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Alternative Investments- Diamonds for a lavish investment



Diamonds have lain to be a covert investment accessible only to an exclusive clientele – until recently. From Colourless to Fancy Coloured diamonds, each carries different values and has niches of trade, thus leading to the rise of several online platforms to solely accommodate diamond investments. With more perception of gemstones, especially those coloured, their advantageous attributes and necessary details have been released to understand this category as an asset to the market.


There are about 6 largest trading centres across the world, located in Hong Kong, New York, Antwerp, Dubai, Mumbai and Tel Aviv.

The Dawning of Diamonds


Attaining investment-grade quality diamonds occurs from two groups; those that are mined’ and those that are ‘lab-grown’.

1. Mined Diamonds

Extracting the most durable stones from the planet occurs from 5 types of mining methods: Artisanal Mining, Alluvial Mining, Pit Mining, Underground Mining, and Marine Mining.


Regardless of the extraction method, it is the process of obtaining the stones directly from the earth’s crust that was priorly formed over 3 billion years.


Home to the largest diamond mines in Russia and Botswana for producing immense and quality grade gemstones in the business.


Unfortunately, whether it is mining for diamonds or other materials, this activity has caused major harm to the environment, leading to restoration projects as well as popularizing an alternative to diamond production – Laboratory-Grown diamonds.


2. Lab-Grown Diamonds

Despite the misconception surrounding laboratory diamonds in regards to their value, these synthetic stones are among one the top most rare and expensive to exist alongside mined diamonds, therefore making them equivalent in their worth to be traded globally.


Experimentations of diamonds born in a lab occurred in the 20th century, however, it was not until the end of the century that quality-grade stones were produced and available.


Most manufacturing of synthetic diamonds occurs in China and India.


While these stones have been constantly disregarded for mined diamonds, their production process is more sustainable than excavation.




The birthing of diamonds may differ; nevertheless, both categories are consistent in forming completely legitimate and precious stones. The importance of knowledge on a diamond’s origin identifies its genuineness, uniqueness and background (all mostly available in a certificate to prevent fraud), piquing the interest of buyers. Often, buyers would want to invest in a piece from a specified region for either business or personal motivations.


Additionally, neither one diamond is alike nor above another, even if it is birthed from the same location.

The Importance of a Gemstone’s 4 C’s


Knowledge of the 4 C’s is required to understand the concept all polished diamonds are based. It is the method of converting a rough diamond to an almost perfect stone.


1. Cut

The cut of a diamond confirms the passage of light through the crown. Getting the right cut, one that is not too shallow or deep, creates an ultimate reflection-refraction balance required.


2. Colour

The Colour of diamonds represents their rarity. A diamond sparkles more when free of colour and is of a higher value, although, all ranges play a part in diversifying their traits.


3. Clarity

The clarity of a diamond explains the internal imperfections or blemishes it may have. The clearer a diamond, the higher its clarity, rarity and expense.


4. Carat

A diamond’s carat is its size and weight; the heavier a diamond, the more it costs, deriving from rarity to high-quality value.


The 4 C’s cannot be considered separately, but as a combination to provide countless characteristics between diamonds, making them unique from one another, and varying their worth in retail or investment markets.


Place your diamond in the hands of experts, who gemologists make evaluating and grading a diamond easier. Get in touch with us at Glaze diamonds to start now!


The Value of Polished and Unpolished Diamonds


Investing in gemstones that are either polished or rough can bring about their own sets of advantages for value increase in the long run.


Polished Stones


Polished stones are significantly worth more due to expensive procedures of cutting (shaping) and polishing. When working with a raw diamond, the 4 C’s are guidelines into creating the best quality stone to highlight their original characteristics. With advancement of technology, the stone is reviewed in its natural state to the best option of a polished diamond it can become, or the amount it can produce.

Their investment profit values are contributed through two scopes; trading in loose diamonds and selling them as jewelry to consumers.


Unpolished or Rough Stones


Rough diamonds -in comparison to polished stones- are less pricey due not yet having undergone polishing processes. Their unpolished condition reveals the possible outcome of a polished stone by determining existing impurities, its strength, clarity, colour and size.

