I'am not sure that I don't understand, "returns references to existing
nodes".
see the identity function example that i gave. If the node returned
by a function is a node in the source document, you can use xpaths to
navigate away from that, find its parent, look up keys in the same
docuemnt etc. If you use copy-of then the function returns a new
parentless element node, that has lost its original context, if you
apply-template or for-each to move the current context into the node
returned you would not be able to get back to the original document
(unless you'd saved that original context, say in a global variable)
David
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