master.xml

<data>
  <navigation>
    <section id="1" handle="pages">Pages</section>
    <entry id="1">
      <title mode="formatted" word-count="1">Home</title>
      <url-handle mode="formatted" handle="home" word-count="1">home</url-handle>
    </entry>
    <entry id="2">
      <title mode="formatted" word-count="2">Sample Page</title>
      <url-handle mode="formatted" handle="sample-page" word-count="1">sample-page</url-handle>
    </entry>
    <entry id="3">
      <title mode="formatted" word-count="2">Sub Page</title>
      <url-handle mode="formatted" handle="sub-page" word-count="1">sub-page</url-handle>
      <parent>
        <item id="2" handle="fundamental-analysis" section-handle="pages" section-name="Pages">Sample Page</item>
      </parent>
    </entry>
  </navigation>
</data>

master.xsl

<xsl:stylesheet xmlns:xsl="http://www.w3.org/1999/XSL/Transform" version="1.0">

  <xsl:output method="xml" indent="yes" />


	<xsl:template match="*[section/@handle='pages']/entry" mode='link'>
		<xsl:choose>
			<xsl:when test="parent/item">
                          <xsl:apply-templates select='../../navigation/entry[@id=current()/parent/item/@id]' mode='link'/>
			</xsl:when>
			<xsl:otherwise>
				<xsl:value-of select='$domain'/><xsl:text>/</xsl:text>
			</xsl:otherwise>
		</xsl:choose>

		<xsl:choose>
			<xsl:when test='url-handle/@handle = "home"'>
				<!-- home page do not append a handle -->
			</xsl:when>
			<xsl:otherwise>
                          <xsl:value-of select="url-handle/@handle"/>
			</xsl:otherwise>
		</xsl:choose>
	</xsl:template>
  
  
  <xsl:template match="/" >
    <xsl:variable name='link-to-subpage'>
    	<xsl:apply-templates select='/data/navigation/entry[@id="3"]' mode='link'/>
    </xsl:variable>
    
    <a href='{$link-to-subpage}'>Link to SubPage</a>
  </xsl:template>
  
  
</xsl:stylesheet>