The Brilliance Of Diamonds Is All In Their Color!

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Tis’ the season for DIAMONDS! If there is a holiday gift almost guaranteed to make a recipient swoon with joy, it is a diamond. But while such stones remain appealing as jewelry, the value of certain colored diamonds has increased while traditional white diamonds have unfortunately fallen.

Diamond dealers these days are talking about pink, blue and red diamonds as investments, citing a recent track record of double-digit returns. This new interest in such rare gemstones can make a holiday gift 10 to 20 times more expensive than a similar, high-quality white diamond. However, there are others in the trade who question whether these stones will pay the dividends people imagine in the Christmases to come.

Pink Diamond

“Fancy colored diamonds are the flavor of the year – they’re hot, they’re sexy, they’re great,” said Martin Rapaport, chairman of the Rapaport Group, which is considered to be a primary source of diamond pricing information.

“If someone said, ‘I want to buy something great for my wife,’ I’d say, great, buy fancy colored diamonds; you’re a billionaire,” he added. “But anyone who wants to invest in the flavor of the month shouldn’t do it.”

Understanding the lust for colored diamonds begins with understanding the broader forces pushing and pulling diamond prices.  The white diamonds that adorn engagement rings and will dangle from ears and wrap around bracelets this holiday season have fallen in value over the last year. Prices for one-carat diamonds have dropped 7.15 percent as of Dec. 1, according to an index Mr. Rapaport developed.

Mr. Rapaport said demand for white diamonds has dropped globally because of a slowing Chinese economy, currency devaluation in Russia and low oil prices in the Middle East. Yet on the supply side, the cost of rough, white diamonds has stayed high, which has hurt the rest of the diamond trade’s ability to make a profit.

During the same time, colored diamonds have surged in value. Buyers have sought them out for their beauty, extreme rarity and investment potential.

The best-known pink diamonds, for example, are from the Argyle diamond mine in Western Australia. That mine, which supplies 90 to 95 percent of the world’s pink diamonds, will be exhausted by 2020, and the scarcity has driven up prices.

“Argyle pink diamonds outperform any other,” said Leibish Polnauer, president of Leibish & Company, a colored-diamond dealer. “They’re less and less available and more and more in demand. Fifteen years ago we bought Argyle pink diamonds for $10,000 a carat. Today it’s $150,000, $200,000, $250,000 a carat.”

Dealers say wealthy buyers in volatile economies view rare, colored diamonds as a hedge against economic uncertainty. A diamond can also be a discreet way to put a tremendous amount of money into something smaller than an aspirin tablet.

“You can buy a large house for $1 million, or 1/16 ounce — or less than half a carat — of a red diamond,” said Yaniv Marcus, founder of the Diamond Investment and Intelligence Center. “A one-carat red diamond could be valued at $2.5 million.”

At the highest end, colored diamond prices have reached a level that rival rare art works like Amedeo Modigliani’s “Nu Couché,” which sold for $170.4 million at the fall auctions.

“It’s all about rarity,” said Frank Everett, vice president and sales director in the jewelry department at Sotheby’s. “The best ones stand out like a great piece of art.”

In the last year, Sotheby’s has sold two well-known blue diamonds for record-setting prices. A 9.75-carat blue diamond that belonged to the socialite Bunny Mellon sold in November 2014 for $32.6 million – or $3.3 million a carat. Last month, the auction house sold the 12-carat Blue Moon for $48.5 million – or just over $4 million a carat.

blue dia

Those prices far outstrip the 100-carat white diamond Sotheby’s sold in April for $22 million — or $2.2 million a carat.

More broadly, a one-carat fancy pink diamond in a cushion cut is 11.50 times more expensive than a one-carat cushion-cut white diamond that has been judged to be internally flawless and carries the highest color rating, said Eden Rachminov, head of the advisory board of the Fancy Color Resource Foundation. A blue diamond is 20.8 times more expensive than a similar white diamond.

But it is not so simple to jump into the trade just based on the soaring prices. Investors also need to understand the very different ways white and colored diamonds are judged.

With white diamonds, it is the widely known measures of color, cut, clarity and carat weight that drive prices. But investing in white diamonds is a lot like picking quality stocks. There are established measures of quality, relatively transparent pricing, knowable transaction costs and liquidity, at least in smaller carat sizes.

Mr. Rapaport views investments in white diamonds as a way to capitalize on the growth of the global middle class who will buy them as gifts and drive prices back up.

In the world of colored diamonds, what determines value is more subjective. The range of prices for any given colored diamond can range wildly, corresponding not only to the rarity of their colors but also to the vividness of the color itself. (The so-called chocolate diamonds that mall jewelers are advertising are not considered investments; until fairly recently, they were used for industrial purposes because they are so common.)

