How to Invest in Gemstone Jewellery?

Jewellery as an investment and a wearable piece of elegant luxury can be sold at a higher price after years of holding. One cannot sell a suit or lab-grown gemstones for such appreciated values after years, but, in the case of, rare gemstones, the value essentially increases.  There are many benefits of some rare exotic designer sets, brands, and gemstones. 

The Emeralds, Kashmir Sapphires, and Burmese Rubies retain values and provide higher returns after years of investment, and the main reason for the increase in value is the decline in supply where most of the common mines are depleting. The supply is limited, and hence, the value is acknowledged by the seller and the buyer. 

The 9.54 carat- Shirley Temple is a deep blue diamond that was bought in 1940 for $7210, and now, its value can be in the range of $25 to $25 million. Gemstones provide a rare opportunity to hold money in the form of a rare, durable, portable and appreciable unit.   

Investment in Luxury Items 

There are some rules for buying pieces of jewellery as it is not like wines, vintage cars or art. It can provide profits in a few weeks, and if one tries to sell or buy certain pieces of gemstones thinking it to be the thing that can appreciate in millions, they can be mistaken. Investors need to follow strict rules to distinguish the true value of the stones. 

The price depends on the origination site like Burma for pigeon red rubies, Kashmir for sapphires and Colombia for deep green emeralds. Even after getting the best in the category, one cannot guarantee appreciation. Some of the designs are rare and cannot be bought from any store like the Hope Spinel, which can be bought only at auctions if the owner wishes to sell it. 

The Knight Frank Luxury index states the value of jewellery has increased 138 per cent in a decade, although now the growth may decline. 

Initial Investments  

The collections of the 18th and 19th centuries were well documented and offered reliable information where some royal families assembled these stones like a piece of extravagance. Some of the 1980s designs are gaining value. The Victorian Age pieces were mostly heavy, and the newer ones are fashionable. Traditionally, men collected rare, unique items, but now women are buying these at auctions as an investment and also as a personal thing. 

Alternative Asset Class 

Diversification and rebalancing investment portfolios regularly help to reduce loss in the case of extreme changes in markets, which means; the investors should keep a check on the trends, buy and sell regularly to promote investment in a safe high, growth investment class. 

The 2008 economic recession led to the loss of huge investments in the stock market. Equities do not provide the opportunity to own physical assets, and there has been an increased inclination towards investment in tangible assets such as jewellery, gemstones or gold. 

Stock market investment can deliver profits if the investor has knowledge of factors influencing the volatility of such markets. It can provide short-term gains, but jewellery provides long-term growth, and the risks are less compared. 

To find out more about jewellery investment, check 99 Alternatives at (http://www.99alternatives.com).