Tuesday, February 8, 2011
Now, (pink) diamonds may be investor's best friend too!
Marilyn Monroe's famous song “Diamonds are a girl's best friend' will soon have new lyrics. Something like "Diamonds are an investor's best friend".
Pink diamonds, are a rare form of the hardest stone on earth, found only in Australia. These stones are 20 times more expensive than traditional white diamonds. And forget the ladies, hardened Indian investors may soon be swooning over these stones.
Josephine Acher, business manager at Argyle Pink Diamonds says “Last year, we published an index of the performance of the tender quality pink diamonds, which are our finest pink diamonds. We release only 50 a year and every year they have out performed white diamonds price indexes.
With a 25% growth rate, India’s diamond market is the fastest growing in the world and is currently worth over Rs 25,000 crore. Experts say pink diamonds could step on the accelerator nicely.
Archer says, “If I talk about the investment appeal of Argyle pink diamonds, there's growing interest in that. Saying growing interest from india, and not just from the jewellery market but from the investor market. You may buy a loose pink diamond and not even said it in a piece of jewellery. Just keep it in a safe as a store of wealth.”
Not surprising, considering there are almost 130,000 millionaire households in India who can afford these diamonds. The price tag ranges from Rs 10 lakh for certain stones, while pieces like this Shalimar ring can get over Rs 10 crore rupees.