"If John McCain wins, there's a greater likelihood the reduced dividend and capital gains tax rate will be extended," says Carla Pasternak.

In her income-focused advisory, High Yield Investing, she explains, "In that case, I would favor a tax-advantaged fund such as the Eaton Vance Tax-Advantaged Dividend Income Fund (NYSE: EVT)."

"Eaton Vance Tax-Advantaged Dividend Income Fund has a solid tax-advantaged yield of more than 11%, of which the entire 2007 amount qualified for the reduced dividend tax rate of up to 15%.

"EVT focuses on strong dividend-growers and undervalued stocks with room to move. About 80% of the fund's holdings are in common stocks, with the rest of the portfolio in high-yielding preferred shares.

"Top holdings include oil giants Chevron and ConocoPhillips, as well as utilities like Edison International and dividend stalwart Philip Morris.

"The fund does have large exposure to the financial sector, as it accounts for about 20% of the portfolio. Due to the turmoil in the sector, EVT has seen its share price sink amid the credit crisis.

"While we can't be sure of when the crisis in the financial industry will subside, we can be assured this fund will benefit once things turn around. Meanwhile, investors are able to lock in a juicy double-digit yield.

"Investors seeking international exposure will also do well with this fund. Less than half (45%) of the fund in invested in the U.S. The remainder is spread evenly across Europe's major economies, including Germany, the U.K. and Finland.

"With a solid record for dividend growth, and selling at a steep discount of about -20% to the value of its underlying portfolio assets (meaning investors can pick up a dollar's worth of assets for only 80 cents), EVT might be attractive no matter who assumes the presidency.

"However, due to its tax-advantaged nature, having a Republican in the White House who favors keeping the current reduced dividend tax would be a direct benefit to EVT investors."