Australian allocation to bonds is minimal by world standards. Roughly 11% of portfolios have an allocation, and most of this is in life insurance type portfolios (OECD data). It is not until we have a sequencing type event that investors realise that having a near zero allocation to the financial markets most defensive asset class is a must. World average ownership of bonds is around 35%. January and February have been very profitable months for bond investors. Month to date the JCB Active Fund is up over 1% (unaudited)taking year to date returns over 2.4%, already eclipsing returns on cash. Attached is the JCB Active fund monthly from January.