0001388126-16-000029.txt : 20161229 0001388126-16-000029.hdr.sgml : 20161229 20161229115322 ACCESSION NUMBER: 0001388126-16-000029 CONFORMED SUBMISSION TYPE: N-CSR PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20161031 FILED AS OF DATE: 20161229 DATE AS OF CHANGE: 20161229 EFFECTIVENESS DATE: 20161229 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PIONEER SERIES TRUST VII CENTRAL INDEX KEY: 0001140157 IRS NUMBER: 043567848 STATE OF INCORPORATION: DE FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: N-CSR SEC ACT: 1940 Act SEC FILE NUMBER: 811-10395 FILM NUMBER: 162074115 BUSINESS ADDRESS: STREET 1: 60 STATE STREET 13TH FLOOR CITY: BOSTON STATE: MA ZIP: 02109 BUSINESS PHONE: 6174224947 MAIL ADDRESS: STREET 1: 60 STATE STREET 13TH FLOOR CITY: BOSTON STATE: MA ZIP: 02109 FORMER COMPANY: FORMER CONFORMED NAME: PIONEER GLOBAL HIGH YIELD FUND DATE OF NAME CHANGE: 20010507 0001140157 S000010203 Pioneer Global High Yield Fund C000028246 Pioneer Global High Yield Fund: Class Y GHYYX C000028247 Pioneer Global High Yield Fund: Class A PGHYX C000028249 Pioneer Global High Yield Fund: Class C PGYCX 0001140157 S000019711 Pioneer Global Multisector Income Fund C000055267 Pioneer Global Multisector Income Fund: Class A Shares PGABX C000055268 Pioneer Global Multisector Income Fund: Class C Shares PGCBX C000055269 Pioneer Global Multisector Income Fund: Class Y Shares PGYBX N-CSR 1 ncsr.txt OMB APPROVAL OMB Number: 3235-0570 Expires: January 31, 2017 Estimated average burden hours per response.....20.6 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 PPioneer 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 October 31, 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 -------------------------------------------------------------------------------- Annual Report | October 31, 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 10 Prices and Distributions 11 Performance Update 12 Comparing Ongoing Fund Expenses 15 Schedule of Investments 17 Financial Statements 36 Notes to Financial Statements 43 Report of Independent Registered Public Accounting Firm 61 Approval of Investment Advisory Agreement 63 Trustees, Officers and Service Providers 68
Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 1 President's Letter Dear Shareowner, While investors were greeted with a challenging market environment for the first several weeks of the new year, the U.S. market generated modest single-digit returns for both stocks and bonds through September 30th (the Bloomberg Barclays Aggregate Bond Index was up by 5.8% through September 30, 2016, and the Standard & Poor's 500 Index was up by 7.8%). Yet, it is becoming increasingly clear that the investment landscape is undergoing significant change. For the past eight years, global central banks have been the dominant force in the markets by maintaining government bond yields at close to zero in an effort to stimulate economic growth. With little room to lower rates further, however, central banks may be losing their effectiveness. Many economies around the world are experiencing slow growth as they face a variety of challenges, including the shifting geopolitics driving "Brexit" - the United Kingdom's pending exit from the European Union - as well as related movements in Europe, limited productivity gains, aging populations, and transitioning economic models in China and other emerging markets. In the United States, gross domestic product (GDP) grew at a rate of approximately 1.2% in the first half of 2016, but GDP growth registered a strong uptick in the third quarter of the year, driven primarily by U.S. consumers. Investors currently face a difficult environment. Government bond yields, as noted earlier, had been near zero for most of the year and offered minimal opportunity to produce income. However, recent developments such as the Federal Reserve's decision to increase the Federal funds rate before the end of 2016 have driven yields slightly higher. The central bank-driven bull market in riskier assets has pushed up valuations towards historic highs in the equity and investment-grade and high-yield corporate bond markets. Central banks have pledged to move gradually to normalize interest-rate policies as the global economy recovers, but it will take many years for this historic credit cycle to unwind. Politics may also influence markets or investor sentiment given the current global political landscape. Donald Trump's surprising victory in the November U.S. presidential election seems to have sparked a late-year market rally, given the pro-growth proposals he promoted on the campaign trail, but it is unclear just how many of his policy initiatives will be implemented. In addition, continued challenges with Brexit and other geopolitical issues have the potential to increase market volatility going forward. Against this backdrop, investors are likely to face ongoing challenges when it comes to finding opportunities for both income and capital appreciation, and while much has been made of passive investing, we believe all investment decisions are active choices. 2 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Throughout Pioneer's history, we have believed in the importance of active management. During challenging market conditions, 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. 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. December 19, 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 | Annual Report | 10/31/16 3 Portfolio Management Discussion | 10/31/16 Credit-sensitive securities, including domestic high-yield bonds and emerging markets debt, recovered in value over the latter months of the 12-month period ended October 31, 2016, after underperforming U.S. Treasuries and other higher- quality securities earlier in the period. In the following interview, Charles Melchreit and Paresh Upadhyaya discuss the factors that affected the performance of Pioneer Global Multisector Income Fund during the 12-month period. Mr. Melchreit, Director of Investment-Grade Management, a senior vice president and a portfolio manager at Pioneer, Mr. Upadhyaya, a senior vice president and portfolio manager at Pioneer, Kenneth J. Taubes, Executive Vice President, Chief Investment Officer, U.S., 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, are responsible for the day-to-day management of the Fund. Q How did the Fund perform during the 12-month period ended October 31, 2016? A Pioneer Global Multisector Income Fund's Class A shares returned 5.59% at net asset value during the 12-month period ended October 31, 2016, while the Fund's benchmark, the Bloomberg Barclays Global Aggregate Bond Index (the Bloomberg Barclays Index), returned an identical 5.59%. During the same period, the average return of the 207 mutual funds in Lipper's Global Income Funds category was 4.71%, and the average return of the 370 mutual funds in Morningstar's World Bond Funds category was 5.00%. Q How would you describe the market environment for global fixed-income investors during the 12-month period ended October 31, 2016? A The early part of the 12-month period was characterized by investors' doubts about the health of the global economy and worries about declining commodity prices. In addition, the market's expectation at the time was that the U.S. Federal Reserve (the Fed), which raised interest rates by 0.25% in December 2015, would likely move to an even more aggressive position with regard to tightening monetary policy by increasing short-term interest rates several more times in 2016. Those concerns combined to spark a flight to quality in the markets and led to the underperformance of so-called "risk" assets such as high-yield corporates. In February 2016, however, oil and other commodity prices started to recover, the global economic outlook appeared to brighten, and the Fed began to soften its stance on future interest-rate hikes. Those factors combined to drive a strong market rally that lasted - with a brief interruption here or there, especially after the "Brexit" vote in the United 4 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Kingdom in June - for the balance of the 12-month period. The big winners during the rally were emerging markets debt and domestic high-yield corporate bonds. Q What elements of the Fund's positioning had the biggest effects on benchmark-relative returns during the 12-month period ended October 31, 2016, both positively and negatively? A The Fund's performance actually matched that of the benchmark over the full 12-month period, with the Fund underperforming the Bloomberg Barclays Index in the early part of the fiscal year, and outperforming the index over the final months. Our emphasis on credit-sensitive sectors and high-yield corporate bonds in the portfolio held back benchmark-relative returns in November and December 2015, and January 2016, when the market was slumping and investors were seeking out so-called "safe haven" investments, while avoiding riskier assets. The Fund's short-duration positioning also detracted from benchmark-relative results in the early weeks of the period as market interest rates declined, which led to strong performance by longer-maturity U.S. Treasuries, which we had significantly underweighted in the portfolio. (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.) Benchmark-relative returns began improving substantially in mid-February 2016 when the market began its nearly eight-month rally through period end. The rally helped drive the positive performance of the Fund's exposures to both emerging markets securities and domestic high-yield corporate bonds. In addition, the Fund's shorter-duration positioning, in a reversal of fortune from the earlier part of the period, ended up aiding benchmark- relative results over the final eight months as market interest rates started rising and longer-maturity U.S. Treasuries as well as other higher-quality debt began to underperform credit-sensitive issues. Very early in the Fund's fiscal year, in late 2015, we had de-emphasized emerging markets investments in the portfolio because they had been performing very poorly in an environment of declining commodity prices, rising investor concerns about the health of the Chinese economy, and an unclear global economic outlook. We began 2016 with only about 7% of the Fund's invested assets dedicated to emerging markets securities, but we then started increasing the portfolio's exposure because of the attractive prices available. Another reason for our boosting the Fund's emerging markets exposure at that time was the Fed's signaling that it was backing off its earlier hints of several rate hikes in 2016, and indicating that perhaps only one rate increase was on the agenda for this year. Not long after we started to increase the Fund's emerging markets exposure, the prices of oil and Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 5 commodities finally bottomed and then strengthened, lifting the prospects for emerging markets in general, especially of those countries that were exporters of oil and basic materials. As emerging markets debt rallied, we continued to expand the Fund's holdings through the spring, and that increased exposure boosted benchmark-relative returns. Finally, after the strong recovery, we became a little concerned about valuations, and so we took profits and reduced the portfolio's emerging markets allocation, a drawdown that began in the summer and continued into the early fall. As of October 31, 2016, however, the Fund still had a healthy exposure to emerging markets debt. With regard to sector allocations, as noted previously, throughout the 12-month period we had overweighted the portfolio in both domestic and international high-yield bonds, with significant holdings in industrial bonds, including bonds issued by energy companies. Earlier in the period, those investments had held back the Fund's benchmark-relative performance as high-yield energy and other industrial bonds fared poorly in the "risk-off" market environment. As the period progressed, however, that element of the Fund's positioning aided benchmark-relative results when credit-sensitive debt, especially high-yield energy/industrial bonds, performed very well during the market rally that began in mid-February. Good security selection, particularly among the Fund's industrial bond holdings, added to the effects of good sector allocation results and benefited benchmark-relative performance. Similar to other allocations in the portfolio, the Fund's currency positioning tended to detract from benchmark-relative results early in the 12-month period, but helped relative performance in the latter months. Throughout the period, we had overweighted the portfolio in the U.S. dollar relative to the Bloomberg Barclays Index, as we had been anticipating that the Fed would tighten monetary policy and interest rates in the U.S. would rise. When the Fed instead chose to keep monetary policy unchanged after its initial rate hike last December, interest rates actually fell. The U.S. dollar started to rally in the summer of 2016, however, as the Fed governors seemed to become more hawkish about adopting a tighter monetary policy, and the financial markets once again began to expect an increase in the Federal funds rate as early as September. While a September rate hike did not occur, the Fed quickly followed up by sending out increasingly stronger signals that an increase was more likely to happen in December, and the U.S. dollar, in turn, kept rising in value, a development that rewarded the Fund's overweight position in the currency. As of October 31, 2016, more than 75% of the Fund's invested assets were denominated in the U.S. dollar, compared with a 44.5% U.S. dollar weighting in the Bloomberg Barclays Index. 6 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Q What shifts did you make in the Fund's positioning during the 12-month period ended October 31, 2016? A While we had positioned the portfolio more aggressively in early 2016, we began to reduce risk exposure in the summer as we thought valuations in the more credit-sensitive sectors appeared stretched in relation to other asset classes. Accordingly, we trimmed the Fund's exposures to both domestic and international high-yield bonds as well as investment-grade corporates, while increasing the portfolio's cash position and its allocation to U.S. government-agency mortgages. As noted previously, we also began to bring down the Fund's allocation to the emerging markets over the final few months of the period, due to valuation concerns. Q Did the Fund invest in any derivative securities during the 12-month period ended October 31, 2016? If so, did the investments affect the Fund's relative performance? A We did invest in some currency forward contracts to reduce the Fund's non-U.S. dollar exposure. The forwards had a negative effect on benchmark-relative performance over the full 12 months, even though the portfolio's overweighting of the U.S. dollar helped the Fund's benchmark-relative returns over the second half of the period. We also invested in some futures and swaps during the period, but they had no effect on the Fund's performance. Q What factors affected the Fund's yield, or distributions to shareholders, during the 12-month period ended October 31, 2016? A The Fund's distributions to shareholders were two-tenths of a cent lower at the end of the fiscal year than at the start on November 1, 2015, even though distributions did increase in the second half of the period as market yields moved higher. We lowered the Fund's dividend* early in the fiscal year when market interest rates were in decline. Interest rates rose later in the period, though, allowing for an increase in the distributions to shareholders, although not enough to bring them back to the level at the beginning of the fiscal year. Q What is your investment outlook? A Going forward, we think the market will be less reliant on the direction of monetary policy and more attentive to fiscal policy; that is, taxes and spending rather than money supply and interest rates. That could lead to a steepening of the yield curve, with greater space between the yields of longer-maturity and shorter-maturity securities. We have already begun to see evidence of that, in fact, as longer-maturity yields have risen in recent * Dividends are not guaranteed. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 7 weeks. In response, we have maintained a short-duration stance to protect the portfolio against a back-up in interest rates, which would undermine the principal of longer-maturity debt. The election of Donald Trump as the next U.S. President several days after the conclusion of the Fund's fiscal year surprised the financial markets. Prior to the presidential election, however, we had positioned the Fund in anticipation of increased fiscal stimulus by the U.S. government, even though most expect the Fed to tighten monetary policy by raising the Federal funds rate before the end of 2016. As a candidate, Mr. Trump had called for more infrastructure spending, which would likely create more jobs as well as possibly stimulate additional economic activity. At the same time, we expect that we may see more volatility in the financial markets resulting from policy uncertainties not only in the United States, but also from worries about the potential effects of global geopolitical issues, including upcoming elections and referenda in Europe. Please refer to the Schedule of Investments on pages 17-35 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 fluctuating interest rates may increase or decrease more than other fixed-income securities. Mortgage-backed securities are also subject to pre-payments. 8 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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. 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. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 9 Portfolio Summary | 10/31/16 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 33.2% U.S. Government Securities 29.5% U.S. Corporate Bonds 15.2% International Corporate Bonds 11.4% Collateralized Mortgage Obligations 4.5% Municipal Bonds 2.2% Mutual Funds 1.7% Asset Backed Securities 0.8% U.S. Preferred Stocks 0.6% Convertible Preferred Stocks 0.4% Senior Secured Loans 0.3% Convertible Corporate Bonds 0.2%
* Includes investments in insurance linked securities totaling 0.4% 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 BAR CHART IN THE PRINTED MATERIAL]
United States 54.8% New Zealand 6.0% Canada 4.5% United Kingdom 4.3% Argentina 3.9% Mexico 3.5% Japan 3.2% Germany 2.2% Norway 1.9% Cote D'Ivoire 1.3% Nigeria 1.3% Australia 1.1% Cayman Islands 1.1% Other (individually less than 1%) 10.9%
10 Largest Holdings -------------------------------------------------------------------------------- (As a percentage of total long-term holdings)**
1. U.S. Treasury Bill, 11/10/16 6.60% -------------------------------------------------------------------------------- 2. U.S. Treasury Bill, 11/17/16 5.80 -------------------------------------------------------------------------------- 3. New Zealand Government Bond, 5.5%, 4/15/23 3.54 -------------------------------------------------------------------------------- 4. Fannie Mae, 3.5%, 11/14/16 3.46 -------------------------------------------------------------------------------- 5. New Zealand Government Bond, 4.5%, 4/15/27 2.51 -------------------------------------------------------------------------------- 6. Bundesrepublik Deutschland, 1.0%, 8/15/25 2.15 -------------------------------------------------------------------------------- 7. United Kingdom Gilt, 1.75%, 7/22/19 2.13 -------------------------------------------------------------------------------- 8. Canadian Government Bond, 2.25%, 6/1/25 2.04 -------------------------------------------------------------------------------- 9. Japan Government Ten Year Bond, 1.0%, 9/20/26 1.94 -------------------------------------------------------------------------------- 10. Canadian Government Bond, 1.75%, 9/1/19 1.80 --------------------------------------------------------------------------------
** 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. 10 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Prices and Distributions | 10/31/16 Net Asset Value per Share --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- Class 10/31/16 10/31/15 -------------------------------------------------------------------------------- A $10.60 $10.40 -------------------------------------------------------------------------------- C $10.63 $10.43 -------------------------------------------------------------------------------- Y $10.69 $10.50 --------------------------------------------------------------------------------
Distributions per Share: 11/1/15-10/31/16 --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- Net Investment Short-Term Long-Term Tax Return Class Income Capital Gains Capital Gains of Capital -------------------------------------------------------------------------------- A $0.2849 $ -- $ -- $0.0832 -------------------------------------------------------------------------------- C $0.1944 $ -- $ -- $0.0832 -------------------------------------------------------------------------------- Y $0.3139 $ -- $ -- $0.0832 --------------------------------------------------------------------------------
Index Definitions -------------------------------------------------------------------------------- The Bloomberg 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 12-14. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 11 Performance Update | 10/31/16 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 Bloomberg Barclays Global Aggregate Bond Index.
Average Annual Total Returns (As of October 31, 2016) -------------------------------------------------------------------------------- Bloomberg Barclays Net Public Global Asset Offering Aggregate Value Price Bond Period (NAV) (POP) Index -------------------------------------------------------------------------------- Life of Class (12/27/2007) 4.30% 3.76% 3.20% 5 years 2.62 1.67 0.90 1 year 5.59 0.84 5.59 -------------------------------------------------------------------------------- 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 Bloomberg Barclays Global Multisector Income Fund Aggregate Bond Index 12/07 $ 9,550 $10,000 10/08 $ 9,100 $ 9,589 10/09 $11,064 $11,354 10/10 $11,861 $12,136 10/11 $12,243 $12,631 10/12 $12,975 $13,078 10/13 $12,918 $12,876 10/14 $13,326 $12,905 10/15 $13,193 $12,508 10/16 $13,931 $13,207
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. Please refer to the financial highlights for a more current expense ratio. 12 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Performance Update | 10/31/16 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 Bloomberg Barclays Global Aggregate Bond Index.
Average Annual Total Returns (As of October 31, 2016) -------------------------------------------------------------------------------- Bloomberg Barclays Global Aggregate If If Bond Period Held Redeemed Index -------------------------------------------------------------------------------- Life of Class (12/27/2007) 3.42% 3.42% 3.20% -------------------------------------------------------------------------------- 5 years 1.74 1.74 0.90 -------------------------------------------------------------------------------- 1 year 4.67 4.67 5.59 -------------------------------------------------------------------------------- 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 Bloomberg Barclays Global Multisector Income Fund Aggregate Bond Index 12/07 $10,000 $10,000 10/08 $ 9,452 $ 9,589 10/09 $11,395 $11,354 10/10 $12,130 $12,136 10/11 $12,420 $12,631 10/12 $13,053 $13,078 10/13 $12,891 $12,876 10/14 $13,179 $12,905 10/15 $12,932 $12,508 10/16 $13,536 $13,207
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. Please refer to the financial highlights for a more current expense ratio. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 13 Performance Update | 10/31/16 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 Bloomberg Barclays Global Aggregate Bond Index.
Average Annual Total Returns (As of October 31, 2016) -------------------------------------------------------------------------------- Bloomberg Barclays Net Global Asset Aggregate Value Bond Period (NAV) Index -------------------------------------------------------------------------------- Life of Class (12/27/2007) 4.54% 3.20% 5 years 2.86 0.90 1 year 5.73 5.59 -------------------------------------------------------------------------------- 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 Bloomberg Barclays Global Multisector Income Fund Aggregate Bond Index 12/07 $5,000,000 $5,000,000 10/08 $4,767,893 $4,794,284 10/09 $5,801,982 $5,677,007 10/10 $6,235,980 $6,068,024 10/11 $6,464,208 $6,315,276 10/12 $6,867,704 $6,538,894 10/13 $6,850,412 $6,438,203 10/14 $7,084,387 $6,452,328 10/15 $7,040,336 $6,254,023 10/16 $7,444,084 $6,603,645
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. Please refer to the financial highlights for a more current expense ratio. 14 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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 May 1, 2016, through October 31, 2016.
-------------------------------------------------------------------------------- Share Class A C Y -------------------------------------------------------------------------------- Beginning Account Value on 5/1/16 $1,000.00 $1,000.00 $1,000.00 -------------------------------------------------------------------------------- Ending Account Value (after expenses) on 10/31/16 $1,027.54 $1,023.17 $1,027.80 -------------------------------------------------------------------------------- Expenses Paid During Period* $ 5.10 $ 9.66 $ 3.82 --------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.00%, 1.90%, and 0.75% for Class A, Class C and Class Y shares, respectively, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period). Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 15 Hypothetical Example for Comparison Purposes The table below provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the tables are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) that are charged at the time of the transaction. Therefore, the table below is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. Expenses Paid on a $1,000 Investment in Pioneer Global Multisector Income Fund Based on a hypothetical 5% return per year before expenses, reflecting the period from May 1, 2016, through October 31, 2016.
-------------------------------------------------------------------------------- Share Class A C Y -------------------------------------------------------------------------------- Beginning Account Value on 5/1/16 $1,000.00 $1,000.00 $1,000.00 -------------------------------------------------------------------------------- Ending Account Value (after expenses) on 10/31/16 $1,020.11 $1,015.58 $1,021.37 -------------------------------------------------------------------------------- Expenses Paid During Period* $ 5.08 $ 9.63 $ 3.81 --------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.00%, 1.90%, and 0.75% for Class A, Class C and Class Y shares, respectively, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period). 16 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Schedule of Investments | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- CONVERTIBLE CORPORATE BONDS -- 0.3% ENERGY -- 0.2% Oil & Gas Exploration & Production -- 0.2% 53,755 Whiting Petroleum Corp., 6.25%, 4/1/23 $ 52,680 ------------ Total Energy $ 52,680 --------------------------------------------------------------------------------------------------- CAPITAL GOODS -- 0.1% Electrical Components & Equipment -- 0.1% 56,000 General Cable Corp., 4.5%, 11/15/29 (Step) $ 36,085 ------------ Total Capital Goods $ 36,085 --------------------------------------------------------------------------------------------------- TOTAL CONVERTIBLE CORPORATE BONDS (Cost $88,828) $ 88,765 --------------------------------------------------------------------------------------------------- PREFERRED STOCK -- 0.0%+ DIVERSIFIED FINANCIALS -- 0.0%+ Consumer Finance -- 0.0%+ 231 6.41 GMAC Capital Trust I, Floating Rate Note, 2/15/40 $ 5,897 --------------------------------------------------------------------------------------------------- TOTAL PREFERRED STOCK (Cost $4,505) $ 5,897 --------------------------------------------------------------------------------------------------- CONVERTIBLE PREFERRED STOCKS -- 0.5% BANKS -- 0.5% Diversified Banks -- 0.5% 30 Bank of America Corp., 7.25% (Perpetual) $ 36,930 80 Wells Fargo & Co., 7.5% (Perpetual) 104,400 ------------ $ 141,330 ------------ Total Banks $ 141,330 --------------------------------------------------------------------------------------------------- TOTAL CONVERTIBLE PREFERRED STOCKS (Cost $119,802) $ 141,330 --------------------------------------------------------------------------------------------------- ASSET BACKED SECURITIES -- 0.9% FOOD & STAPLES RETAILING -- 0.2% Food Retail -- 0.2% 47,375 CKE Restaurant Holdings, Inc., 4.474%, 3/20/43 (144A) $ 47,385 ------------ Total Food & Staples Retailing $ 47,385 --------------------------------------------------------------------------------------------------- BANKS -- 0.5% Thrifts & Mortgage Finance -- 0.5% 49,064 Bear Stearns Asset Backed Securities Trust, 8.41%, 10/25/29 (Step) $ 49,553 5,682 4.77 Countrywide Asset-Backed Certificates, Floating Rate Note, 12/25/35 5,694 35,969 5.50 Mastr Specialized Loan Trust, Floating Rate Note, 10/25/34 38,089
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 17 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Thrifts & Mortgage Finance -- (continued) 9,559 1.23 New Century Home Equity Loan Trust 2005-1, Floating Rate Note, 3/25/35 $ 9,509 749 Structured Asset Securities Corp., 5.27%, 10/25/34 (Step) 770 36,175 Terwin Mortgage Trust Series TMTS 2005-16HE, 4.26315%, 9/25/36 (Step) 36,787 ------------ $ 140,402 ------------ Total Banks $ 140,402 --------------------------------------------------------------------------------------------------- DIVERSIFIED FINANCIALS -- 0.2% Specialized Finance -- 0.2% 58,200 Domino's Pizza Master Issuer LLC, 5.216%, 1/27/42 (144A) $ 59,688 ------------ Total Diversified Financials $ 59,688 --------------------------------------------------------------------------------------------------- TOTAL ASSET BACKED SECURITIES (Cost $241,766) $ 247,475 --------------------------------------------------------------------------------------------------- COLLATERALIZED MORTGAGE OBLIGATIONS -- 4.7% BANKS -- 3.7% Thrifts & Mortgage Finance -- 3.7% 64,522 3.50 Agate Bay Mortgage Trust 2015-1, Floating Rate Note, 1/25/45 (144A) $ 65,924 48,812 3.50 Agate Bay Mortgage Trust 2015-5, Floating Rate Note, 7/25/45 (144A) 50,268 3,048 0.98 Alternative Loan Trust 2003-14T1, Floating Rate Note, 8/25/18 2,766 6,131 Banc of America Alternative Loan Trust 2004-6, 5.0%, 7/25/19 6,185 6,722 Banc of America Mortgage Trust 2004-11, 5.75%, 1/25/35 6,818 6,498 Banc of America Mortgage Trust 2004-9, 5.5%, 11/25/34 6,911 5,292 3.08 CHL Mortgage Pass-Through Trust 2003-56, Floating Rate Note, 12/25/33 5,331 100,000 COMM 2012-LC4 Mortgage Trust, 4.063%, 12/12/44 107,745 50,000 COMM 2013-LC6 Mortgage Trust, 2.941%, 1/10/46 51,899 25,000 4.55 COMM 2015-CCRE25 Mortgage Trust, Floating Rate Note, 8/12/48 26,806 16,031 Credit Suisse Commercial Mortgage Trust Series 2007-C1, 5.361%, 2/15/40 16,060 50,000 4.54 CSAIL 2016-C5 Commercial Mortgage Trust REMICS, Floating Rate Note, 11/15/48 52,347 43,998 3.50 CSMC Trust 2014-WIN2, Floating Rate Note, 10/25/44 (144A) 44,905 50,000 GS Mortgage Securities Corp. II, 3.377%, 5/10/45 53,244
The accompanying notes are an integral part of these financial statements. 18 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Thrifts & Mortgage Finance -- (continued) 25,000 GS Mortgage Securities Corp. II, 3.682%, 2/10/46 (144A) $ 26,283 75,000 JP Morgan Chase Commercial Mortgage Securities Corp., 2.84%, 12/15/47 77,513 30,987 JP Morgan Chase Commercial Mortgage Securities Trust 2011-C5, 4.1712%, 8/15/46 33,723 100,000 1.45 JP Morgan Chase Commercial Mortgage Securities Trust 2014-INN, Floating Rate Note, 6/15/29 (144A) 99,782 7,079 JP Morgan Mortgage Trust 2004-S1, 5.0%, 9/25/34 7,264 50,000 JPMBB Commercial Mortgage Securities Trust 2014-C22 REMICS, 3.8012%, 9/15/47 54,121 88,696 Morgan Stanley Capital I Trust 2007-HQ13, 5.569%, 12/15/44 90,561 40,446 3.25 NRP Mortgage Trust 2013-1, Floating Rate Note, 7/25/43 (144A) 40,410 50,739 0.79 Paragon Secured Finance No. 1 Plc, Floating Rate Note, 11/15/35 59,546 GBP 25,531 RAAC Series 2004-SP2 Trust, 6.0%, 1/25/32 25,577 2,361 1.08 RALI Series 2002-QS16 Trust, Floating Rate Note, 10/25/17 2,344 27,061 2.50 Sequoia Mortgage Trust 2013-4, Floating Rate Note, 4/27/43 26,766 35,178 Sequoia Mortgage Trust Series 2012-4 Cl A1, Floating Rate Note, 9/25/42 36,034 ------------ $ 1,077,133 ------------ Total Banks $ 1,077,133 --------------------------------------------------------------------------------------------------- DIVERSIFIED FINANCIALS -- 0.2% Other Diversified Financial Services -- 0.2% 54,869 0.94 Crusade Global Trust No. 1 of 2007, Floating Rate Note, 4/19/38 $ 54,410 ------------ Total Diversified Financials $ 54,410 --------------------------------------------------------------------------------------------------- GOVERNMENT -- 0.8% 8,421 Federal National Mortgage Association REMICS, 4.5%, 6/25/29 $ 9,110 45,000 5.20 FREMF Mortgage Trust 2010-K9 REMICS, Floating Rate Note, 9/25/45 (144A) 49,489 50,000 4.77 FREMF Mortgage Trust 2011-K702, Floating Rate Note, 4/25/44 (144A) 51,821 50,000 4.88 FREMF Mortgage Trust 2011-K703, Floating Rate Note, 7/25/44 (144A) 52,148 31,025 Government National Mortgage Association, 4.5%, 9/20/39 33,725
