9th Jan 2014

The value of diamonds


Our review of trends based on experience and review of many published reports continues. Today, a word about diamonds.

A few little known facts:

  • Contrary to popular belief, stone dealers make small margins on stones
  • Good quality diamonds hold their value over time, those of lesser status do not
  • The upper tier of diamond meaning, 3 carats or more and D, E, or F color have had the greatest appreciation in value
  • The more rare the stone the more valuable it is, which is why pink and blue diamonds cost so much more. Pink diamonds in particular have risen in value particularly those of intense natural color (more saturation), even those under a carat.

Rock of Eden will be featuring one in its Connoiseur choice discussion very soon.

Diamonds are probably the most concentrated form of “value” available today. When economy gets scary as it did in 2008, many savvy investors bought diamonds as a hedge against currency deflation. The market corrected for this somewhat in 2011 but the rise of quality stone values continues.

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