Treasured stones are a superb possibility for these seeking to diversify their funding portfolios

Consultants say a great way to extend the worth of your gem stones is to have them integrated right into a jeweled accent; (Picture: Artfotostudios | Ishaan Suri)

By Umang Gupta:

With Queen Elizabeth II’s passing, the well-known Kohinoor diamond has resurfaced to change into a subject of dialogue on dinner tables and within the Twitter-sphere. Weighing 105.6 carats, this uncut diamond now sits on the crown of King Charles III. At present valued at an estimated $400 million (about Rs 3,184 crore), one can solely marvel what the trajectory of that diamond can be if one invested in it beneath totally different circumstances. If the diamond piece was open to most people for funding, would it not be smart to spend money on it?

If we glance into the historical past of investments, historically one would put their cash in gold, shares, bonds, property and mutual funds. One might even think about the brand new age NFTs or bitcoins if that tickles their fancy. However in the event you’re seeking to diversify your portfolio with one thing that has long-term advantages, then you must think about valuable stones as an possibility.

Right here are some things to think about earlier than you begin:

SIZE DOESN’T MATTER

It’s understood within the jewelry business that uncommon valuable stones are essentially the most wanted. However by way of investing, a low to medium-sized gem calls for a cheaper price and has the next probability of appreciating. It’s going to even be simpler to liquidate.

THE RIGHT GEM

It’s vital to regulate the jewelry tendencies and select the correct of gem in your funding. It’s all the time a secure wager to select uncommon classic items, however in the event you get your fingers on Burmese rubies, Kashmiri sapphires, Columbian emeralds or any colored diamonds, don’t even pause to assume twice earlier than investing.

TAKE IT TO THE BANK

It’s essential to safe your funding in stones. Attempt to not retailer them at dwelling, however maintain them safely in a financial institution or locker the place the prospect of injury is low. Keep in mind, water and overexposure to air and humidity can actually injury your jewelry.

DEAL WITH THE BEST

A very powerful issue when investing is to search out and purchase from the fitting supply. There are various jewellers who want to cross off sub-par-quality gems as one thing else. All the time ask for and verify the certificates. The most effective ones within the business are GIA or IGI authenticated certificates. It’s also vital to do your homework earlier than investing. Examine if the piece has the potential to understand, is it a reduce stone, and what’s the potential markup you’ll in all probability get after investing. Very like you’ll communicate to a physician for a second opinion, when investing in gems, it all the time helps to ask one other licensed gemologist for his or her opinion. They may enable you establish potential professionals and pitfalls of the gemstone you have an interest in.

MAKE MONEY BY ADDING VALUE

You may add worth to your funding in some ways. One straightforward manner can be to spend money on gem stones and switch your low-value funding right into a high-value one. This may be achieved by, as an illustration, promoting your gems as a collective piece by asking a jeweller to make use of the gem stones to make a phenomenal jewelled accent that may be offered.

A SAFE BET

It’s secure to say that when the inventory market is in turmoil and foreign money is dropping its worth, jewelry doesn’t fail throughout a recession. What might occur is that one might need fewer consumers for the gems. Nevertheless, the worth of the gem doesn’t deteriorate, making it secure from financial fluctuations.

—The author is the seventh-generation proprietor of Shri Ram Hari Ram Jewellers, Chandni Chowk, Delhi

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