As the world turns, so does the core inside it, churning and turning in magnificent ways that shape magnificent precious stones in the process. Diamonds and other precious metals like gold, platinum and silver are the hallmarks of sophistication, and they don’t come with a petty price tag either. Choosing the minerals trade as an investment vehicle is a wise decision which will more than just add weight to your wallet, but it will also twist your vision of the world as you will be truly entranced by the environment as well. Investing in diamonds is a lucrative investment venture which can reap wonderfully gleaming profits indeed. However, making a decent profit is not as easy as you might think. There are a few basic strategies and guidelines which must be followed for the best investment returns.
A prospecting license must be obtained before anyone can start extracting diamonds from the earth. A prospecting license is what gives you the rights – whether ownership or leasing – that come with the benefits therewith, generally the rights of use. Obtaining a license is not always easy. But with the help of an agent your task will be simple and quick.
You generally have to prove that you are capable of fully utilizing the resources you find; you must agree to abide by land use regulations, for instance agreeing to rehabilitate the land after the exhaustion of mineral resources. You must also have ownership or leasing rights and the title deed to show for it. State requirements differ from state to state though.
You must always be on guard for illegality in whatever you do. There are several ways by which you can fall outside the confines of the law and end up having the justice system chasing you down with police hounds. Take blood diamonds for instance. Blood diamonds are basically obtained with the use of violence, bloodshed, gruesome exploitation, or through any undignified way. Investing in diamonds of this nature is against humanitarian laws against violence, abuse and exploitation and the diamond trade is strongly bound by these laws.
Another area of illegality you must be wary of is that of undercharging. Undercharging – paying less than the market price – is a major offense in certain jurisdictions where this practice is deemed as unjust and riddled with inflationary triggers. Basically it is not considered as economically empowering, but economically shattering.
How can you safely say you are investing in diamonds if you don’t have a diamond specialist to determine originality and quality? Without such an individual you’ll be digging your own grave, recklessly condemning yourself to the ill-fated destiny of a false start in business. So make sure before you ever attempt this type of investment that you get professional help and expertise.