0000921023-16-000059.txt : 20160129 0000921023-16-000059.hdr.sgml : 20160129 20160129112756 ACCESSION NUMBER: 0000921023-16-000059 CONFORMED SUBMISSION TYPE: N-CSR PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20151130 FILED AS OF DATE: 20160129 DATE AS OF CHANGE: 20160129 EFFECTIVENESS DATE: 20160129 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Pioneer Floating Rate Trust CENTRAL INDEX KEY: 0001305767 IRS NUMBER: 582683903 FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: N-CSR SEC ACT: 1940 Act SEC FILE NUMBER: 811-21654 FILM NUMBER: 161371658 BUSINESS ADDRESS: STREET 1: 60 STATE STREET CITY: BOSTON STATE: MA ZIP: 02109 BUSINESS PHONE: 617-422-4947 MAIL ADDRESS: STREET 1: 60 STATE STREET CITY: BOSTON STATE: MA ZIP: 02109 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 811-21654 Pioneer Floating Rate Trust (Exact name of registrant as specified in charter) 60 State Street, Boston, MA 02109 (Address of principal executive offices) (ZIP code) Terrence J. Cullen, Pioneer Investment Management, Inc., 60 State Street, Boston, MA 02109 (Name and address of agent for service) Registrant's telephone number, including area code: (617) 742-7825 Date of fiscal year end: November 30 Date of reporting period: December 1, 2014 through November 30, 2015 Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles. A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507. ITEM 1. REPORTS TO STOCKHOLDERS. Pioneer Floating Rate Trust -------------------------------------------------------------------------------- Annual Report | November 30, 2015 -------------------------------------------------------------------------------- Ticker Symbol: PHD [LOGO] PIONEER Investments(R) visit us: us.pioneerinvestments.com Table of Contents President's Letter 2 Portfolio Management Discussion 4 Portfolio Summary 9 Prices and Distributions 10 Performance Update 11 Schedule of Investments 12 Financial Statements 39 Financial Highlights 43 Notes to Financial Statements 45 Report of Independent Registered Public Accounting Firm 59 Approval of Investment Advisory Agreement 62 Trustees, Officers and Service Providers 66
Pioneer Floating Rate Trust | Annual Report | 11/30/15 1 President's Letter Dear Shareholder, Over the past several years, many investors experienced positive returns across most major asset classes. However, 2015 was a tale of two markets, with favorable market conditions in the first half of the year, followed by an abrupt slowdown and increased volatility beginning in August. The global markets were challenged by significant economic cross-currents in different geographic regions and industrial sectors. While the U.S. economy gradually improved, growth slowed in China. Emerging markets struggled following a decline in commodity prices, especially oil. While lower energy prices are good for the consumer, there were ripple effects throughout the global economy. Against this backdrop, the Standard & Poor's 500 Index rose by just 1.4% in 2015, international equity markets were essentially flat, and emerging market equities fell sharply. Across U.S. fixed-income sectors, U.S. government and investment-grade corporate bonds were fairly flat for the year, while high-yield bonds, as measured by the Bank of America Merrill Lynch Master II High Yield Index, posted a -4.9% total return. Entering 2016, we see the possibility of a cyclical upswing, against an overall economic backdrop that remains fragile and points towards structurally lower growth. As always in a Presidential election year, political rhetoric has the potential to impact U.S. sectors such as health care in 2016. Economies around the world in both developed and emerging markets are experiencing deep structural change. Geopolitical instability on many fronts, the rising risk of policy mistakes, and market liquidity issues all increase the possibility of sharp swings in asset values. In this environment, financial markets remain vulnerable to unusual levels of volatility. While divergences among regions and industries is an important theme, we are generally optimistic about the outlook for the U.S. economy, which we expect will see modest growth. Throughout Pioneer's history, we have believed in the importance of active management. In periods of market volatility, we believe that the value of active management is 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. Our ongoing goal is to produce compelling returns consistent with the stated objectives of our investment products, and with our shareowners' expectations. We believe our shareowners can benefit from the experience and tenure of our investment teams as well as the insights generated from our extensive research process. 2 Pioneer Floating Rate Trust | Annual Report | 11/30/15 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 31, 2015 Any information in this shareowner report regarding market or economic trends or the factors influencing the Trust's historical or future performance are statements of opinion as of the date of this report. These statements should not be relied upon for any other purposes. Past performance is no guarantee of future results, and there is no guarantee that market forecasts discussed will be realized. Pioneer Floating Rate Trust | Annual Report | 11/30/15 3 Portfolio Management Discussion | 11/30/15 Floating-rate loan investments struggled during the final months of the 12-month period ended November 30, 2015, after producing healthier results in earlier months. In the following interview, Jonathan Sharkey discusses the factors that affected the performance of Pioneer Floating Rate Trust during the 12-month period. Mr. Sharkey, a senior vice president and a portfolio manager at Pioneer, is responsible for the day-to-day management of the Trust. Q How did the Trust perform during the 12-month period ended November 30, 2015? A Pioneer Floating Rate Trust returned 1.96% at net asset value and 1.31% at market price during the 12-month period ended November 30, 2015, while the Trust's benchmark, the Barclays U.S. High Yield Loans Index (the Barclays Index), returned -1.06% at net asset value. Unlike the Trust, the Barclays Index does not use leverage. While the use of leverage increases investment opportunity, it also increases investment risk. During the same 12-month period, the average return (at market price) of the 22 closed end funds in Lipper's Loan Participation Funds category (which may or may not be leveraged) was -3.16%. The shares of the Trust were selling at an 11.95% discount to net asset value on November 30, 2015. The Trust's standard, 30-day SEC yield was 5.39% at the end of the fiscal year on November 30, 2015, compared with a standard 30-day SEC yield of 5.35% for the Trust as of May 31, 2015, the end of the previous semiannual reporting period*. Q How would you describe the investment environment for bank loans during the 12-month period ended November 30, 2015? A Floating-rate loan investments generated slightly positive returns during most of the period's early months, but the market environment became less supportive over the final months of the period when a series of developments undermined investor confidence. The period had actually begun on a rocky note in December 2014, a month in which floating-rate loans generated negative returns. However, the first five months of 2015 featured an improved environment as demand for loans increased, driven by factors such as the market's confidence in both the health of the domestic economy and the credit-worthiness of bank loans. In * The 30-day SEC yield is a standardized formula that is based on the hypothetical annualized earning power (investment income only) of the Trust's portfolio securities during the period indicated. 4 Pioneer Floating Rate Trust | Annual Report | 11/30/15 addition, there was widespread anticipation among market participants that interest rates soon would start to increase, a move that would benefit the performance of bank-loan investments. Beginning in June 2015, however, investor confidence began to wane in response to a number of unsettling situations, including yet another debt crisis in Greece, dramatic declines in world oil prices that raised doubts about global demand, and evidence of slowing economic growth in China. In addition, the decisions by the U.S. Federal Reserve System (the Fed) not to raise short-term interest rates in both June and September 2015 created uncertainty about when interest rates would actually begin to climb. Over the final six months of the period, the Trust's benchmark, the Barclays Index, returned -3.04% (-1.07% in November, the period's final month). Meanwhile, the Trust returned -1.34% at net asset value and -4.20% at market price over the final six months of the period (-0.82% and -0.73%, respectively, for the month of November). Q Which of your investment decisions had the biggest effects on the Trust's benchmark-relative performance during the 12-month period ended November 30, 2015? A Despite the challenging environment, the Trust managed to produce modestly positive results over the 12-month period. The primary factors aiding the Trust's performance relative to the Barclays Index were the tilt towards higher-quality loans, compared with the benchmark, in the Trust's portfolio and our concerted effort to de-emphasize investments in sectors that struggled during the period, such as loans to companies in the energy, utilities, and metals and mining groups. For example, at the end of the 12-month period, on November 30, 2015, only 2.30% of the Trust's total investment portfolio was allocated to energy loans (compared to a benchmark weighting of 3.81%), as energy was the worst-performing sector in the loan market. Conversely, benchmark-relative returns were negatively affected, somewhat, by the Trust's very small exposure to common stocks as well as by individual security selection results among some of the Trust's holdings in the aforementioned energy and metals and mining sectors. With regard to individual investments, loans to three companies in health care-related fields - Virtual Radiological, Rural/Metro, and Accelent - performed very well for the Trust during the period after each firm was acquired by a competitor, thus allowing their debt to be retired. Virtual Radiological is a diagnostic imaging service provider, Rural/Metro provides ambulance services, and Accelent is a medical device supply company. Pioneer Floating Rate Trust | Annual Report | 11/30/15 5 On the negative side, although the relatively low exposures to energy and metals and mining company loans in the Trust's portfolio helped relative performance, several holdings from those two groups fared very poorly and hurt benchmark-relative returns. Among the underperforming holdings in the Trust's portfolio were loans to energy exploration-and-production companies Templar Energy and Jonah Energy, and metals companies Essar Steel and Noranda Aluminum. Q How did the level of leverage in the Trust change over the 12-month period ended November 30, 2015? A At the end of the 12-month period on November 30, 2015, 33.1% of the Trust's total managed assets were financed by leverage obtained through a revolving credit facility, compared with 32.9% of the Trust's total managed assets financed by leverage at the start of the period on December 1, 2014. Twice during the 12-month period, we reduced the amount of leverage, or funds borrowed through the revolving credit facility, in the Trust's portfolio. Despite these reductions, the percentage of financed leverage increased due to a decrease in the values of securities in which the Trust had invested. The decrease in the values of the securities was primarily a result of the average bid price of the Standard & Poor's/Loan Services Trading Association Leveraged Loan Index (the S&P/LSTA Index) dropping from $98.40 at the beginning of the 12-month period, to $94.57 by the end of the period. Q Did the Trust invest in any derivative securities during the 12-month period ended November 30, 2015, and did those investments have an effect on performance? A Yes, the Trust had a small exposure to Markit CDX (North American high- yield credit default swap index) during the period. The position did not have a material effect on the Trust's performance. Q What factors affected the Trust's yield during the 12-month period ended November 30, 2015? A The Trust's monthly dividend** to shareholders remained constant during the first five months of the period, following a reduction in the dividend in July of 2014. During the last seven months of the year, the Trust was able to slightly increase its monthly dividend rate due to an increase in earnings. Shareholders should be aware, however, that the Trust's dividend could be negatively affected as older, higher-yielding loans are called back by issuers and subsequently refinanced by loans with lower yields. ** Dividends are not guaranteed. 6 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Q What is your investment outlook? A As the Trust's new fiscal year began in December 2015, we were expecting that the Fed soon would begin a gradual process of raising short-term interest rates and end the virtual zero-interest-rate policy that had been in effect for roughly seven years (the Fed did eventually raise short-term rates in December). The Fed's change in course comes after the steady accumulation of evidence that the domestic economy finally appears to be on a trajectory for sustained growth that is likely to continue through 2016, as recent economic data has shown consistent new-jobs creation which, in turn, has supported consumer spending and led to a seven-year high in new housing starts. We believe tightening of the Fed`s monetary policy could potentially have a favorable impact on the Trust's performance, as higher rates should trigger increases in yields paid by floating-rate investments, and they also can lead to increased investor demand, which could bid up prices for bank loans selling at discounts. We think the domestic economy should continue to grow at a moderate pace over the coming year, with gross domestic product (GDP) growth in the range of 2.25% to 2.50%. Such an environment should help solidify corporate balance sheets and lend support to the prices of bank-loan investments, which, in general, have been selling at discounts of late, thus leaving room for potential price increases. Although it is anticipated by the market that the default rate on loans will rise over the next 12 months - primarily due to energy and commodity sector defaults (metals and mining) - the rate is still projected to remain below its historical average of 3.12%. Current loan spreads, or the interest rates over and above LIBOR charged to borrowers by banks, reflect an implied default rate of greater than 6%, an indication that value is present in today's loan market. We believe floating-rate loans represent good investment value, especially compared with more traditional income-oriented investment alternatives, such as bond funds, which are more vulnerable to price pressures in a rising-rate environment. Pioneer Floating Rate Trust | Annual Report | 11/30/15 7 Please refer to the Schedule of Investments on pages 12-38 for a full listing of Trust securities. The Trust may invest in derivative securities, which may include futures and options, for a variety of purposes, including: in an attempt to hedge against adverse changes in the marketplace of securities, interest rates or currency exchange rates; as a substitute for purchasing or selling securities; to attempt to increase the Trust's return as a non-hedging strategy that may be considered speculative; and to manage portfolio characteristics. Using derivatives can increase fund losses and reduce opportunities for gains when the market prices, interest rates or the derivative instruments themselves behave in a way not anticipated by the Trust. These types of instruments can increase price fluctuation. The Trust is not limited in the percentage of its assets that may be invested in floating-rate senior loans and other securities deemed to be illiquid. Illiquid securities may be difficult to sell at a price reflective of their value at times when the Trust believes it is desirable to do so and the market price of illiquid securities is generally more volatile than that of more liquid securities. Illiquid securities may be difficult to value, and investment of the Trust's assets in illiquid securities may restrict the Trust's ability to take advantage of market opportunities. The Trust employs leverage through a revolving credit facility. Leverage creates significant risks, including the risk that the Trust's income or capital appreciation from investments purchased with the proceeds of leverage will not be sufficient to cover the cost of leverage, which may adversely affect the return for shareowners. The Trust is required to maintain certain regulatory and other asset coverage requirements in connection with its use of leverage. In order to maintain required asset coverage levels, the Trust may be required to reduce the amount of leverage employed by the Trust, alter the composition of its investment portfolio or take other actions at what might be inopportune times in the market. Such actions could reduce the net earnings or returns to shareowners over time, which is likely to result in a decrease in the market value of the Trust's shares. Investments in high-yield or lower-rated securities are subject to greater-than- average risk. The Trust may invest in securities of issuers that are in default or that are in bankruptcy. Investing in foreign and/or emerging markets securities involves risks relating to interest rates, currency exchange rates and economic and political conditions. These risks may increase share price volatility. Any information in this shareholder report regarding market or economic trends or the factors influencing the Trust's historical or future performance are statements of opinion as of the date of this report. Past performance is no guarantee of future results. 8 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Portfolio Summary | 11/30/15 Portfolio Diversification* -------------------------------------------------------------------------------- (As a percentage of total investment portfolio) [THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Senior Secured Floating Rate Loan Interests 93.9% Collateralized Loan Obligations 1.7% Corporate Bonds & Notes 1.5% Commercial Paper 1.3% U.S. Government and Agency Obligations 0.7% Repurchase Agreement 0.5% Exchange-Traded Fund 0.2% Common Stocks 0.2%
* Includes investments in Insurance Linked Securities totaling 0.9% of total investment portfolio. 10 Largest Holdings -------------------------------------------------------------------------------- (As a percentage of long-term holdings)**
1. Wausau Paper Corp., Term Loan, 6.5%, 7/30/20 0.79% ----------------------------------------------------------------------------------------- 2. Bright Horizons Family Solutions LLC, Term B Loan, 5.25%, 1/30/20 0.79 ----------------------------------------------------------------------------------------- 3. Telesat Canada, US Term B-2 Loan, 3.5%, 3/28/19 0.77 ----------------------------------------------------------------------------------------- 4. Chrysler Group LLC, Term Loan B, 3.5%, 5/24/17 0.74 ----------------------------------------------------------------------------------------- 5. Evergreen Skills Lux S.a.r.l., First Lien Initial Term Loan, 5.75%, 4/28/21 0.68 ----------------------------------------------------------------------------------------- 6. American Airlines, Inc., 2015 New Term Loan, 3.25%, 6/27/20 0.67 ----------------------------------------------------------------------------------------- 7. Affinion Group, Inc., Tranche B Term Loan, 6.75%, 4/30/18 0.66 ----------------------------------------------------------------------------------------- 8. Allison Transmission, Inc., Term Loan B-3, 3.5%, 8/23/19 0.66 ----------------------------------------------------------------------------------------- 9. Cequel Communications LLC, Term Loan, 3.5%, 2/14/19 0.58 ----------------------------------------------------------------------------------------- 10. Endemol, Term Loan, 6.75%, 8/13/21 0.58 -----------------------------------------------------------------------------------------
** This list excludes temporary cash investments and derivative instruments. The portfolio is actively managed, and current holdings may be different. The holdings listed should not be considered recommendations to buy or sell any security listed. Pioneer Floating Rate Trust | Annual Report | 11/30/15 9 Prices and Distributions | 11/30/15 Market Value per Share --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- 11/30/15 11/30/14 -------------------------------------------------------------------------------- Market Value $10.83 $11.36 -------------------------------------------------------------------------------- Discount (11.95)% (11.39)% --------------------------------------------------------------------------------
Net Asset Value per Share --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- 11/30/15 11/30/14 -------------------------------------------------------------------------------- $12.30 $12.82 --------------------------------------------------------------------------------
Distributions per Share: 12/1/14-11/30/15 --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- Net Investment Short-Term Long-Term Income Capital Gains Capital Gains -------------------------------------------------------------------------------- $0.70 $ -- $ -- --------------------------------------------------------------------------------
Yields --------------------------------------------------------------------------------
-------------------------------------------------------------------------------- 11/30/15 11/30/14 -------------------------------------------------------------------------------- 30-day SEC Yield 5.39% 5.17% --------------------------------------------------------------------------------
The data shown above represents past performance, which is no guarantee of future results. 10 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Performance Update | 11/30/15 Investment Returns -------------------------------------------------------------------------------- The mountain chart on the right shows the change in market value, including reinvestment of dividends and distributions, of a $10,000 investment made in shares of Pioneer Floating Rate Trust during the periods shown, compared with the values of the Barclays U.S. High Yield Loans Index, an unmanaged index which measures the performance of high-yield loans, and the Credit Suisse (CS) Leveraged Loan Index, an unmanaged index of senior, secured U.S. dollar-denominated loans.
