 Good day, fellow investors! Now Nabi Roost asked about fixed income and I want to really discuss what's my view on fixed income. I hate bonds, I don't like bonds, I don't need bonds and I don't want to own bonds. But when? At some point in time you have to own bonds because there is nothing better. Which means that cash protection, capital protection is more important than anything else. If you look at what Buffett owns, you see that he owns a lot of treasuries but the average maturity is 4 months. So just 4 months, so he's just parking his money there in search for better opportunities that he knows that with time will come. And he doesn't mind waiting for 4-5 years for that to come because in the long term his return will be again pleasing for him. So bonds are A, somewhere where you put your capital, preserve your capital for better opportunities. Now in the last 45 years interest rates have been going nothing but down. When interest rates go down the bond owner is happy because as yields go down the principal is higher in value. So the natural interest rates are lower but your coupons are always the same. Those who bought 30-year treasuries in the beginning of 1980s enjoyed 10-15% returns per year for the next 30 years and then that long-term bond constantly appreciated in time. So that's a game of interest rates which is very very difficult and you really have to be a specialist about that. So we might see over the next 20 years interest rates constantly go up, up, up, and up and that is why Warren Buffett has short-term maturities in order to mitigate that risk because he can constantly convert that into better yields over time. If interest rates go down ok he is losing on the upside but he is protected. That is why he keeps the capital there because he wants protection. The second point with bonds is ok you might want to be a bond trader, bond player and you might want to ok interest rates will go down it's better to own bonds but that's a very very difficult and complicated game and then you specialize in interest rates. I prefer to specialize in businesses because it's easier for me it comes more natural so I like to analyze businesses and see where that goes. Always keeping in mind what's going on in the interest rate environment. And the third way to play bonds is to be really well diversified so that whatever happens you are happy. If interest rates go up happy because you have this that you can transfer there. If interest rates go down you are happy because then your long-term bonds will do well. So in that long-term horizon with bonds it's all about proper portfolio balancing. So to conclude bonds I don't like them it's just if there isn't anything better then ok bonds are ok. Plus I'm from Europe where yields are at zero so if I would be in the U.S. all my cash would now be in short-term treasuries because that's a perfect way to wait for what will happen. I'm from Europe I have the euro so I don't even invest in bonds I'm happy with my cash being parked there for better opportunities that I'm finding a little bit here a little bit there and sharing with you in my research platform. So that's my view on bonds. You might want to park your money there but you have to understand long-term if interest rates continue to rise you will not be able to take out immediately the same principle. You will get it in the long-term but it won't be possible because the longer the term the higher the yield the lower is the current principle. That's something I can do in another video to really show the calculations. Further there is always inflation. If you invest 100 now and if you invest 100 now and in 10 years those 100 won't be able to buy the same thing that you investing now. As said in the 70s bonds were called certificates of confiscation because the inflation ate everything up all the profits ate the principle up so the yield was not even enough to cover for the principle. So if interest rates continue to go up bond investors won't have a great time like they had over the last 35 years. Thank you for watching. This is the last time with this beautiful view. I'm going to enjoy time for my family relaxing a little bit and in a few days I'll be back with more energy more time to focus on really adding value only for my research platform and on YouTube. I'll see you in the next video and looking forward to your comments.