a result of the reorganization,
the predecessor fund's performance and financial history became the performance
and financial history of the Fund. The performance of Class C shares of the
Fund is the performance of Class C shares of the predecessor fund for periods
prior to the reorganization, and has not been restated to reflect any
differences in expenses.
Please refer to the financial highlights for a more current expense ratio.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 13
Performance Update | 8/31/19 Class R Shares
Investment Returns
--------------------------------------------------------------------------------
The mountain chart on the right shows the change in value of a $10,000
investment made in Class R shares of Pioneer Disciplined Value Fund during the
periods shown, compared to that of the Russell 1000 Value Index.
Average Annual Total Returns
(As of August 31, 2019)
----------------------------------------------------------
Russell
1000
Net Asset Value
Period Value (NAV) Index
----------------------------------------------------------
10 years 9.46% 11.49%
5 years 5.66 6.59
1 year -1.94 0.62
----------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2018)
----------------------------------------------------------
Gross
----------------------------------------------------------
1.52%
----------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Disciplined Russell 1000
Value Fund Value Index
8/09 $10,000 $10,000
8/10 $10,198 $10,496
8/11 $11,595 $12,004
8/12 $13,312 $14,081
8/13 $15,465 $17,334
8/14 $18,751 $21,569
8/15 $17,753 $20,818
8/16 $19,018 $23,508
8/17 $22,733 $26,230
8/18 $25,180 $29,500
8/19 $24,692 $29,682
Call 1-800-225-6292 or visit www.amundipioneer.com/us for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
The Fund acquired the assets and liabilities of Pioneer Disciplined Value Fund
("the predecessor fund") on June 7, 2013. As a result of the reorganization,
the predecessor fund's performance and financial history became the performance
and financial history of the Fund. The predecessor fund did not offer Class R
shares. Accordingly, the performance of Class R shares of the Fund is the
performance of Class A shares of the predecessor fund for periods prior to the
reorganization, restated to reflect the higher distribution and service fees of
Class R shares, but not other differences in expenses.
Class R shares are not subject to sales charges and are available for limited
groups of eligible investors, including institutional investors. All results
are historical and assume the reinvestment of dividends and capital gains.
Other share classes are available for which performance and expenses will
differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of 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.
14 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Performance Update | 8/31/19 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 Disciplined Value Fund during the
periods shown, compared to that of the Russell 1000 Value Index.
Average Annual Total Returns
(As of August 31, 2019)
----------------------------------------------------------
Russell
1000
Net Asset Value
Period Value (NAV) Index
----------------------------------------------------------
10 years 9.99% 11.49%
5 years 6.27 6.59
1 year -1.33 0.62
----------------------------------------------------------
Expense Ratio
(Per prospectus dated December 31, 2018)
----------------------------------------------------------
Gross
----------------------------------------------------------
0.83%
----------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Disciplined Russell 1000
Value Fund Value Index
8/09 $ 5,000,000 $ 5,000,000
8/10 $ 5,112,990 $ 5,248,083
8/11 $ 5,834,431 $ 6,002,128
8/12 $ 6,721,233 $ 7,040,449
8/13 $ 7,837,301 $ 8,666,907
8/14 $ 9,559,332 $10,784,388
8/15 $ 9,095,297 $10,408,942
8/16 $ 9,804,704 $11,754,042
8/17 $11,785,054 $13,114,870
8/18 $13,131,224 $14,750,185
8/19 $12,956,117 $14,841,208
Call 1-800-225-6292 or visit www.amundipioneer.com/us for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
The Fund acquired the assets and liabilities of Pioneer Disciplined Value Fund
("the predecessor fund") on June 7, 2013. As a result of the reorganization,
the predecessor fund's performance and financial history became the performance
and financial history of the Fund. The performance of Class Y shares of the
Fund is the performance of Class Y shares of the predecessor fund for periods
prior to the reorganization, and has not been restated to reflect any
differences in expenses.
Class Y shares are not subject to sales charges and are available for limited
groups of eligible investors, including institutional investors. All results
are historical and assume the reinvestment of dividends and capital gains.
Other share classes are available for which performance and expenses will
differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers
may not be in effect for all funds. Certain fee waivers are contractual through
a specified period. Otherwise, fee waivers can be rescinded at any time. See
the prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Please refer to the financial highlights for a more current expense ratio.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 15
Comparing Ongoing Fund Expenses
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value (divided by) $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period"
to estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Disciplined Value Fund
Based on actual returns from March 1, 2019 through August 31, 2019.
--------------------------------------------------------------------------------
Share Class A C R Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00 $1,000.00
Value on 3/1/19
--------------------------------------------------------------------------------
Ending Account $1,021.07 $1,016.03 $1,017.96 $1,022.49
Value (after expenses)
on 8/31/19
--------------------------------------------------------------------------------
Expenses Paid $6.01 $9.76 $7.78 $4.49
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized expense ratio of 1.18%, 1.92%,
1.53%, and 0.88% for Class A, Class C, Class R, and Class Y shares,
respectively, multiplied by the average account value over the period,
multiplied by 184/365 (to reflect the partial year period).
16 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Hypothetical Example for Comparison Purposes
The table below provides information about hypothetical account values and
hypothetical expenses based on the Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not the Fund's actual
return. The hypothetical account values and expenses may not be used to
estimate the actual ending account balance or expenses you paid for the
period.
You may use this information to compare the ongoing costs of investing in the
Fund and other funds. To do so, compare this 5% hypothetical example with the
5% hypothetical examples that appear in the shareholder reports of the other
funds.
Please note that the expenses shown in the tables are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as sales
charges (loads) that are charged at the time of the transaction. Therefore, the
table below is useful in comparing ongoing costs only and will not help you
determine the relative total costs of owning different funds. In addition, if
these transaction costs were included, your costs would have been higher.
Expenses Paid on a $1,000 Investment in Pioneer Disciplined Value Fund
Based on a hypothetical 5% return per year before expenses, reflecting the
period from March 1, 2019 through August 31, 2019.
--------------------------------------------------------------------------------
Share Class A C R Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00 $1,000.00
Value on 3/1/19
--------------------------------------------------------------------------------
Ending Account $1,019.26 $1,015.53 $1,017.49 $1,020.77
Value (after expenses)
on 8/31/19
--------------------------------------------------------------------------------
Expenses Paid $6.01 $9.75 $7.78 $4.48
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized expense ratio of 1.18%, 1.92%,
1.53%, and 0.88% for Class A, Class C, Class R, and Class Y shares,
respectively, multiplied by the average account value over the period,
multiplied by 184/365 (to reflect the partial year period).
