How to buy an unmounted diamond without breaking the law?
Expert commentary
For most of our adult lives, the diamond industry of our country was separated from our fellow citizens by a reliable barrier of legislation: both an uncut diamond and a cut but unmounted diamond were classified as currency values. It was possible to buy a diamond without a setting only on the black market, and any buyer, as well as the seller, violated currency laws and could be subject to criminal prosecution (remember Galina Brezhneva’s well-known passion for diamonds). After the end of the socialist period, legislation changed, sometimes radically, sometimes gradually, and sometimes even now you can find various rudiments and atavisms of the “scoop” in laws and by-laws. In particular, Article 191 has still been preserved in the Criminal Code, providing for criminal punishment for “Illegal trafficking in precious metals, natural precious stones or pearls” http://www.garant.ru/main/10008000-022.htm Precious stones only in in recent years have ceased to be considered currency values (there is no mention of them in the current version of the law “On Currency Regulation and Currency Control”, adopted by the State Duma on November 21, 2003, as amended on December 30, 2015 http://www.consultant.ru/popular/currency /). But even today, many years after the start of the legal free circulation of dollars and other currencies in the hands of our fellow citizens, the state imposes a number of restrictions on the circulation of precious stones in the form of raw materials and in cut but unmounted form, in our case, rough and polished diamonds. Therefore, we offer an analysis of the current legislation in the field of precious stones, so that potential buyers have an idea in which case the purchase of a diamond is an absolutely legal transaction, and who is an absolutely legal seller of diamonds in our country.
Diamond Jewelry
In Russia there are no special restrictions on the turnover of finished jewelry. We can direct those who are interested in the general civil circulation of goods to the Civil Code of the Russian Federation (http://www.consultant.ru/popular/gkrf1/). The current law of the Russian Federation “On Precious Metals and Precious Stones” has the following provision in the preamble: It is not subject to regulation of this Federal Law the procedure for citizens (individuals) to carry out transactions with jewelry and other household products made of precious metals and precious stones owned by citizens (private property). For the text of the law, see, for example, http://www.gemology.ru/zakon/1_30.htm
Thus, a citizen of our country (an individual) can purchase jewelry, including diamonds, own it and carry out any transactions permitted by law. When purchasing jewelry in a store, you need to know that there is Russian Government Decree No. 55 of 1998, which states the “List of durable goods that are not subject to the buyer’s requirement to provide him free of charge for the period of repair or replacement of a similar product and a list of non-food products of adequate quality , not subject to return or exchange for a similar product of a different size, shape, dimension, style, color or configuration" According to this resolution, products made of precious metals, with precious stones, made of precious metals with inserts of semi-precious and synthetic stones, cut gemstones cannot be returned to the store.
Unset Diamonds
Certified unmounted precious stones are considered to be jewelry, therefore, transactions with them can also be carried out by individuals. Relevant instructions are given in Government Resolution No. 1157 of November 25, 1995, which states: “Expand the list of transactions carried out on the market with precious metals and precious stones, allowing sales on the territory Russian Federation platinum bars and products made from it, as well as the composition of the participants in these transactions, providing for the conduct by individuals of transactions with gold, silver and platinum bars, certified diamonds and other cut precious stones.”
The legal basis for regulating the circulation of precious stones in Russia is established by the law “On Precious Metals and Precious Stones” of March 26, 1998 http://www.gemology.ru/zakon/1_30.htm.
The law in question allows the sale of stones, including loose diamonds, to any person, including individuals (i.e. citizens). Article 2, paragraph 6 of this law contains an indication that “Precious metals and precious stones acquired in the manner established by the legislation of the Russian Federation may be in federal property, the property of constituent entities of the Russian Federation, municipal property, as well as in the property of legal entities and individuals . Owners of precious metals and precious stones exercise their right of ownership of precious metals and precious stones in accordance with this Federal Law, the Civil Code of the Russian Federation and the Law of the Russian Federation “On Currency Regulation and Currency Control.” As we have already indicated, the currency control law does not apply to precious stones since 2004.
Article 20 contains provisions that stones can be sold to both individuals and legal entities: clause 5: “Precious metals and precious stones not sold as a priority to buyers listed in clause 5 of article 2 of this Federal Law and clause 4 of this article, including to buyers who refuse to purchase unique nuggets of precious metals, may be sold by the subjects of their mining and production by any legal and individuals, including through precious metals and precious stones exchanges operating in the Russian Federation.”
