<PAGE><PAGE>
[Graphic: Pioneer Logo]
Pioneer
Limited Maturity
Bond Fund
- ----------------------
ANNUAL REPORT 11/30/99
- ----------------------
<PAGE>
Table of Contents
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<TABLE>
<S> <C>
Letter from the Chairman 1
Portfolio Summary 2
Performance Update 3
Portfolio Management Discussion 6
Schedule of Investments 9
Financial Statements 16
Notes to Financial Statements 23
Report of Independent Public Accountants 27
Trustees, Officers and Service Providers 28
The Pioneer Family of Mutual Funds 29
</TABLE>
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
LETTER FROM THE CHAIRMAN 11/30/99
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Dear Shareowner,
- --------------------------------------------------------------------------------
As we move forward into the new millennium, it seems a suitable time to look
back on how the world of investing has changed since Pioneer was founded in
1928. The creation of affordable investment options, including mutual funds,
has brought opportunity to millions of people worldwide and surely should be
counted among this century's greatest accomplishments. Just consider the impact
a few notable innovations - money market funds, employer-sponsored retirement
vehicles and the concept of international investing - have had on your life.
In some ways, investing has changed a great deal. One thing, however, remains
the same - our belief in the importance of a long-term perspective. Attempts at
market timing and the advent of day-trading unfortunately have led some to
adopt a "get rich quick" mentality. Looking back over time, lasting wealth has
come to investors who held to their discipline and didn't veer off course to
chase the rising star of the day. A solid, forward-thinking plan can offer
great rewards, even though it can be a tad dull moment-to-moment.
For those of you who are interested in new Pioneer products, we are pleased to
introduce Pioneer Tax-Managed Fund. The Fund builds on Pioneer's 71-year value
tradition, focusing on companies with quality management, market leadership,
solid assets and attractively priced stocks. To receive a prospectus for our
newest fund, which contains more information, including charges or expenses
please contact your investment professional or call Pioneer at 1-800-225-6292.
Please read the prospectus carefully before you invest or send money.
I encourage you to read on to learn more about your Fund, including the
question and answer session with Richard Schlanger. You can visit our web site
at www.pioneerfunds.com to obtain information about our funds and to view 1999
distribution information.
Respectfully,
/s/ John F. Cogan, Jr.
John F. Cogan, Jr.
Chairman and President
1
<PAGE>
Pioneer Limited Maturity Bond Fund
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PORTFOLIO SUMMARY 11/30/99
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Portfolio Diversification
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(As a percentage of total investment portfolio)
[Data for pie chart]
<TABLE>
<S> <C>
Corporate Bonds 54%
U.S. Government Agency Obligations 42%
U.S. Government Obligations 4%
</TABLE>
Portfolio Quality
- --------------------------------------------------------------------------------
(As a percentage of long-term holdings)
[Data for pie chart]
<TABLE>
<S> <C>
Treasury/Agency 46%
BBB 18%
A 14%
AAA 11%
AA 4%
BB 4%
B 3%
</TABLE>
10 Largest Holdings
- --------------------------------------------------------------------------------
(As a percentage of long-term holdings)
<TABLE>
<S> <C>
1. Government National Mortgage Association II, 7.5%, 8/20/27 2.75%
2. U.S. Treasury Notes, 6.25%, 2/15/07 2.63
3. Government National Mortgage Association II, 6.5%, 2/20/29 2.44
4. Sony Corp., 6.125%, 3/4/03 1.80
5. Federal National Mortgage Association, REMIC Series G94-1, 7.0%, 11/25/04 1.76
6. KN Energy Inc., 6.45%, 11/30/01 1.74
7. NationsBank Corp., 6.5%, 8/15/03 1.73
8. Federal Home Loan Mortgage Corp., 6.3%, 6/1/04 1.72
9. Government National Mortgage Association, 7.0%, 4/15/29 1.71
10. Shopko Stores, 6.5%, 8/15/03 1.69
</TABLE>
Fund holdings will vary for other periods.
2
<PAGE>
Pioneer Limited Maturity Bond Fund
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PERFORMANCE UPDATE 11/30/99 CLASS A SHARES
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Share Prices and Distributions
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<TABLE>
<S> <C> <C> <C>
Net Asset Value
per Share 11/30/99 11/30/98
$3.62 $3.78
Distributions per Share Income Short-Term Long-Term
(11/30/98 -11/30/99) Dividends Capital Gains Capital Gains
$0.214 - -
</TABLE>
Investment Returns
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The mountain chart on the right shows the growth of a $10,000 investment made
in Pioneer Limited Maturity Bond Fund at public offering price, compared to the
growth of the Merrill Lynch 1-3 Year Treasury Index and the Lehman Brothers
Government/Corporate Bond Index-Intermediate.
<TABLE>
<CAPTION>
- ----------------------------------------
Average Annual Total Returns
(As of November 30, 1999)
Public
Net Asset Offering
Period Value Price*
<S> <C> <C>
Life-of-Fund
(8/10/92) 4.83% 4.48%
5 Years 5.62 5.06
1 Year 1.47 -1.14
- ----------------------------------------
</TABLE>
* Reflects deduction of the maximum 2.5% sales charge at the beginning of the
period and assumes reinvest-ment of distributions at net asset value.
[Data for mountain chart]
Growth of $10,000+
<TABLE>
<CAPTION>
Merrill
Pioneer Lynch
Limited 1-3 Year Lehman Brothers
Maturity Treasury Government/Corporate
Bond Fund* Index Bond Index-Intermediate
<S> <C> <C> <C>
8/92 9750 10000 10000
9809 10018 9974
10204 10372 10694
11/93 10425 10623 11217
10466 10586 10802
10457 10697 10800
11122 11375 12057
11/95 11466 11810 12776
11606 11975 12552
12062 12494 13487
12332 12766 13540
11/97 12743 13235 14486
13094 13657 15095
13543 14207 15986
13633 14380 15710
11/99 13743 14674 15777
</TABLE>
+ Index comparison begins 8/31/92. The Merrill Lynch 1-3 Year Treasury Index is
an unmanaged, composite index of debt obligations of the U.S. Treasury and
U.S. government agencies (excluding mortgage-backed securities). All issues
have a maturity of at least one year and no more than three years. The Lehman
Brothers Government/Corporate Bond Index-Intermediate is an unmanaged,
composite index of the U.S. bond market and represents only securities with
one to ten years to maturity. Index returns are calculated monthly, 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. Return and share price
fluctuate, and your shares, when redeemed, may be worth more or less than
their original cost.
