Need help Investing in Panjshir Emeralds

[digdeep]

The oxymoron in reality TV shows are......."they aren't reality".

Also, in case you hadn't grabbed a calculator........

2 years ago I sold an almost flawless 3.45ct Panjshir Emerald AGL certified with 90% brilliance and perfect cutting and polish for $17,500. The rough stones you have in the pics have a lot of eye visible inclusions.

which comes out to slightly over 5K per carat for what was sold/described by Mauriceo.

 

[Bron357]

I’ll put to you this way seeing as you’re an engineer - I’ve seen a few shows on buildings - and obviously I’ve seen plenty around so if I do an online course or two I can design and build my own ?
Gem buying and dealing, like engineering and construction, requires a vast amount of knowledge and experience plus the right contacts and very deep pockets up front.
None of those emerald shown in the photo look ready “to set”. They simply don’t look “finished”. You will probably need to spend more money and time getting them cut and finished for them to be marketable.
In regards to your proposed markets -
Jewelers - Don’t buy loose emeralds per se. If they are manufacturing it’s “on commission”, the client will have specified a certain shape and carat weight. With the internet and hundreds of worldwide vendors, the jeweler will want to consider a range of gems that meet the clients requirements and will already have their preferred and trusted vendors.
Pawnbrokers - they do not buy loose gems. They buy “already made” jewelry and give the poor chump selling a fraction of the $$ it’s worth (their business model is to specialize in dealing with the naive and/ or desperate).
Gem Cutters - well, seeing as they do all the work and take the most risk, they want to buy raw material direct from the mines. They want to sight and examine every gem to calculate net carat weight and probably end value. They don’t need or want “you” as an extra middleman.
Auctions - only a specialized loose gem auction will attract the right range of buyers. I occasionally buy loose gems at auction, ie general auctions where they are an odd lot amongst the china, art, nick knacks and furniture lots. And I pay a fraction of their worth (because no one else there is the slightest bit interested in random loose gems).
Furthermore it costs a lot to sell (and buy) at auction. Auctioneers usually charge the seller (you) a 20 to 25% seller commission AND charge the buyers a commission of up to 25% as well - ie the buyer pays extra on top of hammer price.
Here’s an example
If your gem is worth say $10,000 retail - the buyer is expecting at least 20% retail discount because buying at auction is a “no return / no exchange” transaction so they will only pay up to $6,000 on the hammer.
If it sells at $6,000, you will receive $4,500 net.
For you to make just a 25% profit for yourself, you have to have bought that emerald for $3,375.
So, I don’t mean to “rain on your parade” regarding your proposed business venture, but it is certainly not an easy, quick, big return or risk free venture.

 

[Bron357]

And looking at Dupuis auction results for eg.
Fall 2017 sale results.
Lot 212 - an 18ct white gold ring set with an 8 carat Emerald (and two diamonds) - sold for $7,500 CAN.
So the seller/ owner of this ring netted around $5,700.
Given that the ring mount with diamonds is worth at least $1,500 (used) that means the 8 carat emerald is worth a measly $500 or so a carat AND it’s a big emerald.
And your seller is saying his price is $10,000 a carat even on tiny 2 carat emeralds that need more cutting work.

 

[Bron357]

And my final example are emeralds currently for sale on ebay (it will cost the seller 13% of his sale price as eBay fees).
Both represent an equivalent “over 30 carats of emeralds”.
Both examples are Columbian and oiled.
# Most similar parcel as what you’re considering but here it is only 6 pieces totaling 38 carats (= around $500 a carat) (buy for $20,000 us)
# 32 Carats in just 2 gems (= $1,000 a carat). (Buy for $32,000 us)

And there are currently over 14,000 listings for “loose emeralds” to choose from.

 

[Barrett]

If you can afford to spend that kind of cash on stones....well, how about hiring me as your personal attache' in acquiring gemstones.
Whomever is offering you this parcel, is most likely is from Peshawar, or that area in general. That means that started ridiculously high on price,and expect you to bargain with him/her. Low ball the offer, and sit on it. They are the seller....with time to lose. You are the money man...the buyer....with all the time in the world.
If I was you....go with Colombian stones. Panjshir is to "advanced" for the like of a novice. They are easily switched with Laghman or Swat valley stones. Although, much different than Panjshir, they will still trick the amatuer buyer.
This is an odd post. Not many would risk dropping those kinds of funds on something they know little about. No offense, if I am mistaken, but you must understand where I am coming from. You either have money to spend, or your someone who has already invested time and money in Panjshir stones and your just fishing for what others, like us, will pay for stones.

 

[Barrett]

I honestly have watched gem hunters repeatedly and thought that was it. The truth and nothing but the truth. I guess I was wrong!
Welcome to the most fraudulent business in the world. Where nothing is as it seems!

 

[Nosean]

Or hire me - I am cheaper!

 

[mfa476]

Thanks Bron for the insight on the nature of the business. As Barrett said I will low ball the offer. But this will only happen once I have it in writing viz a viz a certificate from GIA or AGL saying that it indeed is a Panjshir emerald and offcourse it has to be a great buy else I am thinking of passing the offer. I am aware of the Swat emeralds but never knew there was a production in Laghman.
I have an option of buying a Kashmir color change sapphire, which is around 4.6 carat (untreated and untreated), with a certificate from GRS SwissLab plus this buurmese ruby:

View media item 122435View media item 122434View media item 122433

 

[mfa476]

Nosean and Barrett, I might take up on the offer

 

[Sheldon Melson]

Try and read up on a post about a recent auction at Guernsey's Auction House on the Marcia de Gomar Collection. Loose Emeralds, and Emeralds set in jewelry recovered from the Atocha shipwreck. Half of the items put up for auction didn't sell, some did. I don't know how to attach a link but here's an excerpt from the National Jeweler on the article.
"Only two loose stones sold--the 12.07-carat “Heart of Muzo” for $10,000 and the 4.39-carat round “Reina del Mar” for $10,000--and two of the finished pieces--the “Conquistador” tiara made with 14.27 total carats of Muzo emeralds and diamonds, which sold for $50,000, and the “Emerald Dragon” belt buckle, featuring a 2.69-carat Colombian oval cabochon emerald and diamond accent, that went for $5,000."
Bear in mind, these aren't just gemstones, they come from a historical shipwreck. Consider you buy a 4 ct emerald, and put it up for auction, there's no guarantee it'll sell at the reserve price. You might want to consider investing a small amount of money first by buying smaller stones or stones treated with oil. Even treated stones can sell, just make sure you buy it at fair market price and not retail.

 

[Tourmaline]

Me and my buddies have been offered to buy 32 Carat Panjshir emerald lot.

You are still considering this after all of the reasonable advice you have received here?! You will be THROWING YOUR MONEY AWAY.

A fool and his money are soon parted.

 

[mfa476]

Hi Tourmaline,
I have declined the offer.

 

[mfa476]

Hello Sheldon,
Thanks for the insightful response. I am considering decoration pieces like lapis lazuli table tops, lapis lazuli chess boards and a few smaller stones to invest in.