The famous phrase "A Diamond is Forever" was first penned in 1947 by a young copywriter working for N. W. Ayer & Son, Frances Gerety. But is this really true? After all, what is a diamond? It’s just a lump of coal, isn’t it?
Well yes and no. Diamonds have gone on to become the most precious of natural "stones" in the world. And in times like these, when we live in uncertain times and everything we seem to want to invest in has an uncertain future, maybe the time is right to invest in diamonds. Hear me out.
In my previous blog titled "Are diamonds forever? How to invest in them" I spoke about coloured diamonds and large investments. Today I want to let you know that investing in diamonds is not only for those with deep pockets, but for all of us too.
Over the last few years, diamonds have risen year on year between 15-20% and looks like a very safe bet indeed. However the best way to make a great return on your investment is to purchase wisely. You won’t make any money if you buy a piece of diamond set jewellery from a retailer for example. There are many reasons for this. First you have the retailers mark up; there is the labour in making the piece: there is the tax; and there is the metal costs.
Tips
The value of a diamond is based largely on the 4C’s Clarity, Cut, Colour and Carat.
When shopping for diamonds always buy them at wholesale or near wholesale prices. If the price of the diamond is five to 10 percent more than the cost, keep looking for a better deal. Go to a reputable dealer who sells GIA certified diamonds. GIA is the Gemological Institute of America, a non-profit institute considered a foremost authority in gemology. Diamonds certified by EGL USA Group, the world’s premier independent gemological laboratory is another option.
Diamonds have proved their worth as a stable commodity that maintains its value in the worst of economic time. While there’s a bit of a catch 22 here in that you need to be fairly wealthy to begin with in order to invest in diamonds, you can get started for just a few thousand dollars and rest assured that, in the long run, that investment has a very good chance of paying off.
The reason I have mentioned price’s in Dollars, is because they are priced in Dollars worldwide. If you do buy as an investment and you are not in America, take in to account the conversion rate and look at the historical currency chart. It could make your investment go a little bit further.
