Investment Diamonds?

By Mark I. Sikand

     Really? Well, today, more and more companies are advertising on Social media, the radio, TV and the Internet. But who is buying "Investment Diamonds", what is an "Investment Diamond" and how much should a person, an Investor, pay for such a diamond.? Answer, "retail Customers and they are paying top dollar.        

     For me, and many others, an "Investment Diamond" is any diamond that you can buy and then sell and make a profit. The more in demand that diamond is, the easier and faster you will be able to liquidate it and make a profit, as long as you did not over pay for it. Remember, it is not always about just the price. Some diamonds are just not in demand.

      Buying "Investment Diamonds" is not like buying shares of stock or a commodity that has a set price. When it comes to buying Investment diamonds there is no pricing structure and many, but not all, consumers are going to get ripped off big time and be very disappointed when they try to resell.

     Most of the companies selling Investment Diamonds have great material to send you, great websites and highly skilled and trained sales people who will contact you. The hype and the promises of a 15% - 20% annual return on your investment are very impressive. However, when push comes to shove and you read the fine print, it usually indicates that you have little to no hope of making a profit at all when you sell.

     Selling your Investment diamond, when you need the cash, can be a real problem and nightmare. Simply put, a diamond is not very liquid at all. Even worse,  if you over paid for it and you need the cash now, you will realize a huge financial loss.

       On a more positive note, if you buy the right diamonds and you pay the right price, you will most likely do well and turn a profit. The problem is, how do you know? What should you buy and how much should you pay?  There are a lot of dishonest and misleading companies out there so be careful.

        Here are a few ideas for you. 1) Ask the company if they will buy the diamond back from you. If they say "yes" or "we will work with you to help you sell it", Ask for at least 10 current references. If they say that that information is confidential, then you need to walk away. 2) Find out which company certifies the quality of the Investment Diamond, make sure that it is either the GIA or the AGS. If it is NOT then you need to walk away. 3) Find out the specific size and quality of the diamond and do some competitive price shopping. If they refuse to tell you it's because they are overcharging you. Do not let them pressure you into make an instant decision or giving them a deposit.

       There is a lot of information about Investment Diamonds available to you on the Internet. Make sure that you do your research before you make any decision.

MAKE SURE THAT YOU USE TheBuyReport.com to check diamond prices. Try the 10 day FREE trial.

Buying Diamonds Off The Street

Retail jewelers, diamond dealers and private independent diamond buyers have a NEW wholesale source for buying diamonds - The Public.

     Are you or is your company advertising that you  buy diamonds from the public? Why NOT? Are you afraid because you don't know how?  Or is it because business is so bad that you don't have the working capital and you are embarrassed ? Well, need to keep reading.

     As a means for survival, additional revenue and huge profits, successful and smart jewelers have learned how important it is become sharp professional diamond buyers and be better that their competitors. Why? Because they want and need to make the purchase..... MONEY and PROFIT. And they don't want the customer to walk and lose the opportunity to buy the diamond at a fraction of the actual wholesale price. If that customer walks, you know that they are never coming back. And if you have insulted the customer with your "Buy Presentation" or your  "Buy Offer", you know that they are going to tell their friends and family what a rip-off and idiot you are. We have all been there and it hurts because  we know that we will lose a lot of future customers, opportunity and profits.

      Just as there is and art, talent and skill to SELLING diamond to retail customers, there is an art, talent and skill to BUYING diamonds off the street from private consumers who want to liquidate.

     Consumers who are selling an important diamond are smart, they have done research, they know the approximate wholesale price and they know what they paid for it (retail price). Most likely they have already received offers from other professional diamond buyers. If you are their first stop for a price quote, don't expect them to just sell to you at your lowball offer, they will not. The price that you quote for the diamond needs to be a sharp fair market cash liquidation price.

     You NEED to know what you are doing. You need to know how to work the customer, your presentation needs to be professional and you need to know what price to offer your customer. You NEED to invest the few dollars and take the On Line training program "How To Buy Diamonds Off The Street" and if you have employees they need to take it also. As for what price to offer for the diamond, use the  "Cash Liquidation Price Chart" offered here on TheBuyReport.com. , the subscription price is not expensive or you can try the FREE TRIAL OFFER. 

Have You Ever Tried To Sell Your Diamond?

