Diamonds are the epitome of fascination. They dazzle with their sparkle and are often considered as a good addition to almost anything because of their durability. While it is common for people to buy diamonds for the purpose of wearing it, there are also a number of other interested people who have now begun to view diamonds as a viable investment option.
While it is true that diamonds are rare and have been going through quite a price appraisal in the past century, the question remains about their efficacy as an investment? Why do people invest in them, and what are the benefits of investing in diamonds? This detailed analysis of diamonds as a long term investment is something that you must definitely consider reading.
The Advantages of Investing In Diamonds
Diamonds are not as large as other appreciating assets, like gold, silver, even real estate. They are small and yet hold a large value, a fact that stuns people even today. They need such small storage space, even for large investments.
Diamonds are the hardest naturally occurring material on earth, scoring a solid 10 on the Mohs hardness scale. Their durability can be understood by the simple fact that they are as much as 58 times stronger than the next hardest material. This durability assures you that your investment won’t break, chip, or lose its shine.
- Inflation Proof
A fact that has come to be true over the last few decades, diamonds are totally inflation- proof, much like other appreciating assets. The advantage that diamonds have over the other is that they are movable and extremely durable. This makes them a great alternative for the times when you don’t wish to invest your money in precious metals or real estate.
- Great To Enjoy While You Have Them
When you know that diamonds will not wear off with time, which means that you can use them without worrying about their condition getting worse with use. While it is your investment, who said you couldn’t use it?
- Psychological Benefit
Diamonds are physical; you can hold them, look at them, and even wear them after mounting them. It gives you the psychological benefit of being a safe investment.
How To Invest In Diamonds?
- Start by learning the basics of diamonds, the 4Cs, and the language related to diamond.
- Know your budget because you don’t want to go over budget with diamonds.
- Don’t just invest in one type of diamonds. Keep a variety and include different levels of clarity, colour, and even cuts.
- Because the market is as competitive as it can be in the global age, it will prove beneficial to compare prices between different markets.
- It is okay to buy something rare, as long as it is desirable.
- Only buy certified diamonds.
- Decide whether you want to buy a piece of jewellery or you want to buy loose diamonds so you can get them mounted on your own when you need it.
- Buy diamonds cheap, maybe from a wholesaler or a manufacturer, so you don’t pay the price for all the mediations happened in between.
- Don’t be shy, be curious. Ask as many questions as you want to get proper assurance.