Average Annual Total Returns (As of November 30, 2015) -------------------------------------------------------------------------------- Barclays Net CS U.S. High Asset Leveraged Yield Value Market Loan Loans Period (NAV) Price Index Index -------------------------------------------------------------------------------- 10 Years 4.68% 4.47% 4.24%+ 4.55%+ 5 Years 6.81 3.09 4.23 3.93 1 Year 1.96 1.31 -0.54 -1.06 --------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL] Value of $10,000 Investment
Pioneer Floating Barclays US HY Credit Suisse Leverage Rate Trust Loans Index* Loan Index** 11/05 $10,000 $ 9,959 $10,000 11/06 $12,094 $10,584 $10,705 11/07 $11,850 $10,853 $10,957 11/08 $ 5,676 $ 7,913 $ 8,138 11/09 $10,842 $11,458 $11,047 11/10 $13,296 $12,773 $12,311 11/11 $13,642 $13,036 $12,638 11/12 $15,778 $14,330 $13,799 11/13 $15,646 $15,141 $14,677 11/14 $15,282 $15,654 $15,226 11/15 $15,482 $15,489 $15,144
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. Performance data shown represents past performance. Past performance is no guarantee of future results. Investment return and market price will fluctuate, and your shares may trade below NAV, due to such factors as interest rate changes, and the perceived credit quality of borrowers. Total investment return does not reflect broker sales charges or commissions. All performance is for shares of the Trust. Shares of closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and, once issued, shares of closed-end funds are bought and sold in the open market through a stock exchange and frequently trade at prices lower than their NAV. NAV per share is total assets less total liabilities, which include preferred shares, or borrowings, as applicable, divided by the number of shares outstanding. When NAV is lower than market price, dividends are assumed to be reinvested at the greater of NAV or 95% of the market price. When NAV is higher, dividends are assumed to be reinvested at prices obtained through open-market purchases under the Trust's dividend reinvestment plan. The performance table and graph do not reflect the deduction of fees and taxes that a shareowner would pay on Trust distributions or the sale of Trust shares. Had these fees and taxes been reflected, performance would have been lower. * The Barclays U.S. High Yield Loans Index measures the performance of high-yield loans. Since comparisons for the Barclays Index begin in December 2005, the chart assumes an initial investment of $9,959 for the index, which is equal to the Trust's value at 12/30/2005. ** The CS Leveraged Loan Index (the CS Index) is a representative index of tradeable, senior, secured U.S. dollar-denominated loans. The CS Index began in January 1992. Comparisons to the Trust for the CS Index begin in 2004. The CS Index was the Trust's benchmark through March 1, 2011, and was at that time replaced by the Barclays U.S. High Yield Loans Index (the Barclays Index). Because the historical performance of the Barclays Index dates back only to 2005, after the inception of the Trust in 2004, the Trust will continue to provide "Market Value of $10,000 Investment" comparisons for both the CS Index and the Barclays Index. Returns of both indices are calculated monthly, assume reinvestment of dividends and, unlike Trust returns, do not reflect any fees, expenses or sales charges. The indices do not use leverage. You cannot invest directly in an index. + Return for the CS Leveraged Loan Index covers the 10-year period from November 30, 2005, through November 30, 2015. Return for the Barclays U.S. High Yield Loans Index covers the maximum period for which that index's performance is available (December 30, 2005 through November 30, 2015). Pioneer Floating Rate Trust | Annual Report | 11/30/15 11 Schedule of Investments | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- SENIOR SECURED FLOATING RATE LOAN INTERESTS -- 136.7% of Net Assets*(a) AUTOMOBILES & COMPONENTS -- 8.0% Auto Parts & Equipment -- 6.0% 2,859,133 Allison Transmission, Inc., Term Loan B-3, 3.5%, 8/23/19 $ 2,856,096 2,388,000 BBB Industries US Holdings, Inc., First Lien Initial Term Loan, 6.0%, 11/3/21 2,390,985 1,605,759 Cooper Standard Intermediate Holdco 2 LLC, Term Loan, 4.0%, 4/4/21 1,589,032 2,353,731 Crowne Group LLC, First Lien Initial Term Loan, 6.0%, 9/30/20 2,306,657 1,023,312 Electrical Components International, Inc., Term Loan B, 5.75%, 5/28/21 1,025,870 1,693,492 Federal-Mogul Corp., Tranche C Term Loan, 4.75%, 4/15/21 1,525,553 420,750 Gates Global LLC, Initial Dollar Term Loan, 4.25%, 7/6/21 390,561 1,683,000 Key Safety Systems, Inc., Initial Term Loan, 4.75%, 8/29/21 1,643,555 1,299,949 MPG Holdco I, Inc., Initial Term Loan, 3.75%, 10/20/21 1,284,241 778,030 TI Group Automotive Systems LLC, Initial US Term Loan, 4.5%, 6/30/22 770,736 2,346,010 Tower Automotive Holdings USA LLC, Refinancing Term Loan, 4.0%, 4/23/20 2,321,572 -------------- $ 18,104,858 ---------------------------------------------------------------------------------------------------- Automobile Manufacturers -- 1.2% 3,227,157 Chrysler Group LLC, Term Loan B, 3.5%, 5/24/17 $ 3,223,959 466,667 Visteon Corp., Initial Term Loan, 3.5%, 4/9/21 464,816 -------------- $ 3,688,775 ---------------------------------------------------------------------------------------------------- Tires & Rubber -- 0.8% 2,500,000 Goodyear Tire & Rubber Co., Second Lien Term Loan, 3.75%, 4/30/19 $ 2,507,270 -------------- Total Automobiles & Components $ 24,300,903 ---------------------------------------------------------------------------------------------------- BANKS -- 0.1% Thrifts & Mortgage Finance -- 0.1% 411,390 Ocwen Loan Servicing, Initial Term Loan, 5.5%, 2/15/18 $ 411,986 -------------- Total Banks $ 411,986 ---------------------------------------------------------------------------------------------------- CAPITAL GOODS -- 15.2% Aerospace & Defense -- 4.9% 1,098,907 Accudyne Industries Borrower SCA/Accudyne Industries LLC, Refinancing Term Loan, 4.0%, 12/13/19 $ 972,532 1,246,875 Allion Science and Technology Corp., First Lien Term Loan, 5.5%, 8/19/21 1,237,004
The accompanying notes are an integral part of these financial statements. 12 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Aerospace & Defense -- (continued) 1,571,455 BE Aerospace, Inc., Term Loan, 4.0%, 12/16/21 $ 1,573,911 173,371 CPI International, Inc., Term B Loan, 4.25%, 11/17/17 170,770 352,449 DAE Aviation Holdings, Inc., Initial Term Loan, 5.25%, 7/7/22 351,568 1,997,493 Digitalglobe, Inc., Term Loan, 3.75%, 1/31/20 1,965,345 1,398,572 DynCorp International, Inc., Term Loan, 6.25%, 7/7/16 1,358,947 248,789 IAP Worldwide Services, Inc., First Lien Term Loan, 8.0%, 7/18/19 250,033 929,778 TASC, Inc., First Lien New Term Loan, 7.0%, 5/22/20 935,008 904,126 TASC, Inc., First Lien Term Loan, 7.0%, 5/22/20 909,211 1,866,750 Turbocombustor Technology, Inc., Initial Term Loan, 5.5%, 12/2/20 1,726,744 1,518,078 Vencore, Inc. (fka SI Organization, Inc.), First Lien Initial Term Loan, 5.75%, 11/23/19 1,516,180 1,810,983 WP CPP Holdings LLC, First Lien Term B-3 Loan, 4.5%, 12/28/19 1,774,008 334,900 WP CPP Holdings LLC, Second Lien Term Loan B-1, 8.75%, 4/30/21 318,155 -------------- $ 15,059,416 ---------------------------------------------------------------------------------------------------- Building Products -- 3.9% 446,591 Armacell Holdings LLC, First Lien Term Loan B, 5.5%, 7/2/20 $ 448,266 1,301,625 Armstrong World Industries, Inc., Term Loan B, 3.5%, 3/15/20 1,296,744 1,750,000 Builders FirstSource, Inc., Term Loan B, 6.0%, 7/29/22 1,729,583 392,150 NCI Building Systems, Inc., Tranche B Term Loan, 4.25%, 6/24/19 391,538 1,657,912 Nortek, Inc., Incremental-1 Term Loan, 3.5%, 10/30/20 1,628,898 1,875,000 Quanex Building Products Corp., Initial Term Loan, 5.25%, 11/2/22 1,858,594 472,673 Quikrete Holdings, Inc., Initial First Lien Term Loan, 4.0%, 9/28/20 470,753 884,211 Quikrete Holdings, Inc., Initial Second Lien Term Loan, 7.0%, 3/26/21 885,868 1,705,725 Summit Materials LLC, Restatement Effective Date Term Loan, 4.25%, 7/18/22 1,699,329 1,468,474 Unifrax Holding Co., New Term B Dollar Loan, 4.25%, 11/28/18 1,446,446 -------------- $ 11,856,019 ---------------------------------------------------------------------------------------------------- Construction Machinery & Heavy Trucks -- 1.1% 495,915 Doosan Infracore International, Inc. (Doosan Holdings Europe, Ltd.), Tranche B Term Loan, 4.5%, 5/28/21 $ 495,283 404,400 Manitowoc Co., Inc., Term Loan B, 3.25%, 1/3/21 388,467 1,620,000 Navistar, Inc., Tranche B Term Loan, 6.5%, 8/7/20 1,485,674
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 13 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Construction & Farm Machinery & Heavy Trucks -- (continued) 847,375 Terex Corp., US Term Loan, 3.5%, 8/13/21 $ 841,550 -------------- $ 3,210,974 ---------------------------------------------------------------------------------------------------- Electrical Components & Equipment -- 1.4% 2,010,974 Pelican Products, Inc., First Lien Tem Loan, 5.25%, 4/10/20 $ 1,997,148 598,481 Southwire Company LLC, Initial Term Loan, 3.0%, 2/10/21 588,008 1,597,126 WireCo WorldGroup, Inc., Term Loan, 6.0%, 2/15/17 1,568,178 -------------- $ 4,153,334 ---------------------------------------------------------------------------------------------------- Industrial Conglomerates -- 1.2% 205,160 Faenza Acquisition GmbH (CeramTec Acquisition Corp.), Dollar Term B-3 Loan, 4.25%, 8/30/20 $ 204,775 674,191 Faenza Acquisition GmbH (CeramTec Acquisition Corp.), Initial Dollar Term B-1 Loan, 4.25%, 8/30/20 672,927 70,237 Faenza Acquisition GmbH (CeramTec Acquisition Corp.), Initial Dollar Term B-2 Loan, 4.25%, 8/30/20 70,105 1,000,000 Filtration Group Corp., First Lien Term Loan, 4.25%, 11/23/20 987,500 378,990 Filtration Group Corp., Second Lien Initial Term Loan, 8.25%, 11/22/21 376,147 168,763 Kleopatra Holdings 2 SCA, Initial German Borrower Dollar Term Loan, 5.0%, 4/28/20 168,657 394,905 Kleopatra Holdings 2 SCA, Initial US Borrower Dollar Term Loan, 5.0%, 4/28/20 394,658 727,161 Milacron LLC, Term Loan, 4.5%, 9/28/20 724,198 -------------- $ 3,598,967 ---------------------------------------------------------------------------------------------------- Industrial Machinery -- 2.1% 877,247 Gardner Denver, Inc., Initial Dollar Term Loan, 4.25%, 7/30/20 $ 804,436 1,985,000 Mueller Water Products, Inc., Initial Term Loan, 4.0%, 11/24/21 1,988,710 1,750,000 NN, Inc., Initial Term Loan, 5.75%, 10/19/22 1,734,687 712,008 Schaeffler AG, Facility B-USD, 4.25%, 5/15/20 715,346 1,087,210 Xerium Technologies, Inc., New Term Loan, 6.25%, 5/17/19 1,087,210 -------------- $ 6,330,389 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 14 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Trading Companies & Distributors -- 0.6% 1,230,852 AWAS Finance Luxembourg 2012 SA, Term Loan, 3.5%, 7/16/18 $ 1,229,314 711,169 WESCO Distribution, Inc., Tranche B-1 Loan, 3.75%, 12/12/19 710,946 -------------- $ 1,940,260 -------------- Total Capital Goods $ 46,149,359 ---------------------------------------------------------------------------------------------------- COMMERCIAL & PROFESSIONAL SERVICES -- 6.1% Diversified Support Services -- 1.8% 806,678 DH Publishing LP, Term B-3 Loan, 4.0%, 8/19/22 $ 803,317 1,067,925 InfoGroup, Inc., Term Loan B, 7.0%, 5/26/18 1,014,529 704,631 KAR Auction Services, Inc., Tranche B-2 Term Loan, 3.5%, 3/11/21 701,988 604,945 Language Line LLC, First Lien Initial Term Loan, 6.5%, 7/7/21 604,945 1,500,000 Language Line LLC, Second Lien Initial Term Loan, 10.75%, 7/7/22 1,503,750 987,500 Ryan LLC, Tranche B Term Loan, 6.75%, 8/7/20 967,750 -------------- $ 5,596,279 ---------------------------------------------------------------------------------------------------- Environmental & Facilities Services -- 2.2% 566,079 ADS Waste Holdings, Inc., Initial Tranche B-2 Term Loan, 3.75%, 10/9/19 $ 554,581 500,000 Infiltrator Systems Integrated LLC, Second Lien Term Loan, 9.75%, 5/26/23 497,500 920,987 US Ecology, Inc., Term Loan, 3.75%, 6/17/21 922,138 741,275 Waste Industries USA, Inc., Initial Term Loan, 4.25%, 2/27/20 743,128 483,956 Wastequip LLC, Term Loan, 5.5%, 8/9/19 480,931 1,755,445 WCA Waste Corp. (WCA Waste Systems, Inc.), Term Loan, 4.0%, 3/23/18 1,745,570 475,335 Wheelabrator Technologies, Inc., First Lien Term B Loan, 5.0%, 12/17/21 445,627 21,073 Wheelabrator Technologies, Inc., First Lien Term C Loan, 5.0%, 12/17/21 19,756 1,500,000 Wheelabrator Technologies, Inc., Second Lien Term B Loan, 8.25%, 12/19/22 1,290,000 -------------- $ 6,699,231 ---------------------------------------------------------------------------------------------------- Human Resource & Employment Services -- 0.2% 626,227 On Assignment, Inc., Initial Term B Loan, 3.75%, 6/3/22 $ 627,527 ---------------------------------------------------------------------------------------------------- Research & Consulting Services -- 0.3% 750,036 Wyle Services Corp., Term Loan, 5.0%, 5/23/21 $ 748,311 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 15 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Security & Alarm Services -- 1.6% 1,001,794 Allied Security Holdings LLC, Second Lien Closing Date Term Loan, 4.25%, 2/12/21 $ 983,010 118,981 Garda Security, Term B Loan, 5.25%, 11/6/20 115,746 465,109 Garda Security, Term B Loan, 5.25%, 11/6/20 452,464 1,163,640 GEO Group, Inc., Term Loan, 3.25%, 4/3/20 1,160,004 1,058,021 Monitronics International, Inc., 2013 Term Loan B, 4.25%, 3/23/18 1,049,755 1,120,050 Protection One, Inc., 2012 Term Loan, 5.0%, 7/1/21 1,111,790 -------------- $ 4,872,769 -------------- Total Commercial & Professional Services $ 18,544,117 ---------------------------------------------------------------------------------------------------- CONSUMER DURABLES & APPAREL -- 2.7% Home Furnishings -- 0.7% 1,867,406 Serta Simmons Holdings LLC, Term Loan, 4.25%, 10/1/19 $ 1,861,460 171,870 Tempur Pedic International, Inc., New Term Loan B, 3.5%, 3/18/20 172,004 -------------- $ 2,033,464 ---------------------------------------------------------------------------------------------------- Homebuilding -- 0.1% 1,000,000(b)(e) WAICCS Las Vegas 3 LLC, First Lien Term Loan, 7.75%, 8/1/10 $ 450,000 4,500,000(b)(e) WAICCS Las Vegas 3 LLC, Second Lien Term Loan, 13.25%, 8/1/10 247 $ 450,247 ---------------------------------------------------------------------------------------------------- Housewares & Specialties -- 1.6% 977,545 Prestige Brands, Inc., Term B-3 Loan, 3.5%, 9/3/21 $ 974,490 2,219,391 Reynolds Group Holdings, Inc., Incremental US Term Loan, 4.5%, 12/1/18 2,214,473 1,558,232 World Kitchen LLC, US Term Loan, 5.5%, 3/4/19 1,550,441 -------------- $ 4,739,404 ---------------------------------------------------------------------------------------------------- Leisure Products -- 0.3% 600,000 Bombardier Recreational Products, Inc., Term B Loan, 3.75%, 1/30/19 $ 597,964 411,938 Marine Acquisition Corp., Term Loan, 5.25%, 1/30/21 411,938 -------------- $ 1,009,902 -------------- Total Consumer Durables & Apparel $ 8,233,017 ---------------------------------------------------------------------------------------------------- CONSUMER SERVICES -- 10.0% Casinos & Gaming -- 1.6% 1,045,654 CityCenter Holdings LLC, Term B Loan, 4.25%, 10/16/20 $ 1,041,733 698,250 Eldorado Resorts, Inc., Initial Term Loan, 4.25%, 7/25/22 698,250
The accompanying notes are an integral part of these financial statements. 16 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Casinos & Gaming -- (continued) 1,458,750 MGM Resorts International (MGM Grand Detroit LLC), Term B Loan, 3.5%, 12/20/19 $ 1,452,368 1,935,375 Scientific Games International, Inc., Initial Term B-2 Loan, 6.0%, 10/1/21 1,795,968 -------------- $ 4,988,319 ---------------------------------------------------------------------------------------------------- Education Services -- 2.4% 3,431,703 Bright Horizons Family Solutions LLC, Term B Loan, 5.25%, 1/30/20 $ 3,434,905 1,462,043 Laureate Education, Inc., Series 2018 Extended Term Loan, 5.0%, 6/15/18 1,261,012 2,531,496 Nord Anglia Education Finance LLC, Initial Term Loan, 5.0%, 3/31/21 2,506,181 -------------- $ 7,202,098 ---------------------------------------------------------------------------------------------------- Hotels, Resorts & Cruise Lines -- 0.6% 555,921 Hilton Worldwide Finance LLC, Initial Term Loan, 3.5%, 10/26/20 $ 554,377 521,063 NCL Corp., Ltd., Term B Loan, 4.0%, 11/19/21 520,515 970,069 Sabre, Inc., Term B Loan, 4.0%, 2/19/19 966,916 -------------- $ 2,041,808 ---------------------------------------------------------------------------------------------------- Leisure Facilities -- 1.7% 850,457 Cedar Fair LP, US Term Facility, 3.25%, 3/6/20 $ 854,438 2,221,875 Fitness International LLC, Term B Loan, 5.5%, 7/1/20 2,114,947 613,463 Life Time Fitness, Inc., Closing Date Term Loan, 4.25%, 6/10/22 604,644 1,496,250 Six Flags Theme Parks, Inc., Tranche B Term Loan, 3.5%, 6/30/22 1,500,926 -------------- $ 5,074,955 ---------------------------------------------------------------------------------------------------- Restaurants -- 2.2% 757,067 1011778 BC Unlimited Liability Co. (New Red Finance, Inc.) (aka Burger King/Tim Hortons), Term B-2 Loan, 3.75%, 12/10/21 $ 755,715 2,176,065 Landry's, Inc. (fka Landry's Restaurants, Inc.), Term Loan B, 4.0%, 4/24/18 2,178,446 1,761,125 NPC International, Inc., Term Loan, 4.0%, 12/28/18 1,740,578 1,980,000 Red Lobster Management LLC, First Lien Initial Term Loan, 6.25%, 7/28/21 1,978,762 -------------- $ 6,653,501 ---------------------------------------------------------------------------------------------------- Specialized Consumer Services -- 1.5% 2,481,250 Creative Artists Agency LLC, Initial Term Loan, 5.5%, 12/17/21 $ 2,483,964 1,750,000 KC MergerSub, Inc., First Lien Initial Term Loan, 6.0%, 8/12/22 1,719,375
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 17 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Specialized Consumer Services -- (continued) 383,810 Weight Watchers International, Inc., Initial Tranche B-2 Term Loan, 4.0%, 4/2/20 $ 302,251 -------------- $ 4,505,590 -------------- Total Consumer Services $ 30,466,271 ---------------------------------------------------------------------------------------------------- DIVERSIFIED FINANCIALS -- 3.6% Asset Management & Custody Banks -- 0.5% 1,510,087 Vistra Group, Ltd., USD Term Loan, 4.75%, 10/26/22 $ 1,513,862 ---------------------------------------------------------------------------------------------------- Consumer Finance -- 0.5% 1,379,000 Trans Union LLC, Term B-2 Loan, 3.5%, 4/9/21 $ 1,352,799 ---------------------------------------------------------------------------------------------------- Investment Banking & Brokerage -- 0.9% 1,195,017 Duff & Phelps Corp., Initial Term Loan, 4.75%, 4/23/20 $ 1,186,054 735,000 Guggenheim Partners Investment Management Holdings LLC, Initial Term Loan, 4.25%, 7/22/20 733,622 104,504 LPL Holdings, Inc., 2013 Incremental Tranche B Term Loan, 3.25%, 3/29/19 103,851 748,125 MJ Acquisition Corp., Term Loan, 4.0%, 6/1/22 734,098 -------------- $ 2,757,625 ---------------------------------------------------------------------------------------------------- Other Diversified Financial Services -- 1.0% 325,000 Delos Finance S.a.r.l., Term Loan, 3.5%, 3/6/21 $ 324,154 812,135 Fly Funding II S.a.r.l., Term Loan, 3.5%, 8/9/19 808,074 2,003,875 Livingston International, Inc., First Lien Initial Term B-1 Loan, 5.0%, 4/18/19 1,893,662 -------------- $ 3,025,890 ---------------------------------------------------------------------------------------------------- Specialized Finance -- 0.7% 1,500,000 Avago Technologies, Term Loan B, 3.5%, 11/11/22 $ 1,485,937 744,375 DBRS, Ltd., Initial Term Loan, 6.25%, 3/4/22 743,445 -------------- $ 2,229,382 -------------- Total Diversified Financials $ 10,879,558 ---------------------------------------------------------------------------------------------------- ENERGY -- 3.4% Coal & Consumable Fuels -- 0.0%+ 783,333 PT Bumi Resources Tbk, Term Loan, 18.0%, 11/4/16 $ 168,417 ---------------------------------------------------------------------------------------------------- Integrated Oil & Gas -- 0.5% 132,393 Glenn Pool Oil & Gas Trust 1, Term Loan, 4.5%, 5/2/16 $ 132,062 1,496,250 TerraForm AP Acquisition Holdings LLC, Term Loan, 5.0%, 6/27/22 1,436,400 -------------- $ 1,568,462 ---------------------------------------------------------------------------------------------------- Oil & Gas Drilling -- 0.7% 2,500,000 Jonah Energy LLC, Second Lien Initial Term Loan, 7.5%, 5/12/21 $ 1,862,500
