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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-21409
Pioneer Municipal High Income Advantage Trust
(Exact name of registrant as specified in charter)
60 State Street, Boston, MA 02109
(Address of principal executive offices) (ZIP code)
Terrence J. Cullen, Pioneer Investment Management, Inc.,
60 State Street, Boston, MA 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: (617) 742-7825
Date of fiscal year end: March 31
Date of reporting period: April 1, 2016 through September 30, 2016
Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
Pioneer Municipal High
Income Advantage Trust
--------------------------------------------------------------------------------
Semiannual Report | September 30, 2016
--------------------------------------------------------------------------------
Ticker Symbol: MAV
[LOGO] PIONEER
Investments(R)
visit us: us.pioneerinvestments.com
Table of Contents
President's Letter 2
Portfolio Management Discussion 4
Portfolio Summary 10
Prices and Distributions 11
Performance Update 12
Schedule of Investments 13
Financial Statements 23
Notes to Financial Statements 28
Approval of Investment Advisory Agreement 37
Trustees, Officers and Service Providers 41
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 1
President's Letter
Dear Shareowner,
While investors were greeted with a challenging market environment for the first
several weeks of the new year, the U.S. market generated modest single-digit
returns for both stocks and bonds through September 30th (the Bloomberg Barclays
Aggregate Bond Index was up by 5.8% through 9/30/16, and the Standard & Poor's
500 Index was up by 7.8%). Yet, it is becoming increasingly clear that the
investment landscape is undergoing significant change. For the past eight years,
global central banks have been the dominant force in the markets by maintaining
short-term interest rates at close to zero in an effort to stimulate economic
growth. With little room to lower rates further, however, central banks may be
losing their effectiveness. Many economies around the world are experiencing
slow growth as they face a variety of challenges, including the shifting
geopolitics driving "Brexit" - the United Kingdom's pending exit from the
European Union - as well as related movements in Europe, limited productivity
gains, aging populations, and transitioning economic models in China and other
emerging markets. In the United States, gross domestic product grew at a rate of
approximately 1.2% in the first half of 2016, although there are signs of
stronger growth ahead, driven primarily by U.S. consumers.
Investors currently face a difficult environment. Government bond yields outside
the U.S. are near zero and offer minimal opportunity to produce income. The
central bank-driven bull market in riskier assets has pushed up valuations
towards historic highs in the equity and investment-grade and high-yield
corporate bond markets. Central banks have pledged to move gradually to
normalize interest-rate policies as the global economy recovers, but it may take
many years for this historic credit cycle to unwind. Politics may also influence
markets or investor sentiment given the current global political landscape, with
the U.S. elections in November, continued challenges with Brexit, and the
December 2016 referendum on the Italian political system. These factors may make
it even more challenging for investors to achieve returns similar to those
experienced during periods of perceived market stability or economic growth.
Against this backdrop, investors are likely to face challenges when it comes to
finding opportunities for both income and capital appreciation, and while much
has been made of passive investing, we believe all investment decisions are
active choices.
Throughout Pioneer's history, we have believed in the importance of active
management. During challenging market conditions, we view the value of active
management as even more compelling. Our experienced and tenured investment teams
focus on identifying value across global markets using
2 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
proprietary research, careful risk management, and a long-term perspective.
We believe our shareowners can benefit from the experience and tenure of our
investment teams as well as the insights generated from our extensive research
process.
As always, and particularly during times of market uncertainty, we encourage you
to work with your financial advisor to develop an overall investment plan that
addresses both your short- and long-term goals, and to implement such a plan in
a disciplined manner.
We greatly appreciate the trust you have placed in us and look forward to
continuing to serve you in the future.
Sincerely,
/s/ Lisa M. Jones
Lisa M. Jones
President and CEO
Pioneer Investment Management USA Inc.
September 30, 2016
Any information in this shareowner report regarding market or economic trends or
the factors influencing the Trust's historical or future performance are
statements of opinion as of the date of this report. Past performance is no
guarantee of future results.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 3
Portfolio Management Discussion | 9/30/16
Municipal bonds, both investment grade and high yield, generated healthy returns
during the six-month period ended September 30, 2016. In the following
interview, David Eurkus and Jonathan Chirunga discuss the factors that
influenced the performance of Pioneer Municipal High Income Advantage Trust
during the six-month period. Mr. Eurkus, Director of Municipals, a senior vice
president and a portfolio manager at Pioneer, and Mr. Chirunga, a vice president
and portfolio manager at Pioneer, are responsible for the day-to-day management
of the Trust.
Q How did Pioneer Municipal High Income Advantage Trust perform during the
six-month period ended September 30, 2016?
A Pioneer Municipal High Income Advantage Trust returned 4.60% at net asset
value and -2.68% at market price during the six-month period ended
September 30, 2016. During the same six-month period, the Trust's
benchmarks, the Bloomberg Barclays High Yield Municipal Bond Index and the
Bloomberg Barclays Municipal Bond Index, returned 6.45% and 2.30%,
respectively. The Bloomberg Barclays High Yield Municipal Bond Index is an
unmanaged measure of the performance of lower-rated municipal bonds, while
the Bloomberg Barclays Municipal Bond Index is an unmanaged measure of the
performance of investment-grade municipal bonds. Unlike the Trust, the two
indices do not use leverage. While use of leverage increases investment
opportunity, it also increases investment risk.
During the same six-month period, the average return (at market price) of
the 11 closed end funds in Lipper's High Yield Municipal Debt Closed End
Funds category (which may or may not be leveraged) was 4.98%.
The shares of the Trust were selling at a 2.83% premium to net asset value
at the end of the period, on September 30, 2016.
On September 30, 2016, the standardized 30-day SEC yield of the Trust's
shares was 3.41%*.
Q How would you describe the investment environment in the municipal bond
market during the six-month period ended September 30, 2016?
A Overall, the six-month period featured a positive environment for
tax-advantaged municipal bond investments. The beginning of the period in
April 2016 saw a continuation of the positive market trends that had
generated solid gains by municipal bonds, both high yield and investment
grade, during the previous months. Declining market interest rates
* The 30-day SEC yield is a standardized formula that is based on the
hypothetical annualized earning power (investment income only) of the
Trust's portfolio securities during the period indicated.
4 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
throughout the yield curve combined with persistent demand from both
traditional and non-traditional municipal bond investors drove municipal
bond prices generally higher. During that early part of the period, yield
spreads - or the differences in yields between higher- and lower-quality
securities with similar maturities - were tightening. That led to strong
performance by higher-yielding, lower-quality municipal debt instruments.
After the fast start to the period, a temporary disruption hit the
municipal market early in the summer when the Commonwealth of Puerto Rico,
a major issuer of high-yield municipal debt, announced it would default on
its general obligation bonds. While the initial market reaction to the
announcement was a spike in volatility, the environment soon settled down
as it became evident to investors that the renegotiation of Puerto Rico's
debt would likely result in issuance of newer securities priced at higher
levels than the market prices in effect before the default announcement. In
the end, Puerto Rico's debt actually outperformed the municipal market for
the full six-month period, as did the distressed debt of other financially
troubled issuers such as the State of Illinois and the City of Chicago.
Q Which of your investment decisions had the biggest effects on the Trust's
benchmark-relative performance during the six-month period ended September
30, 2016, and how was the Trust positioned at the end of the period?
A The Trust's return at net asset value (NAV) over the six-month period
trailed the return of the Bloomberg Barclays High Yield Municipal Bond
Index (the high-yield municipal index), and exceeded the return of the
investment-grade Bloomberg Barclays Municipal Bond Index. While the
portfolio's weightings in high-yield and investment-grade municipal bonds
tend to shift based on market conditions and other factors, in general, the
Trust's exposure to high-yield municipal bonds is greater, and so for the
purposes of this discussion, we measure the Trust's benchmark-relative
performance against the high-yield municipal index.
The principal reason for the Trust's underperformance of the high-yield
municipal index was the portfolio's underexposure to the aforementioned
Puerto Rico debt. After the default announcement on July 1, the value of
bonds issued by the Commonwealth of Puerto Rico still represented more than
12% of the high-yield municipal index, while the Trust's exposure to Puerto
Rico was limited to less than 1% of its total investment portfolio (0.9% as
of September 30, 2016). The Trust's underweight caused it to underperform
the high-yield municipal index when Puerto Rico's bonds eventually rallied.
Even though the underweight to Puerto Rico detracted from
benchmark-relative returns, the Trust's investment in Puerto Rico
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 5
actually boosted benchmark-relative performance at the individual security
- or security selection - level during the six-month period. The high-yield
municipal index's Puerto Rico component features some lower-quality issues
that struggled during the period, and many of those underperformed the
general obligation Puerto Rico bond held in the Trust's portfolio. Despite
the problems experienced during the six-month period, we remain confident
that the Trust's investment in Puerto Rico can benefit performance over
the longer term. Similarly, the Trust's benchmark-relative performance also
felt the negative effects of the portfolio's lack of exposure to the debt
issued by the State of Illinois, the City of Chicago, and the Chicago Board
of Education, which together represented 6% of the high-yield municipal
index. Our long-term investment discipline in managing the Trust, which
places a priority on credit research and deep analysis of the ability of
bond issuers to meet their obligations, resulted in the Trust's
underexposure to the most distressed parts of the high-yield municipal
universe during the six-month period.
While the Trust's underweights to the lowest-quality parts of the municipal
market detracted from benchmark-relative returns during the period, our
emphasis on holding the debt of tobacco Master Settlement Agreements
(commonly referred to as tobacco bonds) in the portfolio had a significant
positive effect on benchmark-relative performance. At the end of the
period, tobacco bonds accounted for 9% of the Trust's total investment
portfolio.
One other factor that detracted from the Trust's performance during the
period was that the cost of borrowing increased. That is, the Trust's use
of leverage during the period became more expensive due to rising interest
rates on short-term, money market municipal debt. This reduced the Trust's
income and negatively affected its total return.
Consistent with our long-term investment discipline, we kept the Trust's
portfolio well diversified* by sectors during the six-month period, with an
emphasis on project revenue bonds, which are supported by revenues of
specific projects. We believe the financial support for such projects is
more consistent and predictable than it is for general obligation bonds,
which essentially rely on state and local tax revenue.
With regard to individual holdings, positions in the Trust's portfolio that
benefited the Trust's benchmark-relative performance during the period
included bonds issued by the Massachusetts Development Authority,
* Diversification does not assure a profit nor protect against loss.
6 Pioneer Municipal High Income Advantage Trust | Semiannual Report |9/30/16
California County Tobacco Securitization Agency, Buckeye (Ohio) Tobacco
Settlement Financing Authority, and Private Colleges & Universities
Authority (Georgia), for Emory University.
Holdings that detracted from the Trust's benchmark-relative returns during
the period included bonds issued by West Virginia Hospital Finance
Authority (Highland Hospital), Illinois Finance Authority, and Greenfields
of Geneva Project, a continuing care retirement community in Illinois.
At the end of the period on September 30, 2016, revenue bonds represented
more than 84% of the Trust's total investment portfolio. Among the Trust's
allocation to revenue bonds, the three largest sector weights at the end of
the period were in health care (more than 17% of the Trust's total
investment portfolio), education (13%), and tobacco (9%).
Q What were the principal factors that affected the Trust's yield during the
six-month period ended September 30, 2016?
A The Trust's monthly dividend distributions decreased from 7 cents per share
to 6.25 cents per share in August 2016. Two main factors were responsible
for the dividend cut and the resulting loss in yield.
The first and primary factor, as noted earlier, was that the Trust's
interest costs for borrowing money - or the use of leverage - increased
during the period due to rising interest rates on short-term, money market
municipal debt. As those rates increased, the cost of the Trust's preferred
shares, which the Trust issues to finance its borrowings, also increased,
thereby diminishing the Trust's current income available for distribution
to shareholders. The second factor was the longer-term decline in interest
rates in the fixed-income markets in general, including the broader
municipal bond market. As bonds in the Trust's portfolio of investments
either reached maturity or were called away by issuers to be refinanced
with lower-cost debt, comparable alternatives offering the same current
income were not available for investment without compromising our credit
standards, and we were unwilling to compromise our credit standards to
reach for more income. In addition, the Trust has drawn on accumulated net
investment income in paying its distributions in recent periods, but these
reserves will be depleted over time.
Q How did the level of leverage in the Trust change during the six-month
period ended September 30, 2016?
A At the end of the six-month period on September 30, 2016, 33.0% of the
Trust's total managed assets were financed by leverage obtained through the
issuance of preferred shares, compared with 33.4% of the Trust's total
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 7
managed assets financed by leverage at the start of the period on April 1,
2016. The decline in leverage as a percentage of total managed assets was
due to the increase in values of securities in which the Trust had
invested.
Q Did the Trust invest in any derivative securities during the six-month
period ended September 30, 2016?
A No, the Trust had no investments in derivative securities during the
period.
Q What is your investment outlook?
