Pioneer Diversified High Income Fund Approves Liquidation and Dissolution Plan.

Pioneer Diversified High Income Fund has announced the results of its special meeting, where stockholders approved the liquidation and dissolution of the fund. The fund will liquidate its portfolio and distribute cash to shareholders, with the last day of trading expected on September 25, 2025. The liquidation will be a taxable event for stockholders, and they will realize a capital gain or loss based on the difference between the liquidation distribution and their adjusted basis in the fund shares.

Pioneer Diversified High Income Fund, Inc. (HNW), a closed-end investment company trading on the NYSE American (NYSEAMER), has announced the results of its special meeting of stockholders. The meeting, originally held on July 17, 2025, and adjourned until August 13, 2025, saw stockholders approve the liquidation and dissolution of the fund. This decision was based on a Plan of Liquidation and Dissolution adopted by the Board of Directors.

As part of the liquidation process, the fund will liquidate its portfolio in preparation for one or more distributions of cash to its stockholders. Once the liquidation commences, the fund will no longer pursue its stated investment objective, comply with its investment limitations, or engage in normal business activities. The sole focus will be on winding up its business, paying its liabilities, and distributing its remaining assets to stockholders.

The fund has set September 25, 2025, as the Determination Date, when the transfer agent will close the books on its shares. The proportionate interests of stockholders in the fund's assets will be fixed based on their respective holdings at the close of business on that date. The fund expects the last day of secondary market trading of its shares to also be on or about the Determination Date, with trading ceasing on the NYSE American prior to the opening of business on September 26, 2025.

The distribution of liquidation proceeds to shareholders is expected to occur as soon as practicable following the Determination Date, with a primary distribution anticipated on or about September 30, 2025. The proceeds of the liquidation will equal the fund's net asset value after all charges, taxes, expenses, and liabilities have been paid or provided for. Any necessary liquidating distributions will follow the primary distribution, with all outstanding shares being redeemed without any redemption or other transaction fees upon payment of the final liquidating distribution.

The liquidation process will be a taxable event for stockholders subject to U.S. federal income tax. Stockholders will realize a capital gain or loss based on the difference between the total amount of the liquidation distribution(s) received and their adjusted basis in the fund shares. Consulting a personal tax advisor is recommended to understand the specific tax consequences of the liquidation.

Stockholders will be able to sell their fund shares in the secondary market until the market close on or about the Determination Date. The sale of fund shares will be a taxable event for stockholders subject to U.S. federal income tax, with customary brokerage charges applying to such transactions. After the Determination Date, the fund's shares are expected to no longer be actively traded in the secondary market, with no assurance of a market for their purchase or sale thereafter.

Investments in closed-end funds, such as HNW, involve risk, including possible loss of principal. Investors are advised to seek advice from qualified tax and financial experts regarding the best options for their particular circumstances. Distribution rates are not guaranteed and may be affected by various factors.

References:
[1] https://www.stocktitan.net/news/HNW/pioneer-diversified-high-income-fund-inc-announces-results-of-nxseut8v7ozw.html
[2] https://www.businesswire.com/news/home/20250813338539/en/Pioneer-Diversified-High-Income-Fund-Inc.-Announces-Results-of-Special-Meeting-of-Stockholders-Proposal-to-Liquidate-and-Dissolve-the-Fund-is-Approved