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 19 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- GOVERNMENT -- (continued) 17,949 Government National Mortgage Association, 5.25%, 8/16/35 $ 19,807 ------------ $ 216,100 ------------ Total Government $ 216,100 --------------------------------------------------------------------------------------------------- TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (Cost $1,351,781) $ 1,347,643 --------------------------------------------------------------------------------------------------- CORPORATE BONDS -- 26.4% ENERGY -- 5.4% Oil & Gas Drilling -- 0.3% 100,000 Rowan Companies, Inc., 4.75%, 1/15/24 $ 84,000 --------------------------------------------------------------------------------------------------- Integrated Oil & Gas -- 1.1% 120,000 Petrobras Global Finance BV, 5.375%, 1/27/21 $ 118,824 155,000 Petroleos Mexicanos, 3.5%, 1/30/23 146,398 55,000 YPF SA, 8.5%, 3/23/21 (144A) 60,484 ------------ $ 325,706 --------------------------------------------------------------------------------------------------- Oil & Gas Exploration & Production -- 1.0% 15,000 Carrizo Oil & Gas, Inc., 7.5%, 9/15/20 $ 15,581 35,000 Freeport-McMoran Oil & Gas LLC, 6.75%, 2/1/22 35,788 25,000 Newfield Exploration Co., 5.375%, 1/1/26 25,688 100,000 Range Resources Corp., 5.0%, 3/15/23 (144A) 96,750 100,000 WPX Energy, Inc., 7.5%, 8/1/20 105,375 ------------ $ 279,182 --------------------------------------------------------------------------------------------------- Oil & Gas Refining & Marketing -- 0.8% 53,000 EnLink Midstream Partners LP, 4.4%, 4/1/24 $ 52,727 157,895 6.49 EP PetroEcuador via Noble Sovereign Funding I, Ltd., Floating Rate Note, 9/24/19 155,921 21,000 Valero Energy Corp., 9.375%, 3/15/19 24,570 ------------ $ 233,218 --------------------------------------------------------------------------------------------------- Oil & Gas Storage & Transportation -- 2.2% 25,000 Buckeye Partners LP, 5.85%, 11/15/43 $ 26,437 50,000 Crestwood Midstream Partners LP, 6.25%, 4/1/23 50,625 25,000 DCP Midstream LLC, 9.75%, 3/15/19 (144A) 28,125 20,000 5.85 DCP Midstream LLC, Floating Rate Note, 5/21/43 (144A) 17,000 100,000 Kinder Morgan, Inc. Delaware, 5.55%, 6/1/45 103,797 25,000 Plains All American Pipeline LP, 4.65%, 10/15/25 26,501 25,000 Plains All American Pipeline LP, 6.125%, 1/15/17 25,217 45,000 Sabine Pass Liquefaction LLC, 5.0%, 3/15/27 (144A) 45,788 25,000 Spectra Energy Capital LLC, 6.2%, 4/15/18 26,370 10,000 Spectra Energy Capital LLC, 6.75%, 7/15/18 10,650
The accompanying notes are an integral part of these financial statements. 20 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Oil & Gas Storage & Transportation -- (continued) 60,000 Sunoco Logistics Partners Operations LP, 6.1%, 2/15/42 $ 65,424 75,000 The Williams Companies, Inc., 5.75%, 6/24/44 76,641 13,000 The Williams Companies, Inc., 7.75%, 6/15/31 14,950 100,000 TransCanada PipeLines, Ltd., 1.875%, 1/12/18 100,412 ------------ $ 617,937 ------------ Total Energy $ 1,540,043 --------------------------------------------------------------------------------------------------- MATERIALS -- 0.5% Commodity Chemicals -- 0.1% 25,000 Methanex Corp., 4.25%, 12/1/24 $ 24,166 --------------------------------------------------------------------------------------------------- Paper Packaging -- 0.4% EUR 100,000 SIG Combibloc Holdings SCA, 7.75%, 2/15/23 (144A) $ 115,828 ------------ Total Materials $ 139,994 --------------------------------------------------------------------------------------------------- CAPITAL GOODS -- 0.9% Aerospace & Defense -- 0.4% EUR 100,000 TA MFG., Ltd., 3.625%, 4/15/23 $ 107,963 --------------------------------------------------------------------------------------------------- Building Products -- 0.4% 55,000 Masco Corp., 4.375%, 4/1/26 $ 57,200 25,000 Masco Corp., 5.95%, 3/15/22 28,453 30,000 Standard Industries, Inc., 5.375%, 11/15/24 (144A) 31,012 ------------ $ 116,665 --------------------------------------------------------------------------------------------------- Trading Companies & Distributors -- 0.1% 40,000 GATX Corp., 6.0%, 2/15/18 $ 42,024 ------------ Total Capital Goods $ 266,652 --------------------------------------------------------------------------------------------------- TRANSPORTATION -- 0.8% Airlines -- 0.0%+ 7,997 Delta Air Lines 2010-2 Class A Pass Through Trust, 4.95%, 5/23/19 $ 8,417 --------------------------------------------------------------------------------------------------- Marine -- 0.7% 200,000 Pelabuhan Indonesia II PT, 4.25%, 5/5/25 (144A) $ 200,750 --------------------------------------------------------------------------------------------------- Railroads -- 0.1% 25,000 Burlington Northern Santa Fe LLC, 5.75%, 3/15/18 $ 26,551 ------------ Total Transportation $ 235,718 --------------------------------------------------------------------------------------------------- CONSUMER SERVICES -- 0.4% Casinos & Gaming -- 0.1% 25,000 International Game Technology, 7.5%, 6/15/19 $ 27,750 --------------------------------------------------------------------------------------------------- Education Services -- 0.3% 75,000 Tufts University, 5.017%, 4/15/2112 $ 83,701 ------------ Total Consumer Services $ 111,451 ---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 21 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- MEDIA -- 0.5% Cable & Satellite -- 0.1% 25,000 Sky Plc, 6.1%, 2/15/18 (144A) $ 26,281 --------------------------------------------------------------------------------------------------- Movies & Entertainment -- 0.4% EUR 100,000 WMG Acquisition Corp., 4.125%, 11/1/24 (144A) $ 113,038 ------------ Total Media $ 139,319 --------------------------------------------------------------------------------------------------- RETAILING -- 0.2% Internet Retail -- 0.2% 50,000 Expedia, Inc., 5.95%, 8/15/20 $ 56,066 ------------ Total Retailing $ 56,066 --------------------------------------------------------------------------------------------------- FOOD & STAPLES RETAILING -- 0.1% Drug Retail -- 0.1% 12,671 CVS Pass-Through Trust, 5.773%, 1/10/33 (144A) $ 14,714 ------------ Total Food & Staples Retailing $ 14,714 --------------------------------------------------------------------------------------------------- FOOD, BEVERAGE & TOBACCO -- 1.1% Brewers -- 0.1% 20,000 Anheuser-Busch InBev Worldwide, Inc., 7.75%, 1/15/19 $ 22,610 --------------------------------------------------------------------------------------------------- Packaged Foods & Meats -- 1.0% GBP 100,000 Boparan Finance Plc, 5.5%, 7/15/21 (144A) $ 111,699 70,000 Kraft Heinz Foods Co., 3.5%, 6/6/22 73,916 90,000 Post Holdings, Inc., 5.0%, 8/15/26 (144A) 87,300 15,000 Post Holdings, Inc., 8.0%, 7/15/25 (144A) 17,100 ------------ $ 290,015 ------------ Total Food, Beverage & Tobacco $ 312,625 --------------------------------------------------------------------------------------------------- HEALTH CARE EQUIPMENT & SERVICES -- 0.2% Managed Health Care -- 0.2% 30,000 Centene Corp., 5.625%, 2/15/21 $ 31,470 25,000 Centene Corp., 6.125%, 2/15/24 26,625 ------------ $ 58,095 ------------ Total Health Care Equipment & Services $ 58,095 --------------------------------------------------------------------------------------------------- PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES -- 0.3% Pharmaceuticals -- 0.3% EUR 100,000 Valeant Pharmaceuticals International, Inc., 4.5%, 5/15/23 $ 83,671 ------------ Total Pharmaceuticals, Biotechnology & Life Sciences $ 83,671 --------------------------------------------------------------------------------------------------- BANKS -- 4.7% Diversified Banks -- 4.1% 200,000 Access Bank Plc, 10.5%, 10/19/21 $ 202,500
The accompanying notes are an integral part of these financial statements. 22 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Diversified Banks -- (continued) INR 2,100,000 Asian Development Bank, 6.2%, 10/6/26 $ 32,108 INR 1,740,000 Asian Development Bank, 6.45%, 8/8/21 26,462 9,000 5.95 Citigroup, Inc., Floating Rate Note (Perpetual) 9,338 6,000 6.25 Citigroup, Inc., Floating Rate Note (Perpetual) 6,460 75,000 5.90 Citigroup, Inc., Floating Rate Note (Perpetual) 78,112 75,000 Cooperatieve Rabobank UA, 3.875%, 2/8/22 81,344 INR 700,000 Inter-American Development Bank, 6.0%, 9/5/17 10,438 NZD 505,000 International Bank for Reconstruction & Development, 3.5%, 1/22/21 370,816 NZD 45,000 International Bank for Reconstruction & Development, 4.625%, 10/6/21 34,647 AUD 185,000 International Bank for Reconstruction & Development, 5.75%, 10/21/19 155,363 INR 1,350,000 International Bank For Reconstruction & Development, 5.75%, 10/28/19 20,214 100,000 Macquarie Bank, Ltd., 6.625%, 4/7/21 (144A) 115,324 50,000 4.50 Scotiabank Peru SAA, Floating Rate Note, 12/13/27 (144A) 51,135 ------------ $ 1,194,261 --------------------------------------------------------------------------------------------------- Thrifts & Mortgage Finance -- 0.6% 150,000 Argentine Republic Government International Bond, 7.5%, 4/22/26 (144A) $ 163,875 ------------ Total Banks $ 1,358,136 --------------------------------------------------------------------------------------------------- DIVERSIFIED FINANCIALS -- 4.6% Other Diversified Financial Services -- 1.4% 25,000 Carlyle Holdings II Finance LLC, 5.625%, 3/30/43 (144A) $ 26,285 IDR 1,790,000,000 European Bank for Reconstruction & Development, 7.375%, 4/15/19 138,800 IDR 1,460,000,000 European Investment Bank, 7.2%, 7/9/19 (144A) 112,549 NZD 100,000 JPMorgan Chase & Co., 4.25%, 11/2/18 72,817 40,000 6.75 JPMorgan Chase & Co., Floating Rate Note (Perpetual) 44,400 ------------ $ 394,851 --------------------------------------------------------------------------------------------------- Specialized Finance -- 0.6% 100,000 BM&FBovespa SA -- Bolsa de Valores Mercadorias e Futuros, 5.5%, 7/16/20 (144A) $ 104,500 56,000 Cantor Fitzgerald LP, 7.875%, 10/15/19 (144A) 62,424 ------------ $ 166,924 ---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 23 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Consumer Finance -- 1.8% 34,000 Ally Financial, Inc., 5.75%, 11/20/25 $ 34,808 INR 17,800,000 International Finance Corp., 6.3%, 11/25/24 275,524 INR 3,790,000 International Finance Corp., 7.75%, 12/3/16 56,865 INR 9,500,000 International Finance Corp., 8.25%, 6/10/21 154,582 ------------ $ 521,779 --------------------------------------------------------------------------------------------------- Asset Management & Custody Banks -- 0.3% 100,000 KKR Group Finance Co., II LLC, 5.5%, 2/1/43 (144A) $ 104,679 --------------------------------------------------------------------------------------------------- Investment Banking & Brokerage -- 0.5% 10,000 Macquarie Group, Ltd., 6.0%, 1/14/20 (144A) $ 11,045 75,000 Morgan Stanley, 4.1%, 5/22/23 79,022 50,000 Morgan Stanley, 4.875%, 11/1/22 54,918 ------------ $ 144,985 ------------ Total Diversified Financials $ 1,333,218 --------------------------------------------------------------------------------------------------- INSURANCE -- 2.0% Life & Health Insurance -- 0.6% 45,000 Protective Life Corp., 7.375%, 10/15/19 $ 51,631 100,000 5.88 Prudential Financial, Inc., Floating Rate Note, 9/15/42 109,500 ------------ $ 161,131 --------------------------------------------------------------------------------------------------- Multi-line Insurance -- 0.3% 60,000 AXA SA, 8.6%, 12/15/30 $ 84,300 --------------------------------------------------------------------------------------------------- Property & Casualty Insurance -- 0.6% 35,000 Delphi Financial Group, Inc., 7.875%, 1/31/20 $ 40,207 110,000 6.50 The Allstate Corp., Floating Rate Note, 5/15/57 129,250 ------------ $ 169,457 --------------------------------------------------------------------------------------------------- Reinsurance -- 0.5% 30,000 Gullane Segregated Account (Artex SAC Ltd.), Variable Rate Note 11/30/20 (d)(e) $ 32,553 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) 31,230 30,000 Pangaea Re, Series 2015-2, Principal at Risk Notes, 11/30/19 (d)(e) 3,132 30,000 Pangaea Re, Variable Rate Notes, 2/1/20 (d)(e) 33,360 30,000 Pangaea Re, Variable Rate Notes, 7/1/18 (d)(e) 540 JPY 2,513,320 Tralee Segregated Account (Artex SAC Ltd.), Variable Rate Note 7/15/17 (d)(e) 23,875 25,000 5.88 Wilton Re Finance LLC, Floating Rate Note, 3/30/33 (144A) 25,688 ------------ $ 152,478 ------------ Total Insurance $ 567,366 ---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 24 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- REAL ESTATE -- 0.3% Office REIT -- 0.3% 40,000 Alexandria Real Estate Equities, Inc., 4.6%, 4/1/22 $ 43,386 35,000 Highwoods Realty LP, 3.625%, 1/15/23 35,655 ------------ $ 79,041 ------------ Total Real Estate $ 79,041 --------------------------------------------------------------------------------------------------- SOFTWARE & SERVICES -- 0.2% Home Entertainment Software -- 0.2% 50,000 Activision Blizzard, Inc., 6.125%, 9/15/23 (144A) $ 55,062 ------------ Total Software & Services $ 55,062 --------------------------------------------------------------------------------------------------- TECHNOLOGY HARDWARE & EQUIPMENT -- 0.6% Computer Hardware Storage & Peripherals -- 0.3% 75,000 NCR Corp., 6.375%, 12/15/23 $ 79,312 --------------------------------------------------------------------------------------------------- Electronic Manufacturing Services -- 0.3% 100,000 Flex, Ltd., 4.625%, 2/15/20 $ 107,077 ------------ Total Technology Hardware & Equipment $ 186,389 --------------------------------------------------------------------------------------------------- SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT -- 0.3% Semiconductor Equipment -- 0.1% 25,000 Entegris, Inc., 6.0%, 4/1/22 (144A) $ 25,875 --------------------------------------------------------------------------------------------------- Semiconductors -- 0.2% 55,000 Micron Technology, Inc., 5.25%, 8/1/23 (144A) $ 53,900 ------------ Total Semiconductors & Semiconductor Equipment $ 79,775 --------------------------------------------------------------------------------------------------- TELECOMMUNICATION SERVICES -- 1.0% Integrated Telecommunication Services -- 0.7% 40,000 Frontier Communications Corp., 7.125%, 1/15/23 $ 35,975 19,000 Frontier Communications Corp., 8.5%, 4/15/20 20,282 50,000 GCI, Inc., 6.75%, 6/1/21 51,625 25,000 Unison Ground Lease Funding LLC, 2.981%, 3/16/43 (144A) 24,641 65,000 Verizon Communications, Inc., 6.55%, 9/15/43 85,169 ------------ $ 217,692 --------------------------------------------------------------------------------------------------- Wireless Telecommunication Services -- 0.3% 30,000 Crown Castle Towers LLC, 4.883%, 8/15/20 (144A) $ 32,605 50,000 SBA Tower Trust, 2.877%, 7/15/21 (144A) 50,633 ------------ $ 83,238 ------------ Total Telecommunication Services $ 300,930 --------------------------------------------------------------------------------------------------- UTILITIES -- 2.3% Electric Utilities -- 1.9% 100,000 Electricite de France SA, 6.0%, 1/22/14 (144A) $ 104,682 200,000 8.13 Enel S.p.A., Floating Rate Note, 9/24/73 (144A) 233,400
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 25 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Electric Utilities -- (continued) 70,000 Public Service Co. of New Mexico, 7.95%, 5/15/18 $ 76,439 50,000 6.25 Southern California Edison Co., Floating Rate Note (Perpetual) 55,938 90,000 Talen Energy Supply LLC, 6.5%, 6/1/25 75,150 10,000 West Penn Power Co., 5.95%, 12/15/17 (144A) 10,424 ------------ $ 556,033 --------------------------------------------------------------------------------------------------- Gas Utilities -- 0.4% 86,248 Nakilat, Inc., 6.267%, 12/31/33 (144A) $ 102,410 ------------ Total Utilities $ 658,443 --------------------------------------------------------------------------------------------------- TOTAL CORPORATE BONDS (Cost $7,270,149) $ 7,576,708 --------------------------------------------------------------------------------------------------- U.S. GOVERNMENT AND AGENCY OBLIGATIONS -- 30.8% 50,000 Fannie Mae, 3.0%, 10/1/46 $ 51,521 70,000 Fannie Mae, 3.0%, 11/1/46 72,144 70,000 Fannie Mae, 3.0%, 11/14/16 (TBA) 72,067 60,000 Fannie Mae, 3.0%, 11/17/16 (TBA) 62,789 28,993 Fannie Mae, 3.0%, 5/1/31 30,567 39,052 Fannie Mae, 3.0%, 5/1/43 40,285 24,753 Fannie Mae, 3.0%, 9/1/46 25,505 27,714 Fannie Mae, 3.5%, 1/1/46 29,094 119,935 Fannie Mae, 3.5%, 10/1/45 126,602 985,000 Fannie Mae, 3.5%, 11/14/16 (TBA) 1,034,096 41,255 Fannie Mae, 3.5%, 2/1/29 43,460 81,718 Fannie Mae, 3.5%, 4/1/45 85,770 181,999 Fannie Mae, 3.5%, 5/1/44 192,686 53,591 Fannie Mae, 3.5%, 8/1/45 56,280 34,747 Fannie Mae, 3.5%, 8/1/46 36,541 163,676 Fannie Mae, 3.5%, 9/1/42 173,123 39,864 Fannie Mae, 3.5%, 9/1/46 41,922 133,341 Fannie Mae, 4.0%, 11/1/44 142,709 24,393 Fannie Mae, 4.0%, 5/1/46 26,133 24,866 Fannie Mae, 4.0%, 8/1/46 26,646 135,000 Fannie Mae, 4.5%, 11/14/16 (TBA) 147,551 20,065 Fannie Mae, 4.5%, 4/1/41 21,943 20,879 Fannie Mae, 5.0%, 6/1/40 23,129 215,000 Federal Home Loan Mortgage Corp., 3.0%, 11/14/16 (TBA) 221,336 19,980 Federal Home Loan Mortgage Corp., 3.0%, 5/1/43 20,715 24,962 Federal Home Loan Mortgage Corp., 3.0%, 9/1/46 25,720 133,010 Federal Home Loan Mortgage Corp., 3.5%, 11/1/45 140,464
The accompanying notes are an integral part of these financial statements. 26 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- U.S. GOVERNMENT AND AGENCY OBLIGATIONS -- (continued) 50,000 Federal Home Loan Mortgage Corp., 3.5%, 11/14/16 (TBA) $ 52,475 143,249 Federal Home Loan Mortgage Corp., 3.5%, 12/1/44 150,309 22,978 Federal Home Loan Mortgage Corp., 3.5%, 3/1/46 24,125 39,459 Federal Home Loan Mortgage Corp., 3.5%, 8/1/46 41,774 148,606 Federal Home Loan Mortgage Corp., 4.0%, 1/1/44 158,906 16,935 Federal Home Loan Mortgage Corp., 4.0%, 12/1/44 18,107 28,256 Federal Home Loan Mortgage Corp., 4.0%, 3/1/46 30,247 257,831 Federal Home Loan Mortgage Corp., 4.0%, 5/1/44 275,628 24,932 Federal Home Loan Mortgage Corp., 4.0%, 6/1/46 26,700 52,244 Federal Home Loan Mortgage Corp., 4.5%, 6/1/41 57,182 36,838 Federal Home Loan Mortgage Corp., 5.0%, 10/1/38 40,710 31,609 Federal Home Loan Mortgage Corp., 5.0%, 9/1/38 34,939 26,159 Federal Home Loan Mortgage Corp., 6.0%, 8/1/37 30,443 18,743 Federal Home Loan Mortgage Corp., 6.5%, 1/1/38 22,112 51,182 Federal Home Loan Mortgage Corp., 6.5%, 4/1/38 58,636 29,466 Federal National Mortgage Association, 3.5%, 7/1/46 30,942 137,798 Government National Mortgage Association I, 3.5%, 1/15/45 146,090 37,996 Government National Mortgage Association I, 4.5%, 1/15/40 42,375 29,679 Government National Mortgage Association I, 4.5%, 7/15/41 32,789 32,174 Government National Mortgage Association I, 4.5%, 9/15/40 35,651 39,913 Government National Mortgage Association II, 3.0%, 9/20/46 41,631 44,920 Government National Mortgage Association II, 4.5%, 9/20/41 49,371 1,975,000 U.S. Treasury Bill, 11/10/16 (c) 1,974,942 1,735,000 U.S. Treasury Bill, 11/17/16 (c) 1,734,863 25,000 U.S. Treasury Bonds, 2.25%, 8/15/46 23,251 419,344 U.S. Treasury Inflation Indexed Bonds, 0.75%, 2/15/45 421,288 228,708 U.S. Treasury Inflation Indexed Bonds, 1.0%, 2/15/46 246,386 75,000 U.S. Treasury Notes, 1.125%, 7/31/21 74,326 ------------ $ 8,846,996 --------------------------------------------------------------------------------------------------- TOTAL U.S. GOVERNMENT AND AGENCY OBLIGATIONS (Cost $8,720,800) $ 8,846,996 ---------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 27 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- FOREIGN GOVERNMENT BONDS -- 36.1% 200,000 Africa Finance Corp., 4.375%, 4/29/20 (144A) $ 208,408 EUR 50,000 Austria Government Bond, 4.15%, 3/15/37 (144A) (144A) 89,011 200,000 Brazil Minas SPE via State of Minas Gerais, 5.333%, 2/15/28 (144A) 196,000 BRL 250,000 Brazilian Government International Bond, 10.25%, 1/10/28 80,368 EUR 540,000 Bundesrepublik Deutschland, 1.0%, 8/15/25 644,043 CAD 700,000 Canadian Government Bond, 1.75%, 9/1/19 538,742 CAD 750,000 Canadian Government Bond, 2.25%, 6/1/25 610,606 250,000 City of Buenos Aires Argentina, 7.5%, 6/1/27 (144A) 269,375 200,000 Gabon Government International Bond, 6.375%, 12/12/24 (144A) 183,356 GHS 370,000 Ghana Government Bond, 24.5%, 4/22/19 98,147 GHS 140,000 Ghana Government Bond, 24.75%, 7/19/21 40,828 200,000 Ivory Coast Government International Bond, 5.375%, 7/23/24 (144A) 201,704 200,000 Ivory Coast Government International Bond, 6.375%, 3/3/28 (144A) 208,646 JPY 60,000,000 Japan Government Ten Year Bond, 1.0%, 9/20/26 580,501 JPY 20,000,000 Japan Government Ten Year Bond, 1.0%, 12/20/21 202,353 JPY 20,000,000 Japan Government Twenty Year Bond, 1.5%, 3/20/19 198,635 200,000 Kenya Government International Bond, 6.875%, 6/24/24 (144A) 199,500 MXN 3,830,000 Mexican Bonos, 4.75%, 6/14/18 200,531 MXN 2,400,000 Mexican Bonos, 6.5%, 6/9/22 129,947 MXN 300,000 Mexican Bonos, 7.5%, 6/3/27 17,240 MXN 3,726,953 Mexican Udibonos, 2.0%, 6/9/22 190,465 MXN 4,945,824 Mexican Udibonos, 3.5%, 12/14/17 267,859 EUR 100,000 Mexico Government International Bond, 4.0%, 3/15/15 99,023 200,000 Namibia International Bonds, 5.25%, 10/29/25 (144A) 207,762 NZD 905,000 New Zealand Government Bond, 4.5%, 4/15/27 750,699 NZD 1,250,000 New Zealand Government Bond, 5.5%, 4/15/23 1,057,809 NOK 1,800,000 Norway Government Bond, 2.0%, 5/24/23 229,305 NOK 2,700,000 Norway Government Bond, 4.5%, 5/22/19 357,394 150,000 Provincia de Buenos Aires Argentina, 9.125%, 3/16/24 (144A) 166,125 150,000 Provincia de Buenos Aires Argentina, 9.95%, 6/9/21 (144A) 171,000 150,000 Provincia de Cordoba, 7.125%, 6/10/21 (144A) 155,250 AUD 90,000 Queensland Treasury Corp., 5.5%, 6/21/21 78,721 AUD 100,000 Queensland Treasury Corp., 5.75%, 7/22/24 93,357
The accompanying notes are an integral part of these financial statements. 28 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- FOREIGN GOVERNMENT BONDS -- (continued) 200,000 Republic of Argentina Government Bond, 6.625%, 7/6/28 $ 205,700 RON 380,000 Romania Government Bond, 5.85%, 4/26/23 109,082 RON 570,000 Romania Government Bond, 5.95%, 6/11/21 160,977 SEK 2,300,000 Sweden Government Bond, 2.5%, 5/12/25 307,973 GBP 500,000 United Kingdom Gilt, 1.75%, 7/22/19 635,886 GBP 70,000 United Kingdom Gilt, 4.25%, 9/7/39 124,030 GBP 75,000 United Kingdom Gilt, 8.75%, 8/25/17 98,227 ------------ $ 10,364,585 --------------------------------------------------------------------------------------------------- TOTAL FOREIGN GOVERNMENT BONDS (Cost $11,075,777) $ 10,364,585 --------------------------------------------------------------------------------------------------- MUNICIPAL BONDS -- 2.4% (f) Municipal General -- 0.6% 70,000 JobsOhio Beverage System, 3.985%, 1/1/29 $ 77,430 20,000 JobsOhio Beverage System, 4.532%, 1/1/35 22,652 30,000 Virginia Commonwealth Transportation Board, 4.0%, 5/15/31 32,988 30,000 Virginia Commonwealth Transportation Board, 4.0%, 5/15/32 32,772 ------------ $ 165,842 --------------------------------------------------------------------------------------------------- Higher Municipal Education -- 0.7% 25,000 Baylor University, 4.313%, 3/1/42 $ 27,084 25,000 California Educational Facilities Authority Revenue, 5.0%, 6/1/46 35,005 15,000 0.40 Massachusetts Health & Educational Facilities Authority, Floating Rate Note, 11/1/49 15,000 25,000 Massachusetts Institute of Technology, 5.6%, 7/1/11 32,964 15,000 Massachusetts State Development Finance Agency Revenue, 5.0%, 7/15/40 20,688 50,000 University of Virginia, Green Bond Series A, 5.0%, 4/1/45 59,267 ------------ $ 190,008 --------------------------------------------------------------------------------------------------- Municipal Medical -- 0.5% 160,000 0.54 Harris County Health Facilities Development Corp., Floating Rate Note, 12/1/41 $ 160,000 --------------------------------------------------------------------------------------------------- Municipal School District -- 0.2% 25,000 Frisco Independent School District, 4.0%, 8/15/40 $ 27,012 25,000 Frisco Independent School District, 4.0%, 8/15/45 26,917 ------------ $ 53,929 --------------------------------------------------------------------------------------------------- Municipal Obligation -- 0.4% 50,000 State of Texas, 4.0%, 10/1/44 $ 53,718
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 29 Schedule of Investments | 10/31/16 (continued)
--------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value --------------------------------------------------------------------------------------------------- Municipal Obligation -- (continued) 50,000 State of Washington, 5.0%, 7/1/30 $ 59,956 ------------ $ 113,674 --------------------------------------------------------------------------------------------------- TOTAL MUNICIPAL BONDS (Cost $650,381) $ 683,453 --------------------------------------------------------------------------------------------------- SENIOR FLOATING RATE LOAN INTERESTS -- 0.3%** AUTOMOBILES & COMPONENTS -- 0.2% Auto Parts & Equipment -- 0.2% 49,607 3.75 MPG Holdco I, Inc., Tranche B-1 Term Loan (2015), 10/20/21 $ 49,868 ------------ Total Automobiles & Components $ 49,868 --------------------------------------------------------------------------------------------------- HEALTH CARE EQUIPMENT & SERVICES -- 0.1% Health Care Facilities -- 0.1% 49,620 4.25 Kindred Healthcare, Inc., Tranche B Loan (First Lien), 4/10/21 $ 49,722 ------------ Total Health Care Equipment & Services $ 49,722 --------------------------------------------------------------------------------------------------- TOTAL SENIOR FLOATING RATE LOAN INTERESTS (Cost $94,571) $ 99,590 --------------------------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------------- Shares --------------------------------------------------------------------------------------------------- MUTUAL FUND -- 1.8% DIVERSIFIED FINANCIALS -- 1.8% Asset Management & Custody Banks -- 1.8% 46,226 Pioneer ILS Interval Fund (g) $ 511,726 --------------------------------------------------------------------------------------------------- TOTAL MUTUAL FUND (Cost $490,000) $ 511,726 --------------------------------------------------------------------------------------------------- TOTAL INVESTMENT IN SECURITIES -- 104.2% (Cost $30,108,360) (a) (h) $ 29,914,168 --------------------------------------------------------------------------------------------------- OTHER ASSETS & LIABILITIES -- (4.2)% $ (1,197,813) --------------------------------------------------------------------------------------------------- NET ASSETS -- 100.0% $ 28,716,355 ===================================================================================================
+ 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 | Annual Report | 10/31/16 (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 October 31, 2016, the value of these securities amounted to $5,483,745 or 19.1% of 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 October 31, 2016, the net unrealized depreciation on investments based on cost for federal income tax purposes of $30,122,324 was as follows:
Aggregate gross unrealized appreciation for all investments in which there is an excess of value over tax cost $ 1,283,202 Aggregate gross unrealized depreciation for all investments in which there is an excess of tax cost over value (1,491,358) ------------ Net unrealized depreciation $ (208,156) ============
(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 October 31, 2016, the value of these securities amounted to $126,790 or 0.4% of net assets. See Notes to Financial Statements -- Note 1I. (e) Rate to be determined. (f) Consists of Revenue Bonds unless otherwise indicated. (g) Affiliated fund managed by Pioneer Investment Management, Inc. (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 54.8% New Zealand 6.0 Canada 4.5 United Kingdom 4.3 Argentina 3.9 Mexico 3.5 Japan 3.2 Germany 2.2 Norway 1.9 Cote D'Ivoire 1.3 Nigeria 1.3 Australia 1.1 Cayman Islands 1.1 Other (individually less than 1%) 10.9 ------ 100.0% ======
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 31 Schedule of Investments | 10/31/16 (continued) Principal amounts are denominated in U.S. Dollars unless otherwise noted: AUD Australian Dollar BRL Brazilian Real CAD Canadian Dollar EUR Euro GBP British Pound Sterling GHS Ghanian Cedis INR Indian Rupee IDR Indonesian Rupiah 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 year ended October 31, 2016 were as follows:
-------------------------------------------------------------------------------- Purchases Sales -------------------------------------------------------------------------------- Long-Term U.S. Government Securities $1,028,973 $ 1,975,870 Other Long-Term Securities $8,801,286 $10,332,167
The Fund is permitted to engage in purchase and sale transactions ("cross trades") with certain funds and accounts for which Pioneer Investment Management, Inc. serves as the Fund's investment adviser, as set forth in Rule 17a-7 under the Investment Company Act of 1940, pursuant to procedures adopted by the Board of Trustees. Under these procedures, cross trades are effected at current market prices. During the year ended October 31, 2016, the Fund engaged in purchases and sales pursuant to these procedures amounting to $231,370 and $126,659, respectively, which resulted in a net realized gain of $24,171. CENTRALLY CLEARED CREDIT DEFAULT SWAP AGREEMENT -- SELL PROTECTION
--------------------------------------------------------------------------------------------------------- Notional Obligation Credit Expiration Premiums Unrealized Principal ($)(1) Exchange Entity/Index Coupon Rating(2) Date Paid Appreciation --------------------------------------------------------------------------------------------------------- 343,332 Chicago Markit CDX 5.00% BBB+ 12/20/19 $18,632 $4,492 Mercantile North America Exchange High Yield Index ---------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 32 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 CREDIT DEFAULT SWAP AGREEMENT -- SELL PROTECTION
-------------------------------------------------------------------------------------------------------------- Notional Obligation Credit Expiration Premiums Unrealized Principal ($)(1) Counterparty Entity/Index Coupon Rating(2) Date (Received) (Depreciation) -------------------------------------------------------------------------------------------------------------- 50,000 Morgan Diamond 1.00% BBB+ 12/20/19 $(1,873) $(622) Stanley Offshore Capital Drill Inc. Services LLC --------------------------------------------------------------------------------------------------------------
(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. 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 Multisector Income Fund | Annual Report | 10/31/16 33 Schedule of Investments | 10/31/16 (continued) The following is a summary of the inputs used as of October 31, 2016, in valuing the Fund's assets:
------------------------------------------------------------------------------------------------- Level 1 Level 2 Level 3 Total ------------------------------------------------------------------------------------------------- Convertible Corporate Bonds $ -- $ 88,765 $ -- $ 88,765 Preferred Stocks 5,897 -- -- 5,897 Convertible Preferred Stock 141,330 -- -- 141,330 Asset Backed Securities -- 247,475 -- 247,475 Collateralized Mortgage Obligations -- 1,347,643 -- 1,347,643 Corporate Bonds Insurance Reinsurance -- 25,688 126,790 152,478 All Other Corporate Bonds -- 7,424,230 -- 7,424,230 U.S. Government Agency Obligations -- 8,846,996 -- 8,846,996 Foreign Government Bonds -- 10,364,585 -- 10,364,585 Municipal Bonds -- 683,453 -- 683,453 Senior Floating Rate Loan Interests -- 99,590 -- 99,590 Mutual Fund -- 511,726 -- 511,726 ------------------------------------------------------------------------------------------------- Total $ 147,227 $ 29,640,151 $ 126,790 $ 29,914,168 ================================================================================================= Other Financial Instruments Unrealized appreciation on futures contracts $ 52,051 $ -- $ -- $ 52,051 Unrealized depreciation on futures contracts (24,563) -- -- (24,563) Unrealized appreciation on forward foreign currency contracts -- 129,365 -- 129,365 Unrealized depreciation on forward foreign currency contracts -- (37,433) -- (37,433) Unrealized appreciation on centrally cleared swap contract -- 4,492 -- 4,492 Unrealized depreciation on swap contract -- (622) -- (622) ------------------------------------------------------------------------------------------------- Total Other Financial Instruments $ 27,488 $ 95,802 $ -- $ 123,290 =================================================================================================
The accompanying notes are an integral part of these financial statements. 34 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 The following is a reconciliation of assets valued using significant unobservable inputs (Level 3):
------------------------------------------------------------------ Corporate Bonds ------------------------------------------------------------------ Balance as of 10/31/15 $ 86,744 Realized gain (loss)(1) 110 Change in unrealized appreciation (depreciation)(2) 11,647 Purchases 90,000 Sales (61,711) Changes between Level 3* -- ------------------------------------------------------------------ Balance as of 10/31/16 $126,790 ==================================================================
(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 year ended October 31, 2016, there were no transfers between Levels 1, 2 and 3.