A We think strong investor demand and a continued tightening of supply should
support the municipal bond market, even in the face of sluggish economic
growth. We project that growth in U.S. gross domestic product (GDP) is
likely to increase at a moderate annualized pace of 2.00% in the coming
months. The third quarter's announced GDP growth rate of 2.9% certainly was
a welcome change from the much slower rates seen in the first and second
quarters of this year (0.8% and 1.4%, respectively). While economic growth
has been slow overall in 2016, it nevertheless has been persistent, and
economists widely anticipate that the U.S. Federal Reserve System (the Fed)
will raise short-term interest rates in December, a full year after its
last, very modest rate increase of 0.25% in December 2015. That factor,
combined with the announcement that the European Central Bank will begin
withdrawing some of its monetary stimulus, could lead to some general
tightening in the capital markets. Another unknown affecting our market
outlook is the outcome of the 2016 presidential campaign, which could have
an influence on tax rates in the U.S. starting next year. That, in turn,
could have an effect on the demand for municipal debt. Uncertainties in
foreign markets are another factor that could affect market trends.
Nevertheless, we continue to believe that a steadily improving job market
and healthy activity in the housing sector should help sustain the domestic
economy's expansion. Regardless of the economic climate, we intend to
maintain our investment strategy of keeping the Trust's portfolio well
diversified across both investment-grade and high-yield municipal debt
securities, with an emphasis on project revenue bonds backed by predictable
and reliable funding sources.
Please refer to the Schedule of Investments on pages 13-22 for a full listing of
Trust securities.
All investments are subject to risk, including the possible loss of principal.
In the past several years, financial markets have experienced increased
volatility, depressed valuations, decreased liquidity and heightened
uncertainty. These conditions may continue, recur, worsen or spread.
Investments in high-yield or lower-rated securities are subject to
greater-than-average risk.
8 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
The Trust may invest in securities of issuers that are in default or that are in
bankruptcy.
A portion of income may be subject to state, federal, and/or alternative minimum
tax. Capital gains, if any, are subject to a capital gains tax.
When interest rates rise, the prices of fixed-income securities in the Trust
will generally fall. Conversely, when interest rates fall, the prices of
fixed-income securities in the Trust will generally rise.
By concentrating in municipal securities, the portfolio is more susceptible to
adverse economic, political or regulatory developments than is a portfolio that
invests more broadly.
Investments in the Trust are subject to possible loss due to the financial
failure of the issuers of the underlying securities and the issuers' inability
to meet their debt obligations.
The Trust currently uses leverage through the issuance of preferred shares.
Leverage creates significant risks, including the risk that the Trust's
incremental income or capital appreciation for investments purchased with the
proceeds of leverage will not be sufficient to cover the cost of leverage, which
may adversely affect the return for the holders of common shares. Since February
of 2008, regularly scheduled auctions for the Trust's preferred shares have
failed and preferred shareowners have not been able to sell their shares at
auction. The Board of Trustees of the Trust has considered, and continues to
consider, this issue.
The Trust is required to meet certain regulatory and rating agency asset
coverage requirements in connection with its outstanding preferred shares. In
order to maintain required asset coverage levels, the Trust may be required to
alter the composition of its investment portfolio or take other actions, such as
redeeming preferred shares with the proceeds from portfolio transactions, at
what might be inopportune times in the market. Such actions could reduce the net
earnings or returns to holders of the Trust's common shares over time, which is
likely to result in a decrease in the market value of the Trust's shares.
Risks of investing in the Trust are discussed in greater detail in the Trust's
original offering documents relating to its common shares and shareowner reports
issued from time to time.
These risks may increase share price volatility.
Any information in this shareowner report regarding market or economic trends or
the factors influencing the Trust's historical or future performance are state-
ments of opinion as of the date of this report. Past performance is no guarantee
of future results.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 9
Portfolio Summary | 9/30/16
Portfolio Diversification
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(As a percentage of total investment portfolio)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
Insured: 15.2%
Revenue Bonds: Other Revenue 20.6%
Health Revenue 17.5%
Education Revenue 13.1%
Tobacco Revenue 9.0%
Transportation Revenue 7.1%
Facilities Revenue 6.8%
Development Revenue 6.5%
Water Revenue 1.9%
Pollution Revenue 1.7%
Airport Revenue 0.6%
Portfolio Maturity
--------------------------------------------------------------------------------
(As a percentage of total investments)
[THE FOLLOWING DATA WAS REPRESENTED AS A PIE CHART IN THE PRINTED MATERIAL]
5-7 years 0.1%
7-10 years 3.7%
10-20 years 36.5%
20+ years 59.7%
10 Largest Holdings
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(As a percentage of long-term holdings)*
1. New Jersey Transportation Trust Fund Authority, 12/15/27 (BHAC Insured) 2.61%
-------------------------------------------------------------------------------------------------------------
2. Massachusetts Development Finance Agency, WGBH Foundation, Series A, 5.75%,
1/1/42 (AMBAC Insured) 2.57
-------------------------------------------------------------------------------------------------------------
3. Private Colleges & Universities Authority, Emory University, Series A, 5.0%, 10/1/43 2.34
-------------------------------------------------------------------------------------------------------------
4. North Texas Tollway Authority, Series F, 5.75%, 1/1/33 2.30
-------------------------------------------------------------------------------------------------------------
5. Buckeye Tobacco Settlement Financing Authority, Asset-Backed, Series A-2, 6.5%, 6/1/47 2.25
-------------------------------------------------------------------------------------------------------------
6. Lehman Municipal Trust Receipts, RIB, 11.532%, 6/1/37 (144A) (AGM Insured) 2.06
-------------------------------------------------------------------------------------------------------------
7. New York State Dormitory Authority, Series C, 5.0%, 3/15/39 2.00
-------------------------------------------------------------------------------------------------------------
8. New Jersey Economic Development Authority, Continental Airlines, 5.75%, 9/15/27 1.90
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9. State of Connecticut, Series E, 4.0%, 9/1/30 1.79
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10. Jefferson Parish Hospital Service District No. 2, East Jefferson General Hospital, 6.375%, 7/1/41 1.76
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* This list excludes temporary cash investments and derivative instruments.
The portfolio is actively managed, and current holdings may be different.
The holdings listed should not be considered recommendations to buy or sell
any security listed.
10 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Prices and Distributions | 9/30/16
Share Prices and Distributions
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Market Value per Common Share
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--------------------------------------------------------------------------------
9/30/16 3/31/16
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Market Value $ 13.09 $ 13.87
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Premium 2.8% 10.5%
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Net Asset Value per Common Share
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
9/30/16 3/31/16
--------------------------------------------------------------------------------
Net Asset Value $12.73 $12.55
--------------------------------------------------------------------------------
Distributions per Common Share:* 4/1/16 - 9/30/16
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Net
Investment Short-Term Long-Term
Income Capital Gains Capital Gains
--------------------------------------------------------------------------------
$ 0.41 $ -- $ --
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Yields
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
9/30/16 3/31/16
--------------------------------------------------------------------------------
30-Day SEC Yield 3.41% 4.17%
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The data shown above represents past performance, which is no guarantee of
future results.
* The amount of distributions made to shareholders during the period was in
excess of the net investment income earned by the Trust during the period.
The Trust has accumulated undistributed net investment income which is part
of the Trust's NAV. A portion of this accumulated net investment income was
distributed to shareowners during the period. A decrease in distributions
may have a negative effect on the market value of the Trust's shares.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 11
Performance Update | 9/30/16
Investment Returns
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The mountain chart on the right shows the change in market value, including
reinvestment of dividends and distributions, of a $10,000 investment made in
common shares of Pioneer Municipal High Income Advantage Trust during the
periods shown, compared to that of the Bloomberg Barclays Municipal Bond Index
and the Bloomberg Barclays High Yield Municipal Bond Index.
Average Annual Total Returns
(As of September 30, 2016)
--------------------------------------------------------------------------------
Bloomberg
Bloomberg Barclays
Net Barclays High Yield
Asset Municipal Municipal
Value Market Bond Bond
Period (NAV) Price Index Index
--------------------------------------------------------------------------------
10 Years 5.98% 6.72% 4.75% 4.89%
5 Years 8.27 7.12 4.48 7.36
1 Year 10.52 8.87 5.58 11.32
--------------------------------------------------------------------------------
[THE FOLLOWING DATA WAS REPRESENTED AS A MOUNTAIN CHART IN THE PRINTED MATERIAL]
Value of $10,000 Investment
Pioneer Municipal Bloomberg Barclays Bloomberg Barclays
High Income Municipal Bond High Yield Municipal
Advantage Trust Index Bond Index
9/06 $10,000 $10,000 $10,000
9/07 $10,879 $10,310 $10,287
9/08 $ 7,794 $10,117 $ 9,254
9/09 $10,108 $11,619 $ 9,675
9/10 $12,639 $12,294 $10,849
9/11 $13,583 $12,771 $11,302
9/12 $17,206 $13,833 $12,974
9/13 $15,657 $13,527 $12,774
9/14 $19,195 $14,600 $14,302
9/15 $17,598 $15,061 $14,480
9/16 $19,158 $15,902 $16,119
Call 1-800-225-6292 or visit us.pioneerinvestments.com for the most recent
month-end performance results. Current performance may be lower or higher than
the performance data quoted.
Performance data shown represents past performance. Past performance is no
guarantee of future results. Investment return and market price will fluctuate,
and your shares may trade below NAV due to such factors as interest rate changes
and the perceived credit quality of borrowers.
Total investment return does not reflect broker sales charges or commissions.
All performance is for common shares of the Trust.
Shares of closed-end funds, unlike open-end funds, are not continuously offered.
There is a one-time public offering and, once issued, shares of closed-end funds
are bought and sold in the open market through a stock exchange, and frequently
trade at prices lower than their NAV. NAV per common share is total assets less
total liabilities, which include preferred shares, divided by the number of
common shares outstanding.
When NAV is lower than market price, dividends are assumed to be reinvested at
the greater of NAV or 95% of the market price. When NAV is higher, dividends are
assumed to be reinvested at prices obtained through open-market purchases under
the Trust's dividend reinvestment plan.
The performance table and graph do not reflect the deduction of fees and taxes
that a shareowner would pay on Trust distributions or the sale of Trust shares.
Had these fees and taxes been reflected, performance would have been lower.
The Bloomberg Barclays Municipal Bond Index is an unmanaged, broad measure of
the municipal bond market. The Bloomberg Barclays High Yield Municipal Bond
Index is unmanaged, totals over $26 billion in market value and maintains over
1,300 securities. Municipal bonds in this index have the following requirements:
maturities of one year or greater, sub investment grade (below Baa or
non-rated), fixed coupon rate, issue date later than 12/31/90, deal size over
$20 million, maturity size of at least $3 million. Index returns are calculated
monthly, assume reinvestment of dividends and, unlike Trust returns, do not
reflect any fees, expenses or sales charges. The indices do not employ leverage.
You cannot invest directly in the indices.
