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You know you can only add to your IRA if you have earned income.
Funds already in the IRA could logically be in high quality corporate bonds or government issues, perhaps agency bonds. TVA is a government agency with a lot of bonds out. GNMAs are appropriate also.
The one thing that would make NO sense in an IRA would be a tax-free municipal bond. You will eventually pay tax on all money taken from your IRA and to accept the lower yield of a tax-free bond in an IRA would be just plain silly.
Best wishes, Chris
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