The rules for the sale of certain types of goods, approved by Government Decree No. 55 of January 19, 1998, establish the following requirements for the sale of unmounted precious stones (we quote excerpts from Chapter VII):
- The sale of cut diamonds made from natural diamonds and cut emeralds is carried out only if there is a certificate for each stone or set (lot) of stones sold (Article 61)
- Products made of precious metals and precious stones, as well as cut natural precious stones must have individual packaging (Article 65)
- When transferring the purchased goods to the buyer, the person carrying out the sale checks the presence of an imprint of the state hallmark of the Russian Federation on it and its quality, an imprint of the manufacturer’s name (for products Russian production), as well as a certificate for a cut natural gemstone (Article 66)
- Along with the goods, the buyer is given a sales receipt, which indicates the name of the goods and the seller, sample, type and characteristics of the precious stone, article number, date of sale and price of the goods, signature of the person directly selling the goods, and for purchased faceted natural precious stones certificates (Article 69).
Thus, any citizen can legally purchase certified loose gemstones. Since of all the precious stones today, Russian certification centers work only with diamonds, there are simply no other certified stones on the market. For more details, see the section on our website.
Finally, let's look at who may be a legal diamond seller under current law. Assay inspections maintain special records of organizations and individual entrepreneurs carrying out transactions with precious stones. Therefore, any company or entrepreneur must have a certificate of special registration with the Assay Office. Since the activity of selling both stones and finished products, is not subject to licensing; registration with the Assay Office is the only specific requirement for companies and individual entrepreneurs trading in precious stones.
Against the background of the ongoing global financial crisis and fever in the financial markets, some clients have become actively interested in transferring part of their savings into gold.
First of all, it is worth recalling that you can invest in gold in different ways: for example, open an impersonal metal account and instruct the bank to buy “virtual” metal with it, or purchase shares of a super-liquid mutual fund that invests exclusively in gold. However, it is the purchase of real metal that causes those who perform such an operation for the first time greatest number questions.
To begin with, first of all you should decide on the country of purchase of the metal. In this post we will focus on describing the procedure as it happens in Switzerland. In addition, in my subjective opinion, Switzerland has the most convenient and favorable conditions for carrying out this operation.
Firstly, there is no VAT on bullion, secondly, the presence of local producers and, as a result, instant supply of metal, thirdly, a developed banking industry and an abundance of organizations offering services for storing gold, as well as other valuables. As a rule, people decide to buy gold primarily to protect their savings from depreciation. And it is “material” gold in bars that meets this criterion. But you won’t be able to buy it in Ukraine at the exchange price. There are only two countries where you can buy gold bars at almost wholesale exchange prices and own them, without restrictions - Switzerland and the United States United Arab Emirates. As for the Emirates, this is a country with a completely “clubby” police and judicial system, where it is very difficult for a foreigner to achieve the truth against locals, plus they have recently been sitting on a powder keg because 80% of the population are poor migrant workers and God forbid they start another “Arab Spring” in the Emirates.
In Switzerland there are no such risks, and the market is fully formed so that non-residents can manage money comfortably. After choosing a country for this operation, you should decide what kind of gold you want to purchase - non-cash ("virtual") or physical (real metal in bullion), my recommendation is to go with the second option.
If you have clearly decided that non-cash gold is not for you, before purchasing you need to decide in advance where you will store the purchased metal. There are several options. Many (but not all) Swiss banks will offer to rent a safe deposit box from them. This is convenient and safe, but according to Swiss anti-money laundering legislation, safe deposit boxes are equivalent to accounts, so you will have to provide information to the bank and justify the source of the money in any case. An alternative to safe deposit boxes are specialized safe deposit boxes, which are plentiful in Zurich, Geneva and other major cities in Switzerland. The requirements for verifying clients there are lower than in a bank, but they still exist, and simply sending your lawyer to open a cell there and hand over the key to you will not work: when entering the premises, the company will identify the user and will not allow anonymous storage of valuables. In principle, metal can be stored in any other room, provided that the risk of theft is minimized.
In order to buy gold, you must give the appropriate instruction to your bank. Once the order is given, the bank will contact the seller (UBS is the main trader and produces its own bullion). The price indicated by the seller, even without taking into account commissions, may differ from the “London fixing” published in the morning and evening of each day. But the difference in prices is not necessarily the seller’s profit. The fact is that, contrary to popular belief, prices published in London are just evidence that on the specified date the members of the “club”, consisting of several banks, decided to announce the stabilization of demand for gold at a certain level. In general, small deviations from the London fixing have never confused clients: the price of gold is already quite volatile (fluctuations can reach several percent per day). In addition, gold bars are bought for long-term investment in the expectation of a price increase in the future, and not for instant resale at the first micro-jump in price.
