Investing in pink argyle diamonds is not the best idea. While you may think that these diamonds are a safe haven for investors, the truth is that you are actually making a very foolish decision. These diamonds are fractional ownership enterprises, which means that you will never own the entire diamond.
Argyle diamonds are 100% Australian mined, cut, polished and certified
Argyle diamonds were first discovered in the Kimberley region of Western Australia in 1979. The mine has been in full production since the mid-1980s. It is one of the world’s most technologically advanced mines and is the most prolific producer of natural pink and brown diamonds.
The most important character trait of an Argyle diamond is its color. The intensity of the color determines its price. Other important factors include its carat weight and clarity. The cut is the least noticeable of these traits and is not always a factor in determining a diamond’s price. Consequently, if you are planning to purchase an Argyle diamond as an investment, you should buy the best color grade available.
In order to separate the diamonds from the other heavy minerals, X-ray luminescence technology is used. The X-rays create light that makes the diamonds more visible. In addition, a blast of air is triggered when the diamonds are detected. At peak sorting rates, X-ray sorters are capable of detecting up to 200 diamonds per second.
Argyle diamonds are a safe haven investment
The Argyle mine is located in Western Australia’s sparse north. Investors should be aware of the risks involved with investing in diamonds. While the risk is lower than the risk of investing in shares, investing in gems requires expertise and a lot of money.
Since production began, Argyle has produced about 865 million carats of rough diamonds. Most of these gems are white and black, but a small percentage of the diamonds are pink. The pink diamonds are cut with varying yields. Since 1984, high-quality cut and polished pink diamonds have been available for tender.
Pink diamonds are rare and expensive and Argyle certified pink diamonds are among the most sought-after stones. The mine’s unique colour classification system means that the more intense the pink colour, the higher the price. Only 0.01 percent of pink diamonds are flawless. Because these stones are extremely rare, they are considered premium and are in demand no matter what is happening in the market.
Investing in pink argyle diamonds is a fractional ownership enterprise
Investing in pink argyle diamonds is becoming increasingly popular because of their ability to maintain their value and continue to produce profitable returns. These diamonds can also be a great gift for loved ones. If you do not plan to wear your new diamond jewelry, you can also sell it for a profit.
The Argyle Mine is one of the best places for Pink Diamond Investment because it produces up to 90% of the world’s supply. Investing in pink argyle diamonds through a fractional ownership enterprise allows you to buy a fraction of the price of a half-carat pink diamond. By purchasing a portion of the diamond, you would only pay about $200 for each stone.
Luxus is another diamond fractional ownership enterprise. The company sources its diamonds from a family owned company, Kwiat. Kwiat purchased the diamond from the Argyle Tender in 2016. The company’s CEO spent years in asset management, structuring products for hedge funds. He later moved to the fashion industry, where he worked on public relations for Chanel. Eventually, Luxus raised $2.5 million in pre-seed funding from investors including fashion designer Veronica M Beard.
Investing in pink argyle diamonds is a foolish act
There are a lot of things to consider before investing in pink argyle diamonds. The first thing to consider is the current market prices. Diamond prices are high and there is a very low supply. This means that there is a very high demand for pink diamonds, and the price will therefore go up.
The Argyle mine closed its doors in 2008, and analysts predict a significant shortage in the future. The mine produced almost 90% of the pink diamonds in circulation. The closing of the mine will result in a shortage, and this could depress prices.
Conclusion
Argyle diamonds are not the only type of pink diamonds. Brazil and Russia also produce these diamonds. While the Argyle mine is closing, it is possible that the mine will restart in the future. While it is unlikely, the mine could be acquired by another mining company. If the mine resumes operations, it will likely be more affordable.
