About Pink Diamonds
Pink diamonds are the rare and beautifully-colored gems mined by Argyle Diamonds in North-West Australia. At less than one percent of all production, Pink Diamonds are still one of the world’s best-kept secrets. The Pink diamonds are not just known for their spectacular color, but their investment potential as well.
Why do Pink Diamonds increase in value every year ?
On average, the Pink diamonds have increase by 20% every year over the last 10 years. This is due to a number of reasons.
1. Pink diamonds rarity
- Anything that is rare in nature is always going to be valuable. The rare or more exclusive the item is, the more it will increase in value.
2. Pink diamonds demand
- Secondly when the demand for an item far exceeds the supply, the price will always move higher. Every year the demand for pink diamond is increasing, while the supply is reducing.
3. Pink diamonds scarcity
- Argyle has now moved its mining operations from an above ground mining operation to underground. As the Argyle diamond mine moves towards the end of its lifespan, the number of pink diamonds it finds is decreasing. As well as this the number of high end (P1 – P3) Pink diamonds are decreasing. Thereby adding to the upward push on prices.
Pink Diamond Pricing
After the Argyle purplish red and the blue violet Argyle diamond the pink Argyle diamonds increase in price from the pink rose to the purplish pink. Of the pink diamond range, the 1PP (purplish pink) is the most rare and expensive. The purplish undertones tend to give the diamond are stronger more intense look. Next come the straight pink diamonds, followed by the pink rose.
Pink Diamond Investment in Self Managed Superannuation Funds
Pink diamonds are becoming a very popular addition to self managed super funds (SMSF). There are obvious tax benefits of buying your Pink diamonds in your SMSF in that you pay much less tax, however there are a few downsides to consider.
- You can’t wear the investment pink diamond
- It must be for your super
- It must be purchased by your fund
Of course you should always consult your financial adviser and accountant before making decisions regarding the purchasing of pink diamonds in your SMSF.
The Pink Diamond Tender
If you are looking to invest in Pink diamonds or looking to acquire a special Pink diamond. Once a year Argyle Diamonds Sales invites selected jewellers, to view their prime pink diamonds from locations all around the world. Xennox Diamonds can organize this viewing on your behalf.
The tender diamonds travel to Sydney, Hong Kong, Tokyo, New York, London and Geneva. The collection usually includes only the top 20 diamonds in superb colours, all over half a carat in weight. Argyle Diamonds then requires a written offer by a specific date. Then you wait and hopefully your price will be accepted.