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Sorry if this has been asked before. Please direct me to the post or area in Fooldom where I might learn more about my stupid question. I want to move my $4,000 from a Vanguard Index Fund to my discount broker so that I can use the money to invest in the Foolish Four at the beginning of the year. My reasons are that I'm comfortable with the added risk, I like the higher historical average returns and I think it's a smart way to cut down on capital gains taxes each year that I trade the stocks. My question is what happens to the left over change when buying four stocks rather than a mutual fund? It seems impossible to spend the $4,000 down to the last penny. So am I penalized for the cash not spent or is it somehow held in my account for future use?

Also can the cost of my trades be paid with money outside of my Roth IRA (i.e. a separate check)or must it come out of the $4,000?

Thanks for putting up with my anal questions, but I've only been Foolish for less than a year and want to maximize my tax advantages.

Thanks for your time and assistance,
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