Of all the possible gold bars, it is recommended to buy kilogram or half kilogram ones, of a simple rectangular shape. Their price is as close as possible to the market price of the metal, and does not contain a premium for minting, as is the case with coins. Micro bars (you can even buy gram bars, not to mention 10, 20, 50 gram ones) are nice to hold in your hand, but from an investment point of view this is unnecessary crushing (for reference, for example, at a price of $ 1600 per ounce, a one-kilogram bar costs about $51,000 is the ideal value for purchase.
Buying bars weighing 12.5 kilograms, in which settlements take place on the London market, and which, at the indicated price, cost about $640,000 each, probably only makes sense when purchasing hundreds of kilograms of gold). When preparing to sell your gold back, you should keep in mind that the transaction will take at least 2-3 days. The reason is that when the client receives the bullion, in a legal sense, his gold turns from “gold” into some kind of yellow metal, which is the object of potential examination for gold content.
Cases of counterfeiting large bars are rare, but they do occur (there are known cases of filling voids in 12.5 kilogram bars with tungsten, you can see what it looks like if you read one of my posts from March 2012) and the buying bank always plays it safe by sending the gold transferred to it to the laboratory. Contrary to popular belief, certificates received for the bullion number upon purchase do not have any significance when selling the bullion and do not save it from mandatory examination.
Since 1993, the Swiss factory Argor-Heraeus SA, owned by UBS Bank, has been producing special bars with a special mark applied directly to the gold. protective hologram. Such a bar can, in principle, be sold instantly, but because of this it costs slightly more than its counterparts without a hologram. That's basically it. Now you have an idea of the main points and procedure involved in buying gold in Switzerland.
Gold is a long-term savings asset. Fiat currencies come and go. They may be devalued, revalued, or completely destroyed (for example, in the unfolding war on cash).
Gold is the best bet for any weather. Gold does well in inflation and deflation because the government itself pumps up its price.
The problem with gold is that it may simply not be there when you want it most. The reason may be the dynamics of supply and demand, or the government's attempts to regulate sales or buy it up to build up its own reserves.
Now is the time to buy physical gold.
Visit us in Zurich and we will help you make a decision in favor of truly lasting values. We will be happy to advise you on which gold bars and coins are best suited for you. In addition, after the purchase, you can leave your gold for storage in your personal deposit box.
It is also important that funds placed in a deposit box do not fall under the system of automatic exchange of information between countries.
Professional services in Switzerland
I am a specialist in the field of private banking, wealth management and asset protection. I represent interests and have long-term business contacts with the managers and owners of a number of Swiss banks. I also represent a group of independent Swiss consultants who specialize in banking and corporate affairs and provide services for the protection of assets and the implementation of personal interests in Switzerland (and not only, for example, in Andorra). I would like to take this opportunity to briefly describe to you what we do and what services we provide.
Our team consists of banking lawyers, bankers, hedge fund specialists and tax consultants who specialize in representing clients (mainly from the CIS countries) who either already have or are planning to open a bank account with a Swiss bank, as well as whose business or personal interests are connected (planned to be connected) primarily with Switzerland. Thanks to our extensive contacts, we can also help in cases outside Swiss jurisdiction.
We help solve any matters of varying degrees of complexity that are related to finance. We help you avoid fatal mistakes in dealing with everything related to finances, business and personal interests.
Before engaging in this type of activity, members of our team devoted more than one year to working in Swiss banks, as banking lawyers, heads of Compliance departments in foreign banks, as well as managers in asset management companies.
Thanks to our extensive experience and personal business contacts, we are able to provide professional expertise on almost any issue related to finance.
We can offer services related to the transfer of assets from the CIS outside your jurisdiction with the transfer of assets to your account, for example, in a Swiss bank (or in another bank specified by you).
We currently offer the following professional services:
1. Opening a bank account in a Swiss bank (including for business transactions)
2. Moving assets outside your jurisdiction
3. Unblocking frozen-blocked bank accounts in Swiss banks
4. Litigation with Swiss banks
5. Support in the procedure for inheriting a bank account
6. Moving to Switzerland
7. Registration of Swiss companies
8. Services of a corporate Swiss director
9. Fiduciary services
10. Support of transactions for the purchase and storage of gold in Switzerland
11. Consulting and information support
Contact us for help if:
Do you want to register a company in Switzerland;
You need to move assets from your jurisdiction abroad;
You have a conflict with a Swiss bank or asset manager;
Your bank has blocked your bank account due to suspicions of illegal activity;
If you are not happy with your bank account;
Your Bank refuses to issue cash;
If you are suspected of money laundering;
You inherited a bank account in a Swiss bank;
If you have other business or personal interests in Switzerland;
If you want to get advice on an issue that interests you related to Switzerland and finance;
You have other business or personal interests in Switzerland
Visit my blog: http://site
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I will be glad to provide you, your partners (clients) or acquaintances with personal assistance in resolving any of your business and personal interests in the field of finance in Switzerland and beyond. We are interested in establishing mutually beneficial business relationships and are open to counter-offers.
