A Brief Guide to Diamond Buying

Diamond Grading...

The quality of a diamond-- and ultimately the price you pay for it-- will depend upon its quality "grade". Diamond grading evaluates the gem's carat weight, color, clarity, and cut.

Diamonds are relatively common in nature, but diamond crystals suitable for jewelry are relatively rare. Among gem quality diamonds, the larger the piece the rarer and more desirable. Diamond weights are measured in "carats". One carat is equal to one-fifth of a metric gram. Occasionally the term "points" is used to describe weight. One hundred points equals one carat. As a result, a half carat diamond would weigh "50 points".

Buying Tip: To avoid disappointment, do not confuse "carats" with "points".

Buying Tip: Diamond weights should be established through the use of scales which are capable of measuring carats to the third decimal place. An accurate weight cannot be determined once the diamond has been set.

Diamonds come in a variety of colors, the most common of which found in jewelry is yellow. Grading of color attempts to document the relative visibility of that color when examined under a standard light source. Our diamonds are color graded by Gemological Institute of America trained Graduate Gemologists. These folks compare the intensity of the color seen in the test gem with that of a grading gem of known color using the system developed by the GIA. In the GIA system, color grades range from "D" which is virtually colorless, to "Z" which displays a strong and easily visible yellow.

Buying Tip: In order to make an accurate analysis of color, the gem must be dismounted. Grades made on mounted stones may have an error of up to two grades.

Buying Tip: Once set, a diamond usually appears colorless to the untrained eye through the "J" color grade. This means that while the higher grades of D-I, constitute higher quality, rarity and higher prices-- they do not necessarily look any better in a given piece of jewelry.

Clarity refers to the number, size and visibility of a diamond's inclusions and blemishes. Both tend to disrupt the smooth flow of light through the gem and in general, serve to detract from it's overall visual appeal. As with color, the clarity of our diamonds is evaluated by GIA trained Graduate Gemologists using the system developed by the GIA. Evaluation is conducted with the use of a 10x loupe. A diamond with no external blemishes or internal inclusions under 10 power would be graded "Flawless". Heavily included material with crystals, fractures, or chips easily visible to the unaided eye would be graded "Included" in one of three grades (I1-I3) For practical reasons most diamonds used in jewelry range in grade from "VVS" (very, very slightly included) to "SI" (slightly included).

Buying Tip: Evaluation of clarity in a mounted gem is problematic as prongs and bezels can serve to hide minute blemishes and inclusions. This is particularly true for higher grade stones where the inclusions become increasingly minute.

Buying Tip: For many buyers, the most important grade is "SI1". From this grade up, no inclusions will be seen with the unaided eye. While higher clarity grades will represent greater quality, rarity and prices-- they do not necessarily result in better looking jewelry.

The final quality factor in grading a diamond is "cut". Cut refers to the placing of flat surfaces (facets) on the crystal surface at special angles that take advantage of the diamond's unique optical properties. The intersection of these angles will ultimately determine the gem's shape, brilliance, flash (scintillation) and projection of spectral colors (dispersion). The use of the wrong angles results in a visually unappealing stone that may show a "fisheye" effect or a very dark center known as a "nailhead". The most common reason for a cutter to choose the wrong angles is to increase the weight yield from the original rough crystal.

Buying Tip: Buy your diamond based on how it "looks" rather than on what it weighs. That "bargain" half-carater, may be using the wrong angles to achieve the weight. A side by side visual comparison with a properly cut diamond of the same weight will immediately reveal the bargain's secret.

Diamond Pricing...
As with all things, the price of a diamond is largely defined by its supply and demand. High quality pieces are inherently in less supply and often most in demand. As a result, prices tend to be high. Sometimes, due to certain global economic factors, price levels can rise or fall substantially. The last major episode was during the inflation of the early 1980's. At its peak, the manic frenzy for diamonds resulted in an investment grade "D" colored, flawless diamond selling for an amazing $63,000 per carat-- in a one carat stone. That same diamond can now be purchased for approximately $16,000 depending who you buy it from and what financing is required.

The basic supply of diamonds is effectively controlled by an internationally based cartel, which for many decades has negotiated with virtually all the diamond producing countries for exclusive rights to market their production. The cartel works closely with dealers, retailers and trade organizations in coordinating marketing efforts designed to stimulate and retain a stable and continuous demand. When demand strengthens resulting in higher prices, the cartel can increase the availability of rough(uncut diamonds) and limit the monies allocated to marketing efforts. This in effect keeps prices from rising to levels that threaten the long term health of the market. Conversely, if demand weakens, supply can be tightened and marketing efforts intensified, again resulting in stable prices in an environment that would normally show weaker prices.

Recently however, some producing countries have managed to sell some of their production outside the cartel's control. Over the long haul, this may result in greater volitility in diamond prices. Chances are though, who you buy your diamond from will have more of an effect on it's price, than will the global economy. As a product where its quality factors are well known and its supply is tightly controlled-- a diamond of a given quality has a given value.

