I don't try to time things but I do try to price things. I got a formula that says bet on brains when it is the the right type of deal. The price was right. The terms were right. The people were right. I decided to write a check.
- Warren Buffett
www.berkshirehathaway.com
Thursday, September 25, 2008
Periodic Table Of Videos
I found the periodic table of videos @ www.periodicvideos.com educational and insightful. Watch and learn. I liked it.
Investing In Gemstones + A Different Perspective
(via Economic Times, 24 Sep, 2008) Sanjeev Sinha writes:
Investing in precious stones may seem like a good idea, but is it really such a sparkling venture? This query has over the years baffled investors and analysts alike. For, although the prices of some high-quality precious stones are said to have shown considerable appreciation in recent years -- 150-200 per cent during the last five years -- gemstone investing per se is still considered fraught with risks. And not without any reason.
A majority of experts, in fact, feel the act of buying precious stones is somewhat similar to the act of investing in art. In their view it is best to buy precious gems and stones because you like them and find them beautiful rather than aim to use them solely as a form of investment.
Says Kamal Gupta, chairman and managing director of the Delhi-based P P Jewellers Group, 'Gemstones are a good buy if you are in a mood to splurge. They also carry an additional aura of mystique and are recommended for various star effects on our body. Scientifically, some of them do have a positive affect on blood circulation which gives different results. But, strictly speaking, gemstones shouldn’t be considered for investment simply because they don’t have any resale value.'
Those, however, who see some value in gemstone investing argue that it at least diversifies investors' portfolio. 'Keeping in mind that gemstones are rare and beautiful objects, they generally enjoy good demand and yield good returns over a long period of time. Also, in view of the current volatility in stock markets, diversification in such investment options can minimize portfolio risk as well as losses,' says Ashish Kapur, CEO, Invest Shoppe India. Whatever be the case, let’s first take a look at the various categories of gemstones. In fact, all stones -- precious and semi-precious -- are collectively referred to as gems. The various categories include precious, semi-precious, synthetics and imitations. All very high value and rare gems fall into the precious category.
The regular ones are ruby, emerald, sapphire, pearl, coral, and garnet. Semi-precious are more than 150 in number and are a speaciality of every country. Some of them are quartz, iolite, tigers eye, malachite, kaynite, tanzanite, tourmaline, topaz, spinel etc. Synthetics are the ones that have the same chemical formula and physical properties of the natural gem but are actually synthesised in the lab, while imitations are the ones that are used instead of the real variety and can be made of plastic or glass.
However, not each and every gemstone should be regarded as a potential form of investment, and even if some may look lucrative, they are definitely not suitable for every investor.
Mihir Shah, partner at the Chennai-based diamond merchants N Gopaldas & Co, says, 'Except for really rare, unique gems and where the buyer has bought them from the right source and knows where to sell them back, they’re useless as an investment. Also, unlike a diamond, they wear out naturally if used regularly, and lose their value. So, only if you carefully preserve them, say over 100 years, they will gather antique value, but this can happen with a pair of Reebok shoes too, if they remain intact for that long time.'
Thus, if you have a gemstone which is rare and of high quality, and you know the traders, then it may be a good investment. But not the other way round.
'Besides, prices increase only when the mines become extinct, or the currency varies. If new mines are found, prices crash. Also, I have never heard anyone selling one’s gem,' says Shah.
Sounds strange? 'Definitely not,' says Gupta, 'The use of gemstones is largely culture-based, and in India nobody would like to use a stone if that has already been used by someone.' So where does the question of resale arise?
Also, grading and pricing of gemstones are difficult and require considerable experience and training. 'The gemstone market is highly illiquid when compared to the financial markets, commodities, or even real estate, and different dealers’ valuations may vary considerably,' says Amit Sarup, director, Religare Venture Capital Ltd.
Thus, the act of buying precious stones is somewhat similar to the act of investing in art. No wonder, it is best to buy precious gems and stones because you like them and find them beautiful rather than aim to use them solely as a form of investment.
'One safe way to buy gemstones, however, is to buy them when they have been used in any jewellery. This enhances their value,' says Gupta.
Significant returns may also be realised when an investor buys a large, uncut and coloured stone, and then sells it for a higher price. 'The best stones to buy are the ones that look beautiful when you wear them. Ones that do not wear out fast in time, like rubies and sapphires,' informs Shah.
According to experts, rubies, emeralds, blue sapphires, alexandrites and Basra pearls are a good buy, but preferably they must be over 5 cts and more intense in colour.