“It’s the strength of the color,” said Jordan Fine, president of JFine Inc., a dealer that specializes in colored diamonds. “A light yellow could be $3,000 a carat and a vivid yellow could be $15,000 a carat. A one-carat light pink could be $75,000 to $700,000 a carat for a vivid pink.”

He added, “It’s hard to fathom how expensive and rare that little stone is.”

Yet discerning the vividness of a colored diamond can be more art than science. If white diamonds are likened to stocks, colored diamonds are private equity investments, with all the risk and reward such forays entail.

“Colored diamonds don’t have a price list or somebody managing the value,” Mr. Marcus said. “It’s a true supply-and-demand free trade. It’s like real estate. Its value is what someone will pay for it.”

Mr. Rachminov said the prices of yellows have been stable, tending to track the stock market, but the pinks and blues have soared in value, which has made some industry experts like Mr. Rapaport skeptical. (Red diamonds are at the top but they are exceedingly rare.) “There’s more interest from high-net-worth individuals, just like there’s more demand for art and wine and luxury items in general,” Mr. Rachminov said.

Colored-diamond dealers talk of the stones as a store of value, and they have shown to be over decades. But they are not the easiest investments to sell.

“The approach should be long term,” Mr. Marcus said. “It’s not a trading commodity first of all because of liquidity. The return is exponential over time.”

He also divides colored diamonds into two categories: jewelry and investments. This is by quality but also by the color itself. He said there are not enough orange, green, violet, and purple diamonds to create the liquidity for an investment market. Therefore, most investors focus on blue, pink and red diamonds.

What about a pink gold engagement ring?

Pretty in Pink has returned. It is the it color of the new generation on engagements. The young woman are going for the pink. Pink was very popular in Russia during the 19th century. And it was known as Russian gold since they were the only ones to wear jewelry in that color. Pink gold is a mixture of yellow gold with copper to give it the pink hue.

In the 1920s Louis Cartier and Jean Cocteau (a French novelist and playwright) made this pink color popular with the “Trinity” ring. It is 3 bands of yellow, white and pink gold intertwined. The white gold band stands for friendship, the yellow gold band stands for fidelity and the rose gold band for love. As Cocteau became a huge fan of pink gold and wore 2 trinity bands stacked on his left pinky. The trinity band took off in French society, everyone wanted a Cartier Trinity band. After five decades of Cocteau’s death, his home has been restored with support from Cartier. To celebrate the grand reopening of his home on this occasion, Cartier has added to its Trinity line. The Trinity La Belle has six rolling bands with the inspiration being that Cocteau stacked the Trinitys. Beautiful idea. They also added pendants and bracelets with a similar influence. Cartier has expanded on this idea and has set diamonds in a pave style and in a

During the Art Deco Era of the 30s, the jewelry gave way to a diamond platinum look. More monochromatic and metallic looking, with sharp angles and much flash. During WWII, platinum was needed in the war efforts which led to the use of gold once again. Yellow gold became popular and engagement rings went back to yellow gold. In the past 20 years it moved on to white gold, more economical, as white gold is less expensive than platinum. Therefore the settings for the rings became more affordable.

So why pink gold for engagement rings? you ask. There are many reasons the brides are going for pink. It is a more subtle and a different option for those that want to skip the white yellow look. It’s very fashionable as mentioned earlier. It also flatters most skin tones from dark to light. The pink color allows you to mix and match with other gold colors also. It’s not always up to the woman to decide but she can drop subtle hints as to what she wants to get like showing her boyfriend images that she took with her phone. Email the images to your best friend and boyfriend. You never know who he might ask for advice as to what to buy and what color gold. Who knew there were so many options. Pink is unique and a trendsetter. We will see more pink rings as he time goes by.

Whether you want a hint of rose gold or a full rose gold ring you can’t go wrong. Pink is best in Boca Raton.174116 174117 173657

What’s on your Man’s Mind?


confused-man
      A majority of the time, woman have no idea what is on their man’s mind. Whether it be work, his friends and family or even YOU! Ladies if you have a good man, give him time. Just when you think things might be getting rocky in your relationship or if he has been “out” a few questionable times, (because women have that intuition when something’s “off”) he might just be out looking for the perfect diamond for you.
Time after time we see so many men come in with some idea of what they are looking for, sometimes they have no idea, but we are here to help! It is critical for men to work with someone they trust when making such a large purchase. This is especially important when picking out a diamond because there are many factors that come into play; working within respect to the parameters of a man’s budget and wishes for size, color, clarity, cut, certification type, as well as the time it takes to choose the best setting for the diamond.
When the trust is built with our clients, they know they are getting only the best service, education and experience.
It is truly a beautiful process from beginning to end to see the men finally walk out confident with their choice of an engagement ring. Personally we really look forward to that e-mail or phone call we receive when we know she said yes and loves her custom ring.
So much effort is put into choosing the perfect diamond just for you ladies so please recognize your man for the time and effort he has put forth to make you his happily wedded wife forever!