The accompanying notes are an integral part of these financial statements. 18 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Oil & Gas Drilling -- (continued) 125,857(b) Offshore Group Investment, Ltd. (Vantage Delaware Holdings LLC), Second Lien Term Loan, 5.75%, 3/28/19 $ 36,079 409,758 Pacific Drilling SA, Term Loan, 4.5%, 6/3/18 232,879 -------------- $ 2,131,458 ---------------------------------------------------------------------------------------------------- Oil & Gas Equipment & Services -- 0.4% 1,659,928 FR Dixie Acquisition Corp., Term Loan, 5.75%, 12/18/20 $ 1,199,298 ---------------------------------------------------------------------------------------------------- Oil & Gas Exploration & Production -- 0.9% 1,516,667 EP Energy LLC, Tranche B-3 Term Loan, 3.5%, 5/24/18 $ 1,374,479 84,204 Fieldwood Energy LLC, Closing Date Second Lien Term Loan, 8.375%, 9/30/20 25,998 662,520 Fieldwood Energy LLC, Closing Date Term Loan, 3.875%, 10/1/18 542,852 750,143 Penn Products Terminals LLC, Tranche B Term Loan, 4.75%, 4/13/22 701,384 -------------- $ 2,644,713 ---------------------------------------------------------------------------------------------------- Oil & Gas Refining & Marketing -- 0.7% 905,288 Pilot Travel Centers LLC, Refinancing Tranche B Term Loan, 3.75%, 10/1/21 $ 909,241 1,143,071 Western Refining, Inc., Term Loan 2013, 4.25%, 11/12/20 1,109,732 -------------- $ 2,018,973 ---------------------------------------------------------------------------------------------------- Oil & Gas Storage & Transportation -- 0.2% 691,250 Southcross Energy Partners LP, Initial Term Loan, 5.25%, 8/4/21 $ 587,562 -------------- Total Energy $ 10,318,883 ---------------------------------------------------------------------------------------------------- FOOD & STAPLES RETAILING -- 2.6% Drug Retail -- 0.6% 1,723,188 Hearthside Group Holdings LLC, Term Loan, 4.5%, 6/2/21 $ 1,710,737 ---------------------------------------------------------------------------------------------------- Food Distributors -- 1.2% 448,499 CTI Foods Holding Co., LLC, First Lien Term Loan, 4.5%, 6/29/20 $ 424,953 1,000,000 CTI Foods Holding Co., LLC, Second Lien Term Loan, 8.25%, 6/28/21 920,000 2,443,808 Mill US Acquisition, First Lien Term Loan, 5.0%, 7/3/20 2,412,649 -------------- $ 3,757,602 ---------------------------------------------------------------------------------------------------- Food Retail -- 0.8% 1,975,415 Albertson's LLC, Term B-2 Loan, 5.375%, 3/21/19 $ 1,974,674 496,250 Packers Holdings LLC, Term Loan, 5.0%, 12/2/21 496,870 -------------- $ 2,471,544 -------------- Total Food & Staples Retailing $ 7,939,883 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 19 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- FOOD, BEVERAGE & TOBACCO -- 2.8% Packaged Foods & Meats -- 2.8% 837,764 AdvancePierre Foods, Inc., First Lien Term Loan, 5.75%, 7/10/17 $ 838,392 1,100,000 AdvancePierre Foods, Inc., Second Lien Term Loan, 9.5%, 10/10/17 1,091,750 1,157,360 Boulder Brands, Inc. (fka Smart Balance, Inc.), Term Loan, 4.5%, 7/9/20 1,154,467 1,000,000 Del Monte Foods, Inc., Second Lien Initial Term Loan, 8.25%, 8/18/21 895,000 1,000,000 JBS USA LLC, 2015 Incremental Term Loan, 4.0%, 10/31/22 996,244 1,945,801 Pinnacle Foods Finance LLC, New Term Loan G, 3.0%, 4/29/20 1,929,992 294,279 Post Holdings, Inc., Series A Incremental Term Loan, 3.75%, 6/2/21 294,621 1,485,000 Shearer's Foods LLC, First Lien Term Loan, 4.938%, 6/30/21 1,472,006 -------------- $ 8,672,472 -------------- Total Food, Beverage & Tobacco $ 8,672,472 ---------------------------------------------------------------------------------------------------- HEALTH CARE EQUIPMENT & SERVICES -- 12.3% Health Care Equipment -- 0.5% 866,827 Kinetic Concepts, Inc., Dollar E-1 Term Loan, 4.5%, 5/4/18 $ 847,323 725,000 Physio-Control International, Inc., First Lien Initial Term Loan, 5.5%, 6/6/22 714,125 -------------- $ 1,561,448 ---------------------------------------------------------------------------------------------------- Health Care Facilities -- 2.1% 691,250 AmSurg Corp., Initial Term Loan, 3.5%, 7/16/21 $ 687,686 300,159 CHS/Community Health Systems, Inc., Incremental 2018 Term F Loan, 3.482%, 12/31/18 295,844 281,691 CHS/Community Health Systems, Inc., Incremental 2019 Term G Loan, 3.75%, 12/31/19 276,475 518,303 CHS/Community Health Systems, Inc., Incremental 2021 Term H Loan, 4.0%, 1/27/21 511,136 1,576,544 Iasis Healthcare LLC, Term B-2 Loan, 4.5%, 5/3/18 1,558,316 1,074,654 Kindred Healthcare, Inc., Incremental Term Loan, 4.25%, 4/9/21 1,034,355 1,550,249 Regionalcare Hospital Partners, Inc., First Lien Term Loan, 5.25%, 4/23/19 1,540,559 423,877 Select Medical Corp., Series E, Tranche B Term Loan, 3.75%, 6/1/18 422,287 -------------- $ 6,326,658 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 20 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Health Care Services -- 6.1% 987,500 Aegis Toxicology Sciences Corp., Initial First Lien Term Loan, 5.5%, 2/24/21 $ 829,500 1,118,765 Alliance Healthcare Services, Inc., Initial Term Loan, 4.25%, 6/3/19 1,111,424 267,625 Ardent Legacy Acquisitions, Inc. (Ardent Mergeco LLC), Term Loan, 6.5%, 8/4/21 266,287 375,000 Bioscrip, Inc., Term Loan, 6.5%, 7/31/20 343,125 625,000 Bioscrip, Inc., Initial Term B Loan, 6.5%, 7/31/20 571,875 865,683 BSN Medical Luxembourg Holding S.a.r.l. (P & F Capital), Facility Term Loan B-1A, 4.0%, 8/28/19 859,190 1,119,358(c) CCS Medical, Inc., Second Lien Term Loan, 12.25% (7.0% PIK 5.25% cash), 3/31/16 195,888 877,872 DaVita HealthCare Partners, Inc., Term Loan B2, 3.5%, 6/24/21 876,221 1,166,974 Emergency Medical Services Corp., Initial Term Loan, 4.25%, 5/25/18 1,165,515 1,481,250 Genex Holdings, Inc., First Lien Term B Loan, 5.25%, 5/28/21 1,471,066 349,125 Genoa Healthcare Co., LLC, Initial First Lien Term Loan, 4.5%, 4/29/22 348,252 750,000 Global Healthcare Exchange LLC, Initial Term Loan, 5.5%, 8/15/22 748,829 997,500 HC Group Holdings III, Inc., Initial Term Loan, 6.0%, 4/7/22 999,578 1,253,413 National Mentor Holdings, Inc., Tranche B Term Loan, 4.25%, 1/31/21 1,226,778 354,666 National Surgical Hospitals, Inc., Term Loan, 4.5%, 6/1/22 346,243 693,015 NVA Holdings, Inc., First Lien Term Loan, 4.75%, 8/14/21 692,871 910,219 Pharmaceutical Product Development, First Lien Term B Loan, 4.25%, 8/18/22 888,886 1,520,348 Steward Health Care System LLC, Term Loan, 6.75%, 4/10/20 1,504,651 992,500 Surgery Center Holdings, Inc., Initial Term Loan, 5.25%, 11/3/20 988,778 1,420,000 US Renal Care, Inc., First Lien Term Loan, 5.25%, 11/17/22 1,412,900 1,419,649 US Renal Care, Inc., Tranche B-2 First Lien Term Loan, 5.5%, 7/3/19 1,415,657 593,754 Valitas Health Services, Inc., Term Loan B, 6.0%, 6/2/17 475,003 -------------- $ 18,738,517 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 21 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Health Care Supplies -- 1.4% 976,075 Alere, Inc., Term Loan B, 4.25%, 6/20/22 $ 965,617 1,350,000 Greatbatch, Ltd., Term B Loan, 5.25%, 10/27/22 1,344,727 434,647 Halyard Health, Inc., Term Loan, 4.0%, 11/1/21 432,883 835,499 Immucor, Inc. (fka IVD Acquisition Corp.), Term B-2 Loan, 5.0%, 8/19/18 810,434 840,000 Sterigenics-Nordion Holdings LLC, Initial Term Loan, 4.25%, 5/16/22 830,550 -------------- $ 4,384,211 ---------------------------------------------------------------------------------------------------- Health Care Technology -- 2.0% 1,246,875 ConvaTec, Inc., Dollar Term Loan, 4.25%, 6/15/20 $ 1,238,303 2,050,657 Emdeon, Inc., Term B-2 Loan, 3.75%, 11/2/18 2,039,977 198,000 Emdeon, Inc., Term B-3 Loan, 3.75%, 11/2/18 196,432 445,700 MedAssets, Inc., Term B Loan, 4.0%, 12/13/19 443,605 1,005,065 Medical Card System, Inc., Term Loan, 12.0%, 3/17/17 964,863 1,096,959 Truven Health Analytics, Inc., Tranche B Term Loan, 4.5%, 6/6/19 1,076,720 -------------- $ 5,959,900 ---------------------------------------------------------------------------------------------------- Managed Health Care -- 0.2% 446,775(b) MMM Holdings, Inc., MMM Term Loan, 9.75%, 12/12/17 $ 289,846 324,804(b) MSO of Puerto Rico, Inc., Term Loan, 9.75%, 12/12/17 210,716 -------------- $ 500,562 -------------- Total Health Care Equipment & Services $ 37,471,296 ---------------------------------------------------------------------------------------------------- HOUSEHOLD & PERSONAL PRODUCTS -- 1.8% Household Products -- 0.9% 816,540 Spectrum Brands, Inc., USD Term Loan, 3.5%, 6/23/22 $ 818,198 1,451,229 SRAM LLC, First Lien Term Loan, 5.25%, 4/10/20 1,248,057 74,329 Wash Multifamily Parent, Inc., First Lien Initial Canadian Term Loan, 4.25%, 5/16/22 72,842 424,421 Wash Multifamily Parent, Inc., First Lien Initial US Term Loan, 4.25%, 5/16/22 415,933 -------------- $ 2,555,030 ---------------------------------------------------------------------------------------------------- Personal Products -- 0.9% 2,048,028 NBTY, Inc., B-2 Term Loan, 3.5%, 10/1/17 $ 2,023,708 800,000 Party City Holdings, Inc., Term Loan, 4.25%, 8/19/22 785,334 -------------- $ 2,809,042 -------------- Total Household & Personal Products $ 5,364,072 ---------------------------------------------------------------------------------------------------- INSURANCE -- 3.0% Insurance Brokers -- 0.3% 990,004 National Financial Partners Corp., 2014 Specified Refinancing Term Loan, 4.5%, 7/1/20 $ 972,989
The accompanying notes are an integral part of these financial statements. 22 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Life & Health Insurance -- 0.4% 1,191,667 Integro, Ltd., Term Loan, 5.75%, 10/31/22 $ 1,167,833 ---------------------------------------------------------------------------------------------------- Multi-Line Insurance -- 0.1% 363,721 Alliant Holdings I LLC, Term Loan B, 4.5%, 8/12/22 $ 358,380 ---------------------------------------------------------------------------------------------------- Property & Casualty Insurance -- 2.2% 2,405,540 Confie Seguros Holding II Co., First Lien Term Loan B, 5.75%, 11/9/18 $ 2,414,560 500,000 Confie Seguros Holding II Co., Second Lien Term Loan, 10.25%, 5/8/19 494,375 1,990,000 Hyperion Insurance Group, Ltd., Initial Term Loan, 5.5%, 4/29/22 1,996,633 1,920,984 USI, Inc., Initial Term Loan, 4.25%, 12/27/19 1,892,770 -------------- $ 6,798,338 -------------- Total Insurance $ 9,297,540 ---------------------------------------------------------------------------------------------------- MATERIALS -- 15.5% Aluminum -- 0.7% 2,169,563 Novelis, Inc., New Term Loan, 4.0%, 6/2/22 $ 2,113,154 ---------------------------------------------------------------------------------------------------- Commodity Chemicals -- 1.6% 630,238 Axiall Holdco, Inc., Term Loan B, 4.0%, 2/28/22 $ 629,975 1,745,205 AZ Chem US, Inc., First Lien Initial Term Loan, 5.75%, 6/11/21 1,744,879 1,637,625 Eco Services Operations LLC, First Lien Term Loan, 4.75%, 12/1/21 1,629,096 805,502 Tronox Pigments (Netherlands) BV, Closing Date Term Loan, 4.25%, 3/19/20 736,783 -------------- $ 4,740,733 ---------------------------------------------------------------------------------------------------- Construction Materials -- 0.2% 594,000 Penn Engineering & Manufacturing Corp., Incremental Tranche B Term Loan, 4.0%, 8/27/21 $ 591,401 ---------------------------------------------------------------------------------------------------- Diversified Chemicals -- 2.3% 1,682,905 Axalta Coating Systems Dutch Holding B BV & Axalta Coating Systems US Holdings, Inc., Refinanced Term B Loan, 3.75%, 2/1/20 $ 1,670,884 1,814,500 Nexeo Solutions LLC, Initial Term Loan, 5.0%, 9/8/17 1,744,188 693,000 Orion Engineered Carbons GmbH (OEC Finance US LLC), Initial Dollar Term Loan, 5.0%, 7/25/21 696,465 268,377 Oxea Finance & Cy SCA (Oxea Finance LLC), First Lien Tranche B-2 Term Loan, 4.25%, 1/15/20 258,649 625,000 Plaskolite LLC, First Lien Term Loan, 5.75%, 11/3/22 623,437 325,000 Royal Holdings, Inc., Second Lien Initial Term Loan, 8.5%, 6/19/23 322,766 1,835,000 Univar USA, Inc., Initial Dollar Term Loan, 4.25%, 7/1/22 1,787,160 -------------- $ 7,103,549 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 23 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Diversified Metals & Mining -- 1.8% 2,164,125 Chemstralia Pty, Ltd. (Chemstralia Finco LLC), Initial Term Loan, 7.25%, 2/28/22 $ 2,132,962 2,204,526 FMG Resources (August 2006) Pty, Ltd. (FMG America Finance, Inc.), Term Loan, 4.25%, 6/30/19 1,807,711 985,000 Hi-Crush Partners LP, Advance, 4.75%, 4/28/21 788,000 1,005,848 US Silica Co., Term Loan, 4.0%, 7/23/20 924,122 -------------- $ 5,652,795 ---------------------------------------------------------------------------------------------------- Fertilizers & Agricultural Chemicals -- 0.5% 1,745,625 Methanol Holdings (Trinidad), Ltd. (Methanol Holdings (Delaware) LLC), Initial Term Loan, 4.25%, 6/30/22 $ 1,627,795 ---------------------------------------------------------------------------------------------------- Metal & Glass Containers -- 1.8% 1,499,554 BWay Intermediate Co., Inc., Initial Term Loan, 5.5%, 8/14/20 $ 1,460,894 800,000 Prolampac Intermediate, Inc., First Lien Term B Loan, 6.25%, 8/18/22 797,000 1,281,828 Tank Holding Corp., Initial Term Loan, 6.5%, 3/16/22 1,273,176 1,945,125 Tekni-Plex, Inc., USD Term Loan, 4.5%, 6/1/22 1,927,092 -------------- $ 5,458,162 ---------------------------------------------------------------------------------------------------- Paper Packaging -- 1.6% 1,350,000 Berry Plasctics Corp., Term F Loan, 4.0%, 10/3/22 $ 1,344,263 1,324,846 Caraustar Industries, Inc., Incremental Term Loan, 8.0%, 5/1/19 1,325,399 159,439 Caraustar Industries, Inc., Term Loan, 8.0%, 5/1/19 159,505 1,218,875 Onex Wizard Acquisition Co. I S.a.r.l. (aka SIG Combibloc Group), Term Loan, 4.25%, 3/11/22 1,212,950 818,731 Pro Mach Group, Inc., First Lien Dollar Term Loan, 4.75%, 10/22/21 818,219 -------------- $ 4,860,336 ---------------------------------------------------------------------------------------------------- Paper Products -- 2.0% 1,653,881 Appvion, Inc., Term Commitment, 5.75%, 6/28/19 $ 1,553,270 479,999 Exopack Holdings SA, USD Term Loan, 4.5%, 5/8/19 476,699 500,000 Ranpak Corp., Second Lien Initial Term Loan, 8.25%, 10/3/22 497,500 207,795 Ranpak Corp., Tranche B-1 USD Term Loan, 4.25%, 10/1/21 206,626 3,447,961 Wausau Paper Corp., Term Loan, 6.5%, 7/30/20 3,452,271 -------------- $ 6,186,366 ---------------------------------------------------------------------------------------------------- Specialty Chemicals -- 1.9% 349,487 Chemtura Corp., New Term Loan, 3.5%, 8/29/16 $ 349,196 1,782,000 Ferro Corp., Term Loan, 4.0%, 7/30/21 1,770,862 150,051 Huntsman International LLC, 2015 Extended Term B Dollar Loan, 3.318%, 4/19/19 148,426
The accompanying notes are an integral part of these financial statements. 24 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Specialty Chemicals -- (continued) 989,873 Macdermid, Inc., First Lien Tranche B Term Loan, 4.5%, 6/7/20 $ 963,518 595,500 Macdermid, Inc., Tranche B-2 Term Loan, 4.75%, 6/7/20 580,612 1,945,000 PQ Corp., 2014 Term Loan, 4.0%, 8/7/17 1,938,315 -------------- $ 5,750,929 ---------------------------------------------------------------------------------------------------- Steel -- 1.1% 2,000,492 Atkore International, Inc., First Lien Initial Term Loan, 4.5%, 4/9/21 $ 1,860,457 777,008 JMC Steel Group, Inc., Term Loan, 4.75%, 4/1/17 755,398 657,268 TMS International Corp., Term B Loan, 4.5%, 10/16/20 621,119 -------------- $ 3,236,974 -------------- Total Materials $ 47,322,194 ---------------------------------------------------------------------------------------------------- MEDIA -- 14.7% Advertising -- 1.8% 3,065,443 Affinion Group, Inc., Tranche B Term Loan, 6.75%, 4/30/18 $ 2,870,021 632,000 Checkout Holding Corp., First Lien Term B Loan, 4.5%, 4/9/21 537,200 1,000,000 Checkout Holding Corp., Second Lien Initial Loan, 7.75%, 4/11/22 615,300 1,993,625 Crossmark Holdings, Inc., First Lien Term Loan, 4.5%, 12/20/19 1,495,219 -------------- $ 5,517,740 ---------------------------------------------------------------------------------------------------- Broadcasting -- 3.2% 388,781 CBS Outdoor Americas Capital LLC (CBS Outdoor Americas Capital Corp.), Term Loan, 3.0%, 2/1/21 $ 385,825 281,216 Entercom Radio LLC, Term B-2 Loan, 5.25%, 11/23/18 280,864 532,752 Gray Television, Inc., Initial Term Loan, 3.75%, 6/13/21 530,643 883,889 Hubbard Radio LLC, Term Loan, 4.25%, 5/27/22 839,695 1,697,500 MCC Iowa LLC, Tranche G Term Loan, 4.0%, 1/20/20 1,695,378 1,876,800 MCC Iowa LLC, Tranche H Term Loan, 3.25%, 1/29/21 1,858,032 997,500 Sinclair Television Group, Inc., Incremental Tranche B-1 Term Loan, 3.5%, 7/30/21 991,682 1,015,594 Sinclair Television Group, Inc., Tranche B Term Loan, 3.0%, 4/9/20 1,002,264 2,150,802 Univision Communications, Inc., Replacement First Lien Term Loan, 4.0%, 3/1/20 2,126,102 -------------- $ 9,710,485 ---------------------------------------------------------------------------------------------------- Cable & Satellite -- 4.8% 299,250 Altice Financing SA, Dollar Denominated Tranche Loan, 5.25%, 2/4/22 $ 298,455 2,545,571 Cequel Communications LLC, Term Loan, 3.5%, 2/14/19 2,522,152
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 25 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Cable & Satellite -- (continued) 1,998,988 Charter Communications Operating LLC, Term F Loan, 3.0%, 1/3/21 $ 1,972,573 2,673,000 Endemol, Term Loan, 6.75%, 8/13/21 2,512,620 246,881 Learfield Communications, Inc., First Lien 2014 Replacement Term Loan, 4.5%, 10/9/20 246,804 685,000 Learfield Communications, Inc., Initial Second Lien Term Loan, 8.75%, 10/8/21 679,862 3,389,306 Telesat Canada, US Term B-2 Loan, 3.5%, 3/28/19 3,365,299 1,117,713 Virgin Media Investment Holdings, Ltd., Facility F, 3.5%, 6/30/23 1,102,695 2,022,715 WideOpenWest Finance LLC, Replacement Term B Loan, 4.5%, 4/1/19 1,981,840 -------------- $ 14,682,300 ---------------------------------------------------------------------------------------------------- Movies & Entertainment -- 2.1% 1,157,908 AMC Entertainment, Inc., Initial Term Loan, 3.5%, 4/30/20 $ 1,158,632 500,000 CDS US Intermediate Holdings, Inc. (Cirque Du Soleil Canada, Inc.), First Lien Initial Term Loan, 5.0%, 7/8/22 497,500 1,000,000 CDS US Intermediate Holdings, Inc. (Cirque Du Soleil Canada, Inc.), Second Lien Initial Term Loan, 9.25%, 7/10/23 981,667 346,582 Cinedigm Digital Funding I LLC, Term Loan, 3.75%, 2/28/18 346,582 713,235 Kasima LLC, Term Loan, 3.25%, 5/17/21 711,601 1,075,250 Seminole Hard Rock Entertainment, Inc., Term Loan B, 3.5%, 5/14/20 1,059,793 1,673,027 WMG Acquisitions Corp., Tranche B Refinancing Term Loan, 3.75%, 7/1/20 1,617,159 -------------- $ 6,372,934 ---------------------------------------------------------------------------------------------------- Publishing -- 2.8% 1,600,783 Cengage Learning Acquisitions, Inc., Term Loan, 7.0%, 3/31/20 $ 1,579,773 698,250 Houghton Mifflin Holdings, Inc., Term Loan, 4.0%, 5/28/21 670,320 530,569 Interactive Data Corp., Term Loan, 4.75%, 5/2/21 530,208 257,825 Lee Enterprises, Inc., First Lien Term Loan, 7.25%, 3/31/19 254,357 1,460,341 McGraw-Hill Global Education Holdings LLC, Term B Loan Refinancing, 4.75%, 3/22/19 1,463,992 1,842,188 McGraw-Hill School Education Holdings LLC, Term B Loan, 6.25%, 12/18/19 1,839,885
The accompanying notes are an integral part of these financial statements. 26 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Publishing -- (continued) 820,000 Quincy Newspapers, Inc., Term B Loan, 4.5%, 11/2/22 $ 816,925 1,393,000 Springer SBM Two GmbH, Initial Term B9 Loan, 4.75%, 8/14/20 1,356,434 -------------- $ 8,511,894 -------------- Total Media $ 44,795,353 ---------------------------------------------------------------------------------------------------- PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES -- 2.9% Biotechnology -- 0.9% 914,292 Alkermes, Inc., 2019 Term Loan, 3.5%, 9/25/19 $ 912,578 1,995,000 Lantheus Medical Imaging, Inc., Term Loan, 7.0%, 6/30/22 1,845,375 -------------- $ 2,757,953 ---------------------------------------------------------------------------------------------------- Life Sciences Tools & Services -- 0.6% 2,000,000 Albany Molecular Research, Inc., Term Loan B, 5.75%, 7/16/21 $ 1,995,000 ---------------------------------------------------------------------------------------------------- Pharmaceuticals -- 1.4% 1,500,000 Concordia Healthcare Corp., Initial Dollar Term Loan, 4.25%, 10/21/21 $ 1,433,907 312,365 Endo Luxembourg Finance Company I S.a.r.l., Term Loan B, 3.75%, 9/26/22 307,549 1,061,563 Patheon, Inc., Term Loan, 4.25%, 3/11/21 1,038,474 852,793 Valeant Pharmaceuticals International, Inc., Series C-2 Tranche B Term Loan, 3.75%, 12/11/19 807,666 639,595 Valeant Pharmaceuticals International, Inc., Series D-2 Term Loan B, 3.5%, 2/13/19 605,057 -------------- $ 4,192,653 -------------- Total Pharmaceuticals, Biotechnology & Life Sciences $ 8,945,606 ---------------------------------------------------------------------------------------------------- REAL ESTATE -- 2.4% Real Estate Services -- 1.0% 2,000,251 Altisource Solutions S.a.r.l, Term Loan B, 4.5%, 12/9/20 $ 1,785,224 1,369,093 GCA Services Group, Inc., First Lien Term Loan, 4.25%, 11/1/19 1,365,243 -------------- $ 3,150,467 ---------------------------------------------------------------------------------------------------- Retail REIT -- 0.8% 1,269,099 DTZ US Borrower LLC, First Lien Initial Term Loan, 4.25%, 11/4/21 $ 1,252,245 1,000,000 DTZ US Borrower LLC, Second Lien Initial Term Loan, 9.25%, 11/4/22 995,000 -------------- $ 2,247,245 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 27 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Specialized REIT -- 0.6% 1,995,000 Communications Sales & Leasing, Inc. (CSL Capital LLC), Term Loan, 5.0%, 10/24/22 $ 1,866,883 -------------- Total Real Estate $ 7,264,595 ---------------------------------------------------------------------------------------------------- RETAILING -- 3.4% Apparel Retail -- 0.4% 518,433 Hudson's Bay Co., Term Loan B, 4.75%, 9/30/22 $ 517,542 783,239 Men's Wearhouse, Inc., Term Loan B, 4.5%, 6/18/21 733,634 -------------- $ 1,251,176 ---------------------------------------------------------------------------------------------------- Automotive Retail -- 0.8% 1,510,748 CWGS Group LLC, Term Loan, 5.25%, 2/20/20 $ 1,501,306 972,500 Hertz Corp., Tranche B-1 Term Loan, 3.75%, 3/11/18 971,082 -------------- $ 2,472,388 ---------------------------------------------------------------------------------------------------- Computer & Electronics Retail -- 0.5% 197,000 Rent-A-Center, Inc., 2014 Term Loan, 3.75%, 3/19/21 $ 191,208 1,559,594 Targus Group International, Inc., Term Loan, 14.75%, 5/24/16 1,146,302 -------------- $ 1,337,510 ---------------------------------------------------------------------------------------------------- Home Improvement Retail -- 0.2% 731,250 Apex Tool Group LLC, Term Loan, 4.5%, 1/31/20 $ 712,969 ---------------------------------------------------------------------------------------------------- Specialty Stores -- 1.5% 1,773,333 Dollar Tree, Inc., Term B-1 Loan, 3.5%, 7/6/22 $ 1,769,824 1,990,000 Petsmart, Inc., Tranche B-1 Loan, 4.25%, 3/11/22 1,961,021 750,000 Staples, Inc., First Lien Term Loan, 2.75%, 4/23/21 742,396 -------------- $ 4,473,241 -------------- Total Retailing $ 10,247,284 ---------------------------------------------------------------------------------------------------- SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT -- 1.2% Semiconductor Equipment -- 0.3% 597,558 Entegris, Inc., Tranche B Term Loan, 3.5%, 4/30/21 $ 595,441 393,009 VAT Lux II S.a.r.l., Term Loan, 4.25%, 2/11/21 391,535 -------------- $ 986,976 ---------------------------------------------------------------------------------------------------- Semiconductors -- 0.9% 1,755,942 M/A-COM Technology Solutions Holdings, Inc., Initial Term Loan, 4.5%, 5/7/21 $ 1,755,942 823,871 Microsemi Corp., Term Loan, 3.25%, 2/19/20 819,580 -------------- $ 2,575,522 -------------- Total Semiconductors & Semiconductor Equipment $ 3,562,498 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 28 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- SOFTWARE & SERVICES -- 10.4% Application Software -- 4.5% 991,008 Applied Systems, Inc., First Lien Term Loan, 4.25%, 1/25/21 $ 977,898 988,007 Applied Systems, Inc., Second Lien Term Loan, 7.5%, 1/24/22 959,601 978,320 Epiq Systems, Inc., Term Loan, 4.5%, 8/27/20 963,645 1,125,183 Expert Global Solutions, Inc., Advance First Lien Term Loan B, 8.5%, 4/3/18 1,116,744 1,044,990 Infor (US), Inc., Tranche B-5 Term Loan, 3.75%, 6/3/20 999,925 1,511,232 Nuance Communications, Inc., Term Loan C, 2.99%, 8/7/19 1,496,119 1,938,295 Serena Software, Inc., Term Loan, 7.5%, 4/14/20 1,928,604 1,056,648 STG-Fairway Acquisitions, Inc., First Lien Term Loan, 6.25%, 6/30/22 1,038,817 1,411,935 Verint Systems, Inc., Tranche B Incremental Term Loan, 3.5%, 9/6/19 1,409,464 1,000,000 Vertafore, Inc., Second Lien Term Loan, 9.75%, 10/27/17 1,002,500 1,845,991 Vertafore, Inc., Term Loan, 4.25%, 10/3/19 1,844,145 -------------- $ 13,737,462 ---------------------------------------------------------------------------------------------------- Data Processing & Outsourced Services -- 0.7% 1,000,000 First Data Corp., 2018 B Second New Term Loan, 3.7%, 9/24/18 $ 991,875 1,187,493 First Data Corp., 2018 Dollar Term Loan, 3.7%, 3/23/18 1,178,587 -------------- $ 2,170,462 ---------------------------------------------------------------------------------------------------- Home Entertainment Software -- 0.4% 1,259,001 MA Financeco LLC, Initial Tranche B Term Loan, 5.25%, 11/19/21 $ 1,256,415 ---------------------------------------------------------------------------------------------------- Internet Software & Services -- 1.0% 1,050,000 Match Group, Inc., Term B-1 Loan, 5.5%, 11/16/22 $ 1,044,750 1,521,788 Vocus Valor Companies, Inc., First Lien Initial Term Loan, 6.0%, 5/30/21 1,493,255 492,442 Zayo Group LLC (Zayo Capital, Inc.), Term Loan, 3.75%, 5/6/21 487,957 -------------- $ 3,025,962 ---------------------------------------------------------------------------------------------------- IT Consulting & Other Services -- 2.6% 1,641,341 Booz Allen Hamilton, Inc., Initial Tranche B Term Loan, 3.75%, 7/31/19 $ 1,647,086 3,456,250 Evergreen Skills Lux S.a r.l., First Lien Initial Term Loan, 5.75%, 4/28/21 2,941,990 1,000,000 Evergreen Skills Lux S.a r.l., Second Lien Initial Term Loan, 9.25%, 4/28/22 756,500
