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TchrP said, You would save on commissions by purchasing only two stocks in each account. (You definitely need separate accounts.) But will you be able to cope with the difference in results between the two accounts?

The trick is to generally have 3 stocks in one account and 2 in the other. The larger account is the one with the 3 stocks. This means that you pay 5 commissions each year instead of 8.

Example: If, at the time you are to buy 4 companies, one IRA has \$16,000 and the other \$12,000, then each stock will be (16000+12000)/4 = \$7,000. So you spend \$7000 for each of 2 in the larger IRA, and \$2000 for a third, and you use the other IRA for \$7000 on the fourth and the remaining \$5000 on the third.

Naturally, in cases when next year's FF includes several of this year's FF, you can make do with fewer purchases, but you will never need more than 5 new purchases in any one year.

I don't see the problem. Algebra solution: If IRAs are worth A and B with A greater than B, then buy 2 stocks worth (A+B)/4 in the A IRA, 1 stock worth (A+B)/4 in the B IRA, and the remaining money buys the 4th stock.

Bill

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