By Edward Jay Epstein

     The diamond invention—the creation of the idea that diamonds are rare and valuable, and are essential signs of esteem—is a relatively recent development in the history of the diamond trade. Until the late nineteenth century, diamonds were found only in a few riverbeds in India and in the jungles of Brazil, and the entire world production of gem diamonds amounted to a few pounds a year. In 1870, however, huge diamond mines were discovered near the Orange River, in South Africa, where diamonds were soon being scooped out by the ton. Suddenly, the market was deluged with diamonds. The British financiers who had organized the South African mines quickly realized that their investment was endangered; diamonds had little intrinsic value—and their price depended almost entirely on their scarcity. The financiers feared that when new mines were developed in South Africa, diamonds would become at best only semiprecious gems.

     The major investors in the diamond mines realized that they had no alternative but to merge their interests into a single entity that would be powerful enough to control production and perpetuate the illusion of scarcity of diamonds. The instrument they created, in 1888, was called De Beers Consolidated Mines, Ltd., incorporated in South Africa. As De Beers took control of all aspects of the world diamond trade, it assumed many forms. In London, it operated under the innocuous name of the Diamond Trading Company. In Israel, it was known as "The Syndicate." In Europe, it was called the "C.S.O." -- initials referring to the Central Selling Organization, which was an arm of the Diamond Trading Company. And in black Africa, it disguised its South African origins under subsidiaries with names like Diamond Development Corporation and Mining Services, Inc. At its height -- for most of this century -- it not only either directly owned or controlled all the diamond mines in southern Africa but also owned diamond trading companies in England, Portugal, Israel, Belgium, Holland, and Switzerland.

     De Beers proved to be the most successful cartel arrangement in the annals of modern commerce. While other commodities, such as gold, silver, copper, rubber, and grains, fluctuated wildly in response to economic conditions, diamonds have continued, with few exceptions, to advance upward in price every year since the Depression. Indeed, the cartel seemed so superbly in control of prices -- and unassailable -- that, in the late 1970s, even speculators began buying diamonds as a guard against the vagaries of inflation and recession.

     The diamond invention is far more than a monopoly for fixing diamond prices; it is a mechanism for converting tiny crystals of carbon into universally recognized tokens of wealth, power, and romance. To achieve this goal, De Beers had to control demand as well as supply. Both women and men had to be made to perceive diamonds not as marketable precious stones but as an inseparable part of courtship and married life. To stabilize the market, De Beers had to endow these stones with a sentiment that would inhibit the public from ever reselling them. The illusion had to be created that diamonds were forever -- "forever" in the sense that they should never be resold.      continue - CLICK HERE

Professional Diamond Buyer Training

Fall 2012, MIS

     With today's economy and competitive markets, PROFESSIONAL Diamond Buyer Training may be more important than PROFESSIONAL Sales Training. On the back end of our industry (buying off the street) there is big money and profits to be made .... and today, with soft retail sales, we need that back end money and profits more than ever. We provide you, your employees and your company with that necessary PROFESSIONAL Buyer Training. That's what we do. We know how the top most successful Buyers and Companies operate, and they are professional and good. No matter how much experience you have or how good you think you are, our goal is to make you even better so that you earn the customers trust and confidence and you win the BUY. You need to be better.

 "How To Buy Diamonds Off The Street", an exclusive industry training program,  will help you make money and increase your revenues and profits. In today's economy, big companies, small companies, existing jewelers and private individuals have sharpened their professional buying skills and are buying more and more diamonds and fine jewelry off the street, and they are making big money. It will help you purchase fine quality diamonds at approximately 1/5 - 1/2 of current wholesale prices. Then, you can sell it retail and increase your margin or you can flip it on the wholesale end and still make big money.

     Professional Buyer Training, to buy,  is just as important as professional sales training, to sell.   Don't think for one minute that a consumer who has a GIA certificated 1.04 carat G VS1 round diamond ex, ex, none is going to just walk up to you and sell you the diamond for $2,000.00. In today's economy it's just not going to happen. The consumer is going to check prices on the Internet and then go to 3 - 5 professional diamond buyers. Whoever makes the best and most professional presentation and offers a fair cash liquidation price will end up buying that diamond. And, they will make good money when they flip it or retail it. They will most likely end up paying about $2,800. - $3,500. Then, they will retail it and make a huge profit margin or they will flip it on the wholesale end, a few days later, and make $1,500 - $3,000 profit.

     For every ten (10) customers who come to you to sell their diamonds, what is your closing ratio or successful buying percentage. Most likely 1 - 2 out of 10 or 10% - 20%. Well, what if it were 40% - 60% OR MORE and you paid a fair market cash liquidation price? How good would that be? Big money, big profits!!!!