Net change in unrealized appreciation (depreciation) of investments still held as of 10/31/16 $12,256 -------
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 35 Statement of Assets and Liabilities | 10/31/16
ASSETS: Investment in securities of unaffiliated issuers, at value (cost $29,618,360) $29,402,442 Investment in securities of affiliated issuers, at value (cost $490,000) 511,726 -------------------------------------------------------------------------------------------------- Total investment in securities, at value (cost $30,108,360) $29,914,168 Cash 245,213 Foreign currencies, at value (cost $185,992) 183,687 Restricted cash* 92,851 Receivables -- Investment securities sold 395,906 Fund shares sold 6,230 Interest 230,903 Unrealized appreciation on forward foreign currency contracts 129,365 Due from Pioneer Investment Management, Inc. 2,060 Other assets 38,057 -------------------------------------------------------------------------------------------------- Total assets $31,238,440 ================================================================================================== LIABILITIES: Payables -- Investment securities purchased $ 2,307,734 Fund shares repurchased 8,759 Distributions 31,114 Trustee fees 596 Variation margin for centrally cleared swap contracts 196 Variation margin for futures contracts 1,887 Unrealized depreciation on forward foreign currency contracts 37,433 Due to affiliates 13,783 Accrued expenses 120,583 -------------------------------------------------------------------------------------------------- Total liabilities $ 2,522,085 ================================================================================================== NET ASSETS: Paid-in capital $28,980,843 Distributions in excess of net investment income (136,437) Accumulated net realized loss on investments, futures contracts, swap contracts and foreign currency transactions (53,074) Net unrealized depreciation on investments (194,192) Net unrealized appreciation on futures contracts 27,488 Net unrealized appreciation on swap contracts 3,870 Net unrealized appreciation on forward foreign currency contracts and other assets and liabilities denominated in foreign currencies 87,857 -------------------------------------------------------------------------------------------------- Net assets $28,716,355 ================================================================================================== NET ASSET VALUE PER SHARE: (No par value, unlimited number of shares authorized) Class A (based on $13,579,351/1,281,491 shares) $ 10.60 Class C (based on $4,370,070/411,219 shares) $ 10.63 Class Y (based on $10,766,934/1,007,155 shares) $ 10.69 MAXIMUM OFFERING PRICE: Class A ($10.60 (divided by) 95.5%) $ 11.10 ==================================================================================================
* Represents restricted cash deposited at the counterparty for derivative contracts The accompanying notes are an integral part of these financial statements. 36 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Statement of Operations For the Year Ended 10/31/16
INVESTMENT INCOME: Interest (net of foreign taxes withheld of $3,768) $1,133,544 Dividends (net of foreign taxes withheld of $266) 10,732 ---------------------------------------------------------------------------------------------------- Total investment income $1,144,276 ---------------------------------------------------------------------------------------------------- EXPENSES: Management fees $ 139,555 Transfer agent fees Class A 4,241 Class C 2,582 Class Y 463 Distribution fees Class A 32,610 Class C 43,100 Shareholder communications expense 133,345 Administrative expense 31,093 Custodian fees 35,386 Registration fees 45,315 Professional fees 64,789 Printing expense 34,131 Pricing expense 27,039 Fees and expenses of non-affiliated Trustees 7,062 Miscellaneous 15,634 ---------------------------------------------------------------------------------------------------- Total expenses $ 616,345 Less fees waived and expenses reimbursed by Pioneer Investment Management, Inc. (319,208) ---------------------------------------------------------------------------------------------------- Net expenses $ 297,137 ---------------------------------------------------------------------------------------------------- Net investment income $ 847,139 ---------------------------------------------------------------------------------------------------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, FUTURES CONTRACTS, SWAP CONTRACTS AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) on: Investments $ (75,770) Futures contracts (104,623) Swap contracts 17,875 Forward foreign currency contracts and other assets and liabilities denominated in foreign currencies (364,009) $ (526,527) ---------------------------------------------------------------------------------------------------- Change in net unrealized appreciation (depreciation) on: Investments (including from affiliated issuer of $21,726) $ 882,141 Futures contracts 15,032 Swap contracts (677) Forward foreign currency contracts and other assets and liabilities denominated in foreign currencies 300,437 $1,196,933 ---------------------------------------------------------------------------------------------------- Net realized and unrealized gain (loss) on investments, futures contracts, swap contracts and foreign currency transactions $ 670,406 ---------------------------------------------------------------------------------------------------- Net increase in net assets resulting from operations $1,517,545 ====================================================================================================
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 37 Statements of Changes in Net Assets
-------------------------------------------------------------------------------------------------- Year Ended Year Ended 10/31/16 10/31/15 -------------------------------------------------------------------------------------------------- FROM OPERATIONS: Net investment income $ 847,139 $ 834,004 Net realized gain (loss) on investments, futures contracts, swap contracts, written options and forward foreign currency contracts and other assets and liabilities denominated in foreign currencies (526,527) 356,921 Change in net unrealized appreciation (depreciation) on investments, futures contracts, swap contracts, written options and foreign currency transactions 1,196,933 (1,470,300) -------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets resulting from operations $ 1,517,545 $ (279,375) -------------------------------------------------------------------------------------------------- DISTRIBUTIONS TO SHAREOWNERS: Net investment income: Class A ($0.28 and $0.31 per share, respectively) $ (353,498) $ (362,600) Class C ($0.19 and $0.21 per share, respectively) (80,543) (90,523) Class Y ($0.31 and $0.34 per share, respectively) (343,125) (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) -------------------------------------------------------------------------------------------------- Tax return of capital: Class A ($0.08 and $0.00, respectively) (104,457) -- Class C ($0.08 and $0.00, respectively) (34,504) -- Class Y ($0.08 and $0.00, respectively) (88,241) -- -------------------------------------------------------------------------------------------------- Total distributions to shareowners $(1,004,368) $(1,095,258) -------------------------------------------------------------------------------------------------- FROM FUND SHARE TRANSACTIONS (a)(b): Net proceeds from sale of shares $ 4,445,955 $ 5,423,057 Reinvestment of distributions 501,412 502,776 Cost of shares repurchased (5,772,331) (3,804,827) -------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets resulting from Fund share transactions $ (824,964) $ 2,121,006 -------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets $ (311,787) $ 746,373 NET ASSETS: Beginning of year $29,028,142 $28,281,769 -------------------------------------------------------------------------------------------------- End of year $28,716,355 $29,028,142 -------------------------------------------------------------------------------------------------- Undistributed (distributions in excess of) net investment income $ (136,437) $ 344,017 ==================================================================================================
(a) At October 31, 2016, Pioneer Solutions-Growth Fund owned 11.5% of the value of outstanding shares of Pioneer Global Multisector Income Fund. (b) At October 31, 2016, Pioneer Solutions-Balanced Fund owned 12.6% of the value of outstanding shares of Pioneer Global Multisector Income Fund. The accompanying notes are an integral part of these financial statements. 38 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------- Year Ended Year Ended Year Ended Year Ended 10/31/16 10/31/16 10/31/15 10/31/15 Shares Amount Shares Amount --------------------------------------------------------------------------------------------- Class A Shares sold 252,692 $ 2,632,483 326,667 $ 3,484,765 Reinvestment of distributions 38,692 401,821 37,797 402,829 Less shares repurchased (234,361) (2,430,066) (203,771) (2,170,537) --------------------------------------------------------------------------------------------- Net increase 57,023 $ 604,238 160,693 $ 1,717,057 ============================================================================================= Class C Shares sold 112,725 $ 1,164,736 128,101 $ 1,375,286 Reinvestment of distributions 6,441 67,019 6,729 72,072 Less shares repurchased (102,171) (1,056,421) (120,509) (1,279,738) --------------------------------------------------------------------------------------------- Net increase 16,995 $ 175,334 14,321 $ 167,620 ============================================================================================= Class Y Shares sold 62,209 $ 648,736 52,402 $ 563,006 Reinvestment of distributions 3,104 32,572 2,593 27,875 Less shares repurchased (218,162) (2,285,844) (33,109) (354,552) --------------------------------------------------------------------------------------------- Net increase (decrease) (152,849) $(1,604,536) 21,886 $ 236,329 =============================================================================================
The accompanying notes are an integral part of these financial statements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 39 Financial Highlights
------------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 10/31/16 10/31/15 10/31/14 10/31/13 10/31/12 ------------------------------------------------------------------------------------------------------------------------------- Class A Net asset value, beginning of period $ 10.40 $ 10.91 $ 10.98 $ 11.49 $ 11.22 ------------------------------------------------------------------------------------------------------------------------------- Increase (decrease) from investment operations: Net investment income (loss) $ 0.31(b) $ 0.31(b) $ 0.38 $ 0.30 $ 0.36 Net realized and unrealized gain (loss) on investments 0.25 (0.41) (0.04) (0.35) 0.29 ------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from investment operations $ 0.56 $ (0.10) $ 0.34 $ (0.05) $ 0.65 ------------------------------------------------------------------------------------------------------------------------------- Distribution to shareowners: Net investment income $ (0.28) $ (0.31) $ (0.35) $ (0.29) $ (0.36) Net realized gain -- (0.10) (0.06) (0.17) (0.02) Tax return of capital (0.08) -- -- -- -- ------------------------------------------------------------------------------------------------------------------------------- Total distributions $ (0.36) $ (0.41) $ (0.41) $ (0.46) $ (0.38) ------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net asset value $ 0.20 $ (0.51) $ (0.07) $ (0.51) $ 0.27 ------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 10.60 $ 10.40 $ 10.91 $ 10.98 $ 11.49 =============================================================================================================================== Total return* 5.59% (1.00)% 3.16% (0.45)% 5.98% Ratio of net expenses to average net assets (a) 1.00% 1.00% 1.01% 1.00% 1.00% Ratio of net investment income (loss) to average net assets 2.99% 2.87% 3.57% 3.36% 3.26% Portfolio turnover rate 37% 34% 51% 33% 29% Net assets, end of period (in thousands) $13,579 $12,737 $11,601 $ 6,888 $ 9,128 Ratios with no waiver of fees and assumption of expenses by Pioneer Investment Management, Inc. and no reduction for fees paid indirectly: Total expenses to average net assets (a) 2.67% 2.67% 2.52% 2.05% 1.65% Net investment income (loss) to average net assets 1.32% 1.20% 2.06% 2.31% 2.60% ===============================================================================================================================
* 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. (a) Includes interest expense of 0.00%, 0.00%, 0.00%, 0.01% 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 | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 10/31/16 10/31/15 10/31/14 10/31/13 10/31/12 --------------------------------------------------------------------------------------------------------------------------- Class C Net asset value, beginning of period $ 10.43 $ 10.94 $ 11.01 $ 11.51 $ 11.23 --------------------------------------------------------------------------------------------------------------------------- Increase (decrease) from investment operations: Net investment income (loss) $ 0.22(b) $ 0.21(b) $ 0.29 $ 0.20 $ 0.26 Net realized and unrealized gain (loss) on investments 0.25 (0.41) (0.05) (0.34) 0.30 --------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from investment operations $ 0.47 $ (0.20) $ 0.24 $ (0.14) $ 0.56 --------------------------------------------------------------------------------------------------------------------------- Distribution to shareowners: Net investment income $ (0.19) $ (0.21) $ (0.25) $ (0.19) $ (0.26) Net realized gain -- (0.10) (0.06) (0.17) (0.02) Tax return of capital (0.08) -- -- -- -- --------------------------------------------------------------------------------------------------------------------------- Total distributions $ (0.27) $ (0.31) $ (0.31) $ (0.36) $ (0.28) --------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net asset value $ 0.20 $ (0.51) $ (0.07) $ (0.50) $ 0.28 --------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 10.63 $ 10.43 $ 10.94 $ 11.01 $ 11.51 =========================================================================================================================== Total return* 4.67% (1.87)% 2.24% (1.24)% 5.09% Ratio of net expenses to average net assets (a) 1.90% 1.90% 1.91% 1.90% 1.90% Ratio of net investment income (loss) to average net assets 2.10% 1.96% 2.67% 2.46% 2.33% Portfolio turnover rate 37% 34% 51% 33% 29% Net assets, end of period (in thousands) $ 4,370 $ 4,113 $ 4,156 $ 3,847 $ 4,414 Ratios with no waiver of fees and assumption of expenses by Pioneer Investment Management, Inc. and no reduction for fees paid indirectly: Total expenses to average net assets (a) 2.53% 2.56% 2.71% 2.75% 2.39% Net investment income (loss) to average net assets 1.46% 1.30% 1.87% 1.61% 1.84% ===========================================================================================================================
* 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. (a) Includes interest expense of 0.00%, 0.00%, 0.00%, 0.01% 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 | Annual Report | 10/31/16 41 Financial Highlights (continued)
--------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 10/31/16 10/31/15 10/31/14 10/31/13 10/31/12 --------------------------------------------------------------------------------------------------------------------------- Class Y Net asset value, beginning of period $ 10.50 $ 11.00 $ 11.07 $ 11.59 $ 11.30 --------------------------------------------------------------------------------------------------------------------------- Increase (decrease) from investment operations: Net investment income (loss) $ 0.34(b) $ 0.33(b) $ 0.42 $ 0.33 $ 0.39 Net realized and unrealized gain (loss) on investments 0.24 (0.39) (0.05) (0.36) 0.30 --------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from investment operations $ 0.58 $ (0.06) $ 0.37 $ (0.03) $ 0.69 --------------------------------------------------------------------------------------------------------------------------- Distribution to shareowners: Net investment income $ (0.31) $ (0.34) $ (0.38) $ (0.32) $ (0.38) Net realized gain -- (0.10) (0.06) (0.17) (0.02) Tax return of capital (0.08) -- -- -- -- --------------------------------------------------------------------------------------------------------------------------- Total distributions $ (0.39) $ (0.44) $ (0.44) $ (0.49) $ (0.40) --------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net asset value $ 0.19 $ (0.50) $ (0.07) $ (0.52) $ 0.29 --------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 10.69 $ 10.50 $ 11.00 $ 11.07 $ 11.59 =========================================================================================================================== Total return* 5.73% (0.62)% 3.42% (0.25)% 6.24% Ratio of net expenses to average net assets (a) 0.75% 0.75% 0.76% 0.75% 0.79% Ratio of net investment income (loss) to average net assets 3.24% 3.12% 3.81% 3.58% 3.42% Portfolio turnover rate 37% 34% 51% 33% 29% Net assets, end of period (in thousands) $10,767 $12,178 $12,525 $17,438 $15,297 Ratios with no waiver of fees and assumption of expenses by Pioneer Investment Management, Inc. and no reduction for fees paid indirectly: Total expenses to average net assets (a) 1.41% 1.39% 1.50% 1.57% 1.18% Net investment income (loss) to average net assets 2.59% 2.48% 3.07% 2.76% 3.04% ===========================================================================================================================
* Assumes initial investment at net asset value at the beginning of each period, reinvestment of all distributions and the complete redemption of the investment at net asset value at the end of each period. (a) Includes interest expense of 0.00%, 0.00%, 0.00%, 0.01% 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. 42 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Notes to Financial Statements | 10/31/16 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 (U.S. GAAP) that require the management of the Fund to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of income, expenses and gain or loss on investments during the reporting period. Actual results could differ from those estimates. The Fund is an investment company and follows investment company accounting and reporting guidance under U.S. GAAP. The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements: A. Security Valuation The net asset value of the Fund is computed once daily, on each day the New York Stock Exchange (NYSE) is open, as of the close of regular trading on the NYSE. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 43 Fixed income securities are valued by using prices supplied by independent pricing services, which consider such factors as market prices, market events, quotations from one or more brokers, Treasury spreads, yields, maturities and ratings, or may use a pricing matrix or other fair value methods or techniques to provide an estimated value of the security or instrument. A pricing matrix is a means of valuing a debt security on the basis of current market prices for other debt securities, historical trading patterns in the market for fixed income securities and/or other factors. Non-U.S. debt securities that are listed on an exchange will be valued at the bid price obtained from an independent third party pricing service. When independent market quotations are considered to be unreliable, the value of that security may be determined using quotations from one or more broker-dealers. The value of foreign securities is translated into U.S. dollars based on foreign currency exchange rate quotations supplied by a third party pricing source. Trading in non-U.S. equity securities is substantially completed each day at various times prior to the close of the NYSE. The values of such securities used in computing the net asset value of the Fund's shares are determined as of such times. The fund may use a fair value model developed by an independent pricing service to value non-U.S. equity securities. 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 44 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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 Dealers 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 and the forward points on a daily basis, 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 or broker dealers are unable to supply prices or for which market prices and/or quotations are not readily available or are considered to be unreliable are valued by a fair valuation team comprised of certain personnel of Pioneer Investment Management, Inc. (PIM), the Fund's investment adviser and a wholly owned indirect subsidiary of UniCredit S.p.A. (UniCredit), 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 October 31, 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). Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 45 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 46 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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, 2016, 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. GAAP. 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. At October 31, 2016, the Fund reclassified $323,225 to decrease undistributed net investment income, $550,427 to decrease accumulated net realized loss on investments futures contracts, swap contracts and foreign currency transactions and $227,202 to decrease paid-in capital to reflect permanent book/tax differences. These adjustments have no impact on net assets or the results of operations. At October 31, 2016, the Fund was permitted to carry forward indefinitely $25,586 of long-term losses under the Regulated Investment Company Modernization Act of 2010 without limitation. During the year ended October 31, 2016, a capital loss carryforward of $38,932 was utilized to offset net realized gains by the fund. The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015, were as follows:
--------------------------------------------------------------------------- 2016 2015 --------------------------------------------------------------------------- Distributions paid from: Ordinary income $ 777,166 $ 856,632 Long-term capital gain -- 238,626 Return of capital 227,202 -- --------------------------------------------------------------------------- Total $1,004,368 $1,095,258 ===========================================================================
Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 47 The following shows the components of distributable earnings on a federal income tax basis at October 31, 2016:
--------------------------------------------------------------------------- 2016 --------------------------------------------------------------------------- Distributable earnings: Capital loss carryforward $ (25,586) Current year dividend payable (31,114) Unrealized depreciation (207,788) --------------------------------------------------------------------------- Total $(264,488) ===========================================================================
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, swaps 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, earned $1,634 in underwriting commissions on the sale of Class A shares during the year ended October 31, 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. 48 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 49 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 October 31, 2016 was $86,550 and is recorded within "Restricted cash" on the Statement of Assets and Liabilities. Subsequent payments for futures contracts ("variation 50 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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 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 year ended October 31, 2016, was $(3,977,701). At October 31, 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 10 12/16 $ 1,778,356 $(24,563) US 10 Yr Note (CBT) Citibank NA (28) 12/16 (3,629,500) 45,687 US 5 Yr Note (CBT) Citibank NA (11) 12/16 (1,328,765) 6,364 ---------------------------------------------------------------------------------------------- Total $(3,179,909) $ 27,488 ==============================================================================================
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. 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. As of and for the year ended October 31, 2016, the Fund had no open repurchase agreements. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 51 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. 52 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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 October 31, 2016 was $25,000 and is recorded within "Restricted Cash" on the Statement of Assets and Liabilities. Open credit default swap contracts at October 31, 2016, are listed in the Schedule of Investments. The average value of swap contracts open during the year ended October 31, 2016 was $16,146. 2. Management Agreement PIM 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 year ended October 31, 2016, are reflected on the Statement of Operations. These expense limitations are in effect through March 1, 2018. 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 $12,860 in management fees, administrative costs and certain other reimbursements due to PIM at October 31, 2016. 3. Transfer Agent Boston Financial Data Services serves as the transfer agent to the Fund at negotiated rates. Transfer agent fees and payables shown on the Statement of Operations and the Statement of Assets and Liabilities, respectively, include sub-transfer agent expenses incurred through the Fund's omnibus relationship contracts. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 53 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 year ended October 31, 2016, such out-of-pocket expenses by class of shares were as follows:
-------------------------------------------------------------------------------- Shareholder Communications: -------------------------------------------------------------------------------- Class A $128,575 Class C 3,300 Class Y 1,470 -------------------------------------------------------------------------------- Total $133,345 ================================================================================
4. Distribution Plan The Fund has adopted a distribution plan (the Plan) pursuant to Rule 12b-1 of the Investment Company Act of 1940 with respect to its Class A and Class C shares. Pursuant to the Plan, the Fund pays 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 $923 in distribution fees payable to PFD at October 31, 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 year ended October 31, 2016, no CDSCs were paid to PFD. 5. Forward Foreign Currency Contracts During the year ended October 31, 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 54 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 out such contract by entering into an offsetting contract. The average value of forward foreign currency contracts open during the year ended October 31, 2016, was $(4,869,365). Open forward foreign currency contracts at October 31, 2016, were as follows:
------------------------------------------------------------------------------------------------------- In Currency Currency Exchange Settlement Unrealized Sold Deliver Purchased For Counterparty Date Appreciation ------------------------------------------------------------------------------------------------------- CAD (936,492) USD 714,710 Goldman Sachs 11/4/16 $ 16,946 International GBP (312,841) USD 420,757 Brown Brothers 11/8/16 37,767 Harriman & Co. NZD (195,737) AUD 189,804 JP Morgan 12/13/16 4,486 Chase Bank NA HUF (66,994,656) USD 243,174 Citibank NA 12/16/16 5,097 New York NY NZD (3,559,854) USD 2,586,634 JP Morgan 11/21/16 44,034 Chase Bank NA GBP (343,228) USD 438,100 Brown Brothers 12/29/16 17,339 Harriman & Co. JPY (64,172,475) USD 615,767 Citibank NA 12/8/16 3,203 New York NY USD (500,789) IDR 6,617,921,613 Goldman Sachs 1/17/17 493 International ------------------------------------------------------------------------------------------------------- Total $129,365 ======================================================================================================= ------------------------------------------------------------------------------------------------------- In Currency Currency Exchange Settlement Unrealized Sold Deliver Purchased For Counterparty Date Depreciation ------------------------------------------------------------------------------------------------------- USD (746,542) JPY 75,918,298 JP Morgan 12/8/16 $(21,857) Chase Bank NA AUD (265,102) USD 198,143 JP Morgan 11/16/16 (3,364) Chase Bank NA ZAR (1,555,001) USD 111,696 Citibank NA 11/3/16 (3,595) New York NY USD (12,141) NOK 97,500 JP Morgan 1/3/17 (351) Chase Bank NA USD (111,117) EUR 98,400 Citibank NA 1/4/17 (2,877) New York NY MXN (1,441,213) USD 74,270 Societe Generale 11/3/16 (1,986) USD (618,900) EUR 560,000 Brown Brothers 1/4/17 (2,905) Harriman & Co. EUR (96,762) USD 105,939 Goldman Sachs 1/4/17 (498) International ------------------------------------------------------------------------------------------------------- Total $(37,433) =======================================================================================================
AUD Australian Dollar CAD Canadian Dollar EUR Euro GBP British Pound Sterling HUF Hungarian Forint IDR Indonesian Rupiah JPY Japanese Yen MXN Mexican Peso NOK Norwegian Krone NZD New Zealand Dollar ZAR South African Rand Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 55 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 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 each specific ISDA of each 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 not been offset on the Statement of Assets and Liabilities. The following charts show gross assets and liabilities of the Fund as of October, 31 2016. 56 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------ 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) ------------------------------------------------------------------------------------------------------ Societe Generale $ -- $ -- $ -- $ -- $ -- Morgan Stanley Capital Services LLC -- -- -- -- -- Goldman Sachs International 17,439 (498) -- -- 16,941 Citibank NA New York NY 8,300 (6,472) -- -- 1,828 Brown Brothers Harriman & Co. 55,106 (2,905) -- -- 52,201 JPMorgan Chase Bank NA 48,520 (25,572) -- -- 22,948 ------------------------------------------------------------------------------------------------------ Total $129,365 $(35,447) $ -- $ -- $93,918 ====================================================================================================== ------------------------------------------------------------------------------------------------------ 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 (b) ------------------------------------------------------------------------------------------------------ Societe Generale $ 1,986 $ -- $ -- $ -- $ 1,986 Morgan Stanley Capital Services LLC 622 -- -- (622) -- Goldman Sachs International 498 (498) -- -- -- Citibank NA New York NY 6,472 (6,472) -- -- -- Brown Brothers Harriman & Co. 2,905 (2,905) -- -- -- JPMorgan Chase Bank NA 25,572 (25,572) -- -- -- ------------------------------------------------------------------------------------------------------ Total $38,055 $(35,447) $ -- $(622) $ 1,986 ======================================================================================================
(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. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 57 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. The fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) by risk exposure at October 31, 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 on forward foreign currency contracts $ -- $ -- $129,365 $ -- $ -- Unrealized appreciation on futures contracts* 52,051 -- -- -- -- Unrealized appreciation on centrally cleared swap contracts -- 4,492 -- -- -- ------------------------------------------------------------------------------------ Total Value $52,051 $4,492 $129,365 $ -- $ -- ====================================================================================
* Reflects unrealized appreciation/depreciation of futures contracts (see Note 1J). The current day's variation margin is disclosed on the Statement of Assets and Liabilities. 58 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------ Foreign Statement of Assets Interest Credit Exchange Equity Commodity and Liabilities Rate Risk Risk Rate Risk Risk Risk ------------------------------------------------------------------------------------ Liabilities Unrealized depreciation on forward foreign currency contracts $ -- $ -- $37,433 $ -- $ -- Unrealized depreciation on futures contracts* 24,563 -- -- -- -- Unrealized depreciation on swap contracts -- 622 -- -- -- ------------------------------------------------------------------------------------ Total Value $24,563 $622 $37,433 $ -- $ -- ====================================================================================
* Reflects unrealized appreciation/depreciation of futures contracts (see Note 1J). The current day's variation margin is disclosed on the Statement of Assets and Liabilities. The effect of derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) on the Statement of Operations by risk exposure at October 31, 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 Futures contracts $(104,623) $ -- $ -- $ -- $ -- Swap contracts -- 17,875 -- -- -- Forward foreign currency contracts** -- -- (373,418) -- -- ----------------------------------------------------------------------------------------- Total Value $(104,623) $17,875 $(373,418) $ -- $ -- ========================================================================================= Change in net unrealized appreciation (depreciation) on Futures contracts $ 15,032 $ -- $ -- $ -- $ -- Swap contracts -- (677) -- -- -- Forward foreign currency contracts** -- -- 284,303 -- -- ----------------------------------------------------------------------------------------- Total Value $ 15,032 $ (677) $ 284,303 $ -- $ -- =========================================================================================
** Included in the amount shown on the Statement of Operations as foward foreign currency contracts and other assets and liabilities denominated in foreign currencies. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 59 8. 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 9, 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 year ended October 31, 2016, the Fund had no borrowings under the credit facility. 60 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Report of Independent Registered Public Accounting Firm To the Board of Trustees of Pioneer Series Trust VII and the Shareowners of Pioneer Global Multisector Income Fund: -------------------------------------------------------------------------------- We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Pioneer Global Multisector Income Fund (the "Fund") (one of the funds constituting Pioneer Series Trust VII), as of October 31, 2016, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended. These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for the years ended October 31, 2013 and 2012 were audited by other auditors. Those auditors expressed an unqualified opinion on those financial statements and financial highlights in their report dated December 23, 2013. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of October 31, 2016, by correspondence with the custodian, brokers and agent banks; where replies were not received from brokers or agent banks, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of Pioneer Global Multisector Income Fund as of October 31, 2016, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. /s/ Deloitte & Touche LLP Boston, Massachusetts December 23, 2016 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 61 Additional Information (unaudited) The percentages of the Fund's ordinary income distributions that are exempt from nonresident alien (NRA) tax withholding resulting from qualified interest income was 53.98%. Pioneer Investment Management, Inc. (the "Adviser"), the Fund's investment adviser, is currently an indirect, wholly owned subsidiary of UniCredit S.p.A. ("UniCredit"). On December 12, 2016, UniCredit announced that it has entered into a binding agreement for the sale of its Pioneer Investments business, which includes the Adviser, to Amundi (the "Transaction"). Amundi is headquartered in Paris, France, and, as of September 30, 2016, had more than $1.1 trillion in assets under management worldwide. The closing of the Transaction is expected to happen in 2017, subject to certain regulatory and antitrust approvals, and other conditions. Under the Investment Company Act of 1940, the closing of the Transaction will cause the Fund's current investment advisory agreement with the Adviser to terminate. Accordingly, the Fund's Board of Trustees will be asked to approve a new investment advisory agreement for the Fund. If approved by the Board, the Fund's new investment advisory agreement will be submitted to the shareholders of the Fund for their approval. 62 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Approval of Investment Advisory Agreement Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to Pioneer Global Multisector Income Fund (the Fund) pursuant to an investment advisory agreement between PIM and the Fund. In order for PIM to remain the investment adviser of the Fund, the Trustees of the Fund must determine annually whether to renew the investment advisory agreement for the Fund. The contract review process began in January 2016 as the Trustees of the Fund agreed on, among other things, an overall approach and timeline for the process. Contract review materials were provided to the Trustees in March 2016 and May 2016. In addition, the Trustees reviewed and discussed the Fund's performance at regularly scheduled meetings throughout the year and took into account other information related to the Fund provided to the Trustees at regularly scheduled meetings in connection with the review of the Fund's investment advisory agreement. In March 2016, the Trustees, among other things, discussed the memorandum provided by Fund counsel that summarized the legal standards and other considerations that are relevant to the Trustees in their deliberations regarding the renewal of the investment advisory agreement, and reviewed and discussed the qualifications of the investment management teams, as well as the level of investment by the Fund's portfolio managers in the Fund. In May 2016, the Trustees, among other things, reviewed the Fund's management fee and total expense ratios, the financial statements of PIM and its parent companies, the profitability analyses provided by PIM, and possible economies of scale. The Trustees also reviewed the profitability of the institutional business of PIM and PIM's affiliate, Pioneer Institutional Asset Management, Inc. (together with PIM, "Pioneer"), as compared to that of PIM's fund management business, and considered the differences between the fees and expenses of the Fund and the fees and expenses of Pioneer's institutional accounts, as well as the different services provided by PIM to the Fund and by Pioneer to the institutional accounts. The Trustees further considered contract review materials in July and September 2016. At a meeting held on September 13, 2016, based on their evaluation of the information provided by PIM and third parties, the Trustees of the Fund, including the Independent Trustees voting separately, unanimously approved the renewal of the investment advisory agreement for another year. In approving the renewal of the investment advisory agreement, the Trustees Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 63 considered various factors that they determined were relevant, including the factors described below. The Trustees did not identify any single factor as the controlling factor in determining to approve the renewal of the agreement. Nature, Extent and Quality of Services The Trustees considered the nature, extent and quality of the services that had been provided by PIM to the Fund, taking into account the investment objective and strategy of the Fund. The Trustees also reviewed PIM's investment approach for the Fund and its research process. The Trustees considered the resources of PIM and the personnel of PIM who provide investment management services to the Fund. They also reviewed the amount of non-Fund assets managed by the portfolio managers of the Fund. The Trustees considered the non-investment resources and personnel of PIM involved in PIM's services to the Fund, including PIM's compliance and legal resources and personnel. The Trustees noted the substantial attention and high priority given by PIM's senior management to the Pioneer fund complex. The Trustees considered that PIM supervises and monitors the performance of the Fund's service providers and provides the Fund with personnel (including Fund officers) and other resources that are necessary for the Fund's business management and operations. The Trustees also considered that, as administrator, PIM is responsible for the administration of the Fund's business and other affairs. The Trustees considered the fees paid to PIM for the provision of administration services. Based on these considerations, the Trustees concluded that the nature, extent and quality of services that had been provided by PIM to the Fund were satisfactory and consistent with the terms of the investment advisory agreement. Performance of the Fund In considering the Fund's performance, the Trustees regularly review and discuss throughout the year data prepared by PIM and information comparing the Fund's performance with the performance of its peer group of funds as classified by each of Morningstar, Inc. (Morningstar) and Lipper, and with the performance of the Fund's benchmark index. They also discuss the Fund's performance with PIM on a regular basis. The Trustees' regular reviews and discussions were factored into the Trustees' deliberations concerning the renewal of the advisory agreement. 