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 29 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- IT Consulting & Other Services -- (continued) 485,458 Kronos, Inc., First Lien Incremental Term Loan, 4.5%, 10/30/19 $ 483,259 696,500 Science Applications International Corp., Incremental Tranche B Loan, 3.75%, 5/4/22 696,645 1,375,000 Sitel Worldwide Corp., First Lien Term B-1 Loan, 6.5%, 9/18/21 1,357,812 -------------- $ 7,883,292 ---------------------------------------------------------------------------------------------------- Systems Software -- 1.2% 1,240,625 AVG Technologies NV (AVG Corporate Services BV), Term Loan, 5.75%, 10/15/20 $ 1,238,299 1,259,063 MSC.Software Corp., Term Loan, 5.0%, 5/29/20 1,183,519 1,254,584 Rovi Solutions Corp., Term B Loan, 3.75%, 7/2/21 1,181,400 -------------- $ 3,603,218 -------------- Total Software & Services $ 31,676,811 ---------------------------------------------------------------------------------------------------- TECHNOLOGY HARDWARE & EQUIPMENT -- 2.8% Communications Equipment -- 0.4% 684,575 Audio Visual Services Group, Inc., First Lien Term Loan, 4.5%, 1/25/21 $ 676,446 500,000 Commscope, Inc., Tranche 5 Term Loan, 3.75%, 12/29/22 495,000 -------------- $ 1,171,446 ---------------------------------------------------------------------------------------------------- Electronic Components -- 0.6% 671,189 Generac Power Systems, Inc., Term Loan, 3.5%, 5/31/20 $ 659,443 1,218,875 Mirion Technologies (Finance) LLC (Mirion Technologies, Inc.), First Lien Initial Term Loan, 5.75%, 3/31/22 1,218,266 -------------- $ 1,877,709 ---------------------------------------------------------------------------------------------------- Electronic Equipment & Instruments -- 0.1% 483,310 Sensus USA, Inc., Term Loan, 4.5%, 5/9/17 $ 476,060 ---------------------------------------------------------------------------------------------------- Electronic Manufacturing Services -- 0.6% 1,920,600 4L Technologies, Inc. (fka Clover Holdings, Inc.), Term Loan, 6.75%, 5/8/20 $ 1,824,570 ---------------------------------------------------------------------------------------------------- Technology Distributors -- 1.1% 500,000 CDW LLC (fka CDW Corp.), Term Loan, 2.25%, 4/29/20 $ 484,018 1,407,593 Deltek, Inc., First Lien Term Loan, 5.0%, 6/25/22 1,402,315 177,220 SS&C European Holdings S.a.r.l., Term B-2 Loan, 3.75%, 7/8/22 177,156 1,179,193 SS&C Technologies, Inc., Term B-1 Loan, 3.75%, 7/8/22 1,178,772 -------------- $ 3,242,261 -------------- Total Technology Hardware & Equipment $ 8,592,046 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 30 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- TELECOMMUNICATION SERVICES -- 2.8% Integrated Telecommunication Services -- 1.8% 1,243,750 GCI Holdings, Inc., New Term B Loan, 4.0%, 2/2/22 $ 1,246,859 1,000,000 Level 3 Financing, Inc., Tranche B 2022 Term Loan, 3.5%, 5/31/22 992,875 1,838,733 Securus Technologies Holdings, Inc., Initial First Lien Term Loan, 4.75%, 4/30/20 1,493,971 500,000 Securus Technologies Holdings, Inc., Term Loan B2, 5.25%, 4/30/20 406,250 1,406,212 West Corp., Term B-10 Loan, 3.25%, 6/30/18 1,389,184 -------------- $ 5,529,139 ---------------------------------------------------------------------------------------------------- Wireless Telecommunication Services -- 1.0% 1,420,346 Crown Castle Operating Co., Extended Incremental Tranche B-2 Term Loan, 3.0%, 1/31/21 $ 1,412,178 1,895,657 Syniverse Holdings, Inc., Initial Term Loan, 4.0%, 4/23/19 1,488,091 -------------- $ 2,900,269 -------------- Total Telecommunication Services $ 8,429,408 ---------------------------------------------------------------------------------------------------- TRANSPORTATION -- 5.0% Air Freight & Logistics -- 0.6% 1,721,635 Dematic Corp., New Incremental Term Loan, 4.25%, 12/28/19 $ 1,711,950 ---------------------------------------------------------------------------------------------------- Airlines -- 2.6% 2,947,500 American Airlines, Inc., 2015 New Term Loan, 3.25%, 6/27/20 $ 2,918,025 243,750 Continental Airlines, Inc. (United Air Lines, Inc.), Class B Term Loan, 3.25%, 4/1/19 242,607 1,458,750 Delta Air Lines, Inc., 2014 Term B-1 Loan, 3.25%, 10/18/18 1,458,066 1,267,875 US Airways, Inc., Tranche B-1 Term Loan, 3.5%, 5/23/19 1,260,149 2,113,125 US Airways, Inc., Tranche B-2 Term Loan, 3.0%, 11/23/16 2,111,475 -------------- $ 7,990,322 ---------------------------------------------------------------------------------------------------- Marine -- 0.9% 1,721,810 Commercial Barge Line Co., Initial Term Loan, 8.75%, 11/12/20 $ 1,661,546 1,199,013 Navios Maritime Partners LP, Term Loan, 5.25%, 6/27/18 1,169,038 -------------- $ 2,830,584 ---------------------------------------------------------------------------------------------------- Trucking -- 0.9% 407,950 PODS LLC, Initial First Lien Term Loan, 4.5%, 2/2/22 $ 406,421 786,000 Syncreon Global Finance, Inc., Term Loan, 5.25%, 10/28/20 637,970
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 31 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Trucking -- (continued) 1,633,562 YRC Worldwide, Inc., Initial Term Loan, 8.25%, 2/13/19 $ 1,531,464 -------------- $ 2,575,855 -------------- Total Transportation $ 15,108,711 ---------------------------------------------------------------------------------------------------- UTILITIES -- 4.0% Electric Utilities -- 2.3% 1,055,441 Atlantic Power LP., Term Loan, 4.75%, 2/24/21 $ 1,056,760 2,199,375 Calpine Construction Finance Co., LP, Term B-1 Loan, 3.0%, 5/3/20 2,115,981 1,015,080 ExGen Renewables LLC, Term Loan, 5.25%, 2/6/21 1,022,693 992,500 Southeast PowerGen LLC, Term Loan B, 4.5%, 12/2/21 988,778 1,905,131 Terra-Gen Finance Co., LLC, Term Loan B, 5.25%, 12/9/21 1,838,452 -------------- $ 7,022,664 ---------------------------------------------------------------------------------------------------- Independent Power Producers & Energy Traders -- 1.4% 485,000 Calpine Corp., Term Loan, 4.0%, 10/9/19 $ 483,382 1,655,850 Calpine Corp., Term Loan B, 3.5%, 5/27/22 1,619,973 1,052,692 Dynegy, Inc., Tranche B-2 Term Loan, 4.0%, 4/23/20 1,036,902 1,213,826 NRG Energy, Inc., 2013 Term Loan, 2.75%, 7/1/18 1,187,021 -------------- $ 4,327,278 ---------------------------------------------------------------------------------------------------- Water Utilities -- 0.3% 851,500 WTG Holdings III Corp., First Lien Term Loan, 4.75%, 1/15/21 $ 845,114 -------------- Total Utilities $ 12,195,056 ---------------------------------------------------------------------------------------------------- TOTAL SENIOR SECURED FLOATING RATE LOAN INTERESTS (Cost $433,272,594) $ 416,188,919 ---------------------------------------------------------------------------------------------------- COLLATERALIZED LOAN OBLIGATIONS -- 2.5% of Net Assets BANKS -- 2.5% Diversified Banks -- 0.6% 1,000,000(a) Primus, Ltd., Series 2007-2A, Class D, 2.689%, 7/15/21 (144A) $ 951,994 951,289(a) Stanfield McLaren, Ltd., Series 2007-1A, Class B2L, 4.907%, 2/27/21 (144A) 904,025 -------------- $ 1,856,019 ---------------------------------------------------------------------------------------------------- Thrifts & Mortgage Finance -- 1.9% 1,000,000(a) ACA, Ltd., Series 2007-1A, Class D, 2.639%, 6/15/22 (144A) $ 944,649 1,000,000(a) Goldman Sachs Asset Management Plc, Series 2007-1A, Class D, 3.079%, 8/1/22 (144A) 995,562
The accompanying notes are an integral part of these financial statements. 32 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Thrifts & Mortgage Finance -- (continued) 1,000,000(a) Gulf Stream -- Sextant, Ltd., Series 2007-1A, Class D, 2.734%, 6/17/21 (144A) $ 982,466 1,000,000(a) Landmark CDO, Ltd., Series 2007-9A, Class E, 3.821%, 4/15/21 (144A) 939,490 2,000,000(a) Stone Tower, Ltd., Series 2007-6A, Class C, 1.665%, 4/17/21 (144A) 1,926,606 -------------- $ 5,788,773 -------------- Total Banks $ 7,644,792 ---------------------------------------------------------------------------------------------------- TOTAL COLLATERALIZED LOAN OBLIGATIONS (Cost $7,102,357) $ 7,644,792 ---------------------------------------------------------------------------------------------------- CORPORATE BONDS & NOTES -- 2.2% of Net Assets CAPITAL GOODS -- 0.3% Trading Companies & Distributors -- 0.3% 900,000 United Rentals North America, Inc., 4.625%, 7/15/23 $ 894,375 -------------- Total Capital Goods $ 894,375 ---------------------------------------------------------------------------------------------------- ENERGY -- 0.4% Oil & Gas Drilling -- 0.0%+ 250,000(b) Offshore Group Investment, Ltd., 7.5%, 11/1/19 $ 73,750 ---------------------------------------------------------------------------------------------------- Oil & Gas Equipment & Services -- 0.2% 720,000(a) FTS International, Inc., 7.837% , 6/15/20 (144A) $ 534,590 ---------------------------------------------------------------------------------------------------- Oil & Gas Exploration & Production -- 0.2% 625,000 WPX Energy, Inc., 7.5%, 8/1/20 $ 589,062 -------------- Total Energy $ 1,197,402 ---------------------------------------------------------------------------------------------------- INSURANCE -- 1.3% Reinsurance -- 1.3% 500,000(a) Alamo Re, Ltd., 6.068%, 6/7/18 (144A) (Cat Bond) $ 517,250 250,000(a) Atlas Reinsurance VII, Ltd., 8.416%, 1/7/16 (144A) (Cat Bond) 251,100 250,000(a) Compass Re II, Ltd., 0.168%, 12/8/15 (144A) (Cat Bond) 249,850 250,000(a) East Lane Re V, Ltd., 9.173%, 3/16/16 (144A) (Cat Bond) 254,550 548,100(d)(f) Exeter Segregated Account (Kane SAC, Ltd.), Variable Rate Notes, 1/7/16 598,525 250,000(a) Kilimanjaro Re, Ltd., 6.918%, 12/6/19 (144A) (Cat Bond) 249,950 250,000(a) Kilimanjaro Re, Ltd., 9.418%, 12/6/19 (144A) (Cat Bond) 249,900
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 33 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Principal Amount USD ($) Value ---------------------------------------------------------------------------------------------------- Reinsurance -- (continued) 266,800(d)(f) Muirfield Segregated Account (Kane SAC, Ltd.), Variable Rate Notes, 1/12/16 $ 299,617 250,000(a) Mythen Re, Ltd. Series 2012-2, Class A, 8.646%, 1/5/17 (144A) (Cat Bond) 257,275 250,000(a) Queen Street VII Re, Ltd., 8.773%, 4/8/16 (144A) (Cat Bond) 250,125 275,300(d)(f) Troon Segregated Account (Kane SAC, Ltd.), Variable Rate Notes, 1/12/16 299,719 500,000(a) Vita Capital V, Ltd., 2.863%, 1/15/17 (144A) (Cat Bond) 503,500 -------------- $ 3,981,361 -------------- Total Insurance $ 3,981,361 ---------------------------------------------------------------------------------------------------- SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT -- 0.2% Semiconductors -- 0.2% 750,000 Micron Technology, Inc., 5.25%, 8/1/23 (144A) $ 705,000 -------------- Total Semiconductors & Semiconductor Equipment $ 705,000 ---------------------------------------------------------------------------------------------------- TOTAL CORPORATE BONDS & NOTES (Cost $7,078,655) $ 6,778,138 ---------------------------------------------------------------------------------------------------- US GOVERNMENT AND AGENCY OBLIGATIONS -- 0.9% of Net Assets 1,405,000(a) U.S. Treasury Notes, 0.185%, 1/31/16 $ 1,405,060 1,405,000(a) U.S. Treasury Notes, 0.21%, 7/31/16 1,405,221 -------------- $ 2,810,281 ---------------------------------------------------------------------------------------------------- TOTAL US GOVERNMENT AND AGENCY OBLIGATIONS (Cost $2,810,697) $ 2,810,281 ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------- Shares ---------------------------------------------------------------------------------------------------- EXCHANGE-TRADED FUND -- 0.3% of Net Assets DIVERSIFIED FINANCIALS -- 0.3% Other Diversified Financial Services -- 0.3% 42,000 PowerShares Senior Loan Portfolio $ 952,980 -------------- Total Diversified Financials $ 952,980 ---------------------------------------------------------------------------------------------------- TOTAL EXCHANGE-TRADED FUND (Cost $1,009,260) $ 952,980 ---------------------------------------------------------------------------------------------------- COMMON STOCKS -- 0.3% of Net Assets INDUSTRIALS -- 0.0%+ Diversified Support Services -- 0.0%+ 31(e) IAP Worldwide Services, Inc. $ 47,238 -------------- Total Industrials $ 47,238 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 34 Pioneer Floating Rate Trust | Annual Report | 11/30/15
---------------------------------------------------------------------------------------------------- Shares Value ---------------------------------------------------------------------------------------------------- MEDIA -- 0.1% Publishing -- 0.1% 14,548(e) Cengage Learning Acquisitions, Inc. $ 349,152 -------------- Total Media $ 349,152 ---------------------------------------------------------------------------------------------------- PHARMACEUTICALS, BIOTECHNOLOGY & LIFE SCIENCES -- 0.0%+ Biotechnology -- 0.0%+ 2,454(e) Progenics Pharmaceuticals, Inc. $ 16,491 -------------- Total Pharmaceuticals, Biotechnology & Life Sciences $ 16,491 ---------------------------------------------------------------------------------------------------- TRANSPORTATION -- 0.2% Air Freight & Logistics -- 0.2% 710(e) CEVA Holdings LLC $ 365,542 -------------- Total Transportation $ 365,542 ---------------------------------------------------------------------------------------------------- UTILITIES -- 0.0%+ Independent Power Producers & Energy Traders -- 0.0%+ 775 NRG Energy, Inc. $ 9,579 -------------- Total Utilities $ 9,579 ---------------------------------------------------------------------------------------------------- TOTAL COMMON STOCKS (Cost $1,298,131) $ 788,002 ---------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------- Principal Amount USD ($) ---------------------------------------------------------------------------------------------------- TEMPORARY CASH INVESTMENTS -- 2.7% of Net Assets COMMERCIAL PAPER -- 1.9% 1,140,000 Barclays Bank Plc, 0.12%, 12/1/15 $ 1,139,992 1,140,000 BNP Paribas SA, 0.11%, 12/1/15 1,139,996 1,140,000 Prudential Funding LLC, 0.06%, 12/1/15 1,139,996 1,140,000 Societe Generale, 0.04%, 12/1/15 1,139,997 1,140,000 Total SA, 0.06%, 12/1/15 1,139,996 -------------- $ 5,699,977 ---------------------------------------------------------------------------------------------------- REPURCHASE AGREEMENT -- 0.8% 2,390,000 Bank of Nova Scotia, 0.14%, dated 11/30/15, repurchase price of $2,390,000 plus accrued interest on 12/1/15 collateralized by: $364,324 Freddie Mac Giant, 3.5%, 8/1/26, $3,866 Federal National Mortgage Association (ARM), 2.607%-3.420%, 10/1/36-6/1/44, $1,208,586 Federal National Mortgage Association, 3.0% -- 4.5%, 9/1/27 -- 9/1/45 and $861,035 Government National Mortgage Association (ARM), 4.65%, 5/20/62 $ 2,390,000 ---------------------------------------------------------------------------------------------------- TOTAL TEMPORARY CASH INVESTMENTS (Cost $8,090,000) $ 8,089,977 ----------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 35 Schedule of Investments | 11/30/15 (continued)
---------------------------------------------------------------------------------------------------- Value ---------------------------------------------------------------------------------------------------- TOTAL INVESTMENTS IN SECURITIES -- 145.6% (Cost -- $460,661,694) (g) $ 443,253,089 ---------------------------------------------------------------------------------------------------- OTHER ASSETS AND LIABILITIES -- (45.6)% $ (138,896,586) ---------------------------------------------------------------------------------------------------- NET ASSETS APPLICABLE TO SHAREOWNERS -- 100.0% $ 304,356,503 ====================================================================================================
REIT Real Estate Investment Trust. (144A) Security is exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be resold normally to qualified institutional buyers in a transaction exempt from registration. At November 30, 2015, the value of these securities amounted to $11,667,882, or 3.8% of total net assets applicable to shareowners. (Cat Bond) Catastrophe or Event-linked bond. At November 30, 2015, the value of these securities amounted to $2,783,500, or 0.9% of total net assets applicable to shareowners. See Notes to Financial Statements -- Note 1F. + Amount rounds to less than 0.1%. * Senior secured floating rate loan interests in which the Trust invests generally pay interest at rates that are periodically redetermined by reference to a base lending 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 interest rate shown is the rate accruing at November 30, 2015. (a) Floating rate note. The rate shown is the coupon rate at November 30, 2015. (b) Security is in default. (c) Payment in Kind (PIK) security which may pay interest in the form of additional principal amount. (d) Structured reinsurance investment. At November 30, 2015, the value of these securities amounted to $1,197,861, or 0.4% of total net assets applicable to shareowners. See Notes to Financial Statements -- Note 1F. (e) Non-income producing. (f) Rate to be determined. (g) At November 30, 2015, the net unrealized depreciation on investments based on cost for federal tax purposes of $460,672,685 was as follows:
Aggregate gross unrealized appreciation for all investments in which there is an excess of value over tax cost $ 2,407,545 Aggregate gross unrealized depreciation for all investments in which there is an excess of tax cost over value (19,827,141) ------------ Net unrealized depreciation $(17,419,596) ============
For financial reporting purposes net unrealized depreciation on investments was $17,408,605 and cost of investments aggregated $460,661,694. Purchases and sales of securities (excluding temporary cash investments) for the year ended November 30, 2015 were as follows:
-------------------------------------------------------------------------------- Purchases Sales -------------------------------------------------------------------------------- Long-Term U.S. Government $ -- $ 4,404,725 Other Long-Term Securities $174,748,292 $180,518,395
The accompanying notes are an integral part of these financial statements. 36 Pioneer Floating Rate Trust | Annual Report | 11/30/15 CENTRALLY CLEARED CREDIT DEFAULT SWAP AGREEMENTS -- SELL PROTECTION
----------------------------------------------------------------------------------------------------------------- Net Notional Obligation Credit Expiration Premiums Unrealized Principal ($)(1) Exchange Entity/Index Coupon Rating(2) Date Paid Depreciation ----------------------------------------------------------------------------------------------------------------- 1,089,000 Chicago Markit CDX North 5.00% B+ 6/20/20 $65,554 $(5,853) Mercantile America High Yield Exchange Index Series 24 -----------------------------------------------------------------------------------------------------------------
(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 Trust's investments. These inputs are summarized in the three broad levels below. Level 1 - quoted prices in active markets for identical securities. Level 2 - other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risks, etc.). See Notes to Financial Statements -- Note 1A. Level 3 - significant unobservable inputs (including the Trust's own assumptions in determining fair value of investments). See Notes to Financial Statements -- Note 1A. The following is a summary of the inputs used as of November 30, 2015, in valuing the Trust's investments.
