adamtal
Rough_Rock
- Joined
- Jul 25, 2015
- Messages
- 16
Hi!
I have read forum post here related to diamond investment and the answer was always the same - it is not a good idea to invest in diamond. BUT:
From what I read the problem is that normal customers can not get diamonds at wholesale prices and they are buying retail prices. I am not sure I am correct, but rapaport prices are wholesale prices, right? Now, what if (I) someone can get xyz grade GIA certified diamond at rapaport price minus 15%. This is for white brilliant cut diamond, so it is really not that hard to login and check the actual price of that diamond. If we assume that white diamonds make just 8% increase pa, then if I (someone) buy a diamond for $1000 now. Rapaport price is currently for that diamond approx $1150. In 5 years with 8% increase the rapaport price will be approx $1700. I assume I will be able to sell it for how much? I suppose somewhere around $1200-$1300. I know that this is not the best "investment", but for securing the money from hyper inflation it does not look that bad. And 8% pa for white diamond is not that unrealistic.
Now how about the fancy color diamonds? The price is going higher much steeper, so can not really understand why everyone is talking about diamonds being a bad investment. For example fancy pink diamonds went up approx 350% in the last 10 years. And it seem to be that all fancy color diamonds are much better "investment" as white diamonds. Despite this fact everyone advises not to invest in diamonds here on this forum. Is it due to the fact that you are taking into consideration that you are unable to get diamonds at wholesale prices? Does rapaport minus 15% percent means wholesale price or is it still retail price? How are retail prices compared to wholesale to rapaport prices?
Thanks. Really interested in this diamond investment thought, but a bit confused, because of the negative approach from forum members here.
I know it is now about making a fortune, but it does not seem to be as bad investment especially not for securing the money.
I have read forum post here related to diamond investment and the answer was always the same - it is not a good idea to invest in diamond. BUT:
From what I read the problem is that normal customers can not get diamonds at wholesale prices and they are buying retail prices. I am not sure I am correct, but rapaport prices are wholesale prices, right? Now, what if (I) someone can get xyz grade GIA certified diamond at rapaport price minus 15%. This is for white brilliant cut diamond, so it is really not that hard to login and check the actual price of that diamond. If we assume that white diamonds make just 8% increase pa, then if I (someone) buy a diamond for $1000 now. Rapaport price is currently for that diamond approx $1150. In 5 years with 8% increase the rapaport price will be approx $1700. I assume I will be able to sell it for how much? I suppose somewhere around $1200-$1300. I know that this is not the best "investment", but for securing the money from hyper inflation it does not look that bad. And 8% pa for white diamond is not that unrealistic.
Now how about the fancy color diamonds? The price is going higher much steeper, so can not really understand why everyone is talking about diamonds being a bad investment. For example fancy pink diamonds went up approx 350% in the last 10 years. And it seem to be that all fancy color diamonds are much better "investment" as white diamonds. Despite this fact everyone advises not to invest in diamonds here on this forum. Is it due to the fact that you are taking into consideration that you are unable to get diamonds at wholesale prices? Does rapaport minus 15% percent means wholesale price or is it still retail price? How are retail prices compared to wholesale to rapaport prices?
Thanks. Really interested in this diamond investment thought, but a bit confused, because of the negative approach from forum members here.
I know it is now about making a fortune, but it does not seem to be as bad investment especially not for securing the money.