A new global, quick, easy, on-line way to invest and trade in diamonds was introduced by the Singapore Mint Company on Oct 12, Diamond Bullion TM, allows prepackaged diamonds to be traded globally through the Singapore Diamond Exchange. Although diamonds have been traded as a stable investment for many, many years it is normally conducted off-line through dealers.
What is different about this system is that individual investors are able to get real-time pricing directly from the Exchange, and conduct on-line trading through a fully regulated exchange authority.
The new system as explained by Alain Vendenborre, Executive Director of SDM “Is a credit card-sized package of investment grade diamonds that provides a standardized, exchange traded format for investing in Diamonds.
“It is the world’s first fully electronic exchange for trading investment grade diamonds”.
The investment grade diamonds are pre sized, professionally graded, individually identified with a serial numbers and then several diamonds are sealed in a credit card size package. The Bullion package is also given a unique identification number which is inscribed on its case. The diamonds, and serial numbers are visible though a central window.
Investors can connect to the Exchange using a mobile phone App and by quoting the Bullion serial number and sending details of the bullion using the mobile phone’s camera, the Exchange will instantly confirm authenticity, allowing investors to view the certificate details for each diamond in the Bullion, and obtain valuation, and other data, including investor interest and trading volumes.
Bullion are purchased, owned and traded like shares. The bullion package can be left at the Exchange, kept at home, carried with you, or lodged with a bank or securities company.
The system was introduced, explained and demonstrated in Hong Kong on Oct 12, 2017. Following an introduction by Simon Murray, Vice Chairman of The Singapore Diamond Mint Company, the new system was further explained by Alain Vendenborre.
Diamonds are well known as a generally stable investment in which the value should rise, but may of course like Gold they may also fluctuate in value.