Sometimes the country of origin is also important. For instance, Sri Lankan sapphires, Kashmir blue sapphires, Brazilian and Columbian emeralds in their natural untreated form are considered a good buy. Ultimately, it’s the beauty of the stone that decides its value!
http://economictimes.indiatimes.com/articleshow/msid-3522209,flstry-1.cms
I think an educated consumer is your best customer.
Investing in precious stones may seem like a good idea, but is it really such a sparkling venture? This query has over the years baffled investors and analysts alike. For, although the prices of some high-quality precious stones are said to have shown considerable appreciation in recent years -- 150-200 per cent during the last five years -- gemstone investing per se is still considered fraught with risks. And not without any reason.
A majority of experts, in fact, feel the act of buying precious stones is somewhat similar to the act of investing in art. In their view it is best to buy precious gems and stones because you like them and find them beautiful rather than aim to use them solely as a form of investment.
Says Kamal Gupta, chairman and managing director of the Delhi-based P P Jewellers Group, 'Gemstones are a good buy if you are in a mood to splurge. They also carry an additional aura of mystique and are recommended for various star effects on our body. Scientifically, some of them do have a positive affect on blood circulation which gives different results. But, strictly speaking, gemstones shouldn’t be considered for investment simply because they don’t have any resale value.'
Those, however, who see some value in gemstone investing argue that it at least diversifies investors' portfolio. 'Keeping in mind that gemstones are rare and beautiful objects, they generally enjoy good demand and yield good returns over a long period of time. Also, in view of the current volatility in stock markets, diversification in such investment options can minimize portfolio risk as well as losses,' says Ashish Kapur, CEO, Invest Shoppe India. Whatever be the case, let’s first take a look at the various categories of gemstones. In fact, all stones -- precious and semi-precious -- are collectively referred to as gems. The various categories include precious, semi-precious, synthetics and imitations. All very high value and rare gems fall into the precious category.
The regular ones are ruby, emerald, sapphire, pearl, coral, and garnet. Semi-precious are more than 150 in number and are a speaciality of every country. Some of them are quartz, iolite, tigers eye, malachite, kaynite, tanzanite, tourmaline, topaz, spinel etc. Synthetics are the ones that have the same chemical formula and physical properties of the natural gem but are actually synthesised in the lab, while imitations are the ones that are used instead of the real variety and can be made of plastic or glass.
However, not each and every gemstone should be regarded as a potential form of investment, and even if some may look lucrative, they are definitely not suitable for every investor.
Mihir Shah, partner at the Chennai-based diamond merchants N Gopaldas & Co, says, 'Except for really rare, unique gems and where the buyer has bought them from the right source and knows where to sell them back, they’re useless as an investment. Also, unlike a diamond, they wear out naturally if used regularly, and lose their value. So, only if you carefully preserve them, say over 100 years, they will gather antique value, but this can happen with a pair of Reebok shoes too, if they remain intact for that long time.'
Thus, if you have a gemstone which is rare and of high quality, and you know the traders, then it may be a good investment. But not the other way round.
'Besides, prices increase only when the mines become extinct, or the currency varies. If new mines are found, prices crash. Also, I have never heard anyone selling one’s gem,' says Shah.
Sounds strange? 'Definitely not,' says Gupta, 'The use of gemstones is largely culture-based, and in India nobody would like to use a stone if that has already been used by someone.' So where does the question of resale arise?
Also, grading and pricing of gemstones are difficult and require considerable experience and training. 'The gemstone market is highly illiquid when compared to the financial markets, commodities, or even real estate, and different dealers’ valuations may vary considerably,' says Amit Sarup, director, Religare Venture Capital Ltd.
Thus, the act of buying precious stones is somewhat similar to the act of investing in art. No wonder, it is best to buy precious gems and stones because you like them and find them beautiful rather than aim to use them solely as a form of investment.
'One safe way to buy gemstones, however, is to buy them when they have been used in any jewellery. This enhances their value,' says Gupta.
Significant returns may also be realised when an investor buys a large, uncut and coloured stone, and then sells it for a higher price. 'The best stones to buy are the ones that look beautiful when you wear them. Ones that do not wear out fast in time, like rubies and sapphires,' informs Shah.
According to experts, rubies, emeralds, blue sapphires, alexandrites and Basra pearls are a good buy, but preferably they must be over 5 cts and more intense in colour.
