It is true that diamonds are considered as a safe mode of investment. The captivating beauty and sparkle of the diamond makes it all the more lovable. However, just because something looks beautiful outwardly doesn’t necessarily mean that it is worth buying. The quality of the object must be good enough so that it can be a fair investment in buying that. Similar is the case with diamonds also. The value of a diamond is not just based on the price that is given for the stone but also based on the 4C’s.
There are four major factors that determine the true value of a diamond. They are the cut, color, clarity and carat weight of the diamond. It is based on these factors that a diamond is given its price. For this reason you may find that two diamonds of equal size and shape have two different prices.
Cut Determines The Diamond’s Value
The cut of a diamond does not signify its shape. Rather it is the grade given by a gemological laboratory. Each gemological lab will have its own grading system. The GIA (Gemological Institute of America) grades the cut of a diamond as excellent, very good, good, fair or poor based on each individual cut. The seven aspects of the diamond including its brightness, scintillation, fire, durability, weight ratio, polish and symmetry will be considered while grading the cut of a diamond.
The total reflecting capacity of the diamond will determine its brightness. The reflection and refraction of the light in the stone determines its fire and scintillation. The dispersion of weight is also important in the cut of the diamond. Some diamonds that are poorly cut may have extra heaviness at the bottom part of the stone. In addition, the symmetry of the diamond is important because it will determine the amount of light entering the diamond.
Color Determines The Diamond’s Value
The color of the diamond also largely determines the value of the diamond. The grade scale for color of a diamond starts at D. Grade D for the color means that the diamond is colorless. Each of the subsequent letters speaks of the increase in yellow warmth. For example, the stones graded as I and J will look the same to the naked eyes but J will be little more yellowish than I. Nevertheless, the fact remains that colorless stones are more valuable. Color is often used to make affordable larger stones.
This diamond color grading is done only for the white diamonds. There are also diamonds available in various other colors like black, blue, pink, green etc. These colorful diamonds may be costlier than the white ones. These colored diamonds are very rare and even the small stones can be very costly. The GIA grades the fancy colored diamonds as fancy light, fancy, fancy intense and fancy vivid. Among the colored diamonds, some are more expensive than the others are. The Blue diamond is considered to be the rarest and is costlier than the other colored diamonds.
Clarity Determines The Diamond’s Value
Clarity of a diamond signifies the extent of impurities or blemishes inside the diamond. For a diamond to properly reflect and refract light, the diamond should be free of any blemishes inside. The GIA grades the diamond clarity as flawless (F), internally flawless (IF), very, very slightly included (VVS1 and VVS2), very slightly included (VS1 and VS2), slightly included (SI1 and SI2) and included (I1 and I2). It is better not to buy a diamond of clarity grade less than SI.
Included diamonds will have the imperfections, which affect the beauty of the stone internally and externally. Slightly Included stones do not have any imperfections that are visible to the naked eyes. However, on magnification these inclusions can be clearly seen in an SI stone.
If you are planning to invest in buying diamonds, it is better for you to opt for the diamonds with high graded clarity. It will not be a wise decision on your part to sacrifice the clarity of the diamond in order to save money.
Carat Weight Determines The Diamond’s Value
The size of the diamond is very important in determining the price of the diamond. The larger diamonds are very rare and hence they are very expensive. For this reason, even a greatly flawed large diamond may be sold at a very high price. The flawed large diamond is not worth anything but still they can be expensive. The carat of a diamond is not its diameter measurement; rather, it is the weight of the diamond. The shape of a diamond surely affects the size of the stone. A pear shaped or Marquise shaped diamond will look bigger than the round brilliant shaped diamond that is of the same carat weight.
Therefore it is a fact that the value of a diamond is determined by the 4C’s of the diamond, namely cut, color, clarity and carat weight.