3
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
PERFORMANCE UPDATE 11/30/99 CLASS B SHARES
- --------------------------------------------------------------------------------
Share Prices and Distributions
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C> <C>
Net Asset Value
per Share 11/30/99 11/30/98
$3.62 $3.78
Distributions per Share Income Short-Term Long-Term
(11/30/98 -11/30/99) Dividends Capital Gains Capital Gains
$0.184 - -
</TABLE>
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the growth of a $10,000 investment made
in Pioneer Limited Maturity Bond Fund, compared to the growth of the Merrill
Lynch 1-3 Year Treasury Index and the Lehman Brothers Government/
Corporate Bond Index-Intermediate.
<TABLE>
<CAPTION>
- ----------------------------------------
Average Annual Total Returns
(As of November 30, 1999)
If If
Period Held Redeemed*
<S> <C> <C>
Life-of-Fund
(4/4/94) 4.16% 4.16%
5 Years 4.77 4.77
1 Year 0.64 -1.27
- ----------------------------------------
</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 2% declines over three years.
[Data for mountain chart]
Growth of $10,000+
<TABLE>
<CAPTION>
Merrill
Pioneer Lynch
Limited 1-3 Year Lehman Brothers
Maturity Treasury Government/Corporate
Bond Fund* Index Bond Index-Intermediate
<S> <C> <C> <C>
4/94 10000 10000 10000
9987 10014 9982
11/94 9961 10119 9980
10539 10761 11142
11/95 10850 11172 11806
10910 11328 11599
11/96 11325 11819 12464
11521 12077 12512
11/97 11845 12520 13387
12107 12919 13949
11/98 12496 13440 14772
12521 13603 14518
11/99 12576 13881 14580
</TABLE>
+ Index comparison begins 4/30/94. The Merrill Lynch 1-3 Year Treasury Index is
an unmanaged, composite index of debt obligations of the U.S. Treasury and
U.S. government agencies (excluding mortgage-backed securities). All issues
have a maturity of at least one year and no more than three years. The Lehman
Brothers Government/Corporate Bond Index-Intermediate is an unmanaged,
composite index of the U.S. bond market and represents only securities with
one to ten years to maturity. Index returns are calculated monthly, 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. Return and share price
fluctuate, and your shares, when redeemed, may be worth more or less than
their original cost.
4
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
PERFORMANCE UPDATE 11/30/99 CLASS Y SHARES
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Share Prices and Distributions
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C> <C>
Net Asset Value
per Share 11/30/99 11/30/98
$3.62 $3.79
Distributions per Share Income Short-Term Long-Term
(11/30/98 -11/30/99) Dividends Capital Gains Capital Gains
$0.230 - -
</TABLE>
Investment Returns
- --------------------------------------------------------------------------------
The mountain chart on the right shows the growth of a $10,000 investment made
in Pioneer Limited Maturity Bond Fund, compared to the growth of the Merrill
Lynch 1-3 Year Treasury Index and the Lehman Brothers Government/
Corporate Bond Index-Intermediate.
<TABLE>
<CAPTION>
- ----------------------------------------
Average Annual Total Returns*
(As of November 30, 1999)
If If
Period Held Redeemed
<S> <C> <C>
Life-of-Fund
(4/9/98) 3.63% 3.63%
1 Year 1.64 1.64
- ----------------------------------------
</TABLE>
* Assumes reinvestment of distributions.
<TABLE>
<CAPTION>
Merrill
Pioneer Lynch
Limited 1-3 Year Lehman Brothers
Maturity Treasury Government/Corporate
Bond Fund* Index Bond Index-Intermediate
<S> <C> <C> <C>
4/98 10000 10000 10000
10050 10053 10107
10100 10105 10210
10151 10153 10218
8/98 10255 10281 10418
10414 10416 10715
10437 10467 10639
11/98 10432 10458 10703
10454 10495 10730
10505 10537 10806
2/99 10444 10485 10549
10527 10557 10602
10550 10591 10628
5/99 10518 10585 10519
10515 10618 10486
10487 10652 10457
8/99 10488 10682 10448
10604 10752 10542
10605 10781 10570
11/99 10602 10801 10564
</TABLE>
+ Index comparison begins 4/30/98. The Merrill Lynch 1-3 Year Treasury Index is
an unmanaged, composite index of debt obligations of the U.S. Treasury and
U.S. government agencies (excluding mortgage-backed securities). All issues
have a maturity of at least one year and no more than three years. The Lehman
Brothers Government/Corporate Bond Index-Intermediate is an unmanaged,
composite index of the U.S. bond market and represents only securities with
one to ten years to maturity. Index returns are calculated monthly, 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. Return and share price
fluctuate, and your shares, when redeemed, may be worth more or less than
their original cost.
5
<PAGE>
Pioneer Limited Maturity Bond Fund
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PORTFOLIO MANAGEMENT DISCUSSION 11/30/99
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In the following discussion, Richard Schlanger details the investment
environment and the strategies that affected your Fund's performance over the
year. Rich has been a key member of the fixed-income team that is responsible
for the day-to-day management of Pioneer Limited Maturity Bond Fund's team for
seven years. Sherman Russ and Ken Taubes are jointly responsible for overseeing
Pioneer's fixed-income team.
Q: What was the economic environment like for bond investors over the year?
A: The U.S. economy prospered and acted as an engine of growth for the rest of
the world. In the United States, unemployment reached a 30-year low of
4.1%. However, the current breakneck pace of economic growth, coupled with
an exceedingly low unemployment rate, contributed to fears that the economy
could overheat. In an effort to slow rapid growth and stave off inflation,
the Federal Reserve raised short-term interest rates three times for a
total of three quarters of a percentage point. This action reversed the
three rate cuts engineered by the Fed in 1998 that were brought about by
both domestic and international market problems. Over the year, investors
felt the twin effects that rising interest rates have on bonds: declining
prices and increasing yields.
Q: How did Pioneer Limited Maturity Bond Fund perform in this environment?
A: For the year ended November 30, Class A shares returned 1.47% at net asset
value, better than the 1.44% average return of the 93 funds in Lipper,
Inc.'s short-intermediate investment grade debt funds category. (Lipper is
an independent firm that tracks mutual fund performance.) On November 30,
the Fund's 30-day SEC yield stood at 6.31%, a significant increase compared
to the 4.40% it was a year ago. (The 30-day SEC yield calculated without
fee waivers was 5.32%.)
