The diamond-encrusted Rolex 6062, commissioned by the last Emperor of Vietnam, has just sold for a massive CHF 5,066,000.

It’s auction season, and we have another record being broken. This time it’s the world record for a Rolex wristwatch, one of which just sold for a princely sum of 5,066,000 Swiss francs.

The watch in question is the so called “Bao Dai” Rolex, and the last time it was on market in 2002 it was valued at 370,000 Swiss francs, making it the most expensive Rolex ever sold at the time. Fifteen years later, and we’re talking about a huge return on investment.

So, what makes this watch so special?

The provenance of this watch goes back to 1954 in Geneva, Switzerland. After the Vietnam war, the world powers meet in the Swiss town to negotiate the future of the country.

Present during the talks was Nguyễn Phúc Vĩnh Thụy, the 13th emperor of Vietnam, also known as Bao Dai, which means “Keeper of Greatness”. Little did he know that Vietnam would soon be split in two and he would be known as the “Last Emperor of Vietnam” from then on.

But during his time in Geneva, Bao Dai visited a nearby watch retailer and made a request befitting an Emperor: he wanted the rarest and most precious Rolex ever made.

In the end, Rolex itself was called in to meet the Emperor’s demands. The watch they delivered was the ultra rare Rolex reference 6062 in yellow gold with a black dial and diamond indexes.

The fact that the Last Emperor of Vietnam owned this watch certainly adds to its current value. But it’s also its rarity that makes it a world record holder. This elusive reference has a perpetual in-house movement and a rare full calendar complication featuring a moonphase display.

The watch is one of only three black dial models in yellow gold that the watchmaker has set with diamond markers. Two of those examples feature six diamond markers for odd hour numbers. But this particular example – which just sold at the The Geneva Watch Auction: FIVE – has five diamond numerals for even numbers instead.

Making it rarer still, this watch has a very unique dial layout. Because of the diamond numeral at 12 o’clock, the familiar Rolex crown has been moved lower on the dial. As a result, it was impossible to have the Rolex Oyster Perpetual insignia above the day and month apertures. The “Officially Certified Chronometer” wording was also placed below the moonphase, removed from its usual place at the center of the dial.

When you add the rarity of the watch along with its provenance, you naturally get a bidding war. After eight minutes of one-upmanship among thirteen bidders during an auction by Phillips and Bacs & Russo in Geneva, the iconic Rolex Reference 6062 “Bao Dai” was finally sold for the world record fee of 5,066,000 Swiss francs.