Sincerely,
Valery Volkov
Contact me for private banking, wealth management, opening bank accounts, buying and storing gold and other precious metals, and advice on asset protection in Switzerland.
Thanks to my many years of business contacts with the managers and owners of a number of Swiss banks, banking lawyers and tax consultants, I provide expertise on issues of any degree of complexity. You can contact me via Skype - volkov71 or email: [email protected]
A diamond is a cut natural diamond; it has no equal among precious stones. Jewelry with diamonds is designed to emphasize the high social status their owners. Recently, diamonds not only remain a luxury item, but also become a profitable means of investment.
Before selling a diamond, carefully read the current legislation in the field of precious stones. Until recently, diamonds were classified as currency valuables, and any transactions with them were punishable by criminal liability. In Russia, since 1998, the legal aspects of transactions with precious stones are regulated by the Law “On Precious Metals and Precious Stones”.
The rules for the sale of unmounted diamonds are set out in Russian Government Decree No. 55 of January 19, 1998. According to this document: “The sale of cut diamonds made from natural diamonds is carried out only if there is a certificate for each stone or set (batch) of stones sold.” If the diamond you intend to sell does not have a certificate, take it to an accredited laboratory for evaluation by independent experts.
The issued certificate confirms the authenticity of the stone and records its main characteristics (weight, color, clarity, shape and cut quality). Based on the expert opinion, you can find out the market value of the diamond being sold. To do this, use the domestic or foreign price list for diamonds.
A legal seller of diamonds can be a company or an individual entrepreneur who has a certificate of registration with the Assay Office. Therefore, any private person who sells diamonds is obliged to use the services of the above-mentioned intermediaries.
Video on the topic
note
Regardless of what type of jewelry it is: costume jewelry or jewelry made of natural stones and precious metals of high value, they will always be bought. The question is how to competently organize the work of your salon in order to attract maximum amount buyers.
First of all, carefully evaluate the space you are renting for your salon. It should be clearly visible and attract attention from afar. A universal method of attracting customers is a bright, large exhibition and a couple of promoters working at the entrance.
Take care of the premises and staff. Jewelry looks best on black velvet, subtly lit from inside the display cases. The salon should be lightly dim; it should be made in semi-dark colors so that only the decorations attract attention. The staff should be smiling and attractive in appearance, with well-groomed appearance. Your clients should enjoy being in your salon and interacting with your staff.
In order to attract more customers, use a combination of loyalty policies and seasonal discounts. Introduce regular customer cards and a cumulative discount system. Periodically arrange promotions for both regular customers and ordinary customers. Provide promoters with the necessary handouts to spread the word about your discounts to potential customers.
Video on the topic
Helpful advice
Don't forget about security. The salon should have double doors that open inwards, a couple of security people at the entrance and several panic buttons in case of robbery.
When purchasing diamond jewelry or diamonds without a setting, many people are faced with the problem of adequately valuing precious stones. Without special training, it is difficult to understand the terms and designations that the seller uses to describe the characteristics of a diamond. Therefore, it is very important to stock up on at least minimal knowledge about diamond quality standards before purchasing. This will help you manage your money wisely.
Loose diamonds sold at retail always come with a certificate of conformity issued by an accredited center. For all diamond jewelry, the manufacturer also includes a document containing information about the main characteristics of the gemstones. These sources can be trusted, since the quality of diamonds is assessed by specialists using the most modern equipment. It is enough for a simple buyer to understand what a particular alphanumeric symbol means. Then you can easily learn how to evaluate diamonds yourself.
The characteristics of diamonds and diamonds are subject to the “4C rule”: carat weight (weight in carats); color(color); clarity (purity); cut (shape and quality of cut). As a rule, on the tags of diamond jewelry you can find information of the following type: 1 Br Kr-57 0.08 2/3A. This means that the jewelry contains 1 diamond round shape with 57 edges. The weight of the gemstone is 0.08 carats. The number 2 indicates color characteristics, and 3 indicates purity. The letter A refers to the quality of the cut.
So, when starting to study the characteristics of a diamond, first of all, pay attention to its carat weight. 1 carat (ct) is equal to 200 mg or 0.2 g. All diamonds are usually divided into small (up to 0.29 ct), medium (0.30 - 0.99 ct), large (over 1 ct). There is a relationship between the mass of a diamond and its diameter. For example, a stone weighing 0.50 ct, with ideal compliance with the technical conditions for cut diamonds, will have a diameter of 5.2 mm. Accordingly, the greater the weight of the diamond, the greater its diameter, as well as its cost.