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 17
Schedule of Investments | 8/31/19
---------------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------------
UNAFFILIATED ISSUERS -- 103.4%
COMMON STOCKS -- 97.1% of Net Assets
Aerospace & Defense -- 1.7%
36,717 Raytheon Co. $ 6,804,394
------------
Total Aerospace & Defense $ 6,804,394
---------------------------------------------------------------------------------------------------
Auto Components -- 4.3%
104,420 Aptiv Plc $ 8,684,611
258,881 BorgWarner, Inc. 8,447,287
------------
Total Auto Components $ 17,131,898
---------------------------------------------------------------------------------------------------
Banks -- 13.1%
818,957 Bank of America Corp. $ 22,529,507
216,733 JPMorgan Chase & Co. 23,810,287
33,406(a) SVB Financial Group 6,501,476
------------
Total Banks $ 52,841,270
---------------------------------------------------------------------------------------------------
Beverages -- 1.8%
53,553 PepsiCo., Inc. $ 7,322,302
------------
Total Beverages $ 7,322,302
---------------------------------------------------------------------------------------------------
Capital Markets -- 5.0%
30,210 BlackRock, Inc. $ 12,765,538
175,894 Morgan Stanley 7,297,842
------------
Total Capital Markets $ 20,063,380
---------------------------------------------------------------------------------------------------
Chemicals -- 1.3%
118,436 Dow, Inc. $ 5,048,927
------------
Total Chemicals $ 5,048,927
---------------------------------------------------------------------------------------------------
Commercial Services & Supplies -- 1.7%
57,882 Waste Management, Inc. $ 6,908,217
------------
Total Commercial Services & Supplies $ 6,908,217
---------------------------------------------------------------------------------------------------
Communications Equipment -- 0.4%
37,363 Cisco Systems, Inc. $ 1,748,962
------------
Total Communications Equipment $ 1,748,962
---------------------------------------------------------------------------------------------------
Consumer Discretionary -- 2.4%
215,845 Comcast Corp. $ 9,553,300
------------
Total Consumer Discretionary $ 9,553,300
---------------------------------------------------------------------------------------------------
Containers & Packaging -- 1.0%
50,916 Ball Corp. $ 4,094,156
------------
Total Containers & Packaging $ 4,094,156
---------------------------------------------------------------------------------------------------
Diversified Financial Services -- 5.0%
98,936(a) Berkshire Hathaway, Inc., Class B $ 20,124,572
------------
Total Diversified Financial Services $ 20,124,572
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
---------------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------------
Diversified Telecommunication Services -- 3.4%
387,062 AT&T, Inc. $ 13,647,806
------------
Total Diversified Telecommunication Services $ 13,647,806
---------------------------------------------------------------------------------------------------
Electric Utilities -- 1.1%
49,300 American Electric Power Co., Inc. $ 4,493,695
------------
Total Electric Utilities $ 4,493,695
---------------------------------------------------------------------------------------------------
Entertainment -- 0.5%
81,162 Viacom, Inc., Class B $ 2,027,427
------------
Total Entertainment $ 2,027,427
---------------------------------------------------------------------------------------------------
Equity Real Estate Investment Trusts (REITs) -- 8.2%
90,838 Digital Realty Trust, Inc. $ 11,230,302
35,048 Essex Property Trust, Inc. 11,259,521
122,745 Liberty Property Trust 6,397,469
47,173 Prologis, Inc. 3,944,606
------------
Total Equity Real Estate Investment Trusts (REITs) $ 32,831,898
---------------------------------------------------------------------------------------------------
Food & Staples Retailing -- 5.0%
15,922 Costco Wholesale Corp. $ 4,693,169
106,474 Sysco Corp. 7,914,212
138,383 Walgreens Boots Alliance, Inc. 7,083,826
------------
Total Food & Staples Retailing $ 19,691,207
---------------------------------------------------------------------------------------------------
Health Care Equipment & Supplies -- 2.7%
102,553 Medtronic Plc $ 11,064,443
------------
Total Health Care Equipment & Supplies $ 11,064,443
---------------------------------------------------------------------------------------------------
Health Care Providers & Services -- 3.9%
49,244 AmerisourceBergen Corp. $ 4,051,304
40,604 Humana, Inc. 11,499,459
------------
Total Health Care Providers & Services $ 15,550,763
---------------------------------------------------------------------------------------------------
Household Products -- 0.6%
20,658 Procter & Gamble Co. $ 2,483,711
------------
Total Household Products $ 2,483,711
---------------------------------------------------------------------------------------------------
Insurance -- 6.0%
250,328 American International Group, Inc. $ 13,027,069
43,234 Marsh & McLennan Cos., Inc. 4,318,644
88,514 Progressive Corp. 6,709,361
------------
Total Insurance $ 24,055,074
---------------------------------------------------------------------------------------------------
IT Services -- 1.5%
101,590 Cognizant Technology Solutions Corp. $ 6,236,610
------------
Total IT Services $ 6,236,610
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 19
Schedule of Investments | 8/31/19 (continued)
---------------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------------
Machinery -- 1.2%
35,409 Stanley Black & Decker, Inc. $ 4,704,440
------------
Total Machinery $ 4,704,440
---------------------------------------------------------------------------------------------------
Multiline Retail -- 1.2%
32,021 Dollar General Corp. $ 4,998,158
------------
Total Multiline Retail $ 4,998,158
---------------------------------------------------------------------------------------------------
Oil, Gas & Consumable Fuels -- 3.5%
137,318 EOG Resources, Inc. $ 10,187,622
79,092 TOTAL SA (A.D.R.) 3,948,273
------------
Total Oil, Gas & Consumable Fuels $ 14,135,895
---------------------------------------------------------------------------------------------------
Pharmaceuticals -- 7.5%
203,025(a) Elanco Animal Health, Inc. $ 5,282,710
68,442 Eli Lilly & Co. 7,731,893
134,124 Merck & Co., Inc. 11,597,702
108,375 Novo Nordisk AS (A.D.R.) 5,647,421
------------
Total Pharmaceuticals $ 30,259,726
---------------------------------------------------------------------------------------------------
Road & Rail -- 2.4%
33,965 Kansas City Southern $ 4,272,797
30,281 Norfolk Southern Corp. 5,270,408
------------
Total Road & Rail $ 9,543,205
---------------------------------------------------------------------------------------------------
Semiconductors & Semiconductor Equipment -- 2.6%
20,092 Lam Research Corp. $ 4,229,567
130,573(a) Micron Technology, Inc. 5,911,040
------------
Total Semiconductors & Semiconductor Equipment $ 10,140,607
---------------------------------------------------------------------------------------------------
Specialty Retail -- 6.4%
73,573 Home Depot, Inc. $ 16,768,022
158,366 TJX Cos., Inc. 8,705,379
------------
Total Specialty Retail $ 25,473,401
---------------------------------------------------------------------------------------------------
Technology Hardware, Storage & Peripherals -- 0.8%
5,748 Apple, Inc. $ 1,199,837
42,277 NetApp, Inc. 2,031,833
------------
Total Technology Hardware, Storage & Peripherals $ 3,231,670
---------------------------------------------------------------------------------------------------
Trading Companies & Distributors -- 0.9%
33,183(a) United Rentals, Inc. $ 3,735,079
------------
Total Trading Companies & Distributors $ 3,735,079
---------------------------------------------------------------------------------------------------
TOTAL COMMON STOCKS
(Cost $373,005,312) $389,946,193
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
20 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
----------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
----------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND AGENCY OBLIGATIONS -- 6.3%
of Net Assets
9,000,000(b) United States Treasury Bill, 9/17/19 $ 8,992,908
16,500,000(b) United States Treasury Bill, 9/24/19 16,480,365
----------------------------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT AND AGENCY OBLIGATIONS
(Cost $25,470,244) $ 25,473,273
----------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN UNAFFILIATED ISSUERS -- 103.4%
(Cost $398,475,556) $415,419,466
----------------------------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- (3.4)% $(13,812,825)
----------------------------------------------------------------------------------------------------
NET ASSETS -- 100.0% $401,606,641
====================================================================================================
REIT Real Estate Investment Trust.
(A.D.R.) American Depositary Receipts.
(a) Non-income producing security.
(b) Security issued with a zero coupon. Income is recognized through
accretion of discount.
Purchases and sales of securities (excluding temporary cash investments) for
the year ended August 31, 2019, aggregated $478,216,777 and $565,498,603,
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 effected at current market prices. During the year ended August 31,
2019, the Fund did not engage in any cross trade activity.