12 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Schedule of Investments | 9/30/16 (unaudited)
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
TAX EXEMPT OBLIGATIONS -- 147.5%
of Net Assets (a)
Alabama -- 1.7%
2,500,000 Alabama Industrial Development Authority,
Pine City Fiber Co., 6.45%, 12/1/23 $ 2,510,125
2,500,000 Huntsville-Redstone Village Special Care Facilities
Financing Authority, Redstone Village Project, 5.5%, 1/1/43 2,505,225
---------------
$ 5,015,350
------------------------------------------------------------------------------------------------------
Arizona -- 0.7%
2,000,000 City of Phoenix, AZ, Industrial Development Authority, 3rd &
Indian School Assisted Living Project, 5.4%, 10/1/36 $ 1,995,140
32,000 County of Pima, AZ, Industrial Development Authority,
Arizona Charter Schools Project, Series C, 6.75%, 7/1/31 32,133
---------------
$ 2,027,273
------------------------------------------------------------------------------------------------------
California -- 17.1%
6,990,000 California County Tobacco Securitization Agency,
Asset-Backed, Gold County Funding Corp., 5.25%, 6/1/46 $ 6,989,860
38,610,000(b) California County Tobacco Securitization Agency, Capital
Appreciation, Stanislaus County, Subordinated,
Series A, 6/1/46 5,488,025
1,845,000 California Educational Facilities Authority, Stanford
University, 5.25%, 4/1/40 2,680,176
1,550,000 California Enterprise Development Authority, Sunpower
Corp., 8.5%, 4/1/31 1,765,931
5,000,000 California Pollution Control Financing Authority, 5.0%,
7/1/37 (144A) 5,140,100
3,000,000 California School Finance Authority, Classical Academies
Project, Series A, 7.375%, 10/1/43 3,638,070
1,875,000 California Statewide Communities Development Authority,
Lancer Plaza Project, 5.875%, 11/1/43 2,013,975
757,342(c) California Statewide Communities Development Authority,
Microgy Holdings Project, 9.0%, 12/1/38 8
1,500,000(d) City of Madera, CA, Irrigation Financing Authority,
6.25%, 1/1/31 1,754,550
1,500,000(d) City of Madera, CA, Irrigation Financing Authority,
6.5%, 1/1/40 1,766,535
2,500,000 City of San Jose, CA, Series B, 5.0%, 3/1/37
(AMBAC Insured) 2,541,650
1,000,000 Golden State Tobacco Securitization Corp., Asset-Backed,
Series A-1, 5.125%, 6/1/47 999,160
8,575,000(e)(f) Lehman Municipal Trust Receipts, RIB, 11.532%, 6/1/37
(144A) (AGM Insured) 9,271,976
3,140,000(e) Lehman Municipal Trust Receipts, RIB, 11.692%, 11/1/39
(144A) (AGM Insured) 3,734,716
1,000,000 River Islands Public Financing Authority, Community
Facilities, 5.5%, 9/1/45 1,104,880
2,425,000(f) State of California, Various Purposes, 5.75%, 4/1/31 2,706,300
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 13
Schedule of Investments | 9/30/16 (unaudited)(continued)
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
California -- (continued)
465,000 Tobacco Securitization Authority of Southern California,
Series A-1, 5.125%, 6/1/46 $ 462,298
---------------
$ 52,058,210
------------------------------------------------------------------------------------------------------
Colorado -- 0.5%
1,500,000 Colorado Educational & Cultural Facilities Authority, Rocky
Mountain Classical Academy Project, 8.0%, 9/1/43 $ 1,594,515
------------------------------------------------------------------------------------------------------
Connecticut -- 3.8%
175,000(e) Connecticut State Health & Educational Facility Authority,
Yale University, Series V-1, 0.76%, 7/1/36 $ 175,000
2,235,000 Mohegan Tribal Finance Authority, 7.0%, 2/1/45 (144A) 2,333,563
7,200,000(f) State of Connecticut, Series E, 4.0%, 9/1/30 8,037,288
1,000,000 Town of Hamden, CT, Whitney Center Project, Series A,
7.75%, 1/1/43 1,051,930
---------------
$ 11,597,781
------------------------------------------------------------------------------------------------------
District of Columbia -- 3.4%
2,635,000 District of Columbia Tobacco Settlement Financing Corp.,
Asset-Backed, 6.5%, 5/15/33 $ 3,239,363
6,825,000 District of Columbia Tobacco Settlement Financing Corp.,
Asset-Backed, 6.75%, 5/15/40 7,063,534
---------------
$ 10,302,897
------------------------------------------------------------------------------------------------------
Florida -- 4.3%
1,500,000 Alachua County Health Facilities Authority, Terraces Bonita
Springs Project, Series A, 8.125%, 11/15/41 $ 1,784,430
1,500,000 Alachua County Health Facilities Authority, Terraces Bonita
Springs Project, Series A, 8.125%, 11/15/46 1,781,370
2,500,000(d) County of Miami-Dade, FL, Aviation Revenue, Series B,
5.5%, 10/1/41 2,832,775
5,000,000 Florida's Turnpike Enterprise, Department of Transportation,
Series A, 4.0%, 7/1/32 5,529,150
1,000,000(d) Hillsborough County Industrial Development Authority,
Various Health Facilities, 8.0%, 8/15/32 1,207,760
---------------
$ 13,135,485
------------------------------------------------------------------------------------------------------
Georgia -- 4.6%
1,735,000(e) Athens-Clarke County Unified Government Development
Authority, University of Georgia Athletic Association Project,
0.78%, 8/1/33 $ 1,735,000
900,000 DeKalb County Georgia Hospital Authority, DeKalb Medical
Center, Inc. Project, 6.0%, 9/1/30 1,036,143
750,000 DeKalb County Georgia Hospital Authority, DeKalb Medical
Center, Inc. Project, 6.125%, 9/1/40 854,797
8,750,000 Private Colleges & Universities Authority, Emory University,
Series A, 5.0%, 10/1/43 10,495,275
---------------
$ 14,121,215
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
14 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
Guam -- 0.4%
1,000,000 Guam Department of Education, Certificates of
Participation, John F. Kennedy High School, Series A,
6.625%, 12/1/30 $ 1,092,590
------------------------------------------------------------------------------------------------------
Idaho -- 0.7%
2,000,000 Power County Industrial Development Corp., FMC Corp.
Project, 6.45%, 8/1/32 $ 2,004,700
------------------------------------------------------------------------------------------------------
Illinois -- 3.4%
417,400(e) Illinois Finance Authority, Clare Oaks Project, Series B,
4.0%, 11/15/52 $ 293,737
261,000(b) Illinois Finance Authority, Clare Oaks Project, Series C-1,
11/15/52 9,297
52,200(b) Illinois Finance Authority, Clare Oaks Project, Series C-2,
11/15/52 14,230
52,200(b) Illinois Finance Authority, Clare Oaks Project, Series C-3,
11/15/52 8,952
3,000,000(c) Illinois Finance Authority, Greenfields of Geneva Project,
Series A, 8.125%, 2/15/40 2,385,030
2,500,000(c) Illinois Finance Authority, Greenfields of Geneva Project,
Series A, 8.25%, 2/15/46 1,986,975
1,450,000 Illinois Finance Authority, Memorial Health System,
5.5%, 4/1/39 1,577,745
2,000,000 Illinois Finance Authority, Northwestern Memorial Hospital,
Series A, 6.0%, 8/15/39 2,284,520
280,000 Illinois Finance Authority, Swedish Covenant, Series A,
6.0%, 8/15/38 312,385
1,555,000 Southwestern Illinois Development Authority, Village of
Sauget Project, 5.625%, 11/1/26 1,459,865
---------------
$ 10,332,736
------------------------------------------------------------------------------------------------------
Indiana -- 0.6%
250,000 City of Carmel, IN, Barrington Carmel Project, Series A,
7.0%, 11/15/32 $ 283,547
750,000 City of Carmel, IN, Barrington Carmel Project, Series A,
7.125%, 11/15/42 851,318
500,000 City of Carmel, IN, Barrington Carmel Project, Series A,
7.125%, 11/15/47 566,120
---------------
$ 1,700,985
------------------------------------------------------------------------------------------------------
Kansas -- 0.4%
1,000,000 Kansas Development Finance Authority, Hayes Medical
Center, Inc., Series Q, 5.0%, 5/15/35 $ 1,076,590
------------------------------------------------------------------------------------------------------
Louisiana -- 5.7%
7,000,000 Jefferson Parish Hospital Service District No. 2, East
Jefferson General Hospital, 6.375%, 7/1/41 $ 7,891,310
2,500,000 Louisiana Local Government Environmental Facilities &
Community Development Authority, Westlake Chemical Corp.
Project, 6.75%, 11/1/32 2,650,000
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 15
Schedule of Investments | 9/30/16 (unaudited)(continued)
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
Louisiana -- (continued)
1,650,000(d) Louisiana Public Facilities Authority, Ochsner Clinic
Foundation Project, Series A, 5.5%, 5/15/47 $ 1,698,560
4,350,000 Louisiana Public Facilities Authority, Ochsner Clinic
Foundation Project, Series A, 5.5%, 5/15/47 4,455,400
750,000 Opelousas Louisiana General Hospital Authority, Opelousas
General Health System Project, 5.75%, 10/1/23 753,053
---------------
$ 17,448,323
------------------------------------------------------------------------------------------------------
Maine -- 1.9%
1,500,000 Maine Health & Higher Educational Facilities Authority,
Maine General Medical Center, 7.5%, 7/1/32 $ 1,785,825
3,500,000 Maine Turnpike Authority, Series A, 5.0%, 7/1/42 4,098,990
---------------
$ 5,884,815
------------------------------------------------------------------------------------------------------
Maryland -- 3.8%
2,000,000 Maryland Health & Higher Educational Facilities Authority,
Charlestown Community, 6.25%, 1/1/45 $ 2,336,800
2,225,000 Maryland Health & Higher Educational Facilities Authority,
City Neighbors, Series A, 6.75%, 7/1/44 2,530,893
1,250,000 Maryland Health & Higher Educational Facilities Authority,
Doctor's Community Hospital, 5.75%, 7/1/38 1,410,875
4,500,000 Maryland Health & Higher Educational Facilities Authority,
Maryland University Medical System, Series A, 5.0%, 7/1/43 5,158,890
---------------
$ 11,437,458
------------------------------------------------------------------------------------------------------
Massachusetts -- 10.9%
7,000,000(b) Massachusetts Bay Transportation Authority, Series A, 7/1/28 $ 5,350,170
2,575,000 Massachusetts Development Finance Agency, Broad
Institute, Inc., Series A, 5.25%, 4/1/37 2,990,270
987,904 Massachusetts Development Finance Agency, Linden
Ponds, Inc., Series A-1, 5.5%, 11/15/46 947,351
2,200,000 Massachusetts Development Finance Agency, Partner's
Healthcare System, Series M-4, 5.0%, 7/1/39 2,539,724
8,000,000 Massachusetts Development Finance Agency, WGBH
Foundation, Series A, 5.75%, 1/1/42 (AMBAC Insured) 11,536,480
100,000(e) Massachusetts Health & Educational Facilities Authority,
Children's Hospital Corp., Series N-4, 0.83%, 10/1/49 100,000
4,325,000 Massachusetts Health & Educational Facilities Authority,
Massachusetts Institute of Technology, Series K,
5.5%, 7/1/32 6,216,236
3,490,000(e) Massachusetts Health & Educational Facilities Authority,
Harvard University, Series R, 0.69%, 11/1/49 3,490,000
---------------
$ 33,170,231
------------------------------------------------------------------------------------------------------
Michigan -- 3.6%
2,000,000 Flint Michigan Hospital Building Authority, Hurley Medical
Center, 7.375%, 7/1/35 $ 2,270,180
2,235,000 Kent Hospital Finance Authority, Metropolitan Hospital
Project, Series A, 6.25%, 7/1/40 2,240,945
The accompanying notes are an integral part of these financial statements.
16 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
Michigan -- (continued)
560,000 Michigan Public Educational Facilities Authority, Crescent
Academy, 7.0%, 10/1/36 $ 589,047
5,000,000 Michigan State University, Series A, 5.0%, 8/15/41 5,948,300
---------------
$ 11,048,472
------------------------------------------------------------------------------------------------------
Minnesota -- 2.2%
2,000,000 Bloomington Port Authority, Radisson Blu Mall of America,
9.0%, 12/1/35 $ 2,197,160
3,755,000(f) State of Minnesota, Series B, 4.0%, 8/1/27 4,537,655
---------------
$ 6,734,815
------------------------------------------------------------------------------------------------------
Mississippi -- 0.1%
425,000(e) Mississippi Business Finance Corp., Chevron USA, Inc.
