THE NATURAL GEMSTONE FUND ONE The world’s first investment fund for coloured gemstones

AIF (Alternative Investment Fund) is a collective trusteeship under Lichtenstein Law for professional investors in an umbrella construction that may consist of several sub-funds.

CONTACT Dr. Thomas Schröck +43 664 537 83 17 ts@thenaturalgem.com Ronald-Peter Stöferle +43 699 120 42 524 rps@incrementum.li

DESCRIPTION

INVESTMENT OBJECTIVE & POLICY

The investment objective is to achieve a positive return of investment and long-term capital growth. The invest-ment policy follows the assumption that the natural gemstone market provides excellent long-term investment returns. To this end the fund invests in naturally coloured, untreated gemstones.

The gemstones are transported to Switzerland, where they are certified by renowned laboratories such as the SSEF (Schweizerische Stiftung für Edelstein-Forschung) and subsequently examined by an independent AIFM expert who has not been involved in the certification of the relevant stones. This expert prepares an annual price index.

In the sixth and seventh year after pay-ment the gemstones are resold.

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Gold Price(phys.)

Dow Jones30 Industrial

Oil (Brent) SUKRUP-GEM-INDEXRuby & Sapphire

DiamondBest (D/IF)0.5-1-3-5 ct.

Figure 1: Development (indicated on 100) of rubies & sapphires vs. gold, oil & Dow Jones as well as diamonds

THE NATURAL GEMSTONE FUND ONE The world’s first investment fund for coloured gemstones

AIF (Alternative Investment Fund) is a collective trusteeship under Lichtenstein Law for professional investors in an umbrella construction that may consist of several sub-funds.

WHY THE NATURAL GEMSTONE FUND ONE? Gemstones have been used as value-enhancing in-

vestments for more than 5000 years. They con-centrate maximum worth in minimum volume.

Gemstones are only traded physically and show a low correlation with other investment classes.

The number of gemstones being found in mines is decreasing, Asian countries previously mining gem-stones are now contributing to a high demand and auctions are pushing prices upwards.

The value of rubies and sapphires has in-creased by >8% p.a. since 1995.

Dr. Thomas Schröck, docto-rate in economics, founder and managing shareholder of THE NATURAL GEM, trai-ned as a gemmologist in, among others, the USA, India and Switzerland and has been active on the international gemstone market for over 28 years. In 2008, he recognised that gems-tones did not correlate with known indices on the world’s

markets. Since 1995 the prices paid for rubies and sap-phires have constantly increased, especially for those of the highest quality. Reasons for this are that mines are producing ever fewer stones, the Asian countries previously producing them are now contributing to a higher demand and frequent auctions are pushing pri-ces upwards as, in contrast with preci-ous metals and metals for technology, gemstones are exclusively traded in phy-sical form.

Thus, in the past 10 years Dr Thomas Schröck has specialised in investing in naturally-coloured, untreated gemsto-nes (only cut, with no other types of en-hancement) and developed a completely new market segment. Decades of close business contact with the most im-portant resources and suppliers at the beginning of the supply chain enable im-portant strategic advantages regarding quality and price.

Ronald-Peter Stöferle, Part-ner of Incrementum AG and responsible for Research and Portfolio Management, studied Economics and Finance in, among others, the USA and since 2007 has been publishing the annual “In Gold We Trust” report, widely regarded as the authoritative publication on the subjects of gold, money and in-flation.

“Alongside gold and silver, coloured gemstones and di-amonds have represented wealth, beauty and security for thousands of years. Gemstones are an emotional and fascinating market proposition, but at the same time a confusing and obscure one. Specialised, detailed knowledge, a wide-ranging network and many years of experience are therefore of much more importance than in other investment branches. I know many mas-ters of their trades, but Dr Thomas Schröck is without doubt THE master of his trade when it comes to colou-red gemstones and diamonds. In times of negative in-terest, monetary experiments and systematic depen-dence on inflation, no widely-diversified portfolio should be without gemstone investments.”

THE NATURAL GEMSTONE FUND ONE combines security with return. The fund capital is invested to 100% in internationally certified, naturally-coloured gemstones, which are physically stored in Liechtenstein and are resold at the end of the investment duration.

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Ruby, Burma Ruby, Mozambique Sapphire, Burma Sapphire, Sri LankaEmerald, Colombia Emerald, RoW Diamond 0.5 ct. Diamond 1 ct.Diamond 3 ct. Diamond 5 ct. Diamond 0.5-1-3-5 ct.

Figure 2: Development (indicated on 100) coloured gemstones vs. diamonds