Like most bond investments, the Fund did see some price deterioration.
However, compared to its peer group, your Fund performed very well. In
fact, many other bond funds - particularly longer-term funds - turned in
negative returns. The slight decline in
6
<PAGE>
Pioneer Limited Maturity Bond Fund
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- --------------------------------------------------------------------------------
your Fund's share price during the year was offset by the Fund's higher
level of income earnings - a result of higher interest rates. If short-term
rates continue to rise, the dividends produced by the Fund should also
rise.
Q: Pioneer Limited Maturity Bond Fund changed its name from Pioneer Short-Term
Income Trust. Its benchmark index also changed. Why?
A: The Fund's new name and benchmark, the Lehman Brothers Government/Corporate
Bond Index-Intermediate, more accurately reflect the composition of the
portfolio, including the Fund's current average maturity, average credit
quality and duration, which measures a portfolio's sensitivity to changes
in interest rates. As a result of the index change, issues with longer
maturities can now be included in the portfolio, broadening the universe
from which we can select bonds. While the Fund's ability to invest in below
investment grade bonds can increase the potential for investors to receive
a higher yield, it increases the Fund's overall risk profile. We believe
that both of these changes could lead to a higher dividend stream.
However, although the Fund can include high-yield issues, they can comprise
no more than 10% of the portfolio and at least 90% of Limited Maturity Bond
Fund's total assets must be investment-grade. On November 30 the average
credit quality of the portfolio was AA. (Ratings apply to the
creditworthiness of the issuer of securities, not the Fund.)
In the midst of these changes one thing remains the same - our value
tradition. Although the strategic approach towards managing the portfolio
has been modified slightly, shareowners can be assured that we will
continue with our value-based strategy when selecting securities for the
Fund.
Q: What types of bonds contributed to the Fund's performance?
A: We believe that the composition of your Fund's portfolio - investment-
grade corporate and U.S. government issues blended with a high-yield
component - helped the Fund to outperform many of its peers. Our efforts
concentrated on making the most of the rising interest rate environment. On
a relative value basis, mortgages and asset-backed
7
<PAGE>
Pioneer Limited Maturity Bond Fund
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PORTFOLIO MANAGEMENT DISCUSSION 11/30/99 (continued)
- --------------------------------------------------------------------------------
securities helped the Fund's performance. As rates were rising in late
summer and early fall, we increased the Fund's exposure to asset-backed
securities and mortgages. The spread, or yield differential, to Treasurys
narrowed in late fall, and contributed to the Fund's good performance.
We also maintained our focus on corporate bonds, to the Fund's advantage.
Although riskier than Treasurys, because Treasurys are guaranteed as to the
payment of principal and interest and corporate bonds are not, corporate
bonds offer investors the potential for higher levels of income and price
gains. Corporates currently constitute more than half of the portfolio's
holdings. Throughout the year, we found buying opportunities for corporate
bonds when the fundamentals were compelling and after the spreads between
Treasurys and corporate bonds widened.
Q: What is your outlook for the coming year?
A: If economic growth continues through March 2000, the United States economy
will have experienced the longest expansion in U.S. history. Even in the
wake of rate increases by the Federal Reserve aimed at slowing economic
growth and keeping inflation in check, the economy has still flourished. We
believe that until the Fed sees that growth has slowed to a more
sustainable pace, with moderate to low inflation, the possibility of future
rate hikes will linger.
Going forward, we will continue to monitor the investment landscape and
adjust our strategy in order to take advantage of changes in market
conditions. For those individuals with a relatively short time horizon,
this Fund should provide more price stability and a higher income stream
than shorter-term funds. In addition to seeking an attractive level of
income, the Fund strives to offer investors a competitive combination of
price, performance and income, as well as relative safety from credit risk
by investing in a diversified mix of fixed-income sectors.
8
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/99
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
S&P/Moody's
Principal Ratings
Amount (Unaudited) Value
<S> <C> <C> <C>
CORPORATE BONDS - 54.5%
Asset-Backed - 10.4%
$ 223,233 AAA/Aaa Advanta Mortgage Loan Trust, Series
93-4A, 5.55%, 3/25/10 $ 216,344
400,000 AAA/Aaa Americredit Automobile Receivables Trust,
Series 1999-B A4, 5.96%, 3/5/06 390,784
785,687 AAA/Aaa Bay View Auto Trust, Series 1997-RA1,
6.59%, 12/15/04 785,687
250,000 AAA/Aaa Boston Edison Company, 1999-1A4,
6.91%, 9/15/09 247,123