------------------------------------------------------------------------------------------------- Level 1 Level 2 Level 3 Total ------------------------------------------------------------------------------------------------- Senior Secured Floating Loan Interests $ -- $ 416,188,919 $ -- $ 416,188,919 Collateralized Loan Obligations -- 7,644,792 -- 7,644,792 Corporate Bonds & Notes Insurance Reinsurance -- 2,783,500 1,197,861 3,981,361 All Other Corporate Bonds & Notes -- 2,796,777 -- 2,796,777 US Government and Agency Obligations -- 2,810,281 -- 2,810,281 Exchange - Traded Fund 952,980 -- -- 952,980 Common Stocks Industrials Diversified Support Services -- 47,238 -- 47,238 Media Publishing -- 349,152 -- 349,152 Transportation Air Freight & Logistics -- 365,542 -- 365,542 All Other Common Stocks 26,070 -- -- 26,070 Commercial Paper -- 5,699,977 -- 5,699,977 Repurchase Agreement -- 2,390,000 -- 2,390,000 ------------------------------------------------------------------------------------------------- Total Investments in Securities $979,050 $ 441,076,178 $1,197,861 $ 443,253,089 ================================================================================================= Other Financial Instruments Liabilities: Unrealized depreciation on swap contracts $ -- $ (5,853) $ -- $ (5,853) ------------------------------------------------------------------------------------------------- Total Other Financial Instruments $ -- $ (5,853) $ -- $ (5,853) =================================================================================================
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 37 Schedule of Investments | 11/30/15 (continued) The following is a summary of the fair valuation of certain of the Trust's assets and liabilities as of November 30, 2015:
------------------------------------------------------------------------------------------- Level 1 Level 2 Level 3 Total ------------------------------------------------------------------------------------------- Assets: Foreign currencies, at value $ -- $ 53,482 $ -- $ 53,482 Swap collateral -- 75,000 -- 75,000 Variation margin for centrally cleared swap contracts -- 1,456 -- 1,456 Liabilities: Outstanding borrowings -- (150,450,000) -- (150,450,000) Cash due to broker -- (58,228) -- (58,228) ------------------------------------------------------------------------------------------- Total $ -- $(150,378,290) $ -- $(150,378,290) ===========================================================================================
The following is a reconciliation of assets valued using significant unobservable inputs (Level 3):
----------------------------------------------------------------------------------------------------------------------------- Change in Balance Realized unrealized Accrued Transfers Transfers Balance as of gain appreciation discounts/ in to out of as of 11/30/14 (loss)(1) (depreciation)(2) Purchases Sales premiums Level 3* Level 3* 11/30/15 ----------------------------------------------------------------------------------------------------------------------------- Corporate Bonds & Notes Insurance Reinsurance $ -- $ -- $107,661 $1,090,200 $ -- $ -- $ -- $ -- $1,197,861 ----------------------------------------------------------------------------------------------------------------------------- Total $ -- $ -- $107,661 $1,090,200 $ -- $ -- $ -- $ -- $1,197,861 =============================================================================================================================
* Transfers are calculated on the beginning of period value. For the year ended November 30, 2015, there were no transfers between Levels 1, 2 and 3. (1) Realized gain (loss) on these securities is included in the 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) from investments in the Statement of Operations. Net change in unrealized appreciation of Level 3 investments still held and considered Level 3 at November 30, 2015: $107,661. The accompanying notes are an integral part of these financial statements. 38 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Statement of Assets and Liabilities | 11/30/15
ASSETS: Investments in securities, at value (cost $460,661,694) $ 443,253,089 Cash 13,157,448 Foreign currencies, at value (cost $68,505) 53,482 Credit default swaps, premium paid 65,554 Swap collateral 75,000 Receivables -- Investment securities sold 8,801,145 Interest 2,561,077 Dividends 33,525 Variation margin for centrally cleared swap contracts 1,456 -------------------------------------------------------------------------------- Total assets $ 468,001,776 -------------------------------------------------------------------------------- LIABILITIES: Payables -- Outstanding borrowings $ 150,450,000 Investment securities purchased 12,520,374 Trustees' fees 2,694 Administration fee 102,229 Interest expense 25,339 Cash due to broker 58,228 Unrealized depreciation on swap contracts 5,853 Due to affiliates 263,637 Accrued expenses 216,919 -------------------------------------------------------------------------------- Total liabilities $ 163,645,273 -------------------------------------------------------------------------------- NET ASSETS APPLICABLE TO SHAREOWNERS: Paid-in capital $ 465,543,677 Undistributed net investment income 1,382,691 Accumulated net realized loss on investments, swap contracts, and foreign currency transactions (145,140,634) Net unrealized depreciation on investments (17,408,605) Net unrealized appreciation on unfunded loan commitments 8,871 Net unrealized depreciation on swap contracts (5,853) Net unrealized depreciation on other assets and liabilities denominated in foreign currencies (23,644) -------------------------------------------------------------------------------- Net assets applicable to shareowners $ 304,356,503 -------------------------------------------------------------------------------- NET ASSET VALUE PER SHARE: No par value (unlimited number of shares authorized) Based on $304,356,503/24,738,174 shares $ 12.30 ================================================================================
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 39 Statement of Operations For the Year Ended 11/30/15
INVESTMENT INCOME: Interest $24,066,175 Dividends 94,902 Loan facility and other income 359,241 ------------------------------------------------------------------------------------------- Total investment income $ 24,520,318 ------------------------------------------------------------------------------------------- EXPENSES: Management fees $ 3,277,232 Administrative expense 260,456 Transfer agent fees 9,782 Shareholder communications expense 38,097 Custodian fees 78,166 Professional fees 155,799 Printing expenses 8,496 Trustees' fees 17,849 Pricing fees 50,094 Interest expense 1,601,795 Miscellaneous 195,830 ------------------------------------------------------------------------------------------- Total expenses $ 5,693,596 ------------------------------------------------------------------------------------------- Net investment income $ 18,826,722 ------------------------------------------------------------------------------------------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, SWAP CONTRACTS, UNFUNDED LOAN COMMITMENTS, AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) on: Investments $(8,434,156) Swap contracts 3,019 Other assets and liabilities denominated in foreign currencies 2,111 $ (8,429,026) ------------------------------------------------------------------------------------------- Change in net unrealized appreciation (depreciation) on: Investments $(6,065,182) Swap contracts (5,853) Unfunded loan commitments 2,718 Other assets and liabilities denominated in foreign currencies (15,790) $ (6,084,107) ------------------------------------------------------------------------------------------- Net realized and unrealized loss on investments, swap contracts, unfunded loan commitments, and foreign currency transactions $(14,513,133) ------------------------------------------------------------------------------------------- Net increase in net assets resulting from operations $ 4,313,589 ===========================================================================================
The accompanying notes are an integral part of these financial statements. 40 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Statements of Changes in Net Assets
------------------------------------------------------------------------------------------- Year Year Ended Ended 11/30/15 11/30/14 ------------------------------------------------------------------------------------------- FROM OPERATIONS: Net investment income $ 18,826,722 $ 18,450,789 Net realized gain (loss) on investments, swap contracts, and foreign currency transactions (8,429,026) 6,389,380 Change in net unrealized depreciation on investments, swap contracts, unfunded loan commitments, and foreign currency transactions (6,084,107) (10,836,599) Distributions to preferred shareowners from net investment income -- (30,301) ------------------------------------------------------------------------------------------- Net increase in net assets resulting from operations $ 4,313,589 $ 13,973,269 ------------------------------------------------------------------------------------------- DISTRIBUTIONS TO SHAREOWNERS: Net investment income and previously undistributed net investment income ($0.70 and $0.80 per share, respectively) $(17,193,031) $(19,864,754) ------------------------------------------------------------------------------------------- Total distributions to shareowners $(17,193,031) $(19,864,754) ------------------------------------------------------------------------------------------- Net decrease in net assets applicable to shareowners $(12,879,442) $ (5,891,485) NET ASSETS APPLICABLE TO SHAREOWNERS: Beginning of year 317,235,945 323,127,430 ------------------------------------------------------------------------------------------- End of year $304,356,503 $317,235,945 ------------------------------------------------------------------------------------------- Undistributed net investment income $ 1,382,691 $ 404,153 ===========================================================================================
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 41 Statement of Cash Flows For the Year Ended 11/30/15
Cash Flows From Operating Activities: Net increase in net assets resulting from operations $ 4,313,589 ------------------------------------------------------------------------------------------------ Adjustments to reconcile net increase in net assets resulting from operations to net cash and foreign currencies from operating activities: Purchases of investment securities $(182,902,806) Proceeds from disposition and maturity of investment securities 184,579,552 Net purchases of temporary cash investments (4,950,000) Net accretion and amortization of discount/premium on investment securities (1,201,198) Increase in swap collateral (75,000) Increase in interest receivable (64,028) Increase in variation margin for centrally cleared swap contracts (1,456) Decrease in prepaid expenses 32 Increase in due to affiliates 1,082 Increase in trustees' fees payable 728 Increase in administration fee payable 28,707 Increase in cash due to broker 58,228 Decrease in accrued expenses payable (3,637) Decrease in interest expense payable (57,305) Change in unrealized depreciation on investments 6,065,182 Change in unrealized appreciation on unfunded loan commitments (2,718) Change in unrealized depreciation on swap contracts 5,853 Change in unrealized depreciation on foreign currency 8,176 Net realized loss on investments 8,434,156 Net premiums paid on swap contracts (65,554) ------------------------------------------------------------------------------------------------ Net cash and foreign currencies from operating activities $ 14,171,583 ------------------------------------------------------------------------------------------------ Cash Flows Used in Financing Activities: Payments on borrowings $ (5,000,000) Distributions to shareowners (17,193,031) ------------------------------------------------------------------------------------------------ Net cash and foreign currencies used in financing activities $ (22,193,031) ------------------------------------------------------------------------------------------------ Effect of Foreign Exchange Fluctuations on Cash: Effect of foreign exchange fluctuations on cash $ (8,176) ------------------------------------------------------------------------------------------------ Cash and Foreign Currencies: Beginning of the year $ 21,240,554 ------------------------------------------------------------------------------------------------ End of the year $ 13,210,930 ------------------------------------------------------------------------------------------------ Cash Flow Information: Cash paid for interest $ 1,659,100 ------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements. 42 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Financial Highlights
------------------------------------------------------------------------------------------------------------------------------------ Year Year Year Year Year Ended Ended Ended Ended Ended 11/30/15 11/30/14 11/30/13 11/30/12 11/30/11 ------------------------------------------------------------------------------------------------------------------------------------ Per Share Operating Performance Net asset value, beginning of period $ 12.82 $ 13.06 $ 13.06 $ 12.45 $ 12.52 ------------------------------------------------------------------------------------------------------------------------------------ Increase (decrease) from investment operations: (a) Net investment income (loss) $ 0.76 $ 0.75 $ 1.01 $ 1.19 $ 1.28 Net realized and unrealized gain (loss) on investments, swap contracts, unfunded loan commitments, and foreign currency transactions (0.58) (0.19) 0.01 0.55 (0.30) Distributions to preferred shareowners from: Net investment income -- (0.00)(b) (0.12) (0.12) (0.11) ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) from investment operations $ 0.18 $ 0.56 $ 0.90 $ 1.62 $ 0.87 ------------------------------------------------------------------------------------------------------------------------------------ Distributions to common shareowners from: Net investment income and previously undistributed net investment income $ (0.70) $ (0.80)* $ (0.90) $ (1.01) $ (0.94) ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net asset value $ (0.52) $ (0.24) $ -- $ 0.61 $ (0.07) ------------------------------------------------------------------------------------------------------------------------------------ Net asset value, end of period (c) $ 12.30 $ 12.82 $ 13.06 $ 13.06 $ 12.45 ------------------------------------------------------------------------------------------------------------------------------------ Market value, end of period (c) $ 10.83 $ 11.36 $ 12.41 $ 13.41 $ 12.55 ==================================================================================================================================== Total return at market value (d) 1.31% (2.32)% (0.84)% 15.66% 2.60% Ratios to average net assets of common shareowners: Total expenses plus interest expense (e)(f) 1.81% 1.80% 1.47% 1.58% 1.67% Net investment income before preferred share distributions 6.00% 5.73% 7.70% 9.24% 9.96% Preferred share distributions --% 0.01% 0.94% 0.90% 0.85% Net investment income available to common shareowners 6.00% 5.72% 6.76% 8.34% 9.11% Portfolio turnover 38% 61% 63% 63% 42% Net assets of common shareowners, end of period (in thousands) $304,357 $317,236 $ 323,127 $322,714 $306,822
The accompanying notes are an integral part of these financial statements. Pioneer Floating Rate Trust | Annual Report | 11/30/15 43 Financial Highlights (continued)
-------------------------------------------------------------------------------------------------------------------------------- Year Year Year Year Year Ended Ended Ended Ended Ended 11/30/15 11/30/14 11/30/13 11/30/12 11/30/11 -------------------------------------------------------------------------------------------------------------------------------- Preferred shares outstanding (in thousands) $ -- $ --(g) $ 182,450 $ 182,450 $182,450 Asset coverage per preferred share, end of period $ -- $ --(g) $ 69,280 $ 69,222 $ 67,047 Average market value per preferred share (h) $ -- $ --(g) $ 25,000 $ 25,000 $ 25,000 Liquidation value, including dividends payable, per preferred share $ -- $ --(g) $ 25,003 $ 25,003 $ 25,005 Total amount of debt outstanding (in thousands) $ 150,450 $155,450 $ -- $ -- $ -- Asset coverage per indebtedness (in thousands) $ 3,023 $ 3,041 $ -- $ -- $ -- ================================================================================================================================
* The amount of distributions made to shareowners during the period were in excess of the net investment income earned by the Trust during the period. The Trust had accumulated undistributed net investment income which is part of the Trust's NAV. A portion of the accumulated net investment income was distributed to shareowners during the period. A decrease in distributions may have a negative effect on the market value of the Trust's shares. (a) The per common share data presented above is based upon the average common shares outstanding for the periods presented. (b) Amount rounds to less than $(0.005) per share. (c) Net asset value and market value are published in Barron's on Saturday, The Wall Street Journal on Monday and The New York Times on Monday and Saturday. (d) Total investment return is calculated assuming a purchase of common shares at the current market value on the first day and a sale at the current market value on the last day of the periods reported. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at prices obtained under the Trust's dividend reinvestment plan. Total investment return does not reflect brokerage commissions. Past performance is not a guarantee of future results. (e) Expense ratios do not reflect the effect of distribution payments to preferred shareowners. (f) Includes interest expense of 0.51%, 0.49%, 0.0%, 0.0%, and 0.0%, respectively. (g) Preferred shares were redeemed during the period. (h) Market value is redemption value without an active market. The accompanying notes are an integral part of these financial statements. 44 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Notes to Financial Statements | 11/30/15 1. Organization and Significant Accounting Policies Pioneer Floating Rate Trust (the Trust) was organized as a Delaware statutory trust on October 6, 2004. Prior to commencing operations on December 28, 2004, the Trust had no operations other than matters relating to its organization and registration as a closed-end management investment company under the Investment Company Act of 1940, as amended. The Trust is a diversified fund. The investment objective of the Trust is to provide a high level of current income and the Trust may, as a secondary objective, also seek preservation of capital to the extent consistent with its investment objective of high current income. The Trust's financial statements have been prepared in conformity with U.S. generally accepted accounting principles that require the management of the Trust to, among other things, make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of income, expenses and gain or loss on investments during the reporting period. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements: A. Security Valuation The net asset value of the Trust is computed once daily, on each day the New York Stock Exchange (NYSE) is open, as of the close of regular trading on the NYSE. Fixed income securities are valued by using prices supplied by independent pricing services, which consider such factors as market prices, market events, quotations from one or more brokers, Treasury spreads, yields, maturities and ratings, or may use a pricing matrix or other fair value methods or techniques to provide an estimated value of the security or instrument. A pricing matrix is a means of valuing a debt security on the basis of current market prices for other debt securities, historical trading patterns in the market for fixed income securities and/or other factors. Valuations may be supplemented by dealers and other sources, as required. Non-U.S. debt securities that are listed on an exchange will be valued at the bid price obtained from an independent third party pricing service. Loan interests are valued in accordance with guidelines established by the Board of Trustees at the mean between the last available bid and asked prices from one or more brokers or dealers as obtained from Loan Pricing Corporation, an independent third party pricing service. If price information Pioneer Floating Rate Trust | Annual Report | 11/30/15 45 is not available from Loan Pricing Corporation, or if the price information is deemed to be unreliable, price information will be obtained from an alternative loan interest pricing service. If no reliable price quotes are available from either the primary or alternative pricing service, broker quotes will be solicited. Event-linked bonds or catastrophe bonds are valued at the bid price obtained from an independent third party pricing service. Other insurance linked securities (including sidecars, collateralized reinsurance and industry loss warranties) may be valued at the bid price obtained from an independent pricing service, or through a third party using a pricing matrix, insurance industry valuation models, or other fair value methods or techniques to provide an estimated value of the instrument. Equity securities that have traded on an exchange are valued by using the last sale price on the principal exchange where they are traded. Equity securities that have not traded on the date of valuation, or securities for which sale prices are not available, generally are valued using the mean between the last bid and asked prices or, if both last bid and asked prices are not available, at the last quoted bid price. Last sale and bid and asked prices are provided by independent third party pricing services. In the case of equity securities not traded on an exchange, prices are typically determined by independent third party pricing services using a variety of techniques and methods. The principal exchanges and markets for non-U.S. equity securities have closing times prior to the close of the NYSE. However, the value of these securities may be influenced by changes in global markets occurring after the closing times of the local exchanges and markets up to the time the Trust determines its net asset value. Consequently, the Trust uses a fair value model developed by an independent pricing service to value non-U.S. equity securities. On a daily basis, the pricing service recommends changes, based on a proprietary model, to the closing market prices of each non-U.S. security held by the Trust to reflect the security's fair value at the time the Trust determines its net asset value. The Trust applies these recommendations in accordance with procedures approved by the Board of Trustees. Swap contracts, including interest rate swaps, caps and floors (other than centrally cleared swap contracts) are valued at the dealer quotations obtained from reputable International Swap Dealer association members. Centrally cleared swaps are valued at the daily settlement price provided by the central clearing counterparty. Forward foreign currency exchange contracts are valued daily using the foreign exchange rate or, for longer term forward contract positions, the spot currency rate, in each case provided by a third party pricing service. Contracts whose forward settlement date falls between two quoted days are valued by interpolation. 46 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Shares of open-end registered investment companies (including money market mutual funds) are valued at such funds' net asset value. Repurchase agreements are valued at par. Cash may include overnight time deposits at approved financial institutions. Securities or loan interests for which independent pricing services are unable to supply prices or for which market prices and/or quotations are not readily available or are considered to be unreliable are valued by a fair valuation team comprised of certain personnel of Pioneer Investment Management, Inc. (PIM), the Trust's investment adviser, pursuant to procedures adopted by the Trust'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 Trust 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 Trust'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 Trust's securities may differ significantly from exchange prices and such differences could be material. At November 30, 2015, there were no securities valued using fair value methods (other than securities valued using prices supplied by independent prices services, broker-dealers or through a third party using an insurance industry valuation model). B. Investment Income and Transactions Dividend income is recorded on the ex-dividend date, except that certain dividends from foreign securities where the ex-dividend date may have passed are recorded as soon as the Trust becomes aware of the ex-dividend date in the exercise of reasonable diligence. Interest income, including interest on income bearing cash accounts, is recorded on an accrual basis, net of unrecoverable foreign taxes withheld at the applicable country rates. Pioneer Floating Rate Trust | Annual Report | 11/30/15 47 Discounts and premiums on purchase prices of debt securities are accreted or amortized, respectively, daily, into interest income on an effective yield to maturity basis with a corresponding increase or decrease in the cost basis of the security. Premiums and discounts related to certain mortgage-backed securities are amortized or accreted in proportion to the monthly paydowns. 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 Trust are maintained in U.S. dollars. Amounts denominated in foreign currencies are translated into U.S. dollars using current exchange rates. Net realized gains and losses on foreign currency transactions, if any, represent, among other things, the net realized gains and losses on foreign currency contracts, disposition of foreign currencies and the difference between the amount of income accrued and the U.S. dollars actually received. Further, the effects of changes in foreign currency exchange rates on investments are not segregated in the Statement of Operations from the effects of changes in the market price of those securities but are included with the net realized and unrealized gain or loss on investments. D. Forward Foreign Currency Contracts The Trust may enter into forward foreign currency contracts (contracts) for the purchase or sale of a specific foreign currency at a fixed price on a future date. All contracts are marked to market daily at the applicable exchange rates, and any resulting unrealized appreciation or depreciation are recorded in the Trust's financial statements. The Trust 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 these contracts from the potential inability of counterparties to meet the terms of the contracts and from unanticipated movements in the value of foreign currencies relative to the U.S. dollar. E. Federal Income Taxes It is the Trust'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 federal income tax provision is required. As of November 30, 2015, the Trust 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. 48 Pioneer Floating Rate Trust | Annual Report | 11/30/15 The amount and character of income and capital gain distributions to shareowners are determined in accordance with federal income tax rules, which may differ from U.S. generally accepted accounting principles. Distributions in excess of net investment income or net realized gains are temporary overdistributions for financial statement 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 November 30, 2015, the Trust reclassified $655,153 to decrease undistributed net investment income and $655,153 to decrease accumulated net realized loss on investments to reflect permanent book/tax differences. These adjustments have no impact on the net assets or results of operations. At November 30, 2015, the Trust was permitted to carryforward $1,535,719 of short-term capital losses and $21,402,411 of long-term capital losses without limitation. Additionally, at November 30, 2015, the Trust had a net capital loss carryforward of $120,602,379 of which the following amounts will expire between 2016 and 2019 if not utilized: $27,976,876 in 2016, $62,461,978 in 2017, $11,415,660 in 2018, and $18,747,865 in 2019. Since unlimited losses are required to be used first, loss carryforwards that are subject to expiration may be more likely to expire unused. The Trust has elected to defer $1,586,040 of long-term capital losses recognized between June 1, 2015 and November 30, 2015 to its fiscal year ending November 30, 2016. The tax character of distributions paid to shareowners during the years ended November 30, 2015 and November 30, 2014 were as follows:
