Vanguard 500 Dividend - reinvest or not?

vrr106 · Post by **vrr106** » Fri Apr 20, 2007 6:42 pm

If I own a Vanguard Total Stock Market/500 Index type fund in a taxable account, would you recommend I reinvest dividends or convert to cash? What are the pros/cons of each?

RRK · Post by **RRK** » Sat Apr 21, 2007 1:20 am

Reinvest.

What are you going to do with dividends ? If you dont need them, let them work for you.

vishwaGhar · Post by **vishwaGhar** » Sat Apr 21, 2007 6:10 am

How about taking the distribution as cash and using it to rebalance your portfolio ?

vishwa