Diamonds as Investments
WHY INVEST IN DIAMONDS?
Historical Value Retention
Diamonds have historically held their value over long periods, even during economic downturns. This makes them attractive as a store of value and a hedge against inflation.
Limited Supply
The supply of diamonds is finite, driven by limited mining resources. This scarcity contributes to their value appreciation over time.
Demand
The demand for diamonds remains strong, particularly in emerging markets with growing economies. This demand helps support their market value.
Tangible Asset
Unlike stocks or bonds, diamonds are a physical asset you can hold and possess. This tangible aspect offers a sense of security and control.
Main characteristics of investment diamonds
Many diamonds increase in value over the years but only diamonds of an exceptional quality really stand out in terms of added value.
The following quality standards must be met for the diamonds to be a wise long-term investment:
The weight of diamonds : 1 carat and above
The shape of diamonds : Round brilliant cut
The color of diamonds : from D to F
The clarity of diamonds : from IF or LC (Loupe Clean) to VVS2
Proportions, symmetry, polishing : Very Good or Excellent
Fluorescence : None or Slight/Faint
How to invest in diamonds?
Even though buying diamonds can be quite intriguing, it’s crucial to remember that the procedure is intricate and there is a significant danger associated with this action.
Find a professional advisor
If you decide to try investing in diamonds, we suggest that you consult with professionals. A skilled diamond counselor is knowledgeable about the nuances of diamond characteristics, values, and pricing.
We also give our customers the choice to select diamonds to invest in through our service. Our professionals will undoubtedly help you get started with diamond investing.
Learn the basics
In case you decide to select an investment diamond with the help of a highly skilled specialist, it will still be advantageous if you have a basic understanding of the diamond industry. It will be beneficial if you know about how the diamond market works, how prices are determined, and why some stones are more valuable than others.
Start by familiarizing yourself with the basics, such as what 4C stands for, which fancy color diamonds are the rarest, and which shade of white diamond is regarded to be the most expensive.
Diversify your diamonds
Accurately predicting when, how much, and which stone the price of diamonds will rise in the future is difficult. Use all of your knowledge instead of depending just on one type of diamond. If you are dreaming of an Orange diamond, for example, think about Blue or Pink as well.
Divide your budget across different types of diamonds. Perhaps all of them will prove to be great investments, or perhaps only one will yield a profit on all of your subsequent bets.
Conclusion
Investing in diamonds can be a viable strategy, but it requires careful consideration of the potential risks and rewards. Conducting thorough research, consulting with experts, and prioritizing ethical sourcing are crucial for informed diamond investment decisions.
Please do not hesitate to contact us in order to discuss your investment plans.
