The Value of Diamonds
Diamonds, unlike most other luxury goods increases in value over time. Buying at Diamond Investment prices is a reliable investment.
Calculating the value of a diamond requires balancing many different factors.
The Carat or size of the diamond is obviously a major factor, however bigger is not necessarily better. A small diamond of high quality, i.e. good colour and clarity, can be worth considerable more than a large diamond of lesser quality, i.e. colour and clarity. However a strong yellow, orange, brown or red termed Fancy Colour may command a higher price because of its rarity.
The Rapaport price index is a general guide to value based on these factors, however an exceptional diamond on the open market can be worth more than the list indicates.
This information is aimed at being a helpful guide to understanding how diamond values are calculated based on our knowledge of diamonds. These are generalised examples only, not based on actual figures.
