What is the expected timeline for the distribution of assets to shareholders after the dissolution?

Answer – Expected timeline for the distribution of assets

The special meeting of Pioneer Floating Rate Fund (PHD) and Pioneer High Income Fund (PHT) was originally scheduled for July 17, 2025, but was adjourned to August 13, 2025 to give shareholders an additional opportunity to vote on the “Plan of Liquidation and Dissolution.” If the August 13 vote approves the liquidation (which is expected given the negative sentiment in the announcement), the funds will enter the formal dissolution phase immediately thereafter.

In practice, the distribution of assets to shareholders is typically completed within 30‑45 days after the liquidation is approved and the fund’s “effective date of dissolution” is filed with the SEC. Assuming the vote is approved on or shortly after August 13, the final cash distribution to shareholders should be expected between early September and mid‑October 2025 (i.e., roughly 6‑8 weeks after the approval). This timeline aligns with standard fund‑liquidation procedures for closed‑end mutual funds, where the board must: (1) sell the remaining portfolio holdings, (2) settle any outstanding liabilities, and (3) file a final liquidation report with the SEC before the cash is paid out to shareholders.

Trading implications:

- Short‑term price action: Expect the stock to trade near its net asset value (NAV) on the day of the vote, with a potential “run‑off” move as investors anticipate the upcoming cash distribution.

- Technical: The stock is likely to be capped at the per‑share liquidation value, so any bullish momentum will be limited; watch for a sharp decline in volume after the vote.

- Action: If you hold PHD or PHT, prepare for a cash‑only exit in September‑October; if you are a short‑term trader, consider a “buy‑the‑rumor/buy‑the‑news” play before the vote, then exit prior to the distribution date to avoid the final settlement. The negative sentiment in the announcement (sentiment –40) suggests market participants may already be pricing the liquidation risk, so the primary risk now is timing the distribution cash flow.