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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-10395
Pioneer Series Trust VII
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Terrence J. Cullen, Pioneer Investment Management, Inc.,
60 State Street, Boston, MA 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: (617) 742-7825
Date of fiscal year end: October 31
Date of reporting period: November 1, 2015 through April 30, 2016
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 Global Multisector
Income Fund
--------------------------------------------------------------------------------
Semiannual Report | April 30, 2016
--------------------------------------------------------------------------------
Ticker Symbols:
Class A PGABX
Class C PGCBX
Class Y PGYBX
[LOGO] PIONEER
Investments(R)
visit us: us.pioneerinvestments.com
Table of Contents
President's Letter 2
Portfolio Management Discussion 4
Portfolio Summary 9
Prices and Distributions 10
Performance Update 11
Comparing Ongoing Fund Expenses 14
Schedule of Investments 16
Financial Statements 35
Notes to Financial Statements 42
Trustees, Officers and Service Providers 61
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 1
President's Letter
Dear Shareowner,
Global financial markets began 2016 on shaky footing, delivering the kind of
volatility that challenged investors in 2015. US equities fell by 10% through
the first six weeks of the year, only to recover the losses by the end of the
first quarter. Fixed-income markets were also acutely affected, with concerns
about falling oil prices and a weak global economy leading to a sell-off in
credit-sensitive sectors, especially high-yield bonds, as investors fled to the
perceived safety of government bonds. Like equities, credit markets recovered
much of their lost ground by the end of the first quarter.
Midway through the first quarter, market sentiment shifted, as expectations grew
that major central banks would extend their accommodative monetary policies in
the hopes of driving economic growth. The US Federal Reserve (the Fed) backed
off plans to raise interest rates four times in 2016, and the European Central
Bank announced a more comprehensive asset-purchasing program in the hopes of
encouraging lending, and boosting both inflation and economic growth. The Bank
of Japan also followed a monetary easing path, announcing negative interest
rates in January.
As 2016 moves along, we continue to see central bank policies as generally
supportive of the US economy - for which we maintain an expectation of modest
growth this year - against an overall global economic backdrop that remains
unsettled and points towards generally lower growth. Economies around the world
in both developed and emerging markets are experiencing deep structural changes.
Current challenges include incomplete debt deleveraging in both emerging and
developed markets, where debt levels continue to grow, the transition of many
emerging markets economies from export/investment-driven models to more domestic
demand-driven models, and aging populations, which are reducing productivity and
limiting economic growth potential (primarily in the developed markets but also
in emerging markets such as China). Geopolitical instability on many fronts, the
rising risk of policy mistakes, and market liquidity issues combine to increase
the possibility of sharp swings in asset values. Meanwhile, in the US, as always
in a presidential election year, the political rhetoric of 2016 has the
potential to impact domestic sectors such as health care.
Throughout Pioneer's history, we have believed in the importance of active
management. During periods of market volatility, we view the value of active
management as even more compelling. Our experienced and tenured investment teams
focus on identifying value across global markets using proprietary research,
careful risk management, and a long-term perspective. We believe our shareowners
can benefit from the experience and tenure of our investment teams as well as
the insights generated from our extensive research process.
2 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
As always, and particularly during times of market uncertainty, we encourage you
to work with your financial advisor to develop an overall investment plan that
addresses both your short- and long-term goals, and to implement such a plan in
a disciplined manner.
We greatly appreciate the trust you have placed in us and look forward to
continuing to serve you in the future.
Sincerely,
/s/ Lisa M. Jones
Lisa M. Jones
President and CEO
Pioneer Investment Management USA Inc.
April 30, 2016
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 Global Multisector Income Fund | Semiannual Report | 4/30/16 3
Portfolio Management Discussion | 4/30/16
US Treasuries rallied strongly during the six-month period ended April 30, 2016,
a period that featured contrasting trends and saw the prices of oil and other
commodities finally show strength after a prolonged slump, while the US dollar
weakened against some foreign currencies. In the following interview, Charles
Melchreit and Paresh Upadhyaya discuss the factors that affected the performance
of Pioneer Global Multisector Income Fund during the six-month period. Mr.
Melchreit, Director of Investment-Grade Management, a senior vice president and
a portfolio manager at Pioneer, and Mr. Upadhyaya, a senior vice president and
portfolio manager at Pioneer, are responsible for the day-to-day management of
the Fund, along with Kenneth J. Taubes, Executive Vice President, Chief
Investment Officer, US, and a portfolio manager at Pioneer, and Andrew Feltus,
Director of High Yield and Bank Loans, a senior vice president and a portfolio
manager at Pioneer.
Q How did the Fund perform during the six-month period ended April 30, 2016?
A Pioneer Global Multisector Income Fund's Class A shares returned 2.76% at
net asset value during the six-month period ended April 30, 2016, while the
Fund's benchmark, the Barclays Global Aggregate Bond Index (the Barclays
Index), returned 6.09%. During the same period, the average return of the
212 mutual funds in Lipper's Global Income Funds category was 3.37%, and
the average return of the 378 mutual funds in Morningstar's World Bond
Funds category was 4.04%.
Q What elements of the Fund's positioning had the biggest effects on
benchmark-relative returns during the six-month period ended April 30,
2016, both positively and negatively?
A The Fund's performance lagged that of the benchmark Barclays Index, largely
due to the portfolio's overweight to the US dollar (USD) as well as a
short-duration position relative to the benchmark, as the USD weakened and
interest rates declined during the six-month period. (Duration is a measure
of the sensitivity of the price, or the value of principal, of a fixed-
income investment to a change in interest rates, expressed as a number of
years.) Also undermining the Fund's benchmark-relative performance were the
portfolio's underweight positions in both Japanese bonds and the Japanese
yen, as yields fell further into negative territory and the yen
unexpectedly strengthened. Security selection in industrials was another
4 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
detractor from benchmark-relative results during the period, especially the
Fund's investments in securities of US energy, and mining and metals
companies.
At the start of the period, we anticipated that the US Federal Reserve (the
Fed) would tighten domestic monetary policy and raise short-term interest
rates several times. Based on that belief, we maintained an overweight to
the USD - which had benefited the Fund's performance in the prior two years
- and kept the portfolio's duration short relative to the Barclays Index's
duration. Both the currency positioning and the duration stance of the Fund
proved to be significant detractors from benchmark-relative returns,
however, as the Fed adopted a more dovish stance on interest rates in the
wake of its 0.25% hike in the Federal funds rate in December 2015. The
Fed's cautious tone caused investors to postpone their expectation of when
the next rate hike might occur, and so as market interest rates declined,
the USD weakened, shorter-duration portfolios lagged portfolios with longer
durations, and the Fund underperformed its benchmark over the six-month
period. In addition, as noted earlier, the prices of oil and other
commodities, which had been slumping almost constantly since the latter
part of 2014, began to rise in mid-February and continued to rally through
March and April. The new strength in commodity prices arose from investors'
increased confidence about the state of the global economy, and a belief
that the supply/demand imbalance in the oil market, in particular, was
beginning to correct.
The Fund's benchmark-relative performance received a boost during the
period from sector allocation, especially an overweighting of corporate
bonds in the industrial and financial sectors, including a small allocation
to European industrial bonds, which rallied as the European Central Bank
(ECB) extended its quantitative easing bond-buying program to include bonds
in that sector.
Q What were the principal factors affecting the Fund's yield, or dividend*,
during the six-month period ended April 30, 2016?
A The Fund's dividend declined during the six-month period due to the global
rally in bonds that accompanied falling market interest rates. As rates
declined, any newer investments in the portfolio were increasingly likely
to provide less current interest income than the older investments that
either reached maturity, or were sold.
* Dividends are not guaranteed.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 5
Q Did the Fund invest in any derivative securities during the six-month
period ended April 30, 2016? If so, did these investments affect the Fund's
relative performance?
A We did invest in some currency forward transactions during the period in an
attempt to hedge the effects of currency fluctuations on the relative value
of the USD. The derivative investments had a minor negative effect on
relative performance.
Q What is your investment outlook, and how has the outlook influenced your
strategy?
A We think the capital markets have become a little too complacent about the
cautiousness of the Fed. While the markets seem to have priced securities
on the expectation that the Fed will not raise the Federal funds rate in
2016, we think it is more likely that the Fed will increase rates at least
once and perhaps even twice before the end of this year. Given that view,
we plan to keep the portfolio's duration short relative to the Barclays
Index to protect the value of principal against rising rates. Meanwhile, we
have reduced the Fund's exposure to the USD, but the portfolio remains
overweight.
We are becoming more positive about the potential opportunities in emerging
markets sovereign debt, as we think markets, in general, are overly
pessimistic about the global economic outlook. We also believe the major
central banks around the world are likely to continue easing monetary
policy, which can encourage growth and put less pressure on the emerging
markets. In addition, political changes in Argentina and Brazil appear to
have dramatically boosted investors' confidence that deep structural issues
in those countries will be addressed.
Economic growth trends in China remain a concern, however, although we
believe the central government there is likely to become more accommodative
as it attempts to encourage growth, even despite continued worries about
private debt. We believe China still has the ability to contain its
problems, though, and could even ease monetary policy to stimulate more
growth.
6 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Please refer to the Schedule of Investments on pages 16-34 for a full listing of
Fund securities.
All investments are subject to risk, including the possible loss of principal.
In the past several years, financial markets have experienced increased
volatility, depressed valuations, decreased liquidity and heightened
uncertainty. These conditions may continue, recur, worsen or spread.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, and economic and political
conditions.
When interest rates rise, the prices of fixed income securities in the Fund will
generally fall. Conversely, when interest rates fall, the prices of fixed income
securities in the Fund will generally rise.
Investments in the Fund are subject to possible loss due to the financial
failure of issuers of underlying securities and their inability to meet their
debt obligations.
Investments in high-yield or lower rated securities are subject to
greater-than-average price volatility, illiquidity and possibility of default.
Prepayment risk is the chance that an issuer may exercise its right to prepay
its security, if falling interest rates prompt the issuer to do so. Forced to
reinvest the unanticipated proceeds at lower interest rates, the fund would
experience a decline in income and lose the opportunity for additional price
appreciation.
The Fund may invest in mortgage-backed securities, which during times of fluctu-
ating interest rates may increase or decrease more than other fixed-income
securities. Mortgage-backed securities are also subject to pre-payments.
The securities issued by U.S. Government-sponsored entities (e.g., FNMA, Freddie
Mac) are neither guaranteed nor issued by the U.S. Government.
Floating rate loans and similar instruments may be illiquid or less liquid than
other instruments, and the value of any collateral can decline or be
insufficient to meet the issuer's obligations.
The value of municipal securities can be adversely affected by changes in
financial condition of municipal issuers, lower revenues, and regulatory and
political developments.
The Fund is subject to currency risk, meaning that the Fund could experience
losses based on changes in the exchange rate between non-U.S. currencies and the
U.S. dollar.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 7
The Fund may use derivatives, such as options, futures, inverse floating rate
obligations, swaps, and others, which can be illiquid, may disproportionately
increase losses, and have a potentially large impact on Fund performance.
Derivatives may have a leveraging effect on the Fund.
These risks may increase share price volatility.
Before investing, consider the product's investment objectives, risks, charges
and expenses. Contact your advisor or Pioneer Investments for a prospectus or
summary prospectus containing this information. Read it carefully.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of opinion as of the date of this report. Past performance is no
guarantee of future results.
8 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Portfolio Summary | 4/30/16
Portfolio Diversification*
--------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Foreign Government Bonds 42.1%
U.S. Corporate Bonds 18.8%
International Corporate Bonds 15.3%
U.S. Government Securities 13.0%
Collateralized Mortgage Obligations 6.1%
Municipal Bonds 1.6%
Asset Backed Securities 1.1%
Senior Secured Loans 0.9%
U.S. Preferred Stocks 0.6%
Convertible Preferred Stocks 0.3%
Convertible Corporate Bonds 0.2%
* Includes investment in Insurance Linked Securities totaling 0.5% of total
investment portfolio.
Geographical Distribution
--------------------------------------------------------------------------------
(As a percentage of long-term holdings based on country of domicile)
[THE FOLLOWING DATA WAS REPRESENTED AS A LINE CHART IN THE PRINTED MATERIAL]
United States 41.8%
New Zealand 6.2%
Canada 5.5%
Mexico 5.3%
Germany 5.2%
United Kingdom 5.1%
Australia 2.9%
Argentina 2.8%
Norway 2.1%
Italy 1.7%
Cote D'Ivoire 1.3%
Japan 1.3%
Nigeria 1.2%
Brazil 1.1%
Cayman Islands 1.1%
Sweden 1.1%
Other (individually less than 1%) 14.3%
10 Largest Holdings
--------------------------------------------------------------------------------
(As a percentage of total long-term holdings)**
1. Bundesrepublik Deutschland, 1.0%, 8/15/25 5.11%
--------------------------------------------------------------------------------
2. New Zealand Government Bond, 5.5%, 4/15/23 3.67
--------------------------------------------------------------------------------
3. United Kingdom Gilt, 1.75%, 7/22/19 2.66
--------------------------------------------------------------------------------
4. New Zealand Government Bond, 4.5%, 4/15/27 2.57
--------------------------------------------------------------------------------
5. Canadian Government Bond, 2.25%, 6/1/25 2.26
--------------------------------------------------------------------------------
6. Canadian Government Bond, 1.75%, 9/1/19 2.03
--------------------------------------------------------------------------------
7. Australia Government Bond, 3.25%, 4/21/25 1.50
--------------------------------------------------------------------------------
8. U.S. Treasury Inflation Indexed Bonds, 0.75%, 2/15/45 1.42
--------------------------------------------------------------------------------
9. Norway Government Bond, 4.5%, 5/22/19 1.32
--------------------------------------------------------------------------------
10. International Bank for Reconstruction & Development, 3.5%, 1/22/21 1.27
--------------------------------------------------------------------------------
** This list excludes temporary cash investments and derivative instruments.
The portfolio is actively managed and current holdings may be different.
The holdings listed should not be considered recommendations to buy or sell
any security listed.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 9
Prices and Distributions | 4/30/16
Net Asset Value per Share
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Class 4/30/16 10/31/15
--------------------------------------------------------------------------------
A $10.47 $10.40
--------------------------------------------------------------------------------
C $10.50 $10.43
--------------------------------------------------------------------------------
Y $10.57 $10.50
--------------------------------------------------------------------------------
Distributions per Share: 11/1/15-4/30/16
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Net Investment Short-Term Long-Term
Class Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
A $0.2101 $ -- $ --
--------------------------------------------------------------------------------
C $0.1644 $ -- $ --
--------------------------------------------------------------------------------
Y $0.2245 $ -- $ --
--------------------------------------------------------------------------------
Index Definitions
--------------------------------------------------------------------------------
The Barclays Global Aggregate Bond Index is an unmanaged index that provides a
broad-based measure of the global investment-grade fixed-income markets. Index
returns are calculated monthly, assume reinvestment of dividends and, unlike
Fund returns, do not reflect any fees, expenses or sales charges. It is not
possible to invest directly in an index.
The index defined here pertains to the "Value of $10,000 Investment" and "Value
of $5 Million Investment" charts appearing on pages 11-13.
10 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Performance Update | 4/30/16 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 Global Multisector Income Fund at
public offering price during the periods shown, compared to that of the Barclays
Global Aggregate Bond Index.
Average Annual Total Returns
(As of April 30, 2016)
--------------------------------------------------------------------------------
Barclays
Net Public Global
Asset Offering Aggregate
Value Price Bond
Period (NAV) (POP) Index
--------------------------------------------------------------------------------
Life of Class
(12/27/2007) 4.23% 3.66% 3.45%
5 years 2.23 1.30 1.46
1 year 1.01 -3.57 4.84
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated March 1, 2016)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
2.67% 1.00%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Global Barclays Global
Multisector Income Fund Aggregate Bond Index
12/07 $ 9,550 $ 10,000
4/08 $ 9,982 $ 10,460
4/09 $ 9,646 $ 10,229
4/10 $ 11,020 $ 11,176
4/11 $ 12,140 $ 12,345
4/12 $ 12,509 $ 12,752
4/13 $ 13,281 $ 12,937
4/14 $ 13,162 $ 13,147
4/15 $ 13,421 $ 12,657
4/16 $ 13,556 $ 13,270
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
NAV results represent the percent change in net asset value per share. Returns
would have been lower had sales charges been reflected. POP returns reflect
deduction of maximum 4.50% sales charge. All results are historical and assume
the reinvestment of dividends and capital gains. Other share classes are
available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through March 1, 2017, for Class A shares. There can be no assurance that
Pioneer will extend the expense limitation beyond such time. Please see the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 11
Performance Update | 4/30/16 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 Global Multisector Income Fund
during the periods shown, compared to that of the Barclays Global Aggregate Bond
Index.
Average Annual Total Returns
(As of April 30, 2016)
--------------------------------------------------------------------------------
Barclays
Global
Aggregate
If If Bond
Period Held Redeemed Index
--------------------------------------------------------------------------------
Life of Class
(12/27/2007) 3.35% 3.35% 3.45%
5 years 1.35 1.35 1.46
1 year 0.11 0.11 4.84
-------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated March 1, 2016)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
2.56% 1.90%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Global Barclays Global
Multisector Income Fund Aggregate Bond Index
12/07 $ 10,000 $ 10,000
4/08 $ 10,429 $ 10,460
4/09 $ 9,976 $ 10,229
4/10 $ 11,309 $ 11,176
4/11 $ 12,370 $ 12,345
4/12 $ 12,640 $ 12,752
4/13 $ 13,301 $ 12,937
4/14 $ 13,088 $ 13,147
4/15 $ 13,214 $ 12,657
4/16 $ 13,229 $ 13,270
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). "If Held" results represent the percent change in
net asset value per share. Returns would have been lower had sales charges been
reflected. All results are historical and assume the reinvestment of dividends
and capital gains. Other share classes are available for which performance and
expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through March 1, 2017, for Class C shares. There can be no assurance that
Pioneer will extend the expense limitation beyond such time. Please see the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
12 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Performance Update | 4/30/16 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 Global Multisector Income Fund
during the periods shown, compared to that of the Barclays Global Aggregate Bond
Index.
Average Annual Total Returns
(As of April 30, 2016)
--------------------------------------------------------------------------------
Barclays
Net Global
Asset Aggregate
Value Bond
Period (NAV) Index
--------------------------------------------------------------------------------
Life of Class
(12/27/2007) 4.48% 3.45%
5 years 2.56 1.46
1 year 1.29 4.84
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated March 1, 2016)
--------------------------------------------------------------------------------
Gross Net
--------------------------------------------------------------------------------
1.39% 0.75%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Global Barclays Global
Multisector Income Fund Aggregate Bond Index
12/07 $ 5,000,000 $ 5,000,000
4/08 $ 5,227,750 $ 5,229,772
4/09 $ 5,054,129 $ 5,114,537
4/10 $ 5,790,645 $ 5,588,203
4/11 $ 6,382,956 $ 6,172,351
4/12 $ 6,610,228 $ 6,375,830
4/13 $ 7,031,849 $ 6,468,690
4/14 $ 6,994,963 $ 6,573,437
4/15 $ 7,150,790 $ 6,328,422
4/16 $ 7,242,780 $ 6,634,971
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class Y shares are not subject to sales charges and are available for limited
groups of eligible investors, including institutional investors. All results are
historical and assume the reinvestment of dividends and capital gains. Other
share classes are available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The net expense ratio reflects the contractual expense limitation currently in
effect through March 1, 2017, for Class Y shares. There can be no assurance that
Pioneer will extend the expense limitation beyond such time. Please see the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 13
Comparing Ongoing Fund Expenses
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value (divided by) $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period"
to estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Global Multisector Income Fund
Based on actual returns from November 1, 2015, through April 30, 2016.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account Value on 11/1/15 $1,000.00 $1,000.00 $1,000.00
--------------------------------------------------------------------------------
Ending Account Value (after expenses)
on 4/30/16 $1,027.60 $1,023.00 $1,028.70
--------------------------------------------------------------------------------
Expenses Paid During Period* $ 5.04 $ 9.25 $ 3.78
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.00%,
1.84%, and 0.75% for Class A, Class C and Class Y shares, respectively,
multiplied by the average account value over the period, multiplied by
182/366 (to reflect the one-half year period).
14 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
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 Global Multisector Income Fund
Based on a hypothetical 5% return per year before expenses, reflecting the
period from November 1, 2015, through April 30, 2016.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account Value on 11/1/15 $1,000.00 $1,000.00 $1,000.00
--------------------------------------------------------------------------------
Ending Account Value (after expenses)
on 4/30/16 $1,019.89 $1,015.71 $1,021.13
--------------------------------------------------------------------------------
Expenses Paid During Period* $ 5.02 $ 9.22 $ 3.71
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.00%,
1.84%, and 0.75% for Class A, Class C and Class Y shares, respectively,
multiplied by the average account value over the period, multiplied by
182/366 (to reflect the one-half year period).
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 15
Schedule of Investments | 4/30/16 (unaudited)
<cAPTION>
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
CONVERTIBLE CORPORATE BONDS -- 0.3%
CAPITAL GOODS -- 0.1%
Electrical Components & Equipment -- 0.1%
56,000 General Cable Corp., 4.5%, 11/15/29 (Step) $ 37,030
--------------
Total Capital Goods $ 37,030
------------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 0.2%
Homebuilding -- 0.2%
50,000 KB Home, 1.375%, 2/1/19 $ 47,969
--------------
Total Consumer Durables & Apparel $ 47,969
------------------------------------------------------------------------------------------------------
TOTAL CONVERTIBLE CORPORATE BONDS
(Cost $105,611) $ 84,999
PREFERRED STOCKS -- 0.1%
BANKS -- 0.0%+
Diversified Banks -- 0.0%+
724 6.99 Citigroup Capital XIII, Floating Rate Note, 10/30/40 $ 18,933
--------------
Total Banks $ 18,933
------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.1%
Consumer Finance -- 0.1%
850 6.40 GMAC Capital Trust I, Floating Rate Note, 2/15/40 $ 21,310
--------------
Total Diversified Financials $ 21,310
------------------------------------------------------------------------------------------------------
TOTAL PREFERRED STOCKS
(Cost $34,928) $ 40,243
------------------------------------------------------------------------------------------------------
CONVERTIBLE PREFERRED STOCK -- 0.4%
BANKS -- 0.4%
Diversified Banks -- 0.4%
80 Wells Fargo & Co., 7.5% (Perpetual) $ 99,680
------------------------------------------------------------------------------------------------------
TOTAL CONVERTIBLE PREFERRED STOCKS
(Cost $83,502) $ 99,680
------------------------------------------------------------------------------------------------------
ASSET BACKED SECURITIES -- 1.2%
FOOD & STAPLES RETAILING -- 0.2%
Food Retail -- 0.2%
47,750 CKE Restaurant Holdings, Inc., 4.474%,
3/20/43 (144A) $ 47,776
--------------
Total Food & Staples Retailing $ 47,776
------------------------------------------------------------------------------------------------------
BANKS -- 0.7%
Thrifts & Mortgage Finance -- 0.7%
53,012 Bear Stearns Asset Backed Securities Trust,
8.41%, 10/25/29 (Step) $ 53,547
24,280 5.07 Countrywide Asset-Backed Certificates, Floating
Rate Note, 12/25/35 24,592
1,480 Irwin Home Equity Loan Trust 2005-1, 5.82%,
6/25/35 (Step) 1,470
The accompanying notes are an integral part of these financial statements.
16 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
44,013 5.50 Mastr Specialized Loan Trust, Floating Rate
Note, 10/25/34 $ 46,109
9,559 1.14 New Century Home Equity Loan Trust 2005-1,
Floating Rate Note, 3/25/35 9,494
13,103 0.86 SMART ABS Series 2015-1US Trust, Floating Rate
Note, 8/14/17 13,105
928 Structured Asset Securities Corp., 4.77%,
10/25/34 (Step) 953
45,353 Terwin Mortgage Trust Series TMTS 2005-16HE,
4.337571%, 9/25/36 (Step) 46,500
--------------
$ 195,770
--------------
Total Banks $ 195,770
------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.3%
Specialized Finance -- 0.2%
59,013 Domino's Pizza Master Issuer LLC, 5.216%,
1/27/42 (144A) $ 60,801
------------------------------------------------------------------------------------------------------
Consumer Finance -- 0.1%
25,000 First Investors Auto Owner Trust 2013-1,
2.02%, 1/15/19 (144A) $ 24,898
--------------
Total Diversified Financials $ 85,699
------------------------------------------------------------------------------------------------------
TOTAL ASSET BACKED SECURITIES
(Cost $311,627) $ 329,245
------------------------------------------------------------------------------------------------------
COLLATERALIZED MORTGAGE
OBLIGATIONS -- 6.2%
BANKS -- 5.0%
Thrifts & Mortgage Finance -- 5.0%
79,705 3.50 Agate Bay Mortgage Trust 2015-1, Floating Rate
Note, 1/25/45 (144A) $ 80,974
54,408 3.50 Agate Bay Mortgage Trust 2015-5, Floating Rate
Note, 7/25/45 (144A) 55,556
4,024 0.89 Alternative Loan Trust 2003-14T1, Floating Rate
Note, 8/25/18 3,553
620 0.89 Banc of America Alternative Loan Trust 2003-10,
Floating Rate Note, 12/25/33 618
7,749 Banc of America Alternative Loan Trust 2004-6,
5.0%, 7/25/19 7,861
7,616 Banc of America Mortgage Trust 2004-11,
5.75%, 1/25/35 7,726
7,960 Banc of America Mortgage Trust 2004-9,
5.5%, 11/25/34 8,098
6,128 2.87 CHL Mortgage Pass-Through Trust 2003-56,
Floating Rate Note, 12/25/33 6,140
100,000 4.65 City Center Trust 2011-CCHP, Floating Rate Note,
7/17/28 (144A) 100,140
100,000 COMM 2012-LC4 Mortgage Trust,
4.063%, 12/12/44 108,161
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 17
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- (continued)
50,000 COMM 2013-LC6 Mortgage Trust,
2.941%, 1/12/46 $ 51,861
50,000 4.55 COMM 2015-CCRE25 Mortgage Trust,
Floating Rate Note, 8/12/48 54,385
33,449 Credit Suisse Commercial Mortgage Trust
Series 2007-C1, 5.361%, 2/15/40 34,022
100,000 5.47 DBUBS 2011-LC3 Mortgage Trust, Floating
Rate Note, 8/12/44 (144A) 113,267
50,000 GS Mortgage Securities Corp. II, 3.377%, 5/10/45 52,889
25,000 GS Mortgage Securities Corp. II, 3.682%,
2/10/46 (144A) 25,992
29,721 GS Mortgage Securities Corp. II, 5.56%, 11/10/39 29,883
75,000 JP Morgan Chase Commercial Mortgage
Securities Corp., 2.84%, 12/17/47 77,220
35,000 JP Morgan Chase Commercial Mortgage
Securities Trust 2011-C5, 4.1712%, 8/17/46 38,173
100,000 1.35 JP Morgan Chase Commercial Mortgage Securities
Trust 2014-INN, Floating Rate Note, 6/15/29 (144A) 98,808
6,474 2.69 JP Morgan Mortgage Trust 2004-A1, Floating
Rate Note, 2/25/34 6,334
8,210 JP Morgan Mortgage Trust 2004-S1, 5.0%, 9/25/34 8,410
100,000 5.78 Merrill Lynch Mortgage Trust 2006-C2,
Floating Rate Note, 8/12/43 100,398
75,000 5.48 ML-CFC Commercial Mortgage Trust 2006-3,
Floating Rate Note, 7/12/46 73,055
90,453 Morgan Stanley Capital I Trust 2007-HQ13,
5.569%, 12/15/44 93,801
42,527 3.25 NRP Mortgage Trust 2013-1, Floating Rate
Note, 7/25/43 (144A) 42,410
GBP 53,443 0.99 Paragon Secured Finance No. 1 Plc, Floating
Rate Note, 11/15/35 74,890
26,272 RAAC Series 2004-SP2 Trust, 6.0%, 1/25/32 26,728
4,501 0.99 RALI Series 2002-QS16 Trust, Floating Rate
Note, 10/25/17 4,432
30,472 2.50 Sequoia Mortgage Trust 2013-4, Floating Rate
Note, 4/27/43 29,644
--------------
$ 1,415,429
--------------
Total Banks $ 1,415,429
------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.4%
Other Diversified Financial Services -- 0.4%
60,927 0.69 Crusade Global Trust No. 1 of 2007, Floating
Rate Note, 4/19/38 $ 60,256
53,044 0.68 Crusade Global Trust No. 2 of 2006, Floating Rate
Note, 11/15/37 52,940
--------------
$ 113,196
--------------
Total Diversified Financials $ 113,196
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
GOVERNMENT -- 0.8%
9,761 Federal National Mortgage Association REMICS,
4.5%, 6/25/29 $ 10,517
45,000 5.37 FREMF Mortgage Trust 2010-K9 REMICS, Floating
Rate Note, 9/25/45 (144A) 49,494
50,000 4.93 FREMF Mortgage Trust 2011-K702, Floating
Rate Note, 4/25/44 (144A) 51,978
50,000 5.05 FREMF Mortgage Trust 2011-K703, Floating
Rate Note, 7/25/44 (144A) 52,226
36,400 Government National Mortgage Association,
4.5%, 9/20/39 39,605
17,485 Government National Mortgage Association,
5.25%, 8/16/35 19,462
--------------
$ 223,282
--------------
Total Government $ 223,282
------------------------------------------------------------------------------------------------------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost $1,734,768) $ 1,751,907
------------------------------------------------------------------------------------------------------
CORPORATE BONDS -- 33.0%
ENERGY -- 5.5%
Oil & Gas Drilling -- 0.4%
25,000 Pride International, Inc., 6.875%, 8/15/20 $ 23,312
100,000 Rowan Companies, Inc., 4.75%, 1/15/24 79,258
--------------
$ 102,570
------------------------------------------------------------------------------------------------------
Oil & Gas Equipment & Services -- 0.2%
25,000 Weatherford International, Ltd., 5.95%, 4/15/42 $ 18,500
25,000 Weatherford International, Ltd., 9.625%, 3/1/19 26,250
--------------
$ 44,750
------------------------------------------------------------------------------------------------------
Integrated Oil & Gas -- 1.1%
120,000 Petrobras Global Finance BV, 5.375%, 1/27/21 $ 106,650
155,000 Petroleos Mexicanos, 3.5%, 1/30/23 143,956
55,000 YPF SA, 8.5%, 3/23/21 (144A) 57,475
--------------
$ 308,081
------------------------------------------------------------------------------------------------------
Oil & Gas Exploration & Production -- 1.1%
15,000 Carrizo Oil & Gas, Inc., 7.5%, 9/15/20 $ 15,075
35,000 Freeport-McMoran Oil & Gas LLC, 6.75%, 2/1/22 31,594
25,000 Newfield Exploration Co., 5.375%, 1/1/26 24,750
100,000 Range Resources Corp., 5.0%, 3/15/23 92,250
75,000 Whiting Petroleum Corp., 6.25%, 4/1/23 62,438
100,000 WPX Energy, Inc., 7.5%, 8/1/20 95,250
--------------
$ 321,357
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 19
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Oil & Gas Refining & Marketing -- 0.8%
53,000 EnLink Midstream Partners LP, 4.4%, 4/1/24 $ 45,930
184,211 6.26 EP PetroEcuador via Noble Sovereign Funding I,
Ltd., Floating Rate Note, 9/24/19 167,632
21,000 Valero Energy Corp., 9.375%, 3/15/19 24,986
--------------
$ 238,548
------------------------------------------------------------------------------------------------------
Oil & Gas Storage & Transportation -- 1.9%
25,000 Buckeye Partners LP, 5.85%, 11/15/43 $ 22,720
50,000 Crestwood Midstream Partners LP, 6.25%,
4/1/23 (144A) 45,625
25,000 DCP Midstream LLC, 9.75%, 3/15/19 (144A) 26,750
20,000 5.85 DCP Midstream LLC, Floating Rate Note,
5/21/43 (144A) 12,600
100,000 Kinder Morgan, Inc. Delaware, 5.55%, 6/1/45 93,168
25,000 Plains All American Pipeline LP, 4.65%, 10/15/25 23,833
25,000 Plains All American Pipeline LP, 6.125%, 1/15/17 25,791
10,000 Questar Pipeline Co., 5.83%, 2/1/18 10,686
25,000 Spectra Energy Capital LLC, 6.2%, 4/15/18 26,423
10,000 Spectra Energy Capital LLC, 6.75%, 7/15/18 10,584
60,000 Sunoco Logistics Partners Operations LP,
6.1%, 2/15/42 58,057
75,000 The Williams Companies, Inc., 5.75%, 6/24/44 58,500
13,000 The Williams Companies, Inc., 7.75%, 6/15/31 12,220
100,000 TransCanada PipeLines, Ltd., 1.875%, 1/12/18 100,086
--------------
$ 527,043
--------------
Total Energy $ 1,542,349
------------------------------------------------------------------------------------------------------
MATERIALS -- 2.3%
Commodity Chemicals -- 0.1%
25,000 Methanex Corp., 4.25%, 12/1/24 $ 21,465
------------------------------------------------------------------------------------------------------
Diversified Chemicals -- 0.5%
20,000 Eastman Chemical Co., 4.8%, 9/1/42 $ 19,457
EURO 100,000 Ineos Finance Plc, 4.0%, 5/1/23 (144A) 111,790
--------------
$ 131,247
------------------------------------------------------------------------------------------------------
Construction Materials -- 1.2%
150,000 Cemex SAB de CV, 5.875%, 3/25/19 (144A) $ 153,360
30,000 Holcim US Finance Sarl & Cie SCS, 6.0%,
12/30/19 (144A) 33,376
150,000 Union Andina de Cementos SAA, 5.875%,
10/30/21 (144A) 154,125
--------------
$ 340,861
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
20 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Paper Packaging -- 0.4%
EURO 100,000 SIG Combibloc Holdings SCA, 7.75%,
2/15/23 (144A) $ 122,812
------------------------------------------------------------------------------------------------------
Steel -- 0.1%
25,000 Glencore Funding LLC, 4.125%, 5/30/23 (144A) $ 22,485
--------------
Total Materials $ 638,870
------------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 1.4%
Aerospace & Defense -- 0.4%
EURO 100,000 TA MFG., Ltd., 3.625%, 4/15/23 $ 106,280
------------------------------------------------------------------------------------------------------
Building Products -- 0.6%
55,000 Masco Corp., 4.375%, 4/1/26 $ 56,650
25,000 Masco Corp., 5.95%, 3/15/22 28,031
30,000 Standard Industries, Inc., 5.375%, 11/15/24 (144A) 31,275
50,000 5.75 Stanley Black & Decker, Inc., Floating Rate
Note, 12/15/53 52,562
--------------
$ 168,518
------------------------------------------------------------------------------------------------------
Construction & Engineering -- 0.0%+
7,000 Valmont Industries, Inc., 6.625%, 4/20/20 $ 7,881
------------------------------------------------------------------------------------------------------
Construction & Farm Machinery &
Heavy Trucks -- 0.2%
60,000 Cummins, Inc., 5.65%, 3/1/98 $ 64,154
------------------------------------------------------------------------------------------------------
Trading Companies & Distributors -- 0.2%
40,000 GATX Corp., 6.0%, 2/15/18 $ 42,605
--------------
Total Capital Goods $ 389,438
------------------------------------------------------------------------------------------------------
TRANSPORTATION -- 1.7%
Airlines -- 0.9%
90,461 Air Canada 2013-1 Class A Pass Through Trust,
4.125%, 11/15/26 (144A) $ 92,723
8,735 Delta Air Lines 2010-2 Class A Pass Through
Trust, 4.95%, 5/23/19 9,209
64,766 United Airlines 2013-1 Class B Pass Through
Trust, 5.375%, 8/15/21 67,519
90,462 US Airways 2013-1 Class A Pass Through Trust,
3.95%, 5/15/27 93,176
--------------
$ 262,627
------------------------------------------------------------------------------------------------------
Marine -- 0.7%
200,000 Pelabuhan Indonesia II PT, 4.25%, 5/5/25 (144A) $ 194,250
------------------------------------------------------------------------------------------------------
Railroads -- 0.1%
25,000 Burlington Northern Santa Fe LLC, 5.75%, 3/15/18 $ 27,141
--------------
Total Transportation $ 484,018
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 21
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.4%
Casinos & Gaming -- 0.1%
25,000 International Game Technology, 7.5%, 6/15/19 $ 27,531
------------------------------------------------------------------------------------------------------
Education Services -- 0.3%
75,000 Tufts University, 5.017%, 4/15/12 $ 84,230
--------------
Total Consumer Services $ 111,761
------------------------------------------------------------------------------------------------------
MEDIA -- 0.1%
Cable & Satellite -- 0.1%
25,000 Sky Plc, 6.1%, 2/15/18 (144A) $ 26,895
--------------
Total Media $ 26,895
------------------------------------------------------------------------------------------------------
RETAILING -- 0.2%
Internet Retail -- 0.2%
50,000 Expedia, Inc., 5.95%, 8/15/20 $ 55,292
--------------
Total Retailing $ 55,292
------------------------------------------------------------------------------------------------------
FOOD & STAPLES RETAILING -- 0.0%+
Drug Retail -- 0.0%+
12,903 CVS Pass-Through Trust, 5.773%, 1/10/33 (144A) $ 14,179
--------------
Total Food & Staples Retailing $ 14,179
------------------------------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 2.1%
Brewers -- 0.1%
20,000 Anheuser-Busch InBev Worldwide, Inc.,
7.75%, 1/15/19 $ 23,290
------------------------------------------------------------------------------------------------------
Agricultural Products -- 0.2%
50,000 Viterra, Inc., 5.95%, 8/1/20 (144A) $ 50,157
------------------------------------------------------------------------------------------------------
Packaged Foods & Meats -- 1.8%
GBP 100,000 Boparan Finance Plc, 5.5%, 7/15/21 (144A) $ 137,315
EURO 100,000 Darling Global Finance BV, 4.75%, 5/30/22 (144A) 118,403
70,000 Kraft Heinz Foods Co., 3.5%, 6/6/22 74,274
150,000 Post Holdings, Inc., 7.375%, 2/15/22 158,062
15,000 Post Holdings, Inc., 8.0%, 7/15/25 (144A) 16,631
--------------
$ 504,685
--------------
Total Food, Beverage & Tobacco $ 578,132
------------------------------------------------------------------------------------------------------
HOUSEHOLD & PERSONAL PRODUCTS -- 0.1%
Health Care Facilities -- 0.1%
25,000 Centene Escrow Corp., 6.125%, 2/15/24 (144A) $ 26,375
--------------
Total Household & Personal Products $ 26,375
------------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.1%
Health Care Facilities -- 0.1%
30,000 Centene Escrow Corp., 5.625%, 2/15/21 (144A) $ 31,575
--------------
Total Health Care Equipment & Services $ 31,575
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
22 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
PHARMACEUTICALS, BIOTECHNOLOGY &
LIFE SCIENCES -- 0.4%
Pharmaceuticals -- 0.4%
21,000 DPx Holdings BV, 7.5%, 2/1/22 (144A) $ 21,262
EURO 100,000 Valeant Pharmaceuticals International, Inc.,
4.5%, 5/15/23 91,035
--------------
$ 112,297
--------------
Total Pharmaceuticals, Biotechnology &
Life Sciences $ 112,297
------------------------------------------------------------------------------------------------------
BANKS -- 6.1%
Diversified Banks -- 6.0%
200,000 9.25 Access Bank Plc, Floating Rate Note,
6/24/21 (144A) $ 164,712
EURO 50,000 AXA Bank Europe SCF, 3.5%, 11/5/20 66,250
125,000 6.50 Bank of America Corp., Floating Rate Note, 10/23/49 131,562
305,000 Banque Ouest Africaine de Developpement,
5.5%, 5/6/21 (144A) 305,366
75,000 5.90 Citigroup, Inc., Floating Rate Note (Perpetual) 74,812
15,000 5.95 Citigroup, Inc., Floating Rate Note (Perpetual) 14,812
75,000 Cooperatieve Rabobank UA, 3.875%, 2/8/22 80,739
INR 700,000 Inter-American Development Bank, 6.0%, 9/5/17 10,438
NZD 505,000 International Bank for Reconstruction &
Development, 3.5%, 1/22/21 359,781
NZD 45,000 International Bank for Reconstruction &
Development, 4.625%, 10/6/21 33,851
AUD 185,000 International Bank for Reconstruction &
Development, 5.75%, 10/21/19 156,062
100,000 Intesa Sanpaolo S.p.A., 6.5%, 2/24/21 (144A) 114,420
100,000 Macquarie Bank, Ltd., 6.625%, 4/7/21 (144A) 113,770
50,000 4.50 Scotiabank Peru SAA, Floating Rate Note,
12/13/27 (144A) 49,812
--------------
$ 1,676,387
------------------------------------------------------------------------------------------------------
Regional Banks -- 0.1%
35,000 6.75 The PNC Financial Services Group, Inc.,
Floating Rate Note (Perpetual) $ 38,719
--------------
Total Banks $ 1,715,106
------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 4.5%
Other Diversified Financial Services -- 1.0%
150,000 Argentine Republic Government International
Bond, 7.5%, 4/22/26 (144A) $ 152,250
25,000 Carlyle Holdings II Finance LLC, 5.625%,
3/30/43 (144A) 26,851
NZD 100,000 JPMorgan Chase & Co., 4.25%, 11/2/18 71,127
40,000 6.75 JPMorgan Chase & Co., Floating Rate Note, 8/29/49 44,254
--------------
$ 294,482
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 23
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Specialized Finance -- 0.8%
55,000 Aviation Capital Group Corp., 6.75%, 4/6/21 (144A) $ 62,356
100,000 BM&FBovespa SA - Bolsa de Valores Mercadorias
e Futuros, 5.5%, 7/16/20 (144A) 103,250
56,000 Cantor Fitzgerald LP, 7.875%, 10/15/19 (144A) 62,946
--------------
$ 228,552
------------------------------------------------------------------------------------------------------
Consumer Finance -- 1.8%
25,000 Ally Financial, Inc., 5.75%, 11/20/25 $ 25,312
INR 17,800,000 International Finance Corp., 6.3%, 11/25/24 261,159
INR 3,790,000 International Finance Corp., 7.75%, 12/3/16 57,211
INR 9,500,000 International Finance Corp., 8.25%, 6/10/21 152,865
--------------
$ 496,547
------------------------------------------------------------------------------------------------------
Asset Management & Custody Banks -- 0.4%
100,000 KKR Group Finance Co., II LLC, 5.5%, 2/1/43 (144A) $ 101,367
------------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 0.5%
10,000 Macquarie Group, Ltd., 6.0%, 1/14/20 (144A) $ 11,073
75,000 Morgan Stanley, 4.1%, 5/22/23 77,542
50,000 Morgan Stanley, 4.875%, 11/1/22 54,400
--------------
$ 143,015
--------------
Total Diversified Financials $ 1,263,963
------------------------------------------------------------------------------------------------------
INSURANCE -- 2.1%
Life & Health Insurance -- 0.6%
45,000 Protective Life Corp., 7.375%, 10/15/19 $ 52,031
100,000 5.88 Prudential Financial, Inc., Floating Rate Note, 9/15/42 108,075
--------------
$ 160,106
------------------------------------------------------------------------------------------------------
Multi-line Insurance -- 0.3%
60,000 AXA SA, 8.6%, 12/15/30 $ 80,417
------------------------------------------------------------------------------------------------------
Property & Casualty Insurance -- 0.6%
35,000 Delphi Financial Group, Inc., 7.875%, 1/31/20 $ 40,424
110,000 6.50 The Allstate Corp., Floating Rate Note, 5/15/57 118,800
--------------
$ 159,224
------------------------------------------------------------------------------------------------------
Reinsurance -- 0.6%
30,000 Gullane Segregated Account (Kane SAC Ltd.),
Variable Rate Note 11/30/20 (d)(e) $ 31,782
30,000 Lorenz Re, Ltd., Variable Rate Notes, 3/31/18 (d)(e) 2,100
30,000 Lorenz Re, Ltd., Variable Rate Notes, 3/31/19 (d)(e) 30,048
30,000 Pangaea Re, Series 2015-2, Principal at Risk
Notes, 11/30/19 (d)(e) 34,503
30,000 Pangaea Re, Variable Rate Notes, 2/1/20 (d)(e) 30,393
30,000 Pangaea Re, Variable Rate Notes, 7/1/18 (d)(e) 540
JPY 2,513,319 Tralee Segregated Account (Kane SAC Ltd.),
Variable Rate Note 7/15/17 (d)(e) 23,500
The accompanying notes are an integral part of these financial statements.
