How To Invest In Diamonds
Everyone likes diamonds and nobody looks bad in diamonds, do they? It is not actually within the scope of this piece to recommend whether diamonds are a good investment or not, but their perceived value is enormous. Instead, I would like to look at where the optimum place to buy a diamond is, since it is more importantant that you buy your diamond from a respectable merchant with a warranty than that you believe you got a decent trade on eBay by means of buying somone's granny's engagement ring, which may not be genuine.
Consequently, before you commence browsing for diamonds, consider dealing with a bonded jeweller. Bonded jewellers sell bonded diamonds and there are not many bonded jewellers in the world. In fact, of the jewellers in the world, only about 5% of them are bonded.
Buying a bonded diamond will cost more than purchasing a non-bonded diamond, but when you look at what you get with the bonded alternative, you will perceive that it is well worth the extra expenditure.
First, bonded diamonds have a buy-back guarantee for the life of the diamond. No matter how long you keep the diamond, you can take it back to the bonded jeweller and sell it back to him or her, for a 100% refund.
If a jeweller does not offer a 100% buy-back promise, for the life of the diamond, then you ought to take a nearer look at the diamond to see what is amiss with it. Just joking, thay will always offer you a 100% buy-back guarantee or tell you why not.
Bonded diamonds also have a breakage policy. If the stone breaks or chips, the bonded jeweller will replace it with a new one ? one time. No jeweller would ever offer such a policy on any stone that was not 100% natural, so just the offer of such a policy should give you peace of mind concerning the quality of the diamond. Bonded diamonds are natural and untreated.
Bonded diamonds improve in value, with a fixed appreciation rate that is intended to keep up with inflation. This means that a diamond that is valued at a particular amount of money today will be worth more in the future, as the price of diamonds continues to rise. This normally does not relate to buy-backs, although. It typically applies to trade-ins.
On the other hand, by purchasing a bonded diamond, you are sheltered against the prospect of a market crash. If a market crash occurs, the value of diamonds will drop. However, the bonded jeweller promises to refund you the discrepancy between what the diamond is now worth and what you paid for it before the market crash.
It may be tricky to find a bonded jeweller in your locale, but if you can, this is who you want to deal with, as opposed to dealing with a non-bonded jeweller. Specifically inform the jeweller that you are only interested in bonded diamonds. You can find a bonded jeweller in your area by exploiting various online resources like Google or Yahoo, or by calling the local jewellery shops.