Investing in diamonds is not just for the rich. Perhaps at one time it was, but today, Investing in diamonds is literally for anyone who wants to diversify their portfolio and at the same time, hold something physical in their hands.
That’s the beauty with diamonds- it’s not an exchange traded fund (ETF). It’s not a stock or a piece of paper; they’re real, physical, “hold in your hand” diamonds. Think about that- not only as an investment but as the most wild conversation piece you’ve ever had. Imagine having the guys over and pulling out a fist full of diamonds!
There’s essentially 2 ways to acquire diamonds as in the form they come in.
- Processed Diamonds: This is the form you see when you’re at the jewelry store; a beautiful, clear, white stone, faceted, polished and cut, shimmering from all angles. These are the processed diamonds and quite frankly, that’s not where you want to be.
- Rough Diamonds: These are the diamonds straight out of the mine. They’re not polished, they’re not cut, they are as raw as raw gets. These are the diamonds that you should look for when investing in diamonds.
Rough or “raw” diamonds are cheaper than the processed diamonds and in a lot of cases, if you find a reputable seller, you can get them direct from the mine and delivered to your door. Acquiring them this way completely cuts out the middleman and for the investor, that’s where you need to be.
Investing in diamonds is a great way to use limited funds to secure a physical investment and while the stock market fluctuates as well as gold and silver, diamonds have done nothing but rise in price throughout the years. Why? They’re not tied to anything; meaning, they’re not considered a commodity and they’re not sold on the global market like oil, gas, silver and gold.
The truth about diamonds is, they are the most valuable items in the world. A handful of diamonds could very well make you a multi-millionaire. That being said, diamonds are the best “portable emergency disaster fund” available. Meaning, that diamonds are the lightest and easiest way to store “wealth” in a time of economic uncertainty.
Investors buy silver and gold because they are both hedges against a bad economy and in case the bottom drops out of the market and economy. But my question is, people who buy gold and silver have it for an emergency, right? Well, wouldn’t you rather carry a diamond instead of a bunch of gold bricks or bullion?
Investing in diamonds is a safe, strong and inexpensive way to build wealth. If done correctly, one could easily bolster their portfolio and bring in a new stream of income quickly and effectively.
For the past 10 years, I have been a commodities trader and market advisor turned partner of a small and successful South African diamond mine. With demand going up and supply going down, diamonds could be exactly what you may need to safely and effectively pump up your portfolio.