24 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Reinsurance -- (continued)
25,000 5.88 Wilton Re Finance LLC, Floating Rate Note,
3/30/33 (144A) $ 25,448
--------------
$ 178,314
--------------
Total Insurance $ 578,061
------------------------------------------------------------------------------------------------------
REAL ESTATE -- 0.4%
Office REIT -- 0.4%
40,000 Alexandria Real Estate Equities, Inc., 4.6%, 4/1/22 $ 42,982
35,000 Highwoods Realty LP, 3.625%, 1/15/23 34,949
50,000 Piedmont Operating Partnership LP, 3.4%, 6/1/23 48,262
--------------
$ 126,193
--------------
Total Real Estate $ 126,193
------------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 0.2%
Home Entertainment Software -- 0.2%
50,000 Activision Blizzard, Inc., 6.125%, 9/15/23 (144A) $ 54,438
--------------
Total Software & Services $ 54,438
------------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 0.6%
Computer Hardware Storage & Peripherals -- 0.3%
75,000 NCR Corp., 6.375%, 12/15/23 $ 78,000
------------------------------------------------------------------------------------------------------
Electronic Manufacturing Services -- 0.3%
100,000 Flextronics International, Ltd., 4.625%, 2/15/20 $ 104,387
--------------
Total Technology Hardware & Equipment $ 182,387
------------------------------------------------------------------------------------------------------
SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT -- 0.2%
Semiconductor Equipment -- 0.1%
25,000 Entegris, Inc., 6.0%, 4/1/22 (144A) $ 25,750
------------------------------------------------------------------------------------------------------
Semiconductors -- 0.1%
55,000 Micron Technology, Inc., 5.25%, 8/1/23 (144A) $ 44,441
--------------
Total Semiconductors & Semiconductor Equipment $ 70,191
------------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 1.4%
Integrated Telecommunication Services -- 1.0%
86,000 Frontier Communications Corp., 7.125%, 1/15/23 $ 76,110
19,000 Frontier Communications Corp., 8.5%, 4/15/20 20,092
50,000 GCI, Inc., 6.75%, 6/1/21 50,500
25,000 Unison Ground Lease Funding LLC, 2.981%,
3/16/43 (144A) 24,060
38,000 Verizon Communications, Inc., 5.012%, 8/21/54 39,028
65,000 Verizon Communications, Inc., 6.55%, 9/15/43 85,737
--------------
$ 295,527
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 25
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
Wireless Telecommunication Services -- 0.4%
30,000 Crown Castle Towers LLC, 4.883%, 8/15/20 (144A) $ 32,082
75,000 T-Mobile USA, Inc., 6.625%, 11/15/20 77,625
--------------
$ 109,707
--------------
Total Telecommunication Services $ 405,234
------------------------------------------------------------------------------------------------------
UTILITIES -- 3.2%
Electric Utilities -- 2.0%
100,000 Electricite de France SA, 6.0%, 1/22/14 (144A) $ 104,350
200,000 8.13 Enel S.p.A., Floating Rate Note, 9/24/73 (144A) 230,750
70,000 Public Service Co. of New Mexico, 7.95%, 5/15/18 78,021
50,000 6.25 Southern California Edison Co., Floating Rate
Note (Perpetual) 54,850
95,000 Talen Energy Supply LLC, 6.5%, 6/1/25 84,320
10,000 West Penn Power Co., 5.95%, 12/15/17 (144A) 10,632
--------------
$ 562,923
------------------------------------------------------------------------------------------------------
Gas Utilities -- 0.3%
87,598 Nakilat, Inc., 6.267%, 12/31/33 (144A) $ 98,986
------------------------------------------------------------------------------------------------------
Independent Power Producers & Energy
Traders -- 0.9%
200,000 Colbun SA, 4.5%, 7/10/24 (144A) $ 207,485
32,415 Panoche Energy Center LLC, 6.885%,
7/31/29 (144A) 34,189
--------------
$ 241,674
--------------
Total Utilities $ 903,583
------------------------------------------------------------------------------------------------------
TOTAL CORPORATE BONDS
(Cost $9,092,019) $ 9,310,337
------------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND AGENCY
OBLIGATIONS -- 13.2%
60,000 Fannie Mae, 3.0%, 5/18/16 (TBA) $ 62,671
126,666 Fannie Mae, 3.5%, 10/1/45 133,169
47,185 Fannie Mae, 3.5%, 2/1/29 49,911
91,427 Fannie Mae, 3.5%, 4/1/45 95,842
204,109 Fannie Mae, 3.5%, 5/1/44 213,966
57,211 Fannie Mae, 3.5%, 8/1/45 59,979
176,184 Fannie Mae, 3.5%, 9/1/42 185,405
168,426 Fannie Mae, 4.0%, 11/1/44 179,855
148,769 Fannie Mae, 4.5%, 11/1/44 161,892
24,607 Fannie Mae, 4.5%, 4/1/41 26,844
23,992 Fannie Mae, 5.0%, 6/1/40 26,602
192,833 Federal Home Loan Mortgage Corp., 3.5%, 11/1/45 202,614
167,038 Federal Home Loan Mortgage Corp., 3.5%, 12/1/44 175,120
175,777 Federal Home Loan Mortgage Corp., 4.0%, 1/1/44 187,839
19,841 Federal Home Loan Mortgage Corp., 4.0%, 12/1/44 21,222
The accompanying notes are an integral part of these financial statements.
26 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND AGENCY
OBLIGATIONS -- (continued)
312,109 Federal Home Loan Mortgage Corp., 4.0%, 5/1/44 $ 333,314
62,706 Federal Home Loan Mortgage Corp., 4.5%, 6/1/41 68,361
42,919 Federal Home Loan Mortgage Corp., 5.0%, 10/1/38 47,184
36,866 Federal Home Loan Mortgage Corp., 5.0%, 9/1/38 40,521
26,528 Federal Home Loan Mortgage Corp., 6.0%, 8/1/37 30,046
18,939 Federal Home Loan Mortgage Corp., 6.5%, 1/1/38 21,571
60,779 Federal Home Loan Mortgage Corp., 6.5%, 4/1/38 69,992
162,902 Government National Mortgage Association I,
3.5%, 1/15/45 172,158
42,180 Government National Mortgage Association I,
4.5%, 1/15/40 46,822
33,663 Government National Mortgage Association I,
4.5%, 7/15/41 36,887
37,185 Government National Mortgage Association I,
4.5%, 9/15/40 40,920
51,774 Government National Mortgage Association II,
4.5%, 9/20/41 56,322
60,000 U.S. Treasury Bonds, 4.5%, 2/15/36 81,626
60,000 U.S. Treasury Bonds, 4.5%, 8/15/39 81,577
412,837 U.S. Treasury Inflation Indexed Bonds,
0.75%, 2/15/45 401,291
185,130 U.S. Treasury Inflation Indexed Bonds, 1.0%, 2/15/46 193,894
200,000 0.42 U.S. Treasury Note, Floating Rate Note, 10/31/17 200,185
--------------
$ 3,705,602
------------------------------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT AND AGENCY
OBLIGATIONS
(Cost $3,546,784) $ 3,705,602
------------------------------------------------------------------------------------------------------
FOREIGN GOVERNMENT BONDS -- 43.8%
200,000 Africa Finance Corp., 4.375%, 4/29/20 (144A) $ 203,258
AUD 528,000 Australia Government Bond, 3.25%, 4/21/25 426,294
EURO 50,000 Austria Government Bond, 4.15%,
3/15/37 (144A) (144A) 87,784
200,000 Banque Cent de Tunisie, 5.75%, 1/30/25 (144A) 179,924
BRL 1,000,000 Brazil Letras do Tesouro Nacional, 1/1/19 (c) 212,334
200,000 Brazil Minas SPE via State of Minas Gerais,
5.333%, 2/15/28 (144A) 172,000
EURO 1,180,000 Bundesrepublik Deutschland, 1.0%, 8/15/25 1,448,036
CAD 700,000 Canadian Government Bond, 1.75%, 9/1/19 576,749
CAD 750,000 Canadian Government Bond, 2.25%, 6/1/25 640,263
CNY 500,000 China Government Bond, 3.0%, 11/21/19 75,492
CNY 500,000 China Government Bond, 3.38%, 11/21/24 75,354
200,000 Ecuador Government International Bond,
10.5%, 3/24/20 (144A) 189,000
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 27
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
FOREIGN GOVERNMENT BONDS -- (continued)
200,000 Gabon Government International Bond,
6.375%, 12/12/24 $ 174,724
GHS 370,000 Ghana Government Bond, 24.5%, 4/22/19 98,588
EURO 100,000 Italy Buoni Poliennali Del Tesoro, 4.75%,
8/1/23 (144A) 144,232
200,000 Ivory Coast Government International Bond,
5.375%, 7/23/24 (144A) 185,478
200,000 Ivory Coast Government International Bond,
6.375%, 3/3/28 (144A) 190,040
JPY 20,000,000 Japan Government Ten Year Bond, 1.0%, 12/20/21 200,231
JPY 20,000,000 Japan Government Twenty Year Bond, 1.5%, 3/20/19 196,844
200,000 Kenya Government International Bond, 6.875%,
6/24/24 (144A) 188,020
ARS 480,093 Letras del Banco Central de la Republica
Argentina, 1/4/17 (c) 28,153
ARS 1,605,229 Letras del Banco Central de la Republica
Argentina, 12/28/16 (c) 93,899
ARS 2,036,724 Letras del Banco Central de la Republica
Argentina, 5/11/16 (c) 141,523
MXN 3,830,000 Mexican Bonos, 4.75%, 6/14/18 223,950
MXN 2,400,000 Mexican Bonos, 6.5%, 6/9/22 146,731
MXN 300,000 Mexican Bonos, 7.5%, 6/3/27 19,513
MXN 3,695,071 Mexican Udibonos, 2.0%, 6/9/22 206,565
MXN 4,903,515 Mexican Udibonos, 3.5%, 12/14/17 294,154
MXN 3,947,330 Mexican Udibonos, 5.0%, 6/16/16 229,336
EURO 100,000 Mexico Government International Bond,
4.0%, 3/15/15 99,366
200,000 Namibia International Bonds, 5.25%,
10/29/25 (144A) 196,572
NZD 905,000 New Zealand Government Bond, 4.5%, 4/15/27 728,231
NZD 1,250,000 New Zealand Government Bond, 5.5%, 4/15/23 1,041,858
NOK 1,800,000 Norway Government Bond, 2.0%, 5/24/23 235,645
NOK 2,700,000 Norway Government Bond, 4.5%, 5/22/19 373,929
150,000 Provincia de Buenos Aires Argentina, 9.125%,
3/16/24 (144A) 159,750
150,000 Provincia de Buenos Aires Argentina, 9.95%,
6/9/21 (144A) 163,500
AUD 90,000 Queensland Treasury Corp., 5.5%, 6/21/21 78,581
AUD 100,000 Queensland Treasury Corp., 5.75%, 7/22/24 92,239
RON 380,000 Romania Government Bond, 5.85%, 4/26/23 112,148
RON 570,000 Romania Government Bond, 5.95%, 6/11/21 167,459
200,000 Sri Lanka Government International Bond,
6.85%, 11/3/25 (144A) 196,929
SEK 2,300,000 Sweden Government Bond, 2.5%, 5/12/25 333,093
The accompanying notes are an integral part of these financial statements.
28 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
FOREIGN GOVERNMENT BONDS -- (continued)
GBP 500,000 United Kingdom Gilt, 1.75%, 7/22/19 $ 754,198
GBP 70,000 United Kingdom Gilt, 4.25%, 9/7/39 136,895
GBP 75,000 United Kingdom Gilt, 8.75%, 8/25/17 121,562
400,000 Zambia Government International Bond, 5.375%,
9/20/22 (144A) 297,448
--------------
$ 12,337,872
------------------------------------------------------------------------------------------------------
TOTAL FOREIGN GOVERNMENT BONDS
(Cost $12,943,032) $ 12,337,872
------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS -- 1.6% (f)
Municipal General -- 0.6%
70,000 JobsOhio Beverage System, 3.985%, 1/1/29 $ 77,169
20,000 JobsOhio Beverage System, 4.532%, 1/1/35 22,455
30,000 Virginia Commonwealth Transportation Board,
4.0%, 5/15/31 33,539
30,000 Virginia Commonwealth Transportation Board,
4.0%, 5/15/32 33,330
--------------
$ 166,493
------------------------------------------------------------------------------------------------------
Higher Municipal Education -- 0.4%
25,000 Baylor University, 4.313%, 3/1/42 $ 26,734
25,000 Massachusetts Institute of Technology, 5.6%, 7/1/11 32,808
50,000 University of Virginia, Green Bond Series A,
5.0%, 4/1/45 59,720
--------------
$ 119,262
------------------------------------------------------------------------------------------------------
Municipal School District -- 0.2%
25,000 Frisco Independent School District, 4.0%,
8/15/40 (g) $ 27,344
25,000 Frisco Independent School District, 4.0%,
8/15/45 (g) 27,202
--------------
$ 54,546
------------------------------------------------------------------------------------------------------
Municipal Obligation -- 0.4%
50,000 State of Texas, 4.0%, 10/1/44 (g) $ 54,122
50,000 State of Washington, 5.0%, 7/1/30 (g) 61,174
--------------
$ 115,296
------------------------------------------------------------------------------------------------------
TOTAL MUNICIPAL BONDS
(Cost $421,062) $ 455,597
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 29
Schedule of Investments | 4/30/16 (unaudited) (continued)
------------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
------------------------------------------------------------------------------------------------------
SENIOR FLOATING RATE LOAN
INTERESTS -- 0.8%**
CAPITAL GOODS -- 0.3%
Aerospace & Defense -- 0.2%
25,000 7.00 TASC, Inc. Virginia, New Term Loan (First
Lien), 5/23/20 $ 24,927
25,000 7.00 TASC, Inc., First Lien Term Loan, 2/28/17 24,927
--------------
$ 49,854
------------------------------------------------------------------------------------------------------
Industrial Machinery -- 0.1%
50,000 6.25 Xerium Technologies, Inc., Initial Term Loan, 5/17/19 $ 48,875
--------------
Total Capital Goods $ 98,729
------------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.2%
Auto Parts & Equipment -- 0.2%
50,000 3.75 MPG Holdco I, Inc., Tranche B-1 Term Loan
(2015), 10/20/21 $ 49,786
--------------
Total Automobiles & Components $ 49,786
------------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.2%
Health Care Facilities -- 0.2%
50,000 4.25 Kindred Healthcare, Inc., Tranche B Loan
(First Lien), 4/10/21 $ 49,875
--------------
Total Health Care Equipment & Services $ 49,875
------------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 0.1%
Integrated Telecommunication Services -- 0.1%
42,364 3.25 West Corp., B-10 Term Loan (First Lien), 6/30/18 $ 42,236
--------------
Total Telecommunication Services $ 42,236
------------------------------------------------------------------------------------------------------
TOTAL SENIOR FLOATING RATE LOAN INTERESTS
(Cost $234,762) $ 240,626
------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN SECURITIES -- 100.6%
(Cost $28,508,095) (a)(h) $ 28,356,108
------------------------------------------------------------------------------------------------------
OTHER ASSETS & LIABILITIES -- (0.6)% $ (174,608)
------------------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100.0% $ 28,181,500
======================================================================================================
+ Amount rounds to less than 0.1%.
(TBA) To be announced securities.
(Perpetual) Security with no stated maturity date.
(Step) Step up bond issued with an initial coupon rate which converts to a
higher rate at a later date.
REIT Real Estate Investment Trust.
REMICS Real Estate Mortgage Investment Conduits.
The accompanying notes are an integral part of these financial statements.
30 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
(144A) Security is exempt from registration under Rule 144A of the
Securities Act of 1933. Such securities may be resold normally to
qualified institutional buyers in a transaction exempt from
registration. At April 30, 2016, the value of these securities
amounted to $7,020,477 or 24.9% of total net assets.
** Senior floating rate loan interests in which the Fund invests
generally pay interest at rates that are periodically redetermined
by reference to a base lending rate plus a premium. These base
lending rates are generally (i) the lending rate offered by one or
more major European banks, such as LIBOR (London InterBank Offered
Rate), (ii) the prime rate offered by one or more major United
States banks, (iii) the certificate of deposit rate or (iv) other
base lending rates used by commercial lenders. The rate shown is the
coupon rate at period end.
(a) At April 30, 2016, the net unrealized depreciation on investments
based on cost for federal income tax purposes of $28,513,157 was as
follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of value over tax cost $ 996,507
Aggregate gross unrealized depreciation for all investments in which
in which there is an excess of tax cost over value (1,153,556)
--------------
Net unrealized depreciation $ (157,049)
==============
(b) Debt obligation with a variable interest rate. Rate shown is rate at
end of period.
(c) Security issued with a zero coupon. Income is earned through
accretion of discount.
(d) Structured reinsurance investment. At April 30, 2016, the value of
these securities amounted to $152,866 or 0.5% of total net assets.
See Notes to Financial Statements -- Note 1I.
(e) Rate to be determined.
(f) Consists of Revenue Bonds unless otherwise indicated.
(g) Represents a General Obligation Bond.
(h) Distributions of investments by country of domicile (excluding
temporary cash investments) as a percentage of total investment in
securities, is as follows:
United States 41.8%
New Zealand 6.2
Canada 5.5
Mexico 5.3
Germany 5.2
United Kingdom 5.1
Australia 2.9
Argentina 2.8
Norway 2.1
Italy 1.7
Cote D'Ivoire 1.3
Japan 1.3
Nigeria 1.2
Brazil 1.1
Cayman Islands 1.1
Sweden 1.1
Other (individually less than 1%) 14.3
-----
100.0%
=====
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 31
Schedule of Investments | 4/30/16 (unaudited) (continued)
Principal amounts are denominated in U.S. Dollars unless otherwise noted:
ARS Argentine Peso
AUD Australian Dollar
BRL Brazilian Real
CAD Canadian Dollar
CNY Chinese Yuan
EURO Euro
GBP British Pound Sterling
GHS Ghanian Cedis
INR Indian Rupee
JPY Japanese Yen
MXN Mexican Peso
NOK Norwegian Krone
NZD New Zealand Dollar
RON Romanian New Leu
SEK Swedish Krona
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended April 30, 2016 were as follows:
-----------------------------------------------------------------------------------------------------
Purchases Sales
-----------------------------------------------------------------------------------------------------
Long-Term U.S. Government Securities $ 441,113 $1,820,824
Other Long-Term Securities $5,408,865 $3,375,421
CENTRALLY CLEARED CREDIT DEFAULT SWAP AGREEMENT -- SELL PROTECTION
--------------------------------------------------------------------------------------------------------------
Notional Obligation Credit Expiration Premiums Unrealized
Principal ($)(1) Exchange Entity/Index Coupon Rating(2) Date Paid Appreciation
--------------------------------------------------------------------------------------------------------------
Markit CDX
Chicago North America
Mercantile High Yield
343,332 Exchange Index 5.00% BBB+ 12/20/19 $18,632 $5,005
--------------------------------------------------------------------------------------------------------------
CREDIT DEFAULT SWAP AGREEMENT -- SELL PROTECTION
--------------------------------------------------------------------------------------------------------------
Notional Obligation Credit Expiration Premiums Unrealized
Principal ($)(1) Counterparty Entity/Index Coupon Rating(2) Date (Received) Depreciation
--------------------------------------------------------------------------------------------------------------
Morgan
Stanley Diamond
Capital Offshore
50,000 Services LLC Drill, Inc. 1.00% BBB+ 12/20/19 $(1,873) $(1,523)
---------------------------------------------------------------------------------------------------------------
(1) The notional amount is the maximum amount that a seller of credit
protection would be obligated to pay upon occurrence of a credit event.
(2) Based on Standard & Poor's rating of the issuer or the weighted average of
all the underlying securities in the index.
The accompanying notes are an integral part of these financial statements.
32 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels listed below.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices
for similar securities, interest rates, prepayment speeds,
credit risk, etc.) See Notes to Financial Statements -- Note 1A.
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments) See Notes
to Financial Statements -- Note 1A.
The following is a summary of the inputs used as of April 30, 2016, in valuing
the Fund's assets:
---------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
---------------------------------------------------------------------------------------------
Convertible Corporate Bonds $ -- $ 84,999 $ -- $ 84,999
Preferred Stocks 40,243 -- -- 40,243
Convertible Preferred Stock 99,680 -- -- 99,680
Asset Backed Securities -- 329,245 -- 329,245
Collateralized Mortgage Obligations -- 1,751,907 -- 1,751,907
Corporate Bonds
Insurance
Reinsurance -- 25,448 152,866 178,314
All Other Corporate Bonds -- 9,132,023 -- 9,132,023
U.S. Government Agency Obligations -- 3,705,602 -- 3,705,602
Foreign Government Bonds -- 12,337,872 -- 12,337,872
Municipal Bonds -- 455,597 -- 455,597
Senior Floating Rate Loan Interest -- 240,626 -- 240,626
---------------------------------------------------------------------------------------------
Total $ 139,923 $ 28,063,319 $ 152,866 $28,356,108
=============================================================================================
Other Financial Instruments
Net unrealized appreciation
on futures contracts $ 8,085 $ -- $ -- $ 8,085
Unrealized appreciation on forward
foreign currency contracts -- 24,988 -- 24,988
Unrealized depreciation on forward
foreign currency contracts -- (159,777) -- (159,777)
Net unrealized appreciation on
swap contracts -- 3,482 -- 3,482
---------------------------------------------------------------------------------------------
Total Other Financial Instruments $ 8,085 $ (131,307) $ -- $ (123,222)
=============================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 33
Schedule of Investments | 4/30/16 (unaudited) (continued)
The following is a summary of the fair valuation of certain Portfolio's assets
and liabilities as of April 30, 2016:
-----------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
-----------------------------------------------------------------------------------
Assets:
Restricted cash $ -- $ 78,318 $ -- $ 78,318
Foreign currencies, at value -- 474,589 -- 474,589
Variation margin for centrally
cleared swap contracts -- (477) -- (477)
Liabilities:
Variation margin for futures contracts (6,951) -- -- (6,951)
-----------------------------------------------------------------------------------
Total: $ (6,951) $552,430 $ -- $545,479
===================================================================================
The following is a reconciliation of assets valued using significant observable
inputs (Level 3):
--------------------------------------------------------------------------------
Corporate
Bonds
--------------------------------------------------------------------------------
Balance as of 10/31/15 $ 86,744
Realized gain (loss)1 --
Change in unrealized appreciation (depreciation)(2) (23,878)
Purchases 90,000
Sales --
Transfers in to Level 3* --
Transfers out of Level 3* --
--------------------------------------------------------------------------------
Balance as of 4/30/16 $152,866
================================================================================
(1) Realized gain (loss) on these securities is included in the net realized
gain (loss) from investments in the Statement of Operations.
(2) Unrealized appreciation (depreciation) on these securities is included in
the change in unrealized appreciation (depreciation) on investments in the
Statement of Operations.
* Transfers are calculated on the beginning of period values. During the six
months ended April 30, 2016, there were no transfers between Levels 1, 2
and 3.
Net change in unrealized appreciation (depreciation) of investments
still held as of 4/30/16 $(21,668)
---------
The accompanying notes are an integral part of these financial statements.
34 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Statement of Assets and Liabilities | 4/30/16 (unaudited)
ASSETS:
Investment in securities, at value (cost $28,508,095) $28,356,108
Cash 939,510
Restricted cash* 78,318
Foreign currencies, at value (cost $18,446) 474,589
Receivables --
Investment securities sold 178,867
Fund shares sold 8,398
Interest 294,545
Swap contracts, premium paid 16,759
Unrealized appreciation on forward foreign currency contracts 24,988
Due from Pioneer Investment Management, Inc. 48,142
Other assets 27,514
-------------------------------------------------------------------------------------
Total assets $30,447,738
=====================================================================================
LIABILITIES:
Payables --
Investment securities purchased $ 921,205
Fund shares repurchased 1,031,666
Distributions 35,986
Trustee fees 599
Variation margin for centrally cleared swap contracts 477
Variation margin for futures contracts 6,951
Unrealized depreciation on forward foreign currency contracts 159,777
Unrealized depreciation on swap contracts 1,523
Due to affiliates 51,304
Accrued expenses 56,750
-------------------------------------------------------------------------------------
Total liabilities $ 2,266,238
=====================================================================================
NET ASSETS:
Paid-in capital $29,010,238
Undistributed net investment income 193,264
Accumulated net realized loss on investments, futures contracts,
swap contracts and foreign currency transactions (803,417)
Net unrealized depreciation on investments (151,987)
Net unrealized appreciation on futures contracts 8,085
Net unrealized appreciation on swap contracts 3,482
Net unrealized depreciation on forward foreign currency contracts and
other assets and liabilities denominated in foreign currencies (78,165)
-------------------------------------------------------------------------------------
Total net assets $28,181,500
=====================================================================================
NET ASSET VALUE PER SHARE:
(No par value, unlimited number of shares authorized)
Class A (based on $13,051,786/1,246,737 shares) $ 10.47
Class C (based on $4,205,235/400,340 shares) $ 10.50
Class Y (based on $10,924,479/1,034,021 shares) $ 10.57
MAXIMUM OFFERING PRICE:
Class A ($10.47 (divided by) 95.5%) $ 10.96
=====================================================================================
* Represents restricted cash deposited at the counterparty for derivative
contracts
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 35
Statement of Operations (unaudited)
For the Six Months Ended 4/30/16
INVESTMENT INCOME:
Interest $ 573,978
Dividends 6,734
------------------------------------------------------------------------------------
Total investment income $ 580,712
------------------------------------------------------------------------------------
EXPENSES:
Management fees $ 71,482
Transfer agent fees
Class A 1,524
Class C 409
Class Y 482
Distribution fees
Class A 15,722
Class C 21,203
Shareholder communications expense 64,228
Administrative expense 13,206
Custodian fees 16,031
Registration fees 19,783
Professional fees 24,138
Printing expense 6,072
Pricing expense 14,728
Fees and expenses of non-affiliated Trustees 3,522
Miscellaneous 10,885
------------------------------------------------------------------------------------
Total expenses $ 283,415
Less fees waived and expenses reimbursed
by Pioneer Investment Management, Inc. (137,136)
------------------------------------------------------------------------------------
Net expenses $ 146,279
------------------------------------------------------------------------------------
Net investment income $ 434,433
------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS,
FUTURES CONTRACTS, SWAP CONTRACTS AND
FOREIGN CURRENCY TRANSACTIONS:
Net realized gain (loss) on:
Investments $ (360,273)
Futures contracts (78,966)
Swap contracts 6,854
Forward foreign currency contracts and other assets
and liabilities denominated in foreign currencies (294,058) $ (726,443)
------------------------------------------------------------------------------------
Change in net unrealized appreciation (depreciation) on:
Investments $ 924,346
Futures contracts (4,371)
Swap contracts (1,065)
Forward foreign currency contracts and other assets
and liabilities denominated in foreign currencies 134,415 $1,053,325
------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) on investments,
futures contracts, swap contracts and foreign
currency transactions $ 326,882
------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 761,315
====================================================================================
The accompanying notes are an integral part of these financial statements.