--------------------------------------------------------------------------- 2015 2014 --------------------------------------------------------------------------- Distributions paid from: Ordinary income $17,193,031 $19,895,055 --------------------------------------------------------------------------- Total $17,193,031 $19,895,055 ===========================================================================
The following shows the components of distributable earnings (losses) on a federal income tax basis at November 30, 2015:
--------------------------------------------------------------------------- 2015 --------------------------------------------------------------------------- Distributable earnings: Undistributed ordinary income $ 1,373,744 Capital loss carryforward (143,540,509) Late year loss deferrals (1,586,040) Other book/tax temporary differences (5,138) Unrealized depreciation (17,429,231) --------------------------------------------------------------------------- Total $(161,187,174) ===========================================================================
Pioneer Floating Rate Trust | Annual Report | 11/30/15 49 The difference between book-basis and tax-basis unrealized depreciation is primarily attributable to the realization for tax purposes of unrealized gains on investments in passive foreign investment companies, the book/tax differences in the accrual of income on securities in default, the difference between book and tax amortization methods and discounts on fixed income securities and book/tax temporary differences. F. Insurance Linked Securities (ILS) 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 Trust may lose a portion or all of its accrued interest and/or principal invested in such event-linked bond. The Trust 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 Trust to other risks, including but not limited to issuer (credit) default, adverse regulatory or jurisdictional interpretations and adverse tax consequences. The Trust'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"), are subject to the same risks as event-linked bonds. In addition, because quota share instruments represent an interest in a basket of underlying reinsurance contracts, the Trust 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 Trust's investment in quota share instruments and therefore place the Trust's assets at greater risk of loss than if PIM had more complete information. Quota share instruments and other structured reinsurance instruments generally will be considered illiquid securities by the Trust. These securities may be difficult to purchase, sell or unwind. Illiquid securities also may be difficult to value. If the Trust is forced to sell an illiquid asset, the Trust may be forced to sell at a loss. 50 Pioneer Floating Rate Trust | Annual Report | 11/30/15 G. Risks Information regarding the Trust's principal risks is contained in the Trust's original offering prospectus, with additional information included in the Trust's shareowner reports issued from time to time. Please refer to those documents when considering the Trust's principal risks. At times, the Trust's investments may represent industries or industry sectors that are interrelated or have common risks, making the Trust more susceptible to any economic, political, or regulatory developments or other risks affecting those industries and sectors. The Trust invests in below investment grade (high yield) debt securities, floating rate loans and event-linked bonds sometimes referred to as "catastrophe" bonds or "insurance-linked" bonds. The Trust may invest in securities and other obligations of any credit quality, including those that are rated below investment grade, or are unrated but are determined by the investment adviser to be of equivalent credit quality. Below investment grade securities are commonly referred to as "junk bonds" and are considered speculative with respect to the issuer's capacity to pay interest and repay principal. Below investment grade securities, including floating rate loans, involve greater risk of loss, are subject to greater price volatility, and are less liquid and more difficult to value, especially during periods of economic uncertainty or change, than higher rated debt securities. The trust may invest in securities of issuers that are in default or that are in bankruptcy. The value of collateral, if any, securing a floating rate loan can decline or may be insufficient to meet the issuer's obligations or may be difficult to liquidate. No active trading market may exist for many floating rate loans, and many loans are subject to restrictions on resale. Any secondary market may be subject to irregular trading activity and extended settlement periods. The Trust's investments in certain foreign markets or countries with limited developing markets may subject the Trust to a greater degree of risk than in a developed market. These risks include disruptive political or economic conditions and the possible imposition of adverse governmental laws or currency exchange restrictions. H. Repurchase Agreements Repurchase agreements are arrangements under which the Trust purchases securities from a broker-dealer or a bank, called the counterparty, upon the agreement of the counterparty to repurchase the securities from the Trust at a later date, and at a specific price, which is typically higher than the purchase price paid by the Trust. The securities purchased serve as the Trust'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 Pioneer Floating Rate Trust | Annual Report | 11/30/15 51 held in safekeeping in the customer-only account of the Trust's custodian or a subcustodian of the Trust. The Trust's investment adviser, PIM is responsible for determining that the value of the collateral remains at least equal to the repurchase price. In the event of a default by the counterparty, the Trust is entitled to sell the securities, but the Trust may not be able to sell them for the price at which they were purchased, thus causing a loss to the Trust. Additionally, if the counterparty becomes insolvent, there is some risk that the Trust will not have a right to the securities, or the immediate right to sell the securities. I. Automatic Dividend Reinvestment Plan All shareowners whose shares are registered in their own names automatically participate in the Automatic Dividend Reinvestment Plan (the Plan), under which participants receive all dividends and capital gain distributions (collectively, dividends) in full and fractional shares of the Trust in lieu of cash. Shareowners may elect not to participate in the Plan. Shareowners not participating in the Plan receive all dividends and capital gain distributions in cash. Participation in the Plan is completely voluntary and may be terminated or resumed at any time without penalty by notifying American Stock Transfer & Trust Company, the agent for shareowners in administering the Plan (the Plan Agent), in writing prior to any dividend record date; otherwise such termination or resumption will be effective with respect to any subsequently declared dividend or other distribution. If a shareowner's shares are held in the name of a brokerage firm, bank or other nominee, the shareowner can ask the firm or nominee to participate in the Plan on the shareowner's behalf. If the firm or nominee does not offer the Plan, dividends will be paid in cash to the shareowner of record. A firm or nominee may reinvest a shareowner's cash dividends in shares of the Trust on terms that differ from the terms of the Plan. Whenever the Trust declares a dividend on shares payable in cash, participants in the Plan will receive the equivalent in shares acquired by the Plan Agent either (i) through receipt of additional unissued but authorized shares from the Trust or (ii) by purchase of outstanding shares on the New York Stock Exchange or elsewhere. If, on the payment date for any dividend, the net asset value per share is equal to or less than the market price per share plus estimated brokerage trading fees (market premium), the Plan Agent will invest the dividend amount in newly issued shares. The number of newly issued shares to be credited to each account will be determined by dividing the dollar amount of the dividend by the net asset value per share on the date the shares are issued, provided that the maximum discount from the then current market price per share on the date of issuance does not exceed 5%. If, on the payment date for any dividend, the net asset value per share is greater 52 Pioneer Floating Rate Trust | Annual Report | 11/30/15 than the market value (market discount), the Plan Agent will invest the dividend amount in shares acquired in open-market purchases. There are no brokerage charges with respect to newly issued shares. However, each participant will pay a pro rata share of brokerage trading fees incurred with respect to the Plan Agent's open-market purchases. Participating in the Plan does not relieve shareowners from any federal, state or local taxes which may be due on dividends paid in any taxable year. Shareowners holding Plan shares in a brokerage account may be able to transfer the shares to another broker and continue to participate in the Plan. 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 Trust may sell or buy credit default swap contracts to seek to increase the Trust'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 Trust 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 Trust. In return, the Trust 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 Trust would keep the stream of payments and would have no payment obligation. The Trust may also buy credit default swap contracts in order to hedge against the risk of default of debt securities, in which case the Trust would function as the counterparty referenced above. When the Trust 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 Trust, as the protection buyer, is recorded as an asset in the Statement of Assets and Liabilities. Periodic payments received or paid by the Trust 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. Pioneer Floating Rate Trust | Annual Report | 11/30/15 53 Credit default swap contracts involving the sale of protection may involve greater risks than if the Trust 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 Trust is a protection buyer and no credit event occurs, it will lose its investment. If the Trust is a protection seller and a credit event occurs, the value of the referenced debt instrument received by the Trust, together with the periodic payments received, may be less than the amount the Trust pays to the protection buyer, resulting in a loss to the Trust. Open credit default swap contracts at November 30, 2015 are listed at the end of Schedule of Investments. The average market value of swap contracts open during the year ended November 30, 2015 was $25,296. 2. Management Agreement PIM, a wholly owned indirect subsidiary of UniCredit S.p.A. (UniCredit), manages the Trust's portfolio. Management fees payable under the Trust's Advisory Agreement with PIM are calculated daily at the annual rate of 0.70% of the Trust's average daily managed assets. "Managed assets" means (a) the total assets of the Trust, including any form of investment leverage, minus (b) all accrued liabilities incurred in the normal course of operations, which shall not include any liabilities or obligations attributable to investment leverage obtained through (i) indebtedness of any type (including, without limitation, borrowing through a credit facility or the issuance of debt securities), (ii) the issuance of preferred stock or other similar preference securities, and/or (iii) any other means. For the year ended November 30, 2015, the net management fee was 0.70% of the Trust's average daily managed assets, which was equivalent to 1.04% of the Trust's average daily net assets. In addition, under PIM's management and administration agreements, certain other services and costs are paid by PIM and reimbursed by the Trust. At November 30, 2015, $365,866 was payable to PIM related to management costs, administrative costs and certain other services is included in "Due to affiliates" and "Administration fee" on the Statement of Assets and Liabilities. 54 Pioneer Floating Rate Trust | Annual Report | 11/30/15 3. Transfer Agents Prior to November 2, 2015, Pioneer Investment Management Shareholder Services, Inc. (PIMSS), a wholly owned indirect subsidiary of UniCredit, through a sub-transfer agency agreement with American Stock Transfer & Trust Company (AST), provided substantially all transfer agent and shareowner services related to the Trust's shares at negotiated rates. Effective November 2, 2015, AST serves as the transfer agent with respect to the Trust's common shares. The Trust pays AST an annual fee, as is agreed to from time to time by the Trust and AST, for providing such services. In addition, the Trust reimbursed the transfer agent for out-of-pocket expenses incurred by the transfer agent related to shareowner communications activities such as proxy and statement mailings and outgoing calls. 4. Expense Offset Arrangement The Trust has entered into an arrangement with its custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Trust's custodian expenses. For the year ended November 30, 2015, the Trust expenses were not reduced under such arrangement. 5. Unfunded and Bridge Loan Commitments Bridge loans are designed to provide temporary or "bridge" financing to a borrower pending the sale of identified assets or the arrangement of longer term loans or the issuance and sale of debt obligations. As of November 30, 2015, the Trust had one bridge loan commitment of $362,319, which could be extended at the option of the borrower, pursuant to the following loan agreement:
-------------------------------------------------------------------------------- Unrealized Appreciation Borrower Par Cost Value (Depreciation) -------------------------------------------------------------------------------- Charter Communications, Inc., Bridge Loan $362,319 $362,319 $362,319 $ -- -------------------------------------------------------------------------------- Total $362,319 $362,319 $362,319 $ -- ================================================================================
Pioneer Floating Rate Trust | Annual Report | 11/30/15 55 As of November 30, 2015, the Trust had one unfunded loan commitment of $458,333 (excluding unrealized appreciation on the commitment of $8,871 as of November 30, 2015), which could be extended at the option of the borrower, pursuant to the following loan agreement:
-------------------------------------------------------------------------------- Unrealized Borrower Par Cost Value Appreciation -------------------------------------------------------------------------------- Integro, Ltd. Term Loan $458,333 $440,296 $449,167 $8,871 -------------------------------------------------------------------------------- Total $458,333 $440,296 $449,167 $8,871 ================================================================================
6. Trust Shares Transactions in shares of beneficial interest for the year ended November 30, 2015 and the year ended November 30, 2014 were as follows:
-------------------------------------------------------------------------------- 11/30/15 11/30/14 -------------------------------------------------------------------------------- Shares outstanding at beginning of year 24,738,174 24,738,174 -------------------------------------------------------------------------------- Shares outstanding at end of year 24,738,174 24,738,174 ================================================================================
7. Additional Disclosures about Derivative Instruments and Hedging Activities The Trust'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 Trust. 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. 56 Pioneer Floating Rate Trust | Annual Report | 11/30/15 The fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) by risk exposure at November 30, 2015 was as follows:
-------------------------------------------------------------------------------- Statement of Assets and Liabilities Interest Credit Foreign Equity Commodity Rate Risk Risk Exchange Risk Risk Risk -------------------------------------------------------------------------------- Liabilities: Unrealized depreciation on swap contracts $ -- $(5,853) $ -- $ -- $ -- -------------------------------------------------------------------------------- Total Value $ -- $(5,853) $ -- $ -- $ -- ================================================================================
The effect of derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) on the Statement of Operations by risk exposure at November 30, 2015 was as follows:
-------------------------------------------------------------------------------- Statement of Operations Interest Credit Foreign Equity Commodity Rate Risk Risk Exchange Risk Risk Risk -------------------------------------------------------------------------------- Net realized gain (loss): Swap contracts $ -- $ 3,019 $ -- $ -- $ -- -------------------------------------------------------------------------------- Total Value $ -- $ 3,019 $ -- $ -- $ -- ================================================================================ Change in net unrealized appreciation (depreciation) on: Swap contracts $ -- $(5,853) $ -- $ -- $ -- -------------------------------------------------------------------------------- Total Value $ -- $(5,853) $ -- $ -- $ -- ================================================================================
8. Loan Agreement Effective November 26, 2013, the Trust entered into a Revolving Credit Facility (the Credit Agreement) with the Bank of Nova Scotia in the amount of $160,000,000. The Credit Agreement was established in conjunction with the redemption of all the Trust's auction market preferred shares. Effective November 25, 2015, the Trust extended the maturity of the Credit Agreement for a 364 day period. At November 30, 2015, the Trust had a borrowing outstanding under the Credit Agreement totaling $150,450,000. The interest rate charged at November 30, 2015 was 1.06%. The average daily balance was $154,156,849 at an average interest rate of 1.04%. With respect to the Credit Agreement, interest expense of $1,601,795 is included in the Statement of Operations. Pioneer Floating Rate Trust | Annual Report | 11/30/15 57 The Trust is required to maintain 300% asset coverage with respect to amounts outstanding under the Credit Agreement. Asset coverage is calculated by subtracting the Trust's total liabilities not including any bank loans and senior securities, from the Trust's total assets and dividing such amount by the principal amount of the borrowing outstanding. 9. Subsequent Event A monthly dividend was declared on December 21, 2015 from undistributed and accumulated net investment income of $0.0600 per share payable January 6, 2016, to shareowners of record on December 31, 2015. 58 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Report of Independent Registered Public Accounting Firm To the Board of Trustees and the Shareowners of Pioneer Floating Rate Trust: -------------------------------------------------------------------------------- We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Pioneer Floating Rate Trust, as of November 30, 2015, and the related statements of operations and cash flows for the year then ended and the statements of changes in net assets and the financial highlights for each of the two years in the period then ended. These financial statements and financial highlights are the responsibility of the Trust'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 November 30, 2013, 2012, and 2011 were audited by other auditors. Those auditors expressed an unqualified opinion on those financial statements and financial highlights in their report dated January 24, 2014. 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 Trust 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 Trust'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 November 30, 2015, by correspondence with the custodian, brokers and agent banks; where replies were not received from brokers and 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 Floating Rate Trust as of November 30, 2015, and the results of its operations and its cash flows for the year then ended and the changes in its net assets and the financial highlights for each of the two 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 January 21, 2016 Pioneer Floating Rate Trust | Annual Report | 11/30/15 59 ADDITIONAL INFORMATION (unaudited) During the period, there have been no material changes in the Trust's investment objective or fundamental policies that have not been approved by the shareowners. There have been no changes in the Trust's charter or By-Laws that would delay or prevent a change in control of the Trust which has not been approved by the shareowners. During the period, there have been no changes in the principal risk factors associated with investment in the Trust. There were no changes in the persons who are primarily responsible for the day-to-day management of the Trust's portfolio. Notice is hereby given in accordance with Section 23(c) of the Investment Company Act of 1940 that the Trust may purchase, from time to time, its shares in the open market. PIM, the Trust's investment adviser, is currently an indirect, wholly owned subsidiary of UniCredit. On November 11, 2015, UniCredit announced that it signed a binding master agreement with Banco Santander and affiliates of Warburg Pincus and General Atlantic (the "Private Equity Firms") with respect to Pioneer Investments ("Pioneer") and Santander Asset Management ("SAM") (the "Transaction"). The Transaction, as previously announced by UniCredit, will establish a holding company, with the name Pioneer Investments, to be owned by UniCredit (50%) and the Private Equity Firms (50% between them). The holding company will control Pioneer's U.S. operations, including PIM. The holding company also will own 66.7% of Pioneer's and SAM's combined operations outside the U.S., while Banco Santander will own directly the remaining 33.3% stake. The closing of the Transaction is expected to happen in 2016, subject to certain regulatory and other approvals. Under the Investment Company Act of 1940, completion of the Transaction will cause the Trust's current investment advisory agreement with PIM to terminate. Accordingly, the Trust's Board of Trustees will be asked to approve a new investment advisory agreement. If approved by the Board, the Trust's new investment advisory agreement will be submitted to the shareholders of the Trust for their approval. 60 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Results of Shareholder Meeting (unaudited) At the annual meeting of shareowners held on September 22, 2015, shareowners of Pioneer Floating Rate Trust were asked to consider the proposals described below. A report of the total votes cast by the Trust's shareholders follows: Proposal 1 -- To elect three Class III Trustees and two Class I Trustees.
