Eat Well, Sleep Well

AAA

DEFINITION of 'Eat Well, Sleep Well'

An adage that, referring to the risk/return trade-off, says that the type of security an investor chooses depends on whether he or she wants to eat well or sleep well.

INVESTOPEDIA EXPLAINS 'Eat Well, Sleep Well'

Investing in high-risk, high-reward securities will offer you the potential to eat well, but the risky nature of these securities might prevent you from sleeping at night. By contrast, investing safely means that you will sleep well, but the low rate of return may keep you from eating well.

RELATED TERMS
  1. Risk Lover

    An investor who is willing to take on additional risk for an ...
  2. Risk Neutral

    Indifference to risk. The risk-neutral investor would be in the ...
  3. Risk-Return Tradeoff

    The principle that potential return rises with an increase in ...
  4. Risk Tolerance

    The degree of variability in investment returns that an individual ...
  5. Casino Finance

    A slang term for an investment strategy that is considered extremely ...
  6. Bank Investment Contract - BIC

    A security or portfolio of securities that offers a guaranteed ...
Related Articles
  1. Determining Risk And The Risk Pyramid
    Investing Basics

    Determining Risk And The Risk Pyramid

  2. Basic Investment Objectives
    Options & Futures

    Basic Investment Objectives

  3. Systematic Risk
    Investing

    Systematic Risk

  4. 7 Ways To Protect Against Credit Card ...
    Credit & Loans

    7 Ways To Protect Against Credit Card ...

Hot Definitions
  1. Halloween Strategy

    An investment technique in which an investor sells stocks before May 1 and refrains from reinvesting in the stock market ...
  2. Halloween Massacre

    Canada's decision to tax all income trusts domiciled in Canada. In October 2006, Canada's minister of finance, Jim Flaherty, ...
  3. Zombies

    Companies that continue to operate even though they are insolvent or near bankruptcy. Zombies often become casualties to ...
  4. Witching Hour

    The last hour of stock trading between 3pm (when the bond market closes) and 4pm EST. Witching hour is typically controlled ...
  5. October Effect

    The theory that stocks tend to decline during the month of October. The October effect is considered mainly to be a psychological ...
  6. Repurchase Agreement - Repo

    A form of short-term borrowing for dealers in government securities.
Trading Center