At August 31, 2019, the net unrealized appreciation on investments based on
cost for federal tax purposes of $399,135,853 was as follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of value over tax cost $ 34,572,026
Aggregate gross unrealized depreciation for all investments in which
there is an excess of tax cost over value (18,288,413)
------------
Net unrealized appreciation $ 16,283,613
============
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 accompanying notes are an integral part of these financial statements.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 21
Schedule of Investments | 8/31/19 (continued)
The following is a summary of the inputs used as of August 31, 2019, in valuing
the Fund's investments:
---------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
---------------------------------------------------------------------------------------------------
Common Stocks $389,946,193 $ -- $ -- $389,946,193
U.S. Government and
Agency Obligations -- 25,473,273 -- 25,473,273
---------------------------------------------------------------------------------------------------
Total Investments in Securities $389,946,193 $25,473,273 $ -- $415,419,466
===================================================================================================
During the year ended August 31, 2019, there were no transfers between Levels
1, 2 and 3.
The accompanying notes are an integral part of these financial statements.
22 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Statement of Assets and Liabilities | 8/31/19
ASSETS:
Investments in unaffiliated issuers, at value (cost $398,475,556) $415,419,466
Cash 1,657,914
Receivables --
Investment securities sold 949,420
Fund shares sold 197,285
Dividends 473,248
Other assets 34,480
---------------------------------------------------------------------------------------------
Total assets $418,731,813
=============================================================================================
LIABILITIES:
Payables --
Investment securities purchased $ 16,240,541
Fund shares repurchased 567,640
Trustees' fees 2,768
Due to affiliates 46,433
Accrued expenses 267,790
---------------------------------------------------------------------------------------------
Total liabilities $ 17,125,172
=============================================================================================
NET ASSETS:
Paid-in capital $386,048,697
Distributable earnings 15,557,944
---------------------------------------------------------------------------------------------
Net assets $401,606,641
=============================================================================================
NET ASSET VALUE PER SHARE:
No par value (unlimited number of shares authorized)
Class A (based on $278,737,552/20,524,610 shares) $ 13.58
Class C (based on $24,940,935/1,876,006 shares) $ 13.29
Class R (based on $10,493,793/805,959 shares) $ 13.02
Class Y (based on $87,434,361/6,391,455 shares) $ 13.68
MAXIMUM OFFERING PRICE PER SHARE:
Class A (based on $13.58 net asset value per share/100%-5.75%
maximum sales charge) $ 14.41
=============================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 23
Statement of Operations
For the Year Ended 8/31/19
INVESTMENT INCOME:
Dividends from unaffiliated issuers (net of foreign taxes
withheld $175,586) $10,517,808
Interest from unaffiliated issuers 401,271
----------------------------------------------------------------------------------------------------
Total investment income $ 10,919,079
----------------------------------------------------------------------------------------------------
EXPENSES:
Management fees $ 2,836,017
Administrative expense 212,048
Transfer agent fees
Class A 406,647
Class C 43,631
Class R 31,791
Class Y 115,291
Distribution fees
Class A 736,558
Class C 350,617
Class R 53,093
Shareowner communications expense 80,792
Custodian fees 9,674
Registration fees 112,027
Professional fees 62,442
Printing expense 34,931
Trustees' fees 16,568
Insurance expense 6,318
Miscellaneous 73,344
----------------------------------------------------------------------------------------------------
Total expenses $ 5,181,789
Less fees waived and expenses reimbursed by the Adviser (19,179)
----------------------------------------------------------------------------------------------------
Net expenses $ 5,162,610
----------------------------------------------------------------------------------------------------
Net investment income $ 5,756,469
----------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on:
Investments in unaffiliated issuers $ (719,550)
----------------------------------------------------------------------------------------------------
Change in net unrealized appreciation (depreciation) on:
Investments in unaffiliated issuers $(18,176,393)
----------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) on investments $(18,895,943)
----------------------------------------------------------------------------------------------------
Net decrease in net assets resulting from operations $(13,139,474)
====================================================================================================
The accompanying notes are an integral part of these financial statements.
24 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Statements of Changes in Net Assets
-----------------------------------------------------------------------------------------------------
Year Ended Year Ended
8/31/19 8/31/18
-----------------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income (loss) $ 5,756,469 $ 3,140,844
Net realized gain (loss) on investments (719,550) 70,156,937
Change in net unrealized appreciation (depreciation) on
investments (18,176,393) (13,400,973)
-----------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting
from operations $ (13,139,474) $ 59,896,808
-----------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Class A ($2.23 and $2.43 per share, respectively) $ (45,467,830) $ (43,109,750)*
Class C ($2.09 and $2.30 per share, respectively) (5,432,217) (13,769,982)*
Class R ($2.19 and $2.38 per share, respectively) (1,602,207) (1,631,879)*
Class Y ($2.26 and $2.48 per share, respectively) (15,694,962) (21,228,346)*
-----------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (68,197,216) $ (79,739,957)
-----------------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sales of shares $ 98,063,715 $ 71,524,284
Reinvestment of distributions 64,350,298 70,261,333
Cost of shares repurchased (192,913,078) (179,720,664)
-----------------------------------------------------------------------------------------------------
Net decrease in net assets resulting
from Fund share transactions $ (30,499,065) $ (37,935,047)
-----------------------------------------------------------------------------------------------------
Net decrease in net assets $(111,835,755) $ (57,778,196)
NET ASSETS:**
Beginning of year $ 513,442,396 $ 571,220,592
-----------------------------------------------------------------------------------------------------
End of year $ 401,606,641 $ 513,442,396
=====================================================================================================
* For the year ended August 31, 2018, distributions to shareowners were presented as follows:
Net investment income:
Class A ($0.16 per share) $ (3,153,770)
Class C ($0.03 per share) (227,168)
Class R ($0.11 per share) (88,850)
Class Y ($0.21 per share) (1,993,084)
Net realized gain:
Class A ($2.27 per share) $ (39,955,980)
Class C ($2.27 per share) (13,542,814)
Class R ($2.27 per share) (1,543,029)
Class Y ($2.27 per share) (19,235,262)
**For the year ended August 31, 2018, undistributed net investment income was presented as
follows: $2,243,978.
The accompanying notes are an integral part of these financial statements.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 25
Statements of Changes in Net Assets (continued)
-------------------------------------------------------------------------------------------------
Year Ended Year Ended Year Ended Year Ended
8/31/19 8/31/19 8/31/18 8/31/18
Shares Amount Shares Amount
-------------------------------------------------------------------------------------------------
Class A
Shares sold 5,195,800 $ 77,589,975 1,814,828 $ 29,486,394
Reinvestment of distributions 3,373,778 43,731,369 2,616,595 41,325,920
Less shares repurchased (6,409,271) (86,702,591) (4,344,138) (70,910,168)
-------------------------------------------------------------------------------------------------
Net increase (decrease) 2,160,307 $ 34,618,753 87,285 $ (97,854)
=================================================================================================
Class C
Shares sold 516,340 $ 6,973,244 323,202 $ 5,154,822
Reinvestment of distributions 368,853 4,699,193 788,637 12,156,647
Less shares repurchased (4,587,270) (68,037,987) (1,769,537) (28,311,321)
-------------------------------------------------------------------------------------------------
Net decrease (3,702,077) $(56,365,550) (657,698) $(10,999,852)
=================================================================================================
Class R
Shares sold 155,661 $ 2,028,791 107,336 $ 1,682,570
Reinvestment of distributions 125,581 1,564,433 104,400 1,590,205
Less shares repurchased (196,530) (2,538,277) (216,664) (3,438,487)
-------------------------------------------------------------------------------------------------
Net increase (decrease) 84,712 $ 1,054,947 (4,928) $ (165,712)
=================================================================================================
Class Y
Shares sold 817,600 $ 11,471,705 2,147,796 $ 35,200,498
Reinvestment of distributions 1,100,975 14,355,303 955,019 15,188,561
Less shares repurchased (2,663,113) (35,634,223) (4,740,306) (77,060,688)
-------------------------------------------------------------------------------------------------
Net decrease (744,538) $ (9,807,215) (1,637,491) $(26,671,629)
=================================================================================================
The accompanying notes are an integral part of these financial statements.
