Roth IRA growth?

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So, I built a mutual fund Roth IRA now when it gets its interest... what happens to the money... it gets reinvested into my mutual funds? Does it just sit in the account?

2007-03-25 05:08:22 · 2 answers · asked by Anonymous in Business & Finance ➔ Investing

2 answers

It depends.

When you set up your account, did you specify to reinvest dividends and capital gains? If so, then they would be reinvested as fractional shares of the mutual fund.

I would recommend to have them reinvested. This is the miracle of compound investing.
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2007-03-25 05:22:18 · answer #1 · answered by SWH 6 · 0⤊ 0⤋

mutual funds don't make interest. They make gains or losses. you should talk to your mutual funds manager

2007-03-25 12:12:16 · answer #2 · answered by Anonymous · 0⤊ 0⤋