Hibiscus, I am intrigued if you have settled the bonds then surely you are losing out on the geaing opporunity and not deriving the benefit of offsetting income against interest paid on the bond? Whilst the decision may be prudent on the face of it, it may have been better to "park" your money in something like the Prudential Fund earning close to 10% dividend yield(tax free) and still retaining the taxable benefit ofthe interest expense, rather than have to pay the tax man? OMO