Diamonds are beautiful stones which make you feel sparkling when adorned, whilst also helping your pockets stay full with pounds. You may not have thought about these precious stones as bank before, but investing money into diamonds has many benefits and can help you in the long run.
Before diving into the tips of how you invest, here are some pointers in why investing is wise:
Small but Mighty
For decades, diamonds have been used as a means of monetary transfer. Unlike wads of notes or gold, they take up minimal space but are worth the same value. Easy to store, easy to sell.
As the hardest substance on earth, around 140 times as hard as the second hardest mineral of corundum, the diamond does not chip or scratch. This means a perfectly formed, cut, and polished diamond for all the years you have it – maintaining its wealth.
Holdfast in Inflation
Diamonds are always wanted, desired, and maintain their value. As inflation progresses, diamonds remain durable and appreciate in compliance to inflation. It’s a sure and sound investment when wanting to maintain or increase your money in the future.
Enjoy you Worth
You can store your diamonds away, or alternatively set them into rings and wear them with pride. Diamonds not only come with their value, but also come with their status and beauty – why not show them off?
Physical and Valuable
Unlike stocks and shares which are unstable, risky, and non-visible, diamonds are reliable and come with the benefit of their luxury decoration. Their price will hardly fluctuate and you can see them in person, physically.
Now that you know why investing in diamonds is worth your while, here are some handy tips you should know before you make the purchase:
Know Your Stuff
Before buying your diamonds, its good to know why they cost what they do. Head to our diamond education page to learn about the 4Cs which contribute to the pricing of diamonds and how coloured diamonds differ from clear diamonds.
Singular is not Better
Let’s say you have a budget of £30,000. You may be tempted to invest all of this into a grand, flawless diamond; however, it’s the smarter move to split this into two diamonds, or even three. Furthermore, demand will increase for one kind of diamond as opposed to another, so it is wise to invest in a varied range; such as one clear diamond, a pink diamond, and a blue diamond to diversify your market.
Unlike stocks which are fixed prices from thousands of buyer and sellers, diamonds are a commodity which can be sold at different prices according to their sellers. Do your research and find a seller which gives you the most for the minimum. (Pssst: here at London DE we can provide you diamonds from high up in the supply chain, meaning the lowest prices you can find!)
The Rarer the Better
You could buy a regular clear diamond which everybody has. It will maintain its value, but due to similar items being sold elsewhere you are competing with other sellers for buyers. If you come across a diamond which has a unique cut, colour, or history, then snap that up quick; buyers are far more interested in the unique, rather than the common!