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Pink Diamonds as an Investment: Pros and Cons
Pink diamonds are one of the rarest and most valuable gemstones in the world. They are not only a beautiful piece of jewelry but also an investment opportunity for those looking to diversify their portfolio. However, as with any investment, there are both pros and cons to consider before making a purchase.
april 18th,2022 I 7 min read
Here are some of the pros you should know:
- Rarity: Pink diamonds are extremely rare, accounting for less than 0.1% of all diamonds mined. This rarity drives up their value, making them a potentially lucrative investment.
- Investment potential: Over the past 22 years, premium Argyle certified pink diamond prices have risen by an average of 28% per year. This impressive growth has attracted investors who see them as a way to diversify their portfolio and potentially earn significant returns.
- Resilience: Unlike other commodities, pink diamonds are not subject to the same economic volatility. They are a stable asset that tends to hold their value even during times of economic uncertainty.
- Tangible asset: Unlike stocks or bonds, pink diamonds are a tangible asset that can be held and admired. This can be a satisfying feeling for those who prefer to see and touch their investments.
- Portable wealth: Pink diamonds are a portable form of wealth. They are small and easy to transport, making them an ideal investment for those who are always on the move.
As like every other investment, there are cons you have to consider. Such as…
- Cost: Argyle certified Pink diamonds are one of the most expensive gemstones in the world. The high cost can be a barrier for entry for some investors.
- Maintenance costs: Owning a pink diamond requires maintenance costs such as insurance, storage, and periodic cleaning. These costs can add up and should be factored into the investment decision.
So, Pink diamonds can be a lucrative investment opportunity for those looking to diversify their portfolio. However, it’s important to consider both the pros and cons before making a purchase. The rarity, investment potential, and resilience of pink diamonds make them an attractive investment, but the high cost should also be taken into account. Ultimately, investors should do their research, consult with a professional, and carefully weigh the risks and rewards before investing in pink diamonds.
With the exclusive use of Australian Diamond Analytics™ we can accurately evaluate the rarity of all certified Pink diamond from the Argyle mines. This is how we are able to make an educated decision on which diamond is the most viable to invest based on rarity.
Contact us to know more about Argyle branded pink diamonds.
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