<PAGE>
[logo]PIONEER
Pioneer Gold Shares
SEMIANNUAL REPORT 4/30/99
<PAGE>
Table of Contents
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
Letter from the Chairman 1
Portfolio Summary 2
Performance Update 3
Portfolio Management Discussion 6
Schedule of Investments 9
Financial Statements 11
Notes to Financial Statements 17
Report of Independent Public Accountants 23
Trustees, Officers and Service Providers 24
The Pioneer Family of Mutual Funds 25
Retirement Plans from Pioneer 26
Programs and Services for Pioneer Shareowners 28
</TABLE>
<PAGE>
Pioneer Gold Shares
LETTER FROM THE CHAIRMAN 4/30/99
Dear Shareowner,
- --------------------------------------------------------------------------------
I am pleased to introduce this report for Pioneer Gold Shares, covering the six
months ended April 30, 1999. I thank you for your confidence in Pioneer and
appreciate this opportunity to discuss the investing environment and the factors
that affected gold-related investments.
A strong economy and a soaring equity market prevailed in the United States over
the last six months. Despite this unfriendly environment for gold, the precious
metal showed signs of life late in the period when rising commodity prices
triggered fears of inflation.
Pioneer Gold Shares invests almost exclusively in gold and gold-oriented
companies.Your fund benefits when the price of gold rises and feels the
consequences when it drops; it is more dramatically affected by price
fluctuations than funds that also invest in commodities other than gold. Changes
in other industries have little effect on the Fund. The integrity of our
investment focus goes hand in hand with the other fundamentals we consider
important - value, perseverance and diversification. By remaining true to the
Fund's investment objective, we help investors make accurate decisions when
allocating their investing dollars. There is little certainty in investing, but
our shareowners can count on Pioneer Gold Shares to invest in the gold industry,
using our expertise in this area.
I encourage you to read on to learn more about Pioneer Gold Shares and your
investment team's strategy. For more detailed information please read the
portfolio management discussion with Michael Bradshaw. If you have questions
about your Fund, please contact your investment professional, or call Pioneer at
1-800-225-6292.
Respectfully,
/S/ John F. Cogan, Jr.
John F. Cogan, Jr.
Chairman and President
1
<PAGE>
Pioneer Gold Shares
PORTFOLIO SUMMARY 4/30/99
Portfolio Diversification
- --------------------------------------------------------------------------------
(As a percentage of total investment portfolio)
[PIE CHART]
International Common Stocks 51%
U.S. Common Stocks 25%
Depositary Receipts for International
Stocks 17%
Short-Term Cash Equivalents 7%
Geographical Distribution
- --------------------------------------------------------------------------------
(As a percentage of equity holdings)
[PIE CHART]
Canada 45%
United States 27%
South Africa 13%
Australia 8%
Ghana 4%
Papua New Guinea 3%
10 Largest Holdings
- --------------------------------------------------------------------------------
(As a percentage of equity holdings)
<TABLE>
<S> <C> <C> <C>
1. Barrick Gold Corp. 6.97% 6. Freeport-McMoRan Copper
& Gold Inc. 4.76%
2. Getchell Gold Corp. 5.76 7. Placer Dome, Inc. 4.73
3. Euro-Nevada Mining Corp. 5.54 8. Anglogold Ltd. (A.D.R.) 4.63
4. Newmont Mining Corp. 5.14 9. Goldcorp Inc. 4.39
5. Franco-Nevada Mining Corp. Ltd. 4.87 10. Meridian Gold Inc. 4.28
</TABLE>
Fund holdings will vary for other periods.
2
<PAGE>
Pioneer Gold Shares
PERFORMANCE UPDATE 4/30/99 CLASS A SHARES
Share Prices and Distributions
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Net Asset Value
per Share 4/30/99 10/31/98
<S> <C> <C>
$4.53 $4.58
<CAPTION>
Distributions per Share Income Short-Term Long-Term
(10/31/98 - 4/30/99) Dividends Capital Gains Capital Gains
<S> <C> <C> <C>
- - -
</TABLE>
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the growth of a $10,000 investment made
in Pioneer Gold Shares at public offering price, compared to the growth of the
Standard & Poor's 500 Index.
Average Annual Total Returns
(As of April 30, 1999)
<TABLE>
<CAPTION>
Net Asset Public Offering
Period Value Price*
<S> <C> <C>
Life-of-Fund -4.04% -4.68%
(7/25/90)
5 Years -9.11 -10.18
1 Year -18.52 -23.22
</TABLE>
* Reflects deduction of the maximum 5.75% sales charge at the beginning of the
period and assumes reinvestment of distributions at net asset value.
[MOUNTAIN CHART]
Growth of $10,000
<TABLE>
<CAPTION>
Pioneer Gold Shares* Standard & Poor's 500 Index
<S> <C> <C>
7/25/90 9425 10000
7614 8620
4/91 7329 10824
7643 11500
6691 12339
7207 12644
4/93 9170 13478
10660 14531
10588 14196
11376 15091
4/95 10688 16668
9743 19075
12680 21697
11190 23663
4/97 9482 27144
8366 31254
8061 38286
6640 38131
4/99 6568 46637
</TABLE>
The Standard & Poor's (S&P) 500 Index is an unmanaged measure of 500 widely held
common stocks listed on the New York Stock Exchange, American Stock Exchange and
the over-the-counter market. Index returns assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in the Index.
Past performance does not guarantee future results. Returns and share prices
fluctuate, and your shares, when redeemed, may be worth more or less than their
original cost.
3
<PAGE>
Pioneer Gold Shares
PERFORMANCE UPDATE 4/30/99 CLASS B SHARES
Share Prices and Distributions
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Net Asset Value
per Share 4/30/99 10/31/98
<S> <C> <C>
$4.34 $4.41
<CAPTION>
Distributions per Share Income Short-Term Long-Term
(10/31/98 - 4/30/99) Dividends Capital Gains Capital Gains
<S> <C> <C> <C>
- - -
</TABLE>
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the growth of a $10,000 investment made in
Pioneer Gold Shares, compared to the growth of the Standard & Poor's 500 Index.
Average Annual Total Returns
(As of April 30, 1999)
<TABLE>
<CAPTION>
If If
Period Held Redeemed*
<S> <C> <C>
Life-of-Fund -10.77% -10.95%
(4/4/94)
5 Years -9.88 -10.06
1 Year -19.33 -22.56
</TABLE>
* Reflects deduction of the maximum applicable contingent deferred sales charge
(CDSC) at the end of the period and assumes reinvestment of distributions. The
maximum CDSC of 4% declines over six years.