500,000 AAA/Aaa California Infrastructure SCE-1, Series
1997-1, 6.28%, 9/25/05 493,220
392,706 AAA/Aaa Carco Auto Loan Master Trust, Series
1997-1A, 6.689%, 8/15/04 393,287
350,000 AAA/Aaa Citibank Credit Card Master Trust I, Series
1999-5A, 6.1%, 5/15/08 338,653
250,000 AAA/Aaa Comed Transitional Funding Trust, Series
1997- RA1, 5.34%, 3/25/04 243,828
499,933 A-/Baa1 Continental Airlines, Series 1998-3 Pass
Through Trust C-1, 7.08%, 11/1/04 492,284
374,670 AAA/Aaa CoreStates Home Equity Trust, Series
1994-1, 6.65%, 5/15/09 368,815
500,000 AAA/Aaa Discover Card Master Trust, Series
1998-7A, 5.6%, 5/15/06 475,855
500,000 AAA/Aaa Discover Card Master Trust, Series
1997-2, 6.792%, 4/16/10 491,695
500,000 AAA/Aaa Greenpoint Manufactured Housing, Series
1999-1A2, 6.01%, 8/15/15 489,650
275,000 AAA/Aaa Premier Auto Trust, Series 1997-1A4,
6.35%, 4/6/02 274,117
187,500 AAA/Aaa Sears Credit Account Master Trust, Series
1994-1A, 7.0%, 1/15/04 188,278
----------
$5,889,620
----------
</TABLE>
The accompanying notes are an integral part of these financial statements. 9
<PAGE>
Pioneer Limited Maturity Bond Fund
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SCHEDULE OF INVESTMENTS 11/30/99 (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
S&P/Moody's
Principal Ratings
Amount (Unaudited) Value
<S> <C> <C> <C>
Collateralized Mortgage Obligations - 0.9%
$ 76,446 AAA/NR Mortgage Capital Funding Inc., 1995-MCI
Class A1B, 7.6%, 5/25/27 $ 77,019
481,007 NR/Aaa Prudential Securities Secured Financing, Co.,
Series 1999-NR F1 A1, 6.074%, 1/15/08 458,685
----------
$ 535,704
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Financial - 17.4%
500,000 BB-/B1 Advanta Corp., 7.0%, 5/1/01 $ 481,575
528,000 AA-/Aa3 Associates Corp., 6.5%, 7/15/02 523,913
500,000 A+/A1 A T & T Capital Corp., 6.875%, 1/16/01 500,710
600,000 A/A1 Bank One Corp., 7.25%, 8/1/02 604,692
500,000 BB+/Baa3 Capital One Financial Corp., 7.125%,
8/1/08 459,120
500,000 A+/A1 Citicorp, 7.125%, 6/1/03 503,750
500,000 A/A1 Ford Motor Credit Co., 6.55%, 9/10/02 496,005
500,000 A/A2 General Motors Acceptance Corp., 7.05%,
4/23/02 501,580
700,000 A+/A1 Goldman Sachs Group, 7.35%, 10/1/09 695,366
470,000 BBB-/Ba2 Imperial Bank, 8.375%, 4/1/09 441,960
500,000 A/A3 Lehman Brothers Holdings, 6.625%, 4/1/04 486,090
500,000 BBB/Baa2 MBNA Corp., 6.5%, 9/15/00 497,785
1,000,000 A/Aa3 NationsBank Corp., 6.5%, 8/15/03 984,960
500,000 A+/A1 Newcourt Credit Group, 6.875%,
2/16/05 (144A) 493,690
400,000 A+/Aa3 Norwest Corp., 6.8%, 5/15/02 400,588
500,000 BBB-/Baa2 The Rouse Co., 8.05%, 3/23/01 497,915
250,000 BB+/Ba3 Sovereign Bancorp, 10.25%, 5/15/04 251,682
250,000 BBB/Baa2 Spieker Properties L.P., 6.65%, 12/15/00 248,290
800,000 BBB/Baa2 Spieker Properties L.P., 6.8%, 12/15/01 789,472
----------
$9,859,143
----------
Industrial - 25.8.%
500,000 BBB-/Baa3 A. H. Belo Corp., 6.875%, 6/1/02 $ 493,210
500,000 BB/Ba3 Allied Waste Industries, Inc., 7.625%,
1/1/06 451,250
500,000 BBB/Baa2 Canadian Occidental Petroleum Ltd.,
7.125%, 2/4/04 486,510
350,000 B+/B2 Charter Communications Holdings LLC,
8.25%, 4/1/07 330,313
</TABLE>
10 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
S&P/Moody's
Principal Ratings
Amount (Unaudited) Value
<S> <C> <C> <C>
Industrial - (continued)
$ 930,000 BBB+/Baa1 Comdisco Inc., 6.5%, 6/15/00 $ 928,996
500,000 A-/A3 Conoco Inc., 5.9%, 4/15/04 480,575
500,000 A/A3 CVS Corp., 5.5%, 2/15/04 (144A) 470,955
500,000 BBB/Baa2 Delphi Auto Systems, 6.125%, 5/1/04 475,365
700,000 B/B2 Echostar DBS Corp., 9.25%, 2/1/06 700,000
350,000 A/A2 General Motors Acceptance Corp.,
6.365%, 12/1/01 346,895
500,000 A-/Baa1 Guidant Corp., 6.15%, 2/15/06 465,520
500,000 BB-/Ba2 Gulf Canada Resources Ltd., 9.625%,
7/1/05 508,325
250,000 BBB-/Baa3 Great Lakes Power Inc., 8.3%, 3/1/05 246,953
1,000,000 BBB-/Baa2 KN Energy Inc., 6.45%, 11/30/01 986,090
854,000 BBB/Baa3 Laidlaw Inc., 8.75%, 1/1/00 854,572
300,000 BBB/Baa3 Laidlaw Inc., 7.65%, 5/15/06 280,212
685,000 BBB-/Ba1 Levi Strauss & Co., 7.0%, 11/1/06 (144A) 542,732
500,000 A-/A3 Nabors Industries, 6.8%, 4/15/04 486,365
150,000 B/B2 Nextlink Communications Inc., 10.75%,
6/1/09 153,375
500,000 AA/Aa1 Northern Illinois Gas Co., 6.75%, 6/1/02 499,375
500,000 BB/Ba2 Northwest Airlines Corp., 8.52%, 4/7/04 476,240
200,000 BBB+/A3 Penny (J.C) & Co., Inc., 6.5%, 6/15/02 194,838
500,000 B-/B3 Premier Parks, Inc., 9.75%, 6/15/07 497,500
300,000 BB+/Ba1 Santa Fe Snyder Corp., 8.05%, 6/15/04 292,998
1,000,000 BBB-/Baa3 Shopko Stores, 6.5%, 8/15/03 962,960
1,050,000 A+/Aa3 Sony Corp., 6.125%, 3/4/03 1,024,863
250,000 BBB+/Baa1 Sun Microsytems Inc., 7.35%, 8/15/04 251,108
325,000 BBB/Ba1 USA Waste Services, 6.5%, 12/15/02 296,114
500,000 BBB-/Baa2 USX Corp., 7.2%, 2/15/04 496,655
-----------
$14,680,864
-----------
Total Corporate Bonds
(Cost $31,873,434) $30,965,331
-----------
U.S. GOVERNMENT OBLIGATIONS - 3.9%
200,000 U.S. Treasury Notes, 6.25%, 1/31/02 $ 200,936
500,000 U.S. Treasury Notes, 6.25%, 2/15/03 502,045
1,500,000 U.S. Treasury Notes, 6.25%, 2/15/07 1,497,315
-----------
Total U.S. Government Obligations
(Cost $2,271,438) $ 2,200,296
-----------
</TABLE>
The accompanying notes are an integral part of these financial statements. 11
<PAGE>
Pioneer Limited Maturity Bond Fund
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SCHEDULE OF INVESTMENTS 11/30/99 (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
