6th July 2009
Author: Mark Walker, Creative Director of Icecool.co.uk
While the economic crisis presents challenges for the luxury goods category as a whole, diamonds are uniquely positioned to emerge strongly from this short-term uncertainty and create valuable investment opportunities. Diamonds, traditionally a store of wealth and the currency of love, are piercing the economic gloom with their message of enduring values.
The short-term reduction in diamond inventory, coupled with lower levels of industry investment in exploration and new mining projects will create a shortfall in previously forecast levels of diamond supply.
De Beers who produce and market 40% of the world’s supply of rough diamonds discovered 37 kimberlites in 2008. This compares to 45 kimberlites in 2007, and it is predicted that at the current rate of extraction, the world has only 50 years of diamond mining remaining.
Historically, there has been high incremental growth and low volatility in the value of diamonds, making them attractive in the long term. The last 5 years has seen important value increases of more than 300% in certain exceptional diamonds of +3 carats.
The art of investment diamonds, a real and viable alternative to conventional investment portfolios. If you are interested in attending a seminar on alternative investments i.e. diamonds and wine please contact us for the opportunity to attend.
For further information contact Mark Walker; MarkW@icecool.co.uk or 020 7831 7648