[MOUNTAIN CHART]
Growth of $10,000
<TABLE>
<CAPTION>
Pioneer Gold Shares* Standard & Poor's 500 Index
<S> <C> <C>
4/4/94 10000 10000
9438 10299
9413 10545
10/94 10077 10949
8059 10984
4/95 9464 12093
9719 13293
10/95 8595 13839
11111 15224
4/96 11124 15741
9974 15491
10/96 9770 17168
9049 19228
4/97 8248 19693
7924 23561
10/97 7252 22675
6140 24398
4/98 6955 27777
4874 28106
10/98 5701 27664
5158 32327
4/99 5555 33836
</TABLE>
The Standard & Poor's (S&P) 500 Index is an unmanaged measure of 500 widely held
common stocks listed on the New York Stock Exchange, American Stock Exchange and
the over-the-counter market. Index returns assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in the Index.
Past performance does not guarantee future results. Returns and share prices
fluctuate, and your shares, when redeemed, may be worth more or less than their
original cost.
4
<PAGE>
Pioneer Gold Shares
PERFORMANCE UPDATE 4/30/99 CLASS C SHARES
Share Prices and Distributions
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Net Asset Value
per Share 4/30/99 10/31/98
<S> <C> <C>
$4.35 $4.42
<CAPTION>
Distributions per Share Income Short-Term Long-Term
(10/31/98 - 4/30/99) Dividends Capital Gains Capital Gains
<S> <C> <C> <C>
- - -
</TABLE>
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the growth of a $10,000 investment made in
Pioneer Gold Shares, compared to the growth of the Standard & Poor's 500 Index.
Average Annual Total Returns
(As of April 30, 1999)
<TABLE>
<CAPTION>
If If
Period Held Redeemed*
<S> <C> <C>
Life-of-Fund -18.90% -18.90%
(1/31/96)
1 Year -19.14 -19.14
</TABLE>
* Assumes reinvestment of distributions. The 1% contingent deferred sales charge
(CDSC) applies to investments sold within one year of purchase.
[MOUNTAIN CHART]
Growth of $10,000
<TABLE>
<CAPTION>
Pioneer Gold Shares* Standard & Poor's 500 Index
<S> <C> <C>
1/96 10000 10000
4/96 10000 10340
8966 10175
10/96 8793 11277
8144 12630
4/97 7423 12935
7132 15476
10/97 6539 14894
5526 16026
4/98 6259 18245
4386 18462
10/98 5142 18171
4642 21234
4/99 5061 22225
</TABLE>
The Standard & Poor's (S&P) 500 Index is an unmanaged measure of 500 widely held
common stocks listed on the New York Stock Exchange, American Stock Exchange and
the over-the-counter market. Index returns assume reinvestment of dividends and,
unlike Fund returns, do not reflect any fees, expenses or sales charges. You
cannot invest directly in the Index.
Past performance does not guarantee future results. Returns and share prices
fluctuate, and your shares, when redeemed, may be worth more or less than their
original cost.
5
<PAGE>
Pioneer Gold Shares
PORTFOLIO MANAGEMENT DISCUSSION 4/30/99
The U.S. stock market continued to draw investors away from commodity-based
investments, including gold, over the six months ended April 30, 1999. In the
following discussion, Michael P. Bradshaw, Pioneer Gold Shares' portfolio
manager, talks about this trend and the other factors that affected the Fund
over the period. Michael is responsible for the day-to-day management of the
Fund and is supported by the portfolio managers and analysts on Pioneer's core
value team.
Q: Gold prices bounced back in March. Did the Fund's performance also improve?
A: Yes, the rally helped offset losses from the first months of the period. The
Fund's Class A shares returned -1.09% at net asset value for the six months.
Class B shares and Class C shares returned -1.59% and -1.58%, respectively.
Even so, the Fund did lag other funds. The 44 gold-oriented funds tracked by
Lipper, Inc. had an average return of 2.81% for the same period. (Lipper is
an independent research firm that tracks mutual fund performance.) The
Fund's overweighting in large companies - for example Placer Dome and
Homestake Mining - had a significant impact on its performance. Several of
these companies made acquisitions over the period, temporarily diluting
their assets, which led to a decrease in their share price.
Q: How did the announcement by the U. K. Treasury that it planned to sell a
portion of its gold reserves affect the market for gold?
A: As with any commodity, supply and demand play a major role in determining
price. This announcement caused the price of gold to drop almost immediately
in response to the perceived excess of gold. While we think the market can
easily absorb the temporary excess, the price of gold will be under pressure
in the short term until the initial sale is completed.
6
<PAGE>
Pioneer Gold Shares
Q: Did the Fund benefit from the period's rise in commodity prices?
A: Eventually it did, but not until gold prices moved up. At first, only funds
with exposure to nickel, copper and aluminum benefited. However, as
commodity prices continued to rise through the period, they began to fan
investors' fears of wider-ranging inflation. Traditionally, investors have
looked to gold in inflationary times as protection against uncertain market
prices. This triggered an increase in demand for gold and perked up the
price of gold and gold-related companies. Ultimately this helped the Fund
outperform the average of its Lipper peers in March.
Q: Which holdings helped Pioneer Gold Shares benefit from the fear of
inflation?
A: Primarily its holdings in liquid, fundamentally strong companies that have
high visibility to the general market. These are some of the first places
nervous investors turn when economic news is unfavorable. Positions such as
Gold Fields and Newmont Mining helped boost performance in April. These
companies benefited because they do not hedge their gold production. They
don't lock in guaranteed prices for their gold, so their profits rise and
fall more dramatically with changes in gold prices.
Q: Did the companies created by mergers help the Fund at all?
A: Early in the period, many of our larger holdings bought smaller companies,
and that hurt performance. The market often reacts negatively to the
acquirer in these transactions. Barrick Gold, whose price declined when it
purchased Sutton Resources, is evidence of this. After Placer Dome's
takeover bid for Getchell Gold, it too saw its stock price fall. Later on,
however, these holdings rebounded when investors instinctively looked to
large companies as a hedge against market volatility.
7
<PAGE>
Pioneer Gold Shares
PORTFOLIO MANAGEMENT DISCUSSION 4/30/99 (continued)
Q: The portfolio remains relatively unchanged. Did you make any additions or
deletions?
