Each day, more and more investors are talking about alternative investments and treasure assets; more specifically colored diamonds. What are they and what do you need to know? Arpège Diamonds is happy to share 10 facts you shouldn’t miss.
1. Colored Diamonds Are Rare
It is said that 1 out of every 10,000 diamond is a fancy colored stone. Of all these beautiful gems, red diamonds are considered to be the most rare according to experts. In fact, it’s been estimated that only 30 pure red stones have ever been found. Typically, colored stones get their hue from chemical impurities. However with red diamonds, these gems get their color after falling under enormous stress and pressure that causes anatomical deformities in their structure.
2. Pink Diamonds Are Extremely Popular
Another color among the most rare are pink diamonds. These stones are considered more popular among investors, collectors, and enthusiasts. When considering an investment, pink diamonds are among the first to come to mind. Similar to red stones, these gems get their color from anatomical deformities from stress during their formation. Find out everything you wanted to know about pink diamonds here.
3. The Argyle Mine Is Coming To An End
Are you considering investing in fancy colored diamonds? You might have to act fast. By the year 2020, the Argyle mine, which has been home to 90% of all pink diamonds produced, is expected to close all operations. Basic understanding of supply and demand suggests the value of these stones to increase! If you’re looking for more information, be sure to connect with us!
4. Pink Diamonds Prices Have Been Appreciating
Naturally colored pink diamonds have been appreciating faster than ever. These stones have experiences over 600% increase in their value since 2005! Edahn Golan, of Edahn Golan Diamond Research & Data had to say this about these stones: “Pink diamonds are not a bubble. There is a market. People are not just buying, but selling. There is economic sense to this.”
5. Colored Diamonds Don't Depreciate Easily
In an annual Wealth Report, published by London-based property company, Knight Frank; the organization says: In the same period, classic wine prices have increased by 267% in the past decade vs. colored diamonds (increased by 111%). However, it only takes one wine critic to make an investment grade wine deemed worthless. Read the full Arpège Diamonds comparison here.
6. The GIA Report Helps Diamond Authenticity
Are you worried about whether or not your colored diamond is authentic or not? The GIA (Gemological Institute of America), is an organization used by investors to verify the authenticity of a stone. In recent years, changes have led for any owner to get an authentic colored diamond report for their stone. These reports provide an in depth assessment and include a vast amount of information. For more details and examples of this, check out our report here.
7. Color Modifiers And Undertones Affect Price
We all know how these gems get their hue from either chemical impurities or anatomical deformities. Sometimes in a stone, a second or third hue is present and defined. (This can be verified by a GIA report.) This phenomenon is referred to as a color modifier. They’re always mentioned at the beginning of a diamond’s description, followed by the dominant color. Similarly, an undertone is a very subtle, yet noticeable shade that can be spotted among the primary color.
These modifiers and undertones can affect price, but how? Read more about it here.
8. Investments Are For Everyone
Do you think you need to be a millionaire just to invest in colored diamonds? You’re absolutely wrong. Prices for these beautiful gems range from the thousands to millions of dollars. It’s only a matter of finding the perfect investment for you. Co-Founder and Managing Director of diamond retailer 77 Diamonds, Tobias Kormind says: “Diamonds are the next area for alternative investments. People have done wine and art and they are looking for something else.”
9. Colored Diamonds Continue To Break Records
They say records are meant to be broken. Lucky for us, we were able to witness two phenomenal, shattering sales. In the latest auction, these earrings sold for over $57 million, making them the most expensive pair of earrings sold. The names were respectively changed from the Apollo Blue to “The Memory of Autumn Leaves” and the Artemis Pink to “The Dream of Autumn Leaves”.
10. Part Two - Colored Diamonds Continue To Break Records
Finally, the Pink Star was one of the most highlighted stone at the April Sotheby’s Hong Kong auction on April 4, 2017. The 59.6-carat stone was sold for a record breaking $71.2 million dollars to Chinese based jeweler, Chow Tai Fook. The chairman of the company renamed the diamond as the “CTF Pink Star” after his late father.
If you are unsure about how to position your investments in fancy colored diamonds, Arpège Diamonds stands ready to help. With over 50 years of combined industry experience, we'll help you gather the most effective information and insights so that you can make educated decisions on your fancy colored diamond investing. You can contact us at 866-821-5508 for a personalized review.
For more reading on colored diamonds, see the links below:
- Why Colored Diamonds Are The Investment You're Looking For
- Need To Know: How To Invest In Colored Diamonds
- The Arpège Tribute to the Breathtaking Pink Diamonds