Steer clear of jewellery and diamonds as 'investments'

As jewellery sales fall, some jewellers have begun touting the merits of jewellery and diamonds as being 'investments'. This is dangerous nonsense, says Mark O'Byrne.

With the economic slowdown and the consequent fall in jewellery sales, jewellers have recently begun touting the merits of jewellery and diamonds as being 'investments'. This is dangerous nonsense that may lose investors even more of their hard earned savings. Here's why

First, jewellery and diamonds attract VAT at very high levels. On the other hand, investment grade gold bullion (0.9999 or 24 carat), coins, bars or government gold certificates are stamp duty and VAT free due to the EU Gold Directive.

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