A: We did not make a lot of changes to portfolio holdings over the period. We
kept our focus on large, liquid, familiar names with a mix of smaller,
efficient producers. Our only major change was the addition of DeBeers
Consolidated Mines. We bought this South African gold and diamond company
because it was a good value; its shares were trading at a nine-year low and
its prospects seemed to be improving. This turned out to be a wise choice -
diamond sales have increased, contributing to DeBeers' bottom line. For the
period, the holding returned 66%. We reduced the position in one of the
Fund's smaller holdings, Lihir Gold, due to operational problems at its
mine.
Q: What is your outlook for gold and Pioneer Gold Shares?
A: Inflationary fears will continue to have the largest impact on gold. As
investors speculate about whether or not inflation will increase, some will
look to gold as a hedge. Uncertainty about the Year 2000 is another factor
that may lead some investors to gold. Also, demand has picked up in Asia.
These circumstances should bode well for gold and your Fund. On the negative
side, however, more selling by the United Kingdom or other Central banks
would put a damper on gold prices and gold stocks. In either case, it is
important for investors to keep in mind that investing in a narrow sector -
such as the gold industry - is inherently volatile, whether the market is
moving up or down.
8
<PAGE>
Pioneer Gold Shares
SCHEDULE OF INVESTMENTS 4/30/99
<TABLE>
<CAPTION>
Shares Value
<S> <C> <C>
COMMON STOCKS - 92.7%
Precious Metals - 92.7%
Australia - 7.3%
287,700 Newcrest Mining Ltd.* $ 660,637
1,301,982 Normandy Mining Ltd. 1,128,678
110,000 Sons of Gwalia NL 331,351
--------------
$ 2,120,666
--------------
Canada - 41.8%
173,000 Agnico-Eagle Mines Ltd. $ 1,059,625
92,742 Barrick Gold Corp. 1,866,432
163,000 Cambior, Inc. 660,376
86,800 Euro-Nevada Mining Corp. 1,485,364
67,500 Franco-Nevada Mining Corp. Ltd. 1,305,556
195,000 Goldcorp Inc.* 1,176,729
384,000 Kinross Gold Ltd.* 855,967
200,000 Meridian Gold Inc.* 1,145,405
89,800 Placer Dome, Inc. 1,268,425
74,300 Teck Corp. (Class B) 652,291
346,650 TVX Gold Inc.* 411,647
177,400 Viceroy Resources Corp.* 200,761
--------------
$ 12,088,578
--------------
Ghana - 3.9%
125,000 Ashanti Goldfields Co., Ltd. (G.D.R.) $ 1,125,000
--------------
Papua New Guinea - 2.5%
39,100 Lihir Gold Ltd. (A.D.R.)* $ 719,684
--------------
South Africa - 12.3%
17,915 Anglo American Platinium Corp. (A.D.R.) $ 317,991
51,899 Anglogold Ltd. ( A.D.R.) 1,239,089
25,000 De Beers Consolidated Mines Ltd. (A.D.R.) 612,500
93,900 Driefontein Consolidated Ltd. (A.D.R.) 381,469
64,500 Gold Fields Ltd. 396,434
98,147 Gold Fields Ltd. (A.D.R.) 606,058
--------------
$ 3,553,541
--------------
</TABLE>
The accompanying notes are an integral part of these financial statements. 9
<PAGE>
Pioneer Gold Shares
SCHEDULE OF INVESTMENTS 4/30/99 (continued)
<TABLE>
<CAPTION>
Shares Value
<S> <C> <C>
United States - 24.9%
233,736 Battle Mountain Gold Co. $ 657,383
87,600 Freeport-McMoRan Copper & Gold Inc. 1,275,675
45,250 Getchell Gold Corp.* 1,544,156
160,095 Hecla Mining Co.* 480,285
80,910 Homestake Mining Co. 773,702
57,180 Newmont Mining Corp. 1,375,894
38,000 Stillwater Mining Co.* 1,075,875
--------------
$ 7,182,970
--------------
Total Precious Metals $ 26,790,439
--------------
TOTAL COMMON STOCKS
(Cost $36,144,723) $ 26,790,439
--------------
<CAPTION>
Principal
Amount
<S> <C> <C>
TEMPORARY CASH INVESTMENT - 7.3%
Repurchase Agreement - 7.3%
$2,100,000 Credit Suisse First Boston Group, Inc., 4.82%, dated
4/30/99, repurchase price of $2,100,000 plus accrued
interest on 5/3/99, collaterized by $2,177,000 U.S.
Treasury Notes, 11.125%, 9/9/99 $ 2,100,000
--------------
TOTAL TEMPORARY CASH INVESTMENT
(Cost $2,100,000) $ 2,100,000
--------------
TOTAL INVESTMENT IN SECURITIES - 100%
(Cost $38,244,723) (a) (b) $ 28,890,439
--------------
</TABLE>
* Non-income producing security.
(a) At April 30, 1999, the net unrealized loss on investments based on cost for
federal income tax purposes of $38,515,147 was as follows:
<TABLE>
<S> <C>
Aggregate gross unrealized gain for all investments in which
there is an excess of value over tax cost $ 3,290,682
Aggregate gross unrealized loss for all investments in which
there is an excess of tax cost over value (12,915,390)
--------------
Net unrealized loss $ (9,624,708)
--------------
</TABLE>
(b) At October 31, 1998, the Fund had a capital loss carryforward of $6,670,781
which which will expire between 2004 and 2005 if not utilized.
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended April 30, 1999 aggregated $3,074,673 and $4,361,493,
respectively.
