se out FDRXX and transfer funds to FRGXX? Reason I want to do this is FRGXX has lower expense ratio and also higher yield.
omega3: Yes – you may exchange the funds.
If you are retired and are going to keep your savings in low yielding "money" funds (like FDRXX and FRGXX), you should consider moving your investments to a much higher yielding asset.
You can purchase much higher yielding, FDIC insured CDs which will afford you the same preservation of principle and safety of the money funds (at a far higher yield).
Use Fidelity's CD ladder tool to build a portfolio of CDs with a 5 or 10 year ladder yielding between 2.4% and 2.9%.
Yes. As long as the money stays in the IRA, no tax is owed on the change.
Sure you can sell one fund and buy another, assuming Fidelity is handling your IRA. It's easy to do on their web site.