In this summer period, I decided to talk to you about a subject a little more serious than usual, that of Diamonds Investment! A true safe haven, much more profitable than other investment levers such as gold, the stock market or real estate, diamonds have it all. First of all, it should be noted that the diamond market has continued to increase over the past 10 years, the demand being much higher than the supply.
The diamonds investment market
Investment in gold has tended to give way to Diamonds Investment. This gem is less volatile than gold and offers more generous return prospects. It is a more stable asset, so it is an investment that appears to be low risk. The diamond marketfollows its own market, the price is governed by supply and demand. The supply being more and more rare and the demand more and more strong, its price increases quite naturally.
It is a market that is not influenced by the stock market or by economic crises. Demand is on the rise, boosted especially by demand from Asian fortunes. The diamond market price is regulated by the producers who store these precious stones in order to influence the price and thus avoid excessive variations. Demand from emerging countries helps boost demand, because they express a strong desire to invest in this market.
Diamonds allow you to diversify your investment portfolio
Diamonds Investment is a financial investment just like the stock market, real estate or gold. It is a stable asset, little taxed and increasingly rare. These characteristics make it become a safe haven recognised internationally. It’s a product to integrate into your heritage portfolio, but you shouldn’t bet everything on it either.
When always when you invest, it is better to diversify your offer! But where can you buy diamonds? Indeed, at first glance this sector looks quite closed. Still, you can easily start investing in those little bits of translucent carbon by contacting Baunat Diamonds , the Diamonds Investment specialist.. Based in Antwerp, Belgium, this company offers very beautiful diamonds at the best possible prices. Of course, it is not the only player in the sector.
How to choose the right Diamonds Investment?
To choose the ideal diamond for an investment, it is necessary to analyze the quality of the diamond and know how to appreciate its potential. The purer the diamond, the more value it will gain over time, and the more the resale will be done in perfect conditions.
“The analysis and the estimate of the diamond is carried out under a magnifying glass by an expert called a diamond dealer. “
There are four main qualifications that define the quality of a diamond, this is called the 4 C. Diamonds are therefore classified according to these four main criteria. First of all, there is the color, which is more or less nuanced. Then there is the Clarity, which analyzes the different inclusions in the stone. The third criterion is the Carat, ie the weight of the diamond, 1 carat is equivalent to 0.20 grams. Finally, the last criterion is the size of the gem which can give different shapes:
What is the taxation of capital gains on diamonds ?
Be careful, because capital gains on Diamonds Investment are subject to a significant tax. Diamonds are in fact not framed by a tax niche, unlike works of art which are not subject to any capital gain. For resale with capital gain, the investor must pay a tax of 34.5% on the amount of the capital gain. But after 22 years, the added value no longer applies, so investing in diamonds is part of a long-term strategy.