10 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Gold Shares
BALANCE SHEET 4/30/99
<TABLE>
<S> <C>
ASSETS:
Investment in securities, at value (including temporary cash investment
of $2,100,000) (cost $38,244,723) $ 28,890,439
Cash 585
Receivables -
Investment securities sold 608,902
Fund shares sold 480,632
Dividends, interest and foreign taxes withheld 35,524
Other 3,795
--------------
Total assets $ 30,019,877
--------------
LIABILITIES:
Payables -
Investment securities purchased $ 815,000
Fund shares repurchased 144,792
Forward foreign currency settlement hedge contracts - net 938
Due to affiliates 18,864
Accrued expenses 62,792
Other 24,331
--------------
Total liabilities $ 1,066,717
--------------
NET ASSETS:
Paid-in capital $ 46,846,480
Accumulated net investment loss (64,389)
Accumulated net realized loss on investments
and foreign currency transactions (8,475,751)
Net unrealized loss on investments (9,354,284)
Net unrealized gain on forward foreign currency
contracts and other assets and liabilities
denominated in foreign currencies 1,104
--------------
Total net assets $ 28,953,160
--------------
NET ASSET VALUE PER SHARE:
(Unlimited number of shares authorized)
Class A (based on $20,506,937/4,530,597 shares) $ 4.53
--------------
Class B (based on $5,273,066/1,213,597 shares) $ 4.34
--------------
Class C (based on $3,173,157/730,084 shares) $ 4.35
--------------
MAXIMUM OFFERING PRICE:
Class A $ 4.81
--------------
</TABLE>
The accompanying notes are an integral part of these financial statements. 11
<PAGE>
Pioneer Gold Shares
STATEMENT OF OPERATIONS
For the Six Months Ended 4/30/99
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Dividends (net of foreign taxes withheld of $8,719) $ 165,883
Interest 36,241
---------------
Total investment income $ 202,124
---------------
EXPENSES:
Management fees $ 90,220
Transfer agent fees
Class A 50,387
Class B 13,272
Class C 5,166
Distribution fees
Class A 25,134
Class B 26,911
Class C 11,355
Administrative fees 18,512
Custodian fees 10,401
Registration fees 35,050
Professional fees 9,447
Printing 17,349
Fees and expenses of nonaffiliated trustees 12,638
Miscellaneous 4,001
---------------
Total expenses $ 329,843
Less management fees waived by
Pioneer Investment Management, Inc. (60,615)
Less fees paid indirectly (2,715)
---------------
Net expenses $ 266,513
---------------
Net investment loss $ (64,389)
---------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
AND FOREIGN CURRENCY TRANSACTIONS:
Net realized loss from:
Investments $ (1,528,279)
Other assets and liabilities denominated
in foreign currencies (174) $ (1,528,453)
--------------- ---------------
Change in net unrealized loss from:
Investments $ 1,006,611
Other assets and liabilities denominated
in foreign currencies 1,104 $ 1,007,715
--------------- ---------------
Net loss on investments and foreign
currency transactions $ (520,738)
---------------
Net decrease in net assets resulting from operations $ (585,127)
---------------
</TABLE>
12 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Gold Shares
STATEMENTS OF CHANGES IN NET ASSETS
For the Six Months Ended 4/30/99 and the Year Ended 10/31/98
<TABLE>
<CAPTION>
Six Months Ended Year Ended
FROM OPERATIONS: 4/30/99 10/31/98
<S> <C> <C>
Net investment loss $ (64,389) $ (150,412)
Net realized loss on investments and foreign
currency transactions (1,528,453) (5,986,765)
Change in net unrealized loss on investments
and foreign currency transactions 1,007,715 (1,125,292)
-------------- -------------
Net decrease in net assets resulting
from operations $ (585,127) $ (7,262,469)
-------------- -------------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale of shares $ 19,339,716 $ 37,465,357
Cost of shares repurchased (19,788,654) (35,280,659)
-------------- -------------
Net increase (decrease) in net assets resulting
from fund share transactions $ (448,938) $ 2,184,698
-------------- -------------
Net decrease in net assets $ (1,034,065) $ (5,077,771)
NET ASSETS:
Beginning of period 29,987,225 35,064,996
-------------- -------------
End of period (including accumulated net investment
loss of $64,389 and $0, respectively) $ 28,953,160 $ 29,987,225
-------------- -------------
</TABLE>
<TABLE>
<CAPTION>
CLASS A '99 Shares '99 Amount '98 Shares '98 Amount
<S> <C> <C> <C> <C>
Shares sold 3,555,475 $ 15,713,987 6,077,334 $ 27,988,973
Less shares repurchased (3,715,442) (16,225,220) (6,348,644) (29,453,462)
---------- ------------- ---------- -------------
Net decrease (159,967) $ (511,233) (271,310) $ (1,464,489)
---------- ------------- ---------- -------------
CLASS B
Shares sold 460,967 $ 1,899,591 1,457,789 $ 6,710,001
Less shares repurchased (609,257) (2,502,619) (1,057,167) (4,761,178)
---------- ------------- ---------- -------------
Net increase (decrease) (148,290) $ (603,028) 400,622 $ 1,948,823
---------- ------------- ---------- -------------
CLASS C
Shares sold 421,667 $ 1,726,138 614,931 $ 2,766,383
Less shares repurchased (258,230) (1,060,815) (232,370) (1,066,019)
---------- ------------- ---------- -------------
Net increase 163,437 $ 665,323 382,561 $ 1,700,364
---------- ------------- ---------- -------------
</TABLE>
The accompanying notes are an integral part of these financial statements. 13
<PAGE>
Pioneer Gold Shares
FINANCIAL HIGHLIGHTS 4/30/99
<TABLE>
<CAPTION>
Six Months
Ended Year Ended Year Ended Year Ended Year Ended Year Ended
4/30/99 10/31/98 10/31/97 10/31/96 10/31/95 10/31/94
<S> <C> <C> <C> <C> <C> <C>
CLASS A
Net asset value, beginning of period $ 4.58 $ 5.77 $ 7.81 $ 6.80 $ 7.94 $ 7.44
-------- ---------- --------- -------- --------- --------
Increase (decrease) from investment operations:
Net investment loss $ (0.01) $ (0.01) $ (0.01) $ (0.01) $ (0.01) $ (0.03)
Net realized and unrealized gain (loss) on
investments and foreign currency transactions (0.04) (1.18) (1.94) 1.02 (1.13) 0.53
-------- ---------- --------- -------- --------- --------
Net increase (decrease) from investment
operations $ (0.05) $ (1.19) $ (1.95) $ 1.01 $ (1.14) $ 0.50