 

Written by:

Lindsay Greatorex
Lindsay Greatorex
Director of Social Media and Marketing

 

My Grandmother: My Jewelry Icon

Jaclyn NYC

 

Guest Blogger

Jaclyn Gross, Professional Organizer in South Florida

 www.TipTopOrganizing.com

Age 27

 

 

As I’ve grown through the years, my style has evolved.  I always loved dressing up with my “pretty, pretty, princess” kit as a child and covering myself with loads of “jewels.”  The feeling of dripping in earrings, necklaces, bracelets and rings makes you feel better.  Makes you feel royal, makes you feel confident.  Or at least it did for me. 

 

But then something happened.  I turned 6.  And on my 6th birthday, my Oma gave me a pearl necklace.  It was a gold chain that had just a few tiny perfect pearls in the middle.  I loved feeling how smooth and cold they were.  It made me feel different.  Every year for Christmas, she would take my necklace and place a few more pearls on it.  She did this for my cousin Jillian and I who are just one year apart.  So when we would get it back in time for the yearly Christmas party, we would have our new pearls on our necklaces.  Every year it would grow just a little bit more and did this for about 10 years until it was fully covered.  That was very special to me and it was also the first time I had ever had a “real” piece of jewelry.  It changed how I felt.  No more plastic for me; I had graduated onto the real thing.  I felt like once I felt the feeling of a “real” piece of jewelry, I could just never go back.

 

My grandma always wore the most stylish and exquisite pieces.  I always wanted to be like her.  Right now as I am writing this, I am wearing a tiffany silver ball necklace and matching bracelet that I inherited from her.  She was a main influencer in my jewelry choices.   She had a safe where she kept her really expensive pieces, but the rest were all tucked away perfectly in their original boxes and pouches in one of her dresser drawers.  She was so organized.  I loved that about her, too.  She maintained the sparkle of her jewels.  They never tarnished or dulled.  They were cleaned, repaired if broken, insured and never out of place.  She took care of her belongings.  Anything that was hers, whether it was her diamond ring, her child, grandchild or home was taken care of fully 1000%. 

 

I always adored her choices from her broaches to earrings, rings, bracelets, ankle bracelets, and necklaces.  She always looked like a celebrity.  I should have taken more pictures of her.  Her style was just impeccable; perfectly put together everyday.  And the jewelry was what tied it all together.  I just loved all of her choices in style because her style was timeless.  It influenced me then and still does today, and will forever.  This is what I pass on to my clients, too.  When I take them shopping for a new wardrobe and when I weed out their old items- we focus on timeless classic foundational pieces instead of hip and trendy for just 1 season. 

 

I wanted my Oma’s collection of jewelry (and clothes- but I couldn’t fit in them since she was a size 0 her entire life, and I’m definitely not!)  And the funny thing is that her collection of jewelry, even after all the decades that have passed would mean nothing to the jewelry because they will still be just as magnificent as they were on the first day.  She had mesmerizing yellow diamonds, white diamonds, pink diamonds, sapphires, rubies, emeralds, and of course white gold, yellow gold, rose gold, platinum and silver.  I was hypnotized every time I saw her brilliant collection.   I couldn’t wait to build my own collection; to have my own treasure chest of fine jewelry.  So far my collection does not involve many diamonds (yet!) but I’m working on it. 

 

Over the years, as I was with her in her room helping her get ready before parties (my dad lived with her for a few years after my parents divorced) I watched as her outfit transformed from already stunning to just over the top magnificent stand-out with the help of a few classic, timeless classic pieces of jewelry.  It made the entire outfit pop.  I helped her as we went through her selection and picked the right pieces. 

 

This was eye-opening to me as a child to see this transformation.  With just a little (or not so little!) perfect sparkling well-placed diamond or jewel can make all the difference. 

 

I recently discovered Diamonds by Eyal in Boca Raton, Florida.  The store is run by Elise & Eyal Cohen.  They are the nicest couple ever.  They pay so much attention to you and make you feel like royalty.  Even though I wasn’t purchasing anything extravagant, they treat you like you are.  It doesn’t matter to them whether you are purchasing something for $500 or $250,000, because either way, they want you to enjoy the experience and educate you.  They sit down with you and explain everything.  It is by appointment only so you don’t have to worry about people coming in and distracting you. 

 

The time you have with them is your time only.   They make you feel so special and this customer service is so rare to find these days.  I truly appreciated them spending their time and energy on me.  I was able to leave there feeling confident in my purchase and knowing that this will be the place that I will be buying all future jewelry pieces from, and telling my friends and family to come, too.  The prices truly can’t be beat (as I went to many different places and compared!) and the quality is the best.  They also don’t do any advertising, so that speaks volumes!  It’s all by referrals.  I love that!  I recommend this business whole-heartedly to anyone who has a special occasion (or any occasion!) coming up.  The gift of jewelry is something that will be truly treasured for their entire life… at any age!