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I was reading an article on a financial site today and saw this:

The best part about a Roth individual retirement account (IRA) is that you can withdraw money tax free if you meet certain requirements. You must be at least 59 and a half years old and investments must stay put for five years.

I thought that once the Roth had been in existence for 5 years, and the account owner was over 59.5, all withdrawals ware qualified withdrawals. Is there another requirement that the investments must "stay put" for five years? Suppose a withdrawal would count as a qualified withdrawal but I had only initiated my investment in company XYZ three years ago; then I sell the investment, realize the proceeds, and withdraw them. Would take still be a qualified withdrawal, or do the original investments really have to "stay put" for five years?

I guess I'm thinking that money is fungible and the idea that particular investments have to "stay put" is sloppy language. (Or is it the Roth itself that is supposed to be the investment here, and it is the Roth itself that has to "stay put"?)

culcha
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