Distributions to shareholders:
Net realized gain - - (0.09) - - -
-------- ---------- --------- -------- --------- --------
Net increase (decrease) in net asset value $ (0.05) $ (1.19) $ (2.04) $ 1.01 $ (1.14) $ 0.50
-------- ---------- --------- -------- --------- --------
Net asset value, end of period $ 4.53 $ 4.58 $ 5.77 $ 7.81 $ 6.80 $ 7.94
-------- ---------- --------- -------- --------- --------
Total return* (1.09)% (20.62)% (25.24)% 14.85% (14.36)% 6.72%
Ratio of net expenses to average net assets 1.74%**+ 1.76%+ 1.74%+ 1.72%+ 1.76%+ 1.75%+
Ratio of net investment loss to average net
assets (0.28)%**+ (0.38)%+ (0.08)%+ (0.13)%+ (0.16)%+ (0.40)%+
Portfolio turnover rate 12%** 26% 22% 15% 6% 3%
Net assets, end of period (in thousands) $ 20,507 $ 21,477 $ 28,638 $ 36,028 $ 24,412 $ 26,168
Ratios assuming no waiver of management fees
and assumption of expenses by PIM and no
reduction for fees paid indirectly:
Net expenses 2.18%** 2.15% 1.93% 1.88% 2.28% 2.14%
Net investment loss (0.72)%** (0.77)% (0.27)% (0.29)% (0.68)% (0.79)%
Ratios assuming waiver of management fees and
assumption of expenses by PIM and reduction
for fees paid indirectly:
Net expenses 1.72%** 1.71% 1.72% 1.71% 1.75% -
Net investment loss (0.26)%** (0.33)% (0.06)% (0.12)% (0.15)% -
</TABLE>
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratio assuming no reduction for fees paid indirectly.>
14 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Gold Shares
FINANCIAL HIGHLIGHTS 4/30/99
<TABLE>
<CAPTION>
Six Months
Ended Year Ended Year Ended Year Ended Year Ended 4/4/94 to
4/30/99 10/31/98 10/31/97 10/31/96 10/31/95 10/31/94
<S> <C> <C> <C> <C> <C> <C>
CLASS B
Net asset value, beginning of period $ 4.41 $ 5.61 $ 7.65 $ 6.73 $ 7.89 $ 7.83
----------- ---------- ----------- ----------- ---------- ------
Increase (decrease) from investment operations:
Net investment loss $ (0.03) $ (0.03) $ (0.04) $ (0.06) $ (0.05) $(0.03)
Net realized and unrealized gain (loss) on
investments and foreign currency
transactions (0.04) (1.17) (1.91) 0.98 (1.11) 0.09
----------- ---------- ----------- ----------- ---------- ------
Net increase (decrease) from investment
operations $ (0.07) $ (1.20) $ (1.95) $ 0.92 $ (1.16) $ 0.06
Distributions to shareholders:
Net realized gain - - (0.09) - - -
----------- ---------- ----------- ----------- ---------- ------
Net increase (decrease) in net asset value $ (0.07) $ (1.20) $ (2.04) $ 0.92 $ (1.16) $ 0.06
----------- ---------- ----------- ----------- ---------- ------
Net asset value, end of period $ 4.34 $ 4.41 $ 5.61 $ 7.65 $ 6.73 $ 7.89
----------- ---------- ----------- ----------- ---------- ------
Total return* (1.59)% (21.39)% (25.77)% 13.67% (14.70)% 0.77%
Ratio of net expenses to average net assets 2.48% **+ 2.51% + 2.51% + 2.59% + 2.57% + 2.67% **
Ratio of net investment loss to average net
assets (1.03)%**+ (1.14)%+ (0.84)%+ (1.00)%+ (1.01)%+ (1.42)%**
Portfolio turnover rate 12%** 26% 22% 15% 6% 3%
Net assets, end of period (in thousands) $ 5,273 $ 6,008 $ 5,394 $ 4,720 $ 1,762 $ 951
Ratios assuming no waiver of management fees
and assumption of expenses by PIM
and no reduction for fees paid indirectly:
Net expenses 2.91% ** 2.91% 2.72% 2.73% 3.12% 2.79% **
Net investment loss (1.46)%** (1.54)% (1.05)% (1.14)% (1.56)% (1.54)%**
Ratios assuming waiver of management fees and
assumption of expenses by PIM and
reduction for fees paid indirectly:
Net expenses 2.47% ** 2.48% 2.49% 2.57% 2.53% -
Net investment loss (1.02)%** (1.11)% (0.82)% (0.98)% (0.97)% -
</TABLE>
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratio assuming no reduction for fees paid indirectly.
15 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Gold Shares
FINANCIAL HIGHLIGHTS 4/30/99
<TABLE>
<CAPTION>
Six Months
Ended Year Ended Year Ended 1/31/96 to
4/30/99 10/31/98 10/31/97 10/31/96
<S> <C> <C> <C> <C>
CLASS C
Net asset value, beginning of period $ 4.42 $ 5.62 $ 7.65 $ 8.70
------ ------ ------- -------
Decrease from investment operations:
Net investment loss $(0.01) $(0.02) $ (0.04) $ (0.02)
Net realized and unrealized loss on investments
and foreign currency transactions (0.06) (1.18) (1.90) (1.03)
------ ------ ------- -------
Net decrease from investment operations $(0.07) $(1.20) $ (1.94) $ (1.05)
Distributions to shareholders:
Net realized gain - - (0.09) -
------ ------ ------- -------
Net decrease in net asset value $(0.07) $(1.20) $ (2.03) $ (1.05)
------ ------ ------- -------
Net asset value, end of period $ 4.35 $ 4.42 $ 5.62 $ 7.65
------ ------ ------- -------
Total return* (1.58)% (21.35)% (25.64)% (12.07)%
Ratio of net expenses to average net assets 2.44%**+ 2.36%+ 2.38%+ 2.59%**+
Ratio of net investment loss to average net assets (0.98)%**+ (0.97)%+ (0.76)%+ (1.12)%**+
Portfolio turnover rate 12%** 26% 22% 15%
Net assets, end of period (in thousands) $3,173 $2,502 $ 1,034 $ 1,690
Ratios assuming no waiver of management fees by
PIM and no reduction for fees
paid indirectly:
Net expenses 2.87%** 2.77% 2.58% 2.83%**
Net investment loss (1.41)%** (1.38)% (0.96)% (1.36)%**
Ratios assuming waiver of management fees by
PIM and reduction for fees paid
indirectly:
Net expenses 2.42%** 2.33% 2.33% 2.56%**
Net investment loss (0.96)%** (0.94)% (0.71)% (1.09)%**
</TABLE>
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of distributions, the complete redemption of the
investment at net asset value at the end of each period, and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
+ Ratio assuming no reduction for fees paid indirectly
16 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Gold Shares
NOTES TO FINANCIAL STATEMENTS 4/30/99
1. Organization and Significant Accounting Policies
Pioneer Gold Shares (the Fund) is a Delaware business trust registered under the
Investment Company Act of 1940 as a diversified, open-end management investment
company. The investment objective of the Fund is to seek long-term capital
appreciation.
The Fund offers three classes of shares - Class A, Class B and Class C shares.
