Sunday, August 22, 2010

Save Money With a Diamond Products

In 1956, Warren, Hancock, Montana farmer and colorful collection of diamonds, 0.95 carat diamond bought a red on their local jeweler for $ 13.500. In 1987, his heirs sold the diamond auction Christie's for $ 880,000. We can say that this was one of the largest investments made by the Stone Age. The annualized return of more than 200% for long!



This extraordinary success has led many people want to imitate Mr. Hancock. Especially at a time when interest rates are low and declining stock markets, precious investment looks attractive - it's portable, easy to store and always maintain its value because of their intrinsic value. Provision of natural stone is always limited, and many mines, in fact, have already been developed. No wonder the prices of many stones ever enjoy.

In many parts of the world, the so-called hard assets, like land, gold and precious stones, preferably have been active and sweet as those of stocks, bonds and even currencies. But if you think of stones as an investment should keep in mind some differences between the rocks and durable goods such as gold.

If you have gold jewelry, coins, bars, gold can be converted to cash almost anywhere. Just go to the store of gold or a gold trader, who will test gold, weigh and pay the standard price. excellent liquidity of gold, better than any other asset.

Precious stones, hands are like real estate - may not be very easy to sell when you want. The chances are that you'll always be able to find a buyer but the buyer is perhaps an opportunist who is willing to pay a low price. For example, take one of the favorite stones or jewels to a local jeweler and ask him how much will have to pay for it. This gives a very good idea of the precious liquid.

Another difference between the stones and gold, is that there is no standard for the award of the value of gemstones. Gems can be confirmed by the renowned gemological laboratories, workshops, but they can not be said, the value of your stone. Pure gold is known to the market value of the mass at a given time, but the value of the gem is often difficult to predict. For example, when Hancock Red Diamond has been auctioned, Christie's is selling for less than $ 150,000. The price is what the market will pay at any time. But finding the right buyer can take time and considerable effort.

If you consider investing in precious stones, may do better by imitating Mr. Hancock. ZL, what you like and what you can afford. It does not collect and convert to the idea of profit. If you have your collection for some time, may actually be helpful to a lot of money one day. Mr. Hancock has never lived to see the day when his best diamond was auctioned for huge sums. But we think that a lot of pleasure comes from his collection during his lifetime.

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