Buying Tip: There really is no room for "bargains" among knowledgeable sellers and buyers. Lower prices for a given grade can only be consistently achieved through lower delivery costs or by overstating its actual quality.

Buying Tip: While some feel that "service" is important in the valuation of diamonds, I have found that most require only very basic care. Certainly, prongs should be checked every six months to avoid lost diamonds, but ask yourself what this service is really worth.

Buying Tip: The value of a typical 14K gold solitaire setting is usually about a tenth of the cost of a half-carat diamond. Its easy to overpay for a diamond, when you fall in love with the style of the ring into which it has been set. Considerable savings and stylistic options can be had through the purchase of a loose stone and having it subsequently mounted in the style of your choice.

Diamond Treatments...

The two most important diamond treatments include "fracture filling" and "lasering". Both serve to improve the "look" of a diamond, while adversely affecting its value. In some cases, both are used simultaneously.

Fracture filling generally involves thorough cleaning of the gem followed by immersion in a liquid solution of high lead content glass. The glass works its way into the fractures, seals them, and facilitates the free flow of light through the stone. The diamond appears brighter and cleaner-- usually with better color. Such stones may sell for less than half of a comparably appearing untreated gem.

Lasering, is a process that uses a fine concentrated beam of light to drill through the diamond to reach an offending inclusion. Sometimes the laser itself serves to minimize the color of the inclusion, while in other instances the channel drilled by the laser is used as a conduit for injecting acid which subsequently dissolves the inclusion. This approach usually results in small tube leading from the surface of the gem to where the inclusion was located. Observing this tube allows most gemologists using a loupe to easily identify gems that have been lasered. A new approach though, targets near-surface inclusions. These inclusions, when heated by the laser, expand and create a small natural looking crack leading to the gem surface rather than the usual tubule. The crack is then used as the conduit for cleaning out the inclusion material. To spot this laser process, the gemologist must use a microscope and carefully analyze polishing lines adjacent to the laser induced crack.

While fracture filling is used to minimize light colored fractures, lasering is most effective in minimizing the appearence of dark colored inclusions known as "pique" (pee-kay).

It is difficult to know the exact effect on the value of a gem which has been lasered. It has been my observation though, that when informed of the process-- and given a choice-- the consumer preference is towards the untreated gem. In aggregate, a series of similar decisions by a public of knowledgeable consumers will eventually result in greater demand, reduced supply and likely a higher price for unlasered diamonds.

A third treatment has recently been developed which employs high temperatures and pressure to improve diamond color. The diamonds receiving this treatment have had their girdles laser inscribed with the letters "GE POL". Current research suggests that less than 1% of natural diamonds would benefit from this treatment. As a result, encountering such stones seems unlikely. Nevertheless, the Gemological Institute of America reports that a few diamonds having undergone this treatment have already been submitted to them for grading with the identifying laser inscription polished off.

Buying Tip: Diamond sellers should be aware of the various diamond treatments and how to identify them. Buyers should raise the issue with sellers and be prepared to assess the quality of the answer.

Diamond Simulants and Synthetics...
A diamond simulant is any gemstone which looks like a diamond. Typical simulants include colorless glass, cubic zirconia, white sapphire, white topaz and moissanite (crystalline silicon carbide). Such gems have the appearance of diamonds, but do not share the same physical, optical and chemical properties.

As a result, separating a diamond from a simulant is fairly easy for the experienced gemologist with the appropriate equipment.

A synthetic diamond is a diamond made by man under laboratory conditions. As a synthetic diamond has the identical optical, chemical, and physical properties to that of natural diamond-- separation of the two is difficult. Current testing can involve evaluation of magnetic properties, fluorescense patterns and the identification of diagnostic inclusions. While the supply of diamond synthetics appears to be limited, the technology is progressing and availability is likely to increase over time.

Buying Tip: Diamond sellers should be aware of the various diamond simulants and synthetics and how to identify them. The best way to prevent such stones from entering the seller's inventory is to have a well established path for the steps leading to the diamond's entry into the retail market. This means sellers must know where their diamonds were cut and by whom. Buyers should raise the issues of simulants and synthetics with sellers and be prepared to assess the quality of the answers.

If you need more information...
Hopefully, this brief guide has provided the basic information needed to make an informed diamond purchase. Should you have additional questions, please contact us through e-mail by selecting the button appearing below. If you would prefer to talk directly, please call us at (201) 848-1733. We love to "talk gemstones" and will look forward to hearing from you. Afternoons, Eastern time are best.

If after reviewing the fine diamonds offered on this website, you require a size, style or quality not presented, do let us know of your specific interests. We will be glad to assist you in your search and provide you with a no-obligation quote on candidate gems.

We would also encourage you to visit our Federal Trade Commision Disclosure statement. Here you will find additional information on the quality of our diamonds-- and colored gemstones as well.