“Buying diamonds is a volatile trade. Diamonds are a good investment when you have quality assurance, price transparency and sufficient liquidity.”
Martin Rapaport On Investment Diamonds : a Volatile Trade
Philip Manduca, Executive Chairman at Paragon Diamonds plans to provide ‘first generation economies’ billionaires in Russia, Ukraine, India, Middle East with investment grade diamonds as “easily accessible, highly portable and to government and tax authorities invisible store of value”, advantages no other ‘hard asset’ is able to offer. Paragon is “currently in the process of developing a diamond project in Lemphane, Lesotho and will be vertically integrated”.
Vera Jotanovic, PhD in Finance/Commodities at the Sapienza University of Rome, says findings to date provide interesting insights into the potential of diamonds linked to financial products, similar to other commodities. Conclusion is that financial trading of diamonds is only a matter of time, as long as the diamond financial market is wisely structured, properly standardized and based on graded and certified diamonds.
Jason Stevens, an Investment Executive at Sprott Global Resource Investments Ltd., reviews investment opportunities in the diamond industry.
Wayne D. Prentice, a graduate gemologist and former GIA resident gemology instructor, talks about the DiamondMaster app; an app he created and describes as a “global wholesale price list based on reliable market data.”
“People who had the money before but did not consider diamonds are coming into the picture.”
Investors are developing a passion for rare, top-quality diamonds.
High net-worth individuals are increasingly investing in rare pink diamonds from the Argyle mine in Australia.
Rapaport lists the share prices for public diamond companies for the week ending on 6 November at 4PM.
Prices for larger diamonds have more than doubled in the past 20 years, and investors know it. Now that Botswana has De Beers and other producers selling their diamonds in Gaborone, diamond dealers and wealthy investors are flocking to Botswana to purchase the big stones Botswana is renowned for.
Less than 1% of Chinese engagement rings were set with diamonds just 20 years ago. Today, that number has increased to almost 50%. The Chinese appear to consider diamonds as a great investment now that the country's real estate market is stagnating.
Share price changes for diamond industry public companies for the week ending October 8.
The 12-carat diamond has a unique color, clarity and size, and is internally flawless. It was purchased in its rough form for $25.6 million and has been lent to the Natural History Museum in Los Angeles until January 2015.
The receovery of a 232-carat white diamond, estimated at $15 million, led to an increase in the share price. Petra said exceptional diamonds recovered at Cullinan have increased the company’s revenue by $18 million per year.
JCK’s Rob Bates shares his discoveries about pink diamonds after attending the Argyle pink tender in New York City.
After finding a 122.5 carat blue diamond just three months ago, the miner has now found a 232-carat white diamond.