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Heat the bacon in a large frying pan over medium high heat for 7-10 minutes until the bacon is cooked through and slightly crispy.
Use a slotted spoon to move the bacon from the pan to a plate lined with a paper towel.
Remove all the bacon grease from the pan except for approximately 1 tablespoon.
Add the diced onions to the pan with the bacon grease.
Sauté for approximately 4-5 minutes until the onions are translucent.
Mix the bacon back into the pan and stir in the sherry vinegar, balsamic vinegar, brown sugar and water.
Bring the mixture to a low boil and cook for 10-15 minutes until the mixture is thick and dark.
Remove from heat and let the mixture cool completely.
Then the jam is ready to serve and enjoy!