26 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Financial Highlights
------------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
8/31/19 8/31/18 8/31/17 8/31/16* 8/31/15*
------------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 16.20 $ 16.84 $ 14.18 $ 16.42 $ 21.00
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.18(a) $ 0.10(a) $ 0.19(a) $ 0.16(a) $ 0.15
Net realized and unrealized gain (loss) on investments (0.57) 1.69 2.61 0.96 (1.00)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.39) $ 1.79 $ 2.80 $ 1.12 $ (0.85)
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.14) $ (0.16) $ (0.14) $ (0.16) $ (0.11)
Net realized gain (2.09) (2.27) -- (3.20) (3.62)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (2.23) $ (2.43) $ (0.14) $ (3.36) $ (3.73)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (2.62) $ (0.64) $ 2.66 $ (2.24) $ (4.58)
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 13.58 $ 16.20 $ 16.84 $ 14.18 $ 16.42
====================================================================================================================================
Total return (b) (1.63)% 11.10% 19.88% 7.35% (5.16)%
Ratio of net expenses to average net assets 1.18% 1.13% 1.15% 1.18% 1.17%
Ratio of net investment income (loss) to average net assets 1.32% 0.62% 1.23% 1.11% 0.82%
Portfolio turnover rate 113% 112% 115% 129% 122%
Net assets, end of period (in thousands) $278,738 $297,450 $307,799 $316,382 $392,989
====================================================================================================================================
* 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 period 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.
The accompanying notes are an integral part of these financial statements.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 27
Financial Highlights (continued)
------------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
8/31/19 8/31/18 8/31/17 8/31/16* 8/31/15*
------------------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 15.85 $ 16.52 $ 13.91 $ 16.14 $ 20.73
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.09(a) $ (0.02)(a) $ 0.07(a) $ 0.05(a) $ 0.02
Net realized and unrealized gain (loss) on investments (0.56) 1.65 2.57 0.95 (0.99)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.47) $ 1.63 $ 2.64 $ 1.00 $ (0.97)
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ -- $ (0.03) $ (0.03) $ (0.03) $ (0.00)(b)
Net realized gain (2.09) (2.27) -- (3.20) (3.62)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (2.09) $ (2.30) $ (0.03) $ (3.23) $ (3.62)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (2.56) $ (0.67) $ 2.61 $ (2.23) $ (4.59)
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 13.29 $ 15.85 $ 16.52 $ 13.91 $ 16.14
====================================================================================================================================
Total return (c) (2.39)% 10.29% 18.98% 6.62% (5.86)%
Ratio of net expenses to average net assets 1.92% 1.84% 1.89% 1.90% 1.91%
Ratio of net investment income (loss) to average net assets 0.63% (0.10)% 0.48% 0.38% 0.08%
Portfolio turnover rate 113% 112% 115% 129% 122%
Net assets, end of period (in thousands) $24,941 $88,422 $103,022 $120,404 $162,238
====================================================================================================================================
* 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 period presented.
(b) Amount rounds to less than $0.01 or $(0.01) per share.
(c) 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.
The accompanying notes are an integral part of these financial statements.
28 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
------------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
8/31/19 8/31/18 8/31/17 8/31/16* 8/31/15*
------------------------------------------------------------------------------------------------------------------------------------
Class R
Net asset value, beginning of period $ 15.63 $ 16.33 $ 13.77 $ 16.03 $ 20.60
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.13(a) $ 0.06(a) $ 0.15(a) $ 0.12(a) $ 0.10
Net realized and unrealized gain (loss) on investments (0.55) 1.62 2.53 0.94 (0.96)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.42) $ 1.68 $ 2.68 $ 1.06 $ (0.86)
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.10) $ (0.11) $ (0.12) $ (0.12) $ (0.09)
Net realized gain (2.09) (2.27) -- (3.20) (3.62)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (2.19) $ (2.38) $ (0.12) $ (3.32) $ (3.71)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (2.61) $ (0.70) $ 2.56 $ (2.26) $ (4.57)
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 13.02 $ 15.63 $ 16.33 $ 13.77 $ 16.03
====================================================================================================================================
Total return (b) (1.94)% 10.77% 19.53% 7.13% (5.32)%
Ratio of net expenses to average net assets 1.53% 1.40% 1.40% 1.40% 1.40%
Ratio of net investment income (loss) to average net assets 0.96% 0.35% 0.97% 0.89% 0.59%
Portfolio turnover rate 113% 112% 115% 129% 122%
Net assets, end of period (in thousands) $10,494 $11,275 $11,860 $12,888 $15,505
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 1.59% 1.52% 1.54% 1.58% 1.53%
Net investment income (loss) to average net assets 0.90% 0.23% 0.84% 0.71% 0.46%
====================================================================================================================================
* 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 period 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.
The accompanying notes are an integral part of these financial statements.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 29
Financial Highlights (continued)
------------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
8/31/19 8/31/18 8/31/17 8/31/16* 8/31/15*
------------------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 16.30 $ 16.93 $ 14.27 $ 16.49 $ 21.09
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.22(a) $ 0.15(a) $ 0.24(a) $ 0.21(a) $ 0.24
Net realized and unrealized gain (loss) on investments (0.58) 1.70 2.62 0.98 (1.03)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ (0.36) $ 1.85 $ 2.86 $ 1.19 $ (0.79)
------------------------------------------------------------------------------------------------------------------------------------
Distributions to shareowners:
Net investment income $ (0.17) $ (0.21) $ (0.20) $ (0.21) $ (0.19)
Net realized gain (2.09) (2.27) -- (3.20) (3.62)
------------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (2.26) $ (2.48) $ (0.20) $ (3.41) $ (3.81)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (2.62) $ (0.63) $ 2.66 $ (2.22) $ (4.60)
------------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 13.68 $ 16.30 $ 16.93 $ 14.27 $ 16.49
====================================================================================================================================
Total return (b) (1.33)% 11.42% 20.20% 7.80% (4.85)%
Ratio of net expenses to average net assets 0.88% 0.83% 0.84% 0.84% 0.85%
Ratio of net investment income (loss) to average net assets 1.62% 0.90% 1.54% 1.45% 1.12%
Portfolio turnover rate 113% 112% 115% 129% 122%
Net assets, end of period (in thousands) $87,434 $116,296 $148,541 $109,037 $161,238
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 0.90% 0.83% 0.84% 0.84% 0.85%
Net investment income (loss) to average net assets 1.60% 0.90% 1.54% 1.45% 1.12%
====================================================================================================================================
* 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 period 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.
The accompanying notes are an integral part of these financial statements.
30 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Notes to Financial Statements | 8/31/19
1. Organization and Significant Accounting Policies
Pioneer Disciplined Value Fund (the "Fund") is a series of Pioneer Series Trust
III, a Delaware statutory trust. The Fund is registered under the Investment
Company Act of 1940 as a diversified, open-end management investment company.
The Fund's investment objective is to seek long-term capital growth.
The Fund offers five classes of shares designated as Class A, Class C, Class K,
Class R and Class Y shares. Class K shares had not commenced operations as of
August 31, 2019. 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 shareowner approval. Under per-share voting,
each share of a class of the Fund is entitled to one vote. Under
dollar-weighted voting, a shareowner'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.
Amundi Pioneer Asset Management, Inc., an indirect, wholly owned subsidiary of
Amundi and Amundi's wholly owned subsidiary, Amundi USA, Inc., serves as the
Fund's investment adviser (the "Adviser"). Amundi Pioneer Distributor, Inc., an
affiliate of Amundi Pioneer Asset Management, Inc., serves as the Fund's
distributor (the "Distributor").