Shares of Class A, Class B and Class C each represent an interest in the same
portfolio of investments of the Fund and have equal rights to voting,
redemptions, dividends and liquidation, except that each class of shares can
bear different transfer agent and distribution fees and have exclusive voting
rights with respect to the distribution plans that have been adopted by Class A,
Class B and Class C shareholders, respectively.
The Fund's financial statements have been prepared in conformity with generally
accepted accounting principles that require the management of the Fund to, among
other things, make estimates and assumptions that affect the reported amounts of
assets and liabilities, the disclosure of contingent assets and liabilities at
the date of the financial statements, and the reported amounts of revenues and
expenses during the reporting periods. Actual results could differ from those
estimates. The following is a summary of significant accounting policies
consistently followed by the Fund, which are in conformity with those generally
accepted in the investment company industry:
A. Security Valuation
Security transactions are recorded on trade date. The net asset value is
computed once daily, on each day the New York Stock Exchange is open, as of
the close of regular trading on the Exchange. In computing the net asset
value, securities are valued at the last sale price on the principal exchange
where they are traded. Securities that have not traded on the date of
valuation, or securities for which sale prices are not generally reported,
are valued at the mean between the last bid and asked prices. Securities for
which market quotations are not readily available are valued at their fair
values as determined by, or under the direction of, the Board of
17
<PAGE>
Pioneer Gold Shares
NOTES TO FINANCIAL STATEMENTS 4/30/99 (continued)
Trustees. Trading in foreign securities is substantially completed each day
at various times prior to the close of the New York Stock Exchange. The
values of such securities used in computing the net asset value of the Fund's
shares are determined as of such times. Dividend income is recorded on the
ex-dividend date, except that certain dividends from foreign securities where
the ex-dividend date may have passed are recorded as soon as the Fund is
informed of the ex-dividend data in the exercise of reasonable diligence.
Interest income is recorded on the accrual basis, net of unrecoverable
foreign taxes withheld at the applicable country rates. Temporary cash
investments are valued at amortized cost.
Gains and losses on sales of investments are calculated on the identified
cost method for both financial reporting and federal income tax purposes. It
is the Fund's practice to first select for sale those securities that have
the highest cost and also qualify for long-term capital gain or loss
treatment for tax purposes.
The Fund's investment policies present unique risks to the portfolio's value.
The price of gold and other precious metals may be subject to fluctuations
caused by international monetary and political developments including trade
or currency restrictions, currency devaluation and revaluation, and social
and political conditions within a country. Fluctuations in the prices of gold
and other metals will affect the market values of the securities of the
companies invested by the Fund.
B. Foreign Currency Translation
The books and records of the Fund are maintained in U.S. dollars. Amounts
denominated in foreign currencies are translated into U.S. dollars using
current exchange rates.
Net realized gains and losses on foreign currency transactions 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. dollar 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
market price of those
18
<PAGE>
Pioneer Gold Shares
securities but are included with the net realized and unrealized gain or loss
on investments.
C. Forward Foreign Currency Contracts
The Fund enters into forward foreign currency contracts (contracts) for the
purchase or sale of a specific foreign currency at a fixed price on a future
date as a hedge or cross-hedge against either specific investment
transactions (settlement hedges) or portfolio positions (portfolio hedges).
All contracts are marked to market daily at the applicable exchange rates,
and any resulting unrealized gains or losses are recorded in the Fund's
financial statements. The Fund records realized gains and losses at the time
a portfolio hedge is offset by entry into a closing transaction or
extinguished by delivery of the currency. Risks may arise upon entering into
these contracts from the potential inability of counterparties to meet the
terms of the contract and from unanticipated movements in the value of
foreign currencies relative to the U.S. dollar.
As of April 30, 1999, the Fund had no outstanding portfolio hedges. The
Fund's gross forward foreign currency settlement contracts receivable and
payable were $79,113 and $80,051, respectively, resulting in a net payable of
$938.
D. Federal Income Taxes
It is the Fund's policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to distribute
all of its taxable income and net realized capital gains, if any, to its
shareholders. Therefore, no federal income tax provision is required.
The characterization of distributions to shareholders for financial reporting
purposes is determined in accordance with federal income tax rules.
Therefore, the source of the Fund's distributions may be shown in the
accompanying financial statements as either from or in excess of net
investment income or net realized gain on investment transactions, or from
paid-in capital, depending on the type of book/tax differences that may
exist.
19
<PAGE>
Pioneer Gold Shares
NOTES TO FINANCIAL STATEMENTS 4/30/99 (continued)
E. Fund Shares
The Fund records sales and repurchases of its shares on trade date. Net
losses, if any, as a result of cancellations are absorbed by Pioneer Funds
Distributor, Inc. (PFD), the principal underwriter for the Fund and an
indirect subsidiary of The Pioneer Group, Inc. (PGI). PFD earned $5,735 in
underwriting commissions on the sale of fund shares during the six months
ended April 30, 1999.
F. Class Allocations
Distribution fees are calculated based on the average daily net asset value
attributable to Class A, Class B and Class C shares of the Fund,
respectively. Shareholders of each class share all expenses and fees paid to
the transfer agent, Pioneering Services Corporation (PSC), for their
services, which are allocated based on the number of accounts in each class
and the ratable allocation of related out-of-pocket expense (see Note 3).
Income, common expenses and realized and unrealized gains and losses are
calculated at the Fund level and allocated daily to each class of shares
based on the respective percentage of adjusted net assets at the beginning of
the day.
Distributions to shareholders are recorded as of the ex-dividend date.
Distributions paid by the Fund with respect to each class of shares are
calculated in the same manner, at the same time, and in the same amount,
except that Class A, Class B and Class C shares can bear different transfer
agent and distribution fees.
G. Repurchase Agreements
With respect to repurchase agreements entered into by the Fund, the value of
the underlying securities (collateral), including accrued interest received
from counterparties, is required to be at least equal to or in excess of the
value of the repurchase agreement at the time of purchase. The collateral for
all repurchase agreements is held in safe-keeping in the customer-only
account of the Fund's custodian, or subcustodians. The Fund's investment
adviser, Pioneer Investment Management, Inc. (PIM), is responsible for
determining that the value of the collateral remains at least equal to the
repurchase price.
20
<PAGE>
Pioneer Gold Shares
2. Management Agreement
PIM, the Fund's investment adviser, manages the Fund's portfolio and is a wholly
owned subsidiary of PGI. Management fees are calculated daily at the annual rate
of 0.65% of the Fund's average daily net assets up to $300 million; 0.60% of the
next $200 million; 0.50% of the next $500 million; and 0.45% of the excess over
$1 billion.
