A rare 102-carat white diamond has sold at auction for $15.7m (£12.1m) in what experts say is a “bargain”.
The gemstone went to an unnamed telephone bidder. The auction was held online by Sotheby’s in Hong Kong due to the pandemic.
The diamond was taken from a 271-carat stone which was discovered at a Canadian mine in 2018.
Only seven other diamonds larger than 100 carats and of the same quality have gone under the hammer.
The stone did not have a reserve price – a minimum price that the seller is willing to accept for an item.
It is the first time in history that a diamond has sold at auction this way.
Sotheby’s described the diamond as “flawless” and said it was “difficult to overstate its rarity and beauty”.
Tobias Kormind, managing director of online jeweller 77 Diamonds, said the buyer had “bagged a bargain”.
He said that by not having a reserve price, the seller had made a “brave decision that has come back to bite them”.
In 2017, a necklace featuring a 163-carat diamond fetched $33.7m at a Christie’s event in Geneva. The diamond, taken from a 404-carat stone in Angola, is said to be the largest diamond ever presented at auction. The buyer’s identity was not revealed.
The same year, a rare pink diamond weighing just under 19 carats fetched 50.3m Swiss francs (£42.3m) at auction, a record price per carat.
The price of around $2.6m per carat marked a world record for a pink diamond, according to the Europe head of auction house Christie’s.
By Jessica Murphy, BBC News in Toronto
Canada – among the world’s major diamond producers – is no stranger to big gems, even though large-scale mining for the stones only began there in the 1990s.
Two years ago, the Dominion Diamond Mines company announced the discovery of a 552-carat yellow gemstone, a North American record, at its site in the Northwest Territories, 135 miles (215km) south of the Arctic Circle.
The previous record-holding diamond was found at the same mine in 2015.
That stone – the Foxfire, a two-billion-year-old 187.7-carat diamond – was displayed around the world, including for a few weeks at Kensington Palace in London.
Canadian diamonds, often found in the remote northern reaches of the country, have a reputation for being conflict-free and more sustainably sourced than stones from some other nations.
That reputation is promoted and protected by the industry and local governments, though environmental campaigners argue the mines are damaging to the fragile northern ecosystem.
Source: – BBC News
Warning: Don't Save in Your TFSA! Do This Instead – The Motley Fool Canada
Too many Canadians are still saving in their Tax-Free Savings Account (TFSA)! However, the Bank of Canada is planning to keep the benchmark interest rate at close to zero at least until 2023. This means that if you put money in a savings account or guaranteed investment certificate (GIC), you won’t make much.
Instead of saving in your TFSA, you should consider investing in it. Currently, the best three-year GIC rate is offered by EQ Bank and going for 1.15%. The long-term average Canadian stock market returns are 7% — six times what you would make from the GIC.
You can potentially make even greater returns by placing your money in specific stocks. If you like consistent income, you would be interested in Toronto-Dominion Bank (TSX:TD)(NYSE:TD) and TC Energy (TSX:TRP)(NYSE:TRP).
Both are wonderful businesses, but their stocks have sold off recently, making them attractive long-term investments that should outperform market returns over the next few years.
TD stock provides a 5.4% dividend
Because of pandemic disruptions to the economy, higher credit losses are expected at the Canadian banks this year. TD stock has become particularly attractive among the big Canadian banks given its quality and growth potential on an economic rebound, especially with its meaningful exposure to the U.S. retail banking market.
TD stock’s correction of 22% in the last 12 months is the perfect opportunity to buy for an elevated dividend yield of 5.4%. This is 35% more income than its appealing yield of 4% in a normal economy.
Importantly, the stock is undervalued for long-term investment. In a normal year, TD generates revenues of about $38 billion and net income of more than $11 billion. Inevitably, this year, its revenues and earnings are going to be lower.
At about $58.50 per share at writing, the compelling stock can deliver total returns of about 15% per year over the next three to five years. Furthermore, you can expect its dividend to increase during that period.
TC Energy offers a 6.1% dividend
TC Energy is a resilient business that provides essential services in the energy sector. It just reported its third-quarter results today. Management highlighted that the company’s operations, flows, and utilization levels remain in line with historical and seasonal norms.
Year to date, its revenues only dipped 3% and its comparable EBITDA essentially stayed flat against the same period in the prior year. Moreover, its earnings per share actually climbed 15% to $3.55, putting its payout ratio at 68% for the period.
TC Energy’s defensive business performance doesn’t really warrant the stock’s decline of 20% in the last 12 months. It also has a secured capital program of $37 billion from 2020 to 2023 to grow its business. About $5 billion of the projects are expected to complete this year.
At about $52.90 per share at writing, the attractive stock can deliver total returns of about 15% per year over the next three to five years. A dividend increase of 5-7% per year should be no problem for the Canadian Dividend Aristocrat.
The Foolish takeaway
Understandably, Canadians might want to be conservative with their money-management strategies during the pandemic. Investing in blue-chip dividend stocks like TD stock and TC Energy stock is as conservative as it gets in the stock investing world.
Take a closer look at the businesses and consider investing in their undervalued stocks in your TFSA for outsized tax-free income and returns in the long run.
Speaking of attractive stocks to check out…
Motley Fool Canada‘s market-beating team has just released a brand-new FREE report revealing 5 “dirt cheap” stocks that you can buy today for under $49 a share.
Our team thinks these 5 stocks are critically undervalued, but more importantly, could potentially make Canadian investors who act quickly a fortune.
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Fool contributor Kay Ng owns shares of The Toronto-Dominion Bank and TC Energy.
Shoppers' privacy violated at major Canadian malls: Privacy commissioners – CBC News: The National
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Man rushed to hospital after possible assault in Rexdale – CityNews Toronto
A man has been rushed to hospital after possibly being assaulted in Rexdale.
Officers were called Mount Olive and Silverstone Drives just before 7:30 p.m. to reports of an assault.
The victim was found unconscious on the scene and was taken to hospital in serious condition.
Police say it appears the man suffered a head injury.
No further details have been released at this point.
Apple (AAPL) Q4 2020 Earnings Call Transcript – Motley Fool
Morgan Stanley Investment Sees Decade-Best Credit Opportunities – BNN
Warning: Don't Save in Your TFSA! Do This Instead – The Motley Fool Canada
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