The Pioneer Group of Boston plans to open a junk bond fund that will incorporate assets from another high-yield bond fund, according to an SEC filing.
The Pioneer High Yield Fund will invest at least 65 percent of its assets in below- investment grade debt securities - those rated BB or lower by S&P and similar rating agencies, the filing said.
The fund will include all the assets of the Third Avenue High Yield Fund, which it will acquire on Feb. 29, 2000, the filing said.
The Pioneer High Yield Fund will offer Class A, B and C shares. The Class A sales charge will be waived for those who buy $1 million or more of the shares. A one percent deferred sales charge will be assessed if those shares are held less than a year, the filing said.