S&P/Moody's
Principal Ratings
Amount (Unaudited) Value
<S> <C> <C> <C>
U.S. GOVERNMENT AGENCY OBLIGATIONS - 41.6%
$ 300,000 Federal Home Loan Bank, 7.08%,
11/5/04 $299,382
1,000,000 Federal Home Loan Mortgage Corp., 6.3%,
6/1/04 976,910
300,000 Federal Home Loan Mortgage Corp.,
6.22%, 6/24/08 281,664
44,684 Federal Home Loan Mortgage Corp.,
REMIC Series 1191EB, 7.0%, 8/15/02 44,615
92,744 Federal Home Loan Mortgage Corp.,
REMIC Series 1132I, 8.0%, 5/15/06 93,056
71,851 Federal Home Loan Mortgage Corp.,
REMIC Series 1181H, 7.0%, 7/15/06 71,959
404,407 Federal Home Loan Mortgage Corp.,
REMIC Series 1145G, 8.0%, 9/15/06 411,230
84,363 Federal Home Loan Mortgage Corp.,
REMIC Series 1564J, 6.5%, 7/15/08 83,165
500,000 Federal Home Loan Mortgage Corp.,
REMIC Series 1848PB, 7.0%, 2/15/20 500,125
188,264 Federal Home Loan Mortgage Corp.,
REMIC Series 1206H, 7.0%, 3/15/21 188,300
469,406 Federal Home Loan Mortgage Corp.,
REMIC Series 1987PM, 6.5%, 10/15/21 465,177
20,319 Federal Home Loan Mortgage Corp.,
REMIC Series 189C, 8.0%, 10/15/21 20,282
44,919 Federal Home Loan Mortgage Corp.,
REMIC Series 1590K, 6.5%, 10/15/23 44,770
338,646 Federal Home Loan Mortgage Corp.,
REMIC Series 2017C, 6.5%, 11/15/23 330,685
619,317 Federal Home Loan Mortgage Corp.,
REMIC Series 2043G, 6.5%, 4/15/28 602,676
954,517 Federal National Mortgage Association,
6.5%, 9/1/28 911,229
500,000 Federal National Mortgage Association,
Medium Term Note, 6.63%, 6/5/01 499,785
300,000 Federal National Mortgage Association,
Medium Term Note, 6.52%, 9/5/02 298,092
350,000 Federal National Mortgage Association,
Medium Term Note, 5.9%, 6/19/03 340,602
</TABLE>
12 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
S&P/Moody's
Principal Ratings
Amount (Unaudited) Value
<S> <C> <C> <C>
U.S. Government Agency Obligations - (continued)
$ 500,000 Federal National Mortgage Association,
Medium Term Note, 6.0%, 4/17/06 $ 476,485
258,583 Federal National Mortgage Association,
REMIC Series 1992-145, 7.15%, 7/25/03 258,500
1,004,337 Federal National Mortgage Association,
REMIC Series G94-1, 7.0%, 11/25/04 1,002,358
500,000 Federal National Mortgage Association,
REMIC Series 1999-W5, 6.115%, 11/15/05 468,281
302,837 Federal National Mortgage Association,
REMIC Series 1995-23D, 7.0%, 10/25/07 298,376
478,504 Federal National Mortgage Association,
REMIC Series 1993-129KB, 6.5%, 4/25/08 468,810
581,369 Federal National Mortgage Association,
REMIC Series 1993-30PG, 6.65%, 9/25/17 578,125
96,279 Federal National Mortgage Association,
REMIC Series 1988-26C, 7.5%, 7/25/18 96,263
149,958 Federal National Mortgage Association,
REMIC Series 1993-17PE, 6.75%, 6/25/19 149,389
757,883 Federal National Mortgage Association,
REMIC Series 1993-23PJ, 6.7%, 7/25/19 753,480
653,659 Federal National Mortgage Association,
REMIC Series 1998-50EN, 6.5%, 9/25/28 628,277
378,369 Government National Mortgage
Association, 7.5%, 2/15/26 377,817
959,796 Government National Mortgage
Association, 6.5%, 2/15/29 913,006
995,026 Government National Mortgage
Association, 7.0%, 4/15/29 972,220
454,531 Government National Mortgage
Association, REMIC Series 1998-24A,
6.5%, 11/20/24 439,214
537,268 Government National Mortgage
Association II, 5.5%, 7/20/14 501,271
499,763 Government National Mortgage
Association II, 7.5%, 3/20/26 499,033
</TABLE>
The accompanying notes are an integral part of these financial statements. 13
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS 11/30/99 (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
S&P/Moody's
Principal Ratings
Amount (Unaudited) Value
<S> <C> <C> <C>
U.S. Government Agency Obligations - (continued)
$1,563,704 Government National Mortgage
Association II, 7.5%, 8/20/27 $ 1,560,936
951,617 Government National Mortgage
Association II, 6.5%, 7/20/28 905,226
771,897 Government National Mortgage
Association II, 7.5%, 8/20/28 770,531
950,856 Government National Mortgage
Association II, 7.0%, 1/20/29 929,062
1,459,422 Government National Mortgage
Association II, 6.5%, 2/20/29 1,388,275
950,029 Government National Mortgage
Association II, 7.0%, 2/20/29 928,254
982,439 Government National Mortgage
Association II, 6.0%, 3/20/29 907,017
975,946 Government National Mortgage
Association II, 6.5%, 3/20/29 928,369
-----------
Total U.S. Government Agency Obligations
(Cost $24,358,089) $23,662,279
-----------
TOTAL INVESTMENT IN
SECURITIES - 100.0%
(Cost $58,502,961) (a)(b) $56,827,906
-----------
</TABLE>
14 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
NR Not Rated.
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, 1999,
the value of these securities amounted to $1,507,377 or 2.6% of total net
assets.
(a) At November 30, 1999 the net unrealized loss on investments based on cost
for federal income tax purposes of $58,522,492 was as follows:
<TABLE>
<S> <C>
Aggregate gross unrealized gain for all investments in
which there is an excess of value over tax cost $ 51,200
Aggregate gross unrealized loss for all investments in
which there is an excess of tax cost over value (1,745,786)
-----------
Net unrealized loss $(1,694,586)
-----------
</TABLE>
(b) At November 30, 1999 the Fund had a net capital loss carryforward of
$4,019,115 which will expire between 2000 and 2007 if not utilized.