In August 2018, the Securities and Exchange Commission ("SEC") released a
Disclosure Update and Simplification Final Rule. The Final Rule amends
Regulation S-X disclosures requirements to conform them to U.S. Generally
Accepted Accounting Principles ("U.S. GAAP") for investment companies. The
Fund's financial statements were prepared in compliance with the new amendments
to Regulation S-X.
The Fund is an investment company and follows investment company accounting and
reporting guidance under U.S. GAAP. U.S. GAAP requires the management of the
Fund to make estimates and assumptions that affect the reported amounts of
assets and liabilities, the disclosure of contingent assets
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 31
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 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.
Fixed-income securities are valued by using prices supplied by independent
pricing services, which consider such factors as market prices, market
events, quotations from one or more brokers, Treasury spreads, yields,
maturities and ratings, or may use a pricing matrix or other fair value
methods or techniques to provide an estimated value of the security or
instrument. A pricing matrix is a means of valuing a debt security on the
basis of current market prices for other debt securities, historical
trading patterns in the market for fixed-income securities and/or other
factors. Non-U.S. debt securities that are listed on an exchange will be
valued at the bid price obtained from an independent third party pricing
service. When independent third party pricing services are unable to
supply prices, or when prices or market quotations are considered to be
unreliable, the value of that security may be determined using quotations
from one or more broker-dealers.
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.
32 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
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 August 31, 2019, 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.
C. 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 August 31, 2019, 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.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 33
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.
The tax character of distributions paid during the years ended August 31,
2019 and August 31, 2018, were as follows:
--------------------------------------------------------------------------
2019 2018
--------------------------------------------------------------------------
Distributions paid from:
Ordinary income $23,833,600 $21,696,742
Long-term capital gain 44,363,616 58,043,215
--------------------------------------------------------------------------
Total $68,197,216 $79,739,957
==========================================================================
The following shows the components of distributable earnings (losses) on a
federal income tax-basis at August 31, 2019:
--------------------------------------------------------------------------
2019
--------------------------------------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 3,596,651
Current Year Late Year Loss (4,322,320)
Net unrealized appreciation 16,283,613
--------------------------------------------------------------------------
Total $15,557,944
==========================================================================
The difference between book-basis and tax-basis net unrealized
appreciation is attributable to the tax deferral of losses on wash sales
and REITs.
D. Fund Shares
The Fund records sales and repurchases of its shares as of trade date. The
Distributor earned $12,886 in underwriting commissions on the sale of
Class A shares during the year ended August 31, 2019.
E. 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, Class C and Class R shares of the Fund,
respectively (see Note 4). Class Y shares do not pay distribution fees.
All expenses and fees
34 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
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).
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, Class R and Class Y
shares can reflect different transfer agent and distribution expense
rates.
F. 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. A general rise in
interest rates could adversely affect the price and liquidity of
fixed-income securities and could also result in increased redemptions
from the Fund.
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.
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 platforms and other
financial market participants over which neither the Fund nor Amundi
Pioneer exercises control. Each of these
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 35
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, redemptions or exchanges 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.
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.
2. Management Agreement
The Adviser manages the Fund's portfolio. Management fees are calculated daily
at the annual rate to 0.65% of the Fund's average daily net assets up to $1
billion, 0.60% of the next $2 billion of the Fund's average daily net assets,
0.55% of the next $4.5 billion of the Fund's average daily net assets and
0.525% of the Fund's average daily net assets over $7.5 billion. For the year
ended August 31, 2019, the effective management fee (excluding waivers and/or
assumption of expenses) was equivalent to 0.65% of the Fund's average daily net
assets.
Prior to January 1, 2019, the Adviser 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) of the Fund to the extent required to
reduce Fund expenses to 1.20%, 2.10%, 1.40% and 0.85% of the average daily net
assets attributable to Class A, Class C, Class R and Class Y shares,
respectively. These expense limitations are no longer in effect. Fees waived
and expenses reimbursed during the year ended August 31, 2019, are reflected on
the Statement of Operations.
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
$29,171 in management fees, administrative costs and certain other
reimbursements payable to the Adviser at August 31, 2019.
36 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
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 year
ended August 31, 2019, such out-of-pocket expenses by class of shares were as
follows:
--------------------------------------------------------------------------------
Shareowner Communications:
--------------------------------------------------------------------------------
Class A $62,045
Class C 12,002
Class R 2,466
Class Y 4,279
--------------------------------------------------------------------------------
Total $80,792
================================================================================
4. Distribution and Service Plans
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, Class C and
Class R 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.
Pursuant to the Plan, the Fund further pays the Distributor 0.50% of the
average daily net assets attributable to Class R shares for distribution
services. Included in "Due to affiliates" reflected on the Statement of Assets
and Liabilities is $17,262 in distribution fees payable to the Distributor at
August 31, 2019.
The Fund also has adopted a separate service plan for Class R shares (the
"Service Plan"). The Service Plan authorizes the Fund to pay securities
dealers, plan administrators or other service organizations that agree to
provide certain services to retirement plans or plan participants holding
shares of the Fund a service fee of up to 0.25% of the Fund's average daily net
assets attributable to Class R shares held by such plans.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 37
In addition, redemptions of Class A and Class C shares may be subject to a
contingent deferred sales charge ("CDSC"). A CDSC of 1.00% may be imposed on
redemptions of certain net asset value purchases of Class A shares within 12
months of purchase. Redemptions of Class C shares within 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 R or Class Y shares. Proceeds from the CDSCs are paid to the
Distributor. For the year ended August 31, 2019, CDSCs in the amount of $15,521
were paid to the Distributor.
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 credit
facility or the limits set for borrowing by the Fund's prospectus and the 1940
Act. Effective August 1, 2018, the Fund participates in a credit facility in
the amount of $250 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 Fund pays 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 year ended
August 31, 2019, the Fund had no borrowings under the credit facility.
38 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Report of Independent Registered Public Accounting Firm
To the Shareholders and Board of Trustees of
Pioneer Series Trust III:
--------------------------------------------------------------------------------
Opinion on the Financial Statements
We have audited the accompanying statement of assets and liabilities of Pioneer
Series Trust III (the "Trust") (comprising the Pioneer Disciplined Value Fund
(individually referred to as the "Fund")), including the schedule of
investments, as of August 31, 2019, and the related statement of operations for
the year then ended, the statements changes in net assets for each of the two
years in the period then ended and the financial highlights for each of the
three years in the period then ended (collectively referred to as the
"financial statements"). The financial highlights for the periods ended August
31, 2015 and August 31, 2016 were audited by another independent registered
public accounting firm whose report, dated October 24, 2016, expressed an
unqualified opinion on those financial highlights. In our opinion, the
financial statements present fairly, in all material respects, the financial
position of the Fund comprising Pioneer Series Trust XII at August 31, 2019,
the results of its operations for the year then ended, the changes in its net
assets for each of the two years in the period then ended, and the financial
highlights for each of the three years in the period then ended, in conformity
with U.S. generally accepted accounting principles.
Basis for Opinion
These financial statements are the responsibility of the Trust's management.
