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Investing in Colored Diamonds
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Colored diamonds are one of the rarest commodities in the world.
Widely traded and Internationally recognized, small and extremely portable, extremely durable, multi function assets class, the price appreciate over the past 30 years and will not be around forever. Over the past 10 years, prices of colored diamonds increased by 200%. |
Introduction to investing in Colored Diamonds
83.2 million ‒ the highest price ever paid for any gemstone anywhere ‒ for the 59.6 carat Pink Star, a Fancy Vivid pink diamond at Sotheby’s. Auction prices for colored diamonds are public record. To fully understand how much these stones have appreciated in value, we encourage you to look through some of the past auction records.
Colored diamonds have been collected by the members of royalty, the rich, and famous for years, they are widely traded and internationally recognized goods.
If you can hold out over the longer term, colored diamonds have proven to be a great investment.
For example, in the late 70’s a man purchased the BVLGARI Blue Diamond as a gift for his wife who was about to deliver their first baby boy for $1.4 million. He sold that same diamond in 2010 at Christie’s New York for $15.7 million. Over the past 10 years, prices of colored diamonds increased by 200%.
The beautiful thing about a natural colored diamond is that by definition the starting point is much better than in regular colorless diamonds - they are rare enough due to the fact that only 0.01% of the diamonds is a natural colored diamond (1 of 10,000 diamonds) .
While in the case of white diamonds it is possible to buy virtually any stone, we naturally skip here unique stones, in the case of colored diamonds we can buy only what is available on the market because such a diamond can be the only one in the world and never will be found again.
Colored diamonds have been collected by the members of royalty, the rich, and famous for years, they are widely traded and internationally recognized goods.
If you can hold out over the longer term, colored diamonds have proven to be a great investment.
For example, in the late 70’s a man purchased the BVLGARI Blue Diamond as a gift for his wife who was about to deliver their first baby boy for $1.4 million. He sold that same diamond in 2010 at Christie’s New York for $15.7 million. Over the past 10 years, prices of colored diamonds increased by 200%.
The beautiful thing about a natural colored diamond is that by definition the starting point is much better than in regular colorless diamonds - they are rare enough due to the fact that only 0.01% of the diamonds is a natural colored diamond (1 of 10,000 diamonds) .
While in the case of white diamonds it is possible to buy virtually any stone, we naturally skip here unique stones, in the case of colored diamonds we can buy only what is available on the market because such a diamond can be the only one in the world and never will be found again.
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Why Colored Diamonds are a Wise Investment
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- Diamonds require no reporting for tax purposes. They can be easily stored for safe keeping without ever sharing the information publicly and can be savored on a daily basis. There is no reporting to any government on transactions of diamonds and gemstones, keeping the ownership of any gem private.
- Fancy colored diamonds are internationally recognized, well established goods. Even just a little research proves that over the past 30 years, the price appreciation of natural fancy colored diamonds has dominated the market. Auctions results prove the strength of colored diamonds in today's market, not to mention that they have repeatedly broken auction house records for the highest price per carat ever paid at auction for a diamond or jewel.
- Diamonds are small, they weigh next to nothing and they are extremely portable.One million dollars worth of diamonds can fit into your pocket and weigh less than a gram whereas a million dollars worth of gold would weigh close to 40 pounds. Therefore, large amounts can easily be transported and concealed ones pocket or clothing completely unnoticed in emergency situations.
- Value retention, contrary to colorless stones, fancy colored diamonds have no fixed price. Their market value is determined by prices paid in the auction houses.
- Extremely Durable, both figuratively and physically, diamonds are among the hardest elements on the face of the planet. Physically as a result of the atomic structure of the stones and figuratively as a result of its magnificent performance over time.
- Colored diamonds are one of the rarest commodities in the world. They are found in only a handful of diamond mines in the world and even then only appear as a small percentage of full production. Some colors, Fancy Intense Violet for example, are considered so rare that most companies will never actually see its shade.
- Multi function assets class, they possess multiple functions as an asset. This point is better known as the “Fun Factor.” As well as being a truly exceptional investment opportunity, color diamonds make for the most fantastic and fashionable pieces of diamond jewellery around.
How to choose the Colored Diamonds
Fancy colored diamonds will not be around forever. Volatility in any market tends to create activity as we see in today's commodities and investors aim to grow and color their portfolios in order to secure their future.
When it comes to the selection of investment diamonds, it all depends of you portfolio structure and in this context you should do some research on the purchase.
The good news is that, the prices and size of diamonds have quite a large spread and practically most investors or collectors have a chance to find something for themselves. → Trade Offer
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When investing in a natural colored diamond it is important to have an accompanying gemological laboratory report. Having a report from a respected lab will enable the owner to obtain current market value.
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To discover the advanced technologies to modify diamonds, requires the use of specialized equipment that can only be found in specialized diamond laboratories.
Laboratory Certificate from a renowned laboratory recognized around the world is the only reliable source of colored or white diamond evaluation.
In our opinion, the following four laboratories guarantee a reliable assessment of origin and value of Colored Diamonds ..... → more
Laboratory Certificate from a renowned laboratory recognized around the world is the only reliable source of colored or white diamond evaluation.
In our opinion, the following four laboratories guarantee a reliable assessment of origin and value of Colored Diamonds ..... → more
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