White diamond non-eternal color is more rare
For most people, diamonds are signs of eternal existence, but in the eyes of several London fund brokers, these priceless gems are more like a short-term investment in London’s famous luxury brand Asprey’s chairman John Rigas and Italy The two former head of the jewelry company Bulgari officially opened the Sciens diamond fund earlier this month. Sciens Diamond Fund is funded by the US hedge fund giant “Sciens Capital Management”, as well as two high-end jewelry veteran Mahyar Makhzani and Philip Baldwin joint venture to do a color diamond trading fund.
“We offer an alternative investment route for investors,” said Makhzani as one of the founders and co-managing directors of the fund. “It is said that Makhzani has begun to figure out the investment opportunities for the diamond industry, which is Cartier nail bracelet replica a world-renowned super jewel Brand Harry Winston’s founder Harry Winston himself. In the 1970s, Makhzani worked in an Indian-based investment brokerage office where he remembered that Harry Winston told him that “the color diamond is the richest and most expensive treasures of the jewelry industry, but they have not been taken seriously.” ”
Alternative investment fund warming
The London office of Sciens Capital Management was beautifully decorated and looked down over Berkeley Square in the window. In an office interview, Makhzani and Baldwin said the fund would provide a 100% return on investment for customers. The goal is in three years after each year for investors to obtain 25% -30% of the proceeds. Fund plans to enter the first closed in March, the repayment plan is in the fund after the closure of 3-5 years. They did not disclose the current fund size of the fund, but said the target is 150 million US dollars.
Baldwin, one of the founders and co-managing directors of the fund, is also confident in the diamond market, “since the price of the color diamond has been climbing in the past 37 years, the average wholesale price of the diamond is up to 12 per year %.”He said.
In fact, Makhzani and Baldwin founded the first small diamond fund in 2008, but they stressed that in recent years with the US alternative asset management company Sciens capital management joint venture, as well as luxury brand Asprey investors behind the support, became their Strong backing, but also for the color diamond fund to provide a channel with the financial market connectivity.
Rigas believes that the diamond diamond fund can attract people for several reasons, “luxury brand Asprey can help the fund looking for the diamond diamond interested customers, skilled gem craftsmen can provide the perfect gem cutting process.” He said, A rare thing, its price is closely related to its rarity.There are no recognized price indicators, each one has its own unique price, mainly depends on the color, purity, cutting process and weight. Gem this market imitation Cartier love bracelet investment starting point High, details, buyers need to be very cautious, otherwise it is easy to be deceived.
Investors interested in this fund include some family businesses, private banks and wealthy. Baldwin said some of the recent pension funds and other financial institutions have also expressed interest in the Diamond Fund.
Makhzani, one of the executive directors of Gianni Bulgari Jewelery, said, “The fund is mainly a small diamond subspecies.” Makhzani and Baldwin say they are only investing in natural colored diamonds that weigh more than 1 carat. In addition to the use of short-term arbitrage trading and long-term investment strategy, the fund is also committed to finding some gems in terms of color, shape and size, and hope to provide buyers with more rare opportunities in exchange for Higher economic benefits.
In the case of Bond Street’s two world-class jewelry stores, famous for its clever use of colored jewelery, Makhzani admits that although Sciens is probably the only diamond fund, there is no lack of competition in the gem market opponent. “We’re just a newborn baby, like Moussaieff and Graff,” he said, “with jewelers who can pick up $ 30 million at any time to buy a diamond.”
The diamond base price has soared
In the past 18 months, Sotheby’s auction house (Sotheby`s) in Geneva to establish a benchmark price of advanced color diamond. In May of this year, a 7.61-carat pincer-shaped high-purity blue diamond ring sold at a high price of $ 8 million to refresh the world record blue diamond per gram of the highest unit price. Recently, Sotheby’s auction house in Geneva, Switzerland, a 24.78 carat pink diamond auction, the valuation of up to 38 million US dollars. This gem purchased by Harry Winston 60 years ago will be taken out of the private collection.
“I’m not going to make any comments on gem investment,” said David Bennett, chairman of Sotheby’s International Jewelery Europe and Middle East. “What I can say is that the price of the color diamond has skyrocketed over the past 30 years. There are many buyers on the market looking for perfect gem.
Bennett pointed out that the main reason for the continued success of the diamond market is that these gems are indeed very rare. Whether or not you agree that these diamonds have a gorgeous appearance, their rarity is beyond doubt, the diamond diamond in the diamond mine which only about 0.002%. No wonder some people say that the world’s every generation of 100,000 gem-class diamond, it may encounter a color diamond, it is extremely rare.
Fancy diamond is the world’s most concentrated wealth, the more pure the color of the more precious diamonds. Sciens data show that the most rare and the highest price diamond drill is red diamond, the price per carat up to 3 million US dollars; compared to the yellow diamond imitation Cartier love bracelet is much more common, the price per carat between 20,000 to 60,000 US dollars between.
But some people think that these precious stones should not belong to a fund. Some financial analysts point out that high-level diamonds are not the same as those for gold and copper, and it is difficult to price them. The value of the color diamond depends entirely on whether it is favored and trusted by the right buyer.
In the end how to measure the value of color diamond? “As a buyer, you need to believe that sellers know more than you and trust them,” said Peter Davey, director of mining research at Ambrian Partners in London’s small investment bank. “With this, investors should see how The prospect of drilling the fund? Makhzani said in favor, “This is a trust and mutual relationship between the transactions we provide to investors is an alternative investment, for which we will do everything we can according to these years we have experience in the gem market To win profits for investors. “