64 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Management Fee and Expenses The Trustees considered information showing the fees and expenses of the Fund in comparison to the management fees and expense ratios of its peer group of funds as classified by Morningstar and also to the expense ratios of a peer group of funds selected on the basis of criteria determined by the Independent Trustees for this purpose using data provided by Strategic Insight Mutual Fund Research and Consulting, LLC (Strategic Insight), an independent third party. In all quintile rankings referred to below, first quintile is most favorable to the Fund's shareowners. The Trustees considered that the Fund's management fee for the most recent fiscal year was in the third quintile relative to the management fees paid by other funds in its Morningstar peer group for the comparable period. The Trustees considered that the expense ratio of the Fund's Class A shares for the most recent fiscal year was in the second quintile relative to its Morningstar peer group and in the second quintile relative its Strategic Insight peer group, in each case for the comparable period. The Trustees noted that PIM was waiving fees and/or reimbursing expenses in order to limit the ordinary operating expenses of the Fund. The Trustees considered the impact of transfer agency, sub-transfer agency, and other non-management fee expenses on the expense ratios of the Fund. The Trustees noted that they separately review the Fund's transfer agency, sub-transfer agency and intermediary arrangements and that the results of the most recent such review were considered in the consideration of the Fund's expense ratio. The Trustees reviewed management fees charged by Pioneer to institutional and other clients, including publicly offered European funds sponsored by affiliates of Pioneer, unaffiliated U.S. registered investment companies (in a sub-advisory capacity), and unaffiliated foreign and domestic separate accounts. The Trustees also considered PIM's costs in providing services to the Fund and Pioneer's costs in providing services to the other clients and considered the differences in management fees and profit margins for Fund and non-Fund services. In evaluating the fees associated with Pioneer's client accounts, the Trustees took into account the respective demands, resources and complexity associated with the Fund and client accounts. The Trustees noted that, in some instances, the fee rates for those clients were lower than the management fee for the Fund and considered that, under the investment advisory agreement with the Fund, PIM performs additional services for the Fund that it does not provide to those other clients or services that are broader in scope, including oversight of the Fund's other service providers and activities related to compliance and the extensive regulatory and tax regimes to Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 65 which the Fund is subject. The Trustees also considered the different entrepreneurial risks associated with PIM's management of the Fund and Pioneer's management of the other client accounts. The Trustees concluded that the management fee payable by the Fund to PIM was reasonable in relation to the nature and quality of the services provided by PIM to the Fund. Profitability The Trustees considered information provided by PIM regarding the profitability of PIM with respect to the advisory services provided by PIM to the Fund, including the methodology used by PIM in allocating certain of its costs to the management of the Fund. The Trustees also considered PIM's profit margin in connection with the overall operation of the Fund. They further reviewed the financial results, including the profit margins, realized by PIM and its affiliates from non-fund businesses. The Trustees considered PIM's profit margins with respect to the Fund in comparison to the limited industry data available and noted that the profitability of any adviser was affected by numerous factors, including its organizational structure and method for allocating expenses. The Trustees concluded that PIM's profitability with respect to the management of the Fund was not unreasonable. Economies of Scale The Trustees considered PIM's views relating to economies of scale in connection with the Pioneer Funds as fund assets grow and the extent to which any such economies of scale are shared with funds and fund shareholders. The Trustees recognize that economies of scale are difficult to identify and quantify, and that, among other factors that may be relevant, are the following: fee levels, expense subsidization, investment by PIM in research and analytical capabilities and PIM's commitment and resource allocation to the Fund. The Trustees noted that profitability also may be an indicator of the availability of any economies of scale, although profitability may vary for other reasons including reductions in expenses. The Trustees concluded that economies of scale, if any, were being appropriately shared with the Funds. Other Benefits The Trustees considered the other benefits to PIM from its relationship with the Fund. The Trustees considered the character and amount of fees paid by the Fund, other than under the investment advisory agreement, for services provided by PIM and its affiliates. The Trustees further considered the revenues and profitability of PIM's businesses other than the fund business. Pioneer is the principal U.S. asset management business of Pioneer Global 66 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Asset Management, the worldwide asset management business of UniCredit Group, which manages over $150 billion in assets (including the Funds). Pioneer and the Funds receive reciprocal intangible benefits from the relationship, including mutual brand recognition and, for the Funds, direct and indirect access to the resources of a large global asset manager. The Trustees concluded that any such benefits received by Pioneer as a result of its relationship with the Funds were reasonable and their consideration of the advisory agreement between the Fund and PIM and the fees thereunder were unaffected by Pioneer's possible receipt of any such intangible benefits. Conclusion After consideration of the factors described above as well as other factors, the Trustees, including all of the Independent Trustees, concluded that the investment advisory agreement between PIM and the Fund, including the fees payable thereunder, was fair and reasonable and voted to approve the proposed renewal of the investment advisory agreement for the Fund. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 67 Trustees, Officers and Service Providers Investment Adviser Pioneer Investment Management, Inc. Custodian and Sub-Administrator Brown Brothers Harriman & Co. Independent Registered Public Accounting Firm Deloitte & Touche LLP 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. Trustees and Officers The Fund's Trustees and officers are listed below, together with their principal occupations during at least the past five years. Trustees who are interested persons of the Fund within the meaning of the 1940 Act are referred to as Interested Trustees. Trustees who are not interested persons of the Fund are referred to as Independent Trustees. Each of the Trustees serves as a Trustee of each of the 45 U.S. registered investment portfolios for which Pioneer serves as investment adviser (the "Pioneer Funds"). The address for all Trustees and all officers of the Fund is 60 State Street, Boston, Massachusetts 02109. The Statement of Additional Information of the Fund includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-225-6292. 68 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Independent Trustees
-------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee -------------------------------------------------------------------------------------------------------------------------------- Thomas J. Perna (66) Trustee since 2007. Private investor (2004 - 2008 and 2013 - Director, Broadridge Chairman of the Board Serves until a present); Chairman (2008 - 2013) and Chief Financial Solutions, Inc. and Trustee successor trustee Executive Officer (2008 - 2012), Quadriserv, (investor communications is elected or Inc. (technology products for securities and securities processing earlier retirement lending industry); and Senior Executive provider for financial or removal. Vice President, The Bank of New York services industry) (2009 - (financial and securities services) (1986 - present); Director, 2004) Quadriserv, Inc. (2005 - 2013); and Commissioner, New Jersey State Civil Service Commission (2011 - present) -------------------------------------------------------------------------------------------------------------------------------- David R. Bock (72) Trustee since 2007. Managing Partner, Federal City Capital Director of New York Trustee Serves until a Advisors (corporate advisory services Mortgage Trust successor trustee company) (1997 - 2004 and 2008 - present); (publicly-traded mortgage is elected or Interim Chief Executive Officer, Oxford REIT) (2004 - 2009, 2012 - earlier retirement Analytica, Inc. (privately-held research present); Director of The or removal. and consulting company) (2010); Executive Swiss Helvetia Fund, Inc. Vice President and Chief Financial Officer, (closed-end fund) (2010 - I-trax, Inc. (publicly traded health care present); Director of services company) (2004 - 2007); and Oxford Analytica, Inc. Executive Vice President and Chief (2008 - present); and Financial Officer, Pedestal Inc. Director of Enterprise (internet-based mortgage trading company) Community Investment, Inc. (2000 - 2002); Private consultant (privately-held affordable (1995-1997), Managing Director, Lehman housing finance company) Brothers (investment banking firm) (1985 - 2010) (1992-1995); and Executive, The World Bank (1979-1992) -------------------------------------------------------------------------------------------------------------------------------- Benjamin M. Friedman (72) Trustee since 2008. William Joseph Maier Professor of Political Trustee, Mellon Trustee Serves until a Economy, Harvard University (1972 - Institutional Funds successor trustee present) Investment Trust and is elected or Mellon Institutional Funds earlier retirement Master Portfolio (oversaw or removal. 17 portfolios in fund complex) (1989-2008) --------------------------------------------------------------------------------------------------------------------------------
Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 69 Independent Trustees (continued)
-------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee -------------------------------------------------------------------------------------------------------------------------------- Margaret B.W. Graham (69) Trustee since 2007. Founding Director, Vice President and None Trustee Serves until a Corporate Secretary, The Winthrop Group, successor trustee Inc. (consulting firm) (1982 - present); is elected or Desautels Faculty of Management, McGill earlier retirement University (1999 - present); and Manager of or removal. Research Operations and Organizational Learning, Xerox PARC, Xerox's advance research center (1990-1994) -------------------------------------------------------------------------------------------------------------------------------- Marguerite A. Piret (68) Trustee since 2007. President and Chief Executive Officer, Director of New America High Trustee Serves until a Newbury Piret Company (investment banking Income Fund, Inc. successor trustee firm) (1981 - present) (closed-end investment is elected or company) (2004 - present); earlier retirement and Member, Board of or removal. Governors, Investment Company Institute (2000 - 2006) -------------------------------------------------------------------------------------------------------------------------------- Fred J. Ricciardi (69) Trustee since 2014. Consultant (investment company services) None Trustee Serves until a (2012 - present); Executive Vice President, successor trustee BNY Mellon (financial and investment company is elected or services) (1969 - 2012); Director, BNY earlier retirement International Financing Corp. (financial or removal. services) (2002 - 2012); and Director, Mellon Overseas Investment Corp. (financial services) (2009 - 2012) --------------------------------------------------------------------------------------------------------------------------------
70 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Interested Trustee
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Principal Occupation Other Directorships Position Held With the Fund Length of Service Held by Trustee --------------------------------------------------------------------------------------------------------------------------------- Kenneth J. Taubes (58)* Trustee since 2014. Director and Executive Vice President None Trustee Serves until a (since 2008) and Chief Investment Officer, successor trustee U.S. (since 2010) of PIM-USA; Executive is elected or Vice President of Pioneer (since 2008); earlier retirement Executive Vice President of Pioneer or removal. Institutional Asset Management, Inc. (since 2009); and Portfolio Manager of Pioneer (since 1999) ---------------------------------------------------------------------------------------------------------------------------------
* Mr. Taubes is an Interested Trustee because he is an officer of the Fund's investment adviser and certain of its affiliates. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 71 Advisory Trustee
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee --------------------------------------------------------------------------------------------------------------------------------- Lorraine Monchak (60)** Advisory Trustee Chief Investment Officer, 1199 SEIU Funds Trustee of Pioneer Advisory Trustee since 2014. (healthcare workers union pension funds) closed-end investment (2001 - present); Vice President - companies (5 portfolios) International Investments Group, American (Sept. 2015 - present) International Group, Inc. (insurance company) (1993 - 2001); Vice President Corporate Finance and Treasury Group, Citibank, N.A.(1980 - 1986 and 1990 - 1993); Vice President - Asset/Liability Management Group, Federal Farm Funding Corporation (government-sponsored issuer of debt securities) (1988 - 1990); Mortgage Strategies Group, Shearson Lehman Hutton, Inc. (investment bank) (1987 - 1988); and Mortgage Strategies Group, Drexel Burnham Lambert, Ltd. (investment bank) (1986 - 1987) ---------------------------------------------------------------------------------------------------------------------------------
** Ms. Monchak is a non-voting advisory trustee. 72 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 Fund Officers
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Officer --------------------------------------------------------------------------------------------------------------------------------- Lisa M. Jones (54) Since 2014. Chair, Director, CEO and President of Trustee of Pioneer President and Serves at the Pioneer Investment Management-USA (since closed-end investment Chief Executive Officer discretion of the September 2014); Chair, Director, CEO and companies (5 portfolios) Board. President of Pioneer Investment Management, (Sept. 2015 - present) Inc. (since September 2014); Chair, Director, CEO and President of Pioneer Funds Distributor, Inc. (since September 2014); Chair, Director, CEO and President of Pioneer Institutional Asset Management, Inc. (since September 2014); and Chair, Director, and CEO of Pioneer Investment Management Shareholder Services, Inc. (since September 2014); Managing Director, Morgan Stanley Investment Management (2010 - 2013); and Director of Institutional Business, CEO of International, Eaton Vance Management (2005 - 2010) --------------------------------------------------------------------------------------------------------------------------------- Christopher J. Kelley (51) Since 2007. Vice President and Associate General None Secretary and Chief Legal Serves at the Counsel of Pioneer since January 2008; Officer discretion of the Secretary and Chief Legal Officer of all of Board. the Pioneer Funds since June 2010; Assistant Secretary of all of the Pioneer Funds from September 2003 to May 2010; and Vice President and Senior Counsel of Pioneer from July 2002 to December 2007 --------------------------------------------------------------------------------------------------------------------------------- Carol B. Hannigan (55) Since 2010. Serves Fund Governance Director of Pioneer since None Assistant Secretary at the discretion December 2006 and Assistant Secretary of of the Board. all the Pioneer Funds since June 2010; Manager - Fund Governance of Pioneer from December 2003 to November 2006; and Senior Paralegal of Pioneer from January 2000 to November 2003 --------------------------------------------------------------------------------------------------------------------------------- Thomas Reyes (53) Since 2010. Senior Counsel of Pioneer since May 2013 None Assistant Secretary Serves at the and Assistant Secretary of all the Pioneer discretion of the Funds since June 2010; and Counsel of Board. Pioneer from June 2007 to May 2013 --------------------------------------------------------------------------------------------------------------------------------- Mark E. Bradley (56) Since 2008. Vice President - Fund Treasury of Pioneer; None Treasurer and Serves at the Treasurer of all of the Pioneer Funds since Chief Financial and discretion of the March 2008; Deputy Treasurer of Pioneer Accounting Officer Board. from March 2004 to February 2008; and Assistant Treasurer of all of the Pioneer Funds from March 2004 to February 2008 ---------------------------------------------------------------------------------------------------------------------------------
Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 73 Fund Officers (continued)
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Officer --------------------------------------------------------------------------------------------------------------------------------- Luis I. Presutti (51) Since 2007. Director - Fund Treasury of Pioneer; and None Assistant Treasurer Serves at the Assistant Treasurer of all of the Pioneer discretion of the Funds Board. --------------------------------------------------------------------------------------------------------------------------------- Gary Sullivan (58) Since 2007. Fund Accounting Manager - Fund Treasury of None Assistant Treasurer Serves at the Pioneer; and Assistant Treasurer of all of discretion of the the Pioneer Funds Board. --------------------------------------------------------------------------------------------------------------------------------- David F. Johnson (36) Since 2009. Fund Administration Manager - Fund Treasury None Assistant Treasurer Serves at the of Pioneer since November 2008; Assistant discretion of the Treasurer of all of the Pioneer Funds since Board. January 2009; and Client Service Manager - Institutional Investor Services at State Street Bank from March 2003 to March 2007 --------------------------------------------------------------------------------------------------------------------------------- Jean M. Bradley (64) Since 2010. Chief Compliance Officer of Pioneer and of None Chief Compliance Officer Serves at the all the Pioneer Funds since March 2010; discretion of the Chief Compliance Officer of Pioneer Board. Institutional Asset Management, Inc. since January 2012; Chief Compliance Officer of Vanderbilt Capital Advisors, LLC since July 2012: Director of Adviser and Portfolio Compliance at Pioneer since October 2005; and Senior Compliance Officer for Columbia Management Advisers, Inc. from October 2003 to October 2005 --------------------------------------------------------------------------------------------------------------------------------- Kelly O'Donnell (45) Since 2007. Director - Transfer Agency Compliance of None Anti-Money Laundering Serves at the Pioneer and Anti-Money Laundering Officer discretion of Officer of all the Pioneer Funds since 2006 the Board. ---------------------------------------------------------------------------------------------------------------------------------
74 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 This page for your notes. Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 75 This page for your notes. 76 Pioneer Global Multisector Income Fund | Annual Report | 10/31/16 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 22520-08-1216 Pioneer Global High Yield Fund -------------------------------------------------------------------------------- Annual Report | October 31, 2016 -------------------------------------------------------------------------------- Ticker Symbols: Class A PGHYX Class C PGYCX Class Y GHYYX [LOGO] PIONEER Investments(R) visit us: us.pioneerinvestments.com Table of Contents President's Letter 2 Portfolio Management Discussion 4 Portfolio Summary 10 Prices and Distributions 11 Performance Update 12 Comparing Ongoing Fund Expenses 15 Schedule of Investments 17 Financial Statements 45 Notes to Financial Statements 52 Report of Independent Registered Public Accounting Firm 68 Approval of Investment Advisory Agreement 70 Trustees, Officers and Service Providers 75
Pioneer Global High Yield Fund | Annual Report | 10/31/16 1 President's Letter Dear Shareowner, While investors were greeted with a challenging market environment for the first several weeks of the new year, the U.S. market generated modest single-digit returns for both stocks and bonds through September 30th (the Bloomberg Barclays Aggregate Bond Index was up by 5.8% through September 30, 2016, and the Standard & Poor's 500 Index was up by 7.8%). Yet, it is becoming increasingly clear that the investment landscape is undergoing significant change. For the past eight years, global central banks have been the dominant force in the markets by maintaining government bond yields at close to zero in an effort to stimulate economic growth. With little room to lower rates further, however, central banks may be losing their effectiveness. Many economies around the world are experiencing slow growth as they face a variety of challenges, including the shifting geopolitics driving "Brexit" - the United Kingdom's pending exit from the European Union - as well as related movements in Europe, limited productivity gains, aging populations, and transitioning economic models in China and other emerging markets. In the United States, gross domestic product (GDP) grew at a rate of approximately 1.2% in the first half of 2016, but GDP growth registered a strong uptick in the third quarter of the year, driven primarily by U.S. consumers. Investors currently face a difficult environment. Government bond yields, as noted earlier, had been near zero for most of the year and offered minimal opportunity to produce income. However, recent developments such as the Federal Reserve's decision to increase the Federal funds rate before the end of 2016 have driven yields slightly higher. The central bank-driven bull market in riskier assets has pushed up valuations towards historic highs in the equity and investment-grade and high-yield corporate bond markets. Central banks have pledged to move gradually to normalize interest-rate policies as the global economy recovers, but it will take many years for this historic credit cycle to unwind. Politics may also influence markets or investor sentiment given the current global political landscape. Donald Trump's surprising victory in the November U.S. presidential election seems to have sparked a late-year market rally, given the pro-growth proposals he promoted on the campaign trail, but it is unclear just how many of his policy initiatives will be implemented. In addition, continued challenges with Brexit and other geopolitical issues have the potential to increase market volatility going forward. Against this backdrop, investors are likely to face ongoing challenges when it comes to finding opportunities for both income and capital appreciation, and while much has been made of passive investing, we believe all investment decisions are active choices. 2 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Throughout Pioneer's history, we have believed in the importance of active management. During challenging market conditions, 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. 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. December 19, 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 | Annual Report | 10/31/16 3 Portfolio Management Discussion | 10/31/16 High-yield debt rallied over the final eight months of the 12-month period ended October 31, 2016, after producing weak returns for the first four months. In the following interview, Andrew Feltus discusses the market environment and the performance of Pioneer Global High Yield Fund during the 12-month period. Mr. Feltus, Director of High Yield and Bank Loans, a senior vice president and a portfolio manager at Pioneer, co-manages the Fund with Tracy Wright, a senior vice president and portfolio manager at Pioneer. Q How did the Fund perform during the 12-month period ended October 31, 2016? A Pioneer Global High Yield Fund's Class A shares returned 7.14% at net asset value during the 12-month period ended October 31, 2016, while the Fund's benchmarks, the Bloomberg Barclays Global High Yield Index (the Bloomberg Barclays Index) and the Bank of America Merrill Lynch (BofA ML) U.S. High Yield Index, returned 9.83% and 10.16%, respectively. During the same period, the average return of the 660 mutual funds in Lipper's High Yield Funds category was 7.01%, and the average return of the 772 mutual funds in Morningstar's High Yield Bond Funds category was 6.95%. Q How would you describe the investment environment in the global fixed- income markets during the 12-month period ended October 31, 2016? A Two very different investment climates influenced the performance of cyclically sensitive, higher-yielding investments over the 12 months. Early in the period, which began on November 1, 2015, high-yield investments remained mired in a slump caused by the confluence of several factors. First, growth in the domestic economy continued to disappoint investors awaiting signs of a more vigorous economic expansion. At the same time, investors anticipated that the U.S. Federal Reserve ("the Fed") would begin tightening monetary policy (and thus removing some economic stimulus) by raising short-term interest rates at the end of 2015, and then several more times in 2016. Meanwhile, the global economy remained even weaker, as signs of economic slowing in China and falling prices for oil and other natural resources raised worries about a worldwide decline in demand. During the first four months of the period, bonds of energy and metals & mining issuers performed particularly poorly, as did securities in some of the more commodity-sensitive emerging markets. 4 Pioneer Global High Yield Fund | Annual Report | 10/31/16 The slump abruptly ended in early February 2016, however, with the investment climate changing for the better. Global energy and commodity prices bottomed, and then moved higher, helping spearhead a recovery that continued through the end of the period. The bounce-back in commodity prices set off a rally in high-yield, credit-linked securities that received further support when the Fed signaled that it was backing off its earlier, more aggressive stance on interest rates and would likely raise short-term rates only once in 2016. The rally in high-yield took a brief hiatus in the latter part of June when voters in the United Kingdom (U.K.) surprisingly gave the "Leave" side a victory in a referendum on the country's future membership in the European Union ("Brexit"). The fallout from the Brexit vote spurred a two-day sell-off in the markets, but high-yield bonds and other asset classes quickly recovered their losses. Bonds issued by energy and metals & mining firms had been the worst performers within high yield during the market slump of late 2015 and early 2016, with many companies defaulting on their debt. Things turned around dramatically in the subsequent market rally, however, as oil industry debt was the top performer, based on improving prospects in general and the fact that many companies had restructured debt and strengthened their balance sheets. In fact, over the six months ended September 30, 2016, energy-related bonds generated an average total return of 27.63%, dramatically outperforming the BofA ML U.S. High Yield Index, which returned 11.69% over that same six months. Metals & mining-related debt, which had underperformed during the market's decline, also outpaced the high-yield benchmark during that six-month timeframe. Elsewhere within high yield, bonds in the cable/telecommunications services and consumer-related sectors, which had been among the more consistent performers during last winter's market downturn, performed more in-line with the overall high-yield group over the final eight months of the 12-month period. Commodity-sensitive emerging markets debt - both corporate and government (sovereigns) - also staged a big comeback, with corporates outperforming as the cyclical rally persisted through the end of the period. The situation was somewhat different for European high-yield investments, though. While corporate high-yield bonds performed relatively well in local currencies, performance was not strong when adjusted for currency effects. The British pound and the euro declined in relative value over the latter months of the period as the U.S. dollar rallied and markets worried about uncertainties created by the Brexit vote in the U.K. Pioneer Global High Yield Fund | Annual Report | 10/31/16 5 Q What were the main factors in the Fund's benchmark-relative performance during the 12-month period ended October 31, 2016? A While the Fund posted a solid absolute return during the 12-month period, benchmark-relative returns were held back, especially in the first half of the fiscal year, by the portfolio's relatively short duration as market interest rates in the U.S. declined and longer-duration portfolios outperformed. (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.) The Fund's shorter-duration position compared with the benchmark tended to help relative performance later in the period, however, when market interest rates in the U.S. moved higher. At the end of the Fund's fiscal year on October 31, 2016, the average effective duration of the portfolio's investments was 3.85 years. Early in the period, security selection within the Fund's domestic high-yield allocation - particularly energy industry bonds - also acted as a drag on benchmark-relative performance, even though the portfolio's overweighting of domestic high-yield bonds and improved security selection results proved advantageous in the latter months. The Fund also experienced two defaults among its emerging markets corporate bond positions during the early weeks of the period, which further hampered benchmark-relative returns. On the positive side, in addition to the overweighting of domestic high- yield bonds, benchmark-relative performance received a boost from the Fund's underweighted positions in both European high-yield bonds and in the euro. The Fund's exposure to emerging markets debt tended to be a neutral factor for benchmark-relative performance over the full 12-month period. Q What were some of the holdings in the Fund's portfolio that either contributed to or detracted from benchmark-relative performance during the 12-month period ended October 31, 2016? A The Fund experienced successful security selection results in the United States, the emerging markets, and in Europe during the 12-month period, particularly over the latter months. Positive individual performers in the portfolio included securities issued by Terraform Global, a clean-energy utility that spun off from solar equipment company SunEdison, a producer of solar energy equipment that went bankrupt subsequent to the spinoff. In addition, securities of Vedanta, an India-based company involved in both oil drilling and metals mining operations, Sprint Communications, the wireless telecommunications corporation based in the United States, 6 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Denbury Resources, an energy exploration-and-production company, and energy pipeline firm Williams Companies all contributed positively to the Fund's benchmark-relative returns. Detractors from the Fund's benchmark-relative performance included the two defaulted emerging markets corporate bonds we referred to earlier: Rubiales, a Canada-based energy company with operations in Colombia, and Icasa, a Mexican construction firm. Other poor-performing holdings in the portfolio during the period included the debt of Abengoa, a Spain-based construction company, and EP Energy, a U.S.-based exploration-and-production company. Q Did the Fund invest in any derivative securities during the 12-month period ended October 31, 2016? If so, did the investments have a material impact on benchmark-relative results? A The Fund did have some investments in credit default swaps to give it greater exposure to the high-yield sector. The positions had a positive impact on benchmark-relative results. The Fund also invested in currency forward transactions, both to hedge some currency positions and to give the portfolio greater exposure to other currencies. The use of those transactions had a slight positive impact on benchmark-relative performance. Q Were there any changes in the Fund's yield, or distributions to shareholders, during the 12-month period ended October 31, 2016? A The Fund's yield and distributions remained relatively stable over the 12-month period. Investors should be aware, though, that the recent rally in high-yield corporate bonds could eventually result in a loss of current income as older debt securities are either called back by issuers or reach maturity, thus forcing us to reinvest those Fund assets in lower-yielding securities with higher prices. Q What is your investment outlook? A We are encouraged by recent developments in the global economy, where fundamentals have improved. We expect solid growth trends to persist, which should be favorable for high-yield bonds and credit-sensitive debt in general. Elsewhere, conditions in the emerging markets are again improving, and the Chinese government has initiated more pro-growth measures. We think it may be time to become more cautious, however, given that the recent strong performance of high-yield corporates has led to higher valuations. At the same time, the economy has moved into the later stages Pioneer Global High Yield Fund | Annual Report | 10/31/16 7 of the current growth cycle. In addition, we expect that we may see more volatility in the financial markets resulting from uncertainties not only in the United States but also from worries about the potential effects of global geopolitical issues, including upcoming elections and referenda in Europe. While we have kept our principal investment focus for the Fund on traditional domestic, international, and emerging markets high-yield bonds, we have diversified* into other asset classes such as floating-rate bank loans, insurance-linked debt, and convertible securities, the performance of which are less highly correlated to the performance of high-yield bonds. We also have kept the portfolio's overall duration relatively short in order to maintain the Fund's defensive positioning as the likelihood increases that the Fed will tighten monetary policy and further increase the Federal funds rate. * Diversification does not assure a profit nor protect against loss. 8 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Please refer to the Schedule of Investments on pages 17-44 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. Pioneer Global High Yield Fund | Annual Report | 10/31/16 9 Portfolio Summary | 10/31/16 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 45.2% International Corporate Bonds 36.2% Foreign Government Bonds 6.0% Convertible Corporate Bonds 3.5% Senior Secured Loans 3.3% Collateralized Mortgage Obligations 1.3% Temporary Cash Investment 1.0% International Common Stocks 0.9% Municipal Bonds 0.9% Warrants 0.6% U.S. Preferred Stocks 0.3% Convertible Preferred Stocks 0.3% U.S. Common Stocks 0.3% International Preferred Stocks 0.1% Asset Backed Securities 0.1%
* Includes investments in insurance linked securities totaling 4.3% 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 54.9% Luxembourg 6.6% United Kingdom 5.2% Netherlands 3.9% Argentina 3.2% Mexico 3.0% France 2.1% Ireland 2.0% Bermuda 1.9% Canada 1.8% Peru 1.1% Other (individually less than 1%) 14.3%
10 Largest Holdings -------------------------------------------------------------------------------- (As a percentage of total long-term holdings)**
1. Frontier Communications Corp., 8.75%, 4/15/22 1.09% -------------------------------------------------------------------------------- 2. Minerva Luxembourg SA, 7.75%, 1/31/23 (144A) 1.06 -------------------------------------------------------------------------------- 3. Scientific Games International, Inc., 10.0%, 12/1/22 1.04 -------------------------------------------------------------------------------- 4. Darling Global Finance BV, 4.75%, 5/30/22 0.99 -------------------------------------------------------------------------------- 5. Sprint Corp., 7.25%, 9/15/21 0.94 -------------------------------------------------------------------------------- 6. Mexican Udibonos, 2.0%, 6/9/22 0.84 -------------------------------------------------------------------------------- 7. Cemex SAB de CV, 3.72%, 3/15/20 0.82 -------------------------------------------------------------------------------- 8. MTN Mauritius Investments, 5.373%, 2/13/22 (144A) 0.81 -------------------------------------------------------------------------------- 9. Ally Financial, Inc., 5.75%, 11/20/25 0.79 -------------------------------------------------------------------------------- 10. Petrobras Global Finance BV, 5.375%, 1/27/21 0.79 --------------------------------------------------------------------------------
** 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. 10 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Prices and Distributions |10/31/16 Net Asset Value per Share --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- Class 10/31/16 10/31/15 -------------------------------------------------------------------------------- A $8.71 $8.64 -------------------------------------------------------------------------------- C $8.69 $8.62 -------------------------------------------------------------------------------- Y $8.55 $8.49 --------------------------------------------------------------------------------
Distributions per Share: 11/1/15-10/31/16 --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- Short-Term Long-Term Tax Return Class Dividends Capital Gains Capital Gains of Capital -------------------------------------------------------------------------------- A $ 0.4678 $ -- $ -- $ 0.0442 -------------------------------------------------------------------------------- C $ 0.4081 $ -- $ -- $ 0.0442 -------------------------------------------------------------------------------- Y $ 0.4828 $ -- $ -- $ 0.0442 --------------------------------------------------------------------------------
Index Definitions -------------------------------------------------------------------------------- The Bloomberg 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 U.S. 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 12-14. Pioneer Global High Yield Fund | Annual Report | 10/31/16 11 Performance Update | 10/31/16 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) U.S. High Yield Index and the Bloomberg Barclays Global High Yield Index.
Average Annual Total Returns (As of October 31, 2016) -------------------------------------------------------------------------------- Bloomberg Barclays BofA Net Public Global ML U.S. Asset Offering High High Value Price Yield Yield Period (NAV) (POP) Index Index -------------------------------------------------------------------------------- 10 years 4.86% 4.38% 7.66% 7.46% 5 years 4.37 3.42 7.08 7.07 1 year 7.14 2.28 9.83 10.16 -------------------------------------------------------------------------------- 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 High BofA ML U.S. High Bloomberg Barclays Yield Fund Yield Index Global High Yield 10/06 $ 9,550 $ 10,000 $ 10,000 10/07 $ 10,343 $ 10,685 $ 10,808 10/08 $ 7,090 $ 7,851 $ 7,741 10/09 $ 10,179 $ 11,682 $ 12,015 10/10 $ 12,333 $ 13,928 $ 14,353 10/11 $ 12,394 $ 14,603 $ 14,854 10/12 $ 13,867 $ 16,527 $ 16,989 10/13 $ 14,832 $ 17,986 $ 18,595 10/14 $ 15,301 $ 19,038 $ 19,442 10/15 $ 14,327 $ 18,648 $ 19,042 10/16 $ 15,350 $ 20,543 $ 20,914
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. Please refer to the financial highlights for a more current expense ratio. 12 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Performance Update | 10/31/16 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) U.S. High Yield Index and the Bloomberg Barclays Global High Yield Index.
Average Annual Total Returns (As of October 31, 2016) ------------------------------------------------------------------------------- Bloomberg Barclays BofA Global ML U.S. High High If If Yield Yield Period Held Redeemed Index Index ------------------------------------------------------------------------------- 10 years 4.13% 4.13% 7.66% 7.46% 5 years 3.67 3.67 7.08 7.07 1 year 6.40 6.40 9.83 10.16 ------------------------------------------------------------------------------- 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 High BofA ML U..S.High Bloomberg Barclays Yield Fund Yield Index Global High Yield 10/06 $ 10,000 $ 10,000 $ 10,000 10/07 $ 10,748 $ 10,685 $ 10,808 10/08 $ 7,300 $ 7,851 $ 7,741 10/09 $ 10,407 $ 11,682 $ 12,015 10/10 $ 12,533 $ 13,928 $ 14,353 10/11 $ 12,517 $ 14,603 $ 14,854 10/12 $ 13,915 $ 16,527 $ 16,989 10/13 $ 14,782 $ 17,986 $ 18,595 10/14 $ 15,142 $ 19,038 $ 19,442 10/15 $ 14,088 $ 18,648 $ 19,042 10/16 $ 14,990 $ 20,543 $ 20,914
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. Please refer to the financial highlights for a more current expense ratio. Pioneer Global High Yield Fund | Annual Report | 10/31/16 13 Performance Update | 10/31/16 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) U.S. High Yield Index and the Bloomberg Barclays Global High Yield Index.
Average Annual Total Returns (As of October 31, 2016) -------------------------------------------------------------------------------- Bloomberg Barclays BofA Net Global ML U.S. Asset High High Value Yield Yield Period (NAV) Index Index -------------------------------------------------------------------------------- 10 years 5.14% 7.66% 7.46% 5 years 4.67 7.08 7.07 1 year 7.34 9.83 10.16 -------------------------------------------------------------------------------- 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 High BofA ML U..S.High Bloomberg Barclays Yield Fund Yield Index Global High Yield 10/06 $ 5,000,000 $ 5,000,000 $ 5,000,000 10/07 $ 5,406,180 $ 5,342,337 $ 5,403,807 10/08 $ 3,732,180 $ 3,925,705 $ 3,870,595 10/09 $ 5,365,979 $ 5,840,931 $ 6,007,575 10/10 $ 6,511,406 $ 6,963,849 $ 7,176,443 10/11 $ 6,566,449 $ 7,301,316 $ 7,426,814 10/12 $ 7,377,402 $ 8,263,659 $ 8,494,686 10/13 $ 7,914,000 $ 8,993,087 $ 9,297,443 10/14 $ 8,183,170 $ 9,519,210 $ 9,720,762 10/15 $ 7,685,953 $ 9,323,910 $ 9,521,155 10/16 $ 8,250,120 $ 10,271,647 $ 10,457,045
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. Please refer to the financial highlights for a more current expense ratio. 14 Pioneer Global High Yield Fund | Annual Report | 10/31/16 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 May 1, 2016, through October 31, 2016.
----------------------------------------------------------------------------------------------------- Share Class A C Y ----------------------------------------------------------------------------------------------------- Beginning Account $ 1,000.00 $ 1,000.00 $ 1,000.00 Value on 5/1/16 ----------------------------------------------------------------------------------------------------- Ending Account Value (after expenses) $ 1,063.21 $ 1,060.82 $ 1,065.20 on 10/31/16 ----------------------------------------------------------------------------------------------------- Expenses Paid During Period* $ 6.17 $ 9.84 $ 4.67 -----------------------------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.19%, 1.90%, and 0.90% for Class A, Class C and Class Y shares, respectively, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period). Pioneer Global High Yield Fund | Annual Report | 10/31/16 15 Hypothetical Example for Comparison Purposes The table below provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the tables are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) that are charged at the time of the transaction. Therefore, the table below is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. Expenses Paid on a $1,000 Investment in Pioneer Global High Yield Fund Based on a hypothetical 5% return per year before expenses, reflecting the period from May 1, 2016, through October 31, 2016.
