diamond investment

Where Do Investors Buy Precious Gemstones For Investment?

Posted on Posted in Alternative Investments

Traditionally, the exclusive circles of wealthy or noble families have primarily been the investors who were heavily involved in gemstone investing. Nowadays however, investing in gems is no longer limited to just the rich or royalty. Instead is becoming increasingly popular with alternative investment seekers and  is finding its way into an growing number of investing portfolios.

The challenge for many investors, particularly when it comes to gemstone investments, is finding a suitable price and place to purchase them.

Primary & Secondary Dealers

When purchasing gemstones, investors can expect that their best price will come from primary dealers. These people are primarily responsible for mining the gems and cutting the stones themselves, and therefore can offer an appealing alternative investment option for private investors.

Secondary dealers, those who buy from other wholesalers (usually primary dealers), will typically resell their precious gems for prices that are well below retail value.

Pre-Owned Gemstones

Investors with experience and expertise in identifying quality gems, and are able to properly distinguish between natural and synthetic stones, can searched for pre-owned gems at flea markets, pawnshops, auctions and estate sales.

When purchasing larger diamonds and fine gemstones from these venues mentioned above, gaining as much information as you can about the center stone is very important. The more details that are collected about the gem, with regards to color, clarity, carat weight and cut, the easier it will be to determine the authenticity and assess a proper value.

A Final Thought:

Whether making an investment directly from a gemstone broker or dealer, or buying pre-owned gems from an auction or marketplace, it can be expected that investors will get the greatest value for their gemstone investment by purchasing large lots of gems, rather than one gemstone at a time.