Sometimes the country of origin is also important. For instance, Sri Lankan sapphires, Kashmir blue sapphires, Brazilian and Columbian emeralds in their natural untreated form are considered a good buy. Ultimately, it’s the beauty of the stone that decides its value!
http://economictimes.indiatimes.com/articleshow/msid-3522209,flstry-1.cms
I think an educated consumer is your best customer.
Wave Power Farm
Alok Jha's article on the world's first commercial wave-power farm, three miles from the coast of the northern Portuguese town of Aguçadoura + the impact + other viewpoints @ http://www.guardian.co.uk/environment/2008/sep/24/renewable.wave.energy.portugal was educational and insightful.
Useful links:
www.pelamiswave.com
www.greenpeace.org.uk
www.foe.co.uk
www.wavehub.co.uk
The future of wave energy starts today. Finland is very good in mobile phones, Portugal wants to be good in renewable energy. We are among the top five in the world, and we are just in the beginning of the process. Renewable energy is the source of energy for the future and we think this can create an industrial revolution and a lot of opportunities for jobs and research and we want to be ahead of the curve.
- Manuel Pinho, Economics minister, Portugal
I think he was spot on.
Useful links:
www.pelamiswave.com
www.greenpeace.org.uk
www.foe.co.uk
www.wavehub.co.uk
The future of wave energy starts today. Finland is very good in mobile phones, Portugal wants to be good in renewable energy. We are among the top five in the world, and we are just in the beginning of the process. Renewable energy is the source of energy for the future and we think this can create an industrial revolution and a lot of opportunities for jobs and research and we want to be ahead of the curve.
- Manuel Pinho, Economics minister, Portugal
I think he was spot on.
California Academy Of Sciences
Designed by the Italian architect Renzo Piano on the site of the academy’s demolished home, the new California Academy of Sciences building looks green, great and enlightening. To learn more about the building, which opens on September 27, 2008, go to www.calacademy.org
Useful link:
http://rpbw.r.ui-pro.com
Useful link:
http://rpbw.r.ui-pro.com
Tito Pedrini
It's contagious, totally internally reflective, bold, personable, and one-of-a-kind design. To learn more about Tito Pedrini's jewelry collections, go to www.titopedrini.com for further info.
Wednesday, September 24, 2008
John Coltrane
John Coltrane was an American jazz saxophonist and composer. Happy Birthday (September 23, 1926) to the jazz legend of all time.
Useful link:
www.johncoltrane.com
Useful link:
www.johncoltrane.com
Madagascar Gem Business Update
(via InColor, Summer 2008): Having suspended all precious stone exports on February 28, 2008, and then lifted the ban in May, the Madagascar government is still not allowing exports out. All exports of gem and ornamental stones, both rough and cut, were suspended, and effectively still are suspended since the new rules have yet to put into effect. Industrial quality stones can be exported but not mineral specimens. That has led to questions about what exactly constitutes a gemstone.
Cut stones can be exported, but must go through a 12-step process in eight different offices located in six different buildings. Theoretically, stones can be exported according to local officials, but in practice gemstone exports are close to zero. Nor surprisingly, only two exports of gemstones have left the country since July 14. Madagascar in the Indian Ocean is the fourth largest island in the world, and one of the world’s major supplier of gemstones.
The situation is so serious that a high-level delegation from Thailand led by the Deputy Minister of Commerce, representatives of the Chantaburi gem dealers and the Thai Gem and Jewelry Association visited Madagascar to request export licenses for gemstones that were purchased before the ban. Although the minister and the delegation requested permission from President Marc Ravalomanana himself, the answer was negative.
The reason for the ban is widely believed to be that he is furious about a huge emerald that was exported and is now on display in a Hong Kong art gallery. The president imprisoned the 66-year old female manager of the company that mined the stone on the grounds that she made a false sales declaration. She said it was a green beryl specimen, while Madagascar say it is an emerald. The mining company and its mining permits are in a legal battle with the government. Media reports say the state is trying to close the company and seize the mine.
Madagascar is calling on the Hong Kong police to bring an end to an exhibition on the island featuring what is claimed to the world’s largest emerald. Madagascar says the giant emerald, which weights 536 kilograms and is 125 centimeters long, 78 cm in depth and has a height of 55 cm, was illegally exported. The BaoQu Tang Modern Art Gallery in Tsim Sha Tsui has had the emerald on display since June 20. The huge emerald has been called Gift from Heaven by Chinese painter Chan Sicpo, who has lived in Madagascar for a long time. Other works by Chan Sicpo are also displayed in the gallery.
