Pink Diamond

Here’s How You Can Calculate The Exact Price Of A Diamond Before Investing

Purchasing a diamond is not an easy task. Whether you have been doing this for a while or you are new to being a diamond investor, you would need to be knowledgeable about a few things that would allow you to calculate the price of the piece before investing.

Why it is so important to calculate the price?

Well, both online and offline retailers have set up shop to make money. This means the marked price on their diamonds is bound to be more than their exact value. When you are aware of the facts that determine the price of a diamond, a retailer won’t be able to overcharge or dupe you. Get the point!?

It is now time to take a look in the sections that follow and know about a few things that would help you to calculate the exact price of a diamond before investing. Please pay attention.

Pink Diamond


Put your money on the colour pink!

Coloured diamonds are the new craze all over the globe. Coloured diamonds are rare and when a commodity is rare but high in demand, its price is bound to kiss the sky. This is the case with Argyle mine’s pink coloured diamonds. Australia’s Argyle mine has the largest market share globally.

The reason is simple – if you take into account all the pink diamond pieces out there in the market, more than 95 per cent of that number came from Argyle mine. Now since the mine is on its way to permanent closure in the year 2020, the global demand for pink diamonds got further boost. It is best to invest in pink-coloured Argyle diamonds for impressive ROIs but bear this in mind; you would need to shell out more cash if you take this path!

Clarity should be your second priority

If you look at investment grade diamonds in an objective way, it is easy to understand why a diamond with SI1 clarity is more expensive than a piece with VS2 clarity.

A diamond with a high clarity factor will have more fire and fluorescence to it. It is best to invest in a diamond with a high clarity factor as you will be able to get attractive prices in the future when you want to resale the piece.

It would be unwise to ignore the cut of the piece!

When you compare the prices of two diamonds of same colour, clarity and carat weight but still find that one is cheaper than the other, the reason could be the type of cut the cheaper piece has received.

A poorly cut diamond won’t be having the brilliance, fire/fluorescence most buyers look and pay for. So, aim for a piece that is cut brilliantly.

The carat weight should not be taken lightly while choosing a piece

No matter what people say, diamonds are, in the end, a retail product. And retail purchases are mostly driven by emotions.

This is the reason why you would need to focus on the carat weight of your diamond. If you are eyeing a 0.99ct diamond, be advised, it will be only 1 per cent more in terms of price to a 0.98ct piece. The best decision would be to invest in a 1-carat diamond if you are aiming for massive ROIs.

If all else fails, you can always get in touch with the leading companies that offer diamond investment solutions. These firms have experts under their payroll which means they will be able to help you out if you are unable to make up your mind when it comes to choosing a diamond for investment purposes.