Comments on: Graff Diamonds IPO gleams but doesn’t dazzle http://blogs.reuters.com/breakingviews/2012/05/21/graff-diamonds-ipo-gleams-but-doesnt-dazzle/ Mon, 26 Sep 2016 03:26:00 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: perino125 http://blogs.reuters.com/breakingviews/2012/05/21/graff-diamonds-ipo-gleams-but-doesnt-dazzle/comment-page-1/#comment-9308 Sun, 03 Jun 2012 17:45:25 +0000 http://blogs.reuters.com/breakingviews/?p=11596#comment-9308 My concern about putting my clients assets to work in Graff is I am certain the not all 20 customers represent 5% of the revenue to equal 100% (the total). My concern with this particular segment is that if 2 or 3 of the 20 customers may represent 40 % or more of the revenue in this segment- how do we know? And if our living large Russian and Chinese friends really take it on the chin- they are less likely than US top 1% to continue to buy high end regardless-their culture is not the same. Russias wealth is so extremely consentrated in oil, that any pain felt in this area and ” Boris” will be drinkning vodka all day in his new 1 bedroom flat. I think the Graffs MUST expand and market to wealthy customers and bsuiness segments that have very diversified means of wealth creation. Do you agree?
YES, millionaires I said- NOT billionaires, most likely make up the VAST majority of the extreme high end diamond customer base- example: BMW’s, Mercedes, R. Royce, higher end Yachts, etc. – it’s perception. Multi- millionaires or ( less) will find a way to buy the items they can’t quite afford and feel they are entitled too these “riches” I see it in my financial practice every day- it’s human nature and numbers support this claim to show they can buy the “best” for their wife and loved ones- Perception is reality and diamonds will always make the cut ( pun intended)
” A diamond can cut glass, and create the perception of class”… Please respond if you can feel you can add anything, much appreciated! – Perino :)

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