Our responsibility is to express an opinion on the Fund's financial statements
based on our audits. We are a public accounting firm registered with the Public
Company Accounting Oversight Board (United States) ("PCAOB") and are required
to be independent with respect to the Trust in accordance with the U.S. federal
securities laws and the applicable rules and regulations of the Securities and
Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those
standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement, whether due to error or fraud. The Trust is not required to have,
nor were we engaged to perform, an audit of the Trust's internal control over
financial reporting. As part of our audits, we are required to obtain an
understanding of internal control over financial reporting, but not for the
purpose of expressing an opinion on the effectiveness of the Trust's internal
control over financial reporting. Accordingly, we express no such opinion.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 39
Our audits included performing procedures to assess the risks of material
misstatement of the financial statements, whether due to error or fraud, and
performing procedures that respond to those risks. Such procedures included
examining, on a test basis, evidence regarding the amounts and disclosures in
the financial statements. Our procedures included confirmation of securities
owned as of August 31, 2019, by correspondence with the custodian and brokers.
Our audits also included evaluating the accounting principles used and
significant estimates made by management, as well as evaluating the overall
presentation of the financial statements. We believe that our audits provide a
reasonable basis for our opinion.
/s/ Ernst & Young LLP
We have served as the Trust's auditor since 2017.
Boston, Massachusetts
October 29, 2019
40 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Additional Information (unaudited)
For the year ended August 31, 2019, certain dividends paid by the Fund may be
subject to a maximum tax rate of 20%, as provided for by the Jobs and Growth
Tax Relief Reconciliation Act (the Act) of 2003. The Fund intends to designate
up to the maximum amount of such dividends allowable under the Act, as taxed at
a maximum rate of 20%. Complete information will be computed and reported in
conjunction with your 2019 form 1099-DIV.
The qualifying percentage of the Fund's ordinary income dividends for the
purpose of the corporate dividends received deduction was 43.41%
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 41
Trustees, Officers and Service Providers
Investment Adviser and Administrator
Amundi Pioneer Asset Management, Inc.
Custodian and Sub-Administrator
Brown Brothers Harriman & Co.
Independent Registered Public Accounting Firm
Ernst & Young LLP
Principal Underwriter
Amundi Pioneer Distributor, Inc.
Legal Counsel
Morgan, Lewis & Bockius LLP
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/us. This information is also available on
the Securities and Exchange Commission's web site at www.sec.gov.
Trustees and Officers
The Fund's Trustees and officers are listed below, together with their
principal occupations and other directorships they have held during at least
the past five years. Trustees who are interested persons of the Fund within the
meaning of the 1940 Act are referred to as Interested Trustees. Trustees who
are not interested persons of the Fund are referred to as Independent Trustees.
Each of the Trustees, except Mr. Bock and Ms. Durnin, serve as Trustees of each
of the 44 U.S. registered investment portfolios for which Amundi Pioneer serves
as investment adviser (the "Pioneer Funds"). Mr. Bock and Ms. Durnin serve as
a Trustee of 37 Pioneer Funds. The address for all Trustees and all officers of
the Fund is 60 State Street, Boston, Massachusetts 02109.
The Statement of Additional Information of the Fund includes additional
information about the Trustees and is available, without charge, upon request,
by calling 1-800-225-6292.
42 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Independent Trustees
Name, Age and Position Term of Office and Other Directorships
Held With the Fund Length of Service Principal Occupation Held by Trustee
------------------------------------------------------------------------------------------------------------------------------------
Thomas J. Perna (68) Trustee since 2006. Private investor (2004 - 2008 and Director, Broadridge
Chairman of the Board Serves until a successor 2013 - present); Chairman (2008 - 2013) Financial Solutions,
and Trustee trustee is elected or earlier and Chief Executive Officer (2008 - Inc. (investor
retirement or removal. 2012), Quadriserv, Inc. (technology communications and
products for securities lending industry); securities processing
and Senior Executive Vice President, The provider for financial
Bank of New York (financial and securities services industry)
services) (1986 - 2004) (2009 - present);
Director, Quadriserv,
Inc. (2005 - 2013);
and Commissioner, New
Jersey State Civil
Service Commission
(2011 - 2015)
------------------------------------------------------------------------------------------------------------------------------------
John E. Baumgardner, Trustee since 2019. Of Counsel (2019 - present), Partner Chairman, The Lakeville
Jr. (68) Serves until a successor (1983-2018), Sullivan & Cromwell LLP Journal Company, LLC,
Trustee trustee is elected or earlier (law firm). (privately-held community
retirement or removal. newspaper group)
(2015-present)
------------------------------------------------------------------------------------------------------------------------------------
David R. Bock (75) Trustee since 2005. Managing Partner, Federal City Capital Director of New York
Trustee Serves until a successor Advisors (corporate advisory services Mortgage Trust (publicly-
trustee is elected or earlier company) (1997 - 2004 and 2008 - present); traded mortgage REIT)
retirement or removal. Interim Chief Executive Officer, Oxford (2004 - 2009, 2012 -
Analytica, Inc. (privately held research present); Director of The
and consulting company) (2010); Executive Swiss Helvetia Fund, Inc.
Vice President and Chief Financial closed-end fund) (2010 -
Officer, I-trax, Inc. (publicly traded 2017); Director of Oxford
health care services company) (2004 - Analytica, Inc. (2008 -
2007); and Executive Vice President and 2015); and Director of
Chief Financial Officer, Pedestal Inc. Enterprise Community
(internet-based mortgage trading company) Investment, Inc.
(2000 - 2002); Private Consultant (1995 - (privately-held affordable
1997); Managing Director, Lehman Brothers housing finance company)
(1992 - 1995); and Executive, The World (1985 - 2010)
Bank (1979 - 1992)
------------------------------------------------------------------------------------------------------------------------------------
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 43
Independent Trustees (continued)
Name, Age and Position Term of Office and Other Directorships
Held With the Fund Length of Service Principal Occupation Held by Trustee
------------------------------------------------------------------------------------------------------------------------------------
Diane Durnin (62) Trustee since 2019. Managing Director - Head of Product None
Trustee Serves until a successor Strategy and Development, BNY Mellon
trustee is elected or earlier Investment Management (2012-2018); Vice
retirement or removal. Chairman - The Dreyfus Corporation
(2005 - 2018): Executive Vice President
Head of Product, BNY Mellon Investment
Management (2007-2012); Executive
Director- Product Strategy, Mellon Asset
Management (2005-2007); Executive Vice
President Head of Products, Marketing
and Client Service, Dreyfus Corporation
(2000-2005); and Senior Vice President
Strategic Product and Business Development,
Dreyfus Corporation (1994-2000)
------------------------------------------------------------------------------------------------------------------------------------
Benjamin M. Friedman (75) Trustee since 2008. William Joseph Maier Professor of Trustee, Mellon
Trustee Serves until a successor Political Economy, Harvard University Institutional Funds
trustee is elected or earlier (1972 - present) Investment Trust and
retirement or removal. Mellon Institutional
Funds Master Portfolio
(oversaw 17 portfolios in
fund complex) (1989 - 2008)
------------------------------------------------------------------------------------------------------------------------------------
Margaret B.W. Graham (72) Trustee since 2004. Founding Director, Vice-President and None
Trustee Serves until a successor Corporate Secretary, The Winthrop Group,
trustee is elected or earlier Inc. (consulting firm) (1982 - present);
retirement or removal. Desautels Faculty of Management, McGill
University (1999 - 2017); and Manager of
Research Operations and Organizational
Learning, Xerox PARC, Xerox's advance
research center (1990-1994)
------------------------------------------------------------------------------------------------------------------------------------
Lorraine H. Monchak (62) Trustee since 2017. Chief Investment Officer, 1199 SEIU Funds None
Trustee (Advisory Trustee from (healthcare workers union pension
2014 - 2017) Serves funds) (2001 - present); Vice President -
until a successor trustee International Investments Group, American
is elected or earlier International Group, Inc. (insurance
retirement or removal. company) (1993 - 2001); Vice President -
Corporate Finance and Treasury Group,
Citibank, N.A. (1980 - 1986 and 1990 -
1993); Vice President - Asset/Liability
Management Group, Federal Farm Funding
Corporation (government-sponsored issuer
of debt securities) (1988 - 1990);
Mortgage Strategies Group, Shearson Lehman
Hutton, Inc. (investment bank) (1987 -
1988); and Mortgage Strategies Group,
Drexel Burnham Lambert, Ltd. (investment
bank) (1986 - 1987)
------------------------------------------------------------------------------------------------------------------------------------
44 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Name, Age and Position Term of Office and Other Directorships
Held With the Fund Length of Service Principal Occupation Held by Trustee
------------------------------------------------------------------------------------------------------------------------------------
Marguerite A. Piret (71) Trustee since 2004. President and Chief Executive Officer, Director of New America
Trustee Serves until a successor Metric Financial Inc. (formerly known as High Income Fund, Inc.
