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Wealthy Russians Surge in Investment-Grade Diamond Purchases Amid Market Uncertainty

Demand for polished diamonds up by 60% as individuals diversify portfolios with gemstones following VAT abolition and growing financial volatility.

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Wealthy Russians are increasingly turning to investment-grade diamonds, with purchases of polished stones rising by 60% last year, according to VTB, the country’s second-largest bank. This surge in demand is attributed to the government’s decision to abolish VAT on diamond purchases, which has made gemstones a more attractive investment option.

Oksana Semenenko, vice president at VTB and head of its private banking division, explained that the rarity and uniqueness of diamonds make them especially appealing during times of rising financial market instability and tighter investment restrictions. Many affluent clients are now incorporating alternative investments, including diamonds, into their portfolios, typically allocating 5-10% of their assets to these tangible assets for diversification.

This shift comes amid increasing sanctions from the G7 and restrictions on Russian currency, which have impacted Russian diamond exports. In response, Alrosa, the state-run diamond mining giant, is turning to alternative markets to sell its goods. The company’s Diamond Exclusive program focuses on polishing its largest and highest-quality diamonds, particularly stones of 3 carats or more, to be sold directly to investors through partnerships with VTB and other financial institutions.

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DiamondBuzz

Final Sale Of The Season: High Jewelry Auction In New York

Culminates A Global De Beers X Sotheby’s Collaboration Series, Following Hong Kong and Geneva

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Sotheby’s and De Beers conclude their 2026 international auction collaboration in New York, following acclaimed presentations and strong results in Hong Kong and Geneva. The final sale presents a tightly curated group of exceptional natural diamonds, reflecting a year defined by rarity, craftsmanship and provenance.

The New York auction marks the culmination of a cross-continental journey, with momentum building at each stage as collectors responded confidently to these exceptional natural diamonds. Here, in New York, diamonds intersect with modern identity, creativity and personal storytelling. Buyers will have the opportunity to acquire two pear-shaped, D-color diamond rings, alongside a magnificent 11.33-carat, old-mine brilliant-cut D-color, Type IIa diamond.

Diamonds are not simply precious objects, but carriers of cultural meaning. Formed billions of years ago, they embody geological history while accruing layers of human narrative—as symbols of love, empowerment and identity. Across each stop from Asia to Europe to the United States, the auctions have highlighted how diamonds continue to evolve as cultural artefacts, shaped by craftsmanship, heritage and contemporary self-expression.

In Hong Kong, diamonds are deeply rooted in traditions of trade, symbolism and philosophy. The sale featured a 3.03-carat pear-shaped diamond ring and a pair of brilliant-cut diamond earrings totaling 4.01 carats. The highlight was the extraordinary De Beers Jwaneng 28.8—a 28.88-carat brilliant-cut, D-color, flawless, Type IIa diamond.

In Geneva, the conversation shifted to connoisseurship and the culture of collecting. Notable stones included a 1.10-carat light pink oval-cut diamond, a 1.06-carat very light pink diamond, and a perfectly matched pair of brilliant-round diamonds, each weighing 18.38 carats—one D-color, flawless, and the other internally flawless.

This evolving cultural lens is mirrored in shifting patterns of ownership. Increasingly, collectors are acquiring diamonds not only as adornment or investment, but as expressions of individuality. Nearly half of global diamond purchases are now made by women for themselves, signalling a broader redefinition of value—rooted in independence, self-purchase and personal significance.

To further extend the impact of the auctions, Peace Parks will receive part of the proceeds, highlighting how natural diamonds can help contribute meaningfully to the landscapes and communities from which they originate.

As the season closes, diamonds continue to bridge deep history and contemporary culture, reaffirming their place as natural masterpieces and enduring symbols.

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JewelBuzz is Asia’s First Digital Jewellery Media & India’s No.1 B2B Jewellery Magazine, published by AM Media House. Since 2016, we’ve been the trusted source for jewellery news, market trends, trade insights, exhibitions, podcasts, and brand stories, connecting jewellers, retailers, and industry professionals worldwide.

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