36 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Statements of Changes in Net Assets
-------------------------------------------------------------------------------------------------
Six Months
Ended
4/30/16 Year Ended
(unaudited) 10/31/15
-------------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 434,433 $ 834,004
Net realized gain (loss) on investments, futures contracts,
swap contracts and forward foreign currency contracts
and other assets and liabilities denominated in
foreign currencies (726,443) 356,921
Change in net unrealized appreciation (depreciation)
on investments, futures contracts, swap contracts
and foreign currency transactions 1,053,325 (1,470,300)
-------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting
from operations $ 761,315 $ (279,375)
-------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.21 and $0.31 per share, respectively) $ (258,397) $ (362,600)
Class C ($0.16 and $0.21 per share, respectively) (68,819) (90,523)
Class Y ($0.22 and $0.34 per share, respectively) (257,970) (391,265)
Net realized gain:
Class A ($0.00 and $0.10 per share, respectively) -- (103,854)
Class C ($0.00 and $0.10 per share, respectively) -- (36,964)
Class Y ($0.00 and $0.10 per share, respectively) -- (110,052)
-------------------------------------------------------------------------------------------------
Total distributions to shareowners $ (585,186) $ (1,095,258)
-------------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS (a)(b):
Net proceeds from sale of shares $ 2,730,690 $ 5,423,057
Reinvestment of distributions 281,647 502,776
Cost of shares repurchased (4,035,108) (3,804,827)
-------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting from
Fund share transactions $ (1,022,771) $ 2,121,006
-------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets $ (846,642) $ 746,373
NET ASSETS:
Beginning of period $ 29,028,142 $ 28,281,769
-------------------------------------------------------------------------------------------------
End of period $ 28,181,500 $ 29,028,142
-------------------------------------------------------------------------------------------------
Undistributed net investment income $ 193,264 $ 344,017
=================================================================================================
(a) At April 30, 2016, Pioneer Solutions-Growth Fund owned 11.6% of the value
of outstanding shares of Pioneer Global Multisector Income Fund.
(b) At April 30, 2016, Pioneer Solutions-Balanced Fund owned 13.8% of the
value of outstanding shares of Pioneer Global Multisector Income Fund.
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 37
Statements of Changes in Net Assets (continued)
----------------------------------------------------------------------------------------------
Six Months Six Months
Ended Ended
4/30/16 4/30/16 Year Ended Year Ended
Shares Amount 10/31/15 10/31/15
(unaudited) (unaudited) Shares Amount
----------------------------------------------------------------------------------------------
Class A
Shares sold 136,890 $ 1,407,879 326,667 $ 3,484,765
Reinvestment of distributions 22,071 225,690 37,797 402,829
Less shares repurchased (136,692) (1,397,783) (203,771) (2,170,537)
----------------------------------------------------------------------------------------------
Net increase 22,269 $ 235,786 160,693 $ 1,717,057
==============================================================================================
Class C
Shares sold 87,223 $ 895,845 128,101 $ 1,375,286
Reinvestment of distributions 3,772 38,653 6,729 72,072
Less shares repurchased (84,879) (872,633) (120,509) (1,279,738)
----------------------------------------------------------------------------------------------
Net increase 6,116 $ 61,865 14,321 $ 167,620
==============================================================================================
Class Y
Shares sold 41,420 $ 426,966 52,402 $ 563,006
Reinvestment of distributions 1,676 17,304 2,593 27,875
Less shares repurchased (169,079) (1,764,692) (33,109) (354,552)
----------------------------------------------------------------------------------------------
Net increase (decrease) (125,983) $(1,320,422) 21,886 $ 236,329
==============================================================================================
The accompanying notes are an integral part of these financial statements.
38 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Financial Highlights
----------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
4/30/16 Ended Ended Ended Ended Ended
(unaudited) 10/31/15 10/31/14 10/31/13 10/31/12 10/31/11
----------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 10.40 $ 10.91 $ 10.98 $ 11.49 $ 11.22 $ 11.19
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.16(b) $ 0.31(b) $ 0.38 $ 0.30 $ 0.36 $ 0.34
Net realized and unrealized gain (loss) on investments 0.12 (0.41) (0.04) (0.35) 0.29 0.01
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.28 $ (0.10) $ 0.34 $ (0.05) $ 0.65 $ 0.35
----------------------------------------------------------------------------------------------------------------------------
Distribution to shareowners:
Net investment income $ (0.21) $ (0.31) $ (0.35) $ (0.29) $ (0.36) $ (0.32)
Net realized gain -- (0.10) (0.06) (0.17) (0.02) --
----------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.21) $ (0.41) $ (0.41) $ (0.46) $ (0.38) $ (0.32)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.07 $ (0.51) $ (0.07) $ (0.51) $ 0.27 $ 0.03
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 10.47 $ 10.40 $ 10.91 $ 10.98 $ 11.49 $ 11.22
============================================================================================================================
Total return* 2.76% (1.00)% 3.16% (0.45)% 5.98% 3.22%
Ratio of net expenses to average net assets (a) 1.00%** 1.00% 1.01% 1.00% 1.00% 1.00%
Ratio of net investment income (loss) to average net assets 3.06%** 2.87% 3.57% 3.36% 3.26% 2.94%
Portfolio turnover rate 38%** 34% 51% 33% 29% 34%
Net assets, end of period (in thousands) $13,052 $12,737 $11,601 $ 6,888 $ 9,128 $14,830
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 (a) 2.52%** 2.67% 2.52% 2.05% 1.65% 2.07%
Net investment income (loss) to average net assets 1.54%** 1.20% 2.06% 2.31% 2.60% 1.86%
============================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
(a) Includes interest expense of 0.00%, 0.00%, 0.01%, 0.00%, 0.00% and 0.00%,
respectively.
(b) The per share data presented above is based on the average shares
outstanding for the period presented.
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 39
Financial Highlights (continued)
----------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
4/30/16 Ended Ended Ended Ended Ended
(unaudited) 10/31/15 10/31/14 10/31/13 10/31/12 10/31/11
----------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 10.43 $ 10.94 $ 11.01 $ 11.51 $ 11.23 $ 11.19
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.11(b) $ 0.21(b) $ 0.29 $ 0.20 $ 0.26 $ 0.24
Net realized and unrealized gain (loss) on investments 0.12 (0.41) (0.05) (0.34) 0.30 0.02
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.23 $ (0.20) $ 0.24 $ (0.14) $ 0.56 $ 0.26
----------------------------------------------------------------------------------------------------------------------------
Distribution to shareowners:
Net investment income $ (0.16) $ (0.21) $ (0.25) $ (0.19) $ (0.26) $ (0.22)
Net realized gain -- (0.10) (0.06) (0.17) (0.02) --
----------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.16) $ (0.31) $ (0.31) $ (0.36) $ (0.28) $ (0.22)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.07 $ (0.51) $ (0.07) $ (0.50) $ 0.28 $ 0.04
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 10.50 $ 10.43 $ 10.94 $ 11.01 $ 11.51 $ 11.23
============================================================================================================================
Total return* 2.30% (1.87)% 2.24% (1.24)% 5.09% 2.39%
Ratio of net expenses to average net assets (a) 1.84%** 1.90% 1.91% 1.90% 1.90% 1.90%
Ratio of net investment income (loss) to average net assets 2.22%** 1.96% 2.67% 2.46% 2.33% 2.15%
Portfolio turnover rate 38%** 34% 51% 33% 29% 34%
Net assets, end of period (in thousands) $ 4,205 $ 4,113 $ 4,156 $ 3,847 $ 4,414 $ 3,555
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 (a) 2.35%** 2.56% 2.71% 2.75% 2.39% 2.94%
Net investment income (loss) to average net assets 1.72%** 1.30% 1.87% 1.61% 1.84% 1.11%
============================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
(a) Includes interest expense of 0.00%, 0.00%, 0.01%, 0.00%, 0.00% and 0.00%,
respectively.
(b) The per share data presented above is based on the average shares
outstanding for the period presented.
The accompanying notes are an integral part of these financial statements.
40 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
----------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
4/30/16 Ended Ended Ended Ended Ended
(unaudited) 10/31/15 10/31/14 10/31/13 10/31/12 10/31/11
----------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 10.50 $ 11.00 $ 11.07 $ 11.59 $ 11.30 $ 11.22
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.17(b) $ 0.33(b) $ 0.42 $ 0.33 $ 0.39 $ 0.35
Net realized and unrealized gain (loss) on investments 0.12 (0.39) (0.05) (0.36) 0.30 0.05
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.29 $ (0.06) $ 0.37 $ (0.03) $ 0.69 $ 0.40
----------------------------------------------------------------------------------------------------------------------------
Distribution to shareowners:
Net investment income $ (0.22) $ (0.34) $ (0.38) $ (0.32) $ (0.38) $ (0.32)
Net realized gain -- (0.10) (0.06) (0.17) (0.02) --
----------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.22) $ (0.44) $ (0.44) $ (0.49) $ (0.40) $ (0.32)
----------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.07 $ (0.50) $ (0.07) $ (0.52) $ 0.29 $ 0.08
----------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 10.57 $ 10.50 $ 11.00 $ 11.07 $ 11.59 $ 11.30
============================================================================================================================
Total return* 2.87%** (0.62)% 3.42% (0.25)% 6.24% 3.66%
Ratio of net expenses to average net assets (a) 0.75%** 0.75% 0.76% 0.75% 0.79% 0.82%
Ratio of net investment income (loss) to average net assets 3.31%** 3.12% 3.81% 3.58% 3.42% 3.01%
Portfolio turnover rate 38% 34% 51% 33% 29% 34%
Net assets, end of period (in thousands) $10,924 $12,178 $12,525 $17,438 $15,297 $11,160
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 (a) 1.28%** 1.39% 1.50% 1.57% 1.18% 1.55%
Net investment income (loss) to average net assets 2.79% 2.48% 3.07% 2.76% 3.04% 2.28%
============================================================================================================================
* 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.
** Annualized.
(a) Includes interest expense of 0.00%, 0.00%, 0.01%, 0.00%, 0.00% and 0.00%,
respectively.
(b) The per share data presented above is based on the average shares
outstanding for the period presented.
The accompanying notes are an integral part of these financial statements.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 41
Notes to Financial Statements | 4/30/16 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer Global Multisector Income Fund (the Fund) is a series of Pioneer Series
Trust VII, a Delaware statutory trust. The Fund is registered under the
Investment Company Act of 1940 as a diversified, open-end management investment
company. The investment objective of the Fund is to provide a high level of
current income.
The Fund offers three classes of shares designated as Class A, Class C, and
Class Y shares. Each class of shares represents an interest in the same
portfolio of investments of the Fund and has identical rights (based on relative
net asset values) to assets and liquidation proceeds. Share classes can bear
different rates of class-specific fees and expenses such as transfer agent and
distribution fees. Differences in class-specific fees and expenses will result
in differences in net investment income and, therefore, the payment of different
dividends from net investment income earned by each class. The Amended and
Restated Declaration of Trust of the Fund gives the Board of Trustees the
flexibility to specify either per-share voting or dollar-weighted voting when
submitting matters for shareholder approval. Under per-share voting, each share
of a class of the Fund is entitled to one vote. Under dollar-weighted voting, a
shareholder's voting power is determined not by the number of shares owned, but
by the dollar value of the shares on the record date. Each share class has
exclusive voting rights with respect to matters affecting only that class,
including with respect to the distribution plan for that class. There is no
distribution plan for Class Y shares.
The Fund's financial statements have been prepared in conformity with U.S.
generally accepted accounting principles that require the management of the Fund
to, among other things, make estimates and assumptions that affect the reported
amounts of assets and liabilities, the disclosure of contingent assets and
liabilities at the date of the financial statements, and the reported amounts of
income, expenses and gain or loss on investments during the reporting 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.
42 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
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. Valuations may be supplemented by dealers and other sources, as
required. 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.
Foreign securities are valued in U.S. dollars based on foreign currency
exchange rate quotations supplied by a third party pricing service. Trading
in non-U.S. equity securities is substantially completed each day at
various times prior to the close of the NYSE. The values of such securities
used in computing the net asset value of the Fund's shares are determined
as of such times. The fund may use a fair value model developed by an
independent pricing service to value non-U.S. equity securities.
Loan interests are valued in accordance with guidelines established by the
Board of Trustees at the mean between the last available bid and asked
prices from one or more brokers or dealers as obtained from Loan Pricing
Corporation, an independent third party pricing service. If price
information is not available from Loan Pricing Corporation, or if the price
information is deemed to be unreliable, price information will be obtained
from an alternative loan interest pricing service. If no reliable price
quotes are available from either the primary or alternative pricing
service, broker quotes will be solicited.
Event-linked bonds or catastrophe bonds are valued at the bid price
obtained from an independent third party pricing service. Other insurance
linked securities (including sidecars, collateralized reinsurance and
industry loss warranties) may be valued at the bid price obtained from an
independent pricing service, or through a third party using a pricing
matrix, insurance industry valuation models, or other fair value methods or
techniques to provide an estimated value of the instrument.
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
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 43
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.
Swap contracts, including interest rate swaps, caps and floors (other than
centrally cleared swap contracts) are valued at the dealer quotations
obtained from reputable International Swap Dealer association members.
Centrally cleared swaps are valued at the daily settlement price provided
by the central clearing counterparty.
Futures contracts are generally valued at the closing settlement price
established by the exchange on which they are traded.
Forward foreign currency exchange contracts are valued daily using the
foreign exchange rate or, for longer term forward contract positions, the
spot currency rate, in each case provided by a third party pricing service.
Contracts whose forward settlement date falls between two quoted days are
valued by interpolation.
Securities or loan interests for which independent pricing services are
unable to supply prices or for which market prices and/or quotations are
not readily available or are considered to be unreliable are valued by a
fair valuation team comprised of certain personnel of Pioneer Investment
Management, Inc. (PIM), the Fund's investment adviser, pursuant to
procedures adopted by the Fund's Board of Trustees. PIM's fair valuation
team uses fair value methods approved by the Valuation Committee of the
Board of Trustees. PIM's fair valuation team is responsible for monitoring
developments that may impact fair valued securities and for discussing and
assessing fair values on an ongoing basis, and at least quarterly, with the
Valuation Committee of the Board of Trustees.
Inputs used when applying fair value methods to value a security may
include credit ratings, the financial condition of the company, current
market conditions and comparable securities. The Fund may use fair value
methods if it is determined that a significant event has occurred after the
close of the exchange or market on which the security trades and prior to
the determination of the Fund's net asset value. Examples of a significant
event might include political or economic news, corporate restructurings,
natural disasters, terrorist activity or trading halts. Thus, the valuation
of the Fund's securities may differ significantly from exchange prices and
such differences could be material.
At April 30, 2016, 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).
44 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
B. Investment Income and Transactions
Principal amounts of mortgage-backed securities are adjusted for monthly
paydowns. Premiums and discounts related to certain mortgage-backed
securities are amortized or accreted in proportion to the monthly paydowns.
All discounts/premiums on purchase prices of debt securities are
accreted/amortized for financial reporting purposes over the life of the
respective securities, and such accretion/amortization is included in
interest income.
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.
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. Foreign Currency Translation
The books and records of the Fund are maintained in U.S. dollars. Amounts
denominated in foreign currencies are translated into U.S. dollars using
current exchange rates.
Net realized gains and losses on foreign currency transactions, if any,
represent, among other things, the net realized gains and losses on foreign
currency contracts, disposition of foreign currencies and the difference
between the amount of income accrued and the U.S. dollars actually
received. Further, the effects of changes in foreign currency exchange
rates on investments are not segregated in the statement of operations from
the effects of changes in the market prices of those securities but are
included with the net realized and unrealized gain or loss on investments.
D. Forward Foreign Currency Contracts
The Fund may enter into forward foreign currency contracts (contracts) for
the purchase or sale of a specific foreign currency at a fixed price on a
future date. All contracts are marked to market daily at the applicable
exchange rates, and any resulting unrealized appreciation or depreciation
is recorded in the Fund's financial statements. The Fund records realized
gains and losses at the time a contract is offset by entry into a closing
transaction or extinguished by delivery of the currency. Risks may arise
upon entering into
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 45
these contracts from the potential inability of counterparties to meet the
terms of the contract and from unanticipated movements in the value of
foreign currencies relative to the U.S. dollar (see Note 5).
E. 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 October 31, 2015, 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 in the Statement of Operations.
Tax returns filed within the prior three years remain subject to
examination by federal and state tax authorities.
The amount and character of income and capital gain distributions to
shareowners are determined in accordance with federal income tax rules,
which may differ from U.S. generally accepted accounting principles.
Distributions in excess of net investment income or net realized gains are
temporary overdistributions for financial statement purposes resulting from
differences in the recognition or classification of income or distributions
for financial statement and tax purposes. Capital accounts within the
financial statements are adjusted for permanent book/tax differences to
reflect tax character, but are not adjusted for temporary differences.
The tax character of distributions payable will be determined at the end of
the current taxable year. The tax character of distributions paid during
the year ended October 31, 2015, was as follows:
---------------------------------------------------------------------------
2015
---------------------------------------------------------------------------
Distributions paid from:
Ordinary income $ 856,632
Long-term capital gain 238,626
---------------------------------------------------------------------------
Total $1,095,258
===========================================================================
46 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
The following shows the components of distributable earnings on a federal
income tax basis at October 31, 2015:
----------------------------------------------------------------------------
2015
----------------------------------------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 199,660
Capital loss carryforward (64,518)
Current year dividend payable (42,347)
Unrealized depreciation (1,097,662)
----------------------------------------------------------------------------
Total $ (1,004,867)
============================================================================
The difference between book-basis and tax-basis net unrealized depreciation
is attributable to the tax deferral of losses on wash sales, adjustments
related to sidecars, the mark-to-market of forward and futures contracts,
and interest accruals on preferred stock.
F. Fund Shares
The Fund records sales and repurchases of its shares as of trade date.
Pioneer Funds Distributor, Inc. (PFD), the principal underwriter for the
Fund and a wholly-owned indirect subsidiary of UniCredit S.p.A.
(UniCredit), earned $901 in underwriting commissions on the sale of Class A
shares during the six months ended April 30, 2016.
G. Class Allocations
Income, common expenses and realized and unrealized gains and losses are
calculated at the Fund level and allocated daily to each class of shares
based on its respective percentage of adjusted net assets at the beginning
of the day.
Distribution fees are calculated based on the average daily net asset value
attributable to Class A and Class C shares of the Fund, respectively (see
Note 4). Class Y shares do not pay distribution fees. All expenses and fees
paid to the Fund's transfer agent, for its services are allocated among the
classes of shares based on the number of accounts in each class and the
ratable allocation of related out-of-pocket expenses (see Note 3).
The Fund declares as daily dividends substantially all of its net
investment income. All dividends are paid on a monthly basis. Short-term
capital gain distributions, if any, may be declared with the daily
dividends. Distributions to shareowners are recorded as of the ex-dividend
date. Distributions paid by the Fund with respect to each class of shares
are calculated in the same manner and at the same time, except that net
investment income dividends to Class A, Class C and Class Y shares can
reflect different transfer agent and distribution expense rates.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 47
H. Risks
The value of securities held by the fund may go up or down, sometimes
rapidly or unpredictably, due to general market conditions, such as real or
perceived adverse economic, political or regulatory conditions, inflation,
changes in interest rates, lack of liquidity in the bond markets or adverse
investor sentiment. In the past several years, financial markets have
experienced increased volatility, depressed valuations, decreased liquidity
and heightened uncertainty. These conditions may continue, recur, worsen or
spread.
At times, the Fund's investments may represent industries or industry
sectors that are interrelated or have common risks, making the Fund more
susceptible to any economic, political, or regulatory developments or other
risks affecting those industries and sectors. The Fund's investments in
foreign markets and countries with limited developing markets may subject
the Fund to a greater degree of risk than investments in a developed
market. These risks include disruptive political or economic conditions and
the imposition of adverse governmental laws or currency exchange
restrictions. The Fund's prospectus contains unaudited information
regarding the Fund's principal risks. Please refer to that document when
considering the Fund's principal risks.
Interest rates in the U.S. recently have been historically low, so the Fund
faces a heightened risk that interest rates may rise. A general rise in
interest rates may cause investors to move out of fixed income securities
on a large scale, which could adversely affect the price and liquidity of
fixed income securities and could also result in increased redemptions from
the Fund.
The Fund invests in below investment grade (high yield) debt securities and
preferred stocks. Some of these high yield securities may be convertible
into equity securities of the issuer. Debt securities rated below
investment grade are commonly referred to as "junk bonds" and are
considered speculative. These securities involve greater risk of loss, are
subject to greater price volatility, and are less liquid, especially during
periods of economic uncertainty or change, than higher rated debt
securities.
I. Insurance Linked Securities (ILS)
The Fund invests in event-linked bonds. Event-linked bonds are floating
rate debt obligations for which the return of principal and the payment of
interest are contingent on the non-occurrence of a pre-defined "trigger"
event, such as a hurricane or an earthquake of a specific magnitude. The
trigger event's magnitude may be based on losses to a company or industry,
industry indexes or readings of scientific instruments, or may be based on
specified actual losses. If a trigger event, as defined within the terms of
an event-linked bond occurs, the Fund may lose a portion or all of its
accrued interest and/or
48 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
principal invested in such event-linked bond. The Fund is entitled to
receive principal and interest payments so long as no trigger event occurs
of the description and magnitude specified by the instrument. In addition
to the specified trigger events, event-linked bonds may expose the Fund to
other risks, including but not limited to issuer (credit) default, adverse
regulatory or jurisdictional interpretations and adverse tax consequences.
The Fund's investments in ILS may include special purpose vehicles ("SPVs")
or similar instruments structured to comprise a portion of a reinsurer's
catastrophe-oriented business, known as quota share instruments (sometimes
referred to as reinsurance sidecars), or to provide reinsurance relating to
specific risks to insurance or reinsurance companies through a
collateralized instrument, known as collateralized reinsurance. Structured
reinsurance investments, which also may include industry loss warranties
("ILWs"). A traditional ILW takes the form of a bilateral reinsurance
contract, but there are also products that take the form of derivatives,
collateralized structures, or exchange traded instruments.
Structured reinsurance investments, including quota share instruments,
collateralized reinsurance investments and ILWs, are generally subject to
the same risks as event-linked bonds. In addition, where the instruments
are based on the performance of underlying reinsurance contracts, the Fund
has limited transparency into the individual underlying contracts and
therefore must rely upon the risk assessment and sound underwriting
practices of the issuer. Accordingly, it may be more difficult for PIM to
fully evaluate the underlying risk profile of the Fund's structured
reinsurance investments and therefore the Fund's assets are placed at
greater risk of loss than if PIM had more complete information.
Structured reinsurance instruments generally will be considered illiquid
securities by the Fund. These securities may be difficult to purchase, sell
or unwind. Illiquid securities also may be difficult to value. If the Fund
is forced to sell an illiquid asset, the Fund may be forced to sell at a
loss.
J. Futures Contracts
The Fund may enter into futures transactions in order to attempt to hedge
against changes in interest rates, securities prices and currency exchange
rates or to seek to increase total return. Futures contracts are types of
derivatives. All futures contracts entered into by the Fund are traded on a
futures exchange. Upon entering into a futures contract, the Fund is
required to deposit with a broker an amount of cash or securities equal to
the minimum "initial margin" requirements of the associated futures
exchange. The amount of cash deposited with the broker as collateral at
April 30, 2016 was $71,550. Subsequent payments for futures contracts
("variation margin") are paid or received by the Fund, depending on the
daily fluctuation in the value of the contracts, and are recorded by the
Fund as unrealized gains or losses. When
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 49
the contract is closed, the Fund realizes a gain or loss equal to the
difference between the opening and closing value of the contract as well as
any fluctuation in foreign currency exchange rates where applicable.
Futures contracts are subject to market risk, interest rate risk and
currency exchange rate risk. Changes in value of the contracts may not
directly correlate to the changes in value of the underlying securities.
With futures, there is minimal counterparty credit risk to the Fund since
futures are exchange-traded and the exchange's clearinghouse, as
counterparty to all exchange-traded futures, guarantees the futures against
default. The average value of contracts open during the six months ended
April 30, 2016, was $(4,166,996).
At April 30, 2016, open futures contracts were as follows:
------------------------------------------------------------------------------------------------
Net
Number of Unrealized
Contracts Settlement Appreciation
Type Counterparty Long/(Short) Month Value (Depreciation)
------------------------------------------------------------------------------------------------
Euro Bund Citibank NA 5 6/16 $ 926,845 $ (8,817)
US 10 Yr Note (CBT) Citibank NA (29) 6/16 (3,771,813) 15,419
US 5 Yr Note (CBT) Citibank NA (11) 6/16 (1,330,055) 1,483
------------------------------------------------------------------------------------------------
Total $(4,175,023) $ 8,085
================================================================================================
K. Repurchase Agreements
Repurchase agreements are arrangements under which the Fund purchases
securities from a broker-dealer or a bank, called the counterparty, upon
the agreement of the counterparty to repurchase the securities from the
Fund at a later date, and at a specific price, which is typically higher
than the purchase price paid by the Fund. The securities purchased serve as
the Fund's collateral for the obligation of the counterparty to repurchase
the securities. The value of the collateral, including accrued interest, is
required to be equal to or in excess of the repurchase price. The
collateral for all repurchase agreements is held in safekeeping in the
customer-only account of the Fund's custodian or a subcustodian of the
Fund. The Fund's investment adviser, PIM is responsible for determining
that the value of the collateral remains at least equal to the repurchase
price. In the event of a default by the counterparty, the Fund is entitled
to sell the securities, but the Fund may not be able to sell them for the
price at which they were purchased, thus causing a loss to the Fund.
Additionally, if the counterparty becomes insolvent, there is some risk
that the Fund will not have a right to the securities, or the immediate
right to sell the securities. At and as of the six months ended April 30,
2016, the Fund had no open repurchase agreements.
50 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
L. Credit Default Swap Agreements
A credit default swap is a contract between a buyer of protection and a
seller of protection against a pre-defined credit event. The Fund may sell
or buy credit default swap contracts to seek to increase the Fund's income,
or to attempt to hedge the risk of default on portfolio securities. A
credit default swap index is used to hedge risk or take a position on a
basket of credit entities or indices. As a seller of protection, the Fund
would be required to pay the notional (or other agreed-upon) value of the
referenced debt obligation to the counterparty in the event of a default by
a U.S. or foreign corporate issuer of a debt obligation, which would likely
result in a loss to the Fund. In return, the Fund would receive from the
counterparty a periodic stream of payments during the term of the contract
provided that no event of default occurred. The maximum exposure of loss to
the seller would be the notional value of the credit default swaps
outstanding. If no default occurs, the Fund would keep the stream of
payments and would have no payment obligation. The Fund may also buy credit
default swap contracts in order to hedge against the risk of default of
debt securities, in which case the Fund would function as the counterparty
referenced above.
When the Fund enters into a credit default swap contract, the protection
buyer makes an upfront or periodic payment to the protection seller in
exchange for the right to receive a contingent payment. An upfront payment
made by the Fund, as the protection buyer, is recorded as an asset in the
Statement of Assets and Liabilities. Periodic payments received or paid by
the Fund are recorded as realized gains or losses in the Statement of
Operations.
Credit default swap contracts are marked-to-market daily using valuations
supplied by independent sources and the change in value, if any, is
recorded as unrealized appreciation or depreciation in the Statement of
Assets and Liabilities. Payments received or made as a result of a credit
event or upon termination of the contract are recognized, net of the
appropriate amount of the upfront payment, as realized gains or losses in
the Statement of Operations.
Credit default swap contracts involving the sale of protection may involve
greater risks than if the Fund had invested in the referenced debt
instrument directly. Credit default swap contracts are subject to general
market risk, liquidity risk, counterparty risk and credit risk. If the Fund
is a protection buyer and no credit event occurs, it will lose its
investment. If the Fund is a protection seller and a credit event occurs,
the value of the referenced debt instrument received by the Fund, together
with the periodic payments received, may be less than the amount the Fund
pays to the protection buyer, resulting in a loss to the Fund.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 51
Certain swap contracts that are cleared through a central clearinghouse are
referred to as centrally cleared swaps. All payments made or received by
the Fund are pursuant to a centrally cleared swap contract with the central
clearing party rather than the original counterparty. Upon entering into a
centrally cleared swap contract, the Fund is required to make an initial
margin deposit, either in cash or in securities. The daily change in value
on open centrally cleared contracts is recorded as variation margin on
centrally cleared swaps on the Statement of Assets and Liabilities.
The amount of cash deposited with a broker as collateral at April 30, 2016
was $25,000 and is recorded within "Restricted Cash" on the Statement of
Assets and Liabilities.
Open credit default swap contracts at April 30, 2016, are listed in the
Schedule of Investments. The average value of swap contracts open during
the six months ended April 30, 2016 was $13,277.
2. Management Agreement
PIM, a wholly-owned indirect subsidiary of UniCredit, manages the Fund's
portfolio. Management fees are calculated daily at the annual rate of 0.50% of
the Fund's average daily net assets.
PIM has contractually agreed to limit ordinary operating expenses of the Fund to
the extent required to reduce Fund expenses to 1.00%, 1.90% and 0.75% of the
average daily net assets attributable to Class A, Class C and Class Y shares,
respectively. Fees waived and expenses reimbursed during the six months ended
April 30, 2016, are reflected on the Statement of Operations. These expense
limitations are in effect through March 1, 2017. There can be no assurance that
PIM will extend the expense limitation agreement for a class of shares beyond
the date referred to above.
In addition, under the management and administration agreements, certain other
services and costs, including accounting, regulatory reporting and insurance
premiums, are paid by the Fund as administrative reimbursements. Included in
"Due from affiliates" reflected on the Statement of Assets and Liabilities is
$12,741 in management fees, administrative costs and certain other
reimbursements due to PIM at April 30, 2016.
3. Transfer Agent
Prior to November 2, 2015, Pioneer Investment Management Shareholder Services,
Inc. (PIMSS), a wholly owned indirect subsidiary of UniCredit, provided
substantially all transfer agent and shareowner services to the Fund at
negotiated rates.
Effective November 2, 2015, Boston Financial Data Services serves as the
transfer agent to the Fund at negotiated rates.
52 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
In addition, the Fund reimbursed the transfer agent for out-of-pocket expenses
incurred by the transfer agent related to shareholder communications activities
such as proxy and statement mailings, outgoing phone calls and omnibus
relationship contracts. For the six months ended April 30, 2016, such
out-of-pocket expenses by class of shares were as follows:
--------------------------------------------------------------------------------
Shareholder Communications:
--------------------------------------------------------------------------------
Class A $62,140
Class C 1,462
Class Y 626
--------------------------------------------------------------------------------
Total $64,228
================================================================================
Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $37,943 in transfer agent fees and out-of-pocket reimbursements
payable to the transfer agent at April 30, 2016.
4. Distribution Plan
The Fund has adopted a Distribution Plan pursuant to Rule 12b-1 of the
Investment Company Act of 1940 with respect to its Class A and Class C shares.
Pursuant to the Plan, the Fund pays PFD 0.25% of the average daily net assets
attributable to Class A shares as compensation for personal services and/or
account maintenance services or distribution services with regard to Class A
shares. Pursuant to the Plan, the Fund also pays PFD 1.00% of the average daily
net assets attributable to Class C shares. The fee for Class C shares consists
of a 0.25% service fee and a 0.75% distribution fee paid as compensation for
personal services and/or account maintenance services or distribution services
with regard to Class C shares. Included in "Due to affiliates" reflected on the
Statement of Assets and Liabilities is $620 in distribution fees payable to PFD
at April 30, 2016.
In addition, redemptions of each class of shares (except Class Y shares) may be
subject to a contingent deferred sales charge (CDSC). A CDSC of 1.00% may be
imposed on redemptions of certain net asset value purchases of Class A shares
within 12 months of purchase. Redemptions of Class C shares within 12 months of
purchase are subject to a CDSC of 1.00%, based on the lower of cost or market
value of shares being redeemed. Shares purchased as part of an exchange remain
subject to any CDSC that applied to the original purchase of those shares. There
is no CDSC for Class Y shares. Proceeds from the CDSCs are paid to PFD. For the
six months ended April 30, 2016, no CDSCs were paid to PFD.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 53
5. Forward Foreign Currency Contracts
At April 30, 2016, the Fund had entered into various forward foreign currency
contracts that obligate the Fund to deliver or take delivery of currencies at
specified future maturity dates. Alternatively, prior to the settlement date of
a forward foreign currency contract, the Fund may close out such contract by
entering into an offsetting contract. The average value of forward foreign
currency contracts open during the six months ended April 30, 2016, was
$(6,332,445).
Open forward foreign currency contracts at April 30, 2016, were as follows:
----------------------------------------------------------------------------------------------------
In
Currency Currency Exchange Settlement Unrealized
Sold Deliver Purchased For Counterparty Date Appreciation
----------------------------------------------------------------------------------------------------
USD (634,329) (GBP) British 435,671 JP Morgan 5/3/16 $ 2,099
Pound Sterling Chase Bank NA
USD (567,543) (CZK) 13,500,000 Citibank NA 6/16/16 4,670
Czech Koruna
USD (143,161) (MXN) 2,555,000 Citibank NA 6/2/16 4,829
Mexican Peso
USD (439,820) (GBP) British 305,000 Societe 5/3/16 5,724
Pound Sterling Generale SA
USD (294,636) (MXN) 5,095,000 Brown Brothers 6/2/16 473
Mexican Peso Harriman & Co.