-------------------------------------------------------------------------------- Nominee For Withheld -------------------------------------------------------------------------------- Class III Thomas J. Perna 19,067,961 691,763 Marguerite A. Piret 19,034,669 725,055 Fred J. Ricciardi 19,050,861 708,863 Class I Lisa M. Jones 19,045,290 714,434 Lorraine H. Monchak 19,003,426 756,298
Pioneer Floating Rate Trust | Annual Report | 11/30/15 61 Approval of Investment Advisory Agreement Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to Pioneer Floating Rate Trust (the Trust) pursuant to an investment advisory agreement between PIM and the Trust. In order for PIM to remain the investment adviser of the Trust, the Trustees of the Trust must determine annually whether to renew the investment advisory agreement for the Trust. The contract review process began in January 2015 as the Trustees of the Trust agreed on, among other things, an overall approach and timeline for the process. Contract review materials were provided to the Trustees in March 2015 and July 2015. Supplemental contract review materials were provided to the Trustees in September 2015. In addition, the Trustees reviewed and discussed the Trust's performance at regularly scheduled meetings throughout the year and took into account other information related to the Trust provided to the Trustees at regularly scheduled meetings in connection with the review of the Trust's investment advisory agreement. In March 2015, the Trustees, among other things, discussed the memorandum provided by Trust 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 Trust's portfolio manager in the Trust. In July 2015, the Trustees, among other things, reviewed the Trust'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 Trust and the fees and expenses of Pioneer's institutional accounts, as well as the different services provided by PIM to the Trust and by Pioneer to the institutional accounts. The Trustees further considered contract review materials in September 2015. At a meeting held on September 15, 2015, based on their evaluation of the information provided by PIM and third parties, the Trustees of the Trust, 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. 62 Pioneer Floating Rate Trust | Annual Report | 11/30/15 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 Trust, taking into account the investment objective and strategy of the Trust. The Trustees also reviewed PIM's investment approach for the Trust and its research process. The Trustees considered the resources of PIM and the personnel of PIM who provide investment management services to the Trust. They also reviewed the amount of non-Trust assets managed by the portfolio manager of the Trust. The Trustees considered the non-investment resources and personnel of PIM involved in PIM's services to the Trust, 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 Trust's service providers and provides the Trust with personnel (including Trust officers) and other resources that are necessary for the Trust's business management and operations. The Trustees also considered that, as administrator, PIM is responsible for the administration of the Trust'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 Trust were satisfactory and consistent with the terms of the investment advisory agreement. Performance of the Trust In considering the Trust's performance, the Trustees regularly review and discuss throughout the year data prepared by PIM and information comparing the Trust'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 Trust's benchmark index. They also discuss the Trust'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. Management Fee and Expenses The Trustees considered information showing the fees and expenses of the Trust in comparison to the management fees and 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 Trust's shareowners. Pioneer Floating Rate Trust | Annual Report | 11/30/15 63 The Trustees considered that the Trust's management fee (based on managed assets) for the most recent fiscal year was in the first quintile relative to the management fees paid by other funds in its Strategic Insight peer group for the comparable period. The Trustees considered that the expense ratio (based on managed assets) of the Trust's common shares for the most recent fiscal year was in the first quintile relative its Strategic Insight peer group, in each case for the comparable period. 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 Trust and Pioneer's costs in providing services to the other clients and considered the differences in management fees and profit margins for Trust and non-Trust 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 Trust and client accounts. The Trustees noted that, in some instances, the fee rates for those clients were lower than the management fee for the Trust and considered that, under the investment advisory agreement with the Trust, PIM performs additional services for the Trust that it does not provide to those other clients or services that are broader in scope, including oversight of the Trust's other service providers and activities related to compliance and the extensive regulatory and tax regimes to which the Trust is subject. The Trustees also considered the different entrepreneurial risks associated with PIM's management of the Trust and Pioneer's management of the other client accounts. The Trustees concluded that the management fee payable by the Trust to PIM was reasonable in relation to the nature and quality of the services provided by PIM to the Trust. Profitability The Trustees considered information provided by PIM regarding the profitability of PIM with respect to the advisory services provided by PIM to the Trust, including the methodology used by PIM in allocating certain of its costs to the management of the Trust. The Trustees also considered PIM's profit margin in connection with the overall operation of the Trust. They further reviewed the financial results realized by PIM and its affiliates from non-fund businesses. The Trustees considered PIM's profit margins with respect to the Trust in comparison to the limited industry data available and noted that the profitability of any adviser was affected by numerous factors, 64 Pioneer Floating Rate Trust | Annual Report | 11/30/15 including its organizational structure and method for allocating expenses. The Trustees concluded that PIM's profitability with respect to the management of the Trust was not unreasonable. Economies of Scale The Trustees considered the extent to which PIM may realize economies of scale or other efficiencies in managing and supporting the Trust. Since the Trust is a closed-end fund that has not raised additional capital, the Trustees concluded that economies of scale were not a relevant consideration in the renewal of the investment advisory agreement. Other Benefits The Trustees considered the other benefits to PIM from its relationship with the Trust. The Trustees considered the character and amount of fees paid by the Trust, 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 Trust 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 Trust, including the fees payable thereunder, was fair and reasonable and voted to approve the proposed renewal of the investment advisory agreement for the Trust. Pioneer Floating Rate Trust | Annual Report | 11/30/15 65 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 American Stock Transfer & Trust Company 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 Trust'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 Trust within the meaning of the 1940 Act are referred to as Interested Trustees. Trustees who are not interested persons of the Trust are referred to as Independent Trustees. Each of the Trustees serves as a trustee of each of the 50 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 Trust 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. 66 Pioneer Floating Rate Trust | Annual Report | 11/30/15 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 (65) Class III Trustee Private investor (2004 - 2008 and 2013 - Director, Broadridge Financial Chairman of the Board since 2006. Term present); Chairman (2008 - 2013) and Chief Solutions, Inc. (investor and Trustee expires in 2018. Executive Officer (2008 - 2012), Quadriserv, communications and securities Inc. (technology products for securities lending processing provider for industry); and Senior Executive Vice President, financial services industry) The Bank of New York (financial and securities (2009 - present); Director, services) (1986 - 2004) Quadriserv, Inc. (2005 - 2013); and Commissioner, New Jersey State Civil Service Commission (2011 - present) ------------------------------------------------------------------------------------------------------------------------------------ David R. Bock (71) Class I Trustee Managing Partner, Federal City Capital Advisors Director of New York Mortgage Trustee since 2005. Term (corporate advisory services company) (1997 - Trust (publicly-traded expires in 2016. 2004 and 2008 - present); Interim Chief mortgage REIT) (2004 - 2009, Executive Officer, Oxford Analytica, Inc. 2012 - present); Director of (privately held research and consulting company) The Swiss Helvetia Fund, Inc. (2010); Executive Vice President and Chief (closed-end fund) (2010 - Financial Officer, I-trax, Inc. (publicly traded present); Director of Oxford health care services company) (2004 - 2007); and Analytica, Inc. (2008 - Executive Vice President and Chief Financial present); and Director of Officer, Pedestal Inc. (internet-based mortgage Enterprise Community trading company) (2000 - 2002); Private Investment, Inc. Consultant (1995 - 1997); Managing Director, (privately-held affordable Lehman Brothers (1992 - 1995); and Executive, housing finance company) (1985 The World Bank (1979 - 1992) - 2010) ------------------------------------------------------------------------------------------------------------------------------------ Benjamin M. Friedman (71) Class II Trustee William Joseph Maier Professor of Political Trustee, Mellon Institutional Trustee since 2008. Term Economy, Harvard University (1972 - present) Funds Investment Trust and expires in 2017. Mellon Institutional Funds Master Portfolio (oversaw 17 portfolios in fund complex) (1989 - 2008) ------------------------------------------------------------------------------------------------------------------------------------
Pioneer Floating Rate Trust | Annual Report | 11/30/15 67 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 (68) Class II Trustee Founding Director, Vice-President and Corporate None Trustee since 2004. Term Secretary, The Winthrop Group, Inc. (consulting expires in 2017. firm) (1982 - present); Desautels Faculty of Management, McGill University (1999 - present); and Manager of Research Operations and Organizational Learning, Xerox PARC, Xerox's advance research center (1990-1994) ------------------------------------------------------------------------------------------------------------------------------------ Marguerite A. Piret (67) Class III Trustee President and Chief Executive Officer, Newbury, Director of New America High Trustee since 2004. Term Piret & Company, Inc. (investment banking firm) Income Fund, Inc. (closed-end expires in 2018. (1981 - present) investment company) (2004 - present); and Member, Board of Governors, Investment Company Institute (2000 - 2006) ------------------------------------------------------------------------------------------------------------------------------------ Fred J. Ricciardi (68) Class III Trustee Consultant (investment company services) (2012 - None Trustee since 2014. Term present); Executive Vice President, BNY Mellon expires in 2018. (financial and investment company services) (1969 - 2012); Director, BNY International Financing Corp. (financial services) (2002 - 2012); and Director, Mellon Overseas Investment Corp. (financial services) (2009 - 2012) ------------------------------------------------------------------------------------------------------------------------------------ Lorraine H. Monchak (59) Class I Trustee Chief Investment Officer, 1199 SEIU Funds Trustee of Pioneer closed-end Trustee since 2015. Term (healthcare workers union pension funds) (2001 - investment companies (5 expires in 2016. present); Vice President - International portfolios) (Sept. 2015- Investments Group, American International Group, present) 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) ------------------------------------------------------------------------------------------------------------------------------------
68 Pioneer Floating Rate Trust | Annual Report | 11/30/15 Interested Trustee
------------------------------------------------------------------------------------------------------------------------------------ Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee ------------------------------------------------------------------------------------------------------------------------------------ Lisa M. Jones (53)* Class I Trustee Chair, Director, CEO and President of Pioneer Trustee of Pioneer closed-end Trustee, President and Chief since 2014. Term Investment Management USA Inc. ("PIM_USA") investment companies (5 Executive Officer expires in 2016. (since September 2014); Chair, Director, CEO and portfolios) (Sept. 2015- President of Pioneer Investment Management, Inc. present) (since September 2014); Chair, Director and CEO 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, President 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) ------------------------------------------------------------------------------------------------------------------------------------ Kenneth J. Taubes (57)* Class II Trustee Director and Executive Vice President (since None Trustee since 2014. Term 2008) and Chief Investment Officer, U.S. (since expires in 2017. 2010) of PIM-USA; Executive Vice President and Chief Investment Officer, U.S. of Pioneer (since 2008); Executive Vice President of Pioneer Institutional Asset Management, Inc. (since 2009); and Portfolio Manager of Pioneer (since 1999) ------------------------------------------------------------------------------------------------------------------------------------
* Ms. Jones and Mr. Taubes are Interested Trustees because they are Officers of the Trust's investment adviser or certain of its affiliates. Pioneer Floating Rate Trust | Annual Report | 11/30/15 69 Fund Officers
------------------------------------------------------------------------------------------------------------------------------------ Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee ------------------------------------------------------------------------------------------------------------------------------------ Christopher J. Kelley (50) Since 2004. Serves Vice President and Associate General Counsel of None Secretary and Chief Legal at the discretion of Pioneer since January 2008; Secretary and Chief Officer the Board. Legal Officer of all of the Pioneer Funds since June 2010; Assistant Secretary of all of the Pioneer Funds from September 2003 to May 2010; and Vice President and Senior Counsel of Pioneer from July 2002 to December 2007 ------------------------------------------------------------------------------------------------------------------------------------ Carol B. Hannigan (54) Since 2010. Serves Fund Governance Director of Pioneer since None Assistant Secretary at the discretion of December 2006 and Assistant Secretary of all the the Board. 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. Serves Senior Counsel of Pioneer since May 2013 and None Assistant Secretary at the discretion of Assistant Secretary of all the Pioneer Funds the Board. since June 2010; and Counsel of Pioneer from June 2007 to May 2013 ------------------------------------------------------------------------------------------------------------------------------------ Mark E. Bradley (56) Since 2008. Serves Vice President - Fund Treasury of Pioneer; None Treasurer and Chief at the discretion of Treasurer of all of the Pioneer Funds since Financial the Board. March 2008; Deputy Treasurer of Pioneer from and Accounting Officer March 2004 to February 2008; and Assistant Treasurer of all of the Pioneer Funds from March 2004 to February 2008 ------------------------------------------------------------------------------------------------------------------------------------ Luis I. Presutti (50) Since 2004. Serves Director - Fund Treasury of Pioneer; and None Assistant Treasurer at the discretion of Assistant Treasurer of all of the Pioneer Funds the Board. ------------------------------------------------------------------------------------------------------------------------------------
70 Pioneer Floating Rate Trust | Annual Report | 11/30/15
------------------------------------------------------------------------------------------------------------------------------------ Name, Age and Term of Office and Other Directorships Position Held With the Fund Length of Service Principal Occupation Held by Trustee ------------------------------------------------------------------------------------------------------------------------------------ Gary Sullivan (57) Since 2004. Serves Fund Accounting Manager - Fund Treasury of None Assistant Treasurer at the discretion of Pioneer; and Assistant Treasurer of all of the the Board. Pioneer Funds ------------------------------------------------------------------------------------------------------------------------------------ David F. Johnson (36) Since 2009. Serves Fund Administration Manager - Fund Treasury of None Assistant Treasurer at the discretion of Pioneer since November 2008; Assistant Treasurer the Board. of all of the Pioneer Funds since January 2009; and Client Service Manager - Institutional Investor Services at State Street Bank from March 2003 to March 2007 ------------------------------------------------------------------------------------------------------------------------------------ Jean M. Bradley (63) Since 2010. Serves Chief Compliance Officer of Pioneer and of all None Chief Compliance Officer at the discretion of the Pioneer Funds since March 2010; Chief the Board. Compliance Officer of Pioneer 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 (44) Since 2006. Serves Director - Transfer Agency Compliance of Pioneer None Anti-Money Laundering at the discretion of and Anti-Money Laundering Officer of all the Officer the Board. Pioneer Funds since 2006 ------------------------------------------------------------------------------------------------------------------------------------
Pioneer Floating Rate Trust | Annual Report | 11/30/15 71 This page for your notes. 72 Pioneer Floating Rate Trust | Annual Report | 11/30/15 This page for your notes. Pioneer Floating Rate Trust | Annual Report | 11/30/15 73 This page for your notes. 74 Pioneer Floating Rate Trust | Annual Report | 11/30/15 This page for your notes. Pioneer Floating Rate Trust | Annual Report | 11/30/15 75 This page for your notes. 76 Pioneer Floating Rate Trust | Annual Report | 11/30/15 How to Contact Pioneer We are pleased to offer a variety of convenient ways for you to contact us for assistance or information. You can call American Stock Transfer & Trust Company (AST) for: -------------------------------------------------------------------------------- Account Information 1-800-710-0935 Or write to AST: -------------------------------------------------------------------------------- For Write to General inquiries, lost dividend checks, American Stock change of address, lost stock certificates, Transfer & Trust stock transfer Operations Center 6201 15th Ave. Brooklyn, NY 11219 Dividend reinvestment plan (DRIP) American Stock Transfer & Trust Wall Street Station P.O. Box 922 New York, NY 10269-0560 Website www.amstock.com For additional information, please contact your investment advisor or visit our web site us.pioneerinvestments.com. The Trust 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. Shareowners 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 19447-09-0116 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. Pioneer Floating Rate Trust: The audit fees for the Trust were $76,700 payable to Deloitte & Touche LLP for the year ended November 30, 2015 and $72,213 for the year ended November 30, 2014. (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 2015 or 2014. (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. Pioneer Floating Rate Trust: The tax fees for the Trust were $9,876 payable to Deloitte & Touche LLP for the year ended November 30, 2015 and $9,876 for the year ended November 30, 2014. (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 2015 or 2014. (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 November 30 2015 and 2014, 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 $9,876 payable to Deloitte & Touche LLP for the year ended November 30, 2015 and $9,876 for the year ended November 30, 2014. (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. Proxy Voting Policies and Procedures of Pioneer Investment Management, Inc. VERSION DATED July, 2004 Overview Pioneer Investment Management, Inc. ("Pioneer") is a fiduciary that owes each of its client's duties of care and loyalty with respect to all services undertaken on the client's behalf, including proxy voting. When Pioneer has been delegated proxy-voting authority for a client, the duty of care requires Pioneer to monitor corporate events and to vote the proxies. To satisfy its duty of loyalty, Pioneer must place its client's interests ahead of its own and must cast proxy votes in a manner consistent with the best interest of its clients. Pioneer will vote all proxies presented in a timely manner. The Proxy Voting Policies and Procedures are designed to complement Pioneer's investment policies and procedures regarding its general responsibility to monitor the performance and/or corporate events of companies that are issuers of securities held in accounts managed by Pioneer. Pioneer's Proxy Voting Policies summarize Pioneer's position on a number of issues solicited by companies held by Pioneer's clients. The policies are guidelines that provide a general indication on how Pioneer would vote but do not include all potential voting scenarios. Pioneer's Proxy Voting Procedures detail monitoring of voting, exception votes, and review of conflicts of interest and ensure that case-by-case votes are handled within the context of the overall guidelines (i.e. best interest of client). The overriding goal is that all proxies for US and non-US companies that are received promptly will be voted in accordance with Pioneer's policies or specific client instructions. All shares in a company held by Pioneer-managed accounts will be voted alike, unless a client has given us specific voting instructions on an issue or has not delegated authority to us or the Proxy Voting Oversight Group determines that the circumstances justify a different approach. Pioneer does not delegate the authority to vote proxies relating to its clients to any of its affiliates, which include other subsidiaries of UniCredito. Any questions about these policies and procedures should be directed to the Proxy Coordinator. 1 Proxy Voting Procedures Proxy Voting Service Pioneer has engaged an independent proxy voting service to assist in the voting of proxies. The proxy voting service works with custodians to ensure that all proxy materials are received by the custodians and are processed in a timely fashion. To the extent applicable, the proxy voting service votes all proxies in accordance with the proxy voting policies established by Pioneer. The proxy voting service will refer proxy questions to the Proxy Coordinator (described below) for instructions under circumstances where: (1) the application of the proxy voting guidelines is unclear; (2) a particular proxy question is not covered by the guidelines; or (3) the guidelines call for specific instructions on a case-by-case basis. The proxy voting service is also requested to call to the Proxy Coordinator's attention specific proxy questions that, while governed by a guideline, appear to involve unusual or controversial issues. Pioneer reserves the right to attend a meeting in person and may do so when it determines that the company or the matters to be voted on at the meeting are strategically important to its clients. Proxy Coordinator Pioneer's Director of Investment Operations (the "Proxy Coordinator") coordinates the voting, procedures and reporting of proxies on behalf of Pioneer's clients. The Proxy Coordinator will deal directly with the proxy voting service and, in the case of proxy questions referred by the proxy voting service, will solicit voting recommendations and instructions from the Director of Portfolio Management US or, to the extent applicable, investment sub-advisers. The Proxy Coordinator is responsible for ensuring that these questions and referrals are responded to in a timely fashion and for transmitting appropriate voting instructions to the proxy voting service. The Proxy Coordinator is responsible for verifying with the Compliance Department whether Pioneer's voting power is subject to any limitations or guidelines issued by the client (or in the case of an employee benefit plan, the plan's trustee or other fiduciaries). Referral Items From time to time, the proxy voting service will refer proxy questions to the Proxy Coordinator that are described by Pioneer's policy as to be voted on a case-by-case basis, that are not covered by Pioneer's guidelines or where Pioneer's guidelines may be unclear with respect to the matter to be voted on. Under such certain circumstances, the Proxy Coordinator will seek a written voting recommendation from the Director of Portfolio Management US. Any such recommendation will include: (i) the manner in which the proxies should be voted; (ii) the rationale underlying any such decision; and (iii) the disclosure of any contacts or communications made between Pioneer and any outside parties concerning the proxy proposal prior to the time that the voting instructions are provided. In addition, the Proxy Coordinator will ask the Compliance Department to review the question for any actual or apparent conflicts of interest as described below under "Conflicts of 2 Interest." The Compliance Department will provide a "Conflicts of Interest Report," applying the criteria set forth below under "Conflicts of Interest," to the Proxy Coordinator summarizing the results of its review. In the absence of a conflict of interest, the Proxy Coordinator will vote in accordance with the recommendation of the Director of Portfolio Management US. If the matter presents a conflict of interest for Pioneer, then the Proxy Coordinator will refer the matter to the Proxy Voting Oversight Group for a decision. In general, when a conflict of interest is present, Pioneer will vote according to the recommendation of the Director of Portfolio Management US where such recommendation would go against Pioneer's interest or where the conflict is deemed to be immaterial. Pioneer will vote according to the recommendation of its proxy voting service when the conflict is deemed to be material and the Pioneer's internal vote recommendation would favor Pioneer's interest, unless a client specifically requests Pioneer to do otherwise. When making the final determination as to how to vote a proxy, the Proxy Voting Oversight Group will review the report from the Director of Portfolio Management US and the Conflicts of Interest Report issued by the Compliance Department. Conflicts of Interest A conflict of interest occurs when Pioneer's interests interfere, or appear to interfere with the interests of Pioneer's clients. Occasionally, Pioneer may have a conflict that can affect how its votes proxies. The conflict may be actual or perceived and may exist when the matter to be voted on concerns: o An affiliate of Pioneer, such as another company belonging to the UniCredito Italiano S.p.A. banking group (a "UniCredito Affiliate"); o An issuer of a security for which Pioneer acts as a sponsor, advisor, manager, custodian, distributor, underwriter, broker, or other similar capacity (including those securities specifically declared by PGAM to present a conflict of interest for Pioneer); o An issuer of a security for which UniCredito has informed Pioneer that a UniCredito Affiliate acts as a sponsor, advisor, manager, custodian, distributor, underwriter, broker, or other similar capacity; or o A person with whom Pioneer (or any of its affiliates) has an existing, material contract or business relationship that was not entered into in the ordinary course of Pioneer's business. o Pioneer will abstain from voting with respect to companies directly or indirectly owned by UniCredito Italiano Group, unless otherwise directed by a client. In addition, Pioneer will inform PGAM Global Compliance and the PGAM Independent Directors before exercising such rights. Any associate involved in the proxy voting process with knowledge of any apparent or actual conflict of interest must disclose such conflict to the Proxy Coordinator and the Compliance Department. The Compliance Department will review each item referred to Pioneer to determine whether an actual or potential conflict of interest with Pioneer exists in connection with the proposal(s) to be voted upon. The review will be conducted by comparing the apparent parties affected by the proxy proposal being 3 voted upon against the Compliance Department's internal list of interested persons and, for any matches found, evaluating the anticipated magnitude and possible probability of any conflict of interest being present. For each referral item, the determination regarding the presence or absence of any actual or potential conflict of interest will be documented in a Conflicts of Interest Report to the Proxy Coordinator. Securities Lending In conjunction with industry standards Proxies are not available to be voted when the shares are out on loan through either Pioneer's lending program or a client's managed security lending program. However, Pioneer will reserve the right to recall lent securities so that they may be voted according to the Pioneer's instructions. If a portfolio manager would like to vote a block of previously lent shares, the Proxy Coordinator will work with the portfolio manager and Investment Operations to recall the security, to the extent possible, to facilitate the vote on the entire block of shares. Share-Blocking "Share-blocking" is a market practice whereby shares are sent to a custodian (which may be different than the account custodian) for record keeping and voting at the general meeting. The shares are unavailable for sale or delivery until the end of the blocking period (typically the day after general meeting date). Pioneer will vote in those countries with "share-blocking." In the event a manager would like to sell a security with "share-blocking", the Proxy Coordinator will work with the Portfolio Manager and Investment Operations Department to recall the shares (as allowable within the market time-frame and practices) and/or communicate with executing brokerage firm. A list of countries with "share-blocking" is available from the Investment Operations Department upon request. Record Keeping The Proxy Coordinator shall ensure that Pioneer's proxy voting service: o Retains a copy of the proxy statement received (unless the proxy statement is available from the SEC's Electronic Data Gathering, Analysis, and Retrieval (EDGAR) system); o Retains a record of the vote cast; o Prepares Form N-PX for filing on behalf of each client that is a registered investment company; and o Is able to promptly provide Pioneer with a copy of the voting record upon its request. 