According to the domestic color rating scale, each diamond is assigned a value from 1 (colorless) to 9 (brown). For cut diamonds weighing up to 0.29 ct, the color range is characterized by a scale from 1 to 7. The international GIA (Gemological Institute of America) system designates color gradations with letters from D to Z. The most valuable diamonds are colorless or with a slight tint, approximately from 1 to 5 color groups (D, E, F, G, H in the GIA system). The cheapest cut diamonds are with color 5-7 (up to 0.29 ct) or 8-9 color groups (K-Z according to GIA).
The clarity of a diamond is another important indicator that significantly affects its price. Diamonds, like any other minerals, are characterized by natural defects. By determining their features, quantity, size and location, the expert assigns a clarity grade to each diamond. In the domestic classification, the clarity of a diamond is indicated by numbers from 1 to 12. Moreover, 1 is a diamond that is clean under a magnifying glass; 9-12 – diamonds with inclusions visible to the naked eye. For diamonds up to 0.29 ct, a similar scale ranges from 1 to 9. According to the GIA system, diamonds with the highest clarity group are designated by the letters IF, followed by a gradation of the form VVS1, VVS2, VS1, VS2, SI1-SI3, I1-I3. Purity group I3 corresponds to group 11-12 in the Russian classification.
Finally, research information about the cut shape and quality. The most popular and expensive is the round diamond shape Kr-57. There are also many fantasy shapes: pear (G-56), marquise (M-55), oval (Ov-57), princess (P-65), baguette (B-33), trilliant (T-55), etc. Diamonds of fancy shapes look stylish and impressive in jewelry.
The quality of cut in the Russian classification is designated by the letters A, B, C, D, where A is best quality, G – unsatisfactory quality. The quality of the cut refers to the ratio of linear dimensions and angles of inclination of the edges, polishing and symmetry. The shine and play of light in the stone depends on all these parameters. In the GIA system, the best quality of a diamond is designated by the word excellent, followed by gradations such as very good, good, and the worst quality is designated poor.
Helpful advice
In the price lists for diamonds, there are many transitional groups that differ significantly in price. For example, the difference in the cost of cut diamonds weighing 0.49 ct and weighing 0.50 ct can be 200-300 dollars, while outside the transition groups, for every 0.01 ct the price increases by only 20-30 dollars. The same applies to diamonds weighing 0.29 ct and 0.30 ct; 0.69 ct and 0.70 ct; 0.99 ct and 1.00 ct. But visually there are almost no differences between such stones. Therefore, by purchasing a diamond that is slightly below the transitional group, you can save a lot of money.
The tradition of honoring precious stones dates back to ancient Egypt and Rome. The Egyptians decorated themselves with emeralds, amethysts and turquoise, the Romans preferred diamonds. Nowadays, precious stones (diamonds in particular) serve not only as luxurious jewelry, emphasizing the high status of their owner, but also as a means of investing capital.
- - certificate;
- - jewelry shop.
Before selling a precious stone (diamond, emerald, etc.), carefully read current laws concerning the sphere of circulation of precious stones. Until recently, diamonds were classified as currency valuables, and any transactions with them entailed criminal liability. Since 1998, in Russia, the legal aspects of any transactions made with precious stones have been regulated in accordance with the Law “On Precious Metals and Precious Stones”.
The rules for the sale of unmounted precious stones are set out in detail in Decree of the Government of the Russian Federation No. 55 of January 19, 1998. According to this document, the sale of cut precious stones is carried out only if there is a certificate for each individual stone or set of stones sold. If the stone you intend to sell does not have such a certificate, then submit it for evaluation by independent experts in an accredited laboratory.
This laboratory issues a certificate confirming the authenticity of the gemstone and recording its main characteristics (color, weight, shape, cut quality, purity).
Based on the results of the expert opinion, you will find out the market value of your stone. To determine the price of a gemstone yourself, use the price list).
Register with the Assay Office. The fact is that a legal seller of precious stones (diamonds in particular) can be an individual entrepreneur or a company registered with this organization. In general, you cannot do without intermediaries.
Contact jewelry stores and show them the gemstones you want to sell. Don't forget to take with you a certificate issued by an accredited laboratory - you will definitely be asked for it. It is possible that your stone will be checked again by experts working in organizations where jewelry is purchased.
Diamonds are diamonds that have been cut in such a way that they natural shine manifests itself the best way. Transparent specimens of round shape and maximum purity are considered the closest to perfection. But if classic stones seem boring to you, it doesn’t matter! There are a huge number of different types of real natural diamonds, differing in color and cut.
