Check out optioncoach thread on closed end funds Other ideas: Basis trading with bonds, buy two year bonds and trade the futures against them. Currency futures spread trading, around the roll take advantage of the half tick spread to scalp the difference between the months Basis trading with stocks and SSF or use IB exchange for physicals. The key to all of these ideas is to use no leverage. All your volatility risk should come from your "trading" . These are ways of employing cash in "synthetic bonds"