Financial Advice - Diamonds And Gold In Buenos Aires?

[Musicman]

I was just wondering about the availability of gold and diamonds in Buenos Aires and their respective prices and how they compare to prices here in the US - as an investor this is something that interests me given I will move there next year from Texas

I was told that Argentines invest in them as a hedge against inflation which is very high - has anybody been to Tiffany's in BA? Is it any good?

I realize not everybody can afford these but some of you may have some feedback on this one as I look to invest my Argentine portfolio in inflation proof assets or perhaps suggest alternatives

All suggestions welcome

 

[Ries]

I am not up on the current law, but as of a year or so ago, it was pretty much illegal for argentines to buy gold. You could buy gold thru a government approved bank, at a huge premium- sometimes as much as 35%. But it is not easy to buy and sell gold the way it is in the USA. Plus, security is an issue- and safe deposit boxes are expensive.
My guess is diamonds, gold, silver, and similar commodity investments will be more expensive here, less liquid, subject to changing and unpredictable laws, regulations, and taxes, and will have higher costs to both buy and sell.

Argentines hedge against inflation by buying US dollars. And they have been, for decades, a safe and profitable investment here.
They also buy real estate- which is not liquid, but is a pretty safe investment, and has steadily increased in value.

Before you invest in anything here, you need to spend a few months, talking to locals. Every possible question here has multiple answers, and it takes a while, on the ground, to figure out what will work for you.

My guess is your investments in the USA will be safer, better performing, more liquid, and easier all around.
Many argentines I know have invested in apartments in NYC or Miami, and are very happy they did.

 

[glasgowjohn]

A few years ago, a friend told me that Sao Paolo based dealers bought and sold diamonds in Bs As. They come down for a few days at a time , base themselves at one of the good hotels and do their business.

 

[French jurist]

Better invest in ferraris, helicopters, football players. That's how I got rich!

 

[ElCordobés]

I was told that Argentines invest in them as a hedge against inflation which is very high - has anybody been to Tiffany's in BA? Is it any good?

I checked at Tiffany's last year. Even with a strong blue, prices were significant higher in BA. Selection was limited.

As a curiosity, checked Tag Heuer watches and found they had been better than US retail, but that could all have changed.

So with some digging who knows, but I suspect, blue is effectively official rate for most items...

 

[bobsnowpuppy]

I checked at Tiffany's last year. Even with a strong blue, prices were significant higher in BA. Selection was limited.

As a curiosity, checked Tag Heuer watches and found they had been better than US retail, but that could all have changed.

So with some digging who knows, but I suspect, blue is effectively official rate for most items...

I had the same questions as the OP before I came here in September. On the jewelry side, I found Tiffany's stock to be limited, but also found Tag Heuer and Rolex prices to be equivalent to U.S. when using the dolar blue rate. I have seen very little gold jewelry in stores or worn - mostly silver. I sold or put most of mine in a bank box before leaving the States. Also, gold has peaked recently, hasn't it?

 

[DontMindMe]

Argentina is one of the last places in the world where I would choose to do what you're thinking about doing. A diamond is also the very last stone I would buy and try to make a profit from later, anywhere (unless, of course, I were an experienced dealer or jeweler buying wholesale). That almost never happens; in fact, your average Joe or Jane trying to sell a diamond engagement ring post-divorce usually doesn't even come close to breaking even. Of course, Argentina is its own planet economically, but it should go without saying that you have to know diamonds to invest in and sell diamonds. Have you ever louped one? Would you be able to identify inclusions, treatments, simulants and synthetics? Attempt to estimate a color grade using a white piece of printer paper if you don't have access to masterstones? I'll stop there, but you get the idea.

Tiffany in BA will almost certainly have an abysmal selection due to import restrictions. I imagine wealthy Argentines who want a piece from Tiffany will simply fly to Miami at this point to get what they want, for cheaper.

 

[Ceviche]

www.hopefunds.com

Sarmiento 643, Piso 1
Capital federal

Maybe you want to check out with them?

Some rich Argentine friends of mine recomended them to me. However, I have no idea how genuine they are. The locals use them a lot.

Please do your due diligence if you do decide to invest with them

 

[che]

If you have to get rid of pesos then San Telmo has a few jewelry stores where you'll find 18k gold estate pieces and antique watches where you may be able to negotiate a good price.

 

[polostar88]

I've come to take the money, the women, the gold