Diamonds


Also found in: Dictionary, Thesaurus, Medical, Acronyms, Idioms, Encyclopedia, Wikipedia.

Diamonds

Units of interest in the diamonds trust, a unit investment trust that serves as an index to the Dow Jones Industrial Average in that its holdings consist of the 30 component stocks of the Dow.

Diamonds

1. A unit investment trust in which the underlying asset is the Dow Jones Industrial Average. That is, diamonds are shares in a closed-end index fund tracking the DJIA. It is traded on the American Stock Exchange. It operates much like an exchange-traded fund, but, like all unit investment trusts, it has an expiration date, while ETFs do not. Its ticker symbol is DIA.

2. A valuable commodity consisting of very hard gem stones used in jewelry and tools. Diamonds may be traded on any of a number of exchanges. See also: Blood diamonds.

DIAMONDs.

A DIAMOND is an index-based unit investment trust (UIT) that holds the 30 stocks in the Dow Jones Industrial Average (DJIA). It's similar in structure to an exchange traded fund (ETF).

Investors buy shares, or units, of the trust, which is listed on the American Stock Exchange (AMEX) as DIA. The share price changes throughout the day as investors buy and sell, just as share prices of stocks do.

That's in contrast to open-end mutual funds whose share prices change just once a day, when trading in their underlying investments ends for the day.

Part of the appeal of DIAMOND shares is that the trust mirrors the performance of its benchmark index for dramatically less than the cost of buying shares in all 30 stocks in the DJIA.

A DIAMOND share trades at about 1/100 the value of the DJIA. So, for example, if the DJIA is at 11,500, shares in the trust will be priced around $115.

References in classic literature ?
The goldsmith cast a glance at the elegant manner in which they were set, calculated, one with another, what the diamonds were worth, and without hesitation said, "Fifteen hundred pistoles each, my Lord.
That is but right," said the unknown, after a long silence, "but as I have no more money, as you have seen, and as I yet must retain the apartments, you must either sell this diamond in the city, or hold it in pledge.
With my own eyes I have seen the countless diamonds stored in Solomon's treasure chamber behind the white Death; but through the treachery of Gagool the witch-finder I might bring nought away, scarcely my life.
What with all the diamonds and white satin and tulle and lace and roses and orange blossoms, prim little Jane was almost lost to sight.
Can you arrange the locket," Alban asked, "so that the side on which the diamonds appear hangs outward?
They're the three great African diamonds called `The Flying Stars,' because they've been stolen so often.
And the diamonds--"Where the doose did you get the diamonds, Becky?
So you think of having a try for his diamonds yourself?
I make no manner of doubt that you threw a very diamond of truth at me, though you see it hit me so directly in the face that it wasn't exactly appreciated, at first.
A rich Englishman," continued the abbe, "who had been his companion in misfortune, but had been released from prison during the second restoration, was possessed of a diamond of immense value; this jewel he bestowed on Dantes upon himself quitting the prison, as a mark of his gratitude for the kindness and brotherly care with which Dantes had nursed him in a severe illness he underwent during his confinement.
And as a proof of what I say she commanded me to show you this diamond, which she thinks you know.
A similar superstition was once prevalent, as I have heard, in ancient Greece and Rome; not applying, however (as in India), to a diamond devoted to the service of a god, but to a semi-transparent stone of the inferior order of gems, supposed to be affected by the lunar influences--the moon, in this latter case also, giving the name by which the stone is still known to collectors in our own time.