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Why it is Wise to Invest in Rarest Items

Do you know there are very few places that store Argyle’s diamonds with them? It is the fact that only 1% of the extracted diamonds are being sold by the Rio Tinto (Owner of Argyle’s pink diamond mine in Western Australia) out of one million of rough diamonds. And this 1% of pink diamonds are required to undergo a period of two to three weeks’ time in polishing. After making these rough, uncut diamonds into a fancy looking one the company is selling in the exclusive and selective auctions in different parts of the globe. No one can ask for its showcase, as the other diamonds are available in the world.

Argyle mine is sourcing the world’s 90% pink diamonds, and it is for the last 40 years. Soon this mine will be winding over in 2020. After that, the source of these pink diamonds will be so insufficient, that they could not compensate for the demand for them. The demands of Argyle’s pink diamonds are always higher than its supply. Due to its short supply, the price of 1 carat is sky-high. Unfortunately, if the Argyle mine will be closed then it will be untouchable.

Currently, there is no alternative source of pink diamonds found by the geologists. If there will be another pink diamond filled ore found, it would take almost another 10 years (minimum) to prepare it for production. From discovery to production it will take an average of 10 years’ time. That means there are no possibilities of getting pink diamonds unless you collect it now.

The drastic shortage in supply of these pink diamonds and the increasing demand for Argyle’s pink diamonds make it a suitable avenue for the SMSF investors and investments are done after seeing its past performances also. In the last five years, it is found from the statistical data, that the rate of return on Argyle’s pink diamonds has given 45% to 50% returns. According to recent situations, this return could be more than the previous one.

With the closure notice of the Argyle mines, as it is fixed within 2020 to 2021, the diamond collectors have found that there will be an appreciation on the diamond portfolio and it could reach a level of 25% to 30% per annum. The global financial giant PWC has revealed the fact, with their recent survey, investing in Argyle pink diamonds would give a return of more than 450% in the next 10 years. That is the reason why investments on Argyle’s pink diamonds are so worthy.

As the rarity matters, if we consider this from our financial perspective, then the production of pink diamonds was almost 20 million carats, out of which only 1% is the natural pink diamonds available on this earth. Amazingly, these one percent pink diamonds comprise the world’s 95% pink diamond supply. This is the reason why it is wise to invest in Argyle’s rarest pink diamonds.

The Argyle’s pink diamonds are the rarest and lavish gemstone in the earth. If you own one of it then it will be a graceful and sturdy wealth that will last throughout the generations.

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