To date, a huge number of different classification systems for precious stones and diamonds have been created. The most used among them is the 4C system, which allows you to evaluate a stone according to the following parameters: Carat (carat weight), Color (color), Clarity (purity), Cut (cut) - in that order. If we talk about what kind of diamonds there are, it makes sense to consider various options colors and types of cuts.
- 1. Variety of colors
- 2. What types of cuts are there?
- 3. Option 1: purchase or pawnshop
- 4. Option 2: sell to buy
- 5. Option 3: commission sales
Absolutely colorless transparent specimens without any inclusions or impurities are valued most highly in jewelry. In the international characteristics they are assigned category D, in the Russian - 1. But in general color palette Natural diamonds are extremely diverse. The GIA system of the Gemological Institute of America identifies nine primary diamond colors: red, orange, yellow, green, blue, grey, brown, purple and pink.
The most common stones are yellowish, cognac and brownish shades. Their color is due to the presence of nitrogen atoms locally concentrated in the stone. Greenish diamonds are less common: they contain radioactive elements - uranium and thorium. Rarely found pink and red diamonds are highly prized.
One of the world's most famous diamonds, the Kohinoor, was originally yellowish, but after being recut in 1852 it became perfectly clear.
Separately, we should comment on the phenomenon of black diamonds. There are many such stones in nature, but you rarely see a black diamond on the market. The reason is that a high concentration of dark inclusions (graphite plates) makes cutting the stone much more difficult.
If we talk about cutting, modern jewelers give diamonds the most various shapes. The most popular options are marquise, princess, asscher, baguette, radiant, cushion and the so-called emerald cut. It is much less common to find stones in the shape of a heart, pear or oval. The standard is a round diamond of eightfold symmetry.
The round cut was developed by Marcel Tolkowsky in 1919: he was the first in jewelry to carry out calculations and take into account the laws of optics
Up to 75 percent of diamond sales worldwide are made up of stones of this shape. The secret is that a round diamond with 57 facets has better light refraction characteristics, in other words, it “plays” more beautifully. By the way, the high cost of round diamonds is due not only to the sophistication and complexity of the cutting technique, but also to the fact that a significant part of the diamond is lost during processing.
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Not all jewelry stored at home is loved and fashionable. Some of them are outdated and gathering dust without use. There are several ways to get rid of bracelets, rings and earrings that have become unnecessary, selling them at a good profit.
Every woman has a treasured box where a variety of jewelry is stored. Some of them were inherited from mother or grandmother, some were gifts from fans or spouses, and some were purchased independently. However, you don’t wear all of them: you don’t like some of them, while others are simply tired of them. In addition, there are situations in life when you urgently need money, and you have to get rid of gold rings and earrings in a hurry. How to sell jewelry without selling it short and not becoming a victim of scammers?
First of all, it is worth noting that when selling ordinary jewelry, as well as items that have damage or defects, their redemption value will be equal to the approximate cost of scrap. However, there are situations when the speed of sales of products turns out to be a higher priority than the amount received for them. In this case, a suitable option would be to contact a company that buys valuable metals and products made from them. This option has a number of advantages, including:
Cleanliness and transparency of the transaction;
Quick receipt of money;
Opportunity to sell broken or damaged jewelry.
If you decide to exchange a piece of jewelry that has become unnecessary for a more fashionable and creative item, you can contact a jewelry store. Most large retail chains today will gladly accept old chains, rings and earrings with their value offset when purchasing a new product. Naturally, the cost of delivered products is calculated based on their weight, multiplied by the price of 1 gram at the price of scrap.
If you own an exclusive or original item, it makes sense to try to sell it through a jewelry store or antiques store. In this case, you can set the price yourself. In this case, it is recommended to rely on the opinion of an appraiser, who will accurately weigh the jewelry and determine the quality and purity of the stones contained in it. The timing of the sale of jewelry submitted to the commission depends both on its artistic value and on the ability of the salon managers to competently present its advantages and convince potential clients to make a purchase.
When deciding to sell jewelry, do not forget to first find out the average prices for a similar product in stores, and also ask what amount buyers are currently offering for 1 gram of gold, silver or platinum scrap. In addition, you can order a gemological examination from independent appraisers, evaluate the product in a repair shop or from a jeweler who provides similar services.
Special care helps preserve the attractive appearance of gold items, as well as items with diamonds. If jewelry is properly stored and periodically cleaned, it will bring you joy for a long time.
During wear, gold jewelry comes into contact with our skin, dead cells and sweat. When interacting with the environment, they also tend to darken. It is known that any gold jewelry contains elements that, as a result of interaction with oxygen, water and carbon dioxide in the air, can lead to darkening. To remove it, wipe the items with a microfiber cloth every time you remove them. Similar napkins can be purchased at jewelry stores.