Purchases and sales of securities (excluding temporary cash investments) for
the year ended November 30, 1999 were as follows:
<TABLE>
<CAPTION>
Purchases Sales
----------- -----------
<S> <C> <C>
Long-term U.S. Government $27,363,918 $39,361,744
Other Long-term Securities 24,301,736 10,596,306
</TABLE>
The accompanying notes are an integral part of these financial statements. 15
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
BALANCE SHEET 11/30/99
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
ASSETS:
Investment in securities, at value (cost $58,502,961) $56,827,906
Cash 413,378
Receivables --
Investments securities sold 169,406
Fund shares sold 134,102
Interest 782,702
Due from Pioneer Investment Management, Inc. 16,219
Other 5,599
-----------
Total assets $58,349,312
-----------
LIABILITIES:
Payables -
Fund shares repurchased $ 23,418
Dividends 52,631
Due to affiliates 26,771
Accrued expenses 56,139
-----------
Total liabilities $ 158,959
-----------
NET ASSETS:
Paid-in capital $64,157,725
Accumulated undistributed net investment income 25,459
Accumulated net realized loss on investments (4,317,776)
Net unrealized loss on investments (1,675,055)
-----------
Total net assets $58,190,353
------------
NET ASSET VALUE PER SHARE:
(Unlimited number of shares authorized)
Class A (based on $47,781,363/13,200,069 shares) $ 3.62
-----------
Class B (based on $10,017,858/2,766,976 shares) $ 3.62
-----------
Class Y (based on $391,132/107,926 shares) $ 3.62
-----------
MAXIMUM OFFERING PRICE:
Class A $ 3.71
-----------
</TABLE>
16 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
STATEMENT OF OPERATIONS
- --------------------------------------------------------------------------------
For the Year Ended 11/30/99
<TABLE>
<CAPTION>
INVESTMENT INCOME:
<S> <C> <C>
Interest $ 3,998,151
-----------
EXPENSES:
Management fees $301,311
Transfer agent fees
Class A 109,532
Class B 22,169
Class Y 257
Distribution fees
Class A 123,596
Class B 104,381
Administrative fees 29,591
Custodian fees 23,119
Registration fees 40,474
Professional fees 47,172
Printing 25,469
Fees and expenses of nonaffiliated trustees 27,774
Miscellaneous 8,968
--------
Total expenses $ 863,813
Less management fees waived and
expenses reimbursed by Pioneer
Investment Management, Inc. (258,411)
Less fees paid indirectly (15,434)
-----------
Net expenses $ 589,968
-----------
Net investment income $ 3,408,183
-----------
REALIZED AND UNREALIZED LOSS ON INVESTMENTS:
Net realized loss on investments $ (592,766)
Change in net unrealized gain on investments (2,082,562)
-----------
Net loss on investments $(2,675,328)
-----------
Net increase in net assets resulting from operations $ 732,855
-----------
</TABLE>
The accompanying notes are an integral part of these financial statements. 17
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
For the Years Ended 11/30/99 and 11/30/98
<TABLE>
<CAPTION>
Year Ended Year Ended
11/30/99 11/30/98
<S> <C> <C>
FROM OPERATIONS:
Net investment income $ 3,408,183 $ 2,925,411
Net realized loss on investments (592,766) (340,080)
Change in net unrealized gain or loss on investments (2,082,562) 464,044
----------- -----------
Net increase in net assets resulting from operations $ 732,855 $ 3,049,375
----------- -----------
DISTRIBUTIONS TO SHAREHOLDERS:
Net investment income:
Class A ($0.21 and $0.22 per share, respectively) $(2,844,985) $(2,584,947)
Class B ($0.18 and $0.18 per share, respectively) (516,835) (327,714)
Class Y ($0.23 and $0.14 per share, respectively) (23,908) (10,981)
----------- -----------
Total distributions to shareholders $(3,385,728) $(2,923,642)
----------- -----------
FROM FUND SHARE TRANSACTIONS:
Net proceeds from sale of shares $49,295,514 $58,766,110
Reinvestment of distributions 2,647,588 2,314,221
Cost of shares repurchased (50,875,886) (48,675,680)
----------- -----------
Net increase in net assets resulting
from fund share transactions $ 1,067,216 $12,404,651
----------- -----------
Net increase (decrease) in net assets $(1,585,657) $12,530,384
NET ASSETS:
Beginning of year 59,776,010 47,245,626
----------- -----------
End of year (including accumulated undistributed/
(distributions in excess of) net investment income of
$25,459 and $(5,769), respectively) $58,190,353 $59,776,010
----------- -----------
</TABLE>
18 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
'99 Shares '99 Amount '98 Shares '98 Amount
<S> <C> <C> <C> <C>
CLASS A
Shares sold 10,232,153 $38,074,896 9,455,747 $35,650,906
Reinvestment of distributions 621,135 2,294,085 550,731 2,078,817
Less shares repurchased (10,637,046) (39,466,164) (8,172,880) (30,815,032)
----------- ----------- ---------- -----------
Net increase 216,242 $ 902,817 1,833,598 $ 6,914,691
----------- ----------- ---------- -----------
CLASS B
Shares sold 3,002,539 $11,109,190 6,017,333 $22,668,229
Reinvestment of distributions 89,263 329,597 59,471 224,347
Less shares repurchased (3,041,290) (11,242,752) (4,738,301) (17,841,391)
----------- ----------- ---------- -----------
Net increase 50,512 $ 196,035 1,338,503 $ 5,051,185
----------- ----------- ---------- -----------
CLASS Y*
Shares sold 29,860 $ 111,428 118,231 $ 446,975
Reinvestment of distributions 6,463 23,906 2,920 11,057
Less shares repurchased (44,458) (166,970) (5,090) (19,257)
----------- ----------- ---------- -----------
Net increase (decrease) (8,135) $ (31,636) 116,061 $ 438,775
----------- ----------- ---------- -----------
</TABLE>
* Class Y Shares were first publicly offered on April 9, 1998.
