Diamonds
are Forever

By Dr. Woody Stanley
Having been in the gemstone business for
forty years, living in Brazil, owning my own emerald mines and
working with every type of coloured stone since 1964, I can
tell you that NO gemstone investment in the world has been a
better investment than diamonds. There is the occasional
exception to the rule, but that is rare!
Diamonds
as Investment
The main reason diamonds are the best
investment is that the diamond industry is a monopoly that has
controlled the price for the past fifty years. Emeralds used to
be controlled to some extent from Columbia but that ended in
1998. In Brazil, you have small, coloured stone mines that will
sell their merchandise for the best price they can get if and
when they need the money. I’ve seen some coloured stone prices
drop by 50% in the past five years. Diamonds, however, are
controlled, with the price of “rough uncut diamonds” going up
at least 20% per year to site holders. There are fewer than 100
site holders in the world who are allowed to buy diamond rough
only 10 times per year. They, in turn, manufacture the rough
into cut and polished diamonds that are then sold in your local
jewellery stores.
Diamonds are good, solid investment only
if you buy them directly from wholesale source

Diamonds, or any other
gemstones, are normally not considered an immediate, short-term
investment if you buy them from a retail jewellery store. They
are only a good, solid investment if you can buy them directly
from the rock-bottom, wholesale source. If you’re looking for
an investment in diamonds, this
means you will have to deal with a wholesaler who can buy
directly from the Diamond Trading Company (DTC). Then you have
a controlled investment that will be scheduled to increase on
the wholesale level at 20% per year.
Diamonds
Investment Programme
The company we introduce you to is in New
York City and provides a diamond investment programme for
serious clients that want to have their assets more liquid and
make a 20% profit on their money. The investment is offered as
a five-year plan, during which you will hope to double your
money at 20% per year. But you can, of course, sell the
diamonds at any time if the necessity arrives.
You can choose or help pick out the type,
size and shape of the diamonds if you wish (and are
qualified!). If you let the corporation select the diamonds,
they will choose the most marketable stones in the 1 to 5 carat
range. These are white, slightly imperfect to the naked
eye. These are the most desirable stones to sell to the
jewellery store industry when the time comes to dispose of your
merchandise. This grade of stones will sell quickly.
Note: the
corporation we use is one of a select few brokers that can buy
cut and polished diamonds direct from the DTC. With over 70
years’ experience in the business, they are worth contacting if you have any wish to
profit from gemstone investment.
Diamonds
Are Best Investment
No coloured stone dealers or brokers can
offer this type of investment. Being a coloured gemstone broker
for many years, I can tell you diamonds are the best investment
in the long term. A friend of mine recently acquired 396 carats
of nice-coloured emeralds that range from 0.25 to 5 carats
each. A G.I.A. gem appraiser has valued these at US$90,000, but
because of the flux in the coloured stone market, my friend
will almost certainly sell the whole lot for just
$30,000.
In 1988, when I left the USA to live in
Brazil, I wanted to be more liquid because of a difference of
opinion with the IRS! I traded a farm that appraised then for
$170,000 for a $140,000 lot of diamonds. Today the farm is
worth in the region of $300,000 at the most. I recently traded
the diamonds for a 56-unit hotel valued at over $2 million. A
big difference!
After fighting the taxman many years ago,
I can tell you, the more liquid you are in some parts of your
portfolio, the better. Being 100% liquid, it was easy for me to
leave the USA and migrate to Brazil back in 1988. I’ve lived a
stress-free life here ever since! With carnivals, beaches,
lovely ladies, football, 75-degree weather all year round
(average), favourable exchange rates, ocean-front properties
that can also make 20% per year tax-free – not to mention the
good food and fresh, fresh fruit…
It was the best move I ever
made!
Dr Woody Stanley is a regular
contributor to The Q Wealth
Report.

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