----------------------------------------------------------------------------------------------------- Share Class A C Y ----------------------------------------------------------------------------------------------------- Beginning Account $ 1,000.00 $ 1,000.00 $ 1,000.00 Value on 5/1/16 ----------------------------------------------------------------------------------------------------- Ending Account Value (after expenses) $ 1,019.15 $ 1,015.58 $ 1,020.61 on 10/31/16 ----------------------------------------------------------------------------------------------------- Expenses Paid During Period* $ 6.04 $ 9.63 $ 4.57 -----------------------------------------------------------------------------------------------------
* Expenses are equal to the Fund's annualized net expense ratio of 1.19%, 1.90%, and 0.90% for Class A, Class C and Class Y shares, respectively, multiplied by the average account value over the period, multiplied by 184/366 (to reflect the one-half year period). 16 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Schedule of Investments | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- CONVERTIBLE CORPORATE BONDS -- 3.5% ENERGY -- 1.1% Oil & Gas Exploration & Production -- 0.7% 820,000 Chesapeake Energy Corp., 5.5%, 10/5/26 (144A) $ 769,775 3,080,000 Cobalt International Energy, Inc., 2.625%, 12/1/19 1,416,800 2,585,000 Whiting Petroleum Corp., 1.25%, 4/1/20 2,168,169 70,369 Whiting Petroleum Corp., 6.25%, 4/1/23 68,962 --------------- $ 4,423,706 ------------------------------------------------------------------------------------------------------------- Oil & Gas Storage & Transportation -- 0.4% 2,800,000 Golar LNG, Ltd., 3.75%, 3/7/17 $ 2,765,000 --------------- Total Energy $ 7,188,706 ------------------------------------------------------------------------------------------------------------- MATERIALS -- 0.8% Construction Materials -- 0.8% 4,875,000 Cemex SAB de CV, 3.72%, 3/15/20 $ 5,301,562 ------------------------------------------------------------------------------------------------------------- Diversified Metals & Mining -- 0.0%+ 4,075,441 Mirabela Nickel, Ltd., 9.5%, 6/24/19 (144A) (0.0% cash, 9.5% PIK) (PIK) (d) (e) $ 346,412 ------------------------------------------------------------------------------------------------------------- Steel -- 0.0%+ EUR 256,063 New World Resources NV, 4.0%, 10/7/20 (144A) (4.0% cash, 8.0% PIK) (PIK) $ 702 --------------- Total Materials $ 5,648,676 ------------------------------------------------------------------------------------------------------------- CAPITAL GOODS -- 0.1% Electrical Components & Equipment -- 0.1% 1,250,000 General Cable Corp., 4.5%, 11/15/29 (Step) $ 805,469 --------------- Total Capital Goods $ 805,469 ------------------------------------------------------------------------------------------------------------- MEDIA -- 0.3% Cable & Satellite -- 0.3% 1,750,000 DISH Network Corp., 3.375%, 8/15/26 (144A) $ 2,004,844 --------------- Total Media $ 2,004,844 ------------------------------------------------------------------------------------------------------------- PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES -- 0.1% Pharmaceuticals -- 0.1% 400,000 Jazz Investments I, Ltd., 1.875%, 8/15/21 $ 396,500 --------------- Total Pharmaceuticals, Biotechnology & Life Sciences $ 396,500 ------------------------------------------------------------------------------------------------------------- SOFTWARE & SERVICES -- 0.7% Internet Software & Services -- 0.3% 1,765,000 WebMD Health Corp., 1.5%, 12/1/20 $ 2,017,616 390,000 WebMD Health Corp., 2.625%, 6/15/23 (144A) 376,350 --------------- $ 2,393,966 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 17 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Application Software -- 0.4% 1,515,000 Citrix Systems, Inc., 0.5%, 4/15/19 $ 1,699,641 490,000 Mentor Graphics Corp., 4.0%, 4/1/31 714,175 --------------- $ 2,413,816 --------------- Total Software & Services $ 4,807,782 ------------------------------------------------------------------------------------------------------------- TECHNOLOGY HARDWARE & EQUIPMENT -- 0.1% Electronic Components -- 0.1% 831,000 Vishay Intertechnology, Inc., 2.25%, 5/15/41 $ 719,854 --------------- Total Technology Hardware & Equipment $ 719,854 ------------------------------------------------------------------------------------------------------------- SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT -- 0.3% Semiconductors -- 0.3% 2,393,896 LDK Solar Co, Ltd., 5.535%, 12/31/18, (5.535% cash or 5.535% PIK) (PIK) (d) $ 167,573 2,290,000 SunPower Corp., 0.875%, 6/1/21 1,706,050 535,000 Suntech Power Holdings Co., Ltd., 3.0%, 12/31/16 (d) 27 --------------- $ 1,873,650 --------------- Total Semiconductors & Semiconductor Equipment $ 1,873,650 ------------------------------------------------------------------------------------------------------------- TOTAL CONVERTIBLE CORPORATE BONDS (Cost $30,846,441) $ 23,445,481 ------------------------------------------------------------------------------------------------------------- PREFERRED STOCKS -- 0.5% TRANSPORTATION -- 0.1% Air Freight & Logistics -- 0.1% 3,428 CEVA Group Plc* (c) $ 685,634 --------------- Total Transportation $ 685,634 ------------------------------------------------------------------------------------------------------------- DIVERSIFIED FINANCIALS -- 0.4% Consumer Finance -- 0.4% 96,924 6.41 GMAC Capital Trust I, Floating Rate Note, 2/15/40 $ 2,474,470 --------------- Total Diversified Financials $ 2,474,470 ------------------------------------------------------------------------------------------------------------- TOTAL PREFERRED STOCKS (Cost $5,735,375) $ 3,160,104 ------------------------------------------------------------------------------------------------------------- CONVERTIBLE PREFERRED STOCK -- 0.4% BANKS -- 0.4% Diversified Banks -- 0.4% 1,900 Bank of America Corp., 7.25%, 12/31/49 (Perpetual) $ 2,338,900 ------------------------------------------------------------------------------------------------------------- TOTAL CONVERTIBLE PREFERRED STOCK (Cost $2,313,834) $ 2,338,900 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 18 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Shares Value ------------------------------------------------------------------------------------------------------------- COMMON STOCKS -- 1.2% ENERGY -- 0.0%+ Oil & Gas Exploration & Production -- 0.0%+ 4,507,871 Ascent CNR Corp. (Class A) $ 306,535 --------------- Total Energy $ 306,535 ------------------------------------------------------------------------------------------------------------- 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* $ 316,730 --------------- Total Transportation $ 316,730 ------------------------------------------------------------------------------------------------------------- AUTOMOBILES & COMPONENTS -- 0.2% Automobile Manufacturers -- 0.2% 119,615 Ford Motor Co. $ 1,404,280 --------------- Total Automobiles & Components $ 1,404,280 ------------------------------------------------------------------------------------------------------------- CONSUMER DURABLES & APPAREL -- 0.0%+ Homebuilding -- 0.0%+ 1,443,476 Desarrolladora Homex SAB de CV* $ 145,131 --------------- Total Consumer Durables & Apparel $ 145,131 ------------------------------------------------------------------------------------------------------------- CONSUMER SERVICES -- 0.0%+ Education Services -- 0.0%+ 11,492 Cengage Learning Holdings II, Inc. $ 235,586 --------------- Total Consumer Services $ 235,586 ------------------------------------------------------------------------------------------------------------- FOOD, BEVERAGE & TOBACCO -- 0.2% Distillers & Vintners -- 0.2% 87,811 Marie Brizard Wine & Spirits SA* $ 1,491,587 --------------- Total Food, Beverage & Tobacco $ 1,491,587 ------------------------------------------------------------------------------------------------------------- INSURANCE -- 0.7% Life & Health Insurance -- 0.7% 4,613,242 TIG TopCo., Ltd. (e) $ 4,178,831 4,840 TIG TopCo., Ltd. (Class A) (e) 59 132,750 TopCo. Ltd. (e) 120,249 --------------- $ 4,299,139 --------------- Total Insurance $ 4,299,139 ------------------------------------------------------------------------------------------------------------- TOTAL COMMON STOCKS (Cost $12,583,819) $ 8,285,497 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 19 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- ASSET BACKED SECURITIES -- 0.4% TRANSPORTATION -- 0.2% Airlines -- 0.2% 1,197,936 Continental Airlines 1998-1 Class B Pass Through Trust, 6.748%, 3/15/17 $ 1,216,623 --------------- Total Transportation $ 1,216,623 ------------------------------------------------------------------------------------------------------------- BANKS -- 0.2% Thrifts & Mortgage Finance -- 0.2% 608,967 1.51 Countrywide Asset-Backed Certificates, Floating Rate Note, 11/25/34 $ 598,407 450,000 Insite Issuer LLC Series 2016-1A Class C, 7.5%, 11/15/46 (144A) 450,000 180,538 Westgate Resorts 2014-A LLC, 6.25%, 10/20/26 (144A) 180,177 --------------- $ 1,228,584 --------------- Total Banks $ 1,228,584 ------------------------------------------------------------------------------------------------------------- TOTAL ASSET BACKED SECURITIES (Cost $2,163,814) $ 2,445,207 ------------------------------------------------------------------------------------------------------------- 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) $ 923,060 1,480,000 5.76 COBALT CMBS Commercial Mortgage Trust 2007-C3, Floating Rate Note, 5/15/46 1,418,565 455,000 5.76 COBALT CMBS Commercial Mortgage Trust 2007-C3, Floating Rate Note, 5/15/46 385,101 600,000 5.81 COMM 2007-C9 Mortgage Trust, Floating Rate Note, 12/10/49 (144A) 558,203 1,175,000 3.98 EQTY 2014-INNS Mortgage Trust, Floating Rate Note, 5/8/31 (144A) 1,145,628 926,128 5.28 EQTY 2014-MZ Mezzanine Trust, Floating Rate Note, 5/10/19 (144A) 875,130 540,024 Homeowner Assistance Program Reverse Mortgage Loan Trust 2013-RM1, 4.0%, 5/26/53 (144A) 537,324 2,100,000 6.04 JP Morgan Chase Commercial Mortgage Securities Trust 2007-LDP12, Floating Rate Note, 2/15/51 1,944,279 1,429,017 3.08 JP Morgan Mortgage Trust 2005-A1, Floating Rate Note, 2/25/35 1,339,587 --------------- $ 9,126,877 --------------- Total Banks $ 9,126,877 ------------------------------------------------------------------------------------------------------------- TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (Cost $9,254,675) $ 9,126,877 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 20 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- CORPORATE BONDS -- 79.7% ENERGY -- 11.6% Oil & Gas Drilling -- 0.3% 2,306,000 Rowan Companies, Inc., 5.4%, 12/1/42 $ 1,556,550 417,000 Rowan Companies, Inc., 5.85%, 1/15/44 293,985 --------------- $ 1,850,535 ------------------------------------------------------------------------------------------------------------- Oil & Gas Equipment & Services -- 0.2% 400,000 Archrock Partners LP, 6.0%, 10/1/22 $ 377,000 1,062,000 Archrock Partners LP, 6.0%, 4/1/21 1,011,555 --------------- $ 1,388,555 ------------------------------------------------------------------------------------------------------------- Integrated Oil & Gas -- 1.2% 5,165,000 Petrobras Global Finance BV, 5.375%, 1/27/21 $ 5,114,383 1,256,000 Petrobras Global Finance BV, 6.25%, 3/17/24 1,241,556 MXN 8,650,000 Petroleos Mexicanos, 7.19%, 9/12/24 (144A) 418,514 1,435,000 YPF SA, 8.5%, 3/23/21 (144A) 1,578,070 --------------- $ 8,352,523 ------------------------------------------------------------------------------------------------------------- Oil & Gas Exploration & Production -- 5.5% 225,000 California Resources Corp., 8.0%, 12/15/22 (144A) $ 151,875 2,345,000 Carrizo Oil & Gas, Inc., 6.25%, 4/15/23 2,409,488 2,385,000 Continental Resources, Inc., 3.8%, 6/1/24 2,194,200 2,480,000 Denbury Resources, Inc., 5.5%, 5/1/22 1,959,200 4,980,000 EPL Oil & Gas, Inc., 8.25%, 2/15/18 (d) 634,950 880,000 Extraction Oil & Gas Holdings LLC, 7.875%, 7/15/21 (144A) 930,600 2,095,000 GeoPark Latin America, Ltd., Agencia en Chile, 7.5%, 2/11/20 (144A) 1,946,360 1,380,000 Great Western Petroleum LLC, 9.0%, 9/30/21 (144A) 1,435,200 1,950,000 Gulfport Energy Corp., 6.0%, 10/15/24 (144A) 1,986,562 1,634,000 Halcon Resources Corp., 12.0%, 2/15/22 (144A) 1,748,380 3,790,000 Hilcorp Energy I LP, 5.0%, 12/1/24 (144A) 3,695,250 1,000,000 KazMunayGas National Co., JSC, 4.4%, 4/30/23 (144A) 1,010,500 2,300,000 Midstates Petroleum Co., Inc., 9.25%, 6/1/21 (d) 23,000 880,000 Newfield Exploration Co., 5.375%, 1/1/26 904,200 425,000 Newfield Exploration Co., 5.625%, 7/1/24 442,000 1,955,000 Novatek OAO via Novatek Finance DAC, 4.422%, 12/13/22 (144A) 1,930,562 3,240,000 Oasis Petroleum, Inc., 6.875%, 3/15/22 3,207,600 7,570,000 Pacific Exploration and Production Corp., 5.375%, 1/26/19 (144A) (d) 1,514,000 250,000 Parsley Energy LLC, 6.25%, 6/1/24 (144A) 262,500
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 21 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Oil & Gas Exploration & Production (continued) 1,520,000 PDC Energy, Inc., 7.75%, 10/15/22 $ 1,615,000 340,000 QEP Resources, Inc., 5.25%, 5/1/23 334,050 1,250,000 Rice Energy Inc., 6.25%, 5/1/22 1,271,875 975,000 Rice Energy, Inc., 7.25%, 5/1/23 1,033,500 2,000,000 Sanchez Energy Corp., 6.125%, 1/15/23 1,710,000 200,000 SM Energy Co., Series, 6.125%, 11/15/22 201,000 575,000 Whiting Petroleum Corp., 5.0%, 3/15/19 546,250 1,500,000 WPX Energy, Inc., 6.0%, 1/15/22 1,496,250 --------------- $ 36,594,352 ------------------------------------------------------------------------------------------------------------- Oil & Gas Refining & Marketing -- 0.7% 1,790,000 Calumet Specialty Products Partners LP, 6.5%, 4/15/21 $ 1,423,050 448,000 EnLink Midstream Partners LP, 5.05%, 4/1/45 399,309 1,299,000 EnLink Midstream Partners LP, 5.6%, 4/1/44 1,241,818 1,585,263 6.49 EP PetroEcuador via Noble Sovereign Funding I, Ltd., Floating Rate Note, 9/24/19 1,565,447 --------------- $ 4,629,624 ------------------------------------------------------------------------------------------------------------- Oil & Gas Storage & Transportation -- 3.7% 885,000 Energy Transfer Equity LP, 5.875%, 1/15/24 $ 899,492 1,090,000 Genesis Energy LP, 5.75%, 2/15/21 1,087,275 725,000 Genesis Energy LP, 6.75%, 8/1/22 744,938 2,645,000 Global Partners LP, 7.0%, 6/15/23 2,525,975 NOK 13,000,000 6.18 Golar LNG Partners LP, Floating Rate Note, 10/12/17 1,571,852 985,000 Holly Energy Partners LP, 6.0%, 8/1/24 (144A) 1,024,400 1,480,000 MPLX LP, 4.875%, 6/1/25 1,543,862 2,625,000 ONEOK, Inc., 7.5%, 9/1/23 3,005,625 500,000 Sabine Pass Liquefaction LLC, 5.0%, 3/15/27 (144A) 508,750 4,000,000 Sabine Pass Liquefaction LLC, 5.625%, 2/1/21 4,210,000 710,000 Sabine Pass Liquefaction LLC, 5.875%, 6/30/26 (144A) 765,167 2,150,000 Targa Resources Partners LP, 4.25%, 11/15/23 2,021,000 545,000 Targa Resources Partners LP, 5.375%, 2/1/27 (144A) 545,000 1,375,000 The Williams Companies, Inc., 4.55%, 6/24/24 1,399,062 2,635,000 The Williams Companies, Inc., 5.75%, 6/24/44 2,692,641 --------------- $ 24,545,039 ------------------------------------------------------------------------------------------------------------- Coal & Consumable Fuels -- 0.0%+ 315,000 Alpha Natural Resources, Inc., 6.0%, 6/1/19 (d) $ 7,875 --------------- Total Energy $ 77,368,503 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 22 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- MATERIALS -- 6.5% Commodity Chemicals -- 0.5% 1,975,000 Rain CII Carbon LLC, 8.0%, 12/1/18 (144A) $ 1,950,312 1,455,000 Tronox Finance LLC, 7.5%, 3/15/22 (144A) 1,302,225 --------------- $ 3,252,537 ------------------------------------------------------------------------------------------------------------- Diversified Chemicals -- 1.2% EUR 2,015,000 Axalta Coating Systems LLC, 4.25%, 8/15/24 (144A) $ 2,287,530 460,000 Blue Cube Spinco, Inc., Series, 9.75%, 10/15/23 540,500 725,000 CVR Partners LP, 9.25%, 6/15/23 (144A) 710,935 EUR 2,263,000 Ineos Finance Plc, 4.0%, 5/1/23 (144A) 2,529,203 EUR 1,380,000 Inovyn Finance Plc, 6.25%, 5/15/21 (144A) 1,584,070 --------------- $ 7,652,238 ------------------------------------------------------------------------------------------------------------- Construction Materials -- 0.2% EUR 1,200,000 Cemex SAB DE CV, 4.75%, 1/11/22 (144A) $ 1,365,399 ------------------------------------------------------------------------------------------------------------- Metal & Glass Containers -- 1.4% EUR 700,000 ARD Finance SA, 6.625%, 9/15/23 (144A) (PIK) $ 748,646 700,000 ARD Finance SA, 7.125%, 9/15/23 (144A) (PIK) 693,000 475,000 Ardagh Group, 3.876%, 5/15/21 484,500 590,000 Ardagh Packaging Finance Plc, 4.625%, 5/15/23 (144A) 595,900 EUR 410,000 Ardagh Packaging Finance Plc, 6.75%, 5/15/24 (144A) 478,830 423,529 Ardagh Packaging Finance Plc, 7.0%, 11/15/20 (144A) 436,235 630,000 Ardagh Packaging Finance Plc, 7.25%, 5/15/24 (144A) 664,650 EUR 725,000 Horizon Holdings I SAS, 7.25%, 8/1/23 (144A) 838,762 3,350,000 Reynolds Group Issuer, Inc., 9.875%, 8/15/19 3,433,750 EUR 950,000 Verallia Packaging SASU, 5.125%, 8/1/22 (144A) 1,092,817 --------------- $ 9,467,090 ------------------------------------------------------------------------------------------------------------- Paper Packaging -- 0.1% 815,000 AEP Industries, Inc., 8.25%, 4/15/19 $ 837,412 ------------------------------------------------------------------------------------------------------------- Aluminum -- 0.1% 680,000 Constellium NV, 7.875%, 4/1/21 (144A) $ 724,200 ------------------------------------------------------------------------------------------------------------- Diversified Metals & Mining -- 1.6% 810,000 Ausdrill Finance Pty, Ltd., 6.875%, 11/1/19 (144A) $ 820,125 1,150,000 Freeport-McMoRan, Inc., 3.55%, 3/1/22 1,055,125 800,000 FMG Resources August 2006 Pty, Ltd., 9.75%, 3/1/22 (144A) 928,000
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 23 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Diversified Metals & Mining (continued) 2,000,000 MMC Norilsk Nickel OJSC via MMC Finance, Ltd., 5.55%, 10/28/20 (144A) $ 2,118,380 860,000 Prince Mineral Holding Corp., 11.5%, 12/15/19 (144A) 808,400 255,000 Teck Resources, Ltd., 8.0%, 6/1/21 (144A) 278,588 255,000 Teck Resources, Ltd., 8.5%, 6/1/24 (144A) 295,162 560,000 Vale Overseas, Ltd., 6.25%, 8/10/26 600,600 3,645,000 Vedanta Resources Plc, 8.25%, 6/7/21 (144A) 3,731,751 --------------- $ 10,636,131 ------------------------------------------------------------------------------------------------------------- Steel -- 0.8% 715,000 ArcelorMittal, 6.125%, 6/1/25 $ 782,925 2,915,000 BlueScope Steel Finance, Ltd., 6.5%, 5/15/21 (144A) 3,075,616 EUR 135,483 0.00 New World Resources NV, Floating Rate Note, 10/7/20 (e) -- EUR 101,612 0.00 New World Resources NV, Floating Rate Note, 10/7/20 (e) -- 1,960,000 Samarco Mineracao SA, 4.125%, 11/1/22 (144A) 784,000 910,000 Samarco Mineracao SA, 5.75%, 10/24/23 (144A) 364,000 --------------- $ 5,006,541 ------------------------------------------------------------------------------------------------------------- Forest Products -- 0.3% 2,855,000 Eldorado Intl. Finance GmbH, 8.625%, 6/16/21 (144A) $ 2,326,825 ------------------------------------------------------------------------------------------------------------- Paper Products -- 0.3% 2,385,000 Resolute Forest Products, Inc., 5.875%, 5/15/23 $ 2,021,288 --------------- Total Materials $ 43,289,661 ------------------------------------------------------------------------------------------------------------- CAPITAL GOODS -- 2.8% Aerospace & Defense -- 1.1% 1,335,000 DigitalGlobe, Inc., 5.25%, 2/1/21 (144A) $ 1,345,012 2,185,884 DynCorp International, Inc., 11.875%, 11/30/20 (PIK) 1,786,960 EUR 3,615,000 TA MFG., Ltd., 3.625%, 4/15/23 3,902,863 --------------- $ 7,034,835 ------------------------------------------------------------------------------------------------------------- Building Products -- 0.1% 730,000 Griffon Corp., 5.25%, 3/1/22 $ 739,125 ------------------------------------------------------------------------------------------------------------- Construction & Engineering -- 0.0%+ 6,900,000 Abengoa Finance SA, 8.875%, 11/1/17 (144A) (d) $ 310,500 ------------------------------------------------------------------------------------------------------------- Electrical Components & Equipment -- 0.3% 2,500,000 General Cable Corp., 5.75%, 10/1/22 $ 2,362,500 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 24 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Industrial Conglomerates -- 0.5% 2,980,000 JB Poindexter & Co., Inc., 9.0%, 4/1/22 (144A) $ 3,130,490 ------------------------------------------------------------------------------------------------------------- Industrial Machinery -- 0.5% 3,880,000 Apex Tool Group LLC, 7.0%, 2/1/21 (144A) $ 3,540,500 ------------------------------------------------------------------------------------------------------------- Trading Companies & Distributors -- 0.3% 1,690,000 WESCO Distribution, Inc., 5.375%, 12/15/21 $ 1,725,912 --------------- Total Capital Goods $ 18,843,862 ------------------------------------------------------------------------------------------------------------- COMMERCIAL SERVICES & SUPPLIES -- 0.4% Environmental & Facilities Services -- 0.1% 745,000 Clean Harbors, Inc., 5.125%, 6/1/21 $ 762,694 ------------------------------------------------------------------------------------------------------------- Diversified Support Services -- 0.3% 400,000 Broadspectrum, Ltd., 8.375%, 5/15/20 (144A) $ 425,500 1,475,000 NANA Development Corp., 9.5%, 3/15/19 (144A) 1,320,125 --------------- $ 1,745,625 --------------- Total Commercial Services & Supplies $ 2,508,319 ------------------------------------------------------------------------------------------------------------- TRANSPORTATION -- 2.4% Airlines -- 0.5% 1,784,585 Guanay Finance, Ltd., 6.0%, 12/15/20 (144A) $ 1,822,507 1,350,000 TAM Capital 3, Inc., 8.375%, 6/3/21 (144A) 1,379,025 --------------- $ 3,201,532 ------------------------------------------------------------------------------------------------------------- Marine -- 0.6% 2,100,000 Far East Capital, Ltd., SA, 8.0%, 5/2/18 (d) $ 1,128,750 3,650,000 Navios South American Logistics, Inc., 7.25%, 5/1/22 (144A) 2,883,500 --------------- $ 4,012,250 ------------------------------------------------------------------------------------------------------------- Railroads -- 0.8% 3,370,000 Florida East Coast Holdings Corp., 6.75%, 5/1/19 (144A) $ 3,386,850 EUR 1,325,000 Russian Railways via RZD Capital Plc, 3.3744%, 5/20/21 1,506,029 --------------- $ 4,892,879 ------------------------------------------------------------------------------------------------------------- Trucking -- 0.0%+ 5,920,860 Inversiones Alsacia SA, 8.0%, 12/31/18 (144A) (d) $ 236,834 ------------------------------------------------------------------------------------------------------------- Highways & Railtracks -- 0.5% EUR 1,315,000 Hertz Holdings Netherlands, 4.125%, 10/15/21 (144A) $ 1,499,710 MXN 37,000,000 Red de Carreteras de Occidente SAPIB de CV, 9.0%, 6/10/28 (144A) 1,943,554 --------------- $ 3,443,264 --------------- Total Transportation $ 15,786,759 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 25 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- AUTOMOBILES & COMPONENTS -- 1.3% Auto Parts & Equipment -- 0.6% EUR 580,000 IHO Verwaltungs GmbH, 3.25%, 9/15/23 (144A) (PIK) $ 645,646 EUR 1,350,000 IHO Verwaltungs GmbH, 3.75%, 9/15/26 (144A) (PIK) 1,462,025 1,462,000 Nexteer Automotive Group, Ltd., 5.875%, 11/15/21 (144A) 1,546,065 --------------- $ 3,653,736 ------------------------------------------------------------------------------------------------------------- Automobile Manufacturers -- 0.7% 2,035,000 Dana Financing Luxembourg S.a.r.l., 6.5%, 6/1/26 (144A) $ 2,164,731 2,475,000 TI Group Automotive Systems LLC, 8.75%, 7/15/23 (144A) 2,629,688 --------------- $ 4,794,419 --------------- Total Automobiles & Components $ 8,448,155 ------------------------------------------------------------------------------------------------------------- CONSUMER DURABLES & APPAREL -- 1.2% Homebuilding -- 1.2% 460,000 Beazer Homes USA, Inc., 8.75%, 3/15/22 (144A) $ 488,750 1,345,000 KB Home, 7.0%, 12/15/21 1,442,512 2,079,000 Lennar Corp., 4.75%, 11/15/22 2,162,160 2,200,000 Rialto Holdings LLC, 7.0%, 12/1/18 (144A) 2,227,500 1,625,000 Taylor Morrison Communities, Inc., 5.875%, 4/15/23 (144A) 1,714,375 --------------- $ 8,035,297 --------------- Total Consumer Durables & Apparel $ 8,035,297 ------------------------------------------------------------------------------------------------------------- CONSUMER SERVICES -- 3.3% Casinos & Gaming -- 1.5% EUR 2,525,000 Intralot Capital Luxembourg SA, 6.75%, 9/15/21 (144A) $ 2,796,604 85,799 Mashantucket Western Pequot Tribe, 6.5%, 7/1/36 (1.0% cash, 5.50% PIK) (PIK) (d) 429 7,306,000 Scientific Games International, Inc., 10.0%, 12/1/22 6,758,050 625,000 Scientific Games International, Inc., 6.25%, 9/1/20 524,219 --------------- $ 10,079,302 ------------------------------------------------------------------------------------------------------------- Hotels, Resorts & Cruise Lines -- 0.7% 1,540,000 Sabre GLBL, Inc., 5.375%, 4/15/23 (144A) $ 1,580,425 2,860,000 Viking Cruises, Ltd., 8.5%, 10/15/22 (144A) 2,888,600 --------------- $ 4,469,025 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 26 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Restaurants -- 0.4% 1,460,000 KFC Holding Co., 5.0%, 6/1/24 (144A) $ 1,518,400 1,460,000 KFC Holding Co., 5.25%, 6/1/26 (144A) 1,522,050 --------------- $ 3,040,450 ------------------------------------------------------------------------------------------------------------- Specialized Consumer Services -- 0.7% EUR 3,285,000 Boing Group Financing Plc, 6.625%, 7/15/19 (144A) $ 3,476,249 1,140,000 Constellis Holdings LLC, 9.75%, 5/15/20 (144A) 1,157,100 --------------- $ 4,633,349 --------------- Total Consumer Services $ 22,222,126 ------------------------------------------------------------------------------------------------------------- MEDIA -- 2.3% Advertising -- 0.0%+ 450,000 MDC Partners, Inc., 6.5%, 5/1/24 (144A) $ 383,625 ------------------------------------------------------------------------------------------------------------- Broadcasting -- 1.2% 1,615,000 CCO Holdings LLC, 5.75%, 2/15/26 (144A) $ 1,682,628 1,075,000 CSC Holdings LLC, 5.5%, 4/15/27 (144A) 1,090,453 1,650,000 Gray Television, Inc., 5.125%, 10/15/24 (144A) 1,600,500 1,970,000 Gray Television, Inc., 5.875%, 7/15/26 (144A) 1,960,150 EUR 1,240,000 United Group BV, 7.875%, 11/15/20 (144A) 1,417,575 --------------- $ 7,751,306 ------------------------------------------------------------------------------------------------------------- Cable & Satellite -- 0.9% 2,140,000 DISH DBS Corp., 5.875%, 7/15/22 $ 2,209,550 725,000 Intelsat Luxembourg SA, 7.75%, 6/1/21 235,625 765,000 Sirius XM Radio, Inc., 5.375%, 7/15/26 (144A) 776,957 EUR 2,700,000 Ziggo Secured Finance BV, 4.25%, 1/15/27 (144A) 2,946,016 --------------- $ 6,168,148 ------------------------------------------------------------------------------------------------------------- Movies & Entertainment -- 0.2% EUR 1,125,000 WMG Acquisition Corp., 4.125%, 11/1/24 (144A) $ 1,271,672 --------------- Total Media $ 15,574,751 ------------------------------------------------------------------------------------------------------------- RETAILING -- 1.3% Distributors -- 0.2% 1,250,000 LKQ Corp., 4.75%, 5/15/23 $ 1,282,812 ------------------------------------------------------------------------------------------------------------- Internet Retail -- 0.5% 3,525,000 Netflix, Inc., 4.375%, 11/15/26 (144A) $ 3,467,719 ------------------------------------------------------------------------------------------------------------- Department Stores -- 0.4% 2,285,000 PetSmart, Inc., 7.125%, 3/15/23 (144A) $ 2,390,681 ------------------------------------------------------------------------------------------------------------- Automotive Retail -- 0.2% 1,485,000 Cooper Standard Automotive, Inc., 5.625%, 11/15/26 $ 1,492,425 --------------- Total Retailing $ 8,633,637 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 27 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- FOOD & STAPLES RETAILING -- 0.2% Food Retail -- 0.2% 1,535,000 C&S Group Enterprises LLC, 5.375%, 7/15/22 (144A) $ 1,488,950 --------------- Total Food & Staples Retailing $ 1,488,950 ------------------------------------------------------------------------------------------------------------- FOOD, BEVERAGE & TOBACCO -- 8.1% Agricultural Products -- 0.1% 1,625,000 Tonon Luxembourg SA, 10.5%, 5/14/24 (144A) (d) $ 666,250 ------------------------------------------------------------------------------------------------------------- Packaged Foods & Meats -- 7.5% EUR 2,825,000 Agrokor dd, 9.875%, 5/1/19 (144A) $ 3,198,577 GBP 1,170,000 Boparan Finance Plc, 5.5%, 7/15/21 (144A) 1,306,880 4,450,000 CFG Investment SAC, 9.75%, 7/30/19 (144A) (d) 2,536,500 EUR 5,595,000 Darling Global Finance BV, 4.75%, 5/30/22 6,426,912 775,000 FAGE International SA, 5.625%, 8/15/26 (144A) 800,188 3,135,000 JBS USA LUX SA, 5.75%, 6/15/25 (144A) 3,072,300 3,615,000 Marfrig Holdings Europe BV, 6.875%, 6/24/19 (144A) 3,732,488 4,173,000 Marfrig Holdings Europe BV, 8.0%, 6/8/23 (144A) 4,308,622 2,400,000 MHP SA, 8.25%, 4/2/20 (144A) 2,349,552 2,555,000 Minerva Luxembourg SA, 12.25%, 2/10/22 (144A) 2,759,400 2,460,000 Minerva Luxembourg SA, 6.5%, 9/20/26 (144A) 2,409,324 6,530,000 Minerva Luxembourg SA, 7.75%, 1/31/23 (144A) 6,864,662 6,500,000 Pesquera Exalmar SAA, 7.375%, 1/31/20 (144A) 5,102,500 2,630,000 Post Holdings, Inc., 6.0%, 12/15/22 (144A) 2,774,650 1,375,000 Post Holdings, Inc., 6.75%, 12/1/21 (144A) 1,471,250 410,000 Post Holdings, Inc., 7.75%, 3/15/24 (144A) 453,132 --------------- $ 49,566,937 ------------------------------------------------------------------------------------------------------------- Tobacco -- 0.5% 535,000 Alliance One International, Inc.,8.5%, 4/15/21 (144A) $ 535,000 3,415,000 Alliance One International, Inc., 9.875%, 7/15/21 2,851,525 --------------- $ 3,386,525 --------------- Total Food, Beverage & Tobacco $ 53,619,712 ------------------------------------------------------------------------------------------------------------- HEALTH CARE EQUIPMENT & SERVICES -- 2.8% Health Care Supplies -- 0.5% 3,270,000 ConvaTec Healthcare E SA, 10.5%, 12/15/18 (144A) $ 3,306,788 ------------------------------------------------------------------------------------------------------------- Health Care Services -- 0.2% 1,175,000 RegionalCare Hospital Partners Holdings, Inc., 8.25%, 5/1/23 (144A) $ 1,191,156 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 28 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Health Care Facilities -- 1.1% 3,915,000 CHS, 6.875%, 2/1/22 $ 2,985,188 2,400,000 Kindred Healthcare Inc., 6.375%, 4/15/22 2,221,512 1,320,000 Kindred Healthcare, Inc., 8.0%, 1/15/20 1,306,800 820,000 Universal Hospital Services, Inc., 7.625%, 8/15/20 787,200 --------------- $ 7,300,700 ------------------------------------------------------------------------------------------------------------- Managed Health Care -- 1.0% 245,000 Centene Corp., 4.75%, 1/15/25 $ 243,928 1,840,000 Centene Corp., 4.75%, 5/15/22 1,867,600 1,550,000 Centene Corp., 5.625%, 2/15/21 1,625,966 3,130,000 WellCare Health Plans, Inc., 5.75%, 11/15/20 3,223,900 --------------- $ 6,961,394 --------------- Total Health Care Equipment & Services $ 18,760,038 ------------------------------------------------------------------------------------------------------------- PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES -- 1.9% Pharmaceuticals -- 1.9% 225,000 Horizon Pharmaceuticals, Inc., 8.75%, 11/1/24 (144A) $ 228,375 1,405,000 DPx Holdings BV, 7.5%, 2/1/22 (144A) 1,478,762 5,310,000 Endo Finance LLC, 5.375%, 1/15/23 (144A) 4,513,500 EUR 3,475,000 Valeant Pharmaceuticals International, Inc., 4.5%, 5/15/23 2,907,553 4,180,000 Valeant Pharmaceuticals International, Inc., 5.875%, 5/15/23 (144A) 3,291,750 --------------- $ 12,419,940 --------------- Total Pharmaceuticals, Biotechnology & Life Sciences $ 12,419,940 ------------------------------------------------------------------------------------------------------------- BANKS -- 7.9% Diversified Banks -- 6.7% 800,000 Access Bank Plc, 10.5%, 10/19/21 (144A) $ 810,000 2,085,000 9.25 Access Bank Plc, Floating Rate Note, 6/24/21 (144A) 1,902,771 INR 134,290,000 Asian Development Bank, 6.2%, 10/6/26 2,053,237 INR 108,160,000 Asian Development Bank, 6.45%, 8/8/21 1,644,912 1,050,000 8.25 Banco de Galicia y Buenos Aires SA, Floating Rate Note, 7/19/26 (144A) 1,131,375 925,000 9.00 Banco do Brasil SA, Floating Rate Note, 12/31/49 (Perpetual) 856,550 820,000 9.75 Banco Macro SA, Floating Rate Note, 12/18/36 824,100 295,000 3.80 Banco Nacional de Comercio Exterior SNC Cayman Islands, Floating Rate Note, 8/11/26 (144A) 292,050
