If someone asked you to picture a diamond, you likely picture a traditional white sparkling stone. However, that picture is quickly fading for some people. Demand for colored diamonds is on the rise, and investors are doing whatever they can to profit from these unique stones.
As many women know and love, diamonds come in a variety of colors.
In recent months, colored diamonds have become highly sought after.
Colored diamonds are considered especially unique because they are created when a chemical element is trapped during the diamond’s formation process which only happens on rare occasions and results in a colored diamonds. (This process also takes about a million years but we’d consider it worth the wait!)
In the spring of 2016, a Geneva-based fund-manager purchased a bright orange diamond for over $1 million per carat, and the trend has continued on, resulting in higher prices for colored diamonds each month.
From 2009 to 2016, the price of a pink diamond increased nearly 180%, reaching an absolute record high.
The demand for blue and yellow colored diamonds has also grown tremendously in the past several years. In May of 2016, a 14.62-carat blue diamond sold for over 57 million dollar, making history as the most expensive jewel ever sold at an auction.
Colored diamonds used to be a focus of wealthy collectors but lately, luxury markets are also seeking them out.
Professional investors have started investing in colored diamonds on behalf of wealthy clients as well. The high prices of these diamonds are attracting investors and they keep competing for colored stones, resulting in increased prices.
The sudden increase in interest of colored diamonds can’t exactly be pinpointed.
The sudden obsession with colored diamonds could be a result of people realizing how rare these stones are.
According to the Gemological Institute of America, just one out of every 10,000 diamonds is considered colored.
If you’re looking for customized jewelry complete with a colored diamond or a traditional diamond, contact Diamonds Forever to get started.