There have been an increasing number of structured products introduced into the capital markets which make use of derivatives and the subsection 39(4) election to provide what is referred to as "tax advantaged" yields on a wide variety of underlying investments. Two of the most recent closed-end investment funds making use of these products have created an investment return based on the performance of an index fund created for income trust securities and a portfolio of hedge funds organized in the Cayman Islands.

Published in Corporate Finance, (2003) vol. X, number 4, page 988

type Tax Advantaged Closed-End Investment Trusts