Madagascar is taking the matter so seriously that is dispatched police and justice officials to Hong Kong to deal with the issue. The country claims that emerald was illegally exported. Madagascar claims the emerald was sent out of the country via the French territory of Reunion Island. As for the Hong Kong gallery, it says the emerald was the property of a French company called Orgaco which successfully won a legal fight with Madagascar government over ownership of the emerald during the time it was in Reunion. It is not certain, however, that the decision by the Reunion court in favor of Orgaco is legally binding in Hong Kong. The gallery says the emerald was unearthed at an open-cast mine at Morafeno, in southeastern Madagascar last July.
The reason for the prohibition of rough exports is that Madagascar was giving up too much value added potential to foreign firms. Forcing all rough to be cut locally would encourage foreign operators, mostly Thai and Sri Lankans, to set up their cutting and treating works in Madagascar. Although the aim may be correct, it is widely regarded as being premature, since Madagascar has not developed the infrastructure to process anywhere near the volume of rough exports sent last year.
Although the Madagascar Institute of Gemology has trained almost 400 cutters in three years and there are other new training schools, the number is still tiny compared to the cutters processing Malagasy rough in Thailand and China. Those countries have vast gemstone experience, while Madagascar has had less than 20 years. Foreign companies have set up workshops on the island, and Malagasy cutting is improving, but it is still not yet a center for worldwide cut stone sales.
Useful links:
www.gemstone.org
www.baoqutang.com
TIM (This is Madagascar).
Cut stones can be exported, but must go through a 12-step process in eight different offices located in six different buildings. Theoretically, stones can be exported according to local officials, but in practice gemstone exports are close to zero. Nor surprisingly, only two exports of gemstones have left the country since July 14. Madagascar in the Indian Ocean is the fourth largest island in the world, and one of the world’s major supplier of gemstones.
The situation is so serious that a high-level delegation from Thailand led by the Deputy Minister of Commerce, representatives of the Chantaburi gem dealers and the Thai Gem and Jewelry Association visited Madagascar to request export licenses for gemstones that were purchased before the ban. Although the minister and the delegation requested permission from President Marc Ravalomanana himself, the answer was negative.
The reason for the ban is widely believed to be that he is furious about a huge emerald that was exported and is now on display in a Hong Kong art gallery. The president imprisoned the 66-year old female manager of the company that mined the stone on the grounds that she made a false sales declaration. She said it was a green beryl specimen, while Madagascar say it is an emerald. The mining company and its mining permits are in a legal battle with the government. Media reports say the state is trying to close the company and seize the mine.
Madagascar is calling on the Hong Kong police to bring an end to an exhibition on the island featuring what is claimed to the world’s largest emerald. Madagascar says the giant emerald, which weights 536 kilograms and is 125 centimeters long, 78 cm in depth and has a height of 55 cm, was illegally exported. The BaoQu Tang Modern Art Gallery in Tsim Sha Tsui has had the emerald on display since June 20. The huge emerald has been called Gift from Heaven by Chinese painter Chan Sicpo, who has lived in Madagascar for a long time. Other works by Chan Sicpo are also displayed in the gallery.
Madagascar is taking the matter so seriously that is dispatched police and justice officials to Hong Kong to deal with the issue. The country claims that emerald was illegally exported. Madagascar claims the emerald was sent out of the country via the French territory of Reunion Island. As for the Hong Kong gallery, it says the emerald was the property of a French company called Orgaco which successfully won a legal fight with Madagascar government over ownership of the emerald during the time it was in Reunion. It is not certain, however, that the decision by the Reunion court in favor of Orgaco is legally binding in Hong Kong. The gallery says the emerald was unearthed at an open-cast mine at Morafeno, in southeastern Madagascar last July.
The reason for the prohibition of rough exports is that Madagascar was giving up too much value added potential to foreign firms. Forcing all rough to be cut locally would encourage foreign operators, mostly Thai and Sri Lankans, to set up their cutting and treating works in Madagascar. Although the aim may be correct, it is widely regarded as being premature, since Madagascar has not developed the infrastructure to process anywhere near the volume of rough exports sent last year.
Although the Madagascar Institute of Gemology has trained almost 400 cutters in three years and there are other new training schools, the number is still tiny compared to the cutters processing Malagasy rough in Thailand and China. Those countries have vast gemstone experience, while Madagascar has had less than 20 years. Foreign companies have set up workshops on the island, and Malagasy cutting is improving, but it is still not yet a center for worldwide cut stone sales.
Useful links:
www.gemstone.org
www.baoqutang.com
TIM (This is Madagascar).
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