We are inviting our followers to help on a potential tax issue.

If you have alternative suggestions or unique perspectives, please share them. Your input is invaluable as we collectively navigate this complex terrain.

The Goblin strategy, centred around dynamic hedging, has proven consistently profitable. However, a looming concern has surfaced: the prospect of Revenue Canada classifying the strategy’s returns as income due to its trading frequency. We’re on the lookout for diverse perspectives and insights, and we’d love to hear your thoughts on the following ideas:

1. Incorporate for Tax Advantage:

Exploring the incorporation route to tap into the benefits of the small business tax is a thought on the table. What are your views on this approach, especially in jurisdictions like Alberta or other tax-friendly spots in Canada?

2. ETF Structure for Tax Efficiency:

Restructuring the Goblin strategy as an Exchange-Traded Fund (ETF) is another concept we’re considering. How might this impact the tax landscape, and do you foresee any regulatory hurdles or advantages?

3. Deep In-the-Money Option via Financial Institution:

The notion of collaborating with a financial institution to structure the strategy as a deep in-the-money option intrigues us. What are your insights on this potentially strategic buffer against the scrutiny tied to frequent trading?

4. Exploring International Options:

Lastly, we’re toying with the idea of exploring opportunities in other countries. What are your thoughts on navigating different fiscal landscapes and the potential advantages or pitfalls?

Thanks for your time, and here’s to a vibrant and insightful discussion in 2024!