USD (290,505) NOK 2,390,000 Citibank NA 6/30/16 5,931
(Norwegian
Krone)
(AUD) (82,475) USD 63,325 JP Morgan 6/20/16 765
Australian Chase Bank NA
Dollar
USD (114,432) (MXN) 1,978,748 UBS AG 6/2/16 180
Mexican Peso
USD (137,987) (CLP) 91,560,000 Citibank NA 6/6/16 169
Chilean Peso
(GBP) British (235,671) USD 344,485 JP Morgan 7/5/16 148
Pound Sterling Chase Bank NA
----------------------------------------------------------------------------------------------------
Total $24,988
====================================================================================================
54 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
--------------------------------------------------------------------------------------------------------
In
Currency Currency Exchange Settlement Unrealized
Sold Deliver Purchased For Counterparty Date Depreciation
--------------------------------------------------------------------------------------------------------
CNY (New (1,000,000) USD 153,941 JP Morgan 5/20/16 $ (407)
Chinese Yuan) Chase Bank NA
(GBP) British (752,079) USD 1,043,311 JP Morgan 5/3/16 (55,327)
Pound Sterling Chase Bank NA
(SEK) (2,751,185) USD 322,649 JP Morgan 6/1/16 (20,349)
Swedish Krona Chase Bank NA
(EUR) Euro (36,654) USD 41,785 JP Morgan 6/3/16 (226)
Chase Bank NA
(EUR) Euro (123,455) USD 139,672 Goldman Sachs 6/3/16 (1,826)
International
NOK (2,450,000) (EUR) Euro 259,363 JP Morgan 6/15/16 (6,508)
(Norwegian Chase Bank NA
Krone)
(CZK) (13,500,000) USD 553,977 Citibank NA 6/16/16 (18,237)
Czech Koruna
(CAD) (116,629) (MXN) 1,559,643 JP Morgan 5/31/16 (2,636)
Canadian Mexican Chase Bank NA
Dollar) Peso
(MXN) (14,310,052) USD 806,729 JP Morgan 6/2/16 (22,128)
Mexican Peso Chase Bank NA
(GBP) British (90,618) USD 127,775 Citibank NA 5/3/16 (4,600)
Pound Sterling
USD (436,979) (IDR) 5,783,359,638 Goldman Sachs 6/1/16 (266)
Indonesian International
Rupiah
(CLP) (91,560,000) USD 136,027 JP Morgan 6/6/16 (2,129)
Chilean Peso Chase Bank NA
(NZD) New (3,559,854) USD 2,454,679 JP Morgan 6/20/16 (22,670)
Zealand Dollar Chase Bank NA
(HUF) (66,994,656) USD 244,086 JP Morgan 6/20/16 (1,837)
Hungarian Chase Bank NA
Forint
(ZAR) South (1,555,000) USD 108,126 Citibank NA 5/25/16 (631)
African Rand
--------------------------------------------------------------------------------------------------------
Total $(159,777)
========================================================================================================
6. Assets and Liabilities Offsetting
The Fund has entered into an International Swaps and Derivatives Association,
Inc. Master Agreement ("ISDA Master Agreement") or similar agreement with
substantially all its derivative counterparties. An ISDA Master Agreement is a
bilateral agreement between the Fund and a counterparty that governs the trading
of certain OTC derivatives and typically contains, among other things, close-out
and set-off provisions which apply upon the occurrence of event of a default
and/or termination event as defined under the relevant ISDA Master Agreement.
The ISDA Master Agreement may also give a party the right to terminate all
transactions traded under such agreement if, among other things, there is
deterioration in the credit quality of the other party. Upon an event of default
or a termination of the ISDA Master Agreement, the non-defaulting party has the
right to close out all transactions under such agreement and to
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 55
net amounts owed under each transaction to determine one net amount payable by
one party to the other. The right to close out and net payments across all
transactions under the ISDA Master Agreement could result in a reduction of the
Fund's credit risk to its counterparty equal to any amounts payable by the Fund
under the applicable transactions, if any. However, the Fund's right to setoff
may be restricted or prohibited by the bankruptcy or insolvency laws of the
particular jurisdiction to which a specific ISDA counterparty is subject.
The collateral requirements for derivatives transactions under an ISDA Master
Agreement are governed by a credit support annex to the ISDA Master Agreement.
Collateral requirements are generally determined at the close of business each
day and are typically based on changes in market values for each transaction
under an ISDA Master Agreement and netted into one amount for such agreement.
Generally, the amount of collateral due from or to a counterparty is subject to
threshold (a "minimum transfer amount") before a transfer is required, which may
vary by counterparty. Collateral pledged for the benefit of the Fund and/or
counterparty is held in segregated accounts by the Fund's custodian and cannot
be sold, re-pledged, assigned or otherwise used while pledged. Cash that has
been segregated to cover the Fund's collateral obligations, if any, will be
reported separately in the Statement of Assets and Liabilities as "Restricted
cash." Securities pledged by the Fund as collateral, if any, are identified as
such in the Schedule of Investments.
Financial instruments subject to an enforceable master netting agreement such as
an ISDA Master Agreement have been offset on the Statement of Assets and
Liabilities. The following charts show gross assets and liabilities of the Fund
as of April 30, 2016.
-------------------------------------------------------------------------------------------
Derivative
Assets
Subject to Derivatives Non-Cash Cash Net Amount
Master Netting Available Collateral Collateral of Derivative
Counterparty Agreement for Offset Received (a) Received (a) Assets (b)
-------------------------------------------------------------------------------------------
JPMorgan
Chase Bank NA $ 3,012 $ (3,012) $-- $-- $ --
Morgan Stanley
Capital
Services LLC -- -- -- -- --
Citibank NA 15,999 (15,999) -- -- --
Goldman Sachs -- -- -- -- --
UBS AG 180 -- -- -- 180
Brown Brothers
Harriman
& Co. 473 -- -- -- 473
Societe
Generale SA 5,724 -- -- -- 5,724
-------------------------------------------------------------------------------------------
Total $25,388 $(19,011) $-- $-- $ 6,377
===========================================================================================
56 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
-------------------------------------------------------------------------------------------------------
Derivative
Liabilities
Subject to Derivatives Non-Cash Cash Net Amount
Master Netting Available Collateral Collateral of Derivative
Counterparty Agreement for Offset Pledged (a) Pledged (a) Liabilities (c)
-------------------------------------------------------------------------------------------------------
JPMorgan
Chase Bank NA $134,217 $ (3,012) $-- $(25,000) $106,205
Morgan Stanley
Capital
Services LLC 1,523 -- -- -- 1,523
Citibank NA 23,468 (15,999) -- -- 7,469
Goldman Sachs 2,092 -- -- -- 2,092
UBS AG -- -- -- -- --
Brown Brothers
Harriman
& Co. -- -- -- -- --
Societe
Generale SA -- -- -- -- --
-------------------------------------------------------------------------------------------------------
Total $161,300 $(19,011) $-- $(25,000) $117,289
=======================================================================================================
(a) The amount presented here may be less than the total amount of collateral
received/pledged as the net amount of derivative assets and liabilities
cannot be less than $0.
(b) Represents the net amount due from the counterparty in the event of
default.
(c) Represents the net amount payable to the counterparty in the event of
default.
7. Additional Disclosures about Derivative Instruments and Hedging Activities
The Fund's use of derivatives subjects it to the following risks:
Interest rate risk relates to the fluctuations in the value of interest-bearing
securities due to changes in the prevailing levels of market interest rates.
Credit risk relates to the ability of the issuer of a financial instrument to
make further principal or interest payments on an obligation or commitment that
it has to the Fund.
Foreign exchange rate risk relates to fluctuations in the value of an asset or
liability due to changes in currency exchange rates.
Equity risk relates to the fluctuations in the value of financial instruments as
a result of changes in market prices (other than those arising from interest
rate risk or foreign exchange risk), whether caused by factors specific to an
individual investment, its issuer, or all factors affecting all instruments
traded in a market or market segment.
Commodity risk relates to the risk that the value of a commodity or commodity
index will fluctuate based on increases or decreases in the commodities market
and factors specific to a particular industry or commodity.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 57
The fair value of open derivative instruments (not considered to be hedging
instruments for accounting disclosure purposes) by risk exposure at April 30,
2016, was as follows:
-------------------------------------------------------------------------------------------------
Foreign
Statement of Assets Interest Credit Exchange Equity Commodity
and Liabilities Rate Risk Risk Rate Risk Risk Risk
-------------------------------------------------------------------------------------------------
Assets
Unrealized appreciation of
forward foreign currency
contracts $ -- $ -- $ 24,988 $-- $--
Net unrealized appreciation of
futures contracts 8,085 -- -- -- --
Net unrealized appreciation of
swap contracts -- 3,482 -- -- --
-------------------------------------------------------------------------------------------------
Total Value $ 8,085 $ 3,482 $ 24,988 $-- $--
=================================================================================================
Liabilities
Unrealized depreciation of
forward foreign currency
contracts $ -- $ -- $159,777 $-- $--
-------------------------------------------------------------------------------------------------
Total Value $ -- $ -- $159,777 $-- $--
=================================================================================================
The effect of derivative instruments (not considered to be hedging instruments
for accounting disclosure purposes) on the Statement of Operations by risk
exposure at April 30, 2016 was as follows:
-------------------------------------------------------------------------------------------------
Foreign
Statement of Interest Credit Exchange Equity Commodity
Operations Rate Risk Risk Rate Risk Risk Risk
-------------------------------------------------------------------------------------------------
Net realized gain (loss) on
Swap contracts $ -- $ 6,854 $ -- $-- $--
Futures contracts (78,966) -- -- -- --
Forward foreign
currency contracts* -- -- (237,942) -- --
-------------------------------------------------------------------------------------------------
Total Value $ (78,966) $ 6,854 $(237,942) $-- $--
=================================================================================================
Change in net unrealized
appreciation (depreciation) on
Swap contracts $ -- $(1,065) $ -- $-- $--
Futures contracts (4,371) -- -- -- --
Forward foreign currency contracts* -- -- 57,582 -- --
-------------------------------------------------------------------------------------------------
Total Value $ (4,371) $(1,065) $ 57,582 $-- $--
=================================================================================================
* Included in the amount shown on the Statement of Operations as foward
foreign currency contracts and other assets and liabilities denominated in
foreign currencies.
58 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
8. Bridge Loan Commitments
Bridge loans are designed to provide temporary or "bridge" financing to a
borrower pending the sale of identified assets or the arrangement of longer-term
loans or the issuance and sale of debt obligations.
As of April 30, 2016, the Fund had two bridge loan commitments worth $21,739,
which could be extended at the option of the borrower, pursuant to the following
loan agreements:
---------------------------------------------------------------------------------------
Unrealized
Appreciation
Loan Principal Cost Value (Depreciation)
---------------------------------------------------------------------------------------
Charter Communications
Operating Co., Bridge Loan $ 3,043 $ 3,043 $ 3,043 $--
CCO Holding Co., Bridge Loan 18,696 18,696 18,696 $--
---------------------------------------------------------------------------------------
Total $21,739 $21,739 $21,739 $--
=======================================================================================
9. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
Funds), participates in a committed, unsecured revolving line of credit
facility. Borrowings are used solely for temporary or emergency purposes. The
Fund may borrow up to the lesser of the amount available under the facility or
the limits set for borrowing by the Fund's prospectus and the 1940 Act. The
credit facility in effect until February 10, 2016, was in the amount of $240
million. As of February 10, 2016, the facility is in the amount of $220 million.
Under such facility, depending on the type of loan, interest on borrowings is
payable at the London Interbank Offered Rate (LIBOR) plus 0.85% on an annualized
basis, or the Alternate Base Rate, which is the greater of (a) the facility's
administrative agent's daily announced prime rate on the borrowing date, (b) 2%
plus the Federal Funds Rate on the borrowing date and (c) 2% plus the overnight
Eurodollar rate on the borrowing date. The Funds pay an annual commitment fee to
participate in a credit facility. The commitment fee is allocated among
participating Funds based on an allocation schedule set forth in the credit
agreement. For the six months ended April 30, 2016, the Fund had no borrowings
under the credit facility.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 59
Additional Information
PIM, the Fund's investment adviser, is currently an indirect, wholly owned
subsidiary of UniCredit. On November 11, 2015, UniCredit announced that it
signed a binding master agreement with Banco Santander and affiliates of Warburg
Pincus and General Atlantic (the "Private Equity Firms") with respect to Pioneer
Investments ("Pioneer") and Santander Asset Management ("SAM") (the
"Transaction").
The Transaction, as previously announced by UniCredit, will establish a holding
company, with the name Pioneer Investments, to be owned by UniCredit (50%) and
the Private Equity Firms (50% between them). The holding company will control
Pioneer's U.S. operations, including the PIM. The holding company also will own
66.7% of Pioneer's and SAM's combined operations outside the U.S., while Banco
Santander will own directly the remaining 33.3% stake. The closing of the
Transaction is expected to happen in 2016, subject to certain regulatory and
other approvals.
Under the Investment Company Act of 1940, completion of the Transaction will
cause the Fund's current investment advisory agreement with PIM to terminate.
Accordingly, the Fund's Board of Trustees will be asked to approve a new
investment advisory agreement. If approved by the Board, the Fund's new
investment advisory agreement will be submitted to the shareholders of the Fund
for their approval.
60 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
Trustees, Officers and Service Providers
Trustees Advisory Trustee
Thomas J. Perna, Chairman Lorraine H. Monchak*
David R. Bock
Benjamin M. Friedman Officers
Margaret B.W. Graham Lisa M. Jones, President and Chief
Marguerite A. Piret Executive Officer
Fred J. Ricciardi Mark E. Bradley, Treasurer and
Kenneth J. Taubes Chief Financial Officer
Christopher J. Kelley, Secretary and
Chief Legal Officer
Investment Adviser and Administrator
Pioneer Investment Management, Inc.
Custodian and Sub-Administrator
Brown Brothers Harriman & Co.
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Morgan, Lewis & Bockius LLP
Shareowner Services and Transfer Agent
Boston Financial Data Services, Inc.
Proxy Voting Policies and Procedures of the Fund are available without charge,
upon request, by calling our toll free number (1-800-225-6292). Information
regarding how the Fund voted proxies relating to portfolio securities during the
most recent 12-month period ended June 30 is publicly available to shareowners
at us.pioneerinvestments.com. This information is also available on the
Securities and Exchange Commission's web site at www.sec.gov.
* Ms. Monchak is a non-voting Advisory Trustee.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 61
This page for your notes.
62 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
This page for your notes.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 63
This page for your notes.
64 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
This page for your notes.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 65
This page for your notes.
66 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
This page for your notes.
Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16 67
This page for your notes.
68 Pioneer Global Multisector Income Fund | Semiannual Report | 4/30/16
How to Contact Pioneer
We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
Call us for:
--------------------------------------------------------------------------------
Account Information, including existing accounts,
new accounts, prospectuses, applications
and service forms 1-800-225-6292
FactFone(SM) for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Write to us:
--------------------------------------------------------------------------------
Pioneer Funds
P.O. Box 55014
Boston, Massachusetts 02205-5014
Our toll-free fax 1-800-225-4240
Our internet e-mail address ask.pioneer@pioneerinvestments.com
(for general questions about Pioneer only)
Visit our web site: us.pioneerinvestments.com
This report must be preceded or accompanied by a prospectus.
The Fund files a complete schedule of investments with the Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareholders may view the filed Form N-Q by visiting the Commission's
web site at www.sec.gov. The filed form may also be viewed and copied at the
Commission's Public Reference Room in Washington, DC. Information regarding the
operations of the Public Reference Room may be obtained by calling
1-800-SEC-0330.
[LOGO] PIONEER
Investments(R)
Pioneer Investment Management, Inc.
60 State Street
Boston, MA 02109
us.pioneerinvestments.com
Securities offered through Pioneer Funds Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
(C) 2016 Pioneer Investments 21910-08-0616
Pioneer Global High
Yield Fund
--------------------------------------------------------------------------------
Semiannual Report | April 30, 2016
--------------------------------------------------------------------------------
Ticker Symbols:
Class A PGHYX
Class C PGYCX
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Table of Contents
President's Letter 2
Portfolio Management Discussion 4
Portfolio Summary 9
Prices and Distributions 10
Performance Update 11
Comparing Ongoing Fund Expenses 14
Schedule of Investments 16
Financial Statements 42
Notes to Financial Statements 49
Trustees, Officers and Service Providers 66
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 1
President's Letter
Dear Shareowner,
Global financial markets began 2016 on shaky footing, delivering the kind of
volatility that challenged investors in 2015. US equities fell by 10% through
the first six weeks of the year, only to recover the losses by the end of the
first quarter. Fixed-income markets were also acutely affected, with concerns
about falling oil prices and a weak global economy leading to a sell-off in
credit-sensitive sectors, especially high-yield bonds, as investors fled to the
perceived safety of government bonds. Like equities, credit markets recovered
much of their lost ground by the end of the first quarter.
Midway through the first quarter, market sentiment shifted, as expectations grew
that major central banks would extend their accommodative monetary policies in
the hopes of driving economic growth. The US Federal Reserve (the Fed) backed
off plans to raise interest rates four times in 2016, and the European Central
Bank announced a more comprehensive asset-purchasing program in the hopes of
encouraging lending, and boosting both inflation and economic growth. The Bank
of Japan also followed a monetary easing path, announcing negative interest
rates in January.
As 2016 moves along, we continue to see central bank policies as generally
supportive of the US economy - for which we maintain an expectation of modest
growth this year - against an overall global economic backdrop that remains
unsettled and points towards generally lower growth. Economies around the world
in both developed and emerging markets are experiencing deep structural changes.
Current challenges include incomplete debt deleveraging in both emerging and
developed markets, where debt levels continue to grow, the transition of many
emerging markets economies from export/investment-driven models to more domestic
demand-driven models, and aging populations, which are reducing productivity and
limiting economic growth potential (primarily in the developed markets but also
in emerging markets such as China). Geopolitical instability on many fronts, the
rising risk of policy mistakes, and market liquidity issues combine to increase
the possibility of sharp swings in asset values. Meanwhile, in the US, as always
in a presidential election year, the political rhetoric of 2016 has the
potential to impact domestic sectors such as health care.
Throughout Pioneer's history, we have believed in the importance of active
management. During periods of market volatility, we view the value of active
management as even more compelling. Our experienced and tenured investment teams
focus on identifying value across global markets using proprietary research,
careful risk management, and a long-term perspective. We believe our shareowners
can benefit from the experience and tenure of our investment teams as well as
the insights generated from our extensive research process.
2 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
As always, and particularly during times of market uncertainty, we encourage you
to work with your financial advisor to develop an overall investment plan that
addresses both your short- and long-term goals, and to implement such a plan in
a disciplined manner.
We greatly appreciate the trust you have placed in us and look forward to
continuing to serve you in the future.
Sincerely,
/s/ Lisa M. Jones
Lisa M. Jones
President and CEO
Pioneer Investment Management USA Inc.
April 30, 2016
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 Global High Yield Fund | Semiannual Report | 4/30/16 3
Portfolio Management Discussion | 4/30/16
The performance of high-yield corporate bonds and other more credit-sensitive
debt began to improve during the final 10 weeks of the six-month period ended
April 30, 2016. After a difficult start, investor sentiment improved as
commodity prices showed new strength and investors saw new signs for optimism in
the global economy. In the following interview, Andrew Feltus and Tracy Wright
discuss the market environment and the performance of Pioneer Global High Yield
Fund during the six-month period. Mr. Feltus, Director of High Yield and Bank
Loans, a senior vice president and a portfolio manager at Pioneer, is lead
manager of the Fund, and Ms. Wright, a senior vice president and portfolio
manager at Pioneer, is the co-manager of the Fund. Together, they are
responsible for the day-to-day management of the Fund.
Q How did the Fund perform during the six-month period ended April 30, 2016?
A Pioneer Global High Yield Fund's Class A shares returned 0.77% at net asset
value during the six-month period ended April 30, 2016, while the Fund's
benchmarks, the Barclays Global High Yield Index (the Barclays Index) and
the Bank of America Merrill Lynch (BofA ML) US High Yield Index, returned
3.65% and 2.25%, respectively. During the same period, the average return
of the 684 mutual funds in Lipper's High Yield Funds category was 0.83%,
and the average return of the 791 mutual funds in Morningstar's High Yield
Bond Funds category was 0.68%.
Q How would you describe the investment environment in the credit-sensitive
markets during the six-month period ended April 30, 2016?
A After a slow start to the calendar year, the backdrop for investing in
credit-linked securities, including US high-yield corporate bonds and
emerging markets debt, turned around and became more favorable in
mid-February 2016.
The period began with a continuation of the difficult environment that had
existed for most of 2015. Then, growing worries about the health of the
world economy became pervasive, principally because of the confluence of
several factors, including weakening prices for oil and other basic
commodities, evidence of slowing economic growth in China, and a resurgent
debt crisis in Greece that potentially threatened the wider European
economy. Falling prices for oil, metals, and other basic commodities
especially affected the debt of issuers with high exposure to such
commodities, notably US high-yield corporate bonds and emerging markets
debt. Meanwhile, although major central banks - especially in Europe and
Japan - adopted more accommodative monetary policies, expectations were
growing that the influential US Federal Reserve (the Fed) would become less
accommodative and start raising short-term interest rates in the United
States as soon as September 2015. As it happened, the Fed delayed its
anticipated rate-hike policy, keeping rates unchanged in September and
advising the financial markets that it would look closely at a
4 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
range of factors, including global market trends, before tightening
monetary policy. While it did raise the Federal funds rate by 0.25% in
December 2015, the Fed also made it clear that it would proceed cautiously
before raising rates any further. At the same time that the Fed was issuing
its newer guidance, the European Central Bank (ECB) further loosened its
monetary easing policy and the Chinese government signaled that it, too,
might adopt fiscal policies aimed at encouraging economic growth.
Market trends shifted in mid-February 2016 when the US dollar peaked in
value, the prices of oil and other commodities began to strengthen, and the
more credit-sensitive sectors of the fixed-income market starting to rally
and outperform other asset classes. The renewed strength in the credit
sectors continued over the final 10 weeks of the six-month period through
April 30, 2016.
After losing ground early in the period, US high-yield debt staged a brisk
rally, as investors seemed to recognize that high-yield bond prices were
attractive relative to the risks. US high yield returned more than 9% over
the final three months of the period through April 30, and finished the six
months with a 2.25% positive return (as measured by the BofA ML US High
Yield Index).
Emerging markets debt, which had largely tracked the performance of the US
high-yield sector, also rallied and began outperforming other asset classes
over the final portion of the six-month period. The major catalyst in the
emerging markets was the rebound in commodity prices. However, emerging
markets also received a boost from more optimistic investor attitudes about
growth prospects in China in the wake of the central government's signals
regarding more accommodative policies, and from encouraging prospects of
political and economic reforms in troubled areas such as Brazil and
Argentina.
Q What factors affected the Fund's performance relative to its benchmarks
during the six-month period ended April 30, 2016, both positively and
negatively?
A The Fund's benchmark-relative underperformance over the period is
attributable in large part to overall security selection results, which
tended to hold back relative returns. This was particularly the case in the
financials sector, mainly because the Fund did not fully participate in the
strong performance of European financial corporations. In Europe, we missed
opportunities to invest the portfolio in institutions that rallied after
the ECB extended its quantitative easing bond-buying program to include
corporate bonds. Security selection in the energy sector also detracted
from the Fund's benchmark-relative results, offsetting the positive effects
of the portfolio's underweighting of energy industry bonds. One energy
holding that detracted notably from benchmark-relative performance was
Pacific Rubiales, a Colombian oil company that defaulted on its debt.
Another portfolio holding that defaulted and held back the Fund's
performance was ICA, a Mexican construction company. In the United States,
meanwhile, our emphasis on holding energy exploration-and-production (E&P)
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 5
companies in the portfolio detracted from the Fund's relative performance.
Specific holdings in US energy companies that hurt the Fund's relative
returns during the period included Comstock Resources and MidStates Oil.
On the positive side of the ledger, the Fund's investments in securities of
several food-related commodity companies in the emerging markets helped
benchmark-relative results, led by positions in Brazilian beef companies
Marfrig and Minerva, and Peruvian fish-processing corporation Pesquera
Exalmar.
Q Did the Fund invest in any derivative securities during the six-month
period ended April 30, 2016? If so, did the investments have any influence
on the Fund's relative performance?
A Yes, we did invest in some currency forward contracts in an attempt to
hedge the effects of the Fund's foreign currency exposure. The contracts
had a slight negative effect on benchmark-relative results when some
foreign currencies began gaining strength against the US dollar. We also
invested in some credit default swaps as a way to help manage financial
liquidity in the portfolio. Those investments had no material impact on the
Fund's relative returns.
Q What factors affected the Fund's dividend*, or yield, during the six-month
period ended April 30, 2016?
A The Fund's yield remained stable over the six-month period, as the
portfolio's added emerging markets exposure helped to increase income even
as yields available in developed economies declined.
Q What is your investment outlook and how has it affected your investment
strategy for the Fund?
A We believe the US economy should be able to grow at a moderate pace of 2.0%
to 2.25% in 2016, despite getting off to a slow start in the first quarter,
when gross domestic product (GDP) struggled to reach 1%. While poor sales
figures and a slowdown in capital spending - both of which are tied to
weakness in the energy markets - played a role in the first quarter's
disappointing GDP figures, we still see persuasive evidence that the
domestic economy is strengthening, as employment growth has been relentless
and household formation and new-home construction data have been
encouraging.
While we foresee more growth on the domestic scene, global economic trends
remain mixed. The recovery in Europe is proceeding at a slow pace, and we
are concerned about the threatened exit of Britain from the European
Economic Community, while the state of the Chinese economy continues to
give investors pause. However, the recent pro-growth signals emanating from
the Chinese government provide some reason for optimism. Moreover, we are
becoming more encouraged about growth prospects in selected emerging
markets, especially if oil and other commodity prices did in fact bottom
out earlier this year.
* Dividends are not guaranteed.
6 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
If, as we expect, the domestic economy shows continued improvement, we
think a cautious Fed may further tighten monetary policy, perhaps raising
short-term interest rates once or twice more in 2016. Therefore, we intend
to maintain the Fund's short-duration stance relative to the overall
market. (Duration is a measure of the sensitivity of the price, or the
value of principal, of a fixed-income investment to a change in interest
rates, expressed as a number of years.)
We believe a slow-growth environment should be good for the credit-
sensitive markets. Corporate balance sheets continue to look solid and
borrowing costs are not burdensome. In addition, we do not see any
noticeable signs of increases in debt, or leverage in the economy, either
by corporations or individual households. When it comes to investing in
corporate bonds, we feel that security selection will be important,
especially as we see some corporations taking shareholder-friendly actions,
such as initiating mergers and increasing borrowing to pay for dividend
increases.
We think the US dollar, after an extended period of gains against foreign
currencies, may have peaked in relative value. This should be good for
portfolio management flexibility as we consider investment opportunities
outside the United States. In fact, we already have seen new strength in
the euro, which has aided the Fund's relative performance given that we
increased the portfolio's exposure to the euro as of period end, and we
believe this anticipated environment will prove positive overall.
Similarly, a softer US dollar also helps commodities, and the change in
currency markets has facilitated our decision to increase the portfolio's
exposure to the emerging markets. In that vein, we have reduced the Fund's
heavy overweight in US high-yield corporate bonds and floating-rate bank
loans, while boosting exposures to Europe and emerging markets. Both
sovereign and corporate emerging markets investments (including those
denominated in the US dollar) accounted for about 25% of invested assets as
of the end of April, while all investments denominated in non-dollar
currencies accounted for about 13%.
While we are more optimistic about opportunities in emerging markets and in
selected European groups, we also think domestic high-yield corporate bond
prices are attractive, although they may not be as compelling as they were
in February when they started to rally. Yield spreads - or the differences
in yield between lower-quality and higher-quality fixed-income vehicles
(usually Treasuries) with similar maturities - remain wider than long-term
averages, and most sectors (other than energy, and metals and mining) are
seeing improved performance. In addition, prices remain low relative to
current default rates.
Overall, we do not anticipate a robust rally in high-yield bonds, but we do
see opportunities for continued performance improvement.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 7
Please refer to the Schedule of Investments on pages 16-41 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.
Investments in high-yield or lower-rated securities are subject to greater-than-
average price volatility, illiquidity and possibility of default.
When interest rates rise, the prices of fixed-income securities in the Fund will
generally fall. Conversely, when interest rates fall, the prices of fixed-income
securities in the Fund will generally rise.
Investments in the Fund are subject to possible loss due to the financial
failure of issuers of underlying securities and their inability to meet their
debt obligations.
Investing in foreign and/or emerging markets securities involves risks relating
to interest rates, currency exchange rates, and economic and political
conditions.
Prepayment risk is the chance that an issuer may exercise its right to repay its
security, if falling interest rates prompt the issuer to do so. Forced to
reinvest the unanticipated proceeds at lower interest rates, the Fund would
experience a decline in income and lose the opportunity for additional price
appreciation.
The Fund may invest in mortgage-backed securities, which during times of
fluctuating interest rates may increase or decrease more than other fixed-income
securities. Mortgage-backed securities are also subject to pre-payments.
The Fund may use derivatives, such as options, futures, inverse floating rate
obligations, swaps, and others, which can be illiquid, may disproportionately
increase losses, and have a potentially large impact on Fund performance.
Derivatives may have a leveraging effect on the Fund.
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 Pioneer Investments for a prospectus or
summary prospectus containing this information. Read it carefully.
Any information in this shareholder report regarding market or economic trends
or the factors influencing the Fund's historical or future performance are
statements of opinion as of the date of this report. Past performance is no
guarantee of future results.
8 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Portfolio Summary | 4/30/16
Portfolio Diversification*
--------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
U.S. Corporate Bonds 47.1%
International Corporate Bonds 33.3%
Foreign Government Bonds 5.9%
Convertible Corporate Bonds 4.1%
Senior Secured Loans 3.6%
Collateralized Mortgage Obligations 1.4%
U.S. Preferred Stocks 1.2%
International Common Stocks 1.1%
Warrants 0.8%
U.S. Common Stocks 0.6%
U.S. Government Securities 0.4%
Asset Backed Securities 0.4%
International Preferred Stocks 0.1%
Depositary Receipts for International Stocks 0.0%+
+ Amount rounds to less than 0.1%.
* Includes investments in insurance linked securities totaling 4.0% of total
investment portfolio.
Geographical Distribution
--------------------------------------------------------------------------------
(As a percentage of long-term holdings based on country of domicile)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
United States 57.7%
Other (individually less than 1%) 11.7%
Luxembourg 6.3%
United Kingdom 4.9%
Mexico 3.5%
Netherlands 3.3%
Cayman Islands 2.1%
Canada 1.9%
Ireland 1.9%
Argentina 1.8%
Bermuda 1.8%
France 1.7%
Australia 1.4%
10 Largest Holdings
--------------------------------------------------------------------------------
(As a percentage of total long-term holdings)**
1. Mexican Udibonos, 2.0%, 6/9/22 1.47%
--------------------------------------------------------------------------------
2. Scientific Games International, Inc., 10.0%, 12/1/22 1.42
--------------------------------------------------------------------------------
3. GMAC Capital Trust I, Floating Rate Note, 2/15/40 1.22
--------------------------------------------------------------------------------
4. Marfrig Overseas, Ltd., 9.5%, 5/4/20 (144A) 1.16
--------------------------------------------------------------------------------
5. Minerva Luxembourg SA, 7.75%, 1/31/23 (144A) 1.14
--------------------------------------------------------------------------------
6. Darling Global Finance BV, 4.75%, 5/30/22 (144A) 1.13
--------------------------------------------------------------------------------
7. Frontier Communications Corp., 8.75%, 4/15/22 1.10
--------------------------------------------------------------------------------
8. Sprint Corp., 7.25%, 9/15/21 1.08
--------------------------------------------------------------------------------
9. Griffon Corp., 5.25%, 3/1/22 0.93
--------------------------------------------------------------------------------
10. NRG Energy, Inc., 6.25%, 5/1/24 0.84
--------------------------------------------------------------------------------
** This list excludes temporary cash investments and derivative instruments.
The portfolio is actively managed and current holdings may be different.
The holdings listed should not be considered recommendations to buy or sell
any security listed.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 9
Prices and Distributions | 4/30/16
Net Asset Value per Share
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Class 4/30/16 10/31/15
--------------------------------------------------------------------------------
A $8.44 $8.64
--------------------------------------------------------------------------------
C $8.41 $8.62
--------------------------------------------------------------------------------
Y $8.28 $8.49
--------------------------------------------------------------------------------
Distributions per Share: 11/1/15-4/30/16
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Short-Term Long-Term Tax Return
Class Dividends Capital Gains Capital Gains of Capital
--------------------------------------------------------------------------------
A $0.2550 $ -- $ --
--------------------------------------------------------------------------------
C $0.2264 $ -- $ --
--------------------------------------------------------------------------------
Y $0.2636 $ -- $ --
--------------------------------------------------------------------------------
Index Definitions
--------------------------------------------------------------------------------
The Barclays Global High Yield Index is an unmanaged index that provides a
broad-based measure of the global high-yield fixed-income markets. The index
represents the union of the Barclays U.S. High-Yield, Barclays Pan-European
High-Yield, Barclays U.S. Emerging Markets High-Yield, and Barclays Pan-
European Emerging Markets High-Yield Indices. The BofA ML US High Yield Index is
an unmanaged, commonly accepted measure of the performance of high-yield
securities. Index returns are calculated monthly, assume reinvestment of
dividends and, unlike Fund returns, do not reflect any fees, expenses or sales
charges. It is not possible to invest directly in an index.
The indices defined here pertain to the "Value of $10,000 Investment" and "Value
of $5 Million Investment" charts appearing on pages 11-13.
10 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Performance Update | 4/30/16 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 Global High Yield Fund at public
offering price during the periods shown, compared to that of the Bank of America
(BofA) Merrill Lynch (ML) US High Yield Index and the Barclays Global High Yield
Index.
Average Annual Total Returns
(As of April 30, 2016)
--------------------------------------------------------------------------------
Barclays BofA
Net Public Global ML US
Asset Offering High High
Value Price Yield Yield
Period (NAV) (POP) Index Index
--------------------------------------------------------------------------------
10 years 4.69% 4.21% 7.62% 7.20%
5 years 1.68 0.74 5.36 5.22
1 year -4.35 -8.64 1.57 -1.34
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated March 1, 2016)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.17%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Global BofA ML US High Barclays Global
High Yield Fund Yield Index High Yield Index
4/06 $ 9,550 $ 10,000 $ 10,000
4/07 $ 10,849 $ 11,241 $ 11,326
4/08 $ 10,522 $ 11,148 $ 11,376
4/09 $ 7,454 $ 9,511 $ 9,623
4/10 $ 12,057 $ 13,715 $ 13,952
4/11 $ 13,898 $ 15,545 $ 16,052
4/12 $ 13,703 $ 16,345 $ 16,765
4/13 $ 15,474 $ 18,640 $ 19,259
4/14 $ 16,086 $ 19,814 $ 20,687
4/15 $ 15,792 $ 20,322 $ 20,519
4/16 $ 15,104 $ 20,051 $ 20,841
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
NAV results represent the percent change in net asset value per share. Returns
would have been lower had charges been reflected. POP returns reflect deduction
of maximum 4.50% 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.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 11
Performance Update | 4/30/16 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 Global High Yield Fund during the
periods shown, compared to that of the Bank of America (BofA) Merrill Lynch (ML)
US High Yield Index and the Barclays Global High Yield Index.