4 The Proxy Coordinator shall ensure that for those votes that may require additional documentation (i.e. conflicts of interest, exception votes and case-by-case votes) the following records are maintained: o A record memorializing the basis for each referral vote cast; o A copy of any document created by Pioneer that was material in making the decision on how to vote the subject proxy; and o A copy of any conflict notice, conflict consent or any other written communication (including emails or other electronic communications) to or from the client (or in the case of an employee benefit plan, the plan's trustee or other fiduciaries) regarding the subject proxy vote cast by, or the vote recommendation of, Pioneer. o Pioneer shall maintain the above records in the client's file for a period not less than ten (10) years. Disclosure Pioneer shall take reasonable measures to inform its clients of the process or procedures clients must follow to obtain information regarding how Pioneer voted with respect to assets held in their accounts. In addition, Pioneer shall describe to clients its proxy voting policies and procedures and will furnish a copy of its proxy voting policies and procedures upon request. This information may be provided to clients through Pioneer's Form ADV (Part II) disclosure, by separate notice to the client, or through Pioneer's website. Proxy Voting Oversight Group The members of the Proxy Voting Oversight Group are Pioneer's: Director of Portfolio Management US, Head of Investment Operations, and Director of Compliance. Other members of Pioneer will be invited to attend meetings and otherwise participate as necessary. The Head of Investment Operations will chair the Proxy Voting Oversight Group. The Proxy Voting Oversight Group is responsible for developing, evaluating, and changing (when necessary) Pioneer's Proxy Voting Policies and Procedures. The group meets at least annually to evaluate and review these policies and procedures and the services of its third-party proxy voting service. In addition, the Proxy Voting Oversight Group will meet as necessary to vote on referral items and address other business as necessary. Amendments Pioneer may not amend its Proxy Voting Policies And Procedures without the prior approval of the Proxy Voting Oversight Group and its corporate parent, Pioneer Global Asset Management S.p.A 5 Proxy Voting Policies Pioneer's sole concern in voting proxies is the economic effect of the proposal on the value of portfolio holdings, considering both the short- and long-term impact. In many instances, Pioneer believes that supporting the company's strategy and voting "for" management's proposals builds portfolio value. In other cases, however, proposals set forth by management may have a negative effect on that value, while some shareholder proposals may hold the best prospects for enhancing it. Pioneer monitors developments in the proxy-voting arena and will revise this policy as needed. All proxies that are received promptly will be voted in accordance with the specific policies listed below. All shares in a company held by Pioneer-managed accounts will be voted alike, unless a client has given us specific voting instructions on an issue or has not delegated authority to us. Proxy voting issues will be reviewed by Pioneer's Proxy Voting Oversight Group, which consists of the Director of Portfolio Management US, the Director of Investment Operations (the Proxy Coordinator), and the Director of Compliance. Pioneer has established Proxy Voting Procedures for identifying and reviewing conflicts of interest that may arise in the voting of proxies. Clients may request, at any time, a report on proxy votes for securities held in their portfolios and Pioneer is happy to discuss our proxy votes with company management. Pioneer retains a proxy voting service to provide research on proxy issues and to process proxy votes. Administrative While administrative items appear infrequently in U.S. issuer proxies, they are quite common in non-U.S. proxies. We will generally support these and similar management proposals: o Corporate name change. o A change of corporate headquarters. o Stock exchange listing. o Establishment of time and place of annual meeting. o Adjournment or postponement of annual meeting. o Acceptance/approval of financial statements. o Approval of dividend payments, dividend reinvestment plans and other dividend-related proposals. o Approval of minutes and other formalities. 6 o Authorization of the transferring of reserves and allocation of income. o Amendments to authorized signatories. o Approval of accounting method changes or change in fiscal year-end. o Acceptance of labor agreements. o Appointment of internal auditors. Pioneer will vote on a case-by-case basis on other routine business; however, Pioneer will oppose any routine business proposal if insufficient information is presented in advance to allow Pioneer to judge the merit of the proposal. Pioneer has also instructed its proxy voting service to inform Pioneer of its analysis of any administrative items inconsistent, in its view, with supporting the value of Pioneer portfolio holdings so that Pioneer may consider and vote on those items on a case-by-case basis. Auditors We normally vote for proposals to: o Ratify the auditors. We will consider a vote against if we are concerned about the auditors' independence or their past work for the company. Specifically, we will oppose the ratification of auditors and withhold votes from audit committee members if non-audit fees paid by the company to the auditing firm exceed the sum of audit fees plus audit-related fees plus permissible tax fees according to the disclosure categories proposed by the Securities and Exchange Commission. o Restore shareholder rights to ratify the auditors. We will normally oppose proposals that require companies to: o Seek bids from other auditors. o Rotate auditing firms, except where the rotation is statutorily required or where rotation would demonstrably strengthen financial disclosure. o Indemnify auditors. o Prohibit auditors from engaging in non-audit services for the company. Board of Directors On issues related to the board of directors, Pioneer normally supports management. We will, however, consider a vote against management in instances where corporate performance has been very poor or where the board appears to lack independence. 7 General Board Issues Pioneer will vote for: o Audit, compensation and nominating committees composed of independent directors exclusively. o Indemnification for directors for actions taken in good faith in accordance with the business judgment rule. We will vote against proposals for broader indemnification. o Changes in board size that appear to have a legitimate business purpose and are not primarily for anti-takeover reasons. o Election of an honorary director. We will vote against: o Minimum stock ownership by directors. o Term limits for directors. Companies benefit from experienced directors, and shareholder control is better achieved through annual votes. o Requirements for union or special interest representation on the board. o Requirements to provide two candidates for each board seat. We will vote on a case-by case basis on these issues: o Separate chairman and CEO positions. We will consider voting with shareholders on these issues in cases of poor corporate performance. Elections of Directors In uncontested elections of directors we will vote against: o Individual directors with absenteeism above 25% without valid reason. We support proposals that require disclosure of director attendance. o Insider directors and affiliated outsiders who sit on the audit, compensation, stock option or nominating committees. For the purposes of our policy, we accept the definition of affiliated directors provided by our proxy voting service. We will also vote against: o Directors who have failed to act on a takeover offer where the majority of shareholders have tendered their shares. o Directors who appear to lack independence or are associated with very poor corporate performance. 8 We will vote on a case-by case basis on these issues: o Re-election of directors who have implemented or renewed a dead-hand or modified dead-hand poison pill (a "dead-hand poison pill" is a shareholder rights plan that may be altered only by incumbent or "dead " directors. These plans prevent a potential acquirer from disabling a poison pill by obtaining control of the board through a proxy vote). o Contested election of directors. o Prior to phase-in required by SEC, we would consider supporting election of a majority of independent directors in cases of poor performance. o Mandatory retirement policies. o Directors who have ignored a shareholder proposal that has been approved by shareholders for two consecutive years. Takeover-Related Measures Pioneer is generally opposed to proposals that may discourage takeover attempts. We believe that the potential for a takeover helps ensure that corporate performance remains high. Pioneer will vote for: o Cumulative voting. o Increase ability for shareholders to call special meetings. o Increase ability for shareholders to act by written consent. o Restrictions on the ability to make greenmail payments. o Submitting rights plans to shareholder vote. o Rescinding shareholder rights plans ("poison pills"). o Opting out of the following state takeover statutes: o Control share acquisition statutes, which deny large holders voting rights on holdings over a specified threshold. o Control share cash-out provisions, which require large holders to acquire shares from other holders. o Freeze-out provisions, which impose a waiting period on large holders before they can attempt to gain control. o Stakeholder laws, which permit directors to consider interests of non-shareholder constituencies. 9 o Disgorgement provisions, which require acquirers to disgorge profits on purchases made before gaining control. o Fair price provisions. o Authorization of shareholder rights plans. o Labor protection provisions. o Mandatory classified boards. We will vote on a case-by-case basis on the following issues: o Fair price provisions. We will vote against provisions requiring supermajority votes to approve takeovers. We will also consider voting against proposals that require a supermajority vote to repeal or amend the provision. Finally, we will consider the mechanism used to determine the fair price; we are generally opposed to complicated formulas or requirements to pay a premium. o Opting out of state takeover statutes regarding fair price provisions. We will use the criteria used for fair price provisions in general to determine our vote on this issue. o Proposals that allow shareholders to nominate directors. We will vote against: o Classified boards, except in the case of closed-end mutual funds. o Limiting shareholder ability to remove or appoint directors. We will support proposals to restore shareholder authority in this area. We will review on a case-by-case basis proposals that authorize the board to make interim appointments. o Classes of shares with unequal voting rights. o Supermajority vote requirements. o Severance packages ("golden" and "tin" parachutes). We will support proposals to put these packages to shareholder vote. o Reimbursement of dissident proxy solicitation expenses. While we ordinarily support measures that encourage takeover bids, we believe that management should have full control over corporate funds. o Extension of advance notice requirements for shareholder proposals. o Granting board authority normally retained by shareholders (e.g., amend charter, set board size). o Shareholder rights plans ("poison pills"). These plans generally allow shareholders to buy additional shares at a below-market price in the event of a change in control and may deter some bids. 10 Capital Structure Managements need considerable flexibility in determining the company's financial structure, and Pioneer normally supports managements' proposals in this area. We will, however, reject proposals that impose high barriers to potential takeovers. Pioneer will vote for: o Changes in par value. o Reverse splits, if accompanied by a reduction in number of shares. o Share repurchase programs, if all shareholders may participate on equal terms. o Bond issuance. o Increases in "ordinary" preferred stock. o Proposals to have blank-check common stock placements (other than shares issued in the normal course of business) submitted for shareholder approval. o Cancellation of company treasury shares. We will vote on a case-by-case basis on the following issues: o Reverse splits not accompanied by a reduction in number of shares, considering the risk of delisting. o Increase in authorized common stock. We will make a determination considering, among other factors: o Number of shares currently available for issuance; o Size of requested increase (we would normally approve increases of up to 100% of current authorization); o Proposed use of the additional shares; and o Potential consequences of a failure to increase the number of shares outstanding (e.g., delisting or bankruptcy). o Blank-check preferred. We will normally oppose issuance of a new class of blank-check preferred, but may approve an increase in a class already outstanding if the company has demonstrated that it uses this flexibility appropriately. o Proposals to submit private placements to shareholder vote. o Other financing plans. We will vote against preemptive rights that we believe limit a company's financing flexibility. 11 Compensation Pioneer supports compensation plans that link pay to shareholder returns and believes that management has the best understanding of the level of compensation needed to attract and retain qualified people. At the same time, stock-related compensation plans have a significant economic impact and a direct effect on the balance sheet. Therefore, while we do not want to micromanage a company's compensation programs, we will place limits on the potential dilution these plans may impose. Pioneer will vote for: o 401(k) benefit plans. o Employee stock ownership plans (ESOPs), as long as shares allocated to ESOPs are less than 5% of outstanding shares. Larger blocks of stock in ESOPs can serve as a takeover defense. We will support proposals to submit ESOPs to shareholder vote. o Various issues related to the Omnibus Budget and Reconciliation Act of 1993 (OBRA), including: o Amendments to performance plans to conform with OBRA; o Caps on annual grants or amendments of administrative features; o Adding performance goals; and o Cash or cash-and-stock bonus plans. o Establish a process to link pay, including stock-option grants, to performance, leaving specifics of implementation to the company. o Require that option repricings be submitted to shareholders. o Require the expensing of stock-option awards. o Require reporting of executive retirement benefits (deferred compensation, split-dollar life insurance, SERPs, and pension benefits). o Employee stock purchase plans where the purchase price is equal to at least 85% of the market price, where the offering period is no greater than 27 months and where potential dilution (as defined below) is no greater than 10%. 12 We will vote on a case-by-case basis on the following issues: o Executive and director stock-related compensation plans. We will consider the following factors when reviewing these plans: o The program must be of a reasonable size. We will approve plans where the combined employee and director plans together would generate less than 15% dilution. We will reject plans with 15% or more potential dilution. Dilution = (A + B + C) / (A + B + C + D), where A = Shares reserved for plan/amendment, B = Shares available under continuing plans, C = Shares granted but unexercised and D = Shares outstanding. o The plan must not: o Explicitly permit unlimited option repricing authority or that have repriced in the past without shareholder approval. o Be a self-replenishing "evergreen" plan, plans that grant discount options and tax offset payments. o We are generally in favor of proposals that increase participation beyond executives. o We generally support proposals asking companies to adopt rigorous vesting provisions for stock option plans such as those that vest incrementally over, at least, a three- or four-year period with a pro rata portion of the shares becoming exercisable on an annual basis following grant date. o We generally support proposals asking companies to disclose their window period policies for stock transactions. Window period policies ensure that employees do not exercise options based on insider information contemporaneous with quarterly earnings releases and other material corporate announcements. o We generally support proposals asking companies to adopt stock holding periods for their executives. o All other employee stock purchase plans. o All other compensation-related proposals, including deferred compensation plans, employment agreements, loan guarantee programs and retirement plans. o All other proposals regarding stock compensation plans, including extending the life of a plan, changing vesting restrictions, repricing options, lengthening exercise periods or accelerating distribution of awards and pyramiding and cashless exercise programs. 13 We will vote against: o Pensions for non-employee directors. We believe these retirement plans reduce director objectivity. o Elimination of stock option plans. We will vote on a case-by case basis on these issues: o Limits on executive and director pay. o Stock in lieu of cash compensation for directors. Corporate Governance Pioneer will vote for: o Confidential Voting. o Equal access provisions, which allow shareholders to contribute their opinion to proxy materials. o Proposals requiring directors to disclose their ownership of shares in the company. We will vote on a case-by-case basis on the following issues: o Change in the state of incorporation. We will support reincorporations supported by valid business reasons. We will oppose those that appear to be solely for the purpose of strengthening takeover defenses. o Bundled proposals. We will evaluate the overall impact of the proposal. o Adopting or amending the charter, bylaws or articles of association. o Shareholder appraisal rights, which allow shareholders to demand judicial review of an acquisition price. We will vote against: o Shareholder advisory committees. While management should solicit shareholder input, we prefer to leave the method of doing so to management's discretion. o Limitations on stock ownership or voting rights. o Reduction in share ownership disclosure guidelines. 14 Mergers and Restructurings Pioneer will vote on the following and similar issues on a case-by-case basis: o Mergers and acquisitions. o Corporate restructurings, including spin-offs, liquidations, asset sales, joint ventures, conversions to holding company and conversions to self-managed REIT structure. o Debt restructurings. o Conversion of securities. o Issuance of shares to facilitate a merger. o Private placements, warrants, convertible debentures. o Proposals requiring management to inform shareholders of merger opportunities. We will normally vote against shareholder proposals requiring that the company be put up for sale. Mutual Funds Many of our portfolios may invest in shares of closed-end mutual funds or exchange-traded funds. The non-corporate structure of these investments raises several unique proxy voting issues. Pioneer will vote for: o Establishment of new classes or series of shares. o Establishment of a master-feeder structure. Pioneer will vote on a case-by-case on: o Changes in investment policy. We will normally support changes that do not affect the investment objective or overall risk level of the fund. We will examine more fundamental changes on a case-by-case basis. o Approval of new or amended advisory contracts. o Changes from closed-end to open-end format. o Authorization for, or increase in, preferred shares. o Disposition of assets, termination, liquidation, or mergers. o Classified boards of closed-end mutual funds, but will typically support such proposals. 15 Social Issues Pioneer will abstain on stockholder proposals calling for greater disclosure of corporate activities with regard to social issues. "Social Issues" may generally be described as shareholder proposals for a company to: o Conduct studies regarding certain issues of public concern and interest; o Study the feasibility of the company taking certain actions with regard to such issues; or o Take specific action, including ceasing certain behavior and adopting company standards and principles, in relation to issues of public concern and interest. We believe these issues are important and should receive management attention. Pioneer will vote against proposals calling for substantial changes in the company's business or activities. We will also normally vote against proposals with regard to contributions, believing that management should control the routine disbursement of funds. 16 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. ADDITIONAL INFORMATION ABOUT THE PORTFOLIO MANAGER OTHER ACCOUNTS MANAGED BY THE PORTFOLIO MANAGER The table below indicates, for the portfolio manager of the fund, information about the accounts other than the fund over which the portfolio manager has day-to-day investment responsibility. All information on the number of accounts and total assets in the table is as of November 30, 2015. For purposes of the table, "Other Pooled Investment Vehicles" may include investment partnerships, undertakings for collective investments in transferable securities ("UCITS") and other non-U.S. investment funds and group trusts, and "Other Accounts" may include separate accounts for institutions or individuals, insurance company general or separate accounts, pension funds and other similar institutional accounts but generally do not include the portfolio manager's personal investment accounts or those which the manager may be deemed to own beneficially under the code of ethics. Certain funds and other accounts managed by the portfolio manager may have substantially similar investment strategies.
NUMBER OF ASSETS ACCOUNTS MANAGED MANAGED FOR FOR WHICH WHICH ADVISORY ADVISORY NUMBER OF FEE IS FEE IS NAME OF ACCOUNTS TOTAL ASSETS PERFORMANCE- PERFORMANCE- PORTFOLIO MANAGER TYPE OF ACCOUNT MANAGED MANAGED (000'S) BASED BASED (000'S) ------------------- ---------------------------------- ----------- ----------------- ---------------- -------------- Jonathan Sharkey Other Registered Investment Companies 3 $3,413,911 N/A N/A Other Pooled Investment Vehicles 0 $ 0 N/A N/A Other Accounts 0 $ 0 N/A N/A ------------------- ---------------------------------- ----------- ---------- ---------------- --------------
POTENTIAL CONFLICTS OF INTEREST When a portfolio manager is responsible for the management of more than one account, the potential arises for the portfolio manager to favor one account over another. The principal types of potential conflicts of interest that may arise are discussed below. For the reasons outlined below, Pioneer does not believe that any material conflicts are likely to arise out of a portfolio manager's responsibility for the management of the fund as well as one or more other accounts. Although Pioneer has adopted procedures that it believes are reasonably designed to detect and prevent violations of the federal securities laws and to mitigate the potential for conflicts of interest to affect its portfolio management decisions, there can be no assurance that all conflicts will be identified or that all procedures will be effective in mitigating the potential for such risks. Generally, the risks of such conflicts of interest are increased to the extent that a portfolio manager has a financial incentive to favor one account over another. Pioneer has structured its compensation arrangements in a manner that is intended to limit such potential for conflicts of interest. See "Compensation of Portfolio Managers" below. o A portfolio manager could favor one account over another in allocating new investment opportunities that have limited supply, such as initial public offerings and private placements. If, for example, an initial public offering that was expected to appreciate in value significantly shortly after the offering was allocated to a single account, that account may be expected to have better investment performance than other accounts that did not receive an allocation of the initial public offering. Generally, investments for which there is limited availability are allocated based upon a range of factors including available cash and consistency with the accounts' investment objectives and policies. This allocation methodology necessarily involves some subjective elements but is intended over time to treat each client in an equitable and fair manner. Generally, the investment opportunity is allocated among participating accounts on a pro rata 0 basis. Although Pioneer believes that its practices are reasonably designed to treat each client in an equitable and fair manner, there may be instances where a fund may not participate, or may participate to a lesser degree than other clients, in the allocation of an investment opportunity. o A portfolio manager could favor one account over another in the order in which trades for the accounts are placed. If a portfolio manager determines to purchase a security for more than one account in an aggregate amount that may influence the market price of the security, accounts that purchased or sold the security first may receive a more favorable price than accounts that made subsequent transactions. The less liquid the market for the security or the greater the percentage that the proposed aggregate purchases or sales represent of average daily trading volume, the greater the potential for accounts that make subsequent purchases or sales to receive a less favorable price. When a portfolio manager intends to trade the same security on the same day for more than one account, the trades typically are "bunched," which means that the trades for the individual accounts are aggregated and each account receives the same price. There are some types of accounts as to which bunching may not be possible for contractual reasons (such as directed brokerage arrangements). Circumstances may also arise where the trader believes that bunching the orders may not result in the best possible price. Where those accounts or circumstances are involved, Pioneer will place the order in a manner intended to result in as favorable a price as possible for such client. o A portfolio manager could favor an account if the portfolio manager's compensation is tied to the performance of that account to a greater degree than other accounts managed by the portfolio manager. If, for example, the portfolio manager receives a bonus based upon the performance of certain accounts relative to a benchmark while other accounts are disregarded for this purpose, the portfolio manager will have a financial incentive to seek to have the accounts that determine the portfolio manager's bonus achieve the best possible performance to the possible detriment of other accounts. Similarly, if Pioneer receives a performance-based advisory fee, the portfolio manager may favor that account, whether or not the performance of that account directly determines the portfolio manager's compensation. o A portfolio manager could favor an account if the portfolio manager has a beneficial interest in the account, in order to benefit a large client or to compensate a client that had poor returns. For example, if the portfolio manager held an interest in an investment partnership that was one of the accounts managed by the portfolio manager, the portfolio manager would have an economic incentive to favor the account in which the portfolio manager held an interest. o If the different accounts have materially and potentially conflicting investment objectives or strategies, a conflict of interest could arise. For example, if a portfolio manager purchases a security for one account and sells the same security for another account, such trading pattern may disadvantage either the account that is long or short. In making portfolio manager assignments, Pioneer seeks to avoid such potentially conflicting situations. However, where a portfolio manager is responsible for accounts with differing investment objectives and policies, it is possible that the portfolio manager will conclude that it is in the best interest of one account to sell a portfolio security while another account continues to hold or increase the holding in such security. COMPENSATION OF PORTFOLIO MANAGER Pioneer has adopted a system of compensation for portfolio managers that seeks to align the financial interests of the portfolio managers with those of shareholders of the accounts (including Pioneer funds) the portfolio managers manage, as well as with the financial performance of Pioneer. The compensation program for all Pioneer portfolio managers includes a base salary (determined by the rank and tenure of the employee) and an annual bonus program, as well as customary benefits that are offered generally to all full-time employees. Base compensation is fixed and normally reevaluated on an annual basis. Pioneer seeks to set base compensation at market rates, taking into account the experience and responsibilities of the portfolio manager. The bonus plan is intended to provide a competitive level of annual bonus compensation that is tied to the portfolio manager achieving superior investment performance and align the interests of 1 the investment professional with those of shareholders, as well as with the financial performance of Pioneer. Any bonus under the plan is completely discretionary, with a maximum annual bonus that may be in excess of base salary. The annual bonus is based upon a combination of the following factors: o QUANTITATIVE INVESTMENT PERFORMANCE. The quantitative investment performance calculation is based on pre-tax investment performance of all of the accounts managed by the portfolio manager (which includes the fund and any other accounts managed by the portfolio manager) over a one-year period (20% weighting) and four-year period (80% weighting), measured for periods ending on December 31. The accounts, which include the fund, are ranked against a group of mutual funds with similar investment objectives and investment focus (60%) and a broad-based securities market index measuring the performance of the same type of securities in which the accounts invest (40%), which, in the case of the fund, is the Bank of America Merrill Lynch High Yield Master II Index. As a result of these two benchmarks, the performance of the portfolio manager for compensation purposes is measured against the criteria that are relevant to the portfolio manager's competitive universe. o QUALITATIVE PERFORMANCE. The qualitative performance component with respect to all of the accounts managed by the portfolio manager includes objectives, such as effectiveness in the areas of teamwork, leadership, communications and marketing, that are mutually established and evaluated by each portfolio manager and management. o PIONEER RESULTS AND BUSINESS LINE RESULTS. Pioneer's financial performance, as well as the investment performance of its investment management group, affect a portfolio manager's actual bonus by a leverage factor of plus or minus (+/-) a predetermined percentage. The quantitative and qualitative performance components comprise 80% and 20%, respectively, of the overall bonus calculation (on a pre-adjustment basis). A portion of the annual bonus is deferred for a specified period and may be invested in one or more Pioneer funds. Certain portfolio managers participate in other programs designed to reward and retain key contributors. Senior executives or other key employees are granted performance units based on the stock price performance of UniCredit and the financial performance of Pioneer Global Asset Management S.p.A., which are affiliates of Pioneer. Portfolio managers also may participate in a deferred compensation program, whereby deferred amounts are invested in one or more Pioneer funds. SHARE OWNERSHIP BY PORTFOLIO MANAGER The following table indicates as of November 30, 2015 the value, within the indicated range, of shares beneficially owned by the portfolio manager of the fund.
BENEFICIAL OWNERSHIP NAME OF PORTFOLIO MANAGER OF THE FUND* --------------------------- --------------------- Jonathan Sharkey A --------------------------- ---------------------
* Key to Dollar Ranges A. None B. $1 - $10,000 C. $10,001 - $50,000 D. $50,001 - $100,000 E. $100,001 - $500,000 F. $500,001 - $1,000,000 G. Over $1,000,000
2 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). During the period covered by this report, there were no purchases made by or on behalf of the registrant or any affiliated purchaser as defined in Rule 10b-18(a)(3) under the Securities Exchange Act of 1934 (the Exchange Act), of shares of the registrants equity securities that are registered by the registrant pursuant to Section 12 of the Exchange Act. 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 Floating Rate Trust By (Signature and Title)* /s/ Lisa M. Jones Lisa M. Jones, President & Chief Executive Officer Date January 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 January 29, 2016 By (Signature and Title)* /s/ Mark Bradley Mark Bradley, Treasurer & Chief Accounting & Financial Officer Date January 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 Floating Rate Trust; 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: January 29, 2016 /s/ Lisa M. Jones Lisa M. Jones President and Chief Executive Officer CERTIFICATIONS -------------- I, Mark Bradley, certify that: 1. I have reviewed this report on Form N-CSR of Pioneer Floating Rate Trust; 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: January 28, 2016 /s/ Mark Bradley Mark Bradley Treasurer & Chief Accounting & Financial Officer SECTION 906 CERTIFICATION Pursuant to 18 U.S.C. ss. 1350, the undersigned officer of Pioneer Floating Rate Trust (the "Trust"), hereby certifies, to the best of his knowledge, that the Trust's Report on Form N-CSR for the period ended November 30, 2015 (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: January 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 Floating Rate Trust (the "Trust"), hereby certifies, to the best of his knowledge, that the Trust's Report on Form N-CSR for the period ended November 30, 2015 (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: January 29, 2016 /s/ Mark Bradley Mark 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 -------------------------------------------------------------------------------