Diamonds

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DEFINITION of 'Diamonds'

1. An extremely hard gemstone used mainly for jewelry, tools and as an investment in precious stones.

2. The informal term for an index-based unit investment trust, known formally as Diamonds Trust Series 1.

BREAKING DOWN 'Diamonds'

2. The Diamonds Trust Series 1 trades on the American Stock Exchange under the ticker symbol "DIA". It is commonly referred to as an exchange-traded fund (ETF) by the investing public and the financial media; however, this is not entirely accurate. A share of DIA provides an investor with a fractional ownership in the 30 stocks represented in the Dow Jones Industrial Average (DJIA) index.

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RELATED FAQS
  1. What is the metals and mining sector?

    The metals and mining sector is the industry dedicated to the location and extraction of metal and mineral reserves around ... Read Full Answer >>
  2. What commodities are not tradable?

    As of February 2015, commodities that are not tradable include diamonds, tomatoes, carbon dioxide, lemons, eggs, potatoes, ... Read Full Answer >>
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    Distribution of dividends reduces the net asset value (NAV) of mutual fund shares. However, this doesn't mean that fund investors ... Read Full Answer >>
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    Unlike a 401(k) or Individual Retirement Account (IRA), mutual funds are not classified as retirement accounts. Employers ... Read Full Answer >>
  5. Do mutual funds invest only in stocks?

    Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the ... Read Full Answer >>
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