Diamonds are not something that people will buy without thinking the purchase through. There has been a lot of bad news being spread about diamonds being a bad investment. While they might not be for everyone, there are still plenty of reasons why people love diamonds. Below are some top reasons why you should still consider purchasing them.
1. Demand Is High
The demand for diamonds is still higher than supply. It has been this way for decades and is expected to be this way for the foreseeable future. Around the globe, the burgeoning middle class is fueling this growth in the diamond market. In some regions, the demand for diamond engagement rings and lab grown diamond earrings is growing significantly. If this trend continues, the supply will fail to meet that demand. This will cause diamonds to become rarer and more valuable.
2. Prices Of Diamonds Have Rebounded Since Recession
All types of investments go through periods of ups and downs, especially during a recession. Diamonds are no exception. They were not as easily affected by the last recession. This caused their prices to take longer to rebound. Post-recession, diamonds have fully recovered their values and are holding steady.
3. Diamonds Are Tangible Assets
If you are looking to invest in anything tangible, diamonds are an excellent choice. They are not likely to lose their value over time. Other types of assets, such as houses and boats, will lose their value based on product offerings, changes in the market, consumer preferences and wear and tear. Diamonds, on the other hand, will hold their worth over the long term.
4. Options Available To Protect Investment
There is a myth associated with diamonds that says they are very difficult to resell. When you use a well-respected retailer, you can get your diamonds certified and insured. This will protect your diamonds from theft and loss. It will also help make them easier to sell. Find a trusted diamond seller that offers trade-up options. This will ensure that your original purchase does not lose value when you decide to upgrade to a more valuable and expensive diamond.
5. More Popular Than Gold
Diamonds may not be the preferred choice for everyone around the world, but the middle-class people in Asia are responsible for diamonds passing gold in popularity. Purchases of gold in India are currently low, but the sale of diamonds for the Chinese middle class is showing a preference for diamonds. Because of this, diamonds have quickly become the standard preference over gold.
6. Unique Investment Opportunity
Another reason why diamonds are becoming a more popular investment option is because people take a fancy to its varied designs. The mega-rich are fascinated by colorful, high-value diamonds that are extremely rare to find and have limited supplies around the world. These types of diamonds offer a great return on investment when the right buyer is found. They also make a great tangible asset to add to a portfolio an investor is trying to diversify.
7. Diamonds Are a Representation Of Love
This reason is a more practical one for buying diamonds. When giving diamonds of any value as a gift, it is representational of a long-lasting, eternal and valuable investment your recipient can treasure forever. It is little wonder why many men choose diamonds while popping the big question to their partners.
These are just some of the reasons that diamonds are still worth the investment. Not all reasons to buy diamonds are financial ones. There are also many stylistic and sentimental reasons they make a great purchase. With the demand for diamonds expected to continue on a path of growth, now is the best time to buy your next diamond here.
