Provident selling Diamonds

[Chigg]

I noticed today that Provident is now in the diamond business. They will soon start selling 1 carat total weight melee certicards.
I don't know much about them, especially as an investment. Found a quick tutorial here http://www.jewelry.com/education-diamond-carat.shtml.
I think it would be more difficult to sell them. How could you prove they were real?

 

[Unbeatable]

I looked at diamonds once because of their tiny size, therefore easy to transport, many people in WWII smuggled out diamonds sewn into their clothes for example.

Problem 1 is that they can make diamonds (Synthetic diamonds, https://en.wikipedia.org/wiki/Synthetic_diamond) that are better than the real thing in a laboratory. I've read the only way experts can sometimes tell them apart is because they're 'too good'.

Now if anyone could make silver or gold in bulk in a laboratory that was equal or better to the mined stuff would you still want it as investment?

Problem 2: Is even with natural diamonds, each diamond is different.
I can give you a one ounce gold eagle and you can give me a one ounce gold eagle in return. We are even. And any coin shop will give us a fairly similar price. However for diamonds, even 1 carat, near flawless and colourless doesn't equal another 1 carat, near flawless and colorless and we will take a big hit on purchase price when it comes time to sell.

For example, the price of Gold is directly proportional to it’s weight. However, the price of a diamond is completely dependent on its beauty.

Many times, you won’t even get half of what you paid...

http://www.diamondsisters.com/antique-jewelry/do-diamonds-have-a-good-resale-value/

 

[Chigg]

Thats some of the same concerns I had Unbeatable.

 

[Penn]

Diamonds - NO.

 

[swissaustrian]

Another issue with diamonds is the fact that supply is being artificially restrained by De Beers and Russia. It`s really the opposite of pm markets where Western goverments are increasing supply via sales, leasing and paper markets.

 

[rblong2us]

perfect for your bunker though -

 

[marper]

I would not touch diamonds. Its a fake market propped up by the large mines that regulate how many stones are on the market. When the SHTF nobody will want a diamond card.