Average Annual Total Returns
(As of April 30, 2016)
--------------------------------------------------------------------------------
Barclays BofA
Global ML US
High High
If If Yield Yield
Period Held Redeemed Index Index
--------------------------------------------------------------------------------
10 years 3.95% 3.95% 7.62% 7.20%
5 years 0.98 0.98 5.36 5.22
1 year -5.15 -5.15 1.57 -1.34
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated March 1, 2016)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
1.87%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Global BofA ML US High Barclays Global
High Yield Fund Yield Index High Yield Index
4/06 $ 10,000 $ 10,000 $ 10,000
4/07 $ 11,272 $ 11,241 $ 11,326
4/08 $ 10,853 $ 11,148 $ 11,376
4/09 $ 7,623 $ 9,511 $ 9,623
4/10 $ 12,254 $ 13,715 $ 13,952
4/11 $ 14,031 $ 15,545 $ 16,052
4/12 $ 13,762 $ 16,345 $ 16,765
4/13 $ 15,426 $ 18,640 $ 19,259
4/14 $ 15,923 $ 19,814 $ 20,687
4/15 $ 15,535 $ 20,322 $ 20,519
4/16 $ 14,734 $ 20,051 $ 20,841
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Class C shares held for less than one year are also subject to a 1% contingent
deferred sales charge (CDSC). "If Held" results represent the percent change in
net asset value per share. Returns would have been lower had sales charges been
reflected. All results are historical and assume the reinvestment of dividends
and capital gains. Other share classes are available for which performance and
expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
12 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Performance Update | 4/30/16 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 Global High Yield Fund during the
periods shown, compared to that of the Bank of America (BofA) Merrill Lynch (ML)
US High Yield Index and the Barclays Global High Yield Index.
Average Annual Total Returns
(As of April 30, 2016)
--------------------------------------------------------------------------------
Barclays BofA
Net Global ML US
Asset High High
Value Yield Yield
Period (NAV) Index Index
--------------------------------------------------------------------------------
10 years 5.02% 7.62% 7.20%
5 years 1.97 5.36 5.22
1 year -4.24 1.57 -1.34
--------------------------------------------------------------------------------
Expense Ratio
(Per prospectus dated March 1, 2016)
--------------------------------------------------------------------------------
Gross
--------------------------------------------------------------------------------
0.87%
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $5 Million Investment
Pioneer Global BofA ML US High Barclays Global
High Yield Fund Yield Index High Yield Index
4/06 $ 5,000,000 $ 5,000,000 $ 5,000,000
4/07 $ 5,700,075 $ 5,620,626 $ 5,663,013
4/08 $ 5,561,410 $ 5,574,105 $ 5,687,810
4/09 $ 3,959,377 $ 4,755,299 $ 4,811,687
4/10 $ 6,414,222 $ 6,857,329 $ 6,975,986
4/11 $ 7,403,238 $ 7,772,435 $ 8,025,973
4/12 $ 7,327,634 $ 8,172,622 $ 8,382,743
4/13 $ 8,299,690 $ 9,320,033 $ 9,629,619
4/14 $ 8,657,533 $ 9,906,834 $ 10,343,253
4/15 $ 8,521,646 $ 10,161,059 $ 10,259,725
4/16 $ 8,160,441 $ 10,025,271 $ 10,420,632
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
The performance data quoted represents past performance, which is no guarantee
of future results. Investment return and principal value will fluctuate, and
shares, when redeemed, may be worth more or less than their original cost.
Performance shown for Class Y shares for periods prior to the inception of Class
Y shares on December 28, 2005, is the net asset value performance of the Fund's
Class A shares. The performance does not reflect differences in expenses,
including the Rule 12b-1 fees applicable to Class A shares. Since fees for Class
A shares are generally higher than those of Class Y shares, the performance for
Class Y shares prior to their inception on December 28, 2005, would have been
higher than the performance shown. For the period beginning December 28, 2005,
the actual performance of Class Y shares is reflected. Class Y shares are not
subject to sales charges and are available for limited groups of eligible
investors, including institutional investors. All results are historical and
assume the reinvestment of dividends and capital gains. Other share classes are
available for which performance and expenses will differ.
Performance results reflect any applicable expense waivers in effect during the
periods shown. Without such waivers Fund performance would be lower. Waivers may
not be in effect for all funds. Certain fee waivers are contractual through a
specified period. Otherwise, fee waivers can be rescinded at any time. See the
prospectus and financial statements for more information.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Fund distributions or the redemption of Fund
shares.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 13
Comparing Ongoing Fund Expenses
As a shareowner in the Fund, you incur two types of costs:
(1) ongoing costs, including management fees, distribution and/or service
(12b-1) fees, and other Fund expenses; and
(2) transaction costs, including sales charges (loads) on purchase payments.
This example is intended to help you understand your ongoing expenses (in
dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The example is based on an investment
of $1,000 at the beginning of the Fund's latest six-month period and held
throughout the six months.
Using the Tables
--------------------------------------------------------------------------------
Actual Expenses
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you paid over the period as
follows:
(1) Divide your account value by $1,000
Example: an $8,600 account value (divided by) $1,000 = 8.6
(2) Multiply the result in (1) above by the corresponding share class's number
in the third row under the heading entitled "Expenses Paid During Period"
to estimate the expenses you paid on your account during this period.
Expenses Paid on a $1,000 Investment in Pioneer Global High Yield Fund
Based on actual returns from November 1, 2015, through April 30, 2016.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 11/1/15
--------------------------------------------------------------------------------
Ending Account $1,007.10 $1,003.00 $1,007.70
Value (after expenses)
on 4/30/16
--------------------------------------------------------------------------------
Expenses Paid $ 5.79 $ 9.31 $ 4.39
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.16%,
1.87%, and 0.88% for Class A, Class C and Class Y shares, respectively,
multiplied by the average account value over the period, multiplied by
182/366 (to reflect the one-half year period).
14 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
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 Global High Yield Fund
Based on a hypothetical 5% return per year before expenses, reflecting the
period from November 1, 2015, through April 30, 2016.
--------------------------------------------------------------------------------
Share Class A C Y
--------------------------------------------------------------------------------
Beginning Account $1,000.00 $1,000.00 $1,000.00
Value on 11/1/15
--------------------------------------------------------------------------------
Ending Account $1,019.10 $1,015.56 $1,020.49
Value (after expenses)
on 4/30/16
--------------------------------------------------------------------------------
Expenses Paid $ 5.82 $ 9.37 $ 4.42
During Period*
--------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.16%,
1.87%, and 0.88% for Class A, Class C and Class Y shares, respectively,
multiplied by the average account value over the period, multiplied by
182/366 (to reflect the one-half year period).
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 15
Schedule of Investments | 4/30/16 (unaudited)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
CONVERTIBLE CORPORATE BONDS -- 4.1%
ENERGY -- 0.9%
Oil & Gas Exploration & Production -- 0.5%
4,155,000 Cobalt International Energy, Inc.,
2.625%, 12/1/19 $ 2,090,484
2,585,000 Whiting Petroleum Corp., 1.25%, 4/1/20 (144A) 1,951,675
-------------
$ 4,042,159
---------------------------------------------------------------------------------------------------
Oil & Gas Storage & Transportation -- 0.4%
2,800,000 Golar LNG, Ltd., 3.75%, 3/7/17 $ 2,643,480
-------------
Total Energy $ 6,685,639
---------------------------------------------------------------------------------------------------
MATERIALS -- 0.9%
Construction Materials -- 0.7%
4,875,000 Cemex SAB de CV, 3.72%, 3/15/20 $ 4,765,312
---------------------------------------------------------------------------------------------------
Diversified Metals & Mining -- 0.2%
3,890,636 Mirabela Nickel, Ltd., 9.5%, 6/24/19 (144A)
(0.0% cash, 9.5% PIK) (PIK) $ 1,439,535
---------------------------------------------------------------------------------------------------
Steel -- 0.0%+
EURO 256,063 New World Resources NV, 4.0%, 10/7/20
(144A) (4.0% cash, 8.0% PIK) (PIK) (e) $ 43,983
-------------
Total Materials $ 6,248,830
---------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 0.1%
Electrical Components & Equipment -- 0.1%
1,250,000 General Cable Corp., 4.5%, 11/15/29 (Step) $ 826,562
-------------
Total Capital Goods $ 826,562
---------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 0.6%
Homebuilding -- 0.6%
4,640,000 KB Home, 1.375%, 2/1/19 $ 4,451,500
-------------
Total Consumer Durables & Apparel $ 4,451,500
---------------------------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 0.1%
Distillers & Vintners -- 0.1%
2,632,642 CEDC Finance Corp International, Inc., 10.0%,
4/30/18 (10.0% cash, 0.0% PIK) (PIK) $ 684,487
-------------
Total Food, Beverage & Tobacco $ 684,487
---------------------------------------------------------------------------------------------------
PHARMACEUTICALS, BIOTECHNOLOGY &
LIFE SCIENCES -- 0.2%
Biotechnology -- 0.2%
1,065,000 Anacor Pharmaceuticals, Inc., 2.0%,
4/15/23 (144A) $ 1,222,088
---------------------------------------------------------------------------------------------------
Pharmaceuticals -- 0.0%+
400,000 Jazz Investments I, Ltd., 1.875%, 8/15/21 $ 445,000
-------------
Total Pharmaceuticals, Biotechnology &
Life Sciences $ 1,667,088
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
16 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 0.8%
Internet Software & Services -- 0.5%
2,645,000 WebMD Health Corp., 1.5%, 12/1/20 $ 3,536,034
---------------------------------------------------------------------------------------------------
Application Software -- 0.3%
1,840,000 Citrix Systems, Inc., 0.5%, 4/15/19 $ 2,078,050
490,000 Mentor Graphics Corp., 4.0%, 4/1/31 514,806
-------------
$ 2,592,856
-------------
Total Software & Services $ 6,128,890
---------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 0.2%
Electronic Components -- 0.2%
1,605,000 Vishay Intertechnology, Inc., 2.25%, 5/15/41 $ 1,236,853
-------------
Total Technology Hardware & Equipment $ 1,236,853
---------------------------------------------------------------------------------------------------
SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT -- 0.3%
Semiconductors -- 0.3%
2,393,896 LDK Solar Co., Ltd., 5.535%, 12/31/18,
(5.535% cash, 5.535% PIK) (PIK) $ 359,084
2,290,000 SunPower Corp., 0.875%, 6/1/21 1,824,844
535,000 Suntech Power Holdings Co., Ltd., 3.0%,
3/15/13 (d) 268
-------------
$ 2,184,196
-------------
Total Semiconductors & Semiconductor
Equipment $ 2,184,196
---------------------------------------------------------------------------------------------------
TOTAL CONVERTIBLE CORPORATE BONDS
(Cost $38,388,652) $ 30,114,045
---------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------
Shares
---------------------------------------------------------------------------------------------------
PREFERRED STOCKS -- 1.4%
TRANSPORTATION -- 0.2%
Air Freight & Logistics -- 0.2%
3,428 CEVA Group Plc, 12/31/14* (c) $ 1,199,860
-------------
Total Transportation $ 1,199,860
---------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 1.2%
Consumer Finance -- 1.2%
355,600 6.40 GMAC Capital Trust I, Floating Rate Note, 2/15/40 $ 8,914,892
-------------
Total Diversified Financials $ 8,914,892
---------------------------------------------------------------------------------------------------
INSURANCE -- 0.0%+
Reinsurance -- 0.0%+
33,500 Lorenz Re, Ltd., Variable Rate Notes,
(Perpetual)* (f)(g) $ 83,750
-------------
Total Insurance $ 83,750
---------------------------------------------------------------------------------------------------
TOTAL PREFERRED STOCKS
(Cost $12,202,275) $ 10,198,502
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 17
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------------
COMMON STOCKS -- 1.8%
ENERGY -- 0.0%+
Oil & Gas Exploration & Production -- 0.0%+
5,886 Swift Energy Co. $ 125,078
-------------
Total Energy $ 125,078
---------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 0.0%+
Industrial Machinery -- 0.0%+
156,027 Liberty Tire Recycling LLC (e) $ 1,560
-------------
Total Capital Goods $ 1,560
---------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.0%+
Diversified Support Services -- 0.0%+
63 IAP Worldwide Services, Inc. $ 84,949
-------------
Total Commercial Services & Supplies $ 84,949
---------------------------------------------------------------------------------------------------
TRANSPORTATION -- 0.1%
Air Freight & Logistics -- 0.1%
1,584 CEVA Group Plc* $ 554,278
-------------
Total Transportation $ 554,278
---------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.5%
Automobile Manufacturers -- 0.5%
270,899 Ford Motor Co. $ 3,673,390
-------------
Total Automobiles & Components $ 3,673,390
---------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 0.1%
Homebuilding -- 0.1%
1,443,476 Desarrolladora Homex SAB de CV* $ 285,139
-------------
Total Consumer Durables & Apparel $ 285,139
---------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 0.0%+
Education Services -- 0.0%+
11,492 Cengage Learning Holdings II, Inc. $ 221,221
-------------
Total Consumer Services $ 221,221
---------------------------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 0.2%
Distillers & Vintners -- 0.2%
87,811 Marie Brizard Wine & Spirits SA* $ 1,682,241
-------------
Total Food, Beverage & Tobacco $ 1,682,241
---------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.1%
Specialized Finance -- 0.1%
894 Panolam Holdings Co.* (e) $ 770,628
-------------
Total Diversified Financials $ 770,628
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------------
INSURANCE -- 0.8%
Life & Health Insurance -- 0.8%
4,613,242 TIG TopCo., Ltd. (e) $ 5,593,390
4,840 TIG TopCo., Ltd. (Class A) (e) 71
132,750 TopCo. Ltd. (e) 1,939
-------------
$ 5,595,400
-------------
Total Insurance $ 5,595,400
---------------------------------------------------------------------------------------------------
SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT -- 0.0%+
Semiconductors -- 0.0%+
158,800 LDK Solar Co., Ltd. (A.D.R.)* $ 4,351
-------------
Total Semiconductors & Semiconductor
Equipment $ 4,351
---------------------------------------------------------------------------------------------------
TOTAL COMMON STOCKS
(Cost $16,827,874) $ 12,998,235
---------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b)
---------------------------------------------------------------------------------------------------
ASSET BACKED SECURITIES -- 0.6%
TRANSPORTATION -- 0.2%
Airlines -- 0.2%
1,197,936 Continental Airlines 1998-1 Class B Pass
Through Trust, 6.748%, 3/15/17 $ 1,227,884
-------------
Total Transportation $ 1,227,884
---------------------------------------------------------------------------------------------------
BANKS -- 0.2%
Thrifts & Mortgage Finance -- 0.2%
1,124,569 1.41 Countrywide Asset-Backed Certificates, Floating
Rate Note, 11/25/34 $ 1,070,339
335,609 Westgate Resorts 2014-A LLC, 6.25%,
10/20/26 (144A) 334,770
-------------
$ 1,405,109
-------------
Total Banks $ 1,405,109
---------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.2%
Specialized Finance -- 0.2%
687,827 0.86 Lease Investment Flight Trust, Floating Rate
Note, 7/15/31 $ 151,322
7,896,897 0.82 Lease Investment Flight Trust, Floating Rate
Note, 7/15/31 1,796,544
-------------
$ 1,947,866
-------------
Total Diversified Financials $ 1,947,866
---------------------------------------------------------------------------------------------------
TOTAL ASSET BACKED SECURITIES
(Cost $7,886,438) $ 4,580,859
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 19
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
COLLATERALIZED MORTGAGE
OBLIGATIONS -- 1.4%
BANKS -- 1.4%
Thrifts & Mortgage Finance -- 1.4%
1,500,000 3.21 Citigroup Commercial Mortgage Trust 2014-GC23
REMICS, Floating Rate Note, 7/12/47 (144A) $ 880,669
1,480,000 5.96 COBALT CMBS Commercial Mortgage Trust
2007-C3, Floating Rate Note, 5/15/46 1,390,859
455,000 5.96 COBALT CMBS Commercial Mortgage Trust
2007-C3, Floating Rate Note, 5/15/46 406,486
600,000 6.01 COMM 2007-C9 Mortgage Trust, Floating
Rate Note, 12/10/49 (144A) 563,288
1,175,000 3.89 EQTY 2014-INNS Mortgage Trust, Floating
Rate Note, 5/8/31 (144A) 1,123,859
777,948 5.19 EQTY 2014-MZ Mezzanine Trust, Floating
Rate Note, 5/10/19 (144A) 728,455
1,395,744 4.94 GS Mortgage Securities Corp., II Series
2005-GG4, Floating Rate Note, 7/10/39 1,350,259
661,738 Homeowner Assistance Program Reverse
Mortgage Loan Trust 2013-RM1, 4.0%,
5/26/53 (144A) 653,466
2,100,000 6.21 JP Morgan Chase Commercial Mortgage
Securities Trust 2007-LDP12, Floating Rate
Note, 2/15/51 2,013,699
1,646,711 2.81 JP Morgan Mortgage Trust 2005-A1, Floating
Rate Note, 2/25/35 1,538,456
-------------
$ 10,649,496
-------------
Total Banks $ 10,649,496
---------------------------------------------------------------------------------------------------
TOTAL COLLATERALIZED MORTGAGE
OBLIGATIONS
(Cost $10,796,826) $ 10,649,496
---------------------------------------------------------------------------------------------------
CORPORATE BONDS -- 79.7%
ENERGY -- 9.5%
Oil & Gas Drilling -- 0.4%
2,306,000 Rowan Companies, Inc., 5.4%, 12/1/42 $ 1,510,430
237,000 Rowan Companies, Inc., 5.85%, 1/15/44 161,752
2,420,000 Unit Corp., 6.625%, 5/15/21 1,639,550
-------------
$ 3,311,732
---------------------------------------------------------------------------------------------------
Integrated Oil & Gas -- 0.9%
5,165,000 Petrobras Global Finance BV, 5.375%, 1/27/21 $ 4,590,394
MXN 8,650,000 Petroleos Mexicanos, 7.19%, 9/12/24 (144A) 442,546
1,435,000 YPF SA, 8.5%, 3/23/21 (144A) 1,499,575
-------------
$ 6,532,515
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
20 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Oil & Gas Exploration & Production -- 5.1%
2,724,439 Ascent Resources -- Utica LLC, 3.5%, 3/1/21
(144A) (PIK) $ 54,489
3,225,000 Carrizo Oil & Gas, Inc., 6.25%, 4/15/23 3,096,000
274,000 Comstock Resources, Inc., 9.5%, 6/15/20 38,360
2,385,000 Continental Resources, Inc., 3.8%, 6/1/24 2,033,212
3,595,000 Denbury Resources, Inc., 5.5%, 5/1/22 2,309,788
4,980,000 EPL Oil & Gas, Inc., 8.25%, 2/15/18 348,600
3,260,000 GeoPark Latin America, Ltd. Agencia en Chile,
7.5%, 2/11/20 (144A) 2,314,600
4,990,000 Gulfport Energy Corp., 7.75%, 11/1/20 5,039,900
1,634,000 Halcon Resources Corp., 12.0%, 2/15/22 (144A) 1,164,225
3,790,000 Hilcorp Energy I LP, 5.0%, 12/1/24 (144A) 3,524,700
1,000,000 KazMunayGas National Co., JSC, 4.4%,
4/30/23 (144A) 932,500
2,870,000 Memorial Resource Development Corp.,
5.875%, 7/1/22 2,611,700
2,300,000 Midstates Petroleum Co., Inc., 9.25%, 6/1/21 (d) 34,500
1,955,000 Novatek OAO via Novatek Finance, Ltd., 4.422%,
12/13/22 (144A) 1,867,416
3,240,000 Oasis Petroleum, Inc., 6.875%, 3/15/22 2,891,700
785,000 Oasis Petroleum, Inc., 7.25%, 2/1/19 745,750
7,570,000 Pacific Exploration and Production Corp.,
5.375%, 1/26/19 (144A) 1,135,500
1,745,000 PDC Energy, Inc., 7.75%, 10/15/22 1,806,075
1,285,000 QEP Resources, Inc., 5.375%, 10/1/22 1,217,538
1,750,000 Rice Energy Inc., 6.25%, 5/1/22 1,732,500
975,000 Rice Energy, Inc., 7.25%, 5/1/23 984,750
455,000 SM Energy Co., 5.0%, 1/15/24 378,788
575,000 Whiting Petroleum Corp., 5.0%, 3/15/19 508,875
500,000 Whiting Petroleum Corp., 6.25%, 4/1/23 416,250
-------------
$ 37,187,716
---------------------------------------------------------------------------------------------------
Oil & Gas Refining & Marketing -- 0.8%
4,025,000 Calumet Specialty Products Partners LP,
6.5%, 4/15/21 $ 2,777,250
448,000 EnLink Midstream Partners LP, 5.05%, 4/1/45 336,714
1,299,000 EnLink Midstream Partners LP, 5.6%, 4/1/44 989,261
1,849,474 6.26 EP PetroEcuador via Noble Sovereign Funding I,
Ltd., Floating Rate Note, 9/24/19 1,683,021
-------------
$ 5,786,246
---------------------------------------------------------------------------------------------------
Oil & Gas Storage & Transportation -- 2.3%
1,090,000 Genesis Energy LP, 5.75%, 2/15/21 $ 1,024,600
2,645,000 Global Partners LP, 7.0%, 6/15/23 2,223,440
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 21
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Oil & Gas Storage & Transportation (continued)
NOK 13,000,000 6.21 Golar LNG Partners LP, Floating Rate Note,
10/12/17 $ 1,564,497
2,385,000 ONEOK, Inc., 7.5%, 9/1/23 2,414,812
4,000,000 Sabine Pass Liquefaction LLC, 5.625%, 2/1/21 3,975,000
2,650,000 Targa Resources Partners LP, 4.25%, 11/15/23 2,442,982
1,375,000 The Williams Companies, Inc., 4.55%, 6/24/24 1,185,071
2,850,000 The Williams Companies, Inc., 5.75%, 6/24/44 2,223,000
-------------
$ 17,053,402
---------------------------------------------------------------------------------------------------
Coal & Consumable Fuels -- 0.0%+
315,000 Alpha Natural Resources, Inc., 6.0%, 6/1/19 (d) $ 2,362
-------------
Total Energy $ 69,873,973
---------------------------------------------------------------------------------------------------
MATERIALS -- 9.1%
Commodity Chemicals -- 1.3%
6,520,000 Rain CII Carbon LLC, 8.0%, 12/1/18 (144A) $ 5,607,200
4,635,000 Tronox Finance LLC, 7.5%, 3/15/22 (144A) 3,847,050
-------------
$ 9,454,250
---------------------------------------------------------------------------------------------------
Diversified Chemicals -- 0.9%
460,000 Blue Cube Spinco, Inc., 10.0%, 10/15/25 (144A) $ 530,150
460,000 Blue Cube Spinco, Inc., 9.75%, 10/15/23 (144A) 524,975
EURO 4,988,000 Ineos Finance Plc, 4.0%, 5/1/23 (144A) 5,576,104
-------------
$ 6,631,229
---------------------------------------------------------------------------------------------------
Construction Materials -- 0.0%+
EURO 240,000 Votorantim Cimentos SA, 3.5%, 7/13/22 $ 230,028
---------------------------------------------------------------------------------------------------
Metal & Glass Containers -- 3.0%
EURO 452,686 Ardagh Finance Holdings SA, 8.375%, 6/15/19
(0.00% cash, 8.375% PIK) (144A) (PIK) $ 537,550
590,000 Ardagh Packaging Finance Plc, 4.625%,
5/15/23 (144A) 590,000
630,000 Ardagh Packaging Finance Plc, 7.25%,
5/15/24 (144A) 630,000
475,000 0.00 Ardagh Packaging Finance Plc, Floating Rate
Note, 5/15/21 (144A) 475,000
2,362,015 Ardagh Finance Holdings SA, 8.625%,
(0.00% Cash, 8.625% PIK) 6/15/19
(144A) (PIK) 2,432,875
423,529 Ardagh Packaging Finance Plc, 7.0%,
11/15/20 (144A) 400,235
EURO 2,100,000 Ardagh Packaging Finance Plc, 9.25%,
10/15/20 (144A) 2,524,921
2,775,000 Ball Corp., 5.25%, 7/1/25 2,918,967
EURO 725,000 Horizon Holdings I SASU, 7.25%, 8/1/23 (144A) 885,198
EURO 950,000 Horizon Holdings III SASU, 5.125%,
8/1/22 (144A) 1,144,957
The accompanying notes are an integral part of these financial statements.
22 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Metal & Glass Containers (continued)
5,790,000 Reynolds Group Issuer, Inc., 8.5%, 5/15/18 $ 5,796,948
3,785,000 Reynolds Group Issuer, Inc., 9.875%, 8/15/19 3,912,744
-------------
$ 22,249,395
---------------------------------------------------------------------------------------------------
Paper Packaging -- 0.5%
3,355,000 AEP Industries, Inc., 8.25%, 4/15/19 $ 3,413,712
---------------------------------------------------------------------------------------------------
Diversified Metals & Mining -- 1.4%
810,000 Ausdrill Finance Pty, Ltd., 6.875%,
11/1/19 (144A) $ 690,525
1,800,000 FMG Resources August 2006 Pty, Ltd., 9.75%,
3/1/22 (144A) 1,892,340
2,000,000 MMC Norilsk Nickel OJSC via MMC Finance,
Ltd., 5.55%, 10/28/20 (144A) 2,095,000
700,000 MMC Norilsk Nickel OJSC via MMC Finance,
Ltd., 6.625%, 10/14/22 (144A) 755,825
860,000 Prince Mineral Holding Corp., 11.5%,
12/15/19 (144A) 750,350
5,145,000 Vedanta Resources Plc, 8.25%, 6/7/21 (144A) 4,090,275
-------------
$ 10,274,315
---------------------------------------------------------------------------------------------------
Steel -- 1.2%
2,915,000 BlueScope Steel Finance, Ltd., 6.5%,
5/15/21 (144A) $ 2,973,300
4,340,000 JMC Steel Group, Inc., 8.25%, 3/15/18 (144A) 4,166,400
EURO 135,483 0.00 New World Resources NV, Floating Rate Note,
10/7/20 (e) 32,580
EURO 101,612 0.00 New World Resources NV, Floating Rate Note,
10/7/20 (e) 15,126
1,960,000 Samarco Mineracao SA, 4.125%,
11/1/22 (144A) 1,176,588
910,000 Samarco Mineracao SA, 5.75%,
10/24/23 (144A) 548,548
-------------
$ 8,912,542
---------------------------------------------------------------------------------------------------
Paper Products -- 0.8%
2,025,000 Mercer International, Inc., 7.0%, 12/1/19 $ 2,045,250
3,735,000 Resolute Forest Products, Inc., 5.875%, 5/15/23 2,810,588
EURO 935,000 Sappi Papier Holding GmbH, 4.0%,
4/1/23 (144A) 1,089,405
-------------
$ 5,945,243
-------------
Total Materials $ 67,110,714
---------------------------------------------------------------------------------------------------
CAPITAL GOODS -- 4.2%
Aerospace & Defense -- 0.9%
1,335,000 DigitalGlobe, Inc., 5.25%, 2/1/21 (144A) $ 1,206,506
2,433,000 DynCorp International, Inc., 10.375%, 7/1/17 2,055,885
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 23
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Aerospace & Defense (continued)
EURO 3,265,000 TA MFG., Ltd., 3.625%, 4/15/23 $ 3,470,055
-------------
$ 6,732,446
---------------------------------------------------------------------------------------------------
Building Products -- 0.9%
6,750,000 Griffon Corp., 5.25%, 3/1/22 $ 6,783,750
---------------------------------------------------------------------------------------------------
Construction & Engineering -- 0.2%
EURO 640,000 Abengoa Finance SAU, 6.0%, 3/31/21 (144A) $ 58,629
6,900,000 Abengoa Finance SAU, 8.875%, 11/1/17 (144A) 552,000
2,250,000 Empresas ICA SAB de CV, 8.9%, 2/4/21 (144A) 540,000
-------------
$ 1,150,629
---------------------------------------------------------------------------------------------------
Electrical Components & Equipment -- 0.4%
3,250,000 General Cable Corp., 5.75%, 10/1/22 $ 2,916,875
---------------------------------------------------------------------------------------------------
Industrial Conglomerates -- 0.4%
2,980,000 JB Poindexter & Co., Inc., 9.0%, 4/1/22 (144A) $ 3,136,450
---------------------------------------------------------------------------------------------------
Industrial Machinery -- 0.9%
4,440,000 Apex Tool Group LLC, 7.0%, 2/1/21 (144A) $ 3,996,000
3,461,374 Liberty Tire Recycling LLC, 11.0%, 3/31/21
(0.0% cash, 11.0% PIK) (144A) (PIK) (e) 2,561,417
-------------
$ 6,557,417
---------------------------------------------------------------------------------------------------
Trading Companies & Distributors -- 0.5%
3,915,000 WESCO Distribution, Inc., 5.375%, 12/15/21 $ 3,973,725
-------------
Total Capital Goods $ 31,251,292
---------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.4%
Environmental & Facilities Services -- 0.2%
1,320,000 Clean Harbors, Inc., 5.125%, 6/1/21 (144A) $ 1,329,900
---------------------------------------------------------------------------------------------------
Diversified Support Services -- 0.2%
400,000 Broadspectrum, Ltd., 8.375%, 5/15/20 (144A) $ 434,000
1,475,000 NANA Development Corp., 9.5%, 3/15/19 (144A) 1,272,188
-------------
$ 1,706,188
-------------
Total Commercial Services & Supplies $ 3,036,088
---------------------------------------------------------------------------------------------------
TRANSPORTATION -- 2.2%
Airlines -- 0.7%
1,961,802 Guanay Finance, Ltd., 6.0%, 12/15/20 (144A) $ 1,947,088
3,250,000 TAM Capital 3, Inc., 8.375%, 6/3/21 (144A) 2,969,688
-------------
$ 4,916,776
---------------------------------------------------------------------------------------------------
Marine -- 0.4%
2,700,000 Far East Capital, Ltd. SA, 8.0%, 5/2/18 $ 1,039,500
3,650,000 Navios South American Logistics, Inc., 7.25%,
5/1/22 (144A) 2,199,125
-------------
$ 3,238,625
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
24 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Railroads -- 0.7%
3,370,000 Florida East Coast Holdings Corp., 6.75%,
5/1/19 (144A) $ 3,403,700
EURO 1,325,000 Russian Railways via RZD Capital Plc, 3.3744%,
5/20/21 1,505,878
-------------
$ 4,909,578
---------------------------------------------------------------------------------------------------
Trucking -- 0.0%+
5,920,860 Inversiones Alsacia SA, 8.0%, 12/31/18 (144A) $ 355,252
---------------------------------------------------------------------------------------------------
Highways & Railtracks -- 0.4%
MXN 47,000,000 Red de Carreteras de Occidente SAPIB de CV,
9.0%, 6/10/28 (144A) $ 2,730,080
-------------
Total Transportation $ 16,150,311
---------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.8%
Auto Parts & Equipment -- 0.2%
1,462,000 Nexteer Automotive Group, Ltd., 5.875%,
11/15/21 (144A) $ 1,502,205
---------------------------------------------------------------------------------------------------
Automobile Manufacturers -- 0.6%
2,475,000 TI Group Automotive Systems LLC, 8.75%,
7/15/23 (144A) $ 2,425,500
1,670,000 ZF North America Capital, Inc., 4.75%,
4/29/25 (144A) 1,692,962
-------------
$ 4,118,462
-------------
Total Automobiles & Components $ 5,620,667
---------------------------------------------------------------------------------------------------
CONSUMER DURABLES & APPAREL -- 1.4%
Homebuilding -- 1.0%
2,079,000 Lennar Corp., 4.75%, 11/15/22 $ 2,110,185
2,200,000 Rialto Holdings LLC, 7.0%, 12/1/18 (144A) 2,156,000
2,625,000 Taylor Morrison Communities, Inc., 5.875%,
4/15/23 (144A) 2,618,438
-------------
$ 6,884,623
---------------------------------------------------------------------------------------------------
Leisure Products -- 0.4%
3,235,000 Icon Health & Fitness, Inc., 11.875%,
10/15/16 (144A) $ 3,129,862
-------------
Total Consumer Durables & Apparel $ 10,014,485
---------------------------------------------------------------------------------------------------
CONSUMER SERVICES -- 3.4%
Casinos & Gaming -- 2.2%
EURO 4,921,360 Cirsa Funding Luxembourg SA, 8.75%,
5/15/18 (144A) $ 5,663,626
83,503 Mashantucket Western Pequot Tribe, 6.5%,
7/1/36 (1.0% cash, 5.50% PIK) (PIK) (d) 418
12,500,000 Scientific Games International, Inc.,
10.0%, 12/1/22 10,331,250
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 25
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Casinos & Gaming (continued)
625,000 Scientific Games International, Inc.,
6.25%, 9/1/20 $ 401,562
-------------
$ 16,396,856
---------------------------------------------------------------------------------------------------
Hotels, Resorts & Cruise Lines -- 0.7%
2,540,000 Sabre GLBL, Inc., 5.375%, 4/15/23 (144A) $ 2,584,450
2,860,000 Viking Cruises, Ltd., 8.5%, 10/15/22 (144A) 2,688,400
-------------
$ 5,272,850
---------------------------------------------------------------------------------------------------
Specialized Consumer Services -- 0.5%
EURO 3,285,000 Boing Group Financing Plc, 6.625%,
7/15/19 (144A) $ 3,551,941
-------------
Total Consumer Services $ 25,221,647
---------------------------------------------------------------------------------------------------
MEDIA -- 1.1%
Broadcasting -- 0.5%
EURO 3,000,000 United Group BV, 7.875%, 11/15/20 (144A) $ 3,641,418
---------------------------------------------------------------------------------------------------
Cable & Satellite -- 0.4%
1,615,000 CCOH Safari LLC, 5.75%, 2/15/26 (144A) $ 1,667,488
2,500,000 Intelsat Luxembourg SA, 7.75%, 6/1/21 825,000
-------------
$ 2,492,488
---------------------------------------------------------------------------------------------------
Publishing -- 0.2%
1,675,000 Trader Corp., 9.875%, 8/15/18 (144A) $ 1,737,812
-------------
Total Media $ 7,871,718
---------------------------------------------------------------------------------------------------
RETAILING -- 1.3%
Distributors -- 0.2%
1,250,000 LKQ Corp., 4.75%, 5/15/23 $ 1,256,250
---------------------------------------------------------------------------------------------------
Department Stores -- 0.4%
2,285,000 Argos Merger Sub, Inc., 7.125%, 3/15/23 (144A) $ 2,336,412
148,000 Grupo Famsa SAB de CV, 7.25%, 6/1/20 (144A) 136,160
-------------
$ 2,472,572
---------------------------------------------------------------------------------------------------
Computer & Electronics Retail -- 0.3%
3,010,000 Rent-A-Center, Inc., 4.75%, 5/1/21 $ 2,441,862
---------------------------------------------------------------------------------------------------
Specialty Stores -- 0.4%
3,865,000 Outerwall, Inc., 5.875%, 6/15/21 $ 3,111,325
-------------
Total Retailing $ 9,282,009
---------------------------------------------------------------------------------------------------
FOOD & STAPLES RETAILING -- 0.3%
Food Retail -- 0.3%
2,535,000 C&S Group Enterprises LLC, 5.375%,
7/15/22 (144A) $ 2,433,600
-------------
Total Food & Staples Retailing $ 2,433,600
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
26 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
FOOD, BEVERAGE & TOBACCO -- 10.4%
Distillers & Vintners -- 0.5%
4,829,992 CEDC Finance Corp., International, Inc., 10.0%,
4/30/18 (Step) $ 3,260,245
---------------------------------------------------------------------------------------------------
Agricultural Products -- 0.1%
1,625,000 Tonon Luxembourg SA, 10.5%, 5/14/24 (144A) $ 684,125
---------------------------------------------------------------------------------------------------
Packaged Foods & Meats -- 9.1%
EURO 3,200,000 Agrokor dd, 9.875%, 5/1/19 (144A) $ 3,859,995
GBP 1,170,000 Boparan Finance Plc, 5.5%, 7/15/21 (144A) 1,606,588
4,450,000 CFG Investment SAC, 9.75%, 7/30/19 (144A) (d) 2,981,500
EURO 6,945,000 Darling Global Finance BV, 4.75%,
5/30/22 (144A) 8,223,112
5,800,000 FAGE Dairy Industry SA, 9.875%, 2/1/20 (144A) 6,024,750
3,135,000 JBS USA LLC, 5.75%, 6/15/25 (144A) 2,884,200
3,615,000 Marfrig Holdings Europe BV, 6.875%,
6/24/19 (144A) 3,578,850
8,248,000 Marfrig Overseas, Ltd., 9.5%, 5/4/20 (144A) 8,454,200
5,300,000 MHP SA, 8.25%, 4/2/20 (144A) 4,743,500
3,755,000 Minerva Luxembourg SA, 12.25%,
2/10/22 (144A) 3,938,056
8,150,000 Minerva Luxembourg SA, 7.75%,
1/31/23 (144A) 8,282,438
6,500,000 Pesquera Exalmar SAA, 7.375%,
1/31/20 (144A) 4,826,250
5,340,000 Post Holdings, Inc., 6.0%, 12/15/22 (144A) 5,483,512
1,375,000 Post Holdings, Inc., 6.75%, 12/1/21 (144A) 1,441,179
800,000 Post Holdings, Inc., 7.75%, 3/15/24 (144A) 870,000
-------------
$ 67,198,130
---------------------------------------------------------------------------------------------------
Tobacco -- 0.7%
6,165,000 Alliance One International, Inc., 9.875%,
7/15/21 $ 5,132,362
-------------
Total Food, Beverage & Tobacco $ 76,274,862
---------------------------------------------------------------------------------------------------
HOUSEHOLD & PERSONAL PRODUCTS -- 0.1%
Health Care Facilities -- 0.1%
1,030,000 Centene Escrow Corp., 6.125%, 2/15/24 (144A) $ 1,086,650
-------------
Total Household & Personal Products $ 1,086,650
---------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 2.6%
Health Care Supplies -- 0.8%
5,750,000 ConvaTec Healthcare E SA, 10.5%,
12/15/18 (144A) $ 5,893,750
---------------------------------------------------------------------------------------------------
Health Care Services -- 0.2%
1,175,000 RegionalCare Hospital Partners Holdings, Inc.,
8.25%, 5/1/23 (144A) $ 1,222,000
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 27
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Health Care Facilities -- 1.2%
1,550,000 Centene Escrow Corp., 5.625%, 2/15/21 (144A) $ 1,631,375
3,915,000 CHS, 6.875%, 2/1/22 3,543,075
2,400,000 Kindred Healthcare Inc., 6.375%, 4/15/22 2,196,000
1,320,000 Kindred Healthcare, Inc., 8.0%, 1/15/20 1,314,720
-------------
$ 8,685,170
---------------------------------------------------------------------------------------------------
Managed Health Care -- 0.4%
3,130,000 WellCare Health Plans, Inc., 5.75%, 11/15/20 $ 3,259,112
-------------
Total Health Care Equipment & Services $ 19,060,032
---------------------------------------------------------------------------------------------------
PHARMACEUTICALS, BIOTECHNOLOGY &
LIFE SCIENCES -- 2.2%
Pharmaceuticals -- 2.2%
4,480,000 DPx Holdings BV, 7.5%, 2/1/22 (144A) $ 4,536,000
5,310,000 Endo Finance LLC, 5.875%, 1/15/23 (144A) 5,084,325
EURO 3,475,000 Valeant Pharmaceuticals International, Inc.,
4.5%, 5/15/23 3,163,482
4,180,000 Valeant Pharmaceuticals International, Inc.,
5.875%, 5/15/23 (144A) 3,500,750
-------------
$ 16,284,557
-------------
Total Pharmaceuticals, Biotechnology &
Life Sciences $ 16,284,557
---------------------------------------------------------------------------------------------------
BANKS -- 7.0%
Diversified Banks -- 6.4%
3,485,000 9.25 Access Bank Plc, Floating Rate Note,
6/24/21 (144A) $ 2,870,107
535,000 9.00 Banco do Brasil SA, Floating Rate Note
(Perpetual) 383,862
820,000 9.75 Banco Macro SA, Floating Rate Note, 12/18/36 824,100
2,000,000 Banco Nacional de Costa Rica, 6.25%,
11/1/23 (144A) 2,002,000
375,000 6.30 Bank of America Corp., Floating Rate Note
(Perpetual) 392,812
2,525,000 6.50 Bank of America Corp., Floating Rate Note,
10/23/49 2,657,562
825,000 6.25 Bank of America Corp., Floating Rate Note,
9/29/49 828,094
3,870,000 Banque Ouest Africaine de Developpement,
5.5%, 5/6/21 (144A) 3,874,644
1,250,000 BBVA Bancomer SA Texas, 6.75%,
9/30/22 (144A) 1,371,875
3,625,000 7.62 BNP Paribas SA, Floating Rate Note
(Perpetual) (144A) 3,706,562
346,000 5.88 Citigroup, Inc., Floating Rate Note (Perpetual) 334,686
2,150,000 5.90 Citigroup, Inc., Floating Rate Note (Perpetual) 2,144,625
The accompanying notes are an integral part of these financial statements.