trustee is elected or earlier Newbury Piret Company) (investment banking (closed-end investment
retirement or removal. firm) (1981 - present) company) (2004 - present);
and Member, Board of
Governors, Investment
Company Institute
(2000 - 2006)
------------------------------------------------------------------------------------------------------------------------------------
Fred J. Ricciardi (72) Trustee since 2014. Consultant (investment company services) None
Trustee Serves until a successor (2012 - present); Executive Vice President,
trustee is elected or earlier BNY Mellon (financial and investment
retirement or removal. company services) (1969 - 2012); Director,
BNY International Financing Corp.
(financial services) (2002 - 2012);
Director, Mellon Overseas Investment Corp.
(financial services) (2009 - 2012);
Director, Financial Models (technology)
(2005-2007); Director, BNY Hamilton Funds,
Ireland (offshore investment companies)
(2004-2007); Chairman/Director, AIB/BNY
Securities Services, Ltd., Ireland
(financial services) (1999-2006); and
Chairman, BNY Alternative Investment
Services, Inc. (financial services)
(2005-2007)
------------------------------------------------------------------------------------------------------------------------------------
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 45
Interested Trustees
Name, Age and Position Term of Office and Other Directorships
Held With the Fund Length of Service Principal Occupation Held by Trustee
------------------------------------------------------------------------------------------------------------------------------------
Lisa M. Jones (57)* Trustee since 2017. Director, CEO and President of Amundi None
Trustee, President and Serves until a successor Pioneer Asset Management USA, Inc. (since
Chief Executive Officer trustee is elected or earlier September 2014); Director, CEO and
retirement or removal President of Amundi Pioneer Asset
Management, Inc. (since September 2014);
Director, CEO and President of Amundi
Pioneer Distributor, Inc. (since September
2014); Director, CEO and President of
Amundi Pioneer Institutional Asset
Management, Inc. (since September 2014);
Chair, Amundi Pioneer Asset Management
USA, Inc., Amundi Pioneer Distributor,
Inc. and Amundi Pioneer Institutional
Asset Management, Inc. (September 2014 -
2018); Managing Director, Morgan Stanley
Investment Management (2010 - 2013);
Director of Institutional Business, CEO of
International, Eaton Vance Management
(2005 - 2010); and Director of Amundi USA,
Inc. (since 2017)
------------------------------------------------------------------------------------------------------------------------------------
Kenneth J. Taubes (61)* Trustee since 2014. Director and Executive Vice President None
Trustee Serves until a successor (since 2008) and Chief Investment Officer,
trustee is elected or earlier U.S. (since 2010) of Amundi Pioneer Asset
retirement or removal Management USA, Inc.; Director and
Executive Vice President and Chief
Investment Officer, U.S. of Amundi Pioneer
(since 2008); Executive Vice President and
Chief Investment Officer, U.S. of Amundi
Pioneer Institutional Asset Management,
Inc. (since 2009); Portfolio Manager of
Amundi Pioneer (since 1999); and Director
of Amundi USA, Inc. (since 2017)
------------------------------------------------------------------------------------------------------------------------------------
* Ms. Jones and Mr. Taubes are Interested Trustees because they are officers or
directors of the Fund's investment adviser and certain of its affiliates.
46 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
Fund Officers
Name, Age and Position Term of Office and Other Directorships
Held With the Fund Length of Service Principal Occupation Held by Officer
------------------------------------------------------------------------------------------------------------------------------------
Christopher J. Since 2004. Serves at the Vice President and Associate General None
Kelley (54) discretion of the Board Counsel of Amundi Pioneer since January
Secretary and 2008; Secretary and Chief Legal Officer of
Chief Legal Officer all of the Pioneer Funds since June 2010;
Assistant Secretary of all of the Pioneer
Funds from September 2003 to May 2010; and
Vice President and Senior Counsel of
Amundi Pioneer from July 2002 to
December 2007
------------------------------------------------------------------------------------------------------------------------------------
Carol B. Hannigan (58) Since 2010. Serves at the Fund Governance Director of Amundi Pioneer None
Assistant Secretary discretion of the Board since December 2006 and Assistant
Secretary of all the Pioneer Funds since
June 2010; Manager - Fund Governance of
Amundi Pioneer from December 2003 to
November 2006; and Senior Paralegal of
Amundi Pioneer from January 2000 to
November 2003
------------------------------------------------------------------------------------------------------------------------------------
Thomas Reyes (56) Since 2010. Serves at the Senior Counsel of Amundi Pioneer since May None
Assistant Secretary discretion of the Board 2013 and Assistant Secretary of all the
Pioneer Funds since June 2010; and Counsel
of Amundi Pioneer from June 2007 to
May 2013
------------------------------------------------------------------------------------------------------------------------------------
Mark E. Bradley (59) Since 2008. Serves at the Vice President - Fund Treasury of Amundi None
Treasurer and discretion of the Board Pioneer; Treasurer of all of the Pioneer
Chief Financial and Funds since March 2008; Deputy Treasurer
Accounting Officer of Amundi Pioneer from March 2004 to
February 2008; and Assistant Treasurer of
all of the Pioneer Funds from March 2004
to February 2008
------------------------------------------------------------------------------------------------------------------------------------
Luis I. Presutti (54) Since 2004. Serves at the Director - Fund Treasury of Amundi None
Assistant Treasurer discretion of the Board Pioneer; and Assistant Treasurer of all
of the Pioneer Funds
------------------------------------------------------------------------------------------------------------------------------------
Gary Sullivan (61) Since 2004. Serves at the Senior Manager - Fund Treasury of Amundi None
Assistant Treasurer discretion of the Board Pioneer; and Assistant Treasurer of all
of the Pioneer Funds
------------------------------------------------------------------------------------------------------------------------------------
David F. Johnson (39) Since 2009. Serves at the Senior Manager - Fund Treasury of Amundi None
Assistant Treasurer discretion of the Board Pioneer since November 2008; Assistant
Treasurer of all of the Pioneer Funds
since January 2009; and Client Service
Manager - Institutional Investor Services
at State Street Bank from March 2003 to
March 2007
------------------------------------------------------------------------------------------------------------------------------------
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 47
Fund Officers (continued)
Name, Age and Position Term of Office and Other Directorships
Held With the Fund Length of Service Principal Occupation Held by Officer
------------------------------------------------------------------------------------------------------------------------------------
John Malone (48) Since 2018. Serves at the Managing Director, Chief Compliance None
Chief Compliance Officer discretion of the Board Officer of Amundi Pioneer Asset Management;
Amundi Pioneer Institutional Asset
Management, Inc.; and the Pioneer Funds
since September 2018; and Chief Compliance
Officer of Amundi Pioneer Distributor, Inc.
since January 2014
------------------------------------------------------------------------------------------------------------------------------------
Kelly O'Donnell (48) Since 2006. Serves at the Vice President - Amundi Pioneer Asset None
Anti-Money discretion of the Board Management; and Anti-Money Laundering
Laundering Officer Officer of all the Pioneer Funds since 2006
------------------------------------------------------------------------------------------------------------------------------------
48 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
This page is for your notes.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 49
This page is for your notes.