PIM has agreed not to impose a portion of its management fee and to assume other
operating expenses of the Fund to the extent necessary to limit Class A expenses
to 1.75% of the average daily net assets attributable to Class A shares; the
portion of the Fund-wide expenses attributable to Class B and Class C shares
were reduced only to the extent that such expenses were reduced for Class A
shares. PIM's agreement is voluntary and temporary and may be revised or
terminated at any time.
In addition, under the management and administration agreements, certain other
services and costs, including accounting, regulatory reporting and insurance
premiums, are paid by the Fund. At April 30, 1999, $3,923 was payable to PIM
related to management fees, administrative and certain other services.
3. Transfer Agent
PSC, a wholly owned subsidiary of PGI, provides substantially all transfer agent
and shareholder services to the Fund at negotiated rates. Included in due to
affiliates is $7,372 in transfer agent fees payable to PSC at April 30, 1999.
4. Plans of Distribution
The Fund adopted a Plan of Distribution for each class of shares (Class A Plan,
Class B Plan and Class C Plan) in accordance with Rule 12b-1 of the Investment
Company Act of 1940. Pursuant to the Class A Plan, the Fund pays PFD a service
fee of up to 0.25% of the Fund's average daily net assets in reimbursement of
its actual expenditures to finance activities primarily intended to result in
the sale of Class A shares. Pursuant to the Class B Plan and the Class C Plan,
the Fund pays PFD 1.00% of the average daily net assets attributable to each
class of
21
<PAGE>
Pioneer Gold Shares
NOTES TO FINANCIAL STATEMENTS 4/30/99 (continued)
shares. The fee consists of a 0.25% service fee and a 0.75% distribution fee
paid as compensation for personal services and/or account maintenance services
or distribution services with regard to Class B and Class C shares. Included in
due to affiliates is $7,569 in distribution fees payable to PFD at April 30,
1999.
In addition, redemptions of each class of shares may be subject to a contingent
deferred sales charge (CDSC). A CDSC of 1.00% may be imposed on redemptions of
certain net asset value purchases of Class A shares within one year of purchase.
Class B shares that are redeemed within six years of purchase are subject to a
CDSC at declining rates beginning at 4.00%, based on the lower of cost or market
value of shares being redeemed. Redemptions of Class C shares within one year of
purchase are subject to a CDSC of 1.00%. Proceeds from the CDSCs are paid to
PFD. For the six months ended April 30, 1999, CDSCs in the amount of $23,040
were paid to PFD.
5. Expense Offsets
The Fund has entered into certain expense offset arrangements resulting in a
reduction in the Fund's total expenses. For the six months ended April 30, 1999,
the Fund's expenses were reduced by $2,715 under such arrangements.
6. Line of Credit Facility
The Fund, along with certain other funds in the Pioneer Family of Funds (the
Funds), collectively participate in a $50 million committed, unsecured revolving
line of credit facility. Borrowings are used solely for temporary or emergency
purposes. The Fund may borrow up to the lesser of $50 million or the limits set
by its prospectus for borrowings. Interest on collective borrowings of up to $25
million is payable at the Federal Funds Rate plus 3/8% on an annualized basis,
or at the Federal Funds Rate plus 1/2% if the borrowing exceeds $25 million at
any one time. The Funds pay an annual commitment fee for this facility. The
commitment fee is allocated among such Funds based on their respective borrowing
limits. For the six months ended April 30, 1999, the Fund had no borrowings
under this agreement.
22
<PAGE>
Pioneer Gold Shares
To the Shareowners and the Board of Trustees of
Pioneer Gold Shares:
We have audited the accompanying balance sheet, including the schedule of
investments, of Pioneer Gold Shares (the Fund) as of April 30, 1999, and the
related statement of operations, the statements of changes in net assets, and
the financial highlights for the periods presented. These financial statements
and financial highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. 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. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned as of April
30, 1999, by correspondence with the custodian. An audit also includes assessing
the accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. 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 Gold Shares as of April 30, 1999, the results of its operations, the
changes in its net assets, and the financial highlights for the periods
presented, in conformity with generally accepted accounting principles.
ARTHUR ANDERSEN LLP
Boston, Massachusetts
June 4, 1999
23
<PAGE>
Pioneer Gold Shares
TRUSTEES, OFFICERS AND SERVICE PROVIDERS
Trustees
John F. Cogan, Jr.
Mary K. Bush
Richard H. Egdahl, M.D.
Margaret B.W. Graham
John W. Kendrick
Marguerite A. Piret
David D. Tripple
Stephen K. West
John Winthrop
Officers
John F. Cogan, Jr., Chairman and President
David D. Tripple, Executive Vice President
John A. Boynton, Treasurer
Joseph P. Barri, Secretary
Investment Adviser
Pioneer Investment Management, Inc.
Custodian
Brown Brothers Harriman & Co.
Independent Public Accountants
Arthur Andersen LLP
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Hale and Dorr LLP
Shareowner Services and Transfer Agent
Pioneering Services Corporation
24
<PAGE>
THE PIONEER FAMILY OF MUTUAL FUNDS
For information about any Pioneer mutual fund, please contact your investment
professional, or call Pioneer at 1-800-225-6292. Ask for a free fund information
kit, which includes a fund prospectus. Please read the prospectus carefully
before you invest or send money.
Growth Funds Income Funds
United States Taxable
Pioneer Capital Growth Fund Pioneer America Income Trust
Pioneer Growth Shares Pioneer Bond Fund
Pioneer Micro-Cap Fund Pioneer Short-Term Income Trust
Pioneer Mid-Cap Fund Pioneer Strategic Income Fund
Pioneer Small Company Fund
Tax-Free
International/Global Pioneer Tax-Free Income Fund
Pioneer Emerging Markets Fund
Pioneer Europe Fund Money Market Fund
Pioneer Gold Shares Pioneer Cash Reserves Fund
Pioneer Indo-Asia Fund
Pioneer International Growth Fund
Pioneer World Equity Fund
Growth and Income Funds
Pioneer Fund
Pioneer II
Pioneer Balanced Fund
Pioneer Equity-Income Fund
Pioneer Real Estate Shares
25
<PAGE>
RETIREMENT PLANS FROM PIONEER
Pioneer has a long history of helping people work toward their retirement goals,
offering plans suited to the individual investor and businesses of all sizes.