28 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Diversified Banks (continued)
854,000 5.95 Citigroup, Inc., Floating Rate Note (Perpetual) $ 843,325
2,250,000 8.12 Credit Agricole SA, Floating Rate Note
(Perpetual) (144A) 2,323,125
275,000 6.62 Credit Agricole SA, Floating Rate Note
(Perpetual) (144A) 259,188
225,000 7.88 Credit Agricole SA, Floating Rate Note
(Perpetual) (144A) 216,115
3,525,000 6.50 ING Groep NV, Floating Rate Note, 12/29/49 3,245,203
INR 42,350,000 Inter-American Development Bank, 6.0%, 9/5/17 631,526
4,825,000 7.70 Intesa Sanpaolo S.p.A., Floating Rate Note
(Perpetual) (144A) 4,463,125
EURO 215,000 6.38 Lloyds Banking Group Plc, Floating Rate Note
(Perpetual) 240,285
2,475,000 Macquarie Bank, Ltd., 4.875%, 6/10/25 (144A) 2,534,917
1,020,000 7.50 Royal Bank of Scotland Group Plc, Floating
Rate Note (Perpetual) 951,150
1,773,000 8.00 Royal Bank of Scotland Group Plc, Floating
Rate Note (Perpetual) 1,699,309
750,000 Sberbank of Russia Via SB Capital SA, 5.25%,
5/23/23 (144A) 726,562
1,355,000 Trade & Development Bank of Mongolia LLC,
9.375%, 5/19/20 (144A) 1,259,498
2,990,000 Turkiye Is Bankasi, 5.375%, 10/6/21 (144A) 3,050,933
2,725,000 Vnesheconombank Via VEB Finance Plc,
6.902%, 7/9/20 (144A) 2,861,250
775,000 VTB Bank OJSC Via VTB Capital SA, 6.95%,
10/17/22 (144A) 771,048
-------------
$ 47,467,488
---------------------------------------------------------------------------------------------------
Thrifts & Mortgage Finance -- 0.6%
4,000,000 Alfa Bank AO Via Alfa Bond Issuance Plc,
7.5%, 9/26/19 (144A) $ 4,230,000
-------------
Total Banks $ 51,697,488
---------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 5.0%
Other Diversified Financial Services -- 0.2%
1,850,000 Argentine Republic Government International
Bond, 7.5%, 4/22/26 (144A) $ 1,877,750
---------------------------------------------------------------------------------------------------
Specialized Finance -- 1.4%
EURO 145,000 4.75 Arrow Global Finance Plc, Floating Rate Note,
5/1/23 (144A) $ 165,209
3,045,000 Cantor Fitzgerald LP, 7.875%, 10/15/19 (144A) 3,422,702
4,870,000 Nationstar Mortgage LLC, 6.5%, 6/1/22 4,176,025
3,000,000 Nationstar Mortgage LLC, 6.5%, 7/1/21 2,632,500
-------------
$ 10,396,436
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 29
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Consumer Finance -- 2.1%
150,000 Ally Financial, Inc., 4.625%, 5/19/22 $ 153,750
1,640,000 Ally Financial, Inc., 5.75%, 11/20/25 1,660,500
INR 241,840,000 International Finance Corp., 7.75%, 12/3/16 3,650,629
INR 240,670,000 International Finance Corp., 8.25%, 6/10/21 3,872,636
1,898,713 Tarjeta Naranja SA, 9.0%, 1/28/17 (144A) 1,930,042
4,000,000 Unifin Financiera SAB de CV SOFOM ENR,
6.25%, 7/22/19 (144A) 3,855,200
-------------
$ 15,122,757
---------------------------------------------------------------------------------------------------
Asset Management & Custody Banks -- 0.5%
3,800,000 JBS Investment Management, Ltd., 7.25%, 4/3/24 $ 3,676,500
---------------------------------------------------------------------------------------------------
Investment Banking & Brokerage -- 0.8%
1,550,000 5.55 Morgan Stanley, Floating Rate Note (Perpetual) $ 1,534,500
3,528,000 UBS AG, 7.625%, 8/17/22 4,061,610
-------------
$ 5,596,110
-------------
Total Diversified Financials $ 36,669,553
---------------------------------------------------------------------------------------------------
INSURANCE -- 4.2%
Life & Health Insurance -- 0.2%
GBP 954,047 TIG FINCO Plc, 8.75%, 4/2/20 $ 1,128,874
GBP 168,361 8.50 TIG FINCO Plc, Floating Rate Note, 3/2/20 (144A) 249,631
-------------
$ 1,378,505
---------------------------------------------------------------------------------------------------
Reinsurance -- 4.0%
450,000 6.20 Alamo Re, Ltd., Floating Rate Note, 6/7/18
(Cat Bond) (144A) $ 462,285
1,669,825 Altair Re, Variable Rate Notes, 6/30/17 (f)(g) 271,681
1,300,000 Arlington Segregated Account (Kane SAC Ltd.),
Variable Rate Notes, 8/31/16 (f)(g) 1,480,440
800,000 Berwick 2016-1 Segregated Account (Kane
SAC Ltd.), Variable Rate Notes, 2/1/18 (f)(g) 813,840
1,000,000 Berwick Segregated Account (Kane SAC Ltd.),
Variable Rate Note, 1/22/16 (f)(g) 30,000
475,000 4.56 Blue Danube II, Ltd., Floating Rate Note,
5/23/16 (Cat Bond) (144A) 475,238
2,600,000 Carnosutie 2016-N,Segregated Account (Kane
SAC Ltd.), Variance Rate Notes, 11/30/20 (f)(g) 2,652,260
3,900,000 Carnoustie Segregated Account (Kane SAC
Ltd.), Variable Rate Notes, 2/19/16 (f)(g) 79,560
1,400,000 Clarendon Segregated Account (Kane SAC
Ltd.), Variable Rate Notes, 6/15/16 (f)(g) 1,399,860
EURO 1,300,000 Dundonald Segregated Account (Kane SAC
Ltd.), Variable Rate Notes, 1/17/17 (f)(g) 1,361,799
800,000 Eden Re II, Ltd., Variable Rate Notes, 4/23/19
(144A) (f)(g) 813,440
1,600,000 Gleneagles Segregated Account (Kane SAC
Ltd), Variable Rate Notes, 11/30/20 (f)(g) 1,646,080
The accompanying notes are an integral part of these financial statements.
30 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Reinsurance (continued)
3,500,000 Gullane Segregated Account (Kane SAC Ltd.),
Variable Rate Note 11/30/20 (f)(g) $ 3,707,900
500,000 Lahinch Re, Variable Rate Notes, 6/15/16 (f)(g) 505,350
2,400,000 Lorenz Re, Ltd., Variable Rate Notes,
3/31/18 (f)(g) 168,000
1,100,000 Lorenz Re, Ltd., Variable Rate Notes,
3/31/19 (f)(g) 1,101,760
490,000 Madison Re, Ltd., Variable Rate Notes,
3/31/29 (f)(g) 490,000
3,900,000 Pangaea Re, Series 2015-1, Principal at Risk
Notes, 2/1/19 (f)(g) 116,610
3,500,000 Pangaea Re., Variable Rate Notes, 2/1/20 (f)(g) 3,545,850
4,070,000 Pangaea Re., Variable Rate Notes, 7/1/18 (f)(g) 73,260
1,300,000 Prestwick Segregated Account (Kane SAC Ltd.),
Variable Rate Notes, 7/1/16 (f)(g) 97,370
900,000 4.50 Resilience Re, Ltd., Floating Rate Note,
1/9/17 (Cat Bond) 900,000
7,176 Sector Re V, Ltd., Variable Rate Notes,
12/1/19 (144A) (f)(g) 50,472
1,150,000 Sector Re V, Ltd., Variable Rate Notes,
12/1/20 (144A) (f)(g) 1,176,220
2,000,000 Silverton Re, Ltd., Variable Rate Notes,
9/16/16 (144A) (f)(g) 9,200
2,600,000 St. Andrews Segregated Account (Kane SAC
Ltd.), Variable Rate Notes, 1/22/16 (f)(g) 51,220
1,750,000 St. Andrews Segregated Account (Kane SAC
Ltd.), Variance Rate Notes, 2/1/18 (f)(g) 1,796,725
JPY 98,019,476 Tralee Segregated Account (Kane SAC Ltd.),
Variable Rate Note 7/15/17 (f)(g) 916,496
3,000,000 Versutus 2016, Class A-1, Variable Rate Notes,
11/30/20 (f)(g) 3,074,700
3,800,000 Versutus Ltd., Series 2015-A, Variable Rate
Notes, 12/31/2017 (f)(g) 55,480
-------------
$ 29,323,096
-------------
Total Insurance $ 30,701,601
---------------------------------------------------------------------------------------------------
REAL ESTATE -- 0.8%
Specialized REIT -- 0.8%
2,691,826 AAF Holdings LLC, 12.0%, 7/1/19 (144A)
(12.0% cash, 0.0% PIK) (PIK) $ 2,651,449
2,620,000 Communications Sales & Leasing, Inc., 6.0%,
4/15/23 (144A) 2,606,900
955,000 Equinix, Inc., 5.375%, 4/1/23 997,975
-------------
$ 6,256,324
-------------
Total Real Estate $ 6,256,324
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 31
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 1.4%
Internet Software & Services -- 0.6%
3,650,000 Cimpress NV, 7.0%, 4/1/22 (144A) $ 3,686,500
662,000 IAC, 4.875%, 11/30/18 681,860
-------------
$ 4,368,360
---------------------------------------------------------------------------------------------------
Data Processing & Outsourced Services -- 0.8%
3,100,000 Cardtronics, Inc., 5.125%, 8/1/22 $ 3,107,781
1,260,000 First Data Corp., 7.0%, 12/1/23 (144A) 1,294,650
1,700,000 NeuStar, Inc., 4.5%, 1/15/23 1,394,000
-------------
$ 5,796,431
-------------
Total Software & Services $ 10,164,791
---------------------------------------------------------------------------------------------------
TECHNOLOGY HARDWARE & EQUIPMENT -- 1.0%
Communications Equipment -- 0.4%
1,560,000 CommScope Technologies Finance LLC, 6.0%,
6/15/25 (144A) $ 1,599,000
1,475,000 CommScope, Inc., 5.0%, 6/15/21 (144A) 1,497,125
-------------
$ 3,096,125
---------------------------------------------------------------------------------------------------
Electronic Components -- 0.6%
1,000,000 Belden, Inc., 5.25%, 7/15/24 (144A) $ 975,000
EURO 2,570,000 Belden, Inc., 5.5%, 4/15/23 2,980,576
-------------
$ 3,955,576
-------------
Total Technology Hardware & Equipment $ 7,051,701
---------------------------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES -- 7.0%
Integrated Telecommunication Services -- 3.5%
2,260,000 CenturyLink, Inc., 5.625%, 4/1/25 $ 2,052,622
330,000 CenturyLink, Inc., 7.5%, 4/1/24 330,825
2,290,000 Cincinnati Bell, Inc., 8.375%, 10/15/20 2,347,250
1,690,000 Frontier Communications Corp., 8.5%, 4/15/20 1,787,175
8,145,000 Frontier Communications Corp., 8.75%, 4/15/22 8,043,188
500,000 GCI, Inc., 6.75%, 6/1/21 505,000
4,275,000 GCI, Inc., 6.875%, 4/15/25 4,317,750
2,580,000 Windstream Corp., 7.5%, 6/1/22 2,115,600
4,765,000 Windstream Services LLC, 7.75%, 10/15/20 4,309,895
-------------
$ 25,809,305
---------------------------------------------------------------------------------------------------
Wireless Telecommunication Services -- 3.5%
2,800,000 Altice Financing SA, 6.5%, 1/15/22 (144A) $ 2,828,000
320,000 Altice Financing SA, 6.625%, 2/15/23 (144A) 316,416
600,000 Altice Finco SA, 8.125%, 1/15/24 (144A) 585,000
3,320,000 Digicel, Ltd., 6.0%, 4/15/21 (144A) 3,037,800
1,500,000 Mobile Telesystems OJSC via MTS International
Funding, Ltd., 5.0%, 5/30/23 (144A) 1,498,125
The accompanying notes are an integral part of these financial statements.
32 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Wireless Telecommunication Services (continued)
9,770,000 Sprint Corp., 7.25%, 9/15/21 $ 7,889,275
1,155,000 T-Mobile USA, Inc., 6.0%, 4/15/24 1,208,419
2,750,000 Unison Ground Lease Funding LLC, 5.78%,
3/16/43 (144A) 2,664,750
3,375,000 VimpelCom Holdings BV, 7.5043%,
3/1/22 (144A) 3,602,812
RUB 124,400,000 VimpelCom Holdings BV, 9.0%, 2/13/18 (144A) 1,866,192
-------------
$ 25,496,789
-------------
Total Telecommunication Services $ 51,306,094
---------------------------------------------------------------------------------------------------
UTILITIES -- 4.3%
Electric Utilities -- 2.5%
1,610,000 ContourGlobal Power Holdings SA, 7.125%,
6/1/19 (144A) $ 1,593,900
2,325,000 5.25 Electricite de France SA, Floating Rate Note
(Perpetual) (144A) 2,241,068
2,995,000 8.13 Enel S.p.A., Floating Rate Note, 9/24/73 (144A) 3,455,481
55,353 FPL Energy National Wind Portfolio LLC, 6.125%,
3/25/19 (144A) 55,353
164,149 FPL Energy Wind Funding LLC, 6.876%,
6/27/17 (144A) 155,942
3,760,000 Talen Energy Supply LLC, 4.625%,
7/15/19 (144A) 3,496,800
3,225,000 Talen Energy Supply LLC, 6.5%, 6/1/25 2,862,446
5,395,000 TerraForm Power, 9.75%, 8/15/22 (144A) 4,781,319
-------------
$ 18,642,309
---------------------------------------------------------------------------------------------------
Gas Utilities -- 0.1%
1,288,000 DCP Midstream Operating LP, 5.6%, 4/1/44 $ 1,036,840
---------------------------------------------------------------------------------------------------
Multi-Utilities -- 0.6%
4,119,702 Ormat Funding Corp., 8.25%, 12/30/20 $ 4,078,505
---------------------------------------------------------------------------------------------------
Independent Power Producers & Energy
Traders -- 1.1%
940,000 Instituto Costarricense de Electricidad, 6.95%,
11/10/21 (144A) $ 958,800
6,240,000 NRG Energy, Inc., 6.25%, 5/1/24 6,084,000
500,000 Star Energy Geothermal Wayang Windu, Ltd.,
6.125%, 3/27/20 (144A) 505,000
590,000 TerraForm Power Operating LLC, 5.875%,
2/1/23 (144A) 514,775
-------------
$ 8,062,575
-------------
Total Utilities $ 31,820,229
---------------------------------------------------------------------------------------------------
TOTAL CORPORATE BONDS
(Cost $643,363,116) $ 586,240,386
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 33
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
U.S. GOVERNMENT AND AGENCY
OBLIGATION -- 0.5%
3,650,000 U.S. Treasury Bills, 5/19/16 (c) $ 3,649,734
---------------------------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT AND AGENCY
OBLIGATION
(Cost $3,649,679) $ 3,649,734
---------------------------------------------------------------------------------------------------
FOREIGN GOVERNMENT BONDS -- 6.2%
1,845,000 Africa Finance Corp., 4.375%, 4/29/20 (144A) $ 1,875,055
2,655,000 Banque Cent de Tunisie, 5.75%, 1/30/25 (144A) 2,388,491
2,610,000 Ecuador Government International Bond, 10.5%,
3/24/20 (144A) 2,466,450
690,000 Gabon Government International Bond, 6.375%,
12/12/24 602,798
GHS 9,405,000 Ghana Government Bond, 24.5%, 4/22/19 2,505,998
2,175,000 Kenya Government International Bond, 5.875%,
6/24/19 (144A) 2,148,813
3,130,000 Kenya Government International Bond, 6.875%,
6/24/24 (144A) 2,942,513
ARS 6,124,921 Letras del Banco Central de la Republica
Argentina, 1/4/17 (c) 359,175
ARS 20,336,104 Letras del Banco Central de la Republica
Argentina, 12/28/16 (c) 1,189,571
ARS 25,365,594 Letras del Banco Central de la Republica
Argentina, 5/11/16 (c) 1,762,538
MXN 191,444,122 Mexican Udibonos, 2.0%, 6/9/22 10,702,274
MXN 9,371,162 Mexican Udibonos, 3.5%, 12/14/17 562,161
EURO 2,175,000 Mexico Government International Bond,
4.0%, 3/15/15 2,161,212
1,415,000 Namibia International Bonds, 5.25%,
10/29/25 (144A) 1,390,747
2,541,600 Province of Salta Argentina, 9.5%,
3/16/22 (144A) 2,586,078
1,380,000 Provincia de Buenos Aires Argentina, 9.125%,
3/16/24 (144A) 1,469,700
RON 8,220,000 Romania Government Bond, 5.85%, 4/26/23 2,425,945
2,000,000 Rwanda International Government Bond,
6.625%, 5/2/23 (144A) 1,950,400
1,360,000 Sri Lanka Government International Bond,
6.85%, 11/3/25 (144A) 1,339,116
3,700,000 Zambia Government International Bond,
5.375%, 9/20/22 (144A) 2,751,394
-------------
$ 45,580,429
---------------------------------------------------------------------------------------------------
TOTAL FOREIGN GOVERNMENT BONDS
(Cost $51,836,522) $ 45,580,429
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
34 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
SENIOR FLOATING RATE LOAN
INTERESTS -- 3.2%
ENERGY -- 0.2%
Oil & Gas Exploration & Production -- 0.0%+
143,473 8.02 Ascent Resources -- Utica, LLC (f.k.a. American
Energy Utica LLC) Term Loan (Second Lien),
7/1/19 $ 36,227
---------------------------------------------------------------------------------------------------
Coal & Consumable Fuels -- 0.2%
4,700,000 18.15 Bumi Resources Tbk PT, Term Loan, 8/15/13 $ 940,000
1,034,769 8.15 Long Haul Holdings, Ltd., Facility B Loan,
11/17/13 (d) 206,954
-------------
$ 1,146,954
-------------
Total Energy $ 1,183,181
---------------------------------------------------------------------------------------------------
MATERIALS -- 0.0%+
Diversified Metals & Mining -- 0.0%+
320,805 4.25 Fortescue Metals Group, Ltd., Bank Loan, 6/30/19 $ 303,602
-------------
Total Materials $ 303,602
---------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES -- 0.1%
Diversified Support Services -- 0.1%
494,593 8.02 IAP Worldwide Services, Inc., Term Loan, 7/18/19 $ 491,501
-------------
Total Commercial Services & Supplies $ 491,501
---------------------------------------------------------------------------------------------------
AUTOMOBILES & COMPONENTS -- 0.0%+
Auto Parts & Equipment -- 0.0%+
3,142 3.50 Allison Transmission, Inc., Term B-3 Loan,
8/23/19 $ 3,151
-------------
Total Automobiles & Components $ 3,151
---------------------------------------------------------------------------------------------------
MEDIA -- 0.3%
Advertising -- 0.3%
2,149,130 6.75 Affinion Group, Inc., Tranche B Term Loan,
4/30/18 $ 1,898,623
-------------
Total Media $ 1,898,623
---------------------------------------------------------------------------------------------------
RETAILING -- 0.3%
Automotive Retail -- 0.3%
2,126,700 5.75 CWGS Group LLC, Term Loan, 2/20/20 $ 2,124,042
-------------
Total Retailing $ 2,124,042
---------------------------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SERVICES -- 0.5%
Health Care Services -- 0.4%
1,009,596 4.25 Alliance HealthCare Services, Inc., Initial Term
Loan, 6/3/19 $ 966,688
686,312 6.50 BioScrip, Inc., Initial Term B Loan, 7/31/20 631,407
411,787 6.50 BioScrip, Inc., Term Loan, 7/31/20 378,844
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 35
Schedule of Investments | 4/30/16 (unaudited) (continued)
---------------------------------------------------------------------------------------------------
Principal Floating
Amount ($) Rate (b) Value
---------------------------------------------------------------------------------------------------
Health Care Services (continued)
1,323,333 4.50 National Surgical Hospitals, Inc., Term Loan
(First Lien), 5/15/22 $ 1,304,277
-------------
$ 3,281,216
---------------------------------------------------------------------------------------------------
Health Care Facilities -- 0.1%
730,604 9.75 MMM Holdings, Inc., Term Loan, 10/9/17 (d) $ 476,719
---------------------------------------------------------------------------------------------------
Managed Health Care -- 0.0%+
531,145 9.75 MSO of Puerto Rico, Inc., MSO Term Loan,
12/12/17 (d) $ 346,572
-------------
Total Health Care Equipment & Services $ 4,104,507
---------------------------------------------------------------------------------------------------
PHARMACEUTICALS, BIOTECHNOLOGY &
LIFE SCIENCES -- 0.6%
Biotechnology -- 0.6%
5,075,536 7.00 Lantheus Medical Imaging, Inc., Initial Term
Loan, 6/25/22 $ 4,542,604
-------------
Total Pharmaceuticals, Biotechnology &
Life Sciences $ 4,542,604
---------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIALS -- 0.4%
Investment Banking & Brokerage -- 0.4%
2,790,000 8.63 Concentra, Inc., Initial Term Loan (Second
Lien), 4/8/23 $ 2,735,037
-------------
Total Diversified Financials $ 2,735,037
---------------------------------------------------------------------------------------------------
SOFTWARE & SERVICES -- 0.8%
Application Software -- 0.8%
4,373,318 8.50 Expert Global Solutions, Inc., Term B Advance
(First Lien), 4/3/18 $ 4,296,785
2,000,000 9.75 Vertafore, Inc., Term Loan (Second Lien),
10/29/17 2,006,500
-------------
$ 6,303,285
-------------
Total Software & Services $ 6,303,285
---------------------------------------------------------------------------------------------------
TOTAL SENIOR FLOATING RATE LOAN INTERESTS
(Cost $29,300,390) $ 23,689,533
---------------------------------------------------------------------------------------------------
MUNICIPAL COLLATERALIZED DEBT
OBLIGATION -- 0.1%
Municipal General -- 0.1%
8,875,000 0.00 Non-Profit Preferred Funding Trust I, Floating
Rate Note, 9/15/37 (144A) $ 550,428
---------------------------------------------------------------------------------------------------
TOTAL MUNICIPAL COLLATERALIZED
DEBT OBLIGATION
(Cost $8,859,654) $ 550,428
---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
36 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
---------------------------------------------------------------------------------------------------
Shares Value
---------------------------------------------------------------------------------------------------
RIGHTS / WARRANTS -- 0.0%+
FOOD, BEVERAGE & TOBACCO -- 0.0%+
Distillers & Vintners -- 0.0%+
29 Marie Brizard Wine & Spirits SA, 12/23/16 $ 1
-------------
Total Food, Beverage & Tobacco $ 1
---------------------------------------------------------------------------------------------------
INSURANCE -- 0.0%+
Life & Health Insurance -- 0.0%+
1,390 TIG TopCo., Ltd. $ --
-------------
Total Insurance $ --
---------------------------------------------------------------------------------------------------
TOTAL RIGHTS / WARRANTS
(Cost $2) $ 1
---------------------------------------------------------------------------------------------------
TOTAL INVESTMENT IN SECURITIES -- 99.0%
(Cost $823,111,428) (a)(h) $ 728,251,648
---------------------------------------------------------------------------------------------------
OTHER ASSETS & LIABILITIES -- 1.0% $ 7,500,798
---------------------------------------------------------------------------------------------------
TOTAL NET ASSETS -- 100.0% $ 735,752,446
===================================================================================================
* Non-income producing security.
+ Amount rounds to less than 0.1%.
REIT Real Estate Investment Trust.
(A.D.R.) American Depositary Receipts.
(Perpetual) Security with no stated maturity date.
(PIK) Represents a pay-in-kind security.
(Cat Bond) Catastrophe or event linked bond. At April 30, 2016 the value of
these securities amounted to $1,837,523 or 0.3% of total net assets.
See Notes to Financial Statements -- 1H.
REMICS Real Estate Mortgage Investment Conduits.
(Step) Bond issued with an initial coupon rate which converts to a higher
rate at a later date.
** Senior floating rate loan interests in which the Fund invests
generally pay interest at rates that are periodically redetermined
by reference to a base lending rate plus a premium. These base
lending rates are generally (i) the lending rate offered by one or
more major European banks, such as LIBOR (London InterBank Offered
Rate), (ii) the prime rate offered by one or more major United
States banks, (iii) the rate of a certificate of deposit or (iv)
other base lending rates used by commercial lenders. The rate shown
is the coupon rate at period end.
(144A) Security is exempt from registration under Rule 144A of the
Securities Act of 1933. Such securities may be resold normally to
qualified institutional buyers in a transaction exempt from
registration. At April 30, 2016, the value of these securities
amounted to $350,643,192 or 47.7% of total net assets.
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 37
Schedule of Investments | 4/30/16 (unaudited) (continued)
(a) At April 30, 2016, the net unrealized depreciation on investments
based on cost for federal income tax purposes of $827,256,543 was as
follows:
Aggregate gross unrealized appreciation for all investments in
which there is an excess of value over tax cost $ 14,277,470
Aggregate gross unrealized depreciation for all investments in
which there is an excess of tax cost over value (113,282,365)
--------------
Net unrealized depreciation $ (99,004,895)
==============
(b) Debt obligation with a variable interest rate. Rate shown is rate at
end of period.
(c) Security issued with a zero coupon. Income is recognized through
accretion of discount.
(d) Security is in default.
(e) Security is valued using fair value methods (other than prices
supplied by independent pricing services or broker dealers). See
Notes to Financial Statements -- Note 1A.
(f) Structured reinsurance investment. At April 30, 2016, the value of
these securities amounted to $27,569,323 or 3.8% of total net
assets. See Notes to Financial Statements -- Note 1H.
(g) Rate to be determined.
(h) Distributions of investments by country of domicile (excluding
temporary cash investments) as a percentage of total investment in
securities, is as follows:
United States 57.7%
Luxembourg 6.3%
United Kingdom 4.9%
Mexico 3.5%
Netherlands 3.3%
Cayman Islands 2.1%
Canada 1.9%
Ireland 1.9%
Argentina 1.8%
Bermuda 1.8%
France 1.7%
Australia 1.4%
Other (individually less than 1%) 11.7%
------
100.0%
======
NOTE: Principal amounts are denominated in U.S. Dollars unless otherwise
noted:
ARS Argentine Peso
EURO Euro
GBP British Pound Sterling
GHS Ghanian Cedis
INR Indian Rupee
JPY Japanese Yen
MXN Mexican Peso
NOK Norwegian Krone
RON Romanian Leu
RUB Russian Ruble
The accompanying notes are an integral part of these financial statements.
38 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended April 30, 2016 aggregated $118,835,504 and $283,727,242,
respectively.
CENTRALLY CLEARED CREDIT DEFAULT SWAP AGREEMENT -- SELL PROTECTION
---------------------------------------------------------------------------------------------------
Notional Obligation Credit Expiration Premiums Unrealized
Principal ($)(1) Exchange Entity/Index Coupon Rating(2) Date Received Appreciation
---------------------------------------------------------------------------------------------------
4,415,000 Chicago Markit CDX
Mercantile North America
Exchange High Yield
Index 5.00% BBB+ 12/20/20 $(34,044) $ 181,050
---------------------------------------------------------------------------------------------------
$(34,044) $ 181,050
===================================================================================================
(1) The notional amount is the maximum amount that a seller of credit
protection would be obligated to pay upon occurrence of a credit event.
(2) Based on Standard & Poor's rating of the issuer or weighted average of all
the underlying securities of the index.
Various inputs are used in determining the value of the Fund's investments.
These inputs are summarized in the three broad levels listed below.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risk, etc.) See Notes to Financial Statements -- Note 1A.
Level 3 - significant unobservable inputs (including the Fund's own
assumptions in determining fair value of investments) See
Notes to Financial Statements -- Note 1A.
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 39
Schedule of Investments | 4/30/16 (unaudited) (continued)
The following is a summary of the inputs used as of April 30, 2016, in valuing
the Fund's investments:
-------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
-------------------------------------------------------------------------------------------------
Convertible Corporate Bonds
Materials
Steel $ -- $ -- $ 43,983 $ 43,983
All Other Convertible Bonds -- 30,070,062 -- 30,070,062
Preferred Stocks
Transportation
Air Freight & Logistics -- 1,199,860 -- 1,199,860
Diversified Financials
Consumer Finance 8,914,892 -- -- 8,914,892
Insurance
Reinsurance -- -- 83,750 83,750
Common Stock
Capital Goods
Industrial Machinery -- -- 1,560 1,560
Commercial Services & Supplies
Diversified Support Services -- 84,949 -- 84,949
Transportation
Air Freight & Logistics -- 554,278 -- 554,278
Consumer Services
Education Services -- 221,221 -- 221,221
Diversified Financials
Specialized Finance -- -- 770,628 770,628
Insurance
Life & Health Insurance -- -- 5,595,400 5,595,400
All Other Common Stocks 5,770,199 -- -- 5,770,199
Asset Backed Securities -- 4,580,859 -- 4,580,859
Collateralized Mortgage Obligations -- 10,649,496 -- 10,649,496
Corporate Bonds
Materials
Steel -- 8,864,836 47,706 8,912,542
Capital Goods
Industrial Machinery -- -- 2,561,417 2,561,417
Insurance
Reinsurance -- 937,523 28,385,573 29,323,096
All Other Corporate Bonds -- 545,443,331 -- 545,443,331
U.S. Government and
Agency Obligation -- 3,649,734 -- 3,649,734
Foreign Government Bonds -- 45,580,429 -- 45,580,429
Senior Floating Rate Loan Interests -- 23,689,533 -- 23,689,533
Rights/Warrants -- 1 -- 1
Municipal Collateralized
Debt Obligation -- 550,428 -- 550,428
-------------------------------------------------------------------------------------------------
Total $ 14,685,091 $ 676,076,540 $37,490,017 $728,251,648
=================================================================================================
The accompanying notes are an integral part of these financial statements.
