Diamond fund launches on LSE.

Isle of Man Newspapers (Douglas, England) | July 6, 2007 | Copyright

MARILYN Monroe said they were a girl's best friend, but an Isle of Man fund is banking on diamonds also proving popular with investors.

Diamond Circle Capital is a closed end fund that will begin trading on the main London Stock Exchange today (Tuesday). Diapason Commodities Management is aiming to raise $400 million for what will be the first listed fund to invest in gemstones.

The fund will only buy large polished diamonds with an average value of $3 million, which will be locked in a safe at UBS. Diapason plan to trade the stones with a 15 to 20 per cent ...

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