Asset value: Is diamond better than gold?
We love diamonds because they are beautiful and rare. That’s always the first thing that comes to our mind when we think about diamonds. But what most of us do not know is that these precious beauties also have an asset value. We spend thousands and lakhs on buying diamond jewellery and are very particular about the quality. The pricing is what gets to us in most cases. Not only is it difficult to find a reliable diamond jeweller but also a reliable pricing mechanism.
Gold is a favourite when it comes to investing in jewellery. In India, we buy gold jewellery during festivals, wear them a few times and then store it in the locker. We do this knowing that the value of our gold is appreciating and not just idly sitting inside the safe.
The same could happen with our diamonds too. However, we have been apprehensive of buying diamonds, let alone think about its asset value. The reason for this is hidden prices at diamond jewellery stores. Diamond prices fluctuate with any change in the market conditions. Even if we have a diamond jeweller who can tell the prices, he may not do it gauge it accurately.
What is the asset value of a diamond?
A diamond is an asset, just like your house is. You can buy a house today, live in it for 10-15 years and then sell it for a good price. You can do this with confidence because you’re aware that the price is appreciating with every passing month! It is the very reason so many people buy homes and invest in them. It is a practical and reliable investment asset like gold.
The asset value of diamonds works the same way. You can buy a diamond, enjoy wearing it months or years and then resell it when you need money. There is just one advantage that gold and homes have over diamonds – a price index.
The reason that most diamond brands do not have a diamond price index is the lack of transparent pricing. It is difficult to track changes in diamond prices and update them as they change. But doing so not only benefits the consumers but also the industry.
The diamond benefit
Divine Solitaires has its own Nationwide Standard & Transparent Price List. It contains the prices of all the diamonds that the brand owns and is updated each month. All the outlets that sell the brand’s diamonds follow the same pricing to ensure transparency.
Furthermore, the Solitaire Price Index is based on this price list. Every month, the index reflects the average of the brand’s diamonds in the price list. One can also know the change in the price trend from the previous month and previous year. That way one can easily track the trends before buying diamonds.
Transparent pricing means that your diamond’s value will appreciate over time and you can resell it for the right price. And if you want a bigger stone, you can do that by paying the difference amount between the two stones.
Going out to the store to buy solitaire jewellery feels great! We associate happiness and enthusiasm with jewellery shopping. With …