They have a value of their own despite being cheaper than polished diamonds; their strong durability and natural beauty is enough to be sold loosely or in jewelry, appealing to certain admirers.


Even so, they don’t perform well on the market or in long-term investments unless they are really unique with a fixed polished prediction like the Graff Lesotho which is an extremely rare rough pink diamond.




“Introducing the Graff Lesotho Pink Diamond.” Graff, Mar. 2019,<https://www.graff.com/sg-en/house/news/lesotho-pink-diamond.html>


The Age of Fancy Coloured Diamonds


Fancy Coloured Diamonds have been around for centuries only to gain recognition for their investment-grade qualities from the mid to late 2010s. To consider investing in one of these stones is a detailed and equally lengthy process as any non-Fancy Coloured diamond. Their range is of 9 grades and 27 hues with only a small portion worth investing, while most of their 11 clarities are top quality.


The rarest Fancy Coloured diamonds consist of 8 pure hues categorized between ‘Collector’ type diamonds and ‘Investment’ type diamonds, and 15 dominant shapes of which have additionally been mined or lab-grown.





But to concede Fancy Colour diamonds separately from colourless diamonds is to acknowledge their performances against other typical assets on the investment market.

Below is an example of Fancy Intense Pink diamond’s performance against other commodities:




Benji, Concentration of Wealth in Diamonds - Benchmark: 13 May 2015 <https://www.leibish.com/dominating-wealth-concentration-article-1118>


The world of fancy colored diamonds is expanding rapidly with the growing trend of fancy colored stoned engagement rings which result it being a great investment over the years. Jennifer Lopez received a pink diamond engagement ring worth $1.2 million in 2002 which is now estimated to be worth $ 12 million. Similarly, the Williamson pink star that was estimated to be $21 million is sold for $49 million which shows how the popularity and opportunity in diamond investing continues to grow.

Benefits of Luxury Diamond Investing


  • Hedge against inflation


Diamonds, loose or in jewelry, are one of top assets to attain cost solidity and protection in an unforeseen economic fluctuation. Its quality preservation allows for higher chances of continuous trade without halts in the market.


  • Less volatile than gold


Diamonds are a usual comparison to typical precious metal investments such as gold, silver and platinum, as well as oil. However, neither metal nor gas, diamonds are a mineral with merits set to improve along periods of time. From an endless variety of stones with limitless characteristics, they catch the interests of many investors from the most popular diamond to the rarest kind.


  • Tangible & attainable as luxury


Among the many enjoyments would be diamonds’ tangibility. The ability to touch and display the stones loosely or in jewelry makes for understanding the significance of their features and beauty. They’re easy on the eyes, can be worn and provide emotional value to numerous consumer groups.


  • Portable, obscured & maintenance free


Another positive insight to diamond investing would be ease of portability from their typically small sizes and lightweight. They can be placed in vaults without risks of degradation (compared to art pieces) and require minimum care due to high durability.


  • Variety range


With niches of diamonds to choose from for investments, it makes way for expanding an education on the diamond industry. Diamond variety helps keep the trade compelling and diverse, altered to fit individual opportunities.

Read more on why Fancy colored diamonds are a good investment here

The Decision to Invest on a Singular Diamond


Before engaging in diamond investment, an extended perception on the market along with a fixed budget helps narrow down the list of diamonds to choose from. Their features is the next step for deciding on investment purpose: business or luxury.

The activity involves making a difficult choice due to picking one among the great a many stones while awaiting the return-on-investment. The value of diamonds increases slowly over a long period of time, requiring patience for a high ROI.

All diamonds are expensive, some more than others; their unique characteristics distinguishes them from others making the investment worthwhile.


About Glaze Diamonds


A professional team of GIA qualified Gemologists and experienced Financial Advisors. Our vision is to support clientele from start to finish, helping build a portfolio and manage investments over a long-term partnership to achieve strong returns on investment.


Email: contact@glaze-diamonds.com. Phone: +971586745124. Website: https://www.glaze-diamonds.com/

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