I have a 403B and I am over 59!/2. It is only earning 4% so I want to roll it over into a traditional IRA. I may be in a fairly high tax bracket at 70 1/2 . My question is: is there a way to reduce taxes on withdrawals at age 70 1/2 by investing in mutual funds instead of a Bank CD? I know the CD withdrawal would be taxed at around 30% but would that hold true if the money were invested in mutual funds? Are both taxed at one's regular tax rate upon withdrawal? Or could the mutual fund withdrawals be taxed at capital gains rates?~Franny