Hello Warthog,Yes, Vanguard will reinvest your dividends automatically in an IRA, unless you were to specify you wanted them dumped into a MMF. As Vanguard chages a $10 annual low balance fee for IRA mutual fund of less than $5,000, you would probably want only one fund. Index funds are $10 per year extra for balnces less than $10,000. If you want specificly a total market index fund, or more than one fund, or to avoid the index fees. TIAA-CREF is another low fee fund family to consider.
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