Trading in the stock market has long been one of the most common methods of making money from trading commodities. However, more people are slowly turning into other forms of investments to protect their money from the volatile nature of the stock market. Amongst the asset investment alternatives to the stock market is loose stones trading. Selling and buying of colored diamonds are slowly becoming a preferred investment option by many.
In 2017, a 59.6-carat diamond was auctioned for $71.2 million. Even though it was a large stone, which made it even more appealing to the bidders was its pink color.
Over the years, the price of pink diamond stones has grown more than that of other colored diamonds. Here is why you should consider investing in colored diamonds.
Colored diamonds are stable assets
With more and more investors opting to take part in precious jewelry investments, this market had grown to become the most popular asset trading option in the world. The numbers have been rising every day as more investors continue to buy treasures now more than they did five years ago. The buying and selling of colored diamonds have seen a significant boost in the past decade.
Colored diamonds are animportant investment because they are rare, which makes them a stable buy. In every ten thousand diamonds mined, only one is mined naturally colored. This makes it impossible for the diamond market to be flooded with colored diamonds. In turn, the chances of the price crushing are near impossible. Any good investor understands it is always wise to invest in a stable, long term trend as it offers a real opportunity for a huge payoff. Colored diamonds are amongst the rarest types of diamonds. This makes them in demand and pricey.
Pink color diamonds are a wearable form of investment
Besides being stable in value, many people love investing in pink colored diamonds because of their ability to be moved and stored. This makes them more manageable when compared to other tangible investments such as antique future, art, or real estate. The owner of pink diamonds can choose to keep it in a safe or have it set in jewelry. This makes it possible to enjoy the investment. Pink Colored diamonds can be used as stones in bracelets, rings or chains.
As an investor, you may want to be wary about purchasing an already set pink diamond. Sometimes, pink-colored diamonds are selected to meet specific set requirements. Also, they can sometimes be set to hide some imperfections. This is why some set pink diamond pieces fail to yield the expected return on investment at the time of selling. More so, most investors prefer to deal with loose stones as opposed to set ones. This is because they are easier to sell and attract better bids.
Trading pink color diamonds is a unique investment plan that promises high returns. The rarity ensures that there is always a demand for precious stones and that the prices will forever remain high. If you are looking for an investment to add to your portfolio, you should consider trading pink color diamonds.