The accompanying notes are an integral part of these financial statements. 19
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS 11/30/99
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Year Ended Year Ended Year Ended Year Ended Year Ended
11/30/99 11/30/98 11/30/97 11/30/96 11/30/95
CLASS A
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $ 3.78 $ 3.77 $ 3.79 $ 3.84 $ 3.75
------- ------- ------- ------- -------
Increase (decrease) from investment operations:
Net investment income $ 0.21 $ 0.22 $ 0.21 $ 0.24 $ 0.25
Net realized and unrealized gain (loss) on investments (0.16) 0.01 - (0.05) 0.10
------- ------- ------- ------- -------
Net increase from investment operations $ 0.05 $ 0.23 $ 0.21 $ 0.19 $ 0.35
Distributions to shareholders:
Net investment income (0.21) (0.22) (0.23) (0.24) (0.26)
------- ------- ------- ------- -------
Net increase (decrease) in net asset value $ (0.16) $ 0.01 $ (0.02) $ (0.05) $ 0.09
------- ------- ------- ------- -------
Net asset value, end of year $ 3.62 $ 3.78 $ 3.77 $ 3.79 $ 3.84
------- ------- ------- ------- -------
Total return* 1.47% 6.28% 5.64% 5.20% 9.64%
Ratio of net expenses to average net assets+ 0.88% 0.85% 0.87% 0.87% 0.86%
Ratio of net investment income to average net assets+ 5.75% 5.78% 6.10% 6.25% 6.43%
Portfolio turnover rate 86% 70% 31% 65% 110%
Net assets, end of year (in thousands) $47,781 $49,072 $42,058 $54,637 $53,860
Ratios assuming no waiver of management fees and
assumption of expenses by PIM and no reduction for fees
paid indirectly:
Net expenses 1.31% 1.30% 1.44% 1.33% 1.38%
Net investment income 5.32% 5.33% 5.53% 5.79% 5.92%
Ratios assuming waiver of management fees and assumption of
expenses by PIM and reduction for fees paid indirectly:
Net expenses 0.85% 0.85% 0.85% 0.85% 0.85%
Net investment income 5.78% 5.78% 6.12% 6.27% 6.44%
</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.
+ Ratio assuming no reduction for fees paid indirectly.
20 The accompanying notes are an integral part of these financial statements.
<PAGE>
<TABLE>
<CAPTION>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS 11/30/99
- --------------------------------------------------------------------------------
Year Ended Year Ended Year Ended Year Ended Year Ended
11/30/99 11/30/98 11/30/97 11/30/96 11/30/95
CLASS B
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $ 3.78 $ 3.76 $ 3.79 $ 3.85 $ 3.75
------- ------- ------ ------ ------
Increase (decrease) from investment operations:
Net investment income $ 0.18 $ 0.19 $ 0.20 $ 0.21 $ 0.22
Net realized and unrealized gain (loss) on investments (0.16) 0.01 (0.03) (0.05) 0.11
------- ------- ------ ------ ------
Net increase from investment operations $ 0.02 $ 0.20 $ 0.17 $ 0.16 $ 0.33
Distributions to shareholders:
Net investment income (0.18) (0.18) (0.20) (0.21) (0.23)
In excess of net investment income - - - (0.01) -
------- ------- ------ ------ ------
Net increase (decrease) in net asset value $ (0.16) $ 0.02 $(0.03) $(0.06) $ 0.10
------- ------- ------ ------ ------
Net asset value, end of year $ 3.62 $ 3.78 $ 3.76 $ 3.79 $ 3.85
------- ------- ------ ------ ------
Total return* 0.64% 5.49% 4.60% 4.37% 8.93%
Ratio of net expenses to average net assets+ 1.62% 1.63% 1.67% 1.69% 1.63%
Ratio of net investment income to average net assets+ 5.04% 5.00% 5.29% 5.40% 5.61%
Portfolio turnover rate 86% 70% 31% 65% 110%
Net assets, end of year (in thousands) $10,018 $10,264 $5,187 $4,969 $2,924
Ratios assuming no waiver of management fees and assumption
of expenses by PIM and no reduction for fees paid indirectly:
Net expenses 2.05% 1.99% 2.25% 2.15% 2.17%
Net investment income 4.61% 4.64% 4.71% 4.94% 5.08%
Ratios assuming waiver of management fees and assumption of
expenses by PIM and reduction for fees paid indirectly:
Net expenses 1.61% 1.62% 1.66% 1.67% 1.60%
Net investment income 5.05% 5.01% 5.30% 5.42% 5.64%
</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 value at the end of each period, and no sales charges.
Total return would be reduced if sales charges were taken into account.
+ Ratio assuming no reduction for fees paid indirectly.
The accompanying notes are an integral part of these financial statements. 21
<PAGE>
Pioneer Limited Maturity Bond Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS 11/30/99
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Year Ended 4/9/98 to
CLASS Y 11/30/99 11/30/98
<S> <C> <C>
Net asset value, beginning of period $ 3.79 $ 3.77
------ ------
Increase (decrease) from investment operations:
Net investment income $ 0.23 $ 0.14
Net realized and unrealized gain (loss)
on investments (0.17) 0.02
------ ------
Net increase from investment operations $ 0.06 $ 0.16
Distributions to shareholders:
Net investment income (0.23) (0.14)
------ ------
Net increase (decrease) in net asset value $(0.17) $ 0.02
------ ------
Net asset value, end of period $ 3.62 $ 3.79
------ ------
Total return* 1.64% 4.35%
Ratio of net expenses to average net assets+ 0.48% 0.55%**
Ratio of net investment income to average
net assets+ 6.18% 5.99%**
Portfolio turnover rate 86% 70%
Net assets, end of period (in thousands) $ 391 $ 440
Ratios assuming no waiver of management
fees and assumption of expenses by
PIM and no reduction for fees paid
indirectly:
Net expenses 0.90% 0.74%**
Net investment income 5.76% 5.80%**
Ratios assuming waiver of management fees
and assumption of expenses by PIM and
reduction for fees paid indirectly:
Net expenses 0.46% 0.55%**
Net investment income 6.20% 5.99%**
</TABLE>
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of distributions, and the complete redemption of the
investment at net asset value at the end of each period.
** Annualized.
+ Ratio assuming no reduction for fees paid indirectly.
22 The accompanying notes are an integral part of these financial statements.
<PAGE>
Pioneer Limited Maturity Bond Fund
- ------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/99
- ------------------------------------------------------------------------------
1. Organization and Significant Accounting Policies
Pioneer Limited Maturity Bond Fund (the Fund) is a Massachusetts business trust
registered under the Investment Company Act of 1940 as a diversified, open-end
management investment company. The Fund's investment objective is to seek a
high level of current income consistent with a high level of principal
stability. Effective, September 17, 1999, the Fund changed its name from
Pioneer Short-Term Income Trust, to more accurately reflect the composition of
the portfolio.
The Fund offers three classes of shares - Class A, Class B and Class Y shares.