For more information on Pioneer retirement plans, contact your investment
professional, or call Pioneer at 1-800-622-0176.
Individual Retirement Account (IRA)
Traditional IRA
A Traditional IRA allows anyone under age 70-1/2 with earned income to
contribute up to $2,000 annually. Spouses may contribute up to $2,000 annually
into a separate IRA, for a total of $4,000 per year for a married couple.
Earnings are tax-deferred, and contributions may be tax-deductible.
Roth IRA
Contributions, up to $2,000 a year per person in earned income, are not
tax-deductible, but earnings are tax-free for qualified withdrawals. You can
contribute beyond age 70-1/2, although there are income limits for contributions
at any age.
401(k) Plan
The traditional 401(k) plan allows employees to make pre-tax contributions
through payroll deduction, up to $10,000 per year or 25% of pay, whichever is
less. Employers may contribute.
SIMPLE (Savings Incentive Match PLan for Employees)
401(k) or IRA Plan
Businesses with 100 or fewer eligible employees can establish either plan; both
resemble the traditional 401(k), but with less testing and lower administration
costs. Employees can make pre-tax contributions of up to $6,000 per year, and an
employer contribution is required.
Most retirement plan withdrawals must meet specific conditions to avoid
penalties.
26
<PAGE>
403(b) Plan
Also known as a Tax-Sheltered Account (TSA), a 403(b) plan is available only to
employees of public schools, not-for-profit hospitals and other tax-exempt
organizations. A 403(b) plan lets employees set aside a portion of their salary,
before taxes, through payroll deduction.
Simplified Employee Pension Plan (SEP)
SEPs let self-employed people and small-business owners make tax-deductible
contributions of up to 15% of their income. Generally, employers must
contribute the same percentage of pay for themselves and any eligible
employees; contributions are made directly to employees' IRAs. SEPs are easy
to administer and can be an especially good choice for firms with few or no
employees.
Profit Sharing Plan
Profit sharing plans offer companies considerable flexibility, allowing them to
decide each year whether a contribution will be made and how much, up to 15% of
each participant's pay. These plans can include provisions for loans and vesting
schedules.
Age-Based Profit Sharing Plan
Like traditional profit sharing plans, employer contributions are flexible, but
age-based plans allocate contributions based on both age and salary. Age-based
plans are designed for employers who want to maximize their own contributions
while keeping contributions to employees affordable.
Money Purchase Pension Plan (MPP)
Money purchase plans are similar to profit sharing plans, but allow for higher
annual contributions - up to 25% of pay. MPPs aren't as flexible as profit
sharing plans; a fixed percentage of pay must be contributed each year,
determined when the plan is established. Businesses often set up both MPPs and
profit sharing plans.
Most retirement plan withdrawals must meet specific conditions to avoid
penalties.
27
<PAGE>
PROGRAMS AND SERVICES FOR PIONEER SHAREOWNERS
Your investment professional can give you additional information on Pioneer's
programs and services. If you want to order literature on any of the following
items directly, simply call Pioneer at 1-8O0-225-6292.
FactFone(TM)
Our automated account information service, available to you 24 hours a day,
seven days a week. FactFone gives you a quick and easy way to check fund share
prices, yields, dividends and distributions, as well as information about your
own account. Simply call 1-800-225-4321. For specific account information, have
your 13-digit account number and four-digit personal identification number at
hand.
90-Day Reinstatement Privilege (for Class A Shares)
Enables you to reinvest all or a portion of the money you redeem from your
Pioneer account - without paying a sales charge - within 90 days of your
redemption. You have the choice of investing in any Pioneer fund, as long as you
meet its minimum investment requirement.
Investomatic Plan
An easy and convenient way for you to invest on a regular basis. All you need to
do is authorize a set amount of money to be moved out of your bank account into
the Pioneer fund of your choice. Investomatic also allows you to change the
dollar amount, frequency and investment date right over the phone. By putting
aside affordable amounts of money regularly, you can build a long-term
investment without sacrificing your current standard of living.
Payroll Investment Program (PIP)
Lets you invest in a Pioneer fund directly through your paycheck. All that's
involved is for your employer to fill out an authorization form allowing Pioneer
to deduct from participating employees' paychecks. You specify the dollar amount
you want to invest into the Pioneer fund(s) of your choice.
28
<PAGE>
Automatic Exchange Program
A simple way to move money from one Pioneer fund to another over a period of
time. Just invest a lump sum in one fund, and select the other Pioneer funds you
wish to invest in. You choose the amounts and dates for Pioneer to sell shares
of your original fund and use the proceeds to buy shares of the other funds you
have chosen. Over time, your investment will be shifted out of the original
fund. (Automatic Exchange is available for originating accounts with a balance
of $5,000 or more.)
Directed Dividends
Lets you invest cash dividends from one Pioneer fund to an account in another
Pioneer fund with no sales charge or fee. Simply fill out the applicable
information on a Pioneer Account Options Form. (This program is available for
dividend payments only; capital gains distributions are not eligible at this
time.)
Direct Deposit
Lets you move money into your bank account using electronic funds transfer
(EFT). EFT moves your money faster than you would receive a check, eliminates
unnecessary paper and mail, and avoids lost checks. Simply fill out a Pioneer
Direct Deposit Form, giving your instructions.
Systematic Withdrawal Plan (SWP)
Lets you establish automatic withdrawals from your account at set intervals. You
decide the frequency and the day of the month you want. Pioneer will send the
proceeds by check to the address you designate, or electronically to your bank
account. You also can authorize Pioneer to make the redemptions payable to
someone else. (SWPs are available for accounts with a value of $10,000 or more.)
29
<PAGE>
HOW TO CONTACT PIONEER
We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
Call us for:
Account Information, including existing accounts,
new accounts, propectuses, applications
and service forms 1-800-225-6292
FactFone(SM) for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Telecommunications Device for the Deaf (TDD) 1-800-225-1997
Write to us:
Pioneering Services Corporation
60 State Street
Boston, Massachusetts 02109
Our toll-free fax 1-800-225-4240
Our internet e-mail address [email protected]
(for general questions about Pioneer only)
Visit our web site: www.pioneerfunds.com
This report must be preceded or accompanied by a current Fund prospectus.
[logo]PIONEER
Pioneer Investment Management, Inc.
60 State Street 0699-6556
Boston, Massachusetts 02109 (C) Pioneer Funds Distributor, Inc.
www.pioneerfunds.com [recycle symbol]Printed on Recycled Paper
