Thinking about buying and selling in solids ? Gold rates are through the roof, stocks are unreliable,  this makes it difficult to choose a good investment  . take it easy, you are not alone .

How about expensive diamonds?

Here is a listing of some benefits of owning and investing in diamonds

  • These Little shiny pieces of pure carbon are worth more than gold in weight.
  • You can impress you wife or girlfriend(s).
  • Leaving town, no problem, your fortune fits inside your wallet.
  • Selling them is easy provided you have studied the trading markets.

The drawbacks:

investing in diamonds can be difficult. You need a trustworthy diamond supplier, preferably on the wholesale level.

Diamonds are easy to steal  , make sure you have they are insured adequately. Keep pictures and copies of the certificate and bill.

Diamond prices : up by 17% in 2011

Despite the global economical problem diamond prices are going up. There are 2 driving forces that explain these price increases that have been  going up steadily since 2005 with the exception of 2009.

  1. Shortage of supply: simply put there are not enough top gems out there to fill the needs of the markets, driving the prices up
  2. In Europe the Euro crisis may trigger a serious increase in demand for funding diamonds, causing possible surge in diamond pricing for 2012.

A good source to receive some diamond price information based on real time bourse information is key. You may even use a specialized diamond search engine to find individual diamonds. know-how is power and this is all true for diamond purchasing.

 

Which diamonds to invest in? Large diamonds or small diamonds? What quality? What dimension?

You are probably well advised to buy top class diamonds, meaning white diamonds with no inclusions or a pure diamond. Make sure the diamond has an international accepted certificate like GIA or HRD.

Don’t go for diamonds over 3 carat. huge diamonds are unique and costly, but selling them may proof harder as they get bigger. It is suggested to purchase 1.00 to 2.00 carat diamonds in top good quality. They can be fitted into rings easily without looking over the top AND they are quite easy to sell on the international market.

Where to buy?

  • Antwerp Belgium is the largest diamond trading district worldwide with several diamond bourses
  • Buy at wholesale level. Tip: wholesale companies generally do not sell to private, but it never hurts to try.
  • Make sure the diamond seller is a settled company with association to one or more diamond bourses
  • Call them? Know who you are dealing with and talk straight over the phone to get some physical feedback.

Investing in diamonds is a good option, provided you do your research!