40 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
-------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
-------------------------------------------------------------------------------------------------
Other Financial Instruments
Unrealized appreciation on
forward foreign
currency contracts $ -- $ 211,586 $ -- $ 211,586
Unrealized depreciation on
forward foreign
currency contracts -- (1,165,941) -- (1,165,941)
Unrealized appreciation on
swap contracts -- 181,050 -- 181,050
-------------------------------------------------------------------------------------------------
Total Other
Financial Instruments $ -- $ (773,305) $ -- $ (773,305)
=================================================================================================
The following is a summary of the fair valuation of certain Fund's assets and
liabilities as of April 30, 2016.
-------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
-------------------------------------------------------------------------------------------------
Assets:
Foreign currencies, at value $ -- $ 2,801,658 $ -- $ 2,801,658
Restricted cash -- 345,474 -- 345,474
Liabilities:
Variation margin on centrally
cleared swap contracts -- (8,276) -- (8,276)
-------------------------------------------------------------------------------------------------
Total: $ -- $ 3,138,856 $ -- $ 3,138,856
=================================================================================================
The following is a reconciliation of assets valued using significant observable
inputs (Level 3):
-------------------------------------------------------------------------------------------------
Convertible
Common Corporate Preferred Corporate
Stocks Bonds Stocks Bonds Total
-------------------------------------------------------------------------------------------------
Balance as of 10/31/15 $ 7,752,735 $39,144 $83,750 $ 51,484,941 $ 59,360,570
Realized gain (loss)(1) -- -- -- 16,491 16,491
Change in unrealized
appreciation (depreciation)(2) (1,385,147) 4,839 -- (23,247,312) (24,627,620)
Purchases -- -- -- 24,644,595 24,644,595
Sales -- -- -- (21,904,019) (21,904,019)
Transfers in to Level 3* -- -- -- -- --
Transfers out of Level 3* -- -- -- -- --
-------------------------------------------------------------------------------------------------
Balance as of 4/30/16 $ 6,367,588 $43,983 $83,750 $ 30,994,696 $ 37,490,017
=================================================================================================
(1) Realized gain (loss) on these securities is included in the net realized
gain (loss) from investments in the Statement of Operations.
(2) Unrealized appreciation (depreciation) on these securities is included in
the change in unrealized appreciation (depreciation) on investments in the
Statement of Operations.
* Transfers are calculated on the beginning of period values. During the six
months ended April 30, 2016, there were no transfers between Levels 1, 2
and 3.
Net change in unrealized appreciation (depreciation) of investments still
held as of 4/30/16 $ (22,974,327)
-------------
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 41
Statement of Assets and Liabilities | 4/30/16 (unaudited)
ASSETS:
Investment in securities (cost $823,111,428) $ 728,251,648
Cash 2,252,711
Foreign currencies, at value (cost $2,718,353) 2,801,658
Restricted cash* 345,474
Receivables --
Investment securities sold 7,532,056
Fund shares sold 773,770
Dividends 40,635
Interest 13,667,781
Unrealized appreciation on forward foreign currency contracts 211,586
Other assets 50,725
----------------------------------------------------------------------------------------
Total assets $ 755,928,044
----------------------------------------------------------------------------------------
LIABILITIES:
Payables --
Investment securities purchased $ 14,591,702
Fund shares repurchased 3,424,185
Distributions 535,419
Trustee fees 5,034
Swap contracts, premium received 34,044
Variation margin on centrally cleared swap contracts 8,276
Unrealized depreciation on forward foreign currency contracts 1,165,941
Due to affiliates 230,141
Accrued expenses 180,856
----------------------------------------------------------------------------------------
Total liabilities $ 20,175,598
----------------------------------------------------------------------------------------
NET ASSETS:
Paid-in capital $1,298,139,544
Distributions in excess of net investment income (1,418,713)
Accumulated net realized loss on investments, swap contracts
and foreign currency transactions (465,416,508)
Net unrealized depreciation on investments (94,859,780)
Unrealized appreciation on swap contracts 181,050
Net unrealized depreciation on forward foreign currency contracts and
other assets and liabilities denominated in foreign currencies (873,147)
----------------------------------------------------------------------------------------
Total net assets $ 735,752,446
----------------------------------------------------------------------------------------
NET ASSET VALUE PER SHARE:
No par value (unlimited number of shares authorized)
Class A (based on $215,512,784/25,545,129 shares) $ 8.44
Class C (based on $201,001,425/23,888,368 shares) $ 8.41
Class Y (based on $319,238,237/38,544,843 shares) $ 8.28
MAXIMUM OFFERING PRICE:
Class A ($8.44 (divided by) 95.5%) $ 8.84
=======================================================================================
* Represents restricted cash deposited at the counterparty for derivative
contracts
The accompanying notes are an integral part of these financial statements.
42 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Statement of Operations (unaudited)
For the Six Months Ended 4/30/16
INVESTMENT INCOME:
Interest $ 33,096,492
Dividends 765,528
------------------------------------------------------------------------------------------
Total investment income $ 33,862,020
------------------------------------------------------------------------------------------
EXPENSES:
Management fees $ 2,766,905
Transfer agent fees
Class A 14,024
Class C 5,208
Class Y 13,081
Distribution fees
Class A 277,487
Class C 1,028,969
Shareholder communication expense 449,203
Administrative expense 143,759
Custodian fees 17,534
Registration fees 42,721
Professional fees 27,912
Printing expense 18,507
Fees and expenses of nonaffiliated Trustees 19,216
Miscellaneous 80,333
------------------------------------------------------------------------------------------
Total expenses $ 4,904,859
------------------------------------------------------------------------------------------
Net investment income $ 28,957,161
------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS,
SWAP CONTRACTS AND FOREIGN CURRENCY TRANSACTIONS:
Net realized gain (loss) on:
Investments $ (68,257,605)
Swap contracts 41,016
Forward foreign currency contracts and other assets
and liabilities denominated in foreign currencies 725,420 $ (67,491,169)
------------------------------------------------------------------------------------------
Change in net unrealized appreciation (depreciation) on:
Investments $ 30,627,445
Swap contracts 181,050
Forward foreign currency contracts and other assets
and liabilities denominated in foreign currencies (826,460) $ 29,982,035
------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) on investments,
swap contracts and foreign currency transactions $ (37,509,134)
------------------------------------------------------------------------------------------
Net decrease in net assets resulting from operations $ (8,551,973)
==========================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 43
Statements of Changes in Net Assets
-------------------------------------------------------------------------------------------
Six Months
Ended
4/30/16 Year Ended
(unaudited) 10/31/15
-------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income $ 28,957,161 $ 74,158,414
Net realized gain (loss) on investments, written options,
swap contracts and foreign currency transactions (67,491,169) (99,680,836)
Change in net unrealized appreciation (depreciation)
on investments, written options, swap contracts
and foreign currency transactions 29,982,035 (56,915,601)
-------------------------------------------------------------------------------------------
Net decrease in net assets resulting
from operations $ (8,551,973) $ (82,438,023)
-------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREOWNERS:
Net investment income:
Class A ($0.26 and $0.46 per share, respectively) $ (6,938,287) $ (16,116,373)
Class B* ($0.00 and $0.02 per share, respectively) -- (27,063)
Class C ($0.23 and $0.40 per share, respectively) (5,725,718) (12,638,032)
Class Y ($0.26 and $0.48 per share, respectively) (12,654,166) (30,502,564)
Class Z** ($0.00 and $0.39 per share, respectively) -- (230,464)
Tax return of capital:
Class A ($0.00 and $0.08 per share, respectively) -- (2,723,523)
Class C ($0.00 and $0.08 per share, respectively) -- (2,484,930)
Class Y ($0.00 and $0.08 per share, respectively) -- (4,980,188)
Class Z** ($0.00 and $0.08 per share, respectively) -- (33,644)
-------------------------------------------------------------------------------------------
Total distributions to shareowners $ (25,318,171) $ (69,736,781)
-------------------------------------------------------------------------------------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale or exchange of shares $ 62,390,858 $ 225,138,161
Reinvestment of distributions 22,424,110 60,938,540
Cost of shares repurchased (291,754,766) (591,554,304)
-------------------------------------------------------------------------------------------
Net decrease in net assets resulting from
Fund share transactions $ (206,939,798) $ (305,477,603)
-------------------------------------------------------------------------------------------
Net decrease in net assets $ (240,809,942) $ (457,652,407)
NET ASSETS:
Beginning of period $ 976,562,388 $1,434,214,795
-------------------------------------------------------------------------------------------
End of period $ 735,752,446 $ 976,562,388
-------------------------------------------------------------------------------------------
Distributions in excess of net investment income $ (1,418,713) $ (5,057,703)
===========================================================================================
* Class B shares converted to Class A shares on November 10, 2014.
** Class Z shares converted to Class Y shares on August 7, 2015.
The accompanying notes are an integral part of these financial statements.
44 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
-------------------------------------------------------------------------------------------
Six Months Six Months
Ended Ended
4/30/16 4/30/16 Year Ended Year Ended
Shares Amount 10/31/15 10/31/15
(unaudited) (unaudited) Shares Amount
-------------------------------------------------------------------------------------------
Class A
Shares sold 742,719 $ 6,066,605 5,705,189 $ 53,564,125
Reinvestment of
distributions 764,907 6,263,956 1,834,846 16,763,907
Less shares repurchased (5,384,176) (44,153,543) (16,272,631) (149,194,095)
-------------------------------------------------------------------------------------------
Net decrease (3,876,550) $ (31,822,982) (8,732,596) $ (78,866,063)
===========================================================================================
Class B*
Shares sold or exchanged -- $ -- -- $ --
Reinvestment of
distributions -- -- -- --
Less shares repurchased -- -- (1,751,406) (17,041,325)
-------------------------------------------------------------------------------------------
Net decrease -- $ -- (1,751,406) $ (17,041,325)
===========================================================================================
Class C
Shares sold 482,506 $ 3,913,190 1,679,200 $ 15,503,386
Reinvestment of
distributions 564,224 4,608,586 1,313,253 11,966,321
Less shares repurchased (4,687,386) (38,407,758) (11,734,031) (107,116,018)
-------------------------------------------------------------------------------------------
Net decrease (3,640,656) $ (29,885,982) (8,741,578) $ (79,646,311)
===========================================================================================
Class Y
Shares sold 6,468,845 $ 52,411,063 17,127,325 $ 154,449,905
Reinvestment of
distributions 1,436,485 11,551,568 3,568,721 32,030,832
Less shares repurchased (26,532,855) (209,193,465) (34,480,930) (310,458,535)
-------------------------------------------------------------------------------------------
Net decrease (18,627,525) $ (145,230,834) (13,784,884) $ (123,977,798)
===========================================================================================
Class Z**
Shares sold -- $ -- 169,502 $ 1,620,745
Reinvestment of
distributions -- -- 18,590 177,480
Less shares repurchased -- -- (826,914) (7,744,331)
-------------------------------------------------------------------------------------------
Net decrease -- $ -- (638,822) $ (5,946,106)
===========================================================================================
* Class B shares converted to Class A shares on November 10, 2014.
** Class Z shares converted to Class Y shares on August 7, 2015.
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 45
Financial Highlights
-----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Ended Year Ended Year Ended
4/30/16 Ended Year Ended 10/31/13 10/31/12 10/31/11
(unaudited) 10/31/15 10/31/14 (Consolidated) (Consolidated) (Consolidated)
-----------------------------------------------------------------------------------------------------------------------------------
Class A
Net asset value, beginning of period $ 8.64 $ 9.79 $ 10.13 $ 10.13 $ 9.83 $ 10.53
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.29(a) $ 0.58(a) $ 0.66 $ 0.71 $ 0.76 $ 0.77
Net realized and unrealized gain (loss)
on investments (0.23) (1.19) (0.34) (0.02) 0.35 (0.70)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.06 $ (0.61) $ 0.32 $ 0.69 $ 1.11 $ 0.07
-----------------------------------------------------------------------------------------------------------------------------------
Distribution to shareowners:
Net investment income $ (0.26) $ (0.46) $ (0.63) $ (0.69) $ (0.81) $ (0.77)
Tax return of capital -- (0.08) (0.03) -- -- --
-----------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.26) $ (0.54) $ (0.66) $ (0.69) $ (0.81) $ (0.77)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.20) $ (1.15) $ (0.34) $ -- $ 0.30 $ (0.70)
-----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 8.44 $ 8.64 $ 9.79 $ 10.13 $ 10.13 $ 9.83
===================================================================================================================================
Total return* 0.77% (6.36)% 3.16% 6.96% 11.89% 0.49%
Ratio of net expenses to average net assets 1.16%** 1.17% 1.13% 1.10% 1.10% 1.09%
Ratio of net investment income (loss)
to average net assets 7.14%** 6.31% 6.62% 6.97% 7.74% 7.37%
Portfolio turnover rate 30%** 32% 32% 33% 33% 52%
Net assets, end of period (in thousands) $215,513 $254,056 $373,543 $ 531,829 $602,568 $648,746
===================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
(a) The per share data presented above is based on the average shares
outstanding for the period presented.
The accompanying notes are an integral part of these financial statements.
46 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
-----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Ended Year Ended Year Ended
4/30/16 Ended Year Ended 10/31/13 10/31/12 10/31/11
(unaudited) 10/31/15 10/31/14 (Consolidated) (Consolidated) (Consolidated)
-----------------------------------------------------------------------------------------------------------------------------------
Class C
Net asset value, beginning of period $ 8.62 $ 9.76 $ 10.10 $ 10.10 $ 9.80 $ 10.49
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.26(a) $ 0.51(a) $ 0.59 $ 0.63 $ 0.69 $ 0.70
Net realized and unrealized gain (loss)
on investments (0.24) (1.17) (0.34) (0.01) 0.35 (0.69)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.02 $ (0.66) $ 0.25 $ 0.62 $ 1.04 $ 0.01
-----------------------------------------------------------------------------------------------------------------------------------
Distribution to shareowners:
Net investment income $ (0.23) $ (0.40) $ (0.56) $ (0.62) $ (0.74) $ (0.70)
Tax return of capital -- (0.08) (0.03) -- -- --
-----------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.23) $ (0.48) $ (0.59) $ (0.62) $ (0.74) $ (0.70)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.21) $ (1.14) $ (0.34) $ -- $ 0.30 $ (0.69)
-----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 8.41 $ 8.62 $ 9.76 $ 10.10 $ 10.10 $ 9.80
===================================================================================================================================
Total return* 0.30% (6.96)% 2.43% 6.23% 11.17% (0.13)%
Ratio of net expenses to average net assets 1.87%** 1.87% 1.83% 1.81% 1.78% 1.78%
Ratio of net investment income (loss)
to average net assets 6.43%** 5.61% 5.91% 6.26% 7.08% 6.72%
Portfolio turnover rate 30%** 32% 32% 33% 33% 52%
Net assets, end of period (in thousands) $201,001 $237,163 $354,162 $ 420,932 $468,920 $460,476
===================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of the
investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
(a) The per share data presented above is based on the average shares
outstanding for the period presented.
The accompanying notes are an integral part of these financial statements.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 47
Financial Highlights (continued)
-----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Ended Year Ended Year Ended
4/30/16 Ended Year Ended 10/31/13 10/31/12 10/31/11
(unaudited) 10/31/15 10/31/14 (Consolidated) (Consolidated) (Consolidated)
-----------------------------------------------------------------------------------------------------------------------------------
Class Y
Net asset value, beginning of period $ 8.49 $ 9.62 $ 9.96 $ 9.96 $ 9.66 $ 10.35
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations:
Net investment income (loss) $ 0.30(a) $ 0.60(a) $ 0.67 $ 0.72 $ 0.76 $ 0.81
Net realized and unrealized gain
(loss) on investments (0.25) (1.17) (0.33) (0.01) 0.37 (0.70)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.05 $ (0.57) $ 0.34 $ 0.71 $ 1.13 $ 0.11
-----------------------------------------------------------------------------------------------------------------------------------
Distribution to shareowners:
Net investment income $ (0.26) $ (0.48) $ (0.65) $ (0.71) $ (0.83) $ (0.80)
Tax return of capital -- (0.08) (0.03) -- -- --
-----------------------------------------------------------------------------------------------------------------------------------
Total distributions $ (0.26) $ (0.56) $ (0.68) $ (0.71) $ (0.83) $ (0.80)
-----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ (0.21) $ (1.13) $ (0.34) $ -- $ 0.30 $ (0.69)
-----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 8.28 $ 8.49 $ 9.62 $ 9.96 $ 9.96 $ 9.66
===================================================================================================================================
Total return* 0.77% (6.08)% 3.40% 7.27% 12.35% 0.85%
Ratio of net expenses to average net assets 0.88%** 0.87% 0.84% 0.82% 0.80% 0.74%
Ratio of net investment income (loss)
to average net assets 7.49%** 6.60% 6.88% 7.24% 8.03% 7.72%
Portfolio turnover rate 30%** 32% 32% 33% 33% 52%
Net assets, end of period (in thousands) $319,238 $485,344 $682,911 $ 780,656 $945,946 $1,364,543
===================================================================================================================================
* 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.
** Annualized.
(a) The per share data presented above is based on the average shares
outstanding for the period presented.
The accompanying notes are an integral part of these financial statements.
48 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Notes to Financial Statements | 4/30/16 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer Global High Yield Fund (the Fund) is one of three portfolios comprising
Pioneer Series Trust VII (the Trust), a Delaware statutory trust. The Fund is
registered under the Investment Company Act of 1940 as a diversified, open-end
management investment company. The investment objective of the Fund is to
maximize total return through a combination of income and capital appreciation.
The Fund offers three classes of shares designated as Class A, Class C and Class
Y shares. Class B shares were converted to Class A shares as of the close of
business on November 10, 2014. Class Z shares converted to Class Y shares as of
the close of business on August 7, 2015. Each class of shares represents an
interest in the same portfolio of investments of the Fund and has identical
rights (based on relative net asset values) to assets and liquidation proceeds.
Share classes can bear different rates of class-specific fees and expenses such
as transfer agent and distribution fees. Differences in class-specific fees and
expenses will result in differences in net investment income and, therefore, the
payment of different dividends from net investment income earned by each class.
The Amended and Restated Declaration of Trust of the Fund gives the Board the
flexibility to specify either per share voting or dollar-weighted voting when
submitting matters for shareholder approval. Under per share voting, each share
of a class of the Fund is entitled to one vote. Under dollar-weighted voting, a
shareholder's voting power is determined not by the number of shares owned, but
by the dollar value of the shares on the record date. Each share class has
exclusive voting rights with respect to matters affecting only that class,
including with respect to the distribution plan for that class. There is no
distribution plan for Class Y shares.
The Fund's financial statements have been prepared in conformity with U.S.
generally accepted accounting principles that require the management of the Fund
to, among other things, make estimates and assumptions that affect the reported
amounts of assets and liabilities, the disclosure of contingent assets and
liabilities at the date of the financial statements, and the reported amounts of
income, expenses and gain or loss on investments during the reporting year.
Actual results could differ from those estimates.
The following is a summary of significant accounting policies followed by the
Fund in the preparation of its financial statements:
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 49
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.
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. Valuations may be supplemented by dealers and other sources, as
required. 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.
Loan interests are valued in accordance with guidelines established by the
Board of Trustees at the mean between the last available bid and asked
prices from one or more brokers or dealers as obtained from Loan Pricing
Corporation, an independent third party pricing service. If price
information is not available from Loan Pricing Corporation, or if the price
information is deemed to be unreliable, price information will be obtained
from an alternative loan interest pricing service. If no reliable price
quotes are available from either the primary or alternative pricing
service, broker quotes will be solicited.
Event-linked bonds or catastrophe bonds are valued at the bid price
obtained from an independent third party pricing service. Other insurance
linked securities (including sidecars, collateralized reinsurance and
industry loss warranties) may be valued at the bid price obtained from an
independent pricing service, or through a third party using a pricing
matrix, insurance industry valuation models, or other fair value methods or
techniques to provide an estimated value of the instrument.
Foreign securities are valued in U.S. dollars based on foreign currency
exchange rate quotations supplied by a third party pricing service. Trading
in non-U.S. equity securities is substantially completed each day at
various times prior to the close of the NYSE. The values of such securities
used in computing the net asset value of the Fund's shares are determined
as of such times. The fund may use a fair value model developed by an
independent pricing service to value non-U.S. equity securities.
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
50 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
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.
Swap contracts, including interest rate swaps, caps and floors (other than
centrally cleared swap contracts) are valued at the dealer quotations
obtained from reputable International Swap Dealer association members.
Centrally cleared swaps are valued at the daily settlement price provided
by the central clearing counterparty.
Forward foreign currency exchange contracts are valued daily using the
foreign exchange rate or, for longer term forward contract positions, the
spot currency rate, in each case provided by a third party pricing service.
Contracts whose forward settlement date falls between two quoted days are
valued by interpolation.
Securities or loan interests for which independent pricing services are
unable to supply prices or for which market prices and/or quotations are
not readily available or are considered to be unreliable are valued by a
fair valuation team comprised of certain personnel of Pioneer Investment
Management, Inc. (PIM), the Fund's investment adviser, pursuant to
procedures adopted by the Fund's Board of Trustees. PIM's fair valuation
team uses fair value methods approved by the Valuation Committee of the
Board of Trustees. PIM's fair valuation team is responsible for monitoring
developments that may impact fair valued securities and for discussing and
assessing fair values on an ongoing basis, and at least quarterly, with the
Valuation Committee of the Board of Trustees.
Inputs used when applying fair value methods to value a security may
include credit ratings, the financial condition of the company, current
market conditions and comparable securities. The Fund may use fair value
methods if it is determined that a significant event has occurred after the
close of the exchange or market on which the security trades and prior to
the determination of the Fund's net asset value. Examples of a significant
event might include political or economic news, corporate restructurings,
natural disasters, terrorist activity or trading halts. Thus, the valuation
of the Fund's securities may differ significantly from exchange prices and
such differences could be material.
At April 30, 2016, nine securities were valued using fair value methods (in
addition to securities valued using prices supplied by independent pricing
services, broker-dealers or using a third party insurance industry pricing
model) representing 1.2% of net assets.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 51
B. Investment Income and Transactions
Principal amounts of mortgage-backed securities are adjusted for monthly
paydowns. Premiums and discounts related to certain mortgage-backed
securities are amortized or accreted in proportion to the monthly paydowns.
All discounts/premiums on purchase prices of debt securities are
accreted/amortized for financial reporting purposes over the life of the
respective securities, and such accretion/amortization is included in
interest income.
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,
net of unrecoverable foreign taxes withheld at the applicable country
rates.
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. Foreign Currency Translation
The books and records of the Fund are maintained in U.S. dollars. Amounts
denominated in foreign currencies are translated into U.S. dollars using
current exchange rates.
Net realized gains and losses on foreign currency transactions, if any,
represent, among other things, the net realized gains and losses on foreign
currency contracts, disposition of foreign currencies and the difference
between the amount of income accrued and the U.S. dollars actually
received. Further, the effects of changes in foreign currency exchange
rates on investments are not segregated in the statement of operations from
the effects of changes in the market prices of those securities but are
included with the net realized and unrealized gain or loss on investments.
D. Forward Foreign Currency Contracts
The Fund may enter into forward foreign currency contracts (contracts) for
the purchase or sale of a specific foreign currency at a fixed price on a
future date. All contracts are marked to market daily at the applicable
exchange rates, and any resulting unrealized appreciation or depreciation
is recorded in the Fund's financial statements. The Fund records realized
gains and losses at the time a hedge is offset by entry into a closing
transaction or extinguished by delivery of the currency. Risks may arise
upon entering into these contracts from the potential inability of
counterparties to meet the terms of the contract and from unanticipated
movements in the value of foreign currencies relative to the U.S. dollar
(See Note 7).
52 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
E. 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 October 31, 2015, 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 in the Statement of Operations.
Tax returns filed within the prior three years remain subject to
examination by federal and state tax authorities.
The amount and character of income and capital gain distributions to
shareowners are determined in accordance with federal income tax rules,
which may differ from U.S. generally accepted accounting principles.
Distributions in excess of net investment income or net realized gains are
temporary overdistributions for financial statement purposes resulting from
differences in the recognition or classification of income or distributions
for financial statement and tax purposes. Capital accounts within the
financial statements are adjusted for permanent book/tax differences to
reflect tax character, but are not adjusted for temporary differences.
The tax character of distributions payable will be determined at the end of
the current taxable year. The tax character of distributions paid during
the year ended October 31, 2015, was as follows:
---------------------------------------------------------------------------
2015
---------------------------------------------------------------------------
Distributions paid from:
Ordinary income $59,414,496
Return of capital 10,222,285
---------------------------------------------------------------------------
Total $69,736,781
===========================================================================
The following shows the components of distributable earnings on a federal
income tax basis at October 31, 2015:
---------------------------------------------------------------------------
2015
---------------------------------------------------------------------------
Distributable earnings:
Capital loss carryforward $(397,912,964)
Current year dividend payable (668,299)
Net unrealized depreciation (129,935,691)
---------------------------------------------------------------------------
Total $(528,516,954)
===========================================================================
The difference between book basis and tax basis unrealized depreciation is
attributable to the tax deferral of losses on wash sales, the
mark-to-market of foreign currency contracts, adjustments relating to
catastrophe bonds, partnerships, interest on defaulted bonds, and interest
accruals on preferred stock.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 53
F. Fund Shares
The Fund records sales and repurchases of its shares as of trade date.
Pioneer Funds Distributor, Inc. (PFD), the principal underwriter for the
Fund and a wholly owned indirect subsidiary of UniCredit S.p.A.
(UniCredit), earned $9,151 in underwriting commissions on the sale of Class
A shares during the six months ended April 30, 2016.
G. Class Allocations
Income, common expenses and realized and unrealized gains and losses are
calculated at the Fund level and allocated daily to each class of shares
based on its respective percentage of adjusted net assets at the beginning
of the day.
Distribution fees are calculated based on the average daily net asset value
attributable to Class A and Class C shares of the Fund, respectively (see
Note 4). Class Y shares do not pay distribution fees. All expenses and fees
paid to the Fund's transfer agent for its services are allocated among the
classes of shares based on the number of accounts in each class and the
ratable allocation of related out-of-pocket expenses (see Note 3).
The Fund declares as daily dividends substantially all of its net
investment income. All dividends are paid on a monthly basis. Short-term
capital gain distributions, if any, may be declared with the daily
dividends. Distributions to shareowners are recorded as of the ex-dividend
date. Distributions paid by the Fund with respect to each class of shares
are calculated in the same manner and at the same time, except that net
investment income dividends to Class A, Class C and Class Y shares can
reflect different transfer agent and distribution expense rates.
H. Insurance Linked Securities (ILS)
The Fund invests in event-linked bonds. Event-linked bonds are floating
rate debt obligations for which the return of principal and the payment of
interest are contingent on the non-occurrence of a pre-defined "trigger"
event, such as a hurricane or an earthquake of a specific magnitude. The
trigger event's magnitude may be based on losses to a company or industry,
industry indexes or readings of scientific instruments, or may be based on
specified actual losses. If a trigger event, as defined within the terms of
an event-linked bond occurs, the fund may lose a portion or all of its
accrued interest and/or principal invested in such event-linked bond. The
fund is entitled to receive principal and interest payments so long as no
trigger event occurs of the description and magnitude specified by the
instrument. In addition to the specified trigger events, event-linked bonds
may expose the Fund to other risks, including but not limited to issuer
(credit) default, adverse regulatory or jurisdictional interpretations and
adverse tax consequences.
54 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
The Fund's investments in ILS may include special purpose vehicles ("SPVs")
or similar instruments structured to comprise a portion of a reinsurer's
catastrophe-oriented business, known as quota share instruments (sometimes
referred to as reinsurance sidecars), or to provide reinsurance relating to
specific risks to insurance or reinsurance companies through a
collateralized instrument, known as collateralized reinsurance. Structured
reinsurance investments also may include industry loss warranties ("ILWs").
A traditional ILW takes the form of a bilateral reinsurance contract, but
there are also products that take the form of derivatives, collateralized
structures, or exchange traded instruments.
Structured reinsurance investments, including quota share instruments,
collateralized reinsurance investments and ILWs, are subject to the same
risks as event-linked bonds. In addition, where the instruments are based
on the performance of underlying reinsurance contracts, the Fund has
limited transparency into the individual underlying contracts and therefore
must rely upon the risk assessment and sound underwriting practices of the
issuer. Accordingly, it may be more difficult for PIM to fully evaluate the
underlying risk profile of the Fund's structured reinsurance investments
and therefore the Fund's assets are placed at greater risk of loss than if
PIM had more complete information.
Structured reinsurance instruments generally will be considered illiquid
securities by the Fund. These securities may be difficult to purchase, sell
or unwind. Illiquid securities also may be difficult to value. If the Fund
is forced to sell an illiquid asset, the Fund may be forced to sell at a
loss.
I. Risks
The value of securities held by the fund may go up or down, sometimes
rapidly or unpredictably, due to general market conditions, such as real or
perceived adverse economic, political or regulatory conditions, inflation,
changes in interest rates, lack of liquidity in the bond markets or adverse
investor sentiment. In the past several years, financial markets have
experienced increased volatility, depressed valuations, decreased liquidity
and heightened uncertainty. These conditions may continue, recur, worsen or
spread.
At times, the Fund's investments may represent industries or industry
sectors that are interrelated or have common risks, making the Fund more
susceptible to any economic, political, or regulatory developments or other
risks affecting those industries and sectors. The Fund's investments in
foreign markets and countries with limited developing markets may subject
the Fund to a greater degree of risk than in a developed market. These
risks include disruptive political or economic conditions and the
imposition of adverse
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 55
governmental laws or currency exchange restrictions. The Fund's prospectus
contains unaudited information regarding the Fund's principal risks. Please
refer to that document when considering the Fund's principal risks.
Interest rates in the U.S. recently have been historically low, so the Fund
faces a heightened risk that interest rates may rise. A general rise in
interest rates may cause investors to move out of fixed income securities
on a large scale, which could adversely affect the price and liquidity of
fixed income securities and could also result in increased redemptions from
the Fund.
Certain securities in which the Fund invests, including floating rate
loans, once sold, may not settle for an extended period (for example,
several weeks or even longer). The Fund will not receive its sale proceeds
until that time, which may constrain the Fund's ability to meet its
obligations (including obligations to redeeming shareholders).
The Fund invests in below investment grade (high yield) debt securities and
preferred stocks. Some of these high yield securities may be convertible
into equity securities of the issuer. Debt securities rated below
investment grade are commonly referred to as "junk bonds" and are
considered speculative. These securities involve greater risk of loss, are
subject to greater price volatility, and are less liquid, especially during
periods of economic uncertainty or change, than higher rated debt
securities.
J. Credit Default Swap Agreements
A credit default swap is a contract between a buyer of protection and a
seller of protection against a pre-defined credit event. The Fund may sell
or buy credit default swap contracts to seek to increase the Fund's income,
or to attempt to hedge the risk of default on portfolio securities. A
credit default swap index is used to hedge risk or take a position on a
basket of credit entities or indices. As a seller of protection, the Fund
would be required to pay the notional (or other agreed-upon) value of the
referenced debt obligation to the counterparty in the event of a default by
a U.S. or foreign corporate issuer of a debt obligation, which would likely
result in a loss to the Fund. In return, the Fund would receive from the
counterparty a periodic stream of payments during the term of the contract
provided that no event of default occurred. The maximum exposure of loss to
the seller would be the notional value of the credit default swaps
outstanding. If no default occurs, the Fund would keep the stream of
payments and would have no payment obligation. The Fund may also buy credit
default swap contracts in order to hedge against the risk of default of
debt securities, in which case the Fund would function as the counterparty
referenced above.
56 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
When the Fund enters into a credit default swap contract, the protection
buyer makes an upfront or periodic payment to the protection seller in
exchange for the right to receive a contingent payment. An upfront payment
made by the Fund, as the protection buyer, is recorded as an asset in the
Statement of Assets and Liabilities. Periodic payments received or paid by
the Fund are recorded as realized gains or losses in the Statement of
Operations.
Credit default swap contracts are marked-to-market daily using valuations
supplied by independent sources and the change in value, if any, is
recorded as unrealized appreciation or depreciation in the Statement of
Assets and Liabilities. Payments received or made as a result of a credit
event or upon termination of the contract are recognized, net of the
appropriate amount of the upfront payment, as realized gains or losses in
the Statement of Operations.
Credit default swap contracts involving the sale of protection may involve
greater risks than if the Fund had invested in the referenced debt
instrument directly. Credit default swap contracts are subject to general
market risk, liquidity risk, counterparty risk and credit risk. If the Fund
is a protection buyer and no credit event occurs, it will lose its
investment. If the Fund is a protection seller and a credit event occurs,
the value of the referenced debt instrument received by the Fund, together
with the periodic payments received, may be less than the amount the Fund
pays to the protection buyer, resulting in a loss to the Fund.
Certain swap contracts that are cleared through a central clearinghouse are
referred to as centrally cleared swaps. All payments made or received by
the Fund are pursuant to a centrally cleared swap contract with the central
clearing party rather than the original counterparty. Upon entering into a
centrally cleared swap contract, the Fund is required to make an initial
margin deposit, either in cash or in securities. The daily change in value
on open centrally cleared contracts is recorded as variation margin on
centrally cleared swaps on the Statement of Assets and Liabilities.
The amount of cash deposited with a broker as collateral at April 30, 2016
was $315,000 and is recorded within "Restricted Cash" on the Statement of
Assets and Liabilities.
Open credit default swap contracts at April 30, 2016, are listed in the
Schedule of Investments. The average value of swap contracts open during
the six months ended April 30, 2016 was $29,453.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 57
2. Management Agreement
PIM, a wholly owned indirect subsidiary of UniCredit, the Fund's investment
adviser, manages the Fund's portfolio. Management fees are calculated daily at
the annual rate of 0.70% of the Fund's average daily net assets up to $500
million; 0.65% of the next $500 million; 0.60% of the next $500 million; 0.55%
of the next $500 million; and 0.45% on assets over $2 billion. For the six
months ended April 30, 2016, the effective management fee (excluding waivers
and/or assumption of expenses) was equivalent to 0.66% of the Fund's average
daily net assets.
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
$42,543 in management fees, administrative costs and certain other
reimbursements payable to PIM at April 30, 2016.
3. Transfer Agent
Prior to November 2, 2015, Pioneer Investment Management Shareholder Services,
Inc. (PIMSS), a wholly owned indirect subsidiary of UniCredit, provided
substantially all transfer agent and shareowner services to the Fund at
negotiated rates.
Effective November 2, 2015, Boston Financial Data Services serves as the
transfer agent to the Fund at negotiated rates.
