Are you considering investing in diamonds instead of the stock market? Yes? Then have a read of this.
Diamonds keep their value; they are beautifully eye-catching, and are always sought after.
But, before you make an investment, there are a few things you need to know about investing in these precious stones.
You have two options for investing. One is investing in stocks in a diamond related company, and the other is buying an actual diamond as an investment. This guide relates to the later.
What you will get back from your investment tends to be around the price increase rate. However, there are certain cases where diamond prices rise. For instance, if the amount of diamond mines reduce, diamonds become less available and so more valuable.
Investing in diamonds is not like investing in gold. Unlike gold and precious metals there is no going rate for diamonds. The value of a diamond is determined by things like the purity of it, the quality, the condition, and how much the buyer will offer you for it.
To ensure you can make your money back, you need to buy your stone as close to the wholesale price as possible. As diamonds tend only to increase by the amount of inflation, you need to make sure that you pay a low price. So that you can make a profit back when you decide to sell.
To get the best deals on diamonds, you will need to get in touch with the companies mining them or the companies buying from them. You can also visit antique markets and pawn shops to find some good diamond deals. I also recently visited an amazing Petworth antiques store called Tallulah Fox and found some amazing stuff in there, so that’s well worth checking out. You could also get in touch with your local jewelers, for example you can find loose diamonds in Houston at Whiteflash.com.
If you don’t know much about diamonds, it might be a good idea to hire a professional to help you out. Before you make an investment, you need to know as much about diamonds as possible. If you are going shopping alone, make sure you can spot a fake stone. It is also important to know how to check the diamond’s quality and purity.
Remember that diamonds are unique, and because of this their value is also unique. It can be hard to put a price on a diamond as it depends on many factors, such as clarity, cut and colour.
Beware of fraudsters. The diamond industry has lots of fraudsters within it. If the seller is overly pushy and talks vaguely about the stone and what a good investment it is, then it is best to leave it. Many retailers target new and inexperienced investors to sell fake diamonds too.
A respectable diamond seller is someone who explains to you about the stone itself, such as the carat of the diamond, the cut of it and the clarity of it. View mens diamond wedding rings at Certified Diamond Network store.
If you are unsure about a stone, don’t invest in it. Hire a professional to look at it for you, and confirm that it is worth what the seller says it is.
Investing in diamonds may seem like a simple investment, but the reality is that there is a lot of hard work that comes with it. Make sure you do your research properly, so that you understand the industry before making an investment.
