Preheat oven to 325 degrees F. Grease and flour 10 inch tube pan or 12 cup Bundt cake pan. Sprinkle nuts over bottom of pan. Mix all ingredients together and pour over nuts. Bake 1 hour. Cool 5 minutes.
Prick cake. Drizzle smooth glaze evenly over top. Allow cake to absorb glaze for 25 min. Repeat until all glaze is used. Invert onto platter and enjoy!
Melt butter in saucepan. Stir in water and sugar. Boil 5 minutes, stirring constantly. Remove from heat and stir in rum.