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Question regarding SMTP Authentication setting

G'day experts

Just want to check before I make these changes.  I have an Exchange STD 2003 with Port 25 forwarded from internet.  The box also provides OWA/SSL.  I'm looking at the SMTP Virtual Server and currently Anonymous, Basic & Integrated Windows are all ticked. What I am planning on doing is

Leave Anonymous ticked
Remove the tick from Basic
Remove Tick from Integrated

The relay options are 2003 defaults which is "Only the list below" and also the option to Relay for authenticated is ticked.  This is my slight confusion.  With the two options above removed there is no way to authenticate to this SMTP Virtual server.  Is this a problem?  Does my proposed setting hinder Outlook and OWA clients from sending and receiving emails or is this handeled in a different area of Exchange?

Thanks for advise on this

Rob
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Vahik

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Cheers buddy