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 29 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Diversified Banks (continued) 2,000,000 Banco Nacional de Costa Rica, 6.25%, 11/1/23 (144A) $ 2,079,280 825,000 6.25 Bank of America Corp., Floating Rate Note, 9/29/49 864,188 2,680,000 Banque Ouest Africaine de Developpement, 5.5%, 5/6/21 (144A) 2,839,192 1,400,000 BBVA Bancomer SA Texas, 6.75%, 9/30/22 (144A) 1,574,370 3,625,000 7.62 BNP Paribas SA, Floating Rate Note, 12/31/49 (Perpetual) (144A) 3,788,125 498,000 5.95 Citigroup, Inc., Floating Rate Note (Perpetual) 516,675 346,000 5.88 Citigroup, Inc., Floating Rate Note, 12/31/49 (Perpetual) 351,363 356,000 6.25 Citigroup, Inc., Floating Rate Note, 12/31/49 (Perpetual) 383,287 1,900,000 5.90 Citigroup, Inc., Floating Rate Note, 12/31/49 (Perpetual) 1,978,850 2,525,000 8.12 Credit Agricole SA, Floating Rate Note, 12/31/49 (Perpetual) (144A) 2,711,446 660,000 7.88 Credit Agricole SA, Floating Rate Note, 12/31/49 (Perpetual) (144A) 668,765 1,685,000 6.50 ING Groep NV, Floating Rate Note, 12/29/49 1,663,938 INR 42,350,000 Inter-American Development Bank, 6.0%, 9/5/17 631,488 INR 31,450,000 International Bank For Reconstruction & Development, 5.75%, 10/28/19 470,922 4,000,000 7.70 Intesa Sanpaolo S.p.A., Floating Rate Note, 12/29/49 (Perpetual) (144A) 3,655,000 EUR 970,000 6.38 Lloyds Banking Group Plc, Floating Rate Note, 12/31/49 (Perpetual) 1,068,755 550,000 8.62 Royal Bank of Scotland Group Plc, Floating Rate Note, 12/31/49 (Perpetual) 547,250 1,020,000 7.50 Royal Bank of Scotland Group Plc, Floating Rate Note, 12/31/49 (Perpetual) 935,850 1,773,000 8.00 Royal Bank of Scotland Group Plc, Floating Rate Note, 12/31/49 (Perpetual) 1,684,350 750,000 Sberbank of Russia Via SB Capital SA, 5.25%, 5/23/23 (144A) 735,000 700,000 5.50 Sberbank of Russia Via SB Capital SA, Floating Rate Note, 2/26/24 693,000 790,000 7.38 Societe Generale SA, Floating Rate Note, 12/31/49 (Perpetual) (144A) 783,285 1,500,000 Turkiye Is Bankasi A.S., 5.5%, 4/21/22 (144A) 1,495,149 2,490,000 Turkiye Is Bankasi, 5.375%, 10/6/21 (144A) 2,485,667 775,000 VTB Bank OJSC Via VTB Capital SA, 6.95%, 10/17/22 (144A) 809,230 --------------- $ 44,929,420 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 30 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Thrifts & Mortgage Finance -- 1.2% 2,700,000 Alfa Bank AO Via Alfa Bond Issuance Plc, 7.5%, 9/26/19 (144A) $ 2,924,100 1,850,000 Argentine Republic Government International Bond, 7.5%, 4/22/26 (144A) 2,021,125 2,725,000 Vnesheconombank Via VEB Finance Plc, 6.902%, 7/9/20 (144A) 2,936,188 --------------- $ 7,881,413 --------------- Total Banks $ 52,810,833 ------------------------------------------------------------------------------------------------------------- DIVERSIFIED FINANCIALS -- 5.8% Other Diversified Financial Services -- 0.4% IDR 35,810,000,000 European Investment Bank, 7.2%, 7/9/19 (144A) $ 2,760,537 ------------------------------------------------------------------------------------------------------------- Specialized Finance -- 1.4% EUR 145,000 4.75 Arrow Global Finance Plc, Floating Rate Note, 5/1/23 (144A) $ 161,392 3,045,000 Cantor Fitzgerald LP, 7.875%, 10/15/19 (144A) 3,394,316 4,870,000 Nationstar Mortgage LLC, 6.5%, 6/1/22 4,736,075 1,185,000 Nationstar Mortgage LLC, 6.5%, 7/1/21 1,176,112 --------------- $ 9,467,895 ------------------------------------------------------------------------------------------------------------- Consumer Finance -- 2.6% 150,000 Ally Financial, Inc., 4.625%, 5/19/22 $ 153,375 5,003,000 Ally Financial, Inc., 5.75%, 11/20/25 5,121,821 2,650,000 Credito Real SAB de CV SOFOM ER, 7.25%, 7/20/23 (144A) 2,740,630 INR 241,840,000 International Finance Corp., 7.75%, 12/3/16 3,628,531 INR 240,670,000 International Finance Corp., 8.25%, 6/10/21 3,916,143 1,898,713 Tarjeta Naranja SA, 9.0%, 1/28/17 (144A) 1,904,409 --------------- $ 17,464,909 ------------------------------------------------------------------------------------------------------------- Asset Management & Custody Banks -- 0.6% 3,800,000 JBS Investment Management, Ltd., 7.25%, 4/3/24 $ 3,838,000 ------------------------------------------------------------------------------------------------------------- Investment Banking & Brokerage -- 0.8% 1,550,000 5.55 Morgan Stanley, Floating Rate Note, 12/31/49 (Perpetual) $ 1,586,812 3,028,000 UBS AG, 7.625%, 8/17/22 3,508,695 --------------- $ 5,095,507 --------------- Total Diversified Financials $ 38,626,848 ------------------------------------------------------------------------------------------------------------- INSURANCE -- 4.4% Life & Health Insurance -- 0.2% GBP 954,047 TIG FINCO Plc, 8.75%, 4/2/20 $ 1,059,823 GBP 168,361 8.50 TIG FINCO Plc, Floating Rate Note, 3/2/20 (144A) 210,625 --------------- $ 1,270,448 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 31 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Reinsurance -- 4.2% 450,000 5.78 Alamo Re, Ltd., Floating Rate Note, 6/7/18 (Cat Bond) (144A) $ 467,505 1,300,000 Arlington Segregated Account (Artex SAC Ltd.), Variable Rate Notes, 8/31/16 (f)(g) 63,180 800,000 Berwick 2016-1 Segregated Account (Artex SAC Ltd.), Variable Rate Notes, 2/1/18 (f)(g) 836,960 1,000,000 Berwick Segregated Account (Artex SAC Ltd), Variable Rate Note, 1/22/16 (f)(g) 30,000 2,600,000 Carnosutie 2016-N,Segregated Account (Artex SAC Ltd.), Variable Rate Notes, 11/30/20 (f)(g) 2,829,840 3,900,000 Carnoustie Segregated Account (Artex SAC Ltd), Variable Rate Notes, 2/19/16 (f)(g) 79,560 EUR 1,300,000 Dundonald Segregated Account (Artex SAC Ltd), Variable Rate Notes, 1/17/17 (f)(g) 1,380,674 800,000 Eden Re II, Ltd., Variable Rate Notes 4/23/19 (144A) (f)(g) 891,200 1,600,000 Gleneagles Segregated Account (Artex SAC Ltd), Variable Rate Notes, 11/30/20 (f)(g) 1,831,840 3,500,000 Gullane Segregated Account (Artex SAC Ltd.), Variable Rate Note 11/30/20 (f)(g) 3,797,850 350,000 Kingsbarns Segregated Account (Artex SAC Ltd.), Variable Rate Notes, 5/15/17 (f)(g) 336,140 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) 1,145,100 490,000 Madison Re. Variable Rate Notes, 3/31/19 (f)(g) 509,012 3,900,000 Pangaea Re, Series 2015-1, Principal at Risk Notes, 2/1/19 (f)(g) 152,880 1,000,000 Pangaea Re, Series 2016-2, Principal at Risk Notes, 11/30/20 (f)(g) 1,060,300 3,500,000 Pangaea Re., Variable Rate Notes, 2/1/20 (f)(g) 3,892,000 4,070,000 Pangaea Re., Variable Rate Notes, 7/1/18 (f)(g) 73,260 1,300,000 Prestwick Segregated Account (Artex 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) 9,035 1,150,000 Sector Re V, Ltd., Variable Rate Notes, 12/1/20 (144A) (f)(g) 1,282,595 2,600,000 St. Andrews Segregated Account (Artex SAC Ltd), Variable Rate Notes, 1/22/16 (f)(g) 51,220 1,750,000 St. Andrews Segregated Account (Artex SAC Ltd), Variance Rate Notes, 2/1/18 (f)(g) 1,884,575 JPY 98,019,477 Tralee Segregated Account (Artex SAC Ltd), Variable Rate Note 7/15/17 (f)(g) 931,138
The accompanying notes are an integral part of these financial statements. 32 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Reinsurance (continued) 3,000,000 Versutus 2016, Class A-1, Variable Rate Notes, 11/30/20 (f)(g) $ 3,279,000 3,800,000 Versutus Ltd., Series 2015-A, Variable Rate Notes, 12/31/17 (f)(g) 85,880 --------------- $ 28,066,114 --------------- Total Insurance $ 29,336,562 ------------------------------------------------------------------------------------------------------------- REAL ESTATE -- 1.0% Specialized REIT -- 0.4% 2,777,627 AAF Holdings LLC, 12.0%, 7/1/19 (144A) (12.0% cash, 0.0% PIK) (PIK) $ 2,847,068 ------------------------------------------------------------------------------------------------------------- Specialized REIT -- 0.6% 2,620,000 Communications Sales & Leasing, Inc., 6.0%, 4/15/23 (144A) $ 2,718,250 955,000 Equinix, Inc., 5.375%, 4/1/23 996,781 --------------- $ 3,715,031 --------------- Total Real Estate $ 6,562,099 ------------------------------------------------------------------------------------------------------------- SOFTWARE & SERVICES -- 1.9% Internet Software & Services -- 0.4% 1,780,000 Cimpress NV, 7.0%, 4/1/22 (144A) $ 1,842,300 588,000 IAC, 4.875%, 11/30/18 593,880 --------------- $ 2,436,180 ------------------------------------------------------------------------------------------------------------- IT Consulting & Other Services -- 0.4% 735,000 Diamond 1 Finance Corp., 5.875%, 6/15/21 (144A) $ 774,659 1,455,000 Inception/Rackspace, 8.625%, 11/15/24 (144A) 1,455,000 --------------- $ 2,229,659 ------------------------------------------------------------------------------------------------------------- Data Processing & Outsourced Services -- 0.9% 880,000 Alliance Data Systems, Co., 5.875%, 11/1/21 (144A) $ 886,600 3,100,000 Cardtronics, Inc., 5.125%, 8/1/22 3,169,750 1,260,000 First Data Corp., 7.0%, 12/1/23 (144A) 1,319,850 820,000 NeuStar, Inc., 4.5%, 1/15/23 761,575 --------------- $ 6,137,775 ------------------------------------------------------------------------------------------------------------- Application Software -- 0.2% 1,430,000 Open Text Corp., 5.875%, 6/1/26 (144A) $ 1,522,950 --------------- Total Software & Services $ 12,326,564 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 33 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- TECHNOLOGY HARDWARE & EQUIPMENT -- 0.7% Communications Equipment -- 0.3% 560,000 CommScope Technologies Finance LLC, 6.0%, 6/15/25 (144A) $ 588,000 1,475,000 CommScope, Inc., 5.0%, 6/15/21 (144A) 1,508,188 --------------- $ 2,096,188 ------------------------------------------------------------------------------------------------------------- Electronic Components -- 0.4% 1,000,000 Belden, Inc., 5.25%, 7/15/24 (144A) $ 1,007,500 EUR 1,095,000 Belden, Inc., 5.5%, 4/15/23 1,272,824 --------------- $ 2,280,324 --------------- Total Technology Hardware & Equipment $ 4,376,512 ------------------------------------------------------------------------------------------------------------- SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT -- 0.7% Semiconductors -- 0.7% 670,000 Micron Technology, Inc., 5.25%, 8/1/23 (144A) $ 656,600 3,225,000 Micron Technology, Inc., 5.5%, 2/1/25 3,161,500 520,000 Micron Technology, Inc., 5.625%, 1/15/26 (144A) 504,400 --------------- $ 4,322,500 --------------- Total Semiconductors & Semiconductor Equipment $ 4,322,500 ------------------------------------------------------------------------------------------------------------- TELECOMMUNICATION SERVICES -- 6.7% Integrated Telecommunication Services -- 2.4% 2,260,000 CenturyLink, Inc., 5.625%, 4/1/25 $ 2,118,750 7,175,000 Frontier Communications Corp., 8.75%, 4/15/22 7,085,316 500,000 GCI, Inc., 6.75%, 6/1/21 516,250 1,665,000 GCI, Inc., 6.875%, 4/15/25 1,689,975 4,765,000 Windstream Services LLC, 7.75%, 10/15/20 4,848,388 --------------- $ 16,258,679 ------------------------------------------------------------------------------------------------------------- Wireless Telecommunication Services -- 4.3% 2,800,000 Altice Financing SA, 6.5%, 1/15/22 (144A) $ 2,926,700 320,000 Altice Financing SA, 6.625%, 2/15/23 (144A) 329,600 600,000 Altice Finco SA, 8.125%, 1/15/24 (144A) 615,000 3,320,000 Digicel, Ltd., 6.0%, 4/15/21 (144A) 2,970,404 1,500,000 Mobile Telesystems OJSC via MTS International Funding, Ltd., 5.0%, 5/30/23 (144A) 1,550,700 5,225,000 MTN Mauritius Investments, 5.373%, 2/13/22 (144A) 5,262,401 5,965,000 Sprint Corp., 7.25%, 9/15/21 6,106,669 1,155,000 T-Mobile USA, Inc., 6.0%, 4/15/24 1,228,631 2,750,000 Unison Ground Lease Funding LLC, 5.78%, 3/16/43 (144A) 2,700,692 2,720,000 VimpelCom Holdings BV, 7.5043%, 3/1/22 (144A) 3,002,907
The accompanying notes are an integral part of these financial statements. 34 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Wireless Telecommunication Services (continued) RUB 124,400,000 VimpelCom Holdings BV, 9.0%, 2/13/18 (144A) $ 1,936,518 --------------- $ 28,630,222 --------------- Total Telecommunication Services $ 44,888,901 ------------------------------------------------------------------------------------------------------------- UTILITIES -- 4.5% Electric Utilities -- 2.4% 2,125,000 Centrais Eletricas Brasileiras SA, 5.75%, 10/27/21 $ 2,122,344 EUR 1,475,000 ContourGlobal Power Holdings SA, 5.125%, 6/15/21 (144A) 1,693,507 1,325,000 5.25 Electricite de France SA, Floating Rate Note (Perpetual) (144A) 1,311,750 2,395,000 8.13 Enel S.p.A., Floating Rate Note, 9/24/73 (144A) 2,794,965 47,408 FPL Energy National Wind Portfolio LLC, 6.125%, 3/25/19 (144A) 47,408 1,425,000 Talen Energy Supply LLC, 4.625%, 7/15/19 (144A) 1,353,750 4,660,000 Talen Energy Supply LLC, 6.5%, 6/1/25 3,891,100 2,715,000 TerraForm Power, 9.75%, 8/15/22 (144A) 2,823,600 --------------- $ 16,038,424 ------------------------------------------------------------------------------------------------------------- Gas Utilities -- 0.6% 2,133,000 DCP Midstream Operating LP, 5.6%, 4/1/44 $ 1,999,688 1,850,000 Ferrellgas LP, 6.75%, 6/15/23 1,725,125 --------------- $ 3,724,813 ------------------------------------------------------------------------------------------------------------- Multi-Utilities -- 0.5% 3,644,902 Ormat Funding Corp., 8.25%, 12/30/20 $ 3,608,453 ------------------------------------------------------------------------------------------------------------- Independent Power Producers & Energy Traders -- 1.0% 1,195,000 Calpine Corp., 5.25%, 6/1/26 (144A) $ 1,212,925 725,000 Calpine Corp., 5.75%, 1/15/25 705,062 940,000 Instituto Costarricense de Electricidad, 6.95%, 11/10/21 (144A) 1,002,510 1,705,000 NRG Energy, Inc., 6.625%, 1/15/27 (144A) 1,596,835 1,370,000 NRG Energy, Inc., 7.25%, 5/15/26 (144A) 1,347,957 500,000 Star Energy Geothermal Wayang Windu, Ltd., 6.125%, 3/27/20 (144A) 518,750 205,000 TerraForm Power Operating LLC, 5.875%, 2/1/23 (Step) (144A) 205,512 --------------- $ 6,589,551 --------------- Total Utilities $ 29,961,241 ------------------------------------------------------------------------------------------------------------- TOTAL CORPORATE BONDS (Cost $553,506,021) $ 530,211,770 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 35 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- FOREIGN GOVERNMENT BONDS -- 6.2% 1,845,000 Africa Finance Corp., 4.375%, 4/29/20 (144A) $ 1,922,564 BRL 5,975,000 Brazilian Government International Bond, 10.25%, 1/10/28 1,920,800 2,650,000 City of Buenos Aires Argentina, 7.5%, 6/1/27 (144A) 2,855,375 1,210,000 Ecuador Government International Bond, 10.5%, 3/24/20 (144A) 1,276,550 690,000 Gabon Government International Bond, 6.375%, 12/12/24 (144A) 632,578 GHS 9,405,000 Ghana Government Bond, 24.5%, 4/22/19 2,494,791 GHS 4,085,000 Ghana Government Bond, 24.75%, 7/19/21 1,191,305 2,175,000 Kenya Government International Bond, 5.875%, 6/24/19 (144A) 2,249,950 3,130,000 Kenya Government International Bond, 6.875%, 6/24/24 (144A) 3,122,175 900,000 Kingdom of Jordan, 5.75% 1/31/27 (144A) 895,590 MXN 106,818,808 Mexican Udibonos, 2.0%, 6/9/22 5,458,937 MXN 9,452,019 Mexican Udibonos, 3.5%, 12/14/17 511,908 EUR 1,915,000 Mexico Government International Bond, 4.0%, 3/15/15 1,896,290 1,415,000 Namibia International Bonds, 5.25%, 10/29/25 (144A) 1,469,916 1,469,144 Province of Salta Argentina, 9.5%, 3/16/22 (144A) 1,571,984 1,380,000 Provincia de Buenos Aires Argentina, 9.125%, 3/16/24 (144A) 1,528,350 830,000 Provincia de Cordoba, 7.125%, 6/10/21 (144A) 859,050 4,015,000 Provincia del Chubut Argentina, 7.75%, 7/26/26 (144A) 4,055,150 3,125,000 Republic of Argentina Government Bond, 6.625%, 7/6/28 3,214,062 RON 8,220,000 Romania Government Bond, 5.85%, 4/26/23 2,359,608 --------------- $ 41,486,933 ------------------------------------------------------------------------------------------------------------- TOTAL FOREIGN GOVERNMENT BONDS (Cost $43,673,831) $ 41,486,933 ------------------------------------------------------------------------------------------------------------- MUNICIPAL BONDS -- 0.9%(l) Municipal Development -- 0.1% 665,000 0.49 Lower Neches Valley Authority Industrial Development Corp., Floating Rate Note, 11/1/38 $ 665,000 ------------------------------------------------------------------------------------------------------------- Municipal General -- 0.1% 8,875,000 0.00 Non-Profit Preferred Funding Trust I, Floating Rate Note, 9/15/37 (144A) $ 680,091 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 36 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- Higher Municipal Education -- 0.1% 260,000 0.39 Connecticut State Health & Educational Facility Authority, Floating Rate Note, 7/1/36 $ 260,000 365,000 0.40 Massachusetts Health & Educational Facilities Authority, Floating Rate Note, 11/1/49 365,000 --------------- $ 625,000 ------------------------------------------------------------------------------------------------------------- Municipal Medical -- 0.6% 330,000 0.54 Harris County Health Facilities Development Corp., Floating Rate Note, 12/1/41 $ 330,000 3,760,000 0.54 Harris County Health Facilities Development Corp., Floating Rate Note, 12/1/41 3,760,000 150,000 0.51 Massachusetts Health & Educational Facilities Authority, Floating Rate Note, 10/1/49 150,000 --------------- $ 4,240,000 ------------------------------------------------------------------------------------------------------------- TOTAL MUNICIPAL BONDS (Cost $14,390,011) $ 6,210,091 ------------------------------------------------------------------------------------------------------------- SENIOR FLOATING RATE LOAN INTERESTS -- 3.3%** ENERGY -- 0.4% Oil & Gas Exploration & Production -- 0.4% 785,457 15.00 Ascent Resources -- Utica LLC (fka American Energy -- Utica, LLC) Term Loan (Second Lien), 7/1/19 $ 333,819 2,013,697 9.75 EP Energy LLC, Loan, 6/30/21 2,064,039 --------------- $ 2,397,858 ------------------------------------------------------------------------------------------------------------- Coal & Consumable Fuels -- 0.0%+ 1,034,769 8.15 Long Haul Holdings, Ltd., Facility B Loan, 11/17/18 $ 165,563 --------------- Total Energy $ 2,563,421 ------------------------------------------------------------------------------------------------------------- MATERIALS -- 0.4% Diversified Metals & Mining -- 0.1% 197,834 3.75 Fortescue Metals Group Ltd., Bank Loan, 6/30/19 $ 197,927 ------------------------------------------------------------------------------------------------------------- Steel -- 0.3% 1,995,000 6.00 Zekelman Industries, Inc., Term Loan, 6/8/21 $ 2,017,444 --------------- Total Materials $ 2,215,371 ------------------------------------------------------------------------------------------------------------- CAPITAL GOODS -- 0.3% Aerospace & Defense -- 0.3% 2,100,000 4.84 DynCorp International, Inc., Term Loan B2, 7/7/20 $ 2,103,938 --------------- Total Capital Goods $ 2,103,938 ------------------------------------------------------------------------------------------------------------- COMMERCIAL SERVICES & SUPPLIES -- 0.1% Diversified Support Services -- 0.1% 492,076 4.84 IAP Worldwide Services, Inc., Term Loan, 7/18/19 $ 457,630 --------------- Total Commercial Services & Supplies $ 457,630 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 37 Schedule of Investments | 10/31/16 (continued)
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- AUTOMOBILES & COMPONENTS -- 0.0%+ Auto Parts & Equipment -- 0.0%+ 1,782 3.25 Allison Transmission, Inc., Term B-3 Loan, 8/23/19 $ 1,798 --------------- Total Automobiles & Components $ 1,798 ------------------------------------------------------------------------------------------------------------- MEDIA -- 0.6% Advertising -- 0.3% 2,138,165 6.75 Affinion Group, Inc., Tranche B Term Loan, 4/30/18 $ 2,083,819 ------------------------------------------------------------------------------------------------------------- Movies & Entertainment -- 0.3% 1,775,000 8.50 Redbox Automated Retail LLC, Term B Loan (First Lien), 9/28/21 $ 1,731,365 --------------- Total Media $ 3,815,184 ------------------------------------------------------------------------------------------------------------- RETAILING -- 0.2% Automotive Retail -- 0.2% 1,536,201 5.75 CWGS Group LLC, Term Loan, 2/20/20 $ 1,542,922 --------------- Total Retailing $ 1,542,922 ------------------------------------------------------------------------------------------------------------- HOUSEHOLD & PERSONAL PRODUCTS -- 0.1% Personal Products -- 0.1% 800,000 4.25 Revlon Consumer Products Corp., Initial Term B Loan, 7/22/23 $ 802,875 --------------- Total Household & Personal Products $ 802,875 ------------------------------------------------------------------------------------------------------------- HEALTH CARE EQUIPMENT & SERVICES -- 0.7% Health Care Services -- 0.5% 1,004,363 4.25 Alliance HealthCare Services, Inc., Initial Term Loan, 6/3/19 $ 967,536 666,703 6.50 BioScrip, Inc., Initial Term B Loan, 7/31/20 656,980 400,022 6.50 BioScrip, Inc., Term Loan, 7/31/20 394,188 1,316,666 4.50 National Surgical Hospitals, Inc., Term Loan (First Lien), 5/15/22 1,302,249 --------------- $ 3,320,953 ------------------------------------------------------------------------------------------------------------- Health Care Facilities -- 0.1% 730,604 9.75 MMM Holdings, Inc., Term Loan, 10/9/17 (d) $ 692,247 ------------------------------------------------------------------------------------------------------------- Managed Health Care -- 0.1% 531,145 9.75 MSO of Puerto Rico, Inc., MSO Term Loan, 12/12/17 (d) $ 503,260 --------------- Total Health Care Equipment & Services $ 4,516,460 ------------------------------------------------------------------------------------------------------------- PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES -- 0.4% Biotechnology -- 0.4% 2,777,604 7.00 Lantheus Medical Imaging, Inc., Initial Term Loan, 6/25/22 $ 2,733,626 --------------- Total Pharmaceuticals, Biotechnology & Life Sciences $ 2,733,626 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 38 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------------- Principal Floating Amount ($) Rate (b) Value ------------------------------------------------------------------------------------------------------------- UTILITIES -- 0.1% Electric Utilities -- 0.1% 162,500 5.00 TEX Operations Co., LLC, Term C Loan, 7/27/23 $ 163,772 712,500 5.00 TEX Operations Co., LLC, Term Loan, 7/27/23 718,067 --------------- $ 881,839 --------------- Total Utilities $ 881,839 ------------------------------------------------------------------------------------------------------------- TOTAL SENIOR FLOATING RATE LOAN INTERESTS (Cost $22,100,319) $ 21,635,064 ------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------- Shares ------------------------------------------------------------------------------------------------------------- RIGHTS / WARRANTS -- 0.0%+ FOOD, BEVERAGE & TOBACCO -- 0.0%+ Distillers & Vintners -- 0.0%+ 29 Marie Brizard Wine & Spirits SA, 12/23/16 $ -- --------------- Total Food, Beverage & Tobacco $ -- ------------------------------------------------------------------------------------------------------------- INSURANCE -- 0.0%+ Life & Health Insurance -- 0.0%+ 1,390 TIG TopCo., Ltd. (e) $ -- --------------- Total Insurance $ -- ------------------------------------------------------------------------------------------------------------- TOTAL RIGHTS / WARRANTS (Cost $2) $ -- ------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------- Principal Amount ($) ------------------------------------------------------------------------------------------------------------- TEMPORARY CASH INVESTMENTS -- 1.0% Commercial Paper -- 0.8% 1,675,000 BNP Paribas SA, Commercial Paper, 11/1/16 (c) $ 1,674,980 1,675,000 Prudential Funding Corp., Commercial Paper, 11/1/16 (c) 1,674,983 1,675,000 Societe Generale SA, Commercial Paper, 11/1/16 (c) 1,674,986 --------------- $ 5,024,949 ------------------------------------------------------------------------------------------------------------- Certificate of Deposit -- 0.2% 1,695,000 Sumitomo Mitsui Trust, Certificate of Deposit, 1.26%, 4/3/17 $ 1,697,377 ------------------------------------------------------------------------------------------------------------- TOTAL TEMPORARY CASH INVESTMENTS (Cost $6,720,000) $ 6,722,326 -------------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 39 Schedule of Investments | 10/31/16 (continued)
----------------------------------------------------------------------------------------------------------------- Number Strike Expiration of Contracts Description Counterparty Price Date Value ----------------------------------------------------------------------------------------------------------------- CALL OPTIONS PURCHASED -- 0.0%+ MXN 297,012(i) Desarrolladora Homex Bank of New York SAB de CV Mellon Corp $ --(k) 10/23/22 $ -- MXN 297,012(j) Desarrolladora Homex Bank of New York --(k) 10/23/22 -- SAB de CV Mellon Corp -------------- $ -- ----------------------------------------------------------------------------------------------------------------- TOTAL CALL OPTIONS PURCHASED (Premiums paid $--) $ -- ----------------------------------------------------------------------------------------------------------------- TOTAL INVESTMENT IN SECURITIES -- 98.5% (Cost $703,288,142) (a) (h) $ 655,068,250 ----------------------------------------------------------------------------------------------------------------- OTHER ASSETS & LIABILITIES -- 1.5% $ 10,095,255 ----------------------------------------------------------------------------------------------------------------- NET ASSETS -- 100.0% $ 665,163,505 =================================================================================================================
* Non-income producing security. + Amount rounds to less than 0.1%. REIT Real Estate Investment Trust. (Perpetual) Security with no stated maturity date. (PIK) Represents a pay-in-kind security. (Cat Bond) Catastrophe or event linked bond. At October 31, 2016 the value of these securities amounted to $1,367,505 or 0.2% of 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 October 31, 2016, the value of these securities amounted to $319,993,144 or 48.1% of net assets. (a) At October 31, 2016, the net unrealized depreciation on investments based on cost for federal income tax purposes of $705,006,479 was as follows:
Aggregate gross unrealized appreciation for all investments in which there is an excess of value over tax cost $ 26,956,171 Aggregate gross unrealized depreciation for all investments in which there is an excess of tax cost over value (76,894,400) -------------- Net unrealized depreciation $ (49,938,229) ==============
The accompanying notes are an integral part of these financial statements. 40 Pioneer Global High Yield Fund | Annual Report | 10/31/16 (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 October 31, 2016, the value of these securities amounted to $26,698,609 or 4.0% of 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 54.9% Luxembourg 6.6% United Kingdom 5.2% Netherlands 3.9% Argentina 3.2% Mexico 3.0% France 2.1% Ireland 2.0% Bermuda 1.9% Canada 1.8% Peru 1.1% Other (individually less than 1%) 14.3% ------ 100.0% ======
(i) Option does not become effective until underlying company's outstanding common shares reach a market capitalization of MXN 12.5 Billion. (j) Option does not become effective until underlying company's outstanding common shares reach a market capitalization of MXN 15.5 Billion. (k) Strike price is 1 Mexican Peso (MXN). (l) Consists of revenue bonds unless otherwise indicated. NOTE: Principal amounts are denominated in U.S. Dollars unless otherwise noted: BRL Brazilian Real EUR Euro GBP British Pound Sterling GHS Ghanian Cedis IDR Indonesian Rupiah 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. Pioneer Global High Yield Fund | Annual Report | 10/31/16 41 Schedule of Investments | 10/31/16 (continued) Purchases and sales of securities (excluding temporary cash investments) for the year ended October 31, 2016 were as follows:
-------------------------------------------------------------------------------- Purchases Sales -------------------------------------------------------------------------------- Long-Term U.S. Government Securities $ 3,542,583 3,543,075 Other Long-Term Securities $ 294,485,327 556,894,419
The Fund is permitted to engage in purchase and sale transactions ("cross trades") with certain funds and accounts for which Pioneer Investment Management, Inc. serves as the Fund's investment adviser, as set forth in Rule 17a-7 under the Investment Company Act of 1940, pursuant to procedures adopted by the Board of Trustees. Under these procedures, cross trades are effected at current market prices. During the year ended October 31, 2016, the Fund engaged in purchases and sales pursuant to these procedures amounting to $16,880,345 and $84,418,622, respectively, resulting in a net realized loss of $3,125,512. CENTRALLY CLEARED CREDIT DEFAULT SWAP AGREEMENTS -- SELL PROTECTION
---------------------------------------------------------------------------------------------------------------- Premiums Notional Obligation Credit Expiration Paid Unrealized Principal ($)(1) Exchange Entity/Index Coupon Rating(2) Date (Received) Appreciation ---------------------------------------------------------------------------------------------------------------- 4,370,850 Chicago Markit CDX Mercentile North America Exchange High Yield Index 5.00% BBB+ 12/20/20 $ (33,704) $ 272,540 3,310,000 Chicago Markit CDX Mercentile North America Exchange High Yield Index 5.00% BBB+ 6/20/21 142,463 19,840 ---------------------------------------------------------------------------------------------------------------- $ 108,759 $ 292,380 ================================================================================================================
(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. 42 Pioneer Global High Yield Fund | Annual Report | 10/31/16 The following is a summary of the inputs used as of October 31, 2016, in valuing the Fund's investments:
----------------------------------------------------------------------------------------------------- Level 1 Level 2 Level 3 Total ----------------------------------------------------------------------------------------------------- Convertible Corporate Bonds Materials Diversified Metals & Mining $ -- $ -- $ 346,412 $ 346,412 All Other Convertible Corporate Bonds -- 23,099,069 -- 23,099,069 Preferred Stocks Transportation Air Freight & Logistics -- 685,634 -- 685,634 Diversified Financials Consumer Finance 2,474,470 -- -- 2,474,470 Convertible Preferred Stocks 2,338,900 -- -- 2,338,900 Common Stocks Capital Goods Industrial Machinery -- -- 1,560 1,560 Automobiles & Components Automobile Manufacturers 1,404,280 -- -- 1,404,280 Consumer Durables & Apparel Homebuilding 145,131 -- -- 145,131 Food, Beverage & Tobacco Distillers & Vintners 1,491,587 -- -- 1,491,587 Insurance Life & Health Insurance -- -- 4,299,139 4,299,139 All Other Common Stocks -- 943,800 -- 943,800 Asset Backed Securities -- 2,445,207 -- 2,445,207 Collateralized Mortgage Obligations -- 9,126,877 -- 9,126,877 Corporate Bonds Insurance Reinsurance -- 467,505 27,598,609 28,066,114 All Other Corporate Bonds -- 502,145,656 -- 502,145,656 Foreign Government Bonds -- 41,486,933 -- 41,486,933 Municipal Bonds -- 6,210,091 -- 6,210,091 Senior Floating Rate Loan Interests -- 21,635,064 -- 21,635,064 Rights/Warrants -- -- -- -- Commercial Paper -- 5,024,949 -- 5,024,949 Certificate of Deposit -- 1,697,377 -- 1,697,377 Call Option Purchased --* -- -- -- ----------------------------------------------------------------------------------------------------- Total $ 7,854,368 $ 614,968,162 $ 32,245,720 $ 655,068,250 =====================================================================================================
* Securities valued at $0.0. The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 43 Schedule of Investments | 10/31/16 (continued)
----------------------------------------------------------------------------- Level 1 Level 2 Level 3 Total ----------------------------------------------------------------------------- Other Financial Instruments Unrealized appreciation on forward foreign currency contracts $ -- $ 342,571 $ -- $ 342,571 Unrealized depreciation on forward foreign currency contracts -- (38,506) -- (38,506) Unrealized appreciation on centrally cleared swap contracts -- 292,380 -- 292,380 ----------------------------------------------------------------------------- Total Other Financial Instruments $ -- $ 596,445 $ -- $ 596,445 =============================================================================
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) 199,673 -- -- (804,415) (604,742) Change in unrealized appreciation (depreciation)(2) (3,013,976) (1,871,924) (83,750) 3,757,177 (1,212,473) Purchases -- 361,230 -- 24,132,848 24,494,078 Sales (637,733) -- -- (50,971,942) (51,609,675) Transfers in to Level 3* -- 1,857,106 -- -- 1,857,106 Transfers out of Level 3* -- (39,144) -- -- (39,144) Transfers in and out of Level 3 categories* -- -- -- -- -- -------------------------------------------------------------------------------------------------------- Balance as of 10/31/16 $ 4,300,699 $ 346,412 $ -- $ 27,598,609 $ 32,245,720 ========================================================================================================
(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 year ended October 31, 2016, a security valued at $39,144 transferred from level 3 to level 2 as there were observable inputs available to determine its value. In addition, a security valued at $1,857,106 transferred from level 2 to level 3 as there were no longer observable inputs to determine its value.