In addition, the Fund reimbursed the transfer agent for out-of-pocket expenses
incurred by the transfer agent related to shareholder communications activities
such as proxy and statement mailings, outgoing phone calls and omnibus
relationship contracts. For the six months ended April 30, 2016, such
out-of-pocket expenses by class of shares were as follows:
--------------------------------------------------------------------------------
Shareholder Communications:
--------------------------------------------------------------------------------
Class A $139,452
Class C 97,202
Class Y 212,549
--------------------------------------------------------------------------------
Total $449,203
================================================================================
Included in "Due to affiliates" reflected on the Statement of Assets and
Liabilities is $166,751 in transfer agent fees and out-of-pocket reimbursements
payable to the transfer agent at April 30, 2016.
58 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
4. Distribution Plan
The Fund has adopted a Distribution Plan pursuant to Rule 12b-1 of the
Investment Company Act of 1940 with respect to its Class A and Class C shares.
Pursuant to the Plan, the Fund pays PFD 0.25% of the average daily net assets
attributable to Class A shares as compensation for personal services and/or
account maintenance services or distribution services with regard to Class A
shares. Pursuant to the Plan, the Fund also pays PFD 1.00% of the average daily
net assets attributable to Class C shares. The fee for Class C shares consists
of a 0.25% service fee and a 0.75% distribution fee paid as compensation for
personal services and/or account maintenance services or distribution services
with regard to Class C shares. Included in "Due to affiliates" reflected on the
Statement of Assets and Liabilities is $20,847 in distribution fees payable to
PFD at April 30, 2016.
In addition, redemptions of each class of shares (except Class Y and Class Z
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 Y or Class Z shares. Proceeds from the
CDSCs are paid to PFD. For the six months ended April 30, 2016, CDSCs in the
amount of $4,333 were paid to PFD.
5. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
Funds), participates in a committed, unsecured revolving line of credit
facility. Borrowings are used solely for temporary or emergency purposes. The
Fund may borrow up to the lesser of the amount available under the facility or
the limits set for borrowing by the Fund's prospectus and the 1940 Act. The
credit facility in effect until February 10, 2016, was in the amount of $240
million. As of February 10, 2016, the facility is in the amount of $220 million.
Under such facility, depending on the type of loan, interest on borrowings is
payable at the London Interbank Offered Rate (LIBOR) plus 0.85% on an annualized
basis, or the Alternate Base Rate, which is the greater of (a) the facility's
administrative agent's daily announced prime rate on the borrowing date, (b) 2%
plus the Federal Funds Rate on the borrowing date and (c) 2% plus the overnight
Eurodollar rate on the borrowing date. The Funds pay an annual commitment fee to
participate in a credit facility. The commitment fee is allocated among
participating Funds based on an allocation schedule set forth in the credit
agreement. For the six months ended April 30, 2016, the Fund had no borrowings
under the credit facility.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 59
6. Bridge Loan Commitments
Bridge loans are designed to provide temporary or "bridge" financing to a
borrower pending the sale of identified assets or the arrangement of longer term
loans or the issuance or sale of debt obligations.
As of April 30, 2016, the Fund had two bridge loan commitments worth $3,210,145,
which could be extended at the option of the borrower, pursuant to the following
loan agreements:
-----------------------------------------------------------------------------------------------------
Unrealized
Appreciation
Loan Principal Cost Value (Depreciation)
-----------------------------------------------------------------------------------------------------
Charter Communications
Operating Co., Bridge Loan $ 449,420 $ 449,420 $ 449,420 $ --
CCO Holding Co., Bridge Loan 2,760,725 2,760,725 2,760,725 --
-----------------------------------------------------------------------------------------------------
Total $3,210,145 $3,210,145 $3,210,145 $ --
=====================================================================================================
7. Forward Foreign Currency Contracts
At April 30, 2016, the Fund had entered into various forward foreign currency
contracts that obligate the Fund to deliver or take delivery of currencies at
specified future maturity dates. Alternatively, prior to the settlement date of
a forward foreign currency contract, the Fund may close out such contract by
entering into an offsetting contract. The average value of contracts open during
the six months ended April 30, 2016 was $(20,972,416).
Open forward foreign currency contracts at April 30, 2016 were as follows:
-----------------------------------------------------------------------------------------------------
Currency Currency In Exchange Settlement Unrealized
Sold Deliver Purchased for Counterparty Date Appreciation
-----------------------------------------------------------------------------------------------------
USD (1,253,144) (MXN) 21,670,000 Brown Brothers 6/2/16 $ 2,011
Mexican Peso Harriman & Co.
(EUR) Euro (3,136,096) USD 2,805,000 Goldman Sachs 6/3/16 78,874
International
USD (3,638,352) (GBP) British 2,510,000 JP Morgan 5/3/16 28,258
Pound Chase Bank NA
Sterling
USD (4,450,923) (EUR) Euro 3,945,000 JP Morgan 6/3/16 70,665
Chase Bank NA
(GBP) British (1,806,235) USD 1,255,000 Societe 5/3/16 27,070
Pound Sterling Generale SA
USD (2,994,011) (MXN) 51,772,291 UBS, Ltd. 6/2/16 4,708
Mexican Peso
-----------------------------------------------------------------------------------------------------
Total $ 211,586
=====================================================================================================
60 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
-----------------------------------------------------------------------------------------------------
Currency Currency In Exchange Settlement Unrealized
Sold Deliver Purchased for Counterparty Date Depreciation
-----------------------------------------------------------------------------------------------------
(MXN) Mexican (314,423) USD 17,921 Citibank NA 6/2/16 $ (291)
Peso
(GBP) British (1,077,635) USD 1,519,507 Citibank NA 5/3/16 (54,703)
Pound
Sterling
USD (5,528,994) (IDR) 73,174,332,265 Goldman Sachs 6/1/16 (3,447)
Indonesian International
Rupiah
RUB (123,250,000) USD 1,823,495 Goldman Sachs 5/13/16 (77,552)
(Russian International
Ruble)
JPY (Japanese (99,971,272) USD 892,801 JP Morgan 5/25/16 (44,480)
Yen) Chase Bank NA
(GBP) British (2,865,329) USD 3,974,888 JP Morgan 5/3/16 (210,787)
Pound
Sterling Chase Bank NA
(EUR) Euro (9,149,868) USD 10,001,314 JP Morgan 6/3/16 (485,869)
Chase Bank NA
(MXN) Mexican (170,841,063) USD 9,631,159 JP Morgan 6/2/16 (264,181)
Peso Chase Bank NA
ARS (Argentine (12,008,250) USD 810,000 JP Morgan 5/16/16 (24,631)
Peso) Chase Bank NA
-----------------------------------------------------------------------------------------------------
Total $ (1,165,941)
=====================================================================================================
8. Assets and Liabilities Offsetting
The Fund has entered into an International Swaps and Derivatives Association,
Inc. Master Agreement ("ISDA Master Agreement") or similar agreement with
substantially all its derivative counterparties. An ISDA Master Agreement is a
bilateral agreement between the Fund and a counterparty that governs the trading
of certain OTC derivatives and typically contains, among other things, close-out
and set-off provisions which apply upon the occurrence of event of a default
and/or termination event as defined under the relevant ISDA Master Agreement.
The ISDA Master Agreement may also give a party the right to terminate all
transactions traded under such agreement if, among other things, there is
deterioration in the credit quality of the other party. Upon an event of default
or a termination of the ISDA Master Agreement, the non-defaulting party has the
right to close out all transactions under such agreement and to net amounts owed
under each transaction to determine one net amount payable by one party to the
other. The right to close out and net payments across all transactions under the
ISDA Master Agreement could result in a reduction of the Fund's credit risk to
its counterparty equal to any amounts payable by the Fund under the applicable
transactions, if any. However, the Fund's right to setoff may be restricted or
prohibited by the bankruptcy or insolvency laws of the particular jurisdiction
to which a specific ISDA counterparty is subject.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 61
The collateral requirements for derivatives transactions under an ISDA Master
Agreement are governed by a credit support annex to the ISDA Master Agreement.
Collateral requirements are generally determined at the close of business each
day and are typically based on changes in market values for each transaction
under an ISDA Master Agreement and netted into one amount for such agreement.
Generally, the amount of collateral due from or to a counterparty is subject to
threshold (a "minimum transfer amount") before a transfer is required, which may
vary by counterparty. Collateral pledged for the benefit of the Fund and/or
counterparty is held in segregated accounts by the Fund's custodian and cannot
be sold, re-pledged, assigned or otherwise used while pledged. Cash that has
been segregated to cover the Fund's collateral obligations, if any, will be
reported separately in the Statement of Assets and Liabilities as "Restricted
cash." Securities pledged by the Fund as collateral, if any, are identified as
such in the Schedule of Investments.
Financial instruments subject to an enforceable master netting agreement such as
an ISDA Master Agreement have been offset on the Statement of Assets and
Liabilities. The following charts show gross assets and liabilities of the Fund
as of April 30, 2016.
----------------------------------------------------------------------------------------------------
Derivative Assets Derivatives Non-Cash Cash Net Amount
Subject to Master Available for Collateral Collateral of Derivative
Counterparty Netting Agreement Offset Received (a) Received (a) Assets (b)
----------------------------------------------------------------------------------------------------
JPMorgan $ 98,923 $ (98,923) $ -- $ -- $ --
Chase
Bank NA
Citibank NA 78,874 (78,874) -- -- --
Goldman -- -- -- -- --
Sachs
UBS AG 4,708 -- -- -- 4,708
Brown 2,011 -- -- -- 2,011
Brothers
Harriman
& Co.
Societe 27,070 -- -- -- 27,070
Generale SA
----------------------------------------------------------------------------------------------------
Total $ 211,586 $ (177,797) $ -- $ -- $ 33,789
====================================================================================================
62 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
----------------------------------------------------------------------------------------------------
Derivative Liabilities Derivatives Non-Cash Cash Net Amount
Subject to Master Available for Collateral Collateral of Derivative
Counterparty Netting Agreement Offset Pledged (a) Pledged (a) Liabilities (c)
----------------------------------------------------------------------------------------------------
JPMorgan $1,029,948 $ (98,923) $ -- $ -- $ 931,025
Chase
Bank NA
Citibank NA 54,994 -- -- -- 54,994
Goldman 80,999 (78,874) -- -- 2,125
Sachs
UBS AG -- -- -- -- --
Brown -- -- -- -- --
Brothers
Harriman
& Co.
Societe -- -- -- -- --
Generale SA
----------------------------------------------------------------------------------------------------
Total $1,165,941 $ (177,797) $ -- $ -- $ 988,144
====================================================================================================
(a) The amount presented here may be less than the total amount of collateral
received/pledged as the net amount of derivative assets and liabilities
cannot be less than $0.
(b) Represents the net amount due from the counterparty in the event of
default.
(c) Represents the net amount payable to the counterparty in the event of
default.
9. Additional Disclosures about Derivative Instruments and Hedging Activities:
The Fund's use of derivatives subjects it to the following risks:
Interest rate risk relates to the fluctuations in the value of interest-bearing
securities due to changes in the prevailing levels of market interest rates.
Credit risk relates to the ability of the issuer of a financial instrument to
make further principal or interest payments on an obligation or commitment that
it has to the Fund.
Foreign exchange rate risk relates to fluctuations in the value of an asset or
liability due to changes in currency exchange rates.
Equity risk relates to the fluctuations in the value of financial instruments as
a result of changes in market prices (other than those arising from interest
rate risk or foreign exchange risk), whether caused by factors specific to an
individual investment, its issuer, or all factors affecting all instruments
traded in a market or market segment.
Commodity risk relates to the risk that the value of a commodity or commodity
index will fluctuate based on increases or decreases in the commodities market
and factors specific to a particular industry or commodity.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 63
The fair value of open derivative instruments (not considered to be hedging
instruments for accounting disclosure purposes) by risk exposure at April 30,
2016 was as follows:
-----------------------------------------------------------------------------------------
Foreign
Statement of Interest Credit Exchange Equity Commodity
Assets and Liabilities Rate Risk Risk Rate Risk Risk Risk
-----------------------------------------------------------------------------------------
Assets
Unrealized appreciation
of forward foreign
currency contracts $ -- $ -- $ 211,586 $ -- $ --
Unrealized appreciation
of swap contracts -- 181,050 -- -- --
-----------------------------------------------------------------------------------------
Total Value $ -- $181,050 $ 211,586 $ -- $ --
=========================================================================================
Liabilities
Unrealized depreciation
of forward foreign
currency contracts $ -- $ -- $ 1,165,941 $ -- $ --
-----------------------------------------------------------------------------------------
Total Value $ -- $ -- $ 1,165,941 $ -- $ --
=========================================================================================
The effect of derivative instruments (not considered to be hedging instruments
for accounting disclosure purposes) on the Statement of Operations by risk
exposure at April 30, 2016 was as follows:
-----------------------------------------------------------------------------------------
Foreign
Statement Interest Credit Exchange Equity Commodity
of Operations Rate Risk Risk Rate Risk Risk Risk
-----------------------------------------------------------------------------------------
Net realized gain (loss) on
Swap contracts $ -- $ 41,016 $ -- $ -- $ --
Forward foreign
currency contracts* -- -- 1,304,830 -- --
-----------------------------------------------------------------------------------------
Total Value $ -- $ 41,016 $ 1,304,830 $ -- $ --
=========================================================================================
Change in net unrealized
appreciation
(depreciation) on
Swap contracts $ -- $181,050 $ -- $ -- $ --
Forward foreign
currency contracts* -- -- (1,211,019) -- --
-----------------------------------------------------------------------------------------
Total Value $ -- $181,050 $(1,211,019) $ -- $ --
=========================================================================================
* Included in the amount shown on the Statement of Operations as foward
foreign currency contracts and other assets and liabilities denominated in
foreign currencies.
11. Conversion of Class B and Class Z shares
As of the close of business on November 10, 2014, all outstanding Class B shares
of the Pioneer funds were converted to Class A shares.
As of the close of business on August 7, 2015, all outstanding Class Z shares of
the Pioneer funds were converted to Class Y shares.
64 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
Additional Information (unaudited)
PIM, the Fund's investment adviser, is currently an indirect, wholly owned
subsidiary of UniCredit. On November 11, 2015, UniCredit announced that it
signed a binding master agreement with Banco Santander and affiliates of Warburg
Pincus and General Atlantic (the "Private Equity Firms") with respect to Pioneer
Investments ("Pioneer") and Santander Asset Management ("SAM") (the
"Transaction").
The Transaction, as previously announced by UniCredit, will establish a holding
company, with the name Pioneer Investments, to be owned by UniCredit (50%) and
the Private Equity Firms (50% between them). The holding company will control
Pioneer's U.S. operations, including PIM. The holding company also will own
66.7% of Pioneer's and SAM's combined operations outside the U.S., while Banco
Santander will own directly the remaining 33.3% stake. The closing of the
Transaction is expected to happen in 2016, subject to certain regulatory and
other approvals.
Under the Investment Company Act of 1940, completion of the Transaction will
cause the Fund's current investment advisory agreement with PIM to terminate.
Accordingly, the Fund's Board of Trustees will be asked to approve a new
investment advisory agreement. If approved by the Board, the Fund's new
investment advisory agreement will be submitted to the shareholders of the Fund
for their approval.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 65
Trustees, Officers and Service Providers
Trustees Advisory Trustee
Thomas J. Perna, Chairman Lorraine H. Monchak*
David R. Bock
Benjamin M. Friedman Officers
Margaret B.W. Graham Lisa M. Jones, President and Chief
Marguerite A. Piret Executive Officer
Fred J. Ricciardi Mark E. Bradley, Treasurer and
Kenneth J. Taubes Chief Financial Officer
Christopher J. Kelley, Secretary and
Chief Legal Officer
Investment Adviser and Administrator
Pioneer Investment Management, Inc.
Custodian and Sub-Administrator
Brown Brothers Harriman & Co.
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Morgan, Lewis & Bockius LLP
Shareowner Services and Transfer Agent
Boston Financial Data Services, Inc.
Proxy Voting Policies and Procedures of the Fund are available without charge,
upon request, by calling our toll free number (1-800-225-6292). Information
regarding how the Fund voted proxies relating to portfolio securities during the
most recent 12-month period ended June 30 is publicly available to shareowners
at us.pioneerinvestments.com. This information is also available on the
Securities and Exchange Commission's web site at www.sec.gov.
* Ms. Monchak is a non-voting Advisory Trustee.
66 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
This page for your notes.
Pioneer Global High Yield Fund | Semiannual Report | 4/30/16 67
This page for your notes.
68 Pioneer Global High Yield Fund | Semiannual Report | 4/30/16
How to Contact Pioneer
We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
Call us for:
--------------------------------------------------------------------------------
Account Information, including existing accounts,
new accounts, prospectuses, applications
and service forms 1-800-225-6292
FactFone(SM) for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Write to us:
--------------------------------------------------------------------------------
Pioneer Funds
P.O. Box 55014
Boston, Massachusetts 02205-5014
Our toll-free fax 1-800-225-4240
Our internet e-mail address ask.pioneer@pioneerinvestments.com
(for general questions about Pioneer only)
Visit our web site: us.pioneerinvestments.com
This report must be preceded or accompanied by a prospectus.
The Fund files a complete schedule of investments with the Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareholders may view the filed Form N-Q by visiting the Commission's
web site at www.sec.gov. The filed form may also be viewed and copied at the
Commission's Public Reference Room in Washington, DC. Information regarding the
operations of the Public Reference Room may be obtained by calling
1-800-SEC-0330.
[LOGO] PIONEER
Investments(R)
Pioneer Investment Management, Inc.
60 State Street
Boston, MA 02109
us.pioneerinvestments.com
Securities offered through Pioneer Funds Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
(C) 2016 Pioneer Investments 19382-10-0616
ITEM 2. CODE OF ETHICS.
(a) Disclose whether, as of the end of the period covered by the report, the
registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions, regardless of
whether these individuals are employed by the registrant or a third party. If
the registrant has not adopted such a code of ethics, explain why it has not
done so.
The registrant has adopted, as of the end of the period covered by this report,
a code of ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer and controller.
(b) For purposes of this Item, the term "code of ethics" means written standards
that are reasonably designed to deter wrongdoing and to promote:
(1) Honest and ethical conduct, including the ethical handling of actual
or apparent conflicts of interest between personal and professional
relationships;
(2) Full, fair, accurate, timely, and understandable disclosure in
reports and documents that a registrant files with, or submits to, the
Commission and in other public communications made by the registrant;
(3) Compliance with applicable governmental laws, rules, and
regulations;
(4) The prompt internal reporting of violations of the code to an
appropriate person or persons identified in the code; and
(5) Accountability for adherence to the code.
(c) The registrant must briefly describe the nature of any amendment, during the
period covered by the report, to a provision of its code of ethics that applies
to the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, and that relates to any element of the code of
ethics definition enumerated in paragraph (b) of this Item. The registrant must
file a copy of any such amendment as an exhibit pursuant to Item 10(a), unless
the registrant has elected to satisfy paragraph (f) of this Item by posting its
code of ethics on its website pursuant to paragraph (f)(2) of this Item, or by
undertaking to provide its code of ethics to any person without charge, upon
request, pursuant to paragraph (f)(3) of this Item.
The registrant has made no amendments to the code of ethics during the period
covered by this report.
(d) If the registrant has, during the period covered by the report, granted a
waiver, including an implicit waiver, from a provision of the code of ethics to
the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, that relates to one or more of the items set forth
in paragraph (b) of this Item, the registrant must briefly describe the nature
of the waiver, the name of the person to whom the waiver was granted, and the
date of the waiver.
Not applicable.
(e) If the registrant intends to satisfy the disclosure requirement under
paragraph (c) or (d) of this Item regarding an amendment to, or a waiver from,
a provision of its code of ethics that applies to the registrant's principal
executive officer, principal financial officer, principal accounting officer or
controller, or persons performing similar functions and that relates to any
element of the code of ethics definition enumerated in paragraph (b) of this
Item by posting such information on its Internet website, disclose the
registrant's Internet address and such intention.
Not applicable.
(f) The registrant must:
(1) File with the Commission, pursuant to Item 12(a)(1), a copy of
its code of ethics that applies to the registrant's principal
executive officer,principal financial officer, principal accounting
officer or controller, or persons performing similar functions,
as an exhibit to its annual
report on this Form N-CSR (see attachment);
(2) Post the text of such code of ethics on its Internet website and
disclose, in its most recent report on this Form N-CSR, its Internet
address and the fact that it has posted such code of ethics on its
Internet website; or
(3) Undertake in its most recent report on this Form N-CSR to provide to
any person without charge, upon request, a copy of such code of ethics
and explain the manner in which such request may be made.
See Item 10(2)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a) (1) Disclose that the registrant's board of trustees has determined that
the registrant either:
(i) Has at least one audit committee financial expert serving on its audit
committee; or
(ii) Does not have an audit committee financial expert serving on its audit
committee.
The registrant's Board of Trustees has determined that the registrant has at
least one audit committee financial expert.
(2) If the registrant provides the disclosure required by paragraph
(a)(1)(i) of this Item, it must disclose the name of the audit committee
financial expert and whether that person is "independent." In order to be
considered "independent" for purposes of this Item, a member of an audit
committee may not, other than in his or her capacity as a member of the audit
committee, the board of trustees, or any other board committee:
(i) Accept directly or indirectly any consulting, advisory, or other
compensatory fee from the issuer; or
(ii) Be an "interested person" of the investment company as defined in
Section 2(a)(19) of the Act (15 U.S.C. 80a-2(a)(19)).
Ms. Marguerite A. Piret, an independent trustee, is such an audit committee
financial expert.
(3) If the registrant provides the disclosure required by paragraph (a)(1)
(ii) of this Item, it must explain why it does not have an audit committee
financial expert.
Not applicable.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Disclose, under the caption AUDIT FEES, the aggregate fees billed for each
of the last two fiscal years for professional services rendered by the principal
accountant for the audit of the registrant's annual financial statements or
services that are normally provided by the accountant in connection with
statutory and regulatory filings or engagements for those fiscal years.
N/A
(b) Disclose, under the caption AUDIT-RELATED FEES, the aggregate fees billed in
each of the last two fiscal years for assurance and related services by the
principal accountant that are reasonably related to the performance of the audit
of the registrant's financial statements and are not reported under
paragraph (a) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.
N/A
(c) Disclose, under the caption TAX FEES, the aggregate fees billed in each of
the last two fiscal years for professional services rendered by the principal
accountant for tax compliance, tax advice, and tax planning. Registrants shall
describe the nature of the services comprising the fees disclosed under this
category.
N/A
(d) Disclose, under the caption ALL OTHER FEES, the aggregate fees billed in
each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a) through
(c) of this Item. Registrants shall describe the nature of the services
comprising the fees disclosed under this category.
N/A
(e) (1) Disclose the audit committee's pre-approval policies and procedures
described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
PIONEER FUNDS
APPROVAL OF AUDIT, AUDIT-RELATED, TAX AND OTHER SERVICES
PROVIDED BY THE INDEPENDENT AUDITOR
SECTION I - POLICY PURPOSE AND APPLICABILITY
The Pioneer Funds recognize the importance of maintaining the independence of
their outside auditors. Maintaining independence is a shared responsibility
involving Pioneer Investment Management, Inc ("PIM"), the audit committee and
the independent auditors.
The Funds recognize that a Fund's independent auditors: 1) possess knowledge of
the Funds, 2) are able to incorporate certain services into the scope of the
audit, thereby avoiding redundant work, cost and disruption of Fund personnel
and processes, and 3) have expertise that has value to the Funds. As a result,
there are situations where it is desirable to use the Fund's independent
auditors for services in addition to the annual audit and where the potential
for conflicts of interests are minimal. Consequently, this policy, which is
intended to comply with Rule 210.2-01(C)(7), sets forth guidelines and
procedures to be followed by the Funds when retaining the independent audit firm
to perform audit, audit-related tax and other services under those
circumstances, while also maintaining independence.
Approval of a service in accordance with this policy for a Fund shall also
constitute approval for any other Fund whose pre-approval is required pursuant
to Rule 210.2-01(c)(7)(ii).
In addition to the procedures set forth in this policy, any non-audit services
that may be provided consistently with Rule 210.2-01 may be approved by the
Audit Committee itself and any pre-approval that may be waived in accordance
with Rule 210.2-01(c)(7)(i)(C) is hereby waived.
Selection of a Fund's independent auditors and their compensation shall be
determined by the Audit Committee and shall not be subject to this policy.
SECTION II - POLICY
---------------- -------------------------------- -------------------------------------------------
SERVICE SERVICE CATEGORY DESCRIPTION SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
CATEGORY
---------------- -------------------------------- -------------------------------------------------
I. AUDIT Services that are directly o Accounting research assistance
SERVICES related to performing the o SEC consultation, registration
independent audit of the Funds statements, and reporting
o Tax accrual related matters
o Implementation of new accounting
standards
o Compliance letters (e.g. rating agency
letters)
o Regulatory reviews and assistance
regarding financial matters
o Semi-annual reviews (if requested)
o Comfort letters for closed end
offerings
---------------- -------------------------------- -------------------------------------------------
II. Services which are not o AICPA attest and agreed-upon procedures
AUDIT-RELATED prohibited under Rule o Technology control assessments
SERVICES 210.2-01(C)(4) (the "Rule") o Financial reporting control assessments
and are related extensions of o Enterprise security architecture
the audit services support the assessment
audit, or use the
knowledge/expertise gained
from the audit procedures as a
foundation to complete the
project. In most cases, if
the Audit-Related Services are
not performed by the Audit
firm, the scope of the Audit
Services would likely
increase. The Services are
typically well-defined and
governed by accounting
professional standards (AICPA,
SEC, etc.)
---------------- -------------------------------- -------------------------------------------------
------------------------------------- ------------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the audit period for all services and related fees
pre-approved specific service reported at each regularly
subcategories. Approval of the scheduled Audit Committee
independent auditors as meeting.
auditors for a Fund shall
constitute pre approval for
these services.
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the fund fiscal year within services and related fees
a specified dollar limit (including comparison to
for all pre-approved specified dollar limits)
specific service subcategories reported quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limit for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for Audit-Related
Services not denoted as
"pre-approved", or
to add a specific service
subcategory as "pre-approved"
------------------------------------- ------------------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- --------------------------- -----------------------------------------------
III. TAX SERVICES Services which are not o Tax planning and support
prohibited by the Rule, o Tax controversy assistance
if an officer of the Fund o Tax compliance, tax returns, excise
determines that using the tax returns and support
Fund's auditor to provide o Tax opinions
these services creates
significant synergy in
the form of efficiency,
minimized disruption, or
the ability to maintain a
desired level of
confidentiality.
----------------------- --------------------------- -----------------------------------------------
------------------------------------- -------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- -------------------------
------------------------------------- -------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year all such services and
within a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for tax services not
denoted as pre-approved, or to add a specific
service subcategory as
"pre-approved"
------------------------------------- -------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- --------------------------- -----------------------------------------------
IV. OTHER SERVICES Services which are not o Business Risk Management support
prohibited by the Rule, o Other control and regulatory
A. SYNERGISTIC, if an officer of the Fund compliance projects
UNIQUE QUALIFICATIONS determines that using the
Fund's auditor to provide
these services creates
significant synergy in
the form of efficiency,
minimized disruption,
the ability to maintain a
desired level of
confidentiality, or where
the Fund's auditors
posses unique or superior
qualifications to provide
these services, resulting
in superior value and
results for the Fund.
----------------------- --------------------------- -----------------------------------------------
--------------------------------------- ------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- --------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year within all such services and
a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for "Synergistic" or
"Unique Qualifications" Other
Services not denoted as
pre-approved to the left, or to
add a specific service
subcategory as "pre-approved"
------------------------------------- --------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- ------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PROHIBITED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- ------------------------- -----------------------------------------------
PROHIBITED SERVICES Services which result 1. Bookkeeping or other services
in the auditors losing related to the accounting records or
independence status financial statements of the audit
under the Rule. client*
2. Financial information systems design
and implementation*
3. Appraisal or valuation services,
fairness* opinions, or
contribution-in-kind reports
4. Actuarial services (i.e., setting
actuarial reserves versus actuarial
audit work)*
5. Internal audit outsourcing services*
6. Management functions or human
resources
7. Broker or dealer, investment
advisor, or investment banking services
8. Legal services and expert services
unrelated to the audit
9. Any other service that the Public
Company Accounting Oversight Board
determines, by regulation, is
impermissible
----------------------- ------------------------- -----------------------------------------------
------------------------------------------- ------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------------- ------------------------------
o These services are not to be o A summary of all
performed with the exception of the(*) services and related
services that may be permitted fees reported at each
if they would not be subject to audit regularly scheduled
procedures at the audit client (as Audit Committee meeting
defined in rule 2-01(f)(4)) level will serve as continual
the firm providing the service. confirmation that has
not provided any
restricted services.
------------------------------------------- ------------------------------
--------------------------------------------------------------------------------
GENERAL AUDIT COMMITTEE APPROVAL POLICY:
o For all projects, the officers of the Funds and the Fund's auditors will each
make an assessment to determine that any proposed projects will not impair
independence.
o Potential services will be classified into the four non-restricted service
categories and the "Approval of Audit, Audit-Related, Tax and Other
Services" Policy above will be applied. Any services outside the specific
pre-approved service subcategories set forth above must be specifically
approved by the Audit Committee.
o At least quarterly, the Audit Committee shall review a report summarizing the
services by service category, including fees, provided by the Audit firm as
set forth in the above policy.
--------------------------------------------------------------------------------
(2) Disclose the percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee pursuant
to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
N/A
(f) If greater than 50 percent, disclose the percentage of hours expended on the
principal accountants engagement to audit the registrant's financial statements
for the most recent fiscal year that were attributed to work performed by
persons other than the principal accountant's full-time, permanent employees.
N/A
(g) Disclose the aggregate non-audit fees billed by the registrants accountant
for services rendered to the registrant, and rendered to the registrants
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant for each of
the last two fiscal years of the registrant.
N/A
(h) Disclose whether the registrants audit committee of the board of trustees
has considered whether the provision of non-audit services that were rendered to
the registrants investment adviser (not including any subadviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the investment adviser that provides ongoing services to the
registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of
Rule 2-01 of Regulation S-X is compatible with maintaining the principal
accountant's independence.
The Fund's audit committee of the Board of Trustees
has considered whether the provision of non-audit
services that were rendered to the Affiliates (as
defined) that were not pre- approved pursuant to
paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is
compatible with maintaining the principal accountant's
independence.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
(a) If the registrant is a listed issuer as defined in Rule 10A-3
under the Exchange Act (17 CFR 240.10A-3), state whether
or not the registrant has a separately-designated standing
audit committee established in accordance with Section
3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)).
If the registrant has such a committee, however designated,
identify each committee member. If the entire board of directors
is acting as the registrant's audit committee as specified in
Section 3(a)(58)(B) of the Exchange Act (15 U.S.C. 78c(a)(58)(B)),
so state.
N/A
(b) If applicable, provide the disclosure required by Rule 10A-3(d)
under the Exchange Act (17 CFR 240.10A-3(d)) regarding an exemption
from the listing standards for audit committees.
N/A
ITEM 6. SCHEDULE OF INVESTMENTS.
File Schedule of Investments in securities of unaffiliated issuers
as of the close of the reporting period as set forth in 210.1212
of Regulation S-X [17 CFR 210.12-12], unless the schedule is
included as part of the report to shareholders filed under Item
1 of this Form.
Included in Item 1
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR
CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
A closed-end management investment company that is filing an annual report on
this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities.
Not applicable to open-end management investment companies.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
(a) If the registrant is a closed-end management investment company that
is filing an annual report on this Form N-CSR,provide the following
information:
(1) State the name, title, and length of service of the person or persons
employed by or associated with the registrant or an investment adviser
of the registrant who are primarily responsible for the day-to-day management
of the registrant's portfolio ("Portfolio Manager"). Also state each Portfolio
Manager's business experience during the past 5 years.
Not applicable to open-end management investment companies.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT
INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
(a) If the registrant is a closed-end management investment company,
in the following tabular format, provide the information specified in
paragraph (b) of this Item with respect to any purchase made by or on
behalf of the registrant or any affiliated purchaser, as defined in
Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of
shares or other units of any class of the registrant's equity securities
that is registered by the registrant pursuant to Section 12 of the
Exchange Act (15 U.S.C. 781).
Not applicable to open-end management investment companies.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Describe any material changes to the procedures by which shareholders
may recommend nominees to the registrant's board of directors, where
those changes were implemented after the registrant last provided
disclosure in response to the requirements of Item 407(c)(2)(iv) of
Regulation S-R(17 CFR 229.407)(as required by Item 22(b)(15))
of Schedule 14A (17 CFR 240.14a-101), or this Item.
There have been no material changes to the procedures by which the
shareholders may recommend nominees to the registrant's board of
directors since the registrant last provided disclosure in response
to the requirements of Item 407(c)(2)(iv) of Regulation S-R of Schedule 14(A)
in its definitive proxy statement, or this item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Disclose the conclusions of the registrant's principal executive and
principal financials officers, or persons performing similar functions,
regarding the effectiveness of the registrant's disclosure
controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR
270.30a-3(c))) as of a date within 90 days of the filing date of the report
that includes the disclosure required by this paragraph,
based on the evaluation of these controls and procedures required by Rule
30a-3(b) under the Act (17 CFR 270.30(a)-3(b) and Rules 13a-15(b) or 15d-15(b)
under the Exchange Act (17 CFR 240.13a-15(b) or 240.15d-15(b)).
The registrant's principal executive officer
and principal financial officer have
concluded that the registrant's disclosure
controls and procedures are effective based
on the evaluation of these controls and
procedures as of a date within 90 days of the
filing date of this report.
(b) Disclose any change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act (17CFR 270.30a-3(d)) that
occured during the second fiscal quarter of the period covered by this report
that has materially affected, or is reasonably likely to materially affect,
the registrant's internal control over financial reporting.
There were no significant changes in the
registrant's internal control over financial
reporting that occurred during the second
fiscal quarter of the period covered by this
report that have materially affected, or are
reasonably likely to materially affect, the
registrant's internal control over financial
reporting.
The registrant's principal executive officer and principal financial
officer, however, voluntarily are reporting the following information:
In August of 2006 the registrant's investment adviser
enhanced its internal procedures for reporting performance
information required to be included in prospectuses.
Those enhancements involved additional internal controls
over the appropriateness of performance data
generated for this purpose. Such enhancements were made
following an internal review which identified
prospectuses relating to certain classes of shares of
a limited number of registrants where, inadvertently,
performance information not reflecting the deduction of
applicable sales charges was included. Those prospectuses
were revised, and the revised prospectuses were distributed to
shareholders.
ITEM 12. EXHIBITS.
(a) File the exhibits listed below as part of this Form. Letter or number the
exhibits in the sequence indicated.
(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit.
(2) A separate certification for each principal executive officer and principal
financial officer of the registrant as required by Rule 30a-2(a) under the Act
(17 CFR 270.30a-2(a)) , exactly as set forth below:
Filed herewith.
SIGNATURES
[See General Instruction F]
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Pioneer Series Trust VII
By (Signature and Title)* /s/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date June 28, 2016
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 June 28, 2016
By (Signature and Title)* /s/ Mark E. Bradley
Mark E. Bradley, Treasurer & Chief Accounting & Financial Officer
Date June 28, 2016
* Print the name and title of each signing officer under his or her signature.