Project, Series B, 0.85%, 12/1/30 $ 425,000
------------------------------------------------------------------------------------------------------
Montana -- 0.2%
2,445,000(c) City of Hardin, MT, Tax Allocation, Rocky Mountain
Power, Inc. Project, 6.25%, 9/1/31 $ 488,389
1,000,000(c) Two Rivers Authority, Inc., 7.375%, 11/1/27 119,880
---------------
$ 608,269
------------------------------------------------------------------------------------------------------
Nevada -- 2.2%
4,500,000(d) City of Reno, NV, Renown Regional Medical Center Project,
Series A, 5.25%, 6/1/41 $ 4,632,435
2,000,000 County of Washoe, NV, Fuel Tax, 5.0%, 2/1/43 2,165,060
---------------
$ 6,797,495
------------------------------------------------------------------------------------------------------
New Jersey -- 8.9%
7,500,000 New Jersey Economic Development Authority, Continental
Airlines, 5.75%, 9/15/27 $ 8,557,800
3,500,000(e) New Jersey State Turnpike Authority, RIB, 12.257%,
1/1/28 (144A) (AGM Insured) 6,771,870
15,375,000(b) New Jersey Transportation Trust Fund Authority, 12/15/27
(BHAC Insured) 11,733,124
---------------
$ 27,062,794
------------------------------------------------------------------------------------------------------
New York -- 6.8%
5,000,000 New York State Dormitory Authority, Columbia University,
5.0%, 10/1/41 $ 5,820,900
2,000,000 New York State Dormitory Authority, Orange Medical Center,
6.125%, 12/1/29 2,166,220
7,500,000 New York State Dormitory Authority, Series C, 5.0%,
3/15/39 8,971,350
1,500,000 New York State Dormitory Authority, Trustees of Columbia
University, 5.0%, 10/1/45 2,202,450
1,357,463 Westchester County Healthcare Corp., Series A,
5.0%, 11/1/44 1,559,209
---------------
$ 20,720,129
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 17
Schedule of Investments | 9/30/16 (unaudited)(continued)
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
North Carolina -- 0.5%
1,495,000(e) Charlotte-Mecklenburg Hospital Authority, Carolinas
Healthcare System, Series B, 0.88%, 1/15/26 $ 1,495,000
------------------------------------------------------------------------------------------------------
Ohio -- 7.0%
3,000,000(d) Akron Bath Copley Joint Township Hospital District, Akron
General Health System, 5.0%, 1/1/31 $ 3,556,740
2,500,000 Buckeye Tobacco Settlement Financing Authority,
Asset-Backed, Series A-2, 5.875%, 6/1/47 2,448,275
9,945,000 Buckeye Tobacco Settlement Financing Authority,
Asset-Backed, Series A-2, 6.5%, 6/1/47 10,117,247
2,000,000(e) Ohio Air Quality Development Authority, FirstEnergy
Solutions Corp. Project, Series D, 4.25%, 8/1/29 2,001,740
2,500,000(f) State of Ohio, Common Schools, Series B, 5.0%, 6/15/29 2,993,025
---------------
$ 21,117,027
------------------------------------------------------------------------------------------------------
Oregon -- 0.7%
2,000,000 Oregon State Facilities Authority, Samaritan Health Services,
Series A, 5.25%, 10/1/40 $ 2,190,680
------------------------------------------------------------------------------------------------------
Pennsylvania -- 10.9%
1,000,000(e) Beaver County Industrial Development Authority, FirstEnergy
Solutions Corp. Project, Series A, 3.5%, 4/1/41 $ 877,160
3,000,000(e) Beaver County Industrial Development Authority, FirstEnergy
Solutions Corp. Project, Series B, 4.25%, 10/1/47 3,002,430
600,000(e) Geisinger Authority, Geisinger Health System, Series B,
0.88%, 8/1/22 600,000
1,965,000 Pennsylvania Economic Development Financing Authority,
US Airways Group, Series B, 8.0%, 5/1/29 2,296,535
5,000,000 Pennsylvania Economic Development Financing Authority,
USG Corp. Project, 6.0%, 6/1/31 5,001,900
5,000,000 Pennsylvania Turnpike Commission, Series D, 5.3%, 12/1/41 5,535,400
500,000 Philadelphia Authority for Industrial Development, Greater
Philadelphia Health Action, Inc. Project, Series A,
6.625%, 6/1/50 534,770
6,000,000 Philadelphia Authority for Industrial Development, Nueva
Esperanze, Inc., 8.2%, 12/1/43 6,973,980
1,000,000 Philadelphia Authority for Industrial Development,
Performing Arts Charter School Project, 6.5%,
6/15/33 (144A) 1,062,610
2,000,000 Philadelphia Authority for Industrial Development,
Performing Arts Charter School Project, 6.75%,
6/15/43 (144A) 2,132,960
5,000,000 Philadelphia Hospitals & Higher Education Facilities
Authority, Temple University Health System, Series A,
5.0%, 7/1/34 5,067,500
---------------
$ 33,085,245
------------------------------------------------------------------------------------------------------
Puerto Rico -- 1.4%
6,500,000(c)(f) Commonwealth of Puerto Rico, Series A, 8.0%, 7/1/35 $ 4,257,500
------------------------------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
18 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
Rhode Island -- 0.7%
1,355,000(c) Central Falls Detention Facility Corp., 7.25%, 7/15/35 $ 336,352
1,500,000 Rhode Island Health & Educational Building Corp.,
Tockwatten Home Issue, 8.375%, 1/1/46 1,759,920
---------------
$ 2,096,272
------------------------------------------------------------------------------------------------------
South Carolina -- 2.1%
4,400,000(g) Tobacco Settlement Revenue Management Authority,
Series B, 6.375%, 5/15/30 $ 6,295,520
------------------------------------------------------------------------------------------------------
South Dakota -- 1.4%
4,000,000 South Dakota Health & Educational Facilities Authority,
Sanford Health, Series B, 4.0%, 11/1/44 $ 4,235,080
------------------------------------------------------------------------------------------------------
Tennessee -- 1.9%
5,000,000 Johnson City Health & Educational Facilities Board,
Mountain States Health Alliance, 6.5%, 7/1/38 $ 5,764,300
------------------------------------------------------------------------------------------------------
Texas -- 19.3%
1,000,000 Arlington Higher Education Finance Corp., Universal
Academy, Series A, 7.0%, 3/1/34 $ 1,058,930
1,500,000 Arlington Higher Education Finance Corp., Universal
Academy, Series A, 7.125%, 3/1/44 1,581,135
2,500,000(d) Central Texas Regional Mobility Authority, Sub Lien,
6.75%, 1/1/41 3,087,600
2,500,000(f) County of Harris TX, Series A, 5.0%, 10/1/26 3,193,175
5,000,000(f) Goose Creek Consolidated Independent School District,
Series C, 4.0%, 2/15/26 (PSF-GTD Insured) 5,853,900
2,663,453(c) Gulf Coast Industrial Development Authority, Microgy
Holdings Project, 7.0%, 12/1/36 27
1,260,000(e) Harris County Health Facilities Development Corp., The
Methodist Hospital System, Series A-2, 0.87%, 12/1/41 1,260,000
3,000,000 Houston Higher Education Finance Corp., St. John's School
Project, Series A, 5.0%, 9/1/38 3,387,330
3,355,000 North Texas Tollway Authority, Series A, 5.0%, 1/1/30 4,097,126
9,750,000(d) North Texas Tollway Authority, Series F, 5.75%, 1/1/33 10,335,097
1,500,000(d) Red River Health Facilities Development Corp., MRC
Crestview, Series A, 8.0%, 11/15/41 1,995,585
2,000,000(f) Richardson Independent School District, School Building,
5.0%, 2/15/38 (PSF-GTD Insured) 2,343,040
6,960,000 Sanger Industrial Development Corp., Texas Pellets Project,
Series B, 8.0%, 7/1/38 6,026,386
1,000,000 Tarrant County Cultural Education Facilities Finance Corp.,
Mirador Project, Series A, 8.125%, 11/15/39 849,030
750,000 Tarrant County Cultural Education Facilities Finance Corp.,
Mirador Project, Series A, 8.25%, 11/15/44 636,743
1,000,000(c) Texas Midwest Public Facility Corp., Secure Treatment
Facility Project, 9.0%, 10/1/30 116,230
3,365,000 Texas Private Activity Bond Surface Transportation Corp.,
NTE Mobility Partners LLC, 7.0%, 12/31/38 4,230,242
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 19
Schedule of Investments | 9/30/16 (unaudited)(continued)
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
Texas -- (continued)
2,500,000 Travis County Health Facilities Development Corp.,
Longhorn Village Project, 7.125%, 1/1/46 $ 2,832,325
5,000,000(f) Tyler Independent School District, School Building, 5.0%,
2/15/38 (PSF-GTD Insured) 5,857,600
---------------
$ 58,741,501
------------------------------------------------------------------------------------------------------
Virginia -- 3.6%
2,000,000 County of Washington, VA, Industrial Development Authority,
Mountain States Health Alliance, Series C, 7.75%, 7/1/38 $ 2,253,420
3,000,000 Tobacco Settlement Financing Corp., Series B-1,
5.0%, 6/1/47 2,923,560
5,000,000 Virginia Public School Authority Revenue, 4.0%, 8/1/25
(State Aid Withholding) 5,906,650
---------------
$ 11,083,630
------------------------------------------------------------------------------------------------------
Washington -- 6.0%
2,500,000(f) King County, Issaquah School District No. 411, 4.0%,
12/1/31 (SCH BD GTY Insured) $ 2,861,850
2,500,000 University of Washington, Series B, 5.0%, 6/1/29 3,105,800
1,500,000(d) Washington State Health Care Facilities Authority, Kadlec
Regional Medical Center, 5.5%, 12/1/39 1,772,595
2,000,000 Washington State Health Care Facilities Authority, VA Mason
Medical, Series A, 6.125%, 8/15/37 2,083,660
2,000,000 Washington State Health Care Facilities Authority, VA Mason
Medical, Series A, 6.25%, 8/15/42 2,085,820
1,100,000 Washington State Housing Finance Commission, Mirabella
Project, Series A, 6.75%, 10/1/47 1,209,076
5,000,000 Washington State Housing Finance Commission, Skyline at
First Hill Project, Series A, 5.625%, 1/1/27 5,059,800
---------------
$ 18,178,601
------------------------------------------------------------------------------------------------------
West Virginia -- 0.6%
2,000,000(c) City of Philippi, WV, Alderson-Broaddus College, Inc.,
Series A, 7.75%, 10/1/44 $ 1,199,900
725,000(c) West Virginia Hospital Finance Authority, Highland Hospital
Group, 9.125%, 10/1/41 673,873
---------------
$ 1,873,773
------------------------------------------------------------------------------------------------------
Wisconsin -- 3.5%
5,000,000 Public Finance Authority, Glenridge Palmer Ranch,
Series A, 8.25%, 6/1/46 $ 6,210,100
750,000 Public Finance Authority, Roseman University Health
Sciences Project, 5.875%, 4/1/45 803,048
1,500,000 Public Finance Authority, SearStone CCRC Project, Series A,
8.625%, 6/1/47 (144A) 1,788,240
The accompanying notes are an integral part of these financial statements.
20 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
------------------------------------------------------------------------------------------------------
Principal
Amount
USD ($) Value
------------------------------------------------------------------------------------------------------
Wisconsin -- (continued)
1,500,000(d) Wisconsin Health & Educational Facilities Authority,
Pro Healthcare, Inc. Group, 6.625%, 2/15/39 $ 1,701,420
---------------
$ 10,502,808
------------------------------------------------------------------------------------------------------
TOTAL TAX EXEMPT OBLIGATIONS
(Cost $405,257,088) $ 448,315,065
------------------------------------------------------------------------------------------------------
MUNICIPAL COLLATERALIZED
DEBT OBLIGATION -- 0.3% of Net Assets
13,000,000(e) Non-Profit Preferred Funding Trust I, Series E, 0.0%,
9/15/37 (144A) $ 1,022,710
------------------------------------------------------------------------------------------------------
TOTAL MUNICIPAL COLLATERALIZED DEBT OBLIGATION
(Cost $13,000,000) $ 1,022,710
------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN SECURITIES -- 147.8%
(Cost -- $418,257,088) (h) $ 449,337,775
------------------------------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES -- 1.5% $ 4,697,875
------------------------------------------------------------------------------------------------------
PREFERRED SHARES AT REDEMPTION VALUE,
INCLUDING DIVIDENDS PAYABLE -- (49.3)% $ (150,027,696)
------------------------------------------------------------------------------------------------------
NET ASSETS APPLICABLE TO
COMMON SHAREOWNERS -- 100.0% $ 304,007,954
======================================================================================================
(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 September 30, 2016, the value of these securities
amounted to $33,258,745, or 10.9% of total net assets applicable to
common shareowners.
RIB Residual Interest Bond is purchased in a secondary market. The
interest rate is subject to change periodically and inversely based
upon prevailing market rates. The interest rate shown is the rate at
September 30, 2016.
(a) Consists of Revenue Bonds unless otherwise indicated.
(b) Security issued with a zero coupon. Income is recognized through
accretion of discount.
(c) Security is in default.
(d) Prerefunded bonds have been collateralized by U.S. Treasury or
U.S. Government Agency securities which are held in escrow to pay
interest and principal on the tax exempt issue and to retire the
bonds in full at the earliest refunding date.
(e) The interest rate is subject to change periodically. The interest
rate shown is the rate at September 30, 2016.
(f) Represents a General Obligation Bond.
(g) Escrow to maturity.
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 21
Schedule of Investments | 9/30/16 (unaudited)(continued)
(h) At September 30, 2016, the net unrealized appreciation on investments
based on cost for federal tax purposes of $412,712,590 was as
follows:
Aggregate gross unrealized appreciation for all investments in which
there is an excess of value over tax cost $ 55,063,642
Aggregate gross unrealized depreciation for all investments in which
there is an excess of tax cost over value (18,438,457)
---------------
Net unrealized appreciation $ 36,625,185
===============
For financial reporting purposes net unrealized appreciation on investments was
$31,080,687 and cost of investments aggregated $418,257,088.
Purchases and sales of securities (excluding temporary cash investments) for the
six months ended September 30, 2016 aggregated $33,758,444 and $18,858,475
respectively.
Various inputs are used in determining the value of the Trust's investments.
These inputs are summarized in the three broad levels below.
Level 1 - quoted prices in active markets for identical securities.
Level 2 - other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risks, etc.). See notes to Financial Statements -- Note 1A.
Level 3 - significant unobservable inputs (including the Trust's own
assumptions in determining fair value of investments). See notes
to Financial Statements -- Note 1A.
The following is a summary of the inputs used as of September 30, 2016, in
valuing the Trust's investments.
------------------------------------------------------------------------------------------------------
Level 1 Level 2 Level 3 Total
------------------------------------------------------------------------------------------------------
Tax Exempt Obligations $ -- $ 448,315,065 $ -- $ 448,315,065
Municipal Collateralized Debt
Obligation -- 1,022,710 -- 1,022,710
------------------------------------------------------------------------------------------------------
Total $ -- $ 449,337,775 $ -- $ 449,337,775
======================================================================================================
During the six months ended September 30, 2016, there were no transfers between
Levels 1, 2 and 3.
The accompanying notes are an integral part of these financial statements.
22 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Statement of Assets and Liabilities | 9/30/16 (unaudited)
ASSETS:
Investments in securities (cost $418,257,088) $ 449,337,775
Cash 732,372
Receivables --
Interest 6,198,492
Investment securities sold 147,000
Reinvestment of distributions 99,587
------------------------------------------------------------------------------------------------
Total assets $ 456,515,226
------------------------------------------------------------------------------------------------
LIABILITIES:
Payables --
Investment securities purchased $ 2,000,300
Administration fee 124,582
Trustees' fees 24
Due to affiliates 215,186
Accrued expenses 139,484
------------------------------------------------------------------------------------------------
Total liabilities $ 2,479,576
------------------------------------------------------------------------------------------------
PREFERRED SHARES AT REDEMPTION VALUE:
$25,000 liquidation value per share applicable to 6,000
shares, including dividends payable of $27,696 $ 150,027,696
------------------------------------------------------------------------------------------------
NET ASSETS APPLICABLE TO COMMON SHAREOWNERS:
Paid-in capital $ 324,103,764
Undistributed net investment income 1,306,803
Accumulated net realized loss on investments (52,483,300)
Net unrealized appreciation on investments 31,080,687
------------------------------------------------------------------------------------------------
Net assets applicable to common shareowners $ 304,007,954
================================================================================================
NET ASSET VALUE PER COMMON SHARE:
No par value (unlimited number of shares authorized)
Based on $304,007,954 / 23,872,987 common shares $ 12.73
================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 23
Statement of Operations (unaudited)
For the Six Months Ended 9/30/16
INVESTMENT INCOME:
Interest $ 11,086,249
-------------------------------------------------------------------------------------------------
EXPENSES:
Management fees $ 1,366,922
Administrative expense 128,902
Transfer agent fees 4,855
Shareholder communications expense 11,541
Auction agent fees 72,099
Custodian fees 3,400
Professional fees 32,936
Printing expense 2,790
Trustees' fees 8,740
Pricing fees 10,316
Miscellaneous 59,342
-------------------------------------------------------------------------------------------------
Total expenses $ 1,701,843
-------------------------------------------------------------------------------------------------
Net investment income $ 9,384,406
-------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments: $ 274,634
Change in net unrealized appreciation (depreciation)
on investments: 4,911,025
-------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) on investments $ 5,185,659
-------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREOWNERS FROM
NET INVESTMENT INCOME: $ (581,657)
-------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $ 13,988,408
=================================================================================================
The accompanying notes are an integral part of these financial statements.
