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I started Roth IRAs for my wife and myself with the max $2000 contribution for '98. I placed her $2K in the Vanguard S&P 500 index fund. I want to invest my money in the FF, but don't know if it is too small an amount for that strategy to be effective. For instance, the commissions would eat %5 right off the top, and I might end up only owning 3-4 shares of certain higher priced stocks. Any thoughts?

The question of how to deal with the Foolish Four or related Beat the Dow strategies if you have only $2000 has been extensively discussed on the Dow Dividend Approach/Foolish 4 Board. You might want to read some of the discussion there, and think about the various options proposed.

Facing the same choice, I invested in one stock. After nine weeks and a 28.4% gain, I sold it. Now I'm looking at the same issue with $2569. I'll probably put it in something real conservative until I can add another $2000 to it next January. At that point, the Fool Four will be a real option.

Patzer
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