Singapore launches new platform for diamond exchange

Global Business

Singapore launches new platform for diamond exchange

The newly launched Singapore Diamond Investment Exchange said their platform allows investors to trade diamonds as a commodity.

CCTV’s Miro Lu reports on the website.

Singapore launches new platform for diamond exchange

Singapore launches new platform for diamond exchange

The newly launched Singapore Diamond Investment Exchange said their platform allows investors to trade diamonds as a commodity.

The Singapore Diamond Investment Exchange, which started trading May 5, said they have introduced a new technology for how diamonds are traded.

At present, diamond trades are mostly negotiated directly between a buyer and a seller. With the electronic platform, the highest bid price and the lowest selling price will be shown in real time. The prices of trades on the exchange will also be reported on a quarterly basis.

Unlike other precious commodities such as gold, pricing of a diamond is not straightforward. The basic valuation template boils down to the four Cs – Carat, Colour, Clarity and Cut. But ask any industry insiders, they will tell you that there’s plenty of room for subjective interpretation.