Rare Investment Reports from Hong-Kong

September 23, 2011

Rare Investment- As we pen this quick note to our friends, clients, and investors this morning, we at Rare Investment are quickly reminded of the deep changes that have taken place in the diamond industry over the past few short years. We reflect on the impact the changes have had on transforming the once obscure Natural Fancy Colored Diamond from a rare oddity into one of the fastest growing hard asset classes in the world and also into the ultimate symbol of luxury and love for a whole new faction of jewellery and diamond consumers.

Upon the return of our Rare Investment Jewel Acquisition Team from Hong Kong, where they attended one of the world’s biggest rare gem shows, Rare Investment now has the opportunity to again confirm and update our clients and investors that our predictions have been correct – increased interest and demand for Natural Fancy Colored Diamonds is growing, causing prices to steadily rise as supply from the mines continue to dwindle and, in some cases, supply from the mines stopping altogether. Champagne, cognac, and chocolate diamonds (brown variations) and Silvermist diamonds (gray) certainly seem to be under the most pressure according to our Acquisition Team, fuelled by the eminent closing of Rio Tinto’s Argyle Diamond Mine in 2018 – only 7 short years away, and what the closure could come to mean is the basic elimination of supply for these jewels in the diamond and jewellery marketplace.

At Rare Investment, we are also seeing pressure on other natural colors like natural 'black diamonds' and the 'grayish green and greenish' categories. These colors are starting to follow in the footsteps of the brown and gray diamonds as worldwide demand for these truly rare items increases and the producing mines find it more difficult to supply an apparently insatiable demand from the growing markets in India and Asia, which are aggressively acquiring the majority of colored diamonds for both jewellery and as hard asset investments.

Without question, this class of hard assets in a world with political and economic uncertainty demands and dictates that investors seek security, above all, for their wealth. Natural Fancy Colored Diamonds continue to grow popular among the savvy and informed investor for their history of unparalleled appreciation and the security that only the 'Stealth Wealth' attributes of these rare jewels seems to be able to provide investors.

Clearly, the time is now more than ever for prudent, and not so prudent, investors to consider the apparent safe, secure, and potentially lucrative ownership of this 'hardest of hard assets' to diversify and to help protect and secure portfolios in light of the uncertain political and economic futures that the international community’s seem to be unable to rectify.

 Just back from Hong Kong,

The Rare Jewel Acquisition Team