24 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Statements of Changes in Net Assets
----------------------------------------------------------------------------------------------------
Six Months
Ended
9/30/16 Year Ended
(unaudited) 3/31/16
----------------------------------------------------------------------------------------------------
FROM OPERATIONS:
Net investment income (loss) $ 9,384,406 $ 19,744,618
Net realized gain (loss) on investments 274,634 463,301
Change in net unrealized appreciation (depreciation)
on investments 4,911,025 (191,741)
Distributions to preferred shareowners from net
investment income (581,657) (392,002)
----------------------------------------------------------------------------------------------------
Net increase in net assets resulting
from operations $ 13,988,408 $ 19,624,176
----------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREOWNERS:
Net investment income and previously undistributed
net investment income ($0.41 and $0.96 per
share, respectively) $ (9,656,686) $ (22,682,243)
----------------------------------------------------------------------------------------------------
Total distributions to common shareowners $ (9,656,686) $ (22,682,243)
----------------------------------------------------------------------------------------------------
FROM TRUST SHARE TRANSACTIONS:
Reinvestment of distributions $ 658,572 $ 1,744,907
----------------------------------------------------------------------------------------------------
Net increase in net assets applicable to
common shareowners from Trust share
transactions $ 658,572 $ 1,744,907
----------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to common shareowners $ 4,990,294 $ (1,313,160)
NET ASSETS APPLICABLE TO COMMON SHAREOWNERS:
Beginning of period 299,017,660 300,330,820
----------------------------------------------------------------------------------------------------
End of period $ 304,007,954 $ 299,017,660
----------------------------------------------------------------------------------------------------
Undistributed net investment income $ 1,306,803 $ 2,160,740
====================================================================================================
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 25
Financial Highlights
----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
9/30/16 Ended Ended Ended Ended Ended
(unaudited) 3/31/16 3/31/15 3/31/14 3/31/13 3/31/12
----------------------------------------------------------------------------------------------------------------------------------
Per Share Operating Performance
Net asset value, beginning of period $ 12.55 $ 12.68 $ 12.07 $ 13.54 $ 12.87 $ 11.54
----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) from investment operations: (a)
Net investment income $ 0.39 $ 0.83 $ 0.95 $ 1.08 $ 1.07 $ 1.08
Net realized and unrealized gain (loss) on investments 0.22 0.02 0.81 (1.40) 0.76 1.58
----------------------------------------------------------------------------------------------------------------------------------
Distributions to preferred shareowners from:
Net investment income $ (0.02) $ (0.02) $ (0.01) $ (0.01) $ (0.02) $ (0.02)
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) from investment operations $ 0.59 $ 0.83 $ 1.75 $ (0.33) $ 1.81 $ 2.64
----------------------------------------------------------------------------------------------------------------------------------
Distributions to common shareowners from:
Net investment income and previously undistributed
net investment income $ (0.41)* $ (0.96)* $ (1.14)* $ (1.14)* $ (1.14)* $ (1.31)*
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value $ 0.18 $ (0.13) $ 0.61 $ (1.47) $ 0.67 $ 1.33
----------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period (b) $ 12.73 $ 12.55 $ 12.68 $ 12.07 $ 13.54 $ 12.87
----------------------------------------------------------------------------------------------------------------------------------
Market value, end of period (b) $ 13.09 $ 13.87 $ 15.48 $ 14.60 $ 15.51 $ 14.72
==================================================================================================================================
Total return at market value (c) (2.68)%(d) (3.48)% 14.70% 2.59% 13.53% 28.48%
Ratios to average net assets of common shareowners:
Total expenses (e) 1.12%(f) 1.21% 1.22% 1.19% 1.23% 1.36%
Net investment income before preferred share distributions 6.15%(f) 6.72% 7.61% 8.81% 8.08% 8.73%
Preferred share distributions 0.38%(f) 0.13% 0.07% 0.08% 0.14% 0.15%
Net investment income available to common shareowners 5.77%(f) 6.59% 7.54% 8.73% 7.94% 8.58%
Portfolio turnover 4% 11% 20% 24% 14% 15%
Net assets of common shareowners, end of period (in thousands) $304,008 $299,018 $300,331 $284,208 $316,874 $299,637
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 26
----------------------------------------------------------------------------------------------------------------------------------
Six Months
Ended Year Year Year Year Year
9/30/16 Ended Ended Ended Ended Ended
(unaudited) 3/31/16 3/31/15 3/31/14 3/31/13 3/31/12
----------------------------------------------------------------------------------------------------------------------------------
Preferred shares outstanding (in thousands) $150,000 $150,000 $150,000 $150,000 $150,000 $150,000
Asset coverage per preferred share, end of period $ 75,673 $ 74,837 $ 75,055 $ 72,367 $ 77,813 $ 74,941
Average market value per preferred share (g) $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000
Liquidation value, including dividends payable, per preferred share $ 25,005 $ 25,001 $ 25,000 $ 25,001 $ 25,001 $ 25,001
==================================================================================================================================
* The amount of distributions made to shareowners during the period were in
excess of the net investment income earned by the Trust during the period.
The Trust has accumulated undistributed net investment income which is part
of the Trust's NAV. A portion of the accumulated net investment income was
distributed to shareowners during the period. A decrease in distributions
may have a negative effect on the market value of the Trust's shares.
(a) The per common share data presented above is based upon the average common
shares outstanding for the periods presented.
(b) Net asset value and market value are published in Barron's on Saturday, The
Wall Street Journal on Monday and The New York Times on Monday and
Saturday.
(c) Total investment return is calculated assuming a purchase of common shares
at the current market value on the first day and a sale at the current
market value on the last day of the periods reported. Dividends and
distributions, if any, are assumed for purposes of this calculation to be
reinvested at prices obtained under the Trust's dividend reinvestment plan.
Total investment return does not reflect brokerage commissions. Past
performance is not a guarantee of future results.
(d) Not annualized.
(e) Expense ratios do not reflect the effect of distribution payments to
preferred shareowners.
(f) Annualized.
(g) Market value is redemption value without an active market.
The accompanying notes are an integral part of these financial statements.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 27
Notes to Financial Statements | 9/30/16 (unaudited)
1. Organization and Significant Accounting Policies
Pioneer Municipal High Income Advantage Trust (the Trust) was organized as a
Delaware statutory trust on August 6, 2003. Prior to commencing operations on
October 20, 2003, the Trust had no operations other than matters relating to its
organization and registration as a diversified, closed-end management investment
company under the Investment Company Act of 1940, as amended. The investment
objective of the Trust is to seek a high level of current income exempt from
regular federal income tax, and the Trust may, as a secondary objective, also
seek capital appreciation to the extent that it is consistent with its primary
investment objective.
The Trust's financial statements have been prepared in conformity with U.S.
generally accepted accounting principles (U.S. GAAP) that require the management
of the Trust to, among other things, make estimates and assumptions that affect
the reported amounts of assets and liabilities, the disclosure of contingent
assets and liabilities at the date of the financial statements, and the reported
amounts of income, expenses and gain or loss on investments during the reporting
period. Actual results could differ from those estimates.
The Trust is an investment company and follows investment company accounting and
reporting guidance under U.S. GAAP. The following is a summary of significant
accounting policies followed by the Trust in the preparation of its financial
statements:
A. Security Valuation
The net asset value of the Trust is computed once daily, on each day the
New York Stock Exchange (NYSE) is open, as of the close of regular trading
on the NYSE.
Fixed income securities are valued by using prices supplied by independent
pricing services, which consider such factors as market prices, market
events, quotations from one or more brokers, Treasury spreads, yields,
maturities and ratings, or may use a pricing matrix or other fair value
methods or techniques to provide an estimated value of the security or
instrument. A pricing matrix is a means of valuing a debt security on the
basis of current market prices for other debt securities, historical
trading patterns in the market for fixed income securities and/or other
factors. Valuations may be supplemented by dealers and other sources, as
required. Non-U.S. debt securities that are listed on an exchange will be
valued at the bid price obtained from an independent third party pricing
service.
28 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Shares of open-end registered investment companies (including money market
mutual funds) are valued at such funds' net asset value. Repurchase
agreements are valued at par. Cash may include overnight time deposits at
approved financial institutions.
Securities for which independent pricing services are unable to supply
prices or for which market prices and/or quotations are not readily
available or are considered to be unreliable are valued by a fair valuation
team comprised of certain personnel of Pioneer Investment Management, Inc.
(PIM), the Trust's investment adviser, pursuant to procedures adopted by
the Trust's Board of Trustees. PIM's fair valuation team uses fair value
methods approved by the Valuation Committee of the Board of Trustees. PIM's
fair valuation team is responsible for monitoring developments that may
impact fair valued securities and for discussing and assessing fair values
on an ongoing basis, and at least quarterly, with the Valuation Committee
of the Board of Trustees.
Inputs used when applying fair value methods to value a security may
include credit ratings, the financial condition of the company, current
market conditions and comparable securities. The Trust may use fair value
methods if it is determined that a significant event has occurred after the
close of the exchange or market on which the security trades and prior to
the determination of the Trust's net asset value. Examples of a significant
event might include political or economic news, corporate restructurings,
natural disasters, terrorist activity or trading halts. Thus, the valuation
of the Trust's securities may differ significantly from exchange prices and
such differences could be material.
At September 30, 2016, no securities were valued using fair value methods
(other than securities valued using prices supplied by independent pricing
services).
B. Investment Income and Transactions
Dividend income is recorded on the ex-dividend date, except that certain
dividends from foreign securities where the ex-dividend date may have
passed are recorded as soon as the Trust becomes aware of the ex-dividend
data in the exercise of reasonable diligence. Interest income, including
interest on income bearing cash accounts, is recorded on an accrual basis,
net of unrecoverable foreign taxes withheld at the applicable country
rates.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 29
Discounts and premiums on purchase prices of debt securities are accreted
or amortized, respectively, daily, into interest income on an effective
yield to maturity basis with a corresponding increase or decrease in the
cost basis of the security. Premiums and discounts related to certain
mortgage-backed securities are amortized or accreted in proportion to the
monthly paydowns.
Security transactions are recorded as of trade date. Gains and losses on
sales of investments are calculated on the identified cost method for both
financial reporting and federal income tax purposes.
C. Federal Income Taxes
It is the Trust's policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to distribute
all of its net taxable income and net realized capital gains, if any, to
its shareowners. Therefore, no federal income tax provision is required. As
of March 31, 2016, the Trust did not accrue any interest or penalties with
respect to uncertain tax positions, which if applicable, would be recorded
as an income tax expense in the Statement of Operations. Tax returns filed
within the prior three years remain subject to examination by federal and
state tax authorities.
The amount and character of income and capital gain distributions to
shareowners are determined in accordance with federal income tax rules,
which may differ from U.S. generally accepted accounting principles.
Distributions in excess of net investment income or net realized gains are
temporary overdistributions for financial statement and tax purposes.
Capital accounts within the financial statements are adjusted for permanent
book/tax differences to reflect tax character, but are not adjusted for
temporary differences.
The tax character of current year distributions payable to shareholders
will be determined at the end of the current taxable year. The tax
character of distributions paid to shareowners during the year ended March
31, 2016 was as follows:
-----------------------------------------------------------------------------------
2016
-----------------------------------------------------------------------------------
Distributions paid from:
Tax exempt income $ 22,572,825
Ordinary income 501,420
-----------------------------------------------------------------------------------
Total $ 23,074,245
===================================================================================
30 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
The following shows the components of distributable earnings (losses) on a
federal income tax basis at March 31, 2016:
------------------------------------------------------------------------------------
2016
------------------------------------------------------------------------------------
Distributable earnings:
Undistributed ordinary income $ 621,291
Capital loss carryforward (58,056,651)
Other book/tax temporary differences 5,544,498
Tax-exempt spillback 1,293,668
Unrealized appreciation 26,169,662
------------------------------------------------------------------------------------
Total $(24,427,532)
====================================================================================
The difference between book-basis and tax-basis unrealized appreciation is
primarily attributable to the realization for tax purposes of unrealized
gains on investments in passive foreign investment companies, the book/tax
differences in the accrual of income on securities in default, the
difference between book and tax amortization methods and discounts on fixed
income securities and book/tax temporary differences.
