Why Invest in Diamonds?
Updated: Apr 15, 2021
Fancy Colored Diamonds and gems are some of the world’s most finite resources for commodities. This commodity can be bought, sold, or held for long-term gains. No matter what other markets are doing, the Fancy Colored Diamond market’s liquidity remains powerful and its currency value is as strong as cash globally. Naturally Colored Diamonds can be sold anywhere and in any currency.
Most importantly for investing in diamonds is that diamonds are a tangible asset. You can physically hold onto your investment, you can mount or set your stone in jewelry and wear your investment and enjoy it as it appreciates. Some of the benefits of being a tangible asset are that diamonds are small, easy to store, durable, easy to transport or ship, and you can pass them on to your heirs as personal property without being subject to taxation. Natural Fancy Colored Diamonds are the most concentrated form of wealth on the planet. One million dollars of diamonds can fit into your pocket and weigh less than a gram.
With today’s unpredictable stock market, diamonds are a more predictable alternative. Their pricing is independent of other investment markets – and are even independent of their own overall market – each diamond’s assessment is unique based on known factors, such as the 4 C’s.
Natural Colored Diamonds have a history of steady appreciation. In 2008, when gold fell 30% and white diamonds dropped 20%, natural fancy color diamonds did not fall rather had a small rise (3-4%) in appreciation. In the past 30 years, fancy color diamonds have never depreciated in value.
Investment-Grade Fancy Colored Diamonds are based on the highest quality cut, clarity, carat size, and exact color. Not all Fancy Colored Diamonds fit into the Investment-Grade category. Colored Diamonds are exceptionally rare. For every 1 carat of colored diamonds, 10,000 carats of white diamonds are mined. Of the production of color diamonds mined, less than 1% of color diamond production would be considered investment grade.
If you are interested in purchasing or selling fancy color diamonds as an investment, please email Rayah Levy at firstname.lastname@example.org to discuss your personalized long-term luxury investment asset strategy.