Diamond prices are stable over long periods of time. But what if I look at the diamond price throughout a period of 100 years? You will notice that it has steadily increased because of the index value. This means that diamonds are generally a very stable investment. We say ‘generally’, because there are exceptions for certain categories and certain periods in time. BAUNAT explains the influencing factors.
Recent indicators and studies predict an increase in the diamond price for the coming decennia. A diamond’s price is mainly determined by its quality and type. The price of a natural coloured diamond, for example, has soared during certain periods of time, especially compared to colourless diamonds. Some categories of polished diamonds, on the other hand, could decrease in value because of a temporary surplus. If large mining companies foresee a drop in sales, they will anticipate on that by decreasing the volume of diamonds that they bring to the surface or by avoiding places that are more difficult to mine.
The effect in the midterm future is a substantial decline in supply, causing small deficits in the diamond market and increasing prices. In other words: a good investment.
The value of diamond jewellery is something else entirely. Because of additional factors such as currencies, craftsmanship and commodity prices, the value is harder to speculate. They are also more stable, however, because of the importance of labour and design. Diamond jewellery of a certain high quality brand is often considered more special, as the warranties of that brand have an influence as well. You not only pay for the diamond and the precious metal, but also of the craftsmanship and the brand’s reputation.
BAUNAT has chosen to differentiate itself from others brands. Not in regard to quality and design, but instead in regard to innovation in terms of purchase, stock management, distribution and marketing. BAUNAT invests only in what will make the whole process more efficient, resulting in a correct price for your diamond. As more than 90% of our customers purchase our jewellery online, we are able to build a fast-growing worldwide customer base in a very cost-efficient way. Today, BAUNAT sells to more than 50 countries in the world.
What diamonds does BAUNAT use? How can I invest in loose diamonds or diamond jewellery? Where can I find the perfect diamond jewel? Ask the BAUNAT diamond experts for advice.