D. Automatic Dividend Reinvestment Plan
All shareowners whose shares are registered in their own names
automatically participate in the Automatic Dividend Reinvestment Plan (the
Plan), under which participants receive all dividends and capital gain
distributions (collectively, dividends) in full and fractional shares of
the Trust in lieu of cash. Shareowners may elect not to participate in the
Plan. Shareowners not participating in the Plan receive all dividends and
capital gain distributions in cash. Participation in the Plan is completely
voluntary and may be terminated or resumed at any time without penalty by
notifying American Stock Transfer & Trust Company, the agent for
shareowners in administering the Plan (the Plan Agent), in writing prior to
any dividend record date; otherwise such termination or resumption will be
effective with respect to any subsequently declared dividend or other
distribution.
If a shareowner's shares are held in the name of a brokerage firm, bank or
other nominee, the shareowner can ask the firm or nominee to participate in
the Plan on the shareowner's behalf. If the firm or nominee does not offer
the Plan, dividends will be paid in cash to the shareowner of record. A
firm or nominee may reinvest a shareowner's cash dividends in shares of the
Trust on terms that differ from the terms of the Plan.
Whenever the Trust declares a dividend on shares payable in cash,
participants in the Plan will receive the equivalent in shares acquired by
the Plan Agent either (i) through receipt of additional unissued but
authorized shares from the Trust or (ii) by purchase of outstanding shares
on the New
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 31
York Stock Exchange or elsewhere. If, on the payment date for any dividend,
the net asset value per share is equal to or less than the market price per
share plus estimated brokerage trading fees (market premium), the Plan
Agent will invest the dividend amount in newly issued shares. The number of
newly issued shares to be credited to each account will be determined by
dividing the dollar amount of the dividend by the net asset value per share
on the date the shares are issued, provided that the maximum discount from
the then current market price per share on the date of issuance does not
exceed 5%. If, on the payment date for any dividend, the net asset value
per share is greater than the market value (market discount), the Plan
Agent will invest the dividend amount in shares acquired in open-market
purchases. There are no brokerage charges with respect to newly issued
shares. However, each participant will pay a pro rata share of brokerage
trading fees incurred with respect to the Plan Agent's open-market
purchases. Participating in the Plan does not relieve shareowners from any
federal, state or local taxes which may be due on dividends paid in any
taxable year. Shareowners holding Plan shares in a brokerage account may be
able to transfer the shares to another broker and continue to participate
in the Plan.
E. Risks
The value of securities held by the Trust may go up or down, sometimes
rapidly or unpredictably, due to general market conditions, such as real or
perceived adverse economic, political or regulatory conditions, inflation,
changes in interest rates, lack of liquidity in the bond markets or adverse
investor sentiment. In the past several years, financial markets have
experienced increased volatility, depressed valuations, decreased liquidity
and heightened uncertainty. These conditions may continue, recur, worsen or
spread.
Interest rates in the U.S. recently have been historically low, so the
Trust faces a heightened risk that interest rates may rise. A general rise
in interest rates may cause investors to move out of fixed income
securities on a large scale, which could adversely affect the price and
liquidity of fixed income securities.
The municipal bond market can be susceptible to unusual volatility,
particularly for lower-rated and unrated securities. Liquidity can be
reduced unpredictably in response to overall economic conditions or credit
tightening. Municipal issuers may be adversely affected by rising health
care costs, increasing unfunded pension liabilities, and by the phasing out
of federal programs providing financial support. Unfavorable conditions and
developments relating to projects financed with municipal securities can
result in lower revenues to issuers of municipal securities, potentially
resulting in defaults. Issuers often depend on revenues from these projects
to make principal and interest payments. The value of municipal securities
can also be adversely affected by changes in the financial condition of one
or
32 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
more individual municipal issuers or insurers of municipal issuers,
regulatory and political developments, tax law changes or other legislative
actions, and by uncertainties and public perceptions concerning these and
other factors. Municipal securities may be more susceptible to down-grades
or defaults during recessions or similar periods of economic stress. In
recent periods, an increasing number of municipal issuers in the United
States have defaulted on obligations and commenced insolvency proceedings.
Financial difficulties of municipal issuers may continue or get worse. To
the extent the Trust invests significantly in a single state, including
California, Massachusetts and Texas, or in securities the payments on which
are dependent upon a single project or source of revenues, or that relate
to a sector or industry, including health care facilities, education,
transportation, special revenues and pollution control, the Trust will be
more susceptible to associated risks and developments.
2. Management Agreement
PIM, a wholly owned indirect subsidiary of UniCredit S.p.A. (UniCredit), manages
the Trust's portfolio. Management fees payable under the Trust's Advisory
Agreement with PIM are calculated daily at the annual rate of 0.60% of the
Trust's average daily managed assets. "Managed assets" means (a) the total
assets of the Trust, including any form of investment leverage, minus (b) all
accrued liabilities incurred in the normal course of operations, which shall not
include any liabilities or obligations attributable to investment leverage
obtained through (i) indebtedness of any type (including, without limitation,
borrowing through a credit facility or the issuance of debt securities), (ii)
the issuance of preferred stock or other similar preference securities, and/or
(iii) any other means. For the six months ended September 30, 2016, the net
management fee was 0.60% (annualized) of the Trust's average daily managed
assets, which was equivalent to 0.90% (annualized) of the Trust's average daily
net assets attributable to common shareowners.
In addition, under PIM's management and administration agreements, certain other
services and costs are paid by PIM and reimbursed by the Trust. At September 30,
2016, $339,768 was payable to PIM related to management costs, administrative
costs and certain other services is included in "Due to affiliates" and
"Administration fee" on the Statement of Assets and Liabilities.
3. Transfer Agent
American Stock Transfer & Trust Company (AST) serves as the transfer agent with
respect to the Trust's common shares. The Trust pays AST an annual fee, as is
agreed to from time to time by the Trust and AST, for providing such services.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 33
In addition, the Trust reimbursed the transfer agent for out-of-pocket expenses
incurred by the transfer agent related to shareowner communications activities
such as proxy and statement mailings and outgoing calls.
Deutsche Bank Trust Company Americas (Deutsche Bank) is the transfer agent,
registrar, dividend-paying agent and auction agent with respect to the Trust's
auction preferred shares (APS). The Trust pays Deutsche Bank an annual fee, as
is agreed to from time to time by the Trust and Deutsche Bank, for providing
such services.
4. Trust Shares
There are an unlimited number of common shares of beneficial interest
authorized.
Transactions in common shares of beneficial interest for the six months ended
September 30, 2016 and the year ended March 31, 2016 were as follows:
--------------------------------------------------------------------------------------
9/30/16 3/31/16
--------------------------------------------------------------------------------------
Shares outstanding at beginning of period 23,822,909 23,686,670
Reinvestment of distributions 50,078 136,239
--------------------------------------------------------------------------------------
Shares outstanding at end of period 23,872,987 23,822,909
======================================================================================
The Trust may classify or reclassify any unissued shares of beneficial interest
into one or more series of preferred shares of beneficial interest. As of
September 30, 2016, there were 6,000 APS as follows: Series A -- 3,000 and
Series B -- 3,000.
Dividends on Series A and Series B are cumulative at a rate which is to be reset
every seven days based on the results of an auction. An auction fails if there
are more APS offered for sale than there are buyers. When an auction fails, the
dividend rate for the period will be the maximum rate on the auction dates
described in the prospectus for the APS. Preferred shareowners are not able to
sell their APS at an auction if the auction fails. Since February 2008, the
Trust's auctions related to the APS have failed. The maximum rate for each
series is 125% of the 7 day commercial paper rate or adjusted Kenny rate.
Dividend rates on APS ranged from 0.402% to 1.345% during the six months ended
September 30, 2016.
The Trust may not declare dividends or make other distributions on its common
shares or purchase any such shares if, at the time of the declaration,
distribution or purchase, the Trust does not comply with the asset coverage
ratios described in the prospectus for the APS.
The APS are redeemable at the option of the Trust, in whole or in part, on any
dividend payment date at $25,000 per share plus any accumulated or unpaid
dividends, whether or not declared. The APS are also subject to mandatory
34 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
redemption at $25,000 per share plus any accumulated or unpaid dividends,
whether or not declared, if certain requirements relating to the composition of
the assets and liabilities of the Trust as set forth in the Statement of
Preferences are not satisfied.
The holders of APS have voting rights equal to the holders of the Trust's common
shares (one vote per share) and will vote together with holders of the common
shares as a single class. Holders of APS are also entitled to elect two of the
Trust's Trustees. In addition, the Investment Company Act of 1940, as amended,
requires that along with approval by shareowners that might otherwise be
required, the approval of the holders of a majority of any outstanding preferred
shares, voting separately as a class, would be required to (a) adopt any plan of
reorganization that would adversely affect the preferred shares and (b) take any
action requiring a vote of security holders, including, among other things,
changes in the Trust's subclassification as a closed-end management investment
company or changes in its fundamental investment restrictions.
5. Subsequent Events
A monthly dividend was declared on October 4, 2016 from undistributed and
accumulated net investment income of $0.0625 per common share payable October
31, 2016, to common shareowners of record on October 18, 2016.
Subsequent to September 30, 2016, dividends declared and paid on preferred
shares totaled $251,799 in aggregate for the two outstanding preferred share
series through November 10, 2016.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 35
ADDITIONAL INFORMATION
During the period, there have been no material changes in the Trust's investment
objective or fundamental policies that have not been approved by the
shareowners. There have been no changes in the Trust's charter or By-Laws that
would delay or prevent a change in control of the Trust which has not been
approved by the shareowners. During the period, there have been no changes in
the principal risk factors associated with investment in the Trust. There were
no changes in the persons who are primarily responsible for the day-to-day
management of the Trust's portfolio.
Notice is hereby given in accordance with Section 23(c) of the Investment
Company Act of 1940 that the Trust may purchase, from time to time, its common
shares in the open market.
Results of Shareholder Meeting
At the annual meeting of shareowners held on September 20, 2016, shareowners of
Pioneer Municipal High Income Advantage Trust were asked to consider the
proposal described below. A report of the total votes cast by the Trust's
shareholders follows:
Proposal 1 -- To elect three Class I Trustees.
--------------------------------------------------------------------------------
Nominee For Withheld
--------------------------------------------------------------------------------
Class I
David R. Bock* 3,631.200 117.800
Lisa M. Jones 19,760,205,977 1,534,828,383
Lorraine H. Monchak 19,649,043,329 1,645,991,031
*Elected by preferred shares only.
36 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Approval of Investment Advisory Agreement
Pioneer Investment Management, Inc. (PIM) serves as the investment adviser to
Pioneer Municipal High Income Advantage Trust (the Trust) pursuant to an
investment advisory agreement between PIM and the Trust. In order for PIM to
remain the investment adviser of the Trust, the Trustees of the Trust must
determine annually whether to renew the investment advisory agreement for the
Trust.
The contract review process began in January 2016 as the Trustees of the Trust
agreed on, among other things, an overall approach and timeline for the process.
Contract review materials were provided to the Trustees in March 2016 and May
2016. In addition, the Trustees reviewed and discussed the Trust's performance
at regularly scheduled meetings throughout the year, and took into account other
information related to the Trust provided to the Trustees at regularly scheduled
meetings, in connection with the review of the Trust's investment advisory
agreement.
In March 2016, the Trustees, among other things, discussed the memorandum
provided by Trust counsel that summarized the legal standards and other
considerations that are relevant to the Trustees in their deliberations
regarding the renewal of the investment advisory agreement, and reviewed and
discussed the qualifications of the investment management teams, as well as the
level of investment by the Trust's portfolio managers in the Trust. In May 2016,
the Trustees, among other things, reviewed the Trust's management fee and total
expense ratios, the financial statements of PIM and its parent companies, the
profitability analyses provided by PIM, and possible economies of scale. The
Trustees also reviewed the profitability of the institutional business of PIM
and PIM's affiliate, Pioneer Institutional Asset Management, Inc. (together with
PIM, "Pioneer"), as compared to that of PIM's fund management business, and
considered the differences between the fees and expenses of the Trust and the
fees and expenses of Pioneer's institutional accounts, as well as the different
services provided by PIM to the Trust and by Pioneer to the institutional
accounts. The Trustees further considered contract review materials in July and
September 2016.
At a meeting held on September 13, 2016, based on their evaluation of the
information provided by PIM and third parties, the Trustees of the Trust,
including the Independent Trustees voting separately, unanimously approved the
renewal of the investment advisory agreement for another year. In approving the
renewal of the investment advisory agreement, the Trustees considered various
factors that they determined were relevant, including the factors described
below. The Trustees did not identify any single factor as the controlling factor
in determining to approve the renewal of the agreement.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 37
Nature, Extent and Quality of Services
The Trustees considered the nature, extent and quality of the services that had
been provided by PIM to the Trust, taking into account the investment objective
and strategy of the Trust. The Trustees also reviewed PIM's investment approach
for the Trust and its research process. The Trustees considered the resources of
PIM and the personnel of PIM who provide investment management services to the
Trust. They also reviewed the amount of non-Trust assets managed by the
portfolio manager of the Trust. The Trustees considered the non-investment
resources and personnel of PIM involved in PIM's services to the Trust,
including PIM's compliance and legal resources and personnel. The Trustees noted
the substantial attention and high priority given by PIM's senior management to
the Pioneer fund complex.
The Trustees considered that PIM supervises and monitors the performance of the
Trust's service providers and provides the Trust with personnel (including Trust
officers) and other resources that are necessary for the Trust's business
management and operations. The Trustees also considered that, as administrator,
PIM is responsible for the administration of the Trust's business and other
affairs. The Trustees considered the fees paid to PIM for the provision of
administration services.
