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WorldExecutivesDigest | A Guide To Diamond Pricing: What You Need To Know | Diamonds are beautiful; millions of years of extreme pressure and, if all the right ingredients are in place, diamonds are formed. Much like gold, diamonds are rare and expensive to find and there are variables that affect the value of a gemstone, which is appraised by an institution such as the GIA; this is done after the stone has been cut and polished. A certificate is issued that stays with the diamond and is passed when ownership changes.
Diamond Grading
The 4C system is the international standard for diamond appraisal:
- Colour
- Clarity
- Cut
- Carat (weight)
These are the parameters that a diamond is assessed after the stone is cut and polished and the higher the grade, the more valuable the stone. The fancy intense blue diamond, for example, would fluctuate much like any other asset and fancy/vivid diamonds are the most expensive. The cut has numerous quality levels. Top diamonds would have top quality cuts, while clarity is more important with some stones than others.
Gemstone Dealers
If you know very little about gemstones in general, you are advised to contact a reputable gemstone dealer. They deal in the wholesale market and can source the best diamonds at trade prices, which isn’t something an individual can do, as they would not be able to access such markets. The gemstone dealer has an expert eye for top quality diamonds and that can save you a lot of money.
How Does The Market Work?
When trading raw natural diamonds, the per-carat price is determined by the potential of the stone. The final value is only assessed after the stone is cut and polished. The rarity of a diamond also affects the price. Fancy and vivid colours are premium, while a colourless diamond with no inclusions would be of high value. Acquiring a quality diamond at a wholesale price would be the best place to start; then you choose the cut, and the stone is then appraised by experts. A certificate is issued, and the diamond is registered on the network.
Bespoke Jewellery
The best quality diamonds are acquired to be set into custom-made jewellery, primarily engagement and wedding rings. If you are looking to create a stunning diamond engagement ring, a custom jeweller has access to the best gemstones at trade prices, saving you as much as 20% on retail prices. The process of creating a piece of jewellery begins with an informal Zoom call with the custom jeweller when the client’s concept is revealed, and prices are discussed.
Working To Your Budget
The custom jeweller can work to the client’s budget and contrary to popular belief, having a diamond ring is no more costly than buying a ring from the jewellery store shelf. It is your budget that defines the scope of the ring, and it gives the jewellery maker something to work with.
If you have a quality diamond that you wish to have valued, take it to a registered gemstone dealer who can provide you with an accurate valuation and is always happy to buy gemstones at market prices.
Photo by Tahlia Doyle on Unsplash
