The decision to buy a loose diamond should be well structured and step wise. After you have established a budget target, you must decide on the diamond shape. Diamonds come in many shapes and the most common diamond shapes are:

1) Round cut - it was the first cut for diamonds and back then it was considered as the ideal cut. But over a period of time and with the emergence of modern tools and techniques, other shapes were made available at the same or more brilliance.

2) Princess cut - this shape is one of the most popular when it comes to diamond jewellery. It showcases the elegance of the emerald cut and the brilliance of the round cut. A princess cut loose diamond tends to appear larger than a round cut diamond of the same carat weight.

3) Emerald cut - this cut diamond is still considered as one of the most elegant and sophisticated of all gem stones. Diamonds of high clarity are cut into this shape to display purity.

4) Oval cut - this cut is a mutation of the round brilliant cut and ideally it should not be too narrow as the light would be lost and the center of the stone would appear dark.

5) Marquise cut - this is a very fancy cut and is widely used in diamond jewellery. When opting for a marquise cut, make sure the color is superior as they show case more color than flare.

6) Pear shape - the pear cut is a more traditional cut and is widely used for drop earrings and pendants.

7) Heart shape - diamonds of this cut are more on the designer side and symbolize love and romance. A well cut heart displays a lot of fire and flare.

8) Trillion shape - these diamonds have a prism appearance and quite rare in availability.

9) Baguettes - these diamonds are widely used in diamond jewellery and come in the fancy shape genre.

After deciding on the shape of the diamond, the next step would involve deciding the carat weight or carat size. Then look for a loose diamond with the best clarity and color that would fit your budget and carat preferences. At worst, could be a HI color loose diamond with SI2 clarity. Don't be fooled in buying a 2 carat rock that is yellowish and doesn't sparkle, just because it is big. Once all your home work is done, shop at jewelers who provide a GIA certificate for your loose diamonds. When comparing different jewelers, keep the variables as close to each other as possible so that you are comparing apples to apples. GIA or the Gemological institute of America is the worlds most trusted name in diamond grading and gemstone identification. It is an independent, non profit organization with a reputation of being trustworthy and reliable. It is always wiser to purchase a GIA certified loose diamond as it clearly and accurately mentions the diamonds correct carat weight, clarity, color and cut. Shopping for a GIA certified diamond enables you to make an informed selection. You can blindly trust a GIA certified diamond and there are no chances of being duped.

Right price, right diamond, right choice

While determining the prices of loose diamonds, a few calculations should be made before finalizing it. The cost of the diamond includes the cost of the rough diamond, the cost cutting the diamond and all the costs required to turn the rough diamond into a marketable, polished diamond. The diamond becomes more expensive as it travels from one hand to the next till it finally reaches the retailer. This travel chain involves the mine, the cutter and polisher, the independent grading company and finally to the primary or diamond trading market. Once it reaches there, it will be purchased by loose diamond dealers and wholesalers and from there it will be sold to retailers. In order to lower the cost and not the value of your diamond, you must try and catch hold of it earlier in the travel chain. If you have mastered the 4 c's, defined your preferences and by now well versed with the diamond purchase jargon, your inhibitions and fear of the unknown may have evaporated and you can now make a smart, informed and value for money loose diamond purchase decision.

1) Carat weight - of the 4 C's, carat weight is probably the most important consideration with respect to diamond rarity, value and consumer preference. Carat weight is how much the loose diamond weighs. Like a dollar with a hundred pennies, there are hundred points or cents to a carat. The higher the carat weight, the larger is the diamond in size and accordingly it commands a higher price. Loose diamonds are always priced per carat and most women today aspire to owning a loose diamond of at least 1 carat.

2) Diamond color- it is an interesting but surprising fact that loose diamonds actually come in the widest spectrum of colors in the list of any gemstone. A rare and valuable diamond is in fact the one that is closer to colorless. On the other hand diamonds in their fancy colors are most sought after by collectors. These diamond colors include essentially from the highest value, reds or pinks, blues, greens and fancy intense yellow. The GIA (Gemological Institute of America) grades or certifies loose diamonds on a scale of D (colorless) to Z (pale yellow). A diamond with more color and intensity will be relatively more valuable. Usually consumers select a GIA certified loose diamond with a color ranging from D to J. D-E-F are the colorless grades whereas G-H-I-J are ‘near