They say that diamonds are a girl’s best friend.
It all depends on the quality of the diamond and its rarity as to colour and brightness.
The diamond industry is huge and lucrative, but their products can hardly be regarded as a good investment by the general public unless they can afford to own a spectacular stone, likely to increase in value because of its unusual features which are bound to attract any future investors.
From time to time, a remarkable diamond comes on the market and no shortage of buyers emerge to outbid one another.
A case in point recently was when a Hong Kong buyer paid £25 million for a near-ten-carat blue diamond at an auction held by Sotheby’s in New York. The unnamed collector saw off six other bidders to set a new record price per carat for any diamond, Sotheby’s said.
China, the fastest growing diamond market, is driving global demand in the sector with younger generations increasingly choosing the precious stones over traditional gold baubles to mark engagements and marriage vows.
But like everything else in the luxury market, including art, popular demand does not in any way constitute a good investment.
For the price of buying the item does not necessarily correspond to its disposable value. The hype is often misleading and can cause heartache in money terms in the event of being sold, for luxuries are a whim and a pleasure for which we have to pay rather dearly without expecting much in return.
So girls, choose your best friend very carefully – and if it has to be a diamond don’t be bamboozled and make sure it is a gem of great quality, or tears will flow.