Each class of shares represents an interest in the same portfolio of
investments of the Fund and has equal rights to voting, redemptions, dividends
and liquidation, except that the level of transfer agent and distribution fees
may differ among classes. Class A and Class B shareholders have exclusive
voting rights with respect to the distribution plan for each class. There is no
distribution plan for Class Y shares.
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. Securities are valued at
prices supplied by independent pricing services, which consider such factors
as Treasury spreads, yields, maturities and ratings. Valuations may be
supplemented by other sources, as required. Principal amounts of
mortgage-backed securities are adjusted for monthly paydowns. Premium and
discount related to certain mortgage-backed securities are amortized or
accreted in proportion to the underlying monthly paydowns. Interest income
is recorded on the accrual basis. 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.
23
<PAGE>
Pioneer Limited Maturity Bond Fund
- ------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/99 (continued)
- ------------------------------------------------------------------------------
B. 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.
At November 30, 1999, the Fund has reclassified $8,773 from accumulated net
realized loss on investments to accumulated undistributed net investment
income. The reclassification has no impact on the net asset value of the
Fund and is designed to present the Fund's capital accounts on a tax basis.
C. 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 $13,563 in
underwriting commissions on the sale of fund shares during the year ended
November 30, 1999.
D. Class Allocations
Distribution fees are calculated based on the average daily net assets
attributable to Class A and Class B 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.
The Fund declares as daily dividends substantially all of its net investment
income. All dividends are paid on a monthly basis. Short-term capital gain
distributions, if any, may be declared with the daily dividends.
Distributions to shareholders are recorded as of the ex-dividend date.
24
<PAGE>
Pioneer Limited Maturity Bond Fund
- ------------------------------------------------------------------------------
- ------------------------------------------------------------------------------
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 Y shares can bear different transfer
agent and distribution fees.
E. Repurchase Agreements
With respect to repurchase agreements entered into by the Fund, the value of
the underlying securities (collateral), including accrued interest received
from counter parties, 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 safekeeping 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.
2. Management Agreement
PIM manages the Fund's portfolio and is a wholly owned subsidiary of PGI.
Management fees are calculated daily at the annual rate of 0.50% of the Fund's
average daily net assets up to $100 million; 0.45% of the next $200 million;
and 0.40% of the excess over $300 million.
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 0.85% of the average daily net assets attributable to Class A
shares; the portion of the Fund-wide expenses attributable to Class B and Class
Y shares will be reduced only to the extent that such expenses are 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.
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 $7,455 in transfer agent fees payable to PSC at
November 30, 1999.
4. Distribution Plans
The Fund adopted a Plan of Distribution with respect to Class A and Class B
shares (Class A Plan and Class B Plan) in accordance with Rule 12b-1 of the
Investment Company Act of 1940. Pursuant to the Class A Plan, the
25
<PAGE>
Pioneer Limited Maturity Bond Fund
- ------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS 11/30/99 (continued)
- ------------------------------------------------------------------------------
Fund pays PFD a service fee of up to 0.25% of the average daily net assets
attributable to Class A shares 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, the Fund pays PFD 1.00% of the average daily net
assets attributable to Class B shares. The fee consists of a 0.25% service fee
and a 0.75% distribution fee aid as compensation for personal services and/or
account maintenance services or distribution services with regard to Class B
shares. Included in due to affiliates is $19,316 in distribution fees payable
to PFD at November 30, 1999.
In addition, redemptions of each class of shares (except Class Y shares) may be
subject to a contingent deferred sales charge (CDSC). A CDSC of 0.50% 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 three
years of purchase are subject to a CDSC at declining rates beginning at 2.00%,
based on the lower of cost or market value of shares being redeemed. Proceeds
from the CDSCs are paid to PFD. For the year ended November 30, 1999, CDSCs in
the amount of $56,932 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 year ended November 30, 1999
the Fund's expenses were reduced by $15,434 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 year ended November 30, 1999 the Fund had
no borrowings under this agreement.
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Pioneer Limited Maturity Bond Fund
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REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
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To the Shareowners and the Board of Trustees of
Pioneer Limited Maturity Bond Fund:
We have audited the accompanying balance sheet, including the schedule of
investments, of Pioneer Limited Maturity Bond Fund (the Fund) (formerly Pioneer
Short-Term Income Trust), as of November 30, 1999, and the related statement of
operations, 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
November 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 Limited Maturity Bond Fund as of November 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
January 7, 2000
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Pioneer Limited Maturity Bond Fund
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TRUSTEES, OFFICERS AND SERVICE PROVIDERS
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Trustees Officers
John F. Cogan, Jr. John F. Cogan, Jr., Chairman and
Mary K. Bush President
Richard H. Egdahl, M.D. David D. Tripple, Executive Vice President
Margaret B.W. Graham Richard A. Schlanger, Vice President
John W. Kendrick Eric W. Reckard, Treasurer
Marguerite A. Piret Joseph P. Barri, Secretary
David D. Tripple
Stephen K. West
John Winthrop
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
28
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THE PIONEER FAMILY OF MUTUAL FUNDS
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For information about any Pioneer mutual fund, please contact your investment
representative, 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 Limited Maturity Bond Fund
Pioneer Mid-Cap Fund Pioneer Strategic Income Fund
Pioneer Small Company Fund
Pioneer Tax-Managed Fund Tax-Free
Pioneer Tax-Free Income Fund
International/Global
Pioneer Emerging Markets Fund Money Market Fund
Pioneer Europe Fund 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
*An investment in the Fund is not insured or guaranteed by the Federal Deposit
Insurance Corporation or any other government agency. Although the Fund seeks
to preserve the value of your investment at $1 per share, it is possible to
lose money by investing in the Fund.
29
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HOW TO CONTACT PIONEER
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We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
Call us for:
Account information, including existing accounts,
new accounts, prospectuses, applications
and service forms 1-800-225-6292
FactFoneSM for automated fund yields, prices,
account information and transactions 1-800-225-4321
Retirement plans information 1-800-622-0176
Telecommunications Device for the Deaf (TDD) 1-800-225-1997
Write to us at:
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.
[Graphic: Pioneer Logo]
Pioneer Investment Management, Inc.
60 State Street 7246-00-0100
Boston, Massachusetts 02109 (C) Pioneer Funds Distributor, Inc.
www.pioneerfunds.com [Recycle logo] Printed on Recycled Paper