Special solutions and pastes will help get rid of tarnishing. Purchase a gold jewelry cleaning kit, which consists of a jar containing cleaning fluid and a mesh. Place the product inside the mesh, immerse it in the solution, and keep it there for 7 minutes. Remove and wipe with a soft cloth.
Clean large gold items with special cosmetics in the form of a spray, spraying it over the surface of the jewelry, then polish the gold well.
Do not use chalk to clean gold jewelry. Scratches may remain on the surface of the gold or the condition of the top layer may deteriorate.
Remove diamond jewelry if you swim in a pool that contains chlorine, as this can corrode the metal at the kinks.
If you wear a piece with a diamond every day, wipe it regularly with a suede cloth, and clean it once a month with a warm soapy solution, sweetened clean water or a weak solution of a mixture of water with ammonia and ethyl alcohol.
If your diamonds are below grade 8 in clarity, use a special device that ultrasonic cleans diamonds.
Make a solution of warm water (100g), baking soda(25g), bleach (10g) and a pinch of kitchen salt. Keep the jewelry in it, then wipe with a flannel cloth.
Gold cleaning and diamond cleaning should be carried out regularly; once a year, take your jewelry to a master for professional cleaning.
Real diamonds and jewelry with them are not cheap, so naturally there are scammers selling various fakes. If you are offered to buy a piece of jewelry second-hand, if you want to find out whether the ring that was given to you is a real diamond, if you think that after cleaning at the jeweler your jewelry looks somehow wrong, there are several simple ways dispel all doubts.
- Jeweler's loupe
Many people believe that a diamond is only a transparent, colorless stone. This is an incorrect judgment. There are blue and pink diamonds, as well as champagne and cognac colored stones, and don’t forget about the famous black diamonds. Therefore, the color of a stone is not very important in determining its authenticity.
Another misconception about diamond jewelry is that the real stone should only be on a “backing” of white gold or special rhodium plating. Yes, as a rule, to emphasize the inherent depth and play of these stones, jewelers place diamonds on lighter metal, but this is not an immutable rule. There are very expensive jewelry in which diamonds are entirely surrounded by gold as designed by the artist.
But it is true that diamonds should be set only in precious metals. Even low-grade gold products are no longer decorated with such stones. And high-grade gold is usually not used in products with cubic zirconia and other imitation diamonds.
Be skeptical about advice to try scratching glass with a diamond. Yes, on the Mohs scale, the hardness of glass is 5.5 points, and a diamond is 10, and, of course, a diamond will leave a scratch on the glass, but quartz and zirconium with a hardness of 7.5 and 8.5 points on the same scale will scratch the glass in the same way .
A good way to verify the authenticity of a diamond is to look closely at it through a magnifying glass. Real stones will have tiny flaws and small inclusions. There are very few diamonds without a single flaw in the world; you can count them on your fingers; they cost millions. Fake stones are ideal, since the process of their production does not imply the possibility of creating artificial flaws.
If you have the opportunity to use a jewelry loupe, then with its help you can find a laser engraving on one of the faces of the stone with its number and the cutting company. Of course, this does not apply to antique diamonds and stones weighing less than a quarter of a carat.
Using a magnifying glass, carefully examine the diamond facets. A real stone has all of them sharp; it does not and cannot have rounded edges.
Breathe on the stone until it fogs up. If it remains hazy a few seconds later, it is not a diamond. On real diamonds, condensation disappears immediately. However, remember that dirt can retain moisture, so it is very important to clean the stone before this test.
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Helpful advice
Since a diamond is a very expensive stone, if you have the slightest doubt about its authenticity, it makes sense to take the diamond to a jeweler-appraiser, since a mistake can cost you too much.
When the financial system is bursting at the seams, and savings are disappearing as a result of inflation, it's time to think about ways to preserve capital. One of them is buying diamonds.
Now is the time to invest in diamonds, says Martin Rapaport, head of the American Rapaport Group, which has been providing services to gem dealers for 30 years. He is confident that diamonds will become more expensive in the near future, because Last year they fell in price by 10-20%. Rapaport's opinion is worth listening to - back in 1978, he began publishing the Rapaport Diamond Report, which still serves as the main source of information on diamond prices.
But you shouldn't chase profit. According to Vladimir Savenok, an independent financial consultant, diamonds are a very conservative investment, like gold. “It only makes sense to invest in them to preserve capital. It’s more like a rainy day reserve for the whole family,” he says. You can’t earn much on precious stones - in five years as of today (taking into account the fall), prices have increased by 10%. But in terms of ease of storage and transportation, diamonds are the best alternative investment.