Based on these considerations, the Trustees concluded that the nature, extent
and quality of services that had been provided by PIM to the Trust were
satisfactory and consistent with the terms of the investment advisory agreement.
Performance of the Trust
In considering the Trust's performance, the Trustees regularly review and
discuss throughout the year data prepared by PIM and information comparing the
Trust's performance with the performance of its peer group of funds as
classified by each of Morningstar, Inc. (Morningstar) and Lipper, and with the
performance of the Trust's benchmark index. They also discuss the Trust's
performance with PIM on a regular basis. The Trustees' regular reviews and
discussions were factored into the Trustees' deliberations concerning the
renewal of the advisory agreement.
Management Fee and Expenses
The Trustees considered information showing the fees and expenses of the Trust
in comparison to the management fees and the expense ratios of a peer group of
funds selected on the basis of criteria determined by the Independent Trustees
for this purpose using data provided by Strategic Insight Mutual Fund Research
and Consulting, LLC (Strategic Insight), an independent third party. In all
quintile rankings referred to below, first quintile is most favorable to the
Trust's shareowners.
38 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
The Trustees considered that the Trust's management fee (based on managed
assets) for the most recent fiscal year was in the third quintile relative to
the management fees paid by other funds in its Strategic Insight peer group for
the comparable period. The Trustees considered that the expense ratio (based on
managed assets) of the Trust's common shares for the most recent fiscal year was
in the second quintile relative its Strategic Insight peer group for the
comparable period.
The Trustees reviewed management fees charged by Pioneer to institutional and
other clients, including publicly offered European funds sponsored by affiliates
of Pioneer, unaffiliated U.S. registered investment companies (in a sub-advisory
capacity), and unaffiliated foreign and domestic separate accounts. The Trustees
also considered PIM's costs in providing services to the Trust and Pioneer's
costs in providing services to the other clients and considered the differences
in management fees and profit margins for Trust and non-Trust services. In
evaluating the fees associated with Pioneer's client accounts, the Trustees took
into account the respective demands, resources and complexity associated with
the Trust and client accounts. The Trustees noted that, in some instances, the
fee rates for those clients were lower than the management fee for the Trust and
considered that, under the investment advisory agreement with the Trust, PIM
performs additional services for the Trust that it does not provide to those
other clients or services that are broader in scope, including oversight of the
Trust's other service providers and activities related to compliance and the
extensive regulatory and tax regimes to which the Trust is subject. The Trustees
also considered the different entrepreneurial risks associated with PIM's
management of the Trust and Pioneer's management of the other client accounts.
The Trustees concluded that the management fee payable by the Trust to PIM was
reasonable in relation to the nature and quality of the services provided by PIM
to the Trust.
Profitability
The Trustees considered information provided by PIM regarding the profitability
of PIM with respect to the advisory services provided by PIM to the Trust,
including the methodology used by PIM in allocating certain of its costs to the
management of the Trust. The Trustees also considered PIM's profit margin in
connection with the overall operation of the Trust. They further reviewed the
financial results realized by PIM and its affiliates from non-fund businesses.
The Trustees considered PIM's profit margins with respect to the Trust in
comparison to the limited industry data available and noted that the
profitability of any adviser was affected by numerous factors,
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 39
including its organizational structure and method for allocating expenses. The
Trustees concluded that PIM's profitability with respect to the management of
the Trust was not unreasonable.
Economies of Scale
The Trustees considered the extent to which PIM may realize economies of scale
or other efficiencies in managing and supporting the Trust. Since the Trust is a
closed-end fund that has not raised additional capital, the Trustees concluded
that economies of scale were not a relevant consideration in the renewal of the
investment advisory agreement.
Other Benefits
The Trustees considered the other benefits to PIM from its relationship with the
Trust. The Trustees considered the character and amount of fees paid by the
Trust, other than under the investment advisory agreement, for services provided
by PIM and its affiliates. The Trustees further considered the revenues and
profitability of PIM's businesses other than the fund business. Pioneer is the
principal U.S. asset management business of Pioneer Global Asset Management, the
worldwide asset management business of UniCredit Group, which manages over $150
billion in assets (including the Funds). Pioneer and the Funds receive
reciprocal intangible benefits from the relationship, including mutual brand
recognition and, for the Funds, direct and indirect access to the resources of a
large global asset manager. The Trustees concluded that any such benefits
received by Pioneer as a result of its relationship with the Funds were
reasonable and their consideration of the advisory agreement between the Trust
and PIM and the fees thereunder were unaffected by Pioneer's possible receipt of
any such intangible benefits.
Conclusion
After consideration of the factors described above as well as other factors, the
Trustees, including all of the Independent Trustees, concluded that the
investment advisory agreement between PIM and the Trust, including the fees
payable thereunder, was fair and reasonable and voted to approve the proposed
renewal of the investment advisory agreement for the Trust.
40 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
Trustees, Officers and Service Providers
Trustees Officers
Thomas J. Perna, Chairman Lisa M. Jones, President and Chief
David R. Bock Executive Officer
Benjamin M. Friedman Mark E. Bradley, Treasurer and
Margaret B.W. Graham Chief Financial Officer
Lisa M. Jones Christopher J. Kelley, Secretary and
Lorraine H. Monchak Chief Legal Officer
Marguerite A. Piret
Fred J. Ricciardi
Kenneth J. Taubes
Investment Adviser and Administrator Pioneer
Investment Management, Inc.
Custodian and Sub-Administrator
Brown Brothers Harriman & Co.
Principal Underwriter
Pioneer Funds Distributor, Inc.
Legal Counsel
Morgan, Lewis & Bockius LLP
Transfer Agent
American Stock Transfer & Trust Company
Proxy Voting Policies and Procedures of the Fund are available without charge,
upon request, by calling our toll free number (1-800-225-6292). Information
regarding how the Fund voted proxies relating to portfolio securities during the
most recent 12-month period ended June 30 is publicly available to shareowners
at us.pioneerinvestments.com. This information is also available on the
Securities and Exchange Commission's web site at www.sec.gov.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 41
This page for your notes.
42 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
This page for your notes.
Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16 43
This page for your notes.
44 Pioneer Municipal High Income Advantage Trust | Semiannual Report | 9/30/16
How to Contact Pioneer
We are pleased to offer a variety of convenient ways for you to contact us for
assistance or information.
You can call American Stock Transfer & Trust Company (AST) for:
--------------------------------------------------------------------------------
Account Information 1-800-225-6292
Or write to AST:
--------------------------------------------------------------------------------
For Write to
General inquiries, lost dividend checks, American Stock
change of address, lost stock certificates, Transfer & Trust
stock transfer Operations Center
6201 15th Ave.
Brooklyn, NY 11219
Dividend reinvestment plan (DRIP) American Stock
Transfer & Trust
Wall Street Station
P.O. Box 922
New York, NY 10269-0560
Website www.amstock.com
For additional information, please contact your investment advisor or visit our
web site us.pioneerinvestments.com.
The Trust files a complete schedule of investments with the Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareowners may view the filed Form N-Q by visiting the Commission's
web site at www.sec.gov. The filed form may also be viewed and copied at the
Commission's Public Reference Room in Washington, DC. Information regarding the
operations of the Public Reference Room may be obtained by calling
1-800-SEC-0330.
[LOGO] PIONEER
Investments(R)
Pioneer Investment Management, Inc.
60 State Street
Boston, MA 02109
us.pioneerinvestments.com
Securities offered through Pioneer Funds Distributor, Inc.
60 State Street, Boston, MA 02109
Underwriter of Pioneer Mutual Funds, Member SIPC
(C) 2016 Pioneer Investments 19435-10-1116
ITEM 2. CODE OF ETHICS.
(a) Disclose whether, as of the end of the period covered by the report, the
registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions, regardless of
whether these individuals are employed by the registrant or a third party. If
the registrant has not adopted such a code of ethics, explain why it has not
done so.
The registrant has adopted, as of the end of the period covered by this report,
a code of ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer and controller.
(b) For purposes of this Item, the term "code of ethics" means written standards
that are reasonably designed to deter wrongdoing and to promote:
(1) Honest and ethical conduct, including the ethical handling of actual
or apparent conflicts of interest between personal and professional
relationships;
(2) Full, fair, accurate, timely, and understandable disclosure in
reports and documents that a registrant files with, or submits to, the
Commission and in other public communications made by the registrant;
(3) Compliance with applicable governmental laws, rules, and
regulations;
(4) The prompt internal reporting of violations of the code to an
appropriate person or persons identified in the code; and
(5) Accountability for adherence to the code.
(c) The registrant must briefly describe the nature of any amendment, during the
period covered by the report, to a provision of its code of ethics that applies
to the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, and that relates to any element of the code of
ethics definition enumerated in paragraph (b) of this Item. The registrant must
file a copy of any such amendment as an exhibit pursuant to Item 10(a), unless
the registrant has elected to satisfy paragraph (f) of this Item by posting its
code of ethics on its website pursuant to paragraph (f)(2) of this Item, or by
undertaking to provide its code of ethics to any person without charge, upon
request, pursuant to paragraph (f)(3) of this Item.
The registrant has made no amendments to the code of ethics during the period
covered by this report.
(d) If the registrant has, during the period covered by the report, granted a
waiver, including an implicit waiver, from a provision of the code of ethics to
the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, that relates to one or more of the items set forth
in paragraph (b) of this Item, the registrant must briefly describe the nature
of the waiver, the name of the person to whom the waiver was granted, and the
date of the waiver.
Not applicable.
(e) If the registrant intends to satisfy the disclosure requirement under
paragraph (c) or (d) of this Item regarding an amendment to, or a waiver from,
a provision of its code of ethics that applies to the registrant's principal
executive officer, principal financial officer, principal accounting officer or
controller, or persons performing similar functions and that relates to any
element of the code of ethics definition enumerated in paragraph (b) of this
Item by posting such information on its Internet website, disclose the
registrant's Internet address and such intention.
Not applicable.
(f) The registrant must:
(1) File with the Commission, pursuant to Item 12(a)(1), a copy of
its code of ethics that applies to the registrant's principal
executive officer,principal financial officer, principal accounting
officer or controller, or persons performing similar functions,
as an exhibit to its annual
report on this Form N-CSR (see attachment);
(2) Post the text of such code of ethics on its Internet website and
disclose, in its most recent report on this Form N-CSR, its Internet
address and the fact that it has posted such code of ethics on its
Internet website; or
(3) Undertake in its most recent report on this Form N-CSR to provide to
any person without charge, upon request, a copy of such code of ethics
and explain the manner in which such request may be made.
See Item 10(2)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a) (1) Disclose that the registrant's board of trustees has determined that
the registrant either:
(i) Has at least one audit committee financial expert serving on its audit
committee; or
(ii) Does not have an audit committee financial expert serving on its audit
committee.
The registrant's Board of Trustees has determined that the registrant has at
least one audit committee financial expert.
(2) If the registrant provides the disclosure required by paragraph
(a)(1)(i) of this Item, it must disclose the name of the audit committee
financial expert and whether that person is "independent." In order to be
considered "independent" for purposes of this Item, a member of an audit
committee may not, other than in his or her capacity as a member of the audit
committee, the board of trustees, or any other board committee:
(i) Accept directly or indirectly any consulting, advisory, or other
compensatory fee from the issuer; or
(ii) Be an "interested person" of the investment company as defined in
Section 2(a)(19) of the Act (15 U.S.C. 80a-2(a)(19)).
Ms. Marguerite A. Piret, an independent trustee, is such an audit committee
financial expert.
(3) If the registrant provides the disclosure required by paragraph (a)(1)
(ii) of this Item, it must explain why it does not have an audit committee
financial expert.
Not applicable.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Disclose, under the caption AUDIT FEES, the aggregate fees billed for each
of the last two fiscal years for professional services rendered by the principal
accountant for the audit of the registrant's annual financial statements or
services that are normally provided by the accountant in connection with
statutory and regulatory filings or engagements for those fiscal years.
N/A
(b) Disclose, under the caption AUDIT-RELATED FEES, the aggregate fees billed in
each of the last two fiscal years for assurance and related services by the
principal accountant that are reasonably related to the performance of the audit
of the registrant's financial statements and are not reported under
paragraph (a) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.
N/A
(c) Disclose, under the caption TAX FEES, the aggregate fees billed in each of
the last two fiscal years for professional services rendered by the principal
accountant for tax compliance, tax advice, and tax planning. Registrants shall
describe the nature of the services comprising the fees disclosed under this
category.
N/A
(d) Disclose, under the caption ALL OTHER FEES, the aggregate fees billed in
each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a) through
(c) of this Item. Registrants shall describe the nature of the services
comprising the fees disclosed under this category.
N/A
(e) (1) Disclose the audit committee's pre-approval policies and procedures
described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
PIONEER FUNDS
APPROVAL OF AUDIT, AUDIT-RELATED, TAX AND OTHER SERVICES
PROVIDED BY THE INDEPENDENT AUDITOR
SECTION I - POLICY PURPOSE AND APPLICABILITY
The Pioneer Funds recognize the importance of maintaining the independence of
their outside auditors. Maintaining independence is a shared responsibility
involving Pioneer Investment Management, Inc ("PIM"), the audit committee and
the independent auditors.