50 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
This page is for your notes.
Pioneer Disciplined Value Fund | Annual Report | 8/31/19 51
This page is for your notes.
52 Pioneer Disciplined Value Fund | Annual Report | 8/31/19
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 219427
Kansas City, MO 64121-9427
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/us
This report must be preceded or accompanied by a prospectus.
The Fund files a complete schedule of portfolio holdings with the Securities
and Exchange Commission for the first and third quarters of each fiscal year as
an exhibit to its reports on Form N-PORT. Shareholders may view the filed Form
N-PORT by visiting the Commission's web site at https://www.sec.gov.
[LOGO] Amundi Pioneer
==============
ASSET MANAGEMENT
Amundi Pioneer Asset Management, Inc.
60 State Street
Boston, MA 02109
www.amundipioneer.com/us
Securities offered through Amundi Pioneer Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
[C] 2019 Amundi Pioneer Asset Management 19429-13-1019
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)).
Mr. David R. Bock, 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.
The audit fees for the Trust were $23,000
payable to Ernst & Young LLP for the year ended
August 31, 2019 and $23,000
for the year ended August 31, 2018.
(b) Disclose, under the caption AUDIT-RELATED FEES, the aggregate fees billed in
each of the last two fiscal years for assurance and related services by the
principal accountant that are reasonably related to the performance of the audit
of the registrant's financial statements and are not reported under
paragraph (a) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.
Audit-Related Fees
There were no audit-related services in 2019 or 2018.
(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.
The tax fees for the Trust were $8,028
payable to Ernst & Young LLP for the year ended
August 31, 2019 and $8,028
for the year ended August 31, 2018.
(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.
Pioneer Disciplined Value Fund:
Other Fees
There were no other fees in 2019 or 2018.
(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.
Non-Audit Services
Beginning with non-audit service contracts entered
into on or after May 6, 2003, the effective date of the
new SEC pre-approval rules, the Trust's audit
committee is required to pre-approve services to
affiliates defined by SEC rules to the extent that the
services are determined to have a direct impact on the
operations or financial reporting of the Trust. For the
years ended August 31 2019 and 2018, there were no
services provided to an affiliate that required the
Trust's audit committee pre-approval.
(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.
The aggregate non-audit fees for the Trust were $8,028
payable to Ernst & Young LLP for the year ended
August 31, 2019 and $8,028 for the year
ended August 31, 2018.
(h) Disclose whether the registrants audit committee of the board of trustees
has considered whether the provision of non-audit services that were rendered to
the registrants investment adviser (not including any subadviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the investment adviser that provides ongoing services to the
registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of
Rule 2-01 of Regulation S-X is compatible with maintaining the principal
accountant's independence.
The Fund's audit committee of the Board of Trustees
has considered whether the provision of non-audit
services that were rendered to the Affiliates (as
defined) that were not pre- approved pursuant to
paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is
compatible with maintaining the principal accountant's
independence.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
(a) If the registrant is a listed issuer as defined in Rule 10A-3
under the Exchange Act (17 CFR 240.10A-3), state whether
or not the registrant has a separately-designated standing
audit committee established in accordance with Section
3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)).
If the registrant has such a committee, however designated,
identify each committee member. If the entire board of directors
is acting as the registrant's audit committee as specified in
Section 3(a)(58)(B) of the Exchange Act (15 U.S.C. 78c(a)(58)(B)),
so state.
N/A
(b) If applicable, provide the disclosure required by Rule 10A-3(d)
under the Exchange Act (17 CFR 240.10A-3(d)) regarding an exemption
from the listing standards for audit committees.
N/A
ITEM 6. SCHEDULE OF INVESTMENTS.
File Schedule of Investments in securities of unaffiliated issuers
as of the close of the reporting period as set forth in 210.1212
of Regulation S-X [17 CFR 210.12-12], unless the schedule is
included as part of the report to shareholders filed under Item
1 of this Form.
Included in Item 1
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR
CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
A closed-end management investment company that is filing an annual report on
this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities.
Not applicable to open-end management investment companies.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
(a) If the registrant is a closed-end management investment company that
is filing an annual report on this Form N-CSR,provide the following
information:
(1) State the name, title, and length of service of the person or persons
employed by or associated with the registrant or an investment adviser
of the registrant who are primarily responsible for the day-to-day management
of the registrant's portfolio ("Portfolio Manager"). Also state each Portfolio
Manager's business experience during the past 5 years.
Not applicable to open-end management investment companies.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT
INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
(a) If the registrant is a closed-end management investment company,
in the following tabular format, provide the information specified in
paragraph (b) of this Item with respect to any purchase made by or on
behalf of the registrant or any affiliated purchaser, as defined in
Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of
shares or other units of any class of the registrant's equity securities
that is registered by the registrant pursuant to Section 12 of the
Exchange Act (15 U.S.C. 781).
Not applicable to open-end management investment companies.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Describe any material changes to the procedures by which shareholders
may recommend nominees to the registrant's board of directors, where
those changes were implemented after the registrant last provided
disclosure in response to the requirements of Item 407(c)(2)(iv) of
Regulation S-R(17 CFR 229.407)(as required by Item 22(b)(15))
of Schedule 14A (17 CFR 240.14a-101), or this Item.
There have been no material changes to the procedures by which the
shareholders may recommend nominees to the registrant's board of
directors since the registrant last provided disclosure in response
to the requirements of Item 407(c)(2)(iv) of Regulation S-R of Schedule 14(A)
in its definitive proxy statement, or this item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Disclose the conclusions of the registrant's principal executive and
principal financials officers, or persons performing similar functions,
regarding the effectiveness of the registrant's disclosure
controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR
270.30a-3(c))) as of a date within 90 days of the filing date of the report
that includes the disclosure required by this paragraph,
based on the evaluation of these controls and procedures required by Rule
30a-3(b) under the Act (17 CFR 270.30(a)-3(b) and Rules 13a-15(b) or 15d-15(b)
under the Exchange Act (17 CFR 240.13a-15(b) or 240.15d-15(b)).
The registrant's principal executive officer
and principal financial officer have
concluded that the registrant's disclosure
controls and procedures are effective based
on the evaluation of these controls and
procedures as of a date within 90 days of the
filing date of this report.
(b) Disclose any change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act (17CFR 270.30a-3(d)) that
occured during the second fiscal quarter of the period covered by this report
that has materially affected, or is reasonably likely to materially affect,
the registrant's internal control over financial reporting.
There were no significant changes in the
registrant's internal control over financial
reporting that occurred during the second
fiscal quarter of the period covered by this
report that have materially affected, or are
reasonably likely to materially affect, the
registrant's internal control over financial
reporting.
The registrant's principal executive officer and principal financial
officer, however, voluntarily are reporting the following information:
In August of 2006 the registrant's investment adviser
enhanced its internal procedures for reporting performance
information required to be included in prospectuses.
Those enhancements involved additional internal controls
over the appropriateness of performance data
generated for this purpose. Such enhancements were made
following an internal review which identified
prospectuses relating to certain classes of shares of
a limited number of registrants where, inadvertently,
performance information not reflecting the deduction of
applicable sales charges was included. Those prospectuses
were revised, and the revised prospectuses were distributed to
shareholders.
Item 12. 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 III
By (Signature and Title)* /s/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date November 1, 2019
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 November 1, 2019
By (Signature and Title)* /s/ Mark E. Bradley
Mark E. Bradley, Treasurer & Chief Accounting & Financial Officer
Date November 1, 2019
* Print the name and title of each signing officer under his or her signature.