Edges. Unlike commodities such as gold or oil, diamonds are difficult to standardize, says Yuri Shelementyev, head of the examination department at the Gemological Center of Moscow State University. The cost of diamonds of the same weight can vary significantly. One example: on May 12, in the RapNet trading system (operator Rapaport Group), stones weighing 1-1.49 carats with high characteristics in color and clarity cost more than $19,000 (per 1 carat), at the same time the same in weight, but the worst quality diamonds could be bought for $1000 per carat.
To describe a diamond, more than ten characteristics are usually used, but there are four main ones. These are the so-called 4 s: clarity (purity), color (color), cut (cut quality) and carat (weight). In addition, the price depends on the shape of the cut, the quality of polishing, etc. The characteristics of diamonds are confirmed by certificates of special appraisers. The most authoritative are the certificates of GIA (Gemological Institute of America) and HRD (Higher Diamond Council of Belgium).
Indexes. Knowing all the parameters of a diamond, using the already mentioned Rapaport reports (updated weekly, the cost of an annual subscription is $350) you can determine the price of the stone. Rapaport prices are indicative - a real deal may come with a discount or, conversely, a premium for large diamonds of excellent quality.
The Israeli electronic diamond trading system IDEX Online has introduced its own stone price indicator - Polished Diamond Price Index. The method of its calculation is based on the method of stock indexes: the main categories of traded diamonds are determined, then they are assigned weights in accordance with the share they occupy in market turnover. The output is a turnover-weighted index that reflects the dynamics of dollar prices for traded stones. “Considering that 75% of all traders work through us, the price analysis is very accurate,” assures Edan Golan, editor-in-chief of the IDEX Online newsletter.
In 2008, the Polished Diamond Price Index rose 1.5%, while the MSCI Emerging Market stock index fell 54%. The diamond market follows the stock market with a time lag: since the beginning of 2009, the IDEX Online index has lost 7.5% to May, while the MSCI Emerging Market has grown by 16.9%.
Trade and storage. Moscow businessman Mikhail (he asked not to give his last name), having sold an Internet project on the eve of the crisis, in December 2008 became the owner of a diamond of 10.18 carats (1 carat is equal to 0.2 grams). For a stone the size of a ten-kopeck coin, he paid $1.1 million (more than $100,000 per carat).
Mikhail bought his diamond from the 4c-Diamond company, whose headquarters are in Antwerp, and stores it in a safe deposit box at one of the local banks. This Belgian city is the closest center of the world diamond trade to Moscow, which also includes New York and Tel Aviv. Mikhail met with a representative of the company in the fall of 2008 at the Millionaire Fair exhibition in Moscow. Then he flew to Antwerp, looked at the stone and signed the contract.
Before flying to Antwerp, you should call jewelry brokerage firms (phone numbers are in any directory), who will tell you who to contact.
Stones can also be purchased on electronic trading platforms like IDEX or RapNet. The RapNet system is reminiscent of stock trading in a negotiated deal mode - bids indicating price, shape and quality of cut, weight, color, clarity, etc. are for informational purposes only. To agree on the final price and details of the transaction, you need to contact the seller through a broker.
According to Michael Thorner, head of the Antwerp division of 4c-Diamond, the company undertakes to select diamonds for an investor for a certain amount and help with the sale by buying the stone itself or selling it through a trading platform. For such services, diamond dealers usually charge a commission of 2-3% of the transaction amount (4c-Diamond commission is 1.5%). The buyer may not know the real price of the stone. “We usually earn a total of 5-6% of its value per stone,” says Thorner.
Some trading platforms offer private investors to work without intermediaries. “We are ready to provide brokerage services ourselves,” says Martin Rapaport from Rapaport Group. For a commission of 5% of the transaction amount, his company will select a suitable offer for the client in the RapNet system to buy or sell a precious stone, and will also provide its storage.
Three months ago, the Belgian electronic diamond exchange DODAQ began operating; private clients can also trade here. “We wanted to make investing in diamonds easier,” says DODAQ CFO Alex Frey. To make transactions, you need to register in the system and open a cash account. Money will be transferred from it to the seller of the stones, which, after the transaction and registration in the name of the buyer, will end up in a special storage facility of the exchange, a kind of depository. Purchased diamonds can be sold on the same site or picked up. Exchange commission - 0.85-1.5% of the transaction amount. True, only small stones weighing from 0.3 to 1.49 carats are traded on the exchange - they are easier to standardize.
So far, few transactions are taking place on DODAQ, but Frey is confident that liquidity will gradually increase. However, even today investing in diamonds is not much more difficult than buying apartments for resale. For those who want to keep a fortune in their jacket pocket, this is not a bad option.
Andrey VIRKOVSKY