The Funds recognize that a Fund's independent auditors: 1) possess knowledge of
the Funds, 2) are able to incorporate certain services into the scope of the
audit, thereby avoiding redundant work, cost and disruption of Fund personnel
and processes, and 3) have expertise that has value to the Funds. As a result,
there are situations where it is desirable to use the Fund's independent
auditors for services in addition to the annual audit and where the potential
for conflicts of interests are minimal. Consequently, this policy, which is
intended to comply with Rule 210.2-01(C)(7), sets forth guidelines and
procedures to be followed by the Funds when retaining the independent audit firm
to perform audit, audit-related tax and other services under those
circumstances, while also maintaining independence.
Approval of a service in accordance with this policy for a Fund shall also
constitute approval for any other Fund whose pre-approval is required pursuant
to Rule 210.2-01(c)(7)(ii).
In addition to the procedures set forth in this policy, any non-audit services
that may be provided consistently with Rule 210.2-01 may be approved by the
Audit Committee itself and any pre-approval that may be waived in accordance
with Rule 210.2-01(c)(7)(i)(C) is hereby waived.
Selection of a Fund's independent auditors and their compensation shall be
determined by the Audit Committee and shall not be subject to this policy.
SECTION II - POLICY
---------------- -------------------------------- -------------------------------------------------
SERVICE SERVICE CATEGORY DESCRIPTION SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
CATEGORY
---------------- -------------------------------- -------------------------------------------------
I. AUDIT Services that are directly o Accounting research assistance
SERVICES related to performing the o SEC consultation, registration
independent audit of the Funds statements, and reporting
o Tax accrual related matters
o Implementation of new accounting
standards
o Compliance letters (e.g. rating agency
letters)
o Regulatory reviews and assistance
regarding financial matters
o Semi-annual reviews (if requested)
o Comfort letters for closed end
offerings
---------------- -------------------------------- -------------------------------------------------
II. Services which are not o AICPA attest and agreed-upon procedures
AUDIT-RELATED prohibited under Rule o Technology control assessments
SERVICES 210.2-01(C)(4) (the "Rule") o Financial reporting control assessments
and are related extensions of o Enterprise security architecture
the audit services support the assessment
audit, or use the
knowledge/expertise gained
from the audit procedures as a
foundation to complete the
project. In most cases, if
the Audit-Related Services are
not performed by the Audit
firm, the scope of the Audit
Services would likely
increase. The Services are
typically well-defined and
governed by accounting
professional standards (AICPA,
SEC, etc.)
---------------- -------------------------------- -------------------------------------------------
------------------------------------- ------------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the audit period for all services and related fees
pre-approved specific service reported at each regularly
subcategories. Approval of the scheduled Audit Committee
independent auditors as meeting.
auditors for a Fund shall
constitute pre approval for
these services.
------------------------------------- ------------------------------------
o "One-time" pre-approval o A summary of all such
for the fund fiscal year within services and related fees
a specified dollar limit (including comparison to
for all pre-approved specified dollar limits)
specific service subcategories reported quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limit for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for Audit-Related
Services not denoted as
"pre-approved", or
to add a specific service
subcategory as "pre-approved"
------------------------------------- ------------------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- --------------------------- -----------------------------------------------
III. TAX SERVICES Services which are not o Tax planning and support
prohibited by the Rule, o Tax controversy assistance
if an officer of the Fund o Tax compliance, tax returns, excise
determines that using the tax returns and support
Fund's auditor to provide o Tax opinions
these services creates
significant synergy in
the form of efficiency,
minimized disruption, or
the ability to maintain a
desired level of
confidentiality.
----------------------- --------------------------- -----------------------------------------------
------------------------------------- -------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- -------------------------
------------------------------------- -------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year all such services and
within a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for tax services not
denoted as pre-approved, or to add a specific
service subcategory as
"pre-approved"
------------------------------------- -------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- --------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PRE-APPROVED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- --------------------------- -----------------------------------------------
IV. OTHER SERVICES Services which are not o Business Risk Management support
prohibited by the Rule, o Other control and regulatory
A. SYNERGISTIC, if an officer of the Fund compliance projects
UNIQUE QUALIFICATIONS determines that using the
Fund's auditor to provide
these services creates
significant synergy in
the form of efficiency,
minimized disruption,
the ability to maintain a
desired level of
confidentiality, or where
the Fund's auditors
posses unique or superior
qualifications to provide
these services, resulting
in superior value and
results for the Fund.
----------------------- --------------------------- -----------------------------------------------
--------------------------------------- ------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------- --------------------------
o "One-time" pre-approval o A summary of
for the fund fiscal year within all such services and
a specified dollar limit related fees
(including comparison
to specified dollar
limits) reported
quarterly.
o Specific approval is
needed to exceed the
pre-approved dollar limits for
these services (see general
Audit Committee approval policy
below for details on obtaining
specific approvals)
o Specific approval is
needed to use the Fund's
auditors for "Synergistic" or
"Unique Qualifications" Other
Services not denoted as
pre-approved to the left, or to
add a specific service
subcategory as "pre-approved"
------------------------------------- --------------------------
SECTION III - POLICY DETAIL, CONTINUED
----------------------- ------------------------- -----------------------------------------------
SERVICE CATEGORY SERVICE CATEGORY SPECIFIC PROHIBITED SERVICE SUBCATEGORIES
DESCRIPTION
----------------------- ------------------------- -----------------------------------------------
PROHIBITED SERVICES Services which result 1. Bookkeeping or other services
in the auditors losing related to the accounting records or
independence status financial statements of the audit
under the Rule. client*
2. Financial information systems design
and implementation*
3. Appraisal or valuation services,
fairness* opinions, or
contribution-in-kind reports
4. Actuarial services (i.e., setting
actuarial reserves versus actuarial
audit work)*
5. Internal audit outsourcing services*
6. Management functions or human
resources
7. Broker or dealer, investment
advisor, or investment banking services
8. Legal services and expert services
unrelated to the audit
9. Any other service that the Public
Company Accounting Oversight Board
determines, by regulation, is
impermissible
----------------------- ------------------------- -----------------------------------------------
------------------------------------------- ------------------------------
AUDIT COMMITTEE APPROVAL POLICY AUDIT COMMITTEE
REPORTING POLICY
------------------------------------------- ------------------------------
o These services are not to be o A summary of all
performed with the exception of the(*) services and related
services that may be permitted fees reported at each
if they would not be subject to audit regularly scheduled
procedures at the audit client (as Audit Committee meeting
defined in rule 2-01(f)(4)) level will serve as continual
the firm providing the service. confirmation that has
not provided any
restricted services.
------------------------------------------- ------------------------------
--------------------------------------------------------------------------------
GENERAL AUDIT COMMITTEE APPROVAL POLICY:
o For all projects, the officers of the Funds and the Fund's auditors will each
make an assessment to determine that any proposed projects will not impair
independence.
o Potential services will be classified into the four non-restricted service
categories and the "Approval of Audit, Audit-Related, Tax and Other
Services" Policy above will be applied. Any services outside the specific
pre-approved service subcategories set forth above must be specifically
approved by the Audit Committee.
o At least quarterly, the Audit Committee shall review a report summarizing the
services by service category, including fees, provided by the Audit firm as
set forth in the above policy.
--------------------------------------------------------------------------------
(2) Disclose the percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee pursuant
to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
N/A
(f) If greater than 50 percent, disclose the percentage of hours expended on the
principal accountants engagement to audit the registrant's financial statements
for the most recent fiscal year that were attributed to work performed by
persons other than the principal accountant's full-time, permanent employees.
N/A
(g) Disclose the aggregate non-audit fees billed by the registrants accountant
for services rendered to the registrant, and rendered to the registrants
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant for each of
the last two fiscal years of the registrant.
N/A
(h) Disclose whether the registrants audit committee of the board of trustees
has considered whether the provision of non-audit services that were rendered to
the registrants investment adviser (not including any subadviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the investment adviser that provides ongoing services to the
registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of
Rule 2-01 of Regulation S-X is compatible with maintaining the principal
accountant's independence.
The Fund's audit committee of the Board of Trustees
has considered whether the provision of non-audit
services that were rendered to the Affiliates (as
defined) that were not pre- approved pursuant to
paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is
compatible with maintaining the principal accountant's
independence.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
(a) If the registrant is a listed issuer as defined in Rule 10A-3
under the Exchange Act (17 CFR 240.10A-3), state whether
or not the registrant has a separately-designated standing
audit committee established in accordance with Section
3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)).
If the registrant has such a committee, however designated,
identify each committee member. If the entire board of directors
is acting as the registrant's audit committee as specified in
Section 3(a)(58)(B) of the Exchange Act (15 U.S.C. 78c(a)(58)(B)),
so state.
N/A
(b) If applicable, provide the disclosure required by Rule 10A-3(d)
under the Exchange Act (17 CFR 240.10A-3(d)) regarding an exemption
from the listing standards for audit committees.
N/A
ITEM 6. SCHEDULE OF INVESTMENTS.
File Schedule of Investments in securities of unaffiliated issuers
as of the close of the reporting period as set forth in 210.1212
of Regulation S-X [17 CFR 210.12-12], unless the schedule is
included as part of the report to shareholders filed under Item
1 of this Form.
Included in Item 1
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR
CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
A closed-end management investment company that is filing an annual report on
this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities.
N/A
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
(a) If the registrant is a closed-end management investment company that
is filing an annual report on this Form N-CSR,provide the following
information:
(1) State the name, title, and length of service of the person or persons
employed by or associated with the registrant or an investment adviser
of the registrant who are primarily responsible for the day-to-day management
of the registrant's portfolio ("Portfolio Manager"). Also state each Portfolio
Manager's business experience during the past 5 years.
N/A
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT
INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
(a) If the registrant is a closed-end management investment company,
in the following tabular format, provide the information specified in
paragraph (b) of this Item with respect to any purchase made by or on
behalf of the registrant or any affiliated purchaser, as defined in
Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of
shares or other units of any class of the registrant's equity securities
that is registered by the registrant pursuant to Section 12 of the
Exchange Act (15 U.S.C. 781).
During the period covered by this report, there were no purchases
made by or on behalf of the registrant or any affiliated purchaser
as defined in Rule 10b-18(a)(3) under the Securities Exchange Act
of 1934 (the Exchange Act), of shares of the registrants equity
securities that are registered by the registrant pursuant to
Section 12 of the Exchange Act.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Describe any material changes to the procedures by which shareholders
may recommend nominees to the registrant's board of directors, where
those changes were implemented after the registrant last provided
disclosure in response to the requirements of Item 407(c)(2)(iv) of
Regulation S-R(17 CFR 229.407)(as required by Item 22(b)(15))
of Schedule 14A (17 CFR 240.14a-101), or this Item.
There have been no material changes to the procedures by which the
shareholders may recommend nominees to the registrant's board of
directors since the registrant last provided disclosure in response
to the requirements of Item 407(c)(2)(iv) of Regulation S-R of Schedule 14(A)
in its definitive proxy statement, or this item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Disclose the conclusions of the registrant's principal executive and
principal financials officers, or persons performing similar functions,
regarding the effectiveness of the registrant's disclosure
controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR
270.30a-3(c))) as of a date within 90 days of the filing date of the report
that includes the disclosure required by this paragraph,
based on the evaluation of these controls and procedures required by Rule
30a-3(b) under the Act (17 CFR 270.30(a)-3(b) and Rules 13a-15(b) or 15d-15(b)
under the Exchange Act (17 CFR 240.13a-15(b) or 240.15d-15(b)).
The registrant's principal executive officer
and principal financial officer have
concluded that the registrant's disclosure
controls and procedures are effective based
on the evaluation of these controls and
procedures as of a date within 90 days of the
filing date of this report.
(b) Disclose any change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act (17CFR 270.30a-3(d)) that
occured during the second fiscal quarter of the period covered by this report
that has materially affected, or is reasonably likely to materially affect,
the registrant's internal control over financial reporting.
There were no significant changes in the
registrant's internal control over financial
reporting that occurred during the second
fiscal quarter of the period covered by this
report that have materially affected, or are
reasonably likely to materially affect, the
registrant's internal control over financial
reporting.
The registrant's principal executive officer and principal financial
officer, however, voluntarily are reporting the following information:
In August of 2006 the registrant's investment adviser
enhanced its internal procedures for reporting performance
information required to be included in prospectuses.
Those enhancements involved additional internal controls
over the appropriateness of performance data
generated for this purpose. Such enhancements were made
following an internal review which identified
prospectuses relating to certain classes of shares of
a limited number of registrants where, inadvertently,
performance information not reflecting the deduction of
applicable sales charges was included. Those prospectuses
were revised, and the revised prospectuses were distributed to
shareholders.
ITEM 12. EXHIBITS.
(a) File the exhibits listed below as part of this Form. Letter or number the
exhibits in the sequence indicated.
(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit.
(2) A separate certification for each principal executive officer and principal
financial officer of the registrant as required by Rule 30a-2(a) under the Act
(17 CFR 270.30a-2(a)) , exactly as set forth below:
Filed herewith.
SIGNATURES
[See General Instruction F]
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Pioneer Municipal High Income Advantage Trust
By (Signature and Title)* /s/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date November 28, 2016
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ Lisa M. Jones
Lisa M. Jones, President & Chief Executive Officer
Date November 28, 2016
By (Signature and Title)* /s/ Mark E. Bradley
Mark E. Bradley, Treasurer & Chief Accounting & Financial Officer
Date November 28, 2016
* Print the name and title of each signing officer under his or her signature.