Net change in unrealized appreciation (depreciation) of investments still held as of 10/31/16 $ (3,941,748) -------------
The accompanying notes are an integral part of these financial statements. 44 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Statement of Assets and Liabilities | 10/31/16
ASSETS: Investment in securities (cost $703,288,142) $ 655,068,250 Cash 3,471,180 Foreign currencies, at value (cost $3,086,519) 3,115,789 Restricted cash* 464,940 Receivables -- Investment securities sold 5,532,319 Fund shares sold 833,363 Dividends 17,942 Interest 9,616,443 Unrealized appreciation on forward foreign currency contracts 342,571 Other assets 133,268 ------------------------------------------------------------------------------------------------------ Total assets $ 678,596,065 ------------------------------------------------------------------------------------------------------ LIABILITIES: Payables -- Investment securities purchased $ 9,838,487 Fund shares repurchased 2,800,188 Distributions 360,623 Trustee fees 3,469 Reserve for repatriation tax 5,126 Variation margin on centrally cleared swap contracts 6,225 Unrealized depreciation on forward foreign currency contracts 38,506 Due to affiliates 77,448 Accrued expenses 302,488 ------------------------------------------------------------------------------------------------------ Total liabilities $ 13,432,560 ------------------------------------------------------------------------------------------------------ NET ASSETS: Paid-in capital $ 1,197,414,195 Distributions in excess of net investment income (2,669,468) Accumulated net realized loss on investments, swap contracts and foreign currency transactions (481,967,950) Net unrealized depreciation on investments (Net of foreign capital gains tax of $5,126) (48,225,018) Unrealized appreciation on swap contracts 292,380 Net unrealized appreciation on forward foreign currency contracts and other assets and liabilities denominated in foreign currencies 319,366 ------------------------------------------------------------------------------------------------------ Net assets $ 665,163,505 ------------------------------------------------------------------------------------------------------ NET ASSET VALUE PER SHARE: No par value (unlimited number of shares authorized) Class A (based on $201,359,572/23,129,263 shares) $ 8.71 Class C (based on $183,542,360/21,128,348 shares) $ 8.69 Class Y (based on $280,261,573/32,778,316 shares) $ 8.55 MAXIMUM OFFERING PRICE: Class A ($8.71 (divided by) 95.5%) $ 9.12 ======================================================================================================
* Represents restricted cash deposited at the counterparty for derivative contracts The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 45 Statement of Operations For the Year Ended 10/31/16
INVESTMENT INCOME: Interest (net of foreign taxes withheld of $107,742) $ 57,796,800 Dividends 802,095 ---------------------------------------------------------------------------------------------------- Total investment income $ 58,598,895 ---------------------------------------------------------------------------------------------------- EXPENSES: Management fees $ 5,160,290 Transfer agent fees Class A 37,473 Class C 8,283 Class Y 4,476 Distribution fees Class A 539,126 Class C 2,001,018 Shareholder communication expense 903,471 Administrative expense 271,324 Custodian fees 60,111 Registration fees 95,405 Professional fees 137,190 Printing expense 56,129 Fees and expenses of nonaffiliated Trustees 32,208 Interest expense 1,763 Miscellaneous 125,887 ---------------------------------------------------------------------------------------------------- Total expenses $ 9,434,154 ---------------------------------------------------------------------------------------------------- Net investment income $ 49,164,741 ---------------------------------------------------------------------------------------------------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, CLASS ACTIONS, SWAP CONTRACTS AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) on: Investments $ (94,412,572) Class actions 229,105 Swap contracts 120,207 Forward foreign currency contracts and other assets and liabilities denominated in foreign currencies 771,468 $ (93,291,792) ---------------------------------------------------------------------------------------------------- Change in net unrealized appreciation (depreciation) on: Investments (Net of foreign capital gain tax of $5,126) $ 77,262,207 Swap contracts 292,380 Forward foreign currency contracts and other assets and liabilities denominated in foreign currencies 366,053 $ 77,920,640 ---------------------------------------------------------------------------------------------------- Net realized and unrealized gain (loss) on investments, class actions swap contracts and foreign currency transactions $ (15,371,152) ---------------------------------------------------------------------------------------------------- Net increase in net assets resulting from operations $ 33,793,589 ====================================================================================================
The accompanying notes are an integral part of these financial statements. 46 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Statements of Changes in Net Assets
------------------------------------------------------------------------------------------------- Year Ended Year Ended 10/31/16 10/31/15 ------------------------------------------------------------------------------------------------- FROM OPERATIONS: Net investment income $ 49,164,741 $ 74,158,414 Net realized gain (loss) on investments, class actions, swap contracts, written options and foreign currency transactions (93,291,792) (99,680,836) Change in net unrealized appreciation (depreciation) on investments, swap contracts, written options and foreign currency transactions 77,920,640 (56,915,601) ------------------------------------------------------------------------------------------------- Net decrease in net assets resulting from operations $ 33,793,589 $ (82,438,023) ------------------------------------------------------------------------------------------------- DISTRIBUTIONS TO SHAREOWNERS: Net investment income: Class A ($0.47 and $0.46 per share, respectively) $ (12,102,966) $ (16,116,373) Class B* ($0.00 and $0.02 per share, respectively) -- (27,063) Class C ($0.41 and $0.40 per share, respectively) (9,849,973) (12,638,032) Class Y ($0.48 and $0.48 per share, respectively) (20,292,853) (30,502,564) Class Z** ($0.00 and $0.39 per share, respectively) -- (230,464) Tax return of capital: Class A ($0.04 and $0.08 per share, respectively) (1,039,895) (2,723,523) Class C ($0.04 and $0.08 per share, respectively) (957,019) (2,484,930) Class Y ($0.04 and $0.08 per share, respectively) (1,462,389) (4,980,188) Class Z** ($0.00 and $0.08 per share, respectively) -- (33,644) ------------------------------------------------------------------------------------------------- Total distributions to shareowners $ (45,705,095) $ (69,736,781) ------------------------------------------------------------------------------------------------- FROM FUND SHARE TRANSACTIONS: Net proceeds from sale or exchange of shares $ 107,183,404 $ 225,138,161 Reinvestment of distributions 40,330,239 60,938,540 Cost of shares repurchased (447,001,020) (591,554,304) ------------------------------------------------------------------------------------------------- Net decrease in net assets resulting from Fund share transactions $ (299,487,377) $ (305,477,603) ------------------------------------------------------------------------------------------------- Net decrease in net assets $ (311,398,883) $ (457,652,407) NET ASSETS: Beginning of year $ 976,562,388 $ 1,434,214,795 ------------------------------------------------------------------------------------------------- End of year $ 665,163,505 $ 976,562,388 ------------------------------------------------------------------------------------------------- Distributions in excess of net investment income $ (2,669,468) $ (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. Pioneer Global High Yield Fund | Annual Report | 10/31/16 47 Statements of Changes in Net Assets (continued)
--------------------------------------------------------------------------------------------- Year Ended Year Ended Year Ended Year Ended 10/31/16 10/31/16 10/31/15 10/31/15 Shares Amount Shares Amount --------------------------------------------------------------------------------------------- Class A Shares sold 1,502,404 $ 12,563,258 5,705,189 $ 53,564,125 Reinvestment of distributions 1,415,368 11,855,334 1,834,846 16,763,907 Less shares repurchased (9,210,188) (76,947,782) (16,272,631) (149,194,095) --------------------------------------------------------------------------------------------- Net decrease (6,292,416) $ (52,529,190) (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 755,257 $ 6,249,038 1,679,200 $ 15,503,386 Reinvestment of distributions 1,047,555 8,752,547 1,313,253 11,966,321 Less shares repurchased (8,203,488) (68,568,704) (11,734,031) (107,116,018) --------------------------------------------------------------------------------------------- Net decrease (6,400,676) $ (53,567,119) (8,741,578) $ (79,646,311) ============================================================================================= Class Y Shares sold 10,732,152 $ 88,371,108 17,127,325 $ 154,449,905 Reinvestment of distributions 2,404,961 19,722,358 3,568,721 32,030,832 Less shares repurchased (37,531,165) (301,484,534) (34,480,930) (310,458,535) --------------------------------------------------------------------------------------------- Net decrease (24,394,052) $(193,391,068) (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. 48 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Financial Highlights
---------------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 10/31/13 10/31/12 10/31/16 10/31/15 10/31/14 (Consolidated) (Consolidated) ---------------------------------------------------------------------------------------------------------------------------------- Class A Net asset value, beginning of period $ 8.64 $ 9.79 $ 10.13 $ 10.13 $ 9.83 ---------------------------------------------------------------------------------------------------------------------------------- Increase (decrease) from investment operations: Net investment income (loss) $ 0.54(a) $ 0.58(a) $ 0.66 $ 0.71 $ 0.76 Net realized and unrealized gain (loss) on investments 0.04(b) (1.19) (0.34) (0.02) 0.35 ---------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from investment operations $ 0.58 $ (0.61) $ 0.32 $ 0.69 $ 1.11 ---------------------------------------------------------------------------------------------------------------------------------- Distribution to shareowners: Net investment income $ (0.47) $ (0.46) $ (0.63) $ (0.69) $ (0.81) Tax return of capital (0.04) (0.08) (0.03) -- -- ---------------------------------------------------------------------------------------------------------------------------------- Total distributions $ (0.51) $ (0.54) $ (0.66) $ (0.69) $ (0.81) ---------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net asset value $ 0.07 $ (1.15) $ (0.34) $ -- $ 0.30 ---------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 8.71 $ 8.64 $ 9.79 $ 10.13 $ 10.13 ================================================================================================================================== Total return* 7.14%(c) (6.36)% 3.16% 6.96% 11.89% Ratio of net expenses to average net assets 1.19% 1.17% 1.13% 1.10% 1.10% Ratio of net investment income (loss) to average net assets 6.50% 6.31% 6.62% 6.97% 7.74% Portfolio turnover rate 40% 32% 32% 33% 33% Net assets, end of period (in thousands) $201,360 $254,056 $373,543 $ 531,829 $602,568 ==================================================================================================================================
* 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. (a) The per share data presented above is based on the average shares outstanding for the period presented. (b) The amount shown for a share outstanding does not correspond with the aggregate loss on investments for the period due to the timing of sales and repurchases of shares in relation to fluctuating market values of the investments of the Fund. (c) If the Fund had not recognized gains in the settlement of class action lawsuits during the year ended October 31, 2016, the total return would have been 7.01%. The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 49 Financial Highlights (continued)
--------------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 10/31/13 10/31/12 10/31/16 10/31/15 10/31/14 (Consolidated) (Consolidated) --------------------------------------------------------------------------------------------------------------------------------- Class C Net asset value, beginning of period $ 8.62 $ 9.76 $ 10.10 $ 10.10 $ 9.80 --------------------------------------------------------------------------------------------------------------------------------- Increase (decrease) from investment operations: Net investment income (loss) $ 0.48(a) $ 0.51(a) $ 0.59 $ 0.63 $ 0.69 Net realized and unrealized gain (loss) on investments 0.04(b) (1.17) (0.34) (0.01) 0.35 --------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from investment operations $ 0.52 $ (0.66) $ 0.25 $ 0.62 $ 1.04 --------------------------------------------------------------------------------------------------------------------------------- Distribution to shareowners: Net investment income $ (0.41) $ (0.40) $ (0.56) $ (0.62) $ (0.74) Tax return of capital (0.04) (0.08) (0.03) -- -- --------------------------------------------------------------------------------------------------------------------------------- Total distributions $ (0.45) $ (0.48) $ (0.59) $ (0.62) $ (0.74) --------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net asset value $ 0.07 $ (1.14) $ (0.34) $ -- $ 0.30 --------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 8.69 $ 8.62 $ 9.76 $ 10.10 $ 10.10 ================================================================================================================================= Total return* 6.40%(c) (6.96)% 2.43% 6.23% 11.17% Ratio of net expenses to average net assets 1.90% 1.87% 1.83% 1.81% 1.78% Ratio of net investment income (loss) to average net assets 5.79% 5.61% 5.91% 6.26% 7.08% Portfolio turnover rate 40% 32% 32% 33% 33% Net assets, end of period (in thousands) $183,542 $237,163 $354,162 $ 420,932 $468,920 =================================================================================================================================
* 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. (a) The per share data presented above is based on the average shares outstanding for the period presented. (b) The amount shown for a share outstanding does not correspond with the aggregate loss on investments for the period due to the timing of sales and repurchases of shares in relation to fluctuating market values of the investments of the Fund. (c) If the Fund had not recognized gains in the settlement of class action lawsuits during the year ended October 31, 2016, the total return would have been 6.28%. The accompanying notes are an integral part of these financial statements. 50 Pioneer Global High Yield Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 10/31/13 10/31/12 10/31/16 10/31/15 10/31/14 (Consolidated) (Consolidated) --------------------------------------------------------------------------------------------------------------------------------- Class Y Net asset value, beginning of period $ 8.49 $ 9.62 $ 9.96 $ 9.96 $ 9.66 --------------------------------------------------------------------------------------------------------------------------------- Increase (decrease) from investment operations: Net investment income (loss) $ 0.57(a) $ 0.60(a) $ 0.67 $ 0.72 $ 0.76 Net realized and unrealized gain (loss) on investments 0.01(b) (1.17) (0.33) (0.01) 0.37 --------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from investment operations $ 0.58 $ (0.57) $ 0.34 $ 0.71 $ 1.13 --------------------------------------------------------------------------------------------------------------------------------- Distribution to shareowners: Net investment income $ (0.48) $ (0.48) $ (0.65) $ (0.71) $ (0.83) Tax return of capital (0.04) (0.08) (0.03) -- -- --------------------------------------------------------------------------------------------------------------------------------- Total distributions $ (0.52) $ (0.56) $ (0.68) $ (0.71) $ (0.83) --------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net asset value $ 0.06 $ (1.13) $ (0.34) $ -- $ 0.30 --------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 8.55 $ 8.49 $ 9.62 $ 9.96 $ 9.96 ================================================================================================================================= Total return* 7.34% (6.08)% 3.40% 7.27% 12.35% Ratio of net expenses to average net assets 0.90% 0.87% 0.84% 0.82% 0.80% Ratio of net investment income (loss) to average net assets 6.93% 6.60% 6.88% 7.24% 8.03% Portfolio turnover rate 40% 32% 32% 33% 33% Net assets, end of period (in thousands) $280,262 $485,344 $682,911 $ 780,656 $945,946 =================================================================================================================================
* Assumes initial investment at net asset value at the beginning of each period, reinvestment of all distributions and the complete redemption of the investment at net asset value at the end of each period. (a) The per share data presented above is based on the average shares outstanding for the period presented. (b) The amount shown for a share outstanding does not correspond with the aggregate loss on investments for the period due to the timing of sales and repurchases of shares in relation to fluctuating market values of the investments of the Fund. The accompanying notes are an integral part of these financial statements. Pioneer Global High Yield Fund | Annual Report | 10/31/16 51 Notes to Financial Statements | 10/31/16 1. Organization and Significant Accounting Policies Pioneer Global High Yield Fund (the Fund) is one of two 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 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 (U.S. GAAP) that require the management of the Fund to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of income, expenses and gain or loss on investments during the reporting period. Actual results could differ from those estimates. The Fund is an investment company and follows investment company accounting and reporting guidance under U.S. GAAP. The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements: 52 Pioneer Global High Yield Fund | Annual Report | 10/31/16 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. Non-U.S. debt securities that are listed on an exchange will be valued at the bid price obtained from an independent third party pricing service. When independent market quotations are considered to be unreliable, the value of that security may be determined using quotations from one or more broker-dealers. 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. The value of foreign securities is translated into U.S. dollars based on foreign currency exchange rate quotations supplied by a third party pricing source. Trading in non-U.S. equity securities is substantially completed each day at various times prior to the close of the NYSE. The values of such securities used in computing the net asset value of the Fund's shares are determined as of such times. The Fund may use a fair value model developed by an independent pricing service to value non-U.S. equity securities. Pioneer Global High Yield Fund | Annual Report | 10/31/16 53 Equity securities that have traded on an exchange are valued by using the last sale price on the principal exchange where they are traded. Equity securities that have not traded on the date of valuation, or securities for which sale prices are not available, generally are valued using the mean between the last bid and asked prices or, if both last bid and asked prices are not available, at the last quoted bid price. Last sale and bid and asked prices are provided by independent third party pricing services. In the case of equity securities not traded on an exchange, prices are typically determined by independent third party pricing services using a variety of techniques and methods. 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 Dealers 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 and the forward points on a daily basis, 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 or broker dealers are unable to supply prices or for which market prices and/or quotations are not readily available or are considered to be unreliable are valued by a fair valuation team comprised of certain personnel of Pioneer Investment Management, Inc. (PIM), the Fund's investment adviser and a wholly owned indirect subsidiary of UniCredit S.p.A. (UniCredit), 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. 54 Pioneer Global High Yield Fund | Annual Report | 10/31/16 At October 31, 2016, eight 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 0.7% of net assets. 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 Pioneer Global High Yield Fund | Annual Report | 10/31/16 55 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 6). 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, 2016, 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. GAAP. 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. At October 31, 2016, the Fund reclassified $4,530,714 to increase distributions in excess of net investment income, $9,249,181 to decrease accumulated net realized loss on investments, swap contracts and foreign currency transactions and $4,718,467 to decrease paid-in capital to reflect permanent book/tax differences. These adjustments have no impact on net assets or the results of operations. At October 31, 2016, the Fund was permitted to carry forward indefinitely $25,403,601 of short-term losses and $225,432,872 of long-term losses under the Regulated Investment Company Modernization Act of 2010 without limitation. Additionally, at October 31, 2016, the Fund had a net capital loss carryforward of $231,129,895 of which the following amounts will expire between 2017 and 2018 if not utilized: $204,858,985 in 2017 and $26,270,910 in 2018. 56 Pioneer Global High Yield Fund | Annual Report | 10/31/16 The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015, were as follows:
--------------------------------------------------------------------- 2016 2015 --------------------------------------------------------------------- Distributions paid from: Ordinary income $42,245,792 $59,514,496 Tax return of capital 3,459,303 10,222,285 --------------------------------------------------------------------- Total $45,705,095 $69,736,781 =====================================================================
The following shows the components of distributable earnings on a federal income tax basis at October 31, 2016:
--------------------------------------------------------------------- 2016 --------------------------------------------------------------------- Distributable earnings: Capital loss carryforward $(481,966,368) Current year dividend payable (360,623) Net unrealized depreciation (49,923,699) --------------------------------------------------------------------- Total $(532,250,690) =====================================================================
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 and swaps, adjustments relating to catastrophe bonds, swaps, partnerships, interest on defaulted bonds, 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, earned $22,408 in underwriting commissions on the sale of Class A shares during the year ended October 31, 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). Pioneer Global High Yield Fund | Annual Report | 10/31/16 57 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. 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 58 Pioneer Global High Yield Fund | Annual Report | 10/31/16 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 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. Pioneer Global High Yield Fund | Annual Report | 10/31/16 59 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. 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 60 Pioneer Global High Yield Fund | Annual Report | 10/31/16 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 October 31, 2016 was $465,000 and is recorded within "Restricted Cash" on the Statement of Assets and Liabilities. Open credit default swap contracts at October 31, 2016, are listed in the Schedule of Investments. The average value of swap contracts open during the year ended October 31, 2016 was $134,130. 2. Management Agreement PIM 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 year ended October 31, 2016, the effective management fee (excluding waivers and/or assumption of expenses) was equivalent to 0.68% 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 $51,814 in management fees, administrative costs and certain other reimbursements payable to PIM at October 31, 2016. 3. Transfer Agent Boston Financial Data Services serves as the transfer agent to the Fund at negotiated rates. Transfer agent fees and payables shown on the Statement of Operations and the Statement of Assets and Liabilities, respectively, include sub-transfer agent expenses incurred through the Fund's omnibus relationship contracts. Pioneer Global High Yield Fund | Annual Report | 10/31/16 61 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 year ended October 31, 2016, such out-of-pocket expenses by class of shares were as follows:
-------------------------------------------------------------------------- Shareholder Communications: -------------------------------------------------------------------------- Class A $296,000 Class C 212,301 Class Y 395,170 -------------------------------------------------------------------------- Total $903,471 ==========================================================================
4. Distribution Plan The Fund has adopted a distribution plan (the Plan) pursuant to Rule 12b-1 of the Investment Company Act of 1940 with respect to its Class A and Class C shares. Pursuant to the Plan, the Fund pays 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 $25,634 in distribution fees payable to PFD at October 31, 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 year ended October 31, 2016, CDSCs in the amount of $5,353 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 9, 2016, was in the amount of $240 million. As of February 10, 2016, the facility is in the amount of $220 million. Under such 62 Pioneer Global High Yield Fund | Annual Report | 10/31/16 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 year ended October 31, 2016, the average daily amount of borrowings outstanding during the period was $2,666,667. The related weighted average annualized interest rate for the period was 1.23%, and the total interest expense on such borrowings was $1,763, which is included in interest expense, located on the Statement of Operations. As of October 31, 2016, there were no borrowings outstanding. 6. Forward Foreign Currency Contracts During the year ended October 31, 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 year ended October 31, 2016 was $(13,786,089). Open forward foreign currency contracts at October 31, 2016 were as follows:
----------------------------------------------------------------------------------------------------------- Currency Currency In Exchange Settlement Unrealized Sold Deliver Purchased for Counterparty Date Appreciation ----------------------------------------------------------------------------------------------------------- JPY (99,185,105) USD 975,051 Goldman Sachs 12/8/16 $ 28,271 International EUR (2,783,127) USD 3,135,173 Citibank NA 11/30/16 79,780 New York NY GBP (4,645,000) USD 5,923,834 Brown Brothers 12/29/16 229,568 Harriman & Co. USD (5,029,292) IDR 66,462,093,912 Goldman Sachs 1/17/17 4,952 International ----------------------------------------------------------------------------------------------------------- Total $ 342,571 ===========================================================================================================
----------------------------------------------------------------------------------------------------------- Currency Currency In Exchange Settlement Unrealized Sold Deliver Purchased for Counterparty Date Depreciation ----------------------------------------------------------------------------------------------------------- EUR (988,803) USD 1,084,522 State Street Bank 1/4/17 $ (3,151) & Trust Co. EUR (4,338,482) USD 4,735,453 Brown Brothers 12/29/16 (35,355) Harriman & Co. ----------------------------------------------------------------------------------------------------------- Total $ (38,506) ===========================================================================================================
GBP British Pounds EUR Euro IDR Indonesian Rupiah JPY Japanese Yen Pioneer Global High Yield Fund | Annual Report | 10/31/16 63 7. 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 Over the Counter (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 each specific ISDA of each 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 not been offset on the Statement of Assets and Liabilities. The following charts show gross assets and liabilities of the Fund as of October, 31 2016. 64 Pioneer Global High Yield Fund | Annual Report | 10/31/16
------------------------------------------------------------------------------------------------------ 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) ------------------------------------------------------------------------------------------------------ State Street $ -- $ -- $ -- $ -- $ -- Bank & Trust Co. Goldman 33,223 -- -- -- 33,223 Sachs International Citibank NA 79,780 -- -- -- 79,780 New York NY Brown Brothers 229,568 (35,355) -- -- 194,213 Harriman & Co. ------------------------------------------------------------------------------------------------------ Total $ 342,571 $ (35,355) $ -- $ -- $ 307,216 ======================================================================================================
------------------------------------------------------------------------------------------------------ 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) ------------------------------------------------------------------------------------------------------ State Street $ 3,151 $ -- $ $ $ 3,151 Bank & Trust Co. Goldman -- -- -- -- -- Sachs International Citibank NA -- -- -- -- -- New York NY Brown Brothers Harriman & Co. 35,355 (35,355) -- -- -- ------------------------------------------------------------------------------------------------------ Total $ 38,506 $ (35,355) $ -- $ -- $ 3,151 ======================================================================================================
(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. 8. 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. Pioneer Global High Yield Fund | Annual Report | 10/31/16 65 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. The fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) by risk exposure at October 31, 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 $ -- $ -- $ 342,571 $ -- $ -- Unrealized appreciation of centrally cleared swap contracts -- 292,380 -- -- -- ------------------------------------------------------------------------------------- Total Value $ -- $ 292,380 $ 342,571 $ -- $ -- ===================================================================================== Liabilities Unrealized depreciation of forward foreign currency contracts $ -- $ -- $ 38,506 $ -- $ -- ------------------------------------------------------------------------------------- Total Value $ -- $ -- $ 38,506 $ -- $ -- =====================================================================================
The effect of derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) on the Statement of Operations by risk exposure at October 31, 2016 was as follows: 66 Pioneer Global High Yield Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------- Foreign Statement Interest Credit Exchange Equity Commodity of Operations Rate Risk Risk Rate Risk Risk Risk --------------------------------------------------------------------------------------------- Net realized gain (loss) on Swap contracts $ -- $ 120,207 $ -- $ -- $ -- Forward foreign currency contracts* -- -- 1,372,142 -- -- -------------------------------------------------------------------------------------------- Total Value $ -- $ 120,207 $ 1,372,142 $ -- $ -- ============================================================================================ Change in net unrealized appreciation (depreciation) on Swap contracts $ -- $ 292,380 $ -- $ -- $ -- Forward foreign currency contracts* -- -- 47,401 -- -- ------------------------------------------------------------------------------------------- Total Value $ -- $ 292,380 $ 47,401 $ -- $ -- ============================================================================================
* Included in the amount shown on the Statement of Operations as foward foreign currency contracts and other assets and liabilities denominated in foreign currencies. Pioneer Global High Yield Fund | Annual Report | 10/31/16 67 Report of Independent Registered Public Accounting Firm To the Board of Trustees of Pioneer Series Trust VII and the Shareowners of Pioneer Global High Yield Fund: -------------------------------------------------------------------------------- We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Pioneer Global High Yield Fund (the "Fund") (one of the funds constituting Pioneer Series Trust VII), as of October 31, 2016 and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended. These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for the years ended October 31, 2013, and 2012 were audited by other auditors. Those auditors expressed an unqualified opinion on those financial statements and financial highlights in their report dated December 23, 2013. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of October 31, 2016, by correspondence with the custodian, brokers and agent banks; where replies were not received from brokers or agent banks, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of Pioneer Global High Yield Fund as of October 31, 2016, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. /s/ Deloitte & Touche LLP Boston, Massachusetts December 23, 2016 68 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Additional Information (unaudited) The percentages of the Fund's ordinary income distributions that are exempt from nonresident alien (NRA) tax withholding resulting from qualified interest income was 61.63%. Pioneer Investment Management, Inc. (the "Adviser"), the Fund's investment adviser, is currently an indirect, wholly owned subsidiary of UniCredit S.p.A. ("UniCredit"). On December 12, 2016, UniCredit announced that it has entered into a binding agreement for the sale of its Pioneer Investments business, which includes the Adviser, to Amundi (the "Transaction"). Amundi is headquartered in Paris, France, and, as of September 30, 2016, had more than $1.1 trillion in assets under management worldwide. The closing of the Transaction is expected to happen in 2017, subject to certain regulatory and antitrust approvals, and other conditions. Under the Investment Company Act of 1940, the closing of the Transaction will cause the Fund's current investment advisory agreement with the Adviser to terminate. Accordingly, the Fund's Board of Trustees will be asked to approve a new investment advisory agreement for the Fund. 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 | Annual Report | 10/31/16 69 Approval of Investment Advisory Agreement Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to Pioneer Global High Yield Fund (the Fund) pursuant to an investment advisory agreement between PIM and the Fund. In order for PIM to remain the investment adviser of the Fund, the Trustees of the Fund must determine annually whether to renew the investment advisory agreement for the Fund. The contract review process began in January 2016 as the Trustees of the Fund agreed on, among other things, an overall approach and timeline for the process. Contract review materials were provided to the Trustees in March 2016 and May 2016. In addition, the Trustees reviewed and discussed the Fund's performance at regularly scheduled meetings throughout the year and took into account other information related to the Fund provided to the Trustees at regularly scheduled meetings in connection with the review of the Fund's investment advisory agreement. In March 2016, the Trustees, among other things, discussed the memorandum provided by Fund counsel that summarized the legal standards and other considerations that are relevant to the Trustees in their deliberations regarding the renewal of the investment advisory agreement, and reviewed and discussed the qualifications of the investment management teams, as well as the level of investment by the Fund's portfolio managers in the Fund. In May 2016, the Trustees, among other things, reviewed the Fund's management fee and total expense ratios, the financial statements of PIM and its parent companies, the profitability analyses provided by PIM, and possible economies of scale. The Trustees also reviewed the profitability of the institutional business of PIM and PIM's affiliate, Pioneer Institutional Asset Management, Inc. (together with PIM, "Pioneer"), as compared to that of PIM's fund management business, and considered the differences between the fees and expenses of the Fund and the fees and expenses of Pioneer's institutional accounts, as well as the different services provided by PIM to the Fund and by Pioneer to the institutional accounts. The Trustees further considered contract review materials in July and September 2016. At a meeting held on September 13, 2016, based on their evaluation of the information provided by PIM and third parties, the Trustees of the Fund, including the Independent Trustees voting separately, unanimously approved the renewal of the investment advisory agreement for another year. In approving the renewal of the investment advisory agreement, the Trustees considered various factors that they determined were relevant, including the factors described below. The Trustees did not identify any single factor as the controlling factor in determining to approve the renewal of the agreement. 70 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Nature, Extent and Quality of Services The Trustees considered the nature, extent and quality of the services that had been provided by PIM to the Fund, taking into account the investment objective and strategy of the Fund. The Trustees also reviewed PIM's investment approach for the Fund and its research process. The Trustees considered the resources of PIM and the personnel of PIM who provide investment management services to the Fund. They also reviewed the amount of non-Fund assets managed by the portfolio managers of the Fund. The Trustees considered the non-investment resources and personnel of PIM involved in PIM's services to the Fund, including PIM's compliance and legal resources and personnel. The Trustees noted the substantial attention and high priority given by PIM's senior management to the Pioneer fund complex. The Trustees considered that PIM supervises and monitors the performance of the Fund's service providers and provides the Fund with personnel (including Fund officers) and other resources that are necessary for the Fund's business management and operations. The Trustees also considered that, as administrator, PIM is responsible for the administration of the Fund's business and other affairs. The Trustees considered the fees paid to PIM for the provision of administration services. Based on these considerations, the Trustees concluded that the nature, extent and quality of services that had been provided by PIM to the Fund were satisfactory and consistent with the terms of the investment advisory agreement. Performance of the Fund In considering the Fund's performance, the Trustees regularly review and discuss throughout the year data prepared by PIM and information comparing the Fund's performance with the performance of its peer group of funds as classified by each of Morningstar, Inc. (Morningstar) and Lipper, and with the performance of the Fund's benchmark index. They discussed the Fund's performance with PIM on a more frequent basis in light of the Fund's unfavorable performance compared to its benchmark index and peers over certain periods. The Trustees noted PIM's explanation for the Fund's relative performance, including the extent to which its peer group of funds are invested in U.S. high yield securities. The Trustees also noted the steps taken by PIM to address the Fund's performance, including enhancing the investment process used for the Fund. The Trustees' reviews and discussions, including the steps taken by PIM to address the Fund's performance, were factored into the Trustees' deliberations concerning the renewal of the advisory agreement. Pioneer Global High Yield Fund | Annual Report | 10/31/16 71 Management Fee and Expenses The Trustees considered information showing the fees and expenses of the Fund in comparison to the management fees and expense ratios of its peer group of funds as classified by Morningstar and also to the expense ratios of a peer group of funds selected on the basis of criteria determined by the Independent Trustees for this purpose using data provided by Strategic Insight Mutual Fund Research and Consulting, LLC (Strategic Insight), an independent third party. In all quintile rankings referred to below, first quintile is most favorable to the Fund's shareowners. The Trustees considered that the Fund's management fee for the most recent fiscal year was in the fourth quintile relative to the management fees paid by other funds in its Morningstar peer group for the comparable period. The Trustees considered that the Fund's management fee was approximately four basis points higher than the median management fee paid by other funds in its Morningstar peer group, and less than two basis points higher than the management fee at the bottom of the third quintile. The Trustees also considered the breakpoints in the management fee schedule and the reduced fee rates above certain asset levels. The Trustees considered that the expense ratio of the Fund's Class A shares for the most recent fiscal year was in the fifth quintile relative to its Morningstar peer group and in the fifth quintile relative its Strategic Insight peer group, in each case for the comparable period. The Trustees considered that the expense ratio of the Fund's Class Y shares for the most recent fiscal year was in the fifth quintile relative to its Morningstar peer group and in the fifth quintile relative its Strategic Insight peer group, in each case for the comparable period. The Trustees considered the impact of transfer agency, sub-transfer agency and other non-management fee expenses on the expense ratios of the Fund, and noted the impact of expenses relating to small accounts and omnibus accounts on transfer and sub-transfer agency expenses generally. The Trustees noted that they separately review the Fund's transfer agency, sub-transfer agency and intermediary arrangements and that the results of the most recent such review were considered in the consideration of the Fund's expense ratio. The Trustees reviewed management fees charged by Pioneer to institutional and other clients, including publicly offered European funds sponsored by affiliates of Pioneer, unaffiliated U.S. registered investment companies (in a sub-advisory capacity), and unaffiliated foreign and domestic separate accounts. The Trustees also considered PIM's costs in providing services to the Fund and Pioneer's costs in providing services to the other clients and considered the differences in management fees and profit margins for Fund and non-Fund services. In evaluating the fees associated with Pioneer's client accounts, the Trustees took into account the respective demands, resources and complexity associated with the Fund and client accounts. The Trustees 72 Pioneer Global High Yield Fund | Annual Report | 10/31/16 noted that, in some instances, the fee rates for those clients were lower than the management fee for the Fund and considered that, under the investment advisory agreement with the Fund, PIM performs additional services for the Fund that it does not provide to those other clients or services that are broader in scope, including oversight of the Fund's other service providers and activities related to compliance and the extensive regulatory and tax regimes to which the Fund is subject. The Trustees also considered the different entrepreneurial risks associated with PIM's management of the Fund and Pioneer's management of the other client accounts. The Trustees concluded that the management fee payable by the Fund to PIM was reasonable in relation to the nature and quality of the services provided by PIM to the Fund. Profitability The Trustees considered information provided by PIM regarding the profitability of PIM with respect to the advisory services provided by PIM to the Fund, including the methodology used by PIM in allocating certain of its costs to the management of the Fund. The Trustees also considered PIM's profit margin in connection with the overall operation of the Fund. They further reviewed the financial results, including the profit margins, realized by PIM and its affiliates from non-fund businesses. The Trustees considered PIM's profit margins with respect to the Fund in comparison to the limited industry data available and noted that the profitability of any adviser was affected by numerous factors, including its organizational structure and method for allocating expenses. The Trustees concluded that PIM's profitability with respect to the management of the Fund was not unreasonable. Economies of Scale The Trustees considered PIM's views relating to economies of scale in connection with the Pioneer Funds as fund assets grow and the extent to which any such economies of scale are shared with funds and fund shareholders. The Trustees noted the breakpoints in the management fee schedule. The Trustees recognize that economies of scale are difficult to identify and quantify, and that, among other factors that may be relevant, are the following: fee levels, expense subsidization, investment by PIM in research and analytical capabilities and PIM's commitment and resource allocation to the Fund. The Trustees noted that profitability also may be an indicator of the availability of any economies of scale, although profitability may vary for other reasons including due to reductions in expenses. The Trustees concluded that economies of scale, if any, were being appropriately shared with the Funds. Pioneer Global High Yield Fund | Annual Report | 10/31/16 73 Other Benefits The Trustees considered the other benefits to PIM from its relationship with the Fund. The Trustees considered the character and amount of fees paid by the Fund, other than under the investment advisory agreement, for services provided by PIM and its affiliates. The Trustees further considered the revenues and profitability of PIM's businesses other than the fund business. Pioneer is the principal U.S. asset management business of Pioneer Global Asset Management, the worldwide asset management business of UniCredit Group, which manages over $150 billion in assets (including the Funds). Pioneer and the Funds receive reciprocal intangible benefits from the relationship, including mutual brand recognition and, for the Funds, direct and indirect access to the resources of a large global asset manager. The Trustees concluded that any such benefits received by Pioneer as a result of its relationship with the Funds were reasonable and their consideration of the advisory agreement between the Fund and PIM and the fees thereunder were unaffected by Pioneer's possible receipt of any such intangible benefits. Conclusion After consideration of the factors described above as well as other factors, the Trustees, including all of the Independent Trustees, concluded that the investment advisory agreement between PIM and the Fund, including the fees payable thereunder, was fair and reasonable and voted to approve the proposed renewal of the investment advisory agreement for the Fund. 74 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Trustees, Officers and Service Providers Investment Adviser Pioneer Investment Management, Inc. Custodian and Sub-Administrator Brown Brothers Harriman & Co. Independent Registered Public Accounting Firm Deloitte & Touche LLP 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. Trustees and Officers The Fund's Trustees and officers are listed below, together with their principal occupations during at least the past five years. Trustees who are interested persons of the Fund within the meaning of the 1940 Act are referred to as Interested Trustees. Trustees who are not interested persons of the Fund are referred to as Independent Trustees. Each of the Trustees serves as a Trustee of each of the 45 U.S. registered investment portfolios for which Pioneer serves as investment adviser (the "Pioneer Funds"). The address for all Trustees and all officers of the Fund is 60 State Street, Boston, Massachusetts 02109. The Statement of Additional Information of the Fund includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-225-6292. Pioneer Global High Yield Fund | Annual Report | 10/31/16 75 Independent Trustees
-------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee -------------------------------------------------------------------------------------------------------------------------------- Thomas J. Perna (66) Trustee since 2006. Private investor (2004 - 2008 and 2013 - Director, Broadridge Chairman of the Board Serves until a present); Chairman (2008 - 2013) and Chief Financial Solutions, Inc. and Trustee successor trustee Executive Officer (2008 - 2012), Quadriserv, (investor communications is elected or Inc. (technology products for securities and securities processing earlier retirement lending industry); and Senior Executive provider for financial or removal. Vice President, The Bank of New York services industry) (2009 - (financial and securities services) (1986 - present); Director, 2004) Quadriserv, Inc. (2005 - 2013); and Commissioner, New Jersey State Civil Service Commission (2011 - present) -------------------------------------------------------------------------------------------------------------------------------- David R. Bock (72) Trustee since 2005. Managing Partner, Federal City Capital Director of New York Trustee Serves until a Advisors (corporate advisory services Mortgage Trust successor trustee company) (1997 - 2004 and 2008 - present); (publicly-traded mortgage is elected or Interim Chief Executive Officer, Oxford REIT) (2004 - 2009, 2012 - earlier retirement Analytica, Inc. (privately-held research present); Director of The or removal. and consulting company) (2010); Executive Swiss Helvetia Fund, Inc. Vice President and Chief Financial Officer, (closed-end fund) (2010 - I-trax, Inc. (publicly traded health care present); Director of services company) (2004 - 2007); and Oxford Analytica, Inc. Executive Vice President and Chief (2008 - present); and Financial Officer, Pedestal Inc. Director of Enterprise (internet-based mortgage trading company) Community Investment, Inc. (2000 - 2002); Private consultant (privately-held affordable (1995-1997), Managing Director, Lehman housing finance company) Brothers (investment banking firm) (1985 - 2010) (1992-1995); and Executive, The World Bank (1979-1992) -------------------------------------------------------------------------------------------------------------------------------- Benjamin M. Friedman (72) Trustee since 2008. William Joseph Maier Professor of Political Trustee, Mellon Trustee Serves until a Economy, Harvard University (1972 - Institutional Funds successor trustee present) Investment Trust and is elected or Mellon Institutional Funds earlier retirement Master Portfolio (oversaw or removal. 17 portfolios in fund complex) (1989-2008) --------------------------------------------------------------------------------------------------------------------------------
76 Pioneer Global High Yield Fund | Annual Report | 10/31/16
-------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee -------------------------------------------------------------------------------------------------------------------------------- Margaret B.W. Graham (69) Trustee since 2001. Founding Director, Vice President and None Trustee Serves until a Corporate Secretary, The Winthrop Group, successor trustee Inc. (consulting firm) (1982 - present); is elected or Desautels Faculty of Management, McGill earlier retirement University (1999 - present); and Manager of or removal. Research Operations and Organizational Learning, Xerox PARC, Xerox's advance research center (1990-1994) -------------------------------------------------------------------------------------------------------------------------------- Marguerite A. Piret (68) Trustee since 2001. President and Chief Executive Officer, Director of New America High Trustee Serves until a Newbury Piret Company (investment banking Income Fund, Inc. successor trustee firm) (1981 - present) (closed-end investment is elected or company) (2004 - present); earlier retirement and Member, Board of or removal. Governors, Investment Company Institute (2000 - 2006) -------------------------------------------------------------------------------------------------------------------------------- Fred J. Ricciardi (69) Trustee since 2014. Consultant (investment company services) None Trustee Serves until a (2012 - present); Executive Vice President, successor trustee BNY Mellon (financial and investment company is elected or services) (1969 - 2012); Director, BNY earlier retirement International Financing Corp. (financial or removal. services) (2002 - 2012); and Director, Mellon Overseas Investment Corp. (financial services) (2009 - 2012) --------------------------------------------------------------------------------------------------------------------------------
Pioneer Global High Yield Fund | Annual Report | 10/31/16 77 Interested Trustee
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Principal Occupation Other Directorships Position Held With the Fund Length of Service Held by Trustee --------------------------------------------------------------------------------------------------------------------------------- Kenneth J. Taubes (58)* Trustee since 2014. Director and Executive Vice President None Trustee Serves until a (since 2008) and Chief Investment Officer, successor trustee U.S. (since 2010) of PIM-USA; Executive is elected or Vice President of Pioneer (since 2008); earlier retirement Executive Vice President of Pioneer or removal. Institutional Asset Management, Inc. (since 2009); and Portfolio Manager of Pioneer (since 1999) ---------------------------------------------------------------------------------------------------------------------------------
* Mr. Taubes is an Interested Trustee because he is an officer of the Fund's investment adviser and certain of its affiliates. 78 Pioneer Global High Yield Fund | Annual Report | 10/31/16 Advisory Trustee
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee --------------------------------------------------------------------------------------------------------------------------------- Lorraine Monchak (60)** Advisory Trustee Chief Investment Officer, 1199 SEIU Funds Trustee of Pioneer Advisory Trustee since 2014. (healthcare workers union pension funds) closed-end investment (2001 - present); Vice President - companies (5 portfolios) International Investments Group, American (Sept. 2015 - present) International Group, Inc. (insurance company) (1993 - 2001); Vice President Corporate Finance and Treasury Group, Citibank, N.A.(1980 - 1986 and 1990 - 1993); Vice President - Asset/Liability Management Group, Federal Farm Funding Corporation (government-sponsored issuer of debt securities) (1988 - 1990); Mortgage Strategies Group, Shearson Lehman Hutton, Inc. (investment bank) (1987 - 1988); and Mortgage Strategies Group, Drexel Burnham Lambert, Ltd. (investment bank) (1986 - 1987) ---------------------------------------------------------------------------------------------------------------------------------
** Ms. Monchak is a non-voting advisory trustee. Pioneer Global High Yield Fund | Annual Report | 10/31/16 79 Fund Officers
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Officer --------------------------------------------------------------------------------------------------------------------------------- Lisa M. Jones (54) Since 2014. Chair, Director, CEO and President of Trustee of Pioneer President and Serves at the Pioneer Investment Management-USA (since closed-end investment Chief Executive Officer discretion of the September 2014); Chair, Director, CEO and companies (5 portfolios) Board. President of Pioneer Investment Management, (Sept. 2015 - present) Inc. (since September 2014); Chair, Director, CEO and President of Pioneer Funds Distributor, Inc. (since September 2014); Chair, Director, CEO and President of Pioneer Institutional Asset Management, Inc. (since September 2014); and Chair, Director, and CEO of Pioneer Investment Management Shareholder Services, Inc. (since September 2014); Managing Director, Morgan Stanley Investment Management (2010 - 2013); and Director of Institutional Business, CEO of International, Eaton Vance Management (2005 - 2010) --------------------------------------------------------------------------------------------------------------------------------- Christopher J. Kelley (51) Since 2003. Vice President and Associate General None Secretary and Chief Legal Serves at the Counsel of Pioneer since January 2008; Officer discretion of the Secretary and Chief Legal Officer of all of Board. the Pioneer Funds since June 2010; Assistant Secretary of all of the Pioneer Funds from September 2003 to May 2010; and Vice President and Senior Counsel of Pioneer from July 2002 to December 2007 --------------------------------------------------------------------------------------------------------------------------------- Carol B. Hannigan (55) Since 2010. Serves Fund Governance Director of Pioneer since None Assistant Secretary at the discretion December 2006 and Assistant Secretary of of the Board. all the Pioneer Funds since June 2010; Manager - Fund Governance of Pioneer from December 2003 to November 2006; and Senior Paralegal of Pioneer from January 2000 to November 2003 --------------------------------------------------------------------------------------------------------------------------------- Thomas Reyes (53) Since 2010. Senior Counsel of Pioneer since May 2013 None Assistant Secretary Serves at the and Assistant Secretary of all the Pioneer discretion of the Funds since June 2010; and Counsel of Board. Pioneer from June 2007 to May 2013 --------------------------------------------------------------------------------------------------------------------------------- Mark E. Bradley (56) Since 2008. Vice President - Fund Treasury of Pioneer; None Treasurer and Serves at the Treasurer of all of the Pioneer Funds since Chief Financial and discretion of the March 2008; Deputy Treasurer of Pioneer Accounting Officer Board. from March 2004 to February 2008; and Assistant Treasurer of all of the Pioneer Funds from March 2004 to February 2008 ---------------------------------------------------------------------------------------------------------------------------------
80 Pioneer Global High Yield Fund | Annual Report | 10/31/16
--------------------------------------------------------------------------------------------------------------------------------- Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Officer --------------------------------------------------------------------------------------------------------------------------------- Luis I. Presutti (51) Since 2001. Director - Fund Treasury of Pioneer; and None Assistant Treasurer Serves at the Assistant Treasurer of all of the Pioneer discretion of the Funds Board. --------------------------------------------------------------------------------------------------------------------------------- Gary Sullivan (58) Since 2002. Fund Accounting Manager - Fund Treasury of None Assistant Treasurer Serves at the Pioneer; and Assistant Treasurer of all of discretion of the the Pioneer Funds Board. --------------------------------------------------------------------------------------------------------------------------------- David F. Johnson (36) Since 2009. Fund Administration Manager - Fund Treasury None Assistant Treasurer Serves at the of Pioneer since November 2008; Assistant discretion of the Treasurer of all of the Pioneer Funds since Board. January 2009; and Client Service Manager - Institutional Investor Services at State Street Bank from March 2003 to March 2007 --------------------------------------------------------------------------------------------------------------------------------- Jean M. Bradley (64) Since 2010. Chief Compliance Officer of Pioneer and of None Chief Compliance Officer Serves at the all the Pioneer Funds since March 2010; discretion of the Chief Compliance Officer of Pioneer Board. Institutional Asset Management, Inc. since January 2012; Chief Compliance Officer of Vanderbilt Capital Advisors, LLC since July 2012: Director of Adviser and Portfolio Compliance at Pioneer since October 2005; and Senior Compliance Officer for Columbia Management Advisers, Inc. from October 2003 to October 2005 --------------------------------------------------------------------------------------------------------------------------------- Kelly O'Donnell (45) Since 2006. Director - Transfer Agency Compliance of None Anti-Money Laundering Serves at the Pioneer and Anti-Money Laundering Officer discretion of Officer of all the Pioneer Funds since 2006 the Board. ---------------------------------------------------------------------------------------------------------------------------------
Pioneer Global High Yield Fund | Annual Report | 10/31/16 81 This page for your notes. 82 Pioneer Global High Yield Fund | Annual Report | 10/31/16 This page for your notes. Pioneer Global High Yield Fund | Annual Report | 10/31/16 83 This page for your notes. 84 Pioneer Global High Yield Fund | Annual Report | 10/31/16 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 19440-10-1216 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. The audit fees for the Trust were $107,389 payable to Deloitte & Touche LLP for the year ended October 31, 2016 and $101,607 for the year ended October 31, 2015. (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. There were no audit-related services in 2016 or 2015. (c) Disclose, under the caption TAX FEES, the aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning. Registrants shall describe the nature of the services comprising the fees disclosed under this category. The tax fees for the Trust were $17,556 payable to Deloitte & Touche LLP for the year ended October 31, 2016 and $17,500 for the year ended October 31, 2015. (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. There were no other fees in 2016 or 2015. (e) (1) Disclose the audit committee's pre-approval policies and procedures described in paragraph (c)(7) of Rule 2-01 of Regulation S-X. PIONEER FUNDS APPROVAL OF AUDIT, AUDIT-RELATED, TAX AND OTHER SERVICES PROVIDED BY THE INDEPENDENT AUDITOR SECTION I - POLICY PURPOSE AND APPLICABILITY The Pioneer Funds recognize the importance of maintaining the independence of their outside auditors. Maintaining independence is a shared responsibility involving Pioneer Investment Management, Inc ("PIM"), the audit committee and the independent auditors. The Funds recognize that a Fund's independent auditors: 1) possess knowledge of the Funds, 2) are able to incorporate certain services into the scope of the audit, thereby avoiding redundant work, cost and disruption of Fund personnel and processes, and 3) have expertise that has value to the Funds. As a result, there are situations where it is desirable to use the Fund's independent auditors for services in addition to the annual audit and where the potential for conflicts of interests are minimal. Consequently, this policy, which is intended to comply with Rule 210.2-01(C)(7), sets forth guidelines and procedures to be followed by the Funds when retaining the independent audit firm to perform audit, audit-related tax and other services under those circumstances, while also maintaining independence. Approval of a service in accordance with this policy for a Fund shall also constitute approval for any other Fund whose pre-approval is required pursuant to Rule 210.2-01(c)(7)(ii). In addition to the procedures set forth in this policy, any non-audit services that may be provided consistently with Rule 210.2-01 may be approved by the Audit Committee itself and any pre-approval that may be waived in accordance with Rule 210.2-01(c)(7)(i)(C) is hereby waived. Selection of a Fund's independent auditors and their compensation shall be determined by the Audit Committee and shall not be subject to this policy.
SECTION II - POLICY ---------------- -------------------------------- ------------------------------------------------- SERVICE SERVICE CATEGORY DESCRIPTION SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES CATEGORY ---------------- -------------------------------- ------------------------------------------------- I. AUDIT Services that are directly o Accounting research assistance SERVICES related to performing the o SEC consultation, registration independent audit of the Funds statements, and reporting o Tax accrual related matters o Implementation of new accounting standards o Compliance letters (e.g. rating agency letters) o Regulatory reviews and assistance regarding financial matters o Semi-annual reviews (if requested) o Comfort letters for closed end offerings ---------------- -------------------------------- ------------------------------------------------- II. Services which are not o AICPA attest and agreed-upon procedures AUDIT-RELATED prohibited under Rule o Technology control assessments SERVICES 210.2-01(C)(4) (the "Rule") o Financial reporting control assessments and are related extensions of o Enterprise security architecture the audit services support the assessment audit, or use the knowledge/expertise gained from the audit procedures as a foundation to complete the project. In most cases, if the Audit-Related Services are not performed by the Audit firm, the scope of the Audit Services would likely increase. The Services are typically well-defined and governed by accounting professional standards (AICPA, SEC, etc.) ---------------- -------------------------------- ------------------------------------------------- ------------------------------------- ------------------------------------ AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE REPORTING POLICY ------------------------------------- ------------------------------------ o "One-time" pre-approval o A summary of all such for the audit period for all services and related fees pre-approved specific service reported at each regularly subcategories. Approval of the scheduled Audit Committee independent auditors as meeting. auditors for a Fund shall constitute pre approval for these services. ------------------------------------- ------------------------------------ o "One-time" pre-approval o A summary of all such for the fund fiscal year within services and related fees a specified dollar limit (including comparison to for all pre-approved specified dollar limits) specific service subcategories reported quarterly. o Specific approval is needed to exceed the pre-approved dollar limit for these services (see general Audit Committee approval policy below for details on obtaining specific approvals) o Specific approval is needed to use the Fund's auditors for Audit-Related Services not denoted as "pre-approved", or to add a specific service subcategory as "pre-approved" ------------------------------------- ------------------------------------
SECTION III - POLICY DETAIL, CONTINUED ----------------------- --------------------------- ----------------------------------------------- SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES DESCRIPTION ----------------------- --------------------------- ----------------------------------------------- III. TAX SERVICES Services which are not o Tax planning and support prohibited by the Rule, o Tax controversy assistance if an officer of the Fund o Tax compliance, tax returns, excise determines that using the tax returns and support Fund's auditor to provide o Tax opinions these services creates significant synergy in the form of efficiency, minimized disruption, or the ability to maintain a desired level of confidentiality. ----------------------- --------------------------- ----------------------------------------------- ------------------------------------- ------------------------- AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE REPORTING POLICY ------------------------------------- ------------------------- ------------------------------------- ------------------------- o "One-time" pre-approval o A summary of for the fund fiscal year all such services and within a specified dollar limit related fees (including comparison to specified dollar limits) reported quarterly. o Specific approval is needed to exceed the pre-approved dollar limits for these services (see general Audit Committee approval policy below for details on obtaining specific approvals) o Specific approval is needed to use the Fund's auditors for tax services not denoted as pre-approved, or to add a specific service subcategory as "pre-approved" ------------------------------------- -------------------------
SECTION III - POLICY DETAIL, CONTINUED ----------------------- --------------------------- ----------------------------------------------- SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES DESCRIPTION ----------------------- --------------------------- ----------------------------------------------- IV. OTHER SERVICES Services which are not o Business Risk Management support prohibited by the Rule, o Other control and regulatory A. SYNERGISTIC, if an officer of the Fund compliance projects UNIQUE QUALIFICATIONS determines that using the Fund's auditor to provide these services creates significant synergy in the form of efficiency, minimized disruption, the ability to maintain a desired level of confidentiality, or where the Fund's auditors posses unique or superior qualifications to provide these services, resulting in superior value and results for the Fund. ----------------------- --------------------------- ----------------------------------------------- --------------------------------------- ------------------------ AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE REPORTING POLICY ------------------------------------- -------------------------- o "One-time" pre-approval o A summary of for the fund fiscal year within all such services and a specified dollar limit related fees (including comparison to specified dollar limits) reported quarterly. o Specific approval is needed to exceed the pre-approved dollar limits for these services (see general Audit Committee approval policy below for details on obtaining specific approvals) o Specific approval is needed to use the Fund's auditors for "Synergistic" or "Unique Qualifications" Other Services not denoted as pre-approved to the left, or to add a specific service subcategory as "pre-approved" ------------------------------------- --------------------------
SECTION III - POLICY DETAIL, CONTINUED ----------------------- ------------------------- ----------------------------------------------- SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PROHIBITED SERVICE SUBCATEGORIES DESCRIPTION ----------------------- ------------------------- ----------------------------------------------- PROHIBITED SERVICES Services which result 1. Bookkeeping or other services in the auditors losing related to the accounting records or independence status financial statements of the audit under the Rule. client* 2. Financial information systems design and implementation* 3. Appraisal or valuation services, fairness* opinions, or contribution-in-kind reports 4. Actuarial services (i.e., setting actuarial reserves versus actuarial audit work)* 5. Internal audit outsourcing services* 6. Management functions or human resources 7. Broker or dealer, investment advisor, or investment banking services 8. Legal services and expert services unrelated to the audit 9. Any other service that the Public Company Accounting Oversight Board determines, by regulation, is impermissible ----------------------- ------------------------- ----------------------------------------------- ------------------------------------------- ------------------------------ AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE REPORTING POLICY ------------------------------------------- ------------------------------ o These services are not to be o A summary of all performed with the exception of the(*) services and related services that may be permitted fees reported at each if they would not be subject to audit regularly scheduled procedures at the audit client (as Audit Committee meeting defined in rule 2-01(f)(4)) level will serve as continual the firm providing the service. confirmation that has not provided any restricted services. ------------------------------------------- ------------------------------
-------------------------------------------------------------------------------- GENERAL AUDIT COMMITTEE APPROVAL POLICY: o For all projects, the officers of the Funds and the Fund's auditors will each make an assessment to determine that any proposed projects will not impair independence. o Potential services will be classified into the four non-restricted service categories and the "Approval of Audit, Audit-Related, Tax and Other Services" Policy above will be applied. Any services outside the specific pre-approved service subcategories set forth above must be specifically approved by the Audit Committee. o At least quarterly, the Audit Committee shall review a report summarizing the services by service category, including fees, provided by the Audit firm as set forth in the above policy. -------------------------------------------------------------------------------- (2) Disclose the percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X. Non-Audit Services Beginning with non-audit service contracts entered into on or after May 6, 2003, the effective date of the new SEC pre-approval rules, the Trust's audit committee is required to pre-approve services to affiliates defined by SEC rules to the extent that the services are determined to have a direct impact on the operations or financial reporting of the Trust. For the years ended October 31 2016 and 2015, there were no services provided to an affiliate that required the Trust's audit committee pre-approval. (f) If greater than 50 percent, disclose the percentage of hours expended on the principal accountants engagement to audit the registrant's financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant's full-time, permanent employees. N/A (g) Disclose the aggregate non-audit fees billed by the registrants accountant for services rendered to the registrant, and rendered to the registrants investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for each of the last two fiscal years of the registrant. The aggregate non-audit fees for the Trust were $17,556 payable to Deloitte & Touche LLP for the year ended October 31, 2016 and $17,500 for the year ended October 31, 2015. (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 December 29, 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 December 29, 2016 By (Signature and Title)* /s/ Mark E. Bradley Mark E. Bradley, Treasurer & Chief Accounting & Financial Officer Date December 29, 2016 * Print the name and title of each signing officer under his or her signature. EX-99 2 cert.txt CERTIFICATIONS -------------- I, Lisa M. Jones, certify that: 1. I have reviewed this report on Form N-CSR of Pioneer Series Trust VII; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external in accordance with generally accepted accounting principles; c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred 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; and 5. The registrant's other certifying officer and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) All significant deficiencies in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: December 29, 2016 /s/ Lisa M. Jones Lisa M. Jones President and Chief Executive Officer CERTIFICATIONS -------------- I, Mark E. Bradley, certify that: 1. I have reviewed this report on Form N-CSR of Pioneer Series Trust VII; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external in accordance with generally accepted accounting principles; c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred 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; and 5. The registrant's other certifying officer and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) All significant deficiencies in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: December 29, 2016 /s/ Mark E. Bradley Mark E. Bradley Treasurer & Chief Accounting & Financial Officer SECTION 906 CERTIFICATION Pursuant to 18 U.S.C. ss. 1350, the undersigned officer of Pioneer Series Trust VII (the "Trust"), hereby certifies, to the best of his knowledge, that the Trust's Report on Form N-CSR for the period ended October 31, 2016 (the "Report") fully complies with the requirements of Section 13 (a) or 15 (d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Trust. Dated: December 29, 2016 /s/ Lisa M. Jones Lisa M. Jones President and Chief Executive Officer This certification is being furnished solely pursuant to 18 U.S.C. ss. 1350 and is not being filed as part of the Report or a separate disclosure document. A signed original of this written statement required by section 906 has been provided to the Trust and will be retained by the Trust and furnished to the SEC or its staff upon request. SECTION 906 CERTIFICATION Pursuant to 18 U.S.C. ss. 1350, the undersigned officer of Pioneer Series Trust VII (the "Trust"), hereby certifies, to the best of his knowledge, that the Trust's Report on Form N-CSR for the period ended October 31, 2016 (the "Report") fully complies with the requirements of Section 13 (a) or 15 (d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Trust. Dated: December 29, 2016 /s/ Mark E. Bradley Mark E. Bradley Treasurer & Chief Accounting & Financial Officer This certification is being furnished solely pursuant to 18 U.S.C. ss. 1350 and is not being filed as part of the Report or a separate disclosure document. A signed original of this written statement required by section 906 has been provided to the Trust and will be retained by the Trust and furnished to the SEC or its staff upon request. EX-99 3 CodeofEthics.txt CODE OF ETHICS FOR SENIOR OFFICERS POLICY This Code of Ethics for Senior Officers (this "Code") sets forth the policies, practices and values expected to be exhibited by Senior Officers of the Pioneer Funds (collectively, the "Funds" and each, a "Fund"). This Code does not apply generally to officers and employees of service providers to the Funds, including Pioneer Investment Management, Inc. ("Pioneer"), unless such officers and employees are also Senior Officers. The term "Senior Officers" shall mean the principal executive officer, principal financial officer, principal accounting officer and controller of the Funds, although one person may occupy more than one such office. Each Senior Officer is identified by title in Exhibit A to this Code. The Chief Compliance Officer ("CCO") of the Pioneer Funds is primarily responsible for implementing and monitoring compliance with this Code, subject to the overall supervision of the Board of Trustees of the Funds (the "Board"). The CCO has the authority to interpret this Code and its applicability to particular situations. Any questions about this Code should be directed to the CCO or his or her designee. PURPOSE The purposes of this Code are to: . Promote honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships; . Promote full, fair, accurate, timely and understandable disclosure in reports and documents that the Fund files with, or submits to, the Securities and Exchange Commission ("SEC") and in other public communications made by the Fund; ------------------------------------------------------------------------------- 1 Last revised January 17, 2014 . Promote compliance with applicable laws and governmental rules and regulations; . Promote the prompt internal reporting of violations of the Code to an appropriate person or persons identified in the Code; and . Establish accountability for adherence to the Code. Each Senior Officer should adhere to a high standard of business ethics and should be sensitive to situations that may give rise to actual as well as apparent conflicts of interest. RESPONSIBILITIES OF SENIOR OFFICERS Conflicts of Interest A "conflict of interest" occurs when a Senior Officer's private interests interfere in any way - or even appear to interfere - with the interests of or his/her service to a Fund. A conflict can arise when a Senior Officer takes actions or has interests that may make it difficult to perform his or her Fund work objectively and effectively. Conflicts of interest also arise when a Senior Officer or a member of his/her family receives improper personal benefits as a result of the Senior Officer's position with the Fund. Certain conflicts of interest arise out of the relationships between Senior Officers and the Fund and already are subject to conflict of interest provisions in the Investment Company Act of 1940, as amended (the "ICA"), and the Investment Advisers Act of 1940, as amended (the "IAA"). For example, Senior Officers may not individually engage in certain transactions (such as the purchase or sale of securities or other property) with the Funds because of their status as "affiliated persons" of the Funds. The Fund's and Pioneer's compliance programs and procedures are designed to prevent, or identify and correct, violations of these provisions. This Code does not, and is not intended to, repeat or replace such policies and procedures, and such conflicts fall outside of the parameters of this Code. Although typically not presenting an opportunity for improper personal benefit, conflicts arise as a result of the contractual relationship between the Fund and Pioneer because the Senior Officers are officers or employees of both. As a result, this Code recognizes that Senior Officers will, in the normal course of their duties (whether formally for a Fund or for Pioneer, or for both), be involved in establishing policies and implementing decisions that will have different effects on Pioneer and the Fund. The participation of Senior Officers in such activities is inherent in the contractual relationship between a Fund and Pioneer and is consistent with the performance by the Senior Officers of their duties as officers of the Fund and, if addressed in conformity with the provisions of the ICA and the IAA, will be deemed to have been handled ethically. In addition, it is recognized by the Board that Senior Officers may also be officers of investment companies other than the Pioneer Funds. Other conflicts of interest are covered by this Code, even if such conflicts of interest are not subject to provisions of the ICA or the IAA. In reading the following examples of conflicts of interest under this Code, Senior Officers should keep in mind that such a list cannot ever be exhaustive or cover every possible ------------------------------------------------------------------------------- 2 Last revised January 17, 2014 scenario. It follows that the overarching principle is that the personal interest of a Senior Officer should not be placed improperly before the interest of a Fund. Each Senior Officer must: . Not use his or her personal influence or personal relationships improperly to influence investment decisions or financial reporting by a Fund whereby the Senior Officer would benefit personally to the detriment of the Fund; . Not cause a Fund to take action, or fail to take action, for the individual personal benefit of the Senior Officer rather than the benefit of the Fund; and . Report at least annually any affiliations or other relationships that give rise to conflicts of interest. Any material conflict of interest situation should be approved by the CCO, his or her designee or the Board. Examples of these include: . Service as a director on the board of any public or private company; . The receipt of any gift with a value in excess of an amount established from time to time by Pioneer's Business Gift and Entertainment Policy from any single non-relative person or entity. Customary business lunches, dinners and entertainment at which both the Senior Officer and the giver are present, and promotional items of insignificant value are exempt from this prohibition; . The receipt of any entertainment from any company with which a Fund has current or prospective business dealings unless such entertainment is business-related, reasonable in cost, appropriate as to time and place, and not so frequent as to raise any question of impropriety; . Any ownership interest in, or any consulting or employment relationship with, any of a Fund's service providers other than its investment adviser, principal underwriter, administrator or any affiliated person thereof; and . A direct or indirect financial interest in commissions, transaction charges or spreads paid by a Fund for effecting portfolio transactions or for selling or redeeming shares other than an interest arising from the Senior Officer's employment, such as compensation or equity ownership. ------------------------------------------------------------------------------- 3 Last revised January 17, 2014 Corporate Opportunities Senior Officers may not (a) take for themselves personally opportunities that are discovered through the use of a Fund's property, information or position; (b) use a Fund's property, information, or position for personal gain; or (c) compete with a Fund. Senior Officers owe a duty to the Funds to advance their legitimate interests when the opportunity to do so arises. Confidentiality Senior Officers should maintain the confidentiality of information entrusted to them by the Funds, except when disclosure is authorized or legally mandated. Confidential information includes all non-public information that might be of use to competitors, or harmful to the Funds, if disclosed. Fair dealing with Fund shareholders, suppliers, and competitors Senior Officers should endeavor to deal fairly with the Funds' shareholders, suppliers, and competitors. Senior Officers should not take unfair advantage of anyone through manipulation, concealment, abuse of privileged information, misrepresentation of material facts, or any other unfair-dealing practice. Senior Officers should not knowingly misrepresent or cause others to misrepresent facts about a Fund to others, whether within or outside the Fund, including to the Board, the Funds' auditors or to governmental regulators and self-regulatory organizations. Compliance with Law Each Senior Officer must not knowingly violate any law, rule and regulation applicable to his or her activities as an officer of the Funds. In addition, Senior Officers are responsible for understanding and promoting compliance with the laws, rules and regulations applicable to his or her particular position and by persons under the Senior Officer's supervision. Senior Officers should endeavor to comply not only with the letter of the law, but also with the spirit of the law. Disclosure Each Senior Officer should familiarize himself or herself with the disclosure requirements generally applicable to the Funds. Each Senior Officer should, to the extent appropriate within his or her area of responsibility, consult with other officers of the Funds and Pioneer with the goal of promoting full, fair, accurate, timely and understandable disclosure in the reports and documents a Fund files with, or submits to, the SEC and in other public communications made by the Funds. INITIAL AND ANNUAL CERTIFICATIONS Upon becoming a Senior Officer the Senior Officer is required to certify that he or she has received, read, and understands this Code. On an annual basis, each Senior Officer must certify that he or she has complied with all of the applicable requirements of this Code. ------------------------------------------------------------------------------- 4 Last revised January 17, 2014 ADMINISTRATION AND ENFORCEMENT OF THE CODE Report of Violations Pioneer relies on each Senior Officer to report promptly if he or she knows of any conduct by a Senior Officer in violation of this Code. All violations or suspected violations of this Code must be reported to the CCO or a member of Pioneer's Legal and Compliance Department. Failure to do so is itself a violation of this Code. Investigation of Violations Upon notification of a violation or suspected violation, the CCO or other members of Pioneer's Compliance Department will take all appropriate action to investigate the potential violation reported. If, after such investigation, the CCO believes that no violation has occurred, the CCO and Compliance Department is not required to take no further action. Any matter the CCO believes is a violation will be reported to the Independent Trustees. If the Independent Trustees concur that a violation has occurred, they will inform and make a recommendation to the full Board. The Board shall be responsible for determining appropriate action. The Funds, their officers and employees, will not retaliate against any Senior Officer for reports of potential violations that are made in good faith and without malicious intent. The CCO or his or her designee is responsible for applying this Code to specific situations in which questions are presented under it and has the authority to interpret this Code in any particular situation. The CCO or his or her designee shall make inquiries regarding any potential conflict of interest. Violations and Sanctions Compliance with this Code is expected and violations of its provisions will be taken seriously and could result in disciplinary action. In response to violations of the Code, the Board may impose such sanctions as it deems appropriate within the scope of its authority over Senior Officers, including termination as an officer of the Funds. Waivers from the Code The Independent Trustees will consider any approval or waiver sought by any Senior Officer. The Independent Trustees will be responsible for granting waivers, as appropriate. Any change to or waiver of this Code will, to the extent required, be disclosed as provided by SEC rules. OTHER POLICIES AND PROCEDURES This Code shall be the sole Code of Ethics adopted by the Funds for purposes of Section 406 of the Sarbanes-Oxley Act and the rules and forms applicable to registered investment companies thereunder. The Funds', Pioneer's, and Pioneer Funds Distributor, Inc.'s Codes of Ethics under Rule 17j-1 under the ICA and Rule 204A-1 of the IAA are separate requirements applying to the Senior Officers and others, and are not a part of this Code. To the extent any other policies and procedures of the Funds, Pioneer or Pioneer ------------------------------------------------------------------------------- 5 Last revised January 17, 2014 Fund Distributor, Inc. overlap or conflict with the provisions of the this Code, they are superseded by this Code. SCOPE OF RESPONSIBILITIES A Senior Officer's responsibilities under this Code are limited to Fund matters over which the Senior Officer has direct responsibility or control, matters in which the Senior Officer routinely participates, and matters with which the Senior Officer is otherwise involved. In addition, a Senior Officer is responsible for matters of which the Senior Officer has actual knowledge. AMENDMENTS This Code other than Exhibit A may not be amended except in a writing that is specifically approved or ratified by a majority vote of the Board, including a majority of the Independent Trustees. CONFIDENTIALITY All reports and records prepared or maintained pursuant to this Code will be considered confidential and shall be maintained and protected accordingly. Except as otherwise required by law or this Code, such matters shall not be disclosed to anyone other than the Board and their counsel or to Pioneer's Legal and Compliance Department. INTERNAL USE This Code is intended solely for the internal use by the Funds and does not constitute an admission, by or on behalf of any Fund, as to any fact, circumstance, or legal conclusion. ------------------------------------------------------------------------------- 6 Last revised January 17, 2014 EXHIBIT A - SENIOR OFFICERS OF THE PIONEER FUNDS President (Principal Executive Officer) Treasurer (Principal Financial Officer) Code of Ethics for Senior Officers -------------------------------------------------------------------------------