 Now let's take a look at bonds and fixed income in a little bit more detail. As a shareholder you're essentially a part owner in a business. You benefit from growth in the company, you benefit from dividend payments should they be paid but there's no certainty of outcome. You don't know what your performance will be. As a bondholder you're a lender. You're essentially the banker to that company and so you afforded additional protections such as guaranteed coupon payments and guaranteed maturity date of your investment. Now a lot of investors have previously used hybrid securities or listed securities as their fixed income product but there's been some big changes in the structure of these since the beginning of 2013. A lot of the protections that investors had such as a hard call date, a step up are no longer afforded and they now have significant non viability clauses and you can be left holding either shares or having your investment written off completely. So there's not a lot of certainty and that's been reflected in quite a bit of volatility in the prices of these listed securities and a significant increase in the margin of the more recent listed ones. So it's just important to know that you have these in the right basket and not using these as your defensive asset allocation. There are three types of bonds and we like to incorporate all of these types of bonds in a portfolio because as part of your defensive asset allocation it's not predicting where interest rates are going to go, it's building the protections to minimise the impact of any movement in interest rates. The types of bonds we use are your fixed rate bond, most common type of bond, you give your money to a company, they pay you a fixed rate of return in semi-annual payments before providing that cashback on the maturity date. A floating rate bond will follow interest rates up and down. They reset every three months at a prevailing margin above the 90 day rate on the day, pay you a coupon and then obviously on maturity they pay you back their face value in cash. Inflation index securities provide a pure inflation hedge, that is they protect your investment as well as the income stream generated from that investment against the impact of inflation by indexing the value directly at the rate of inflation. What does that mean? As inflation increases the value of your investment and the value of your income stream increases at the same rate. Really important in an environment where you want to preserve the capital and the spending power of your investment. Capital index denuity bonds really popular in this market allows you to actually utilise your capital over the life of the bond. So instead of taking more risk to generate a higher return you can actually use your capital generate a higher level of income and therefore a higher level of lifestyle over the term of that bond. Unlike most other bonds you don't get a face value maturity payment because as I've mentioned the capital is paid to you over the life of the annuity. So let's have a look at how a diversified bond portfolio works to generate blended coupons. And what I have here is the cash flow statement of four bonds. A Qantas fixed rate bond insurance Australia floating rate bond support capital indexed inflation link bond and a Preco inflation annuity capital index bond. And you can see there that they generate very different coupon payments at very different times. If you have a look at the Qantas it pays you the same semi-annual coupon until it matures in 2020 and pays you out its face value. The insurance Australia limited bond pays you a margin over prevailing interest rates. Those coupons are priced against the current yield curve and you can see there after initially falling they continue to increase until the bond matures in 2019. The Sydney Airport capital index bond you can see there also pays a quarterly coupon a little on the low side and that's because the inflation return is indexed into the face value of the bond. And you can see that when the Sydney Airport bond matures in 2020 it actually pays you a face value back above 50,000. That's the impact of that inflation indexing. The Preco annuity bond and Preco is the issuing entity over the Australia Defence Force headquarters in Canberra. Pays you a quarterly coupon significantly higher than the other bonds and that is because it is paying you part of your capital every quarter. You can see that for the Sydney Airport and the Preco bond those payments increase every quarter. That's the inflation indexing in play. You can also see that when the Preco bond matures there is no face value cash payment. Again that's because you've received that over the life of the bond. So blending all those coupon payments together no matter whether interest rates move up or down those bonds will work in conjunction with each other to minimise the impact of your capital and those income streams those coupon payments will be protected and you can start to build your lifestyle around those annual payments. So for an investor such as an SMS or retiree investor that's looking for more certainty for them to build their lifestyle around by incorporating an allocation to direct bonds for your clients you'll provide them with an ability to reduce reliance on cash and term deposits provide a hedge against the impact of inflation, maintain income throughout economic cycles, provide regular liquidity through a diversified maturity profile and have a greater level of expectation over the performance. Bonds are forward looking. You know what you're going to get when you buy a bond and by locking in your income with bonds it allows you to ride out the volatility in other parts of your investment portfolio. So have a look at bonds. I suggest you give us a call here at FIG. We can provide you with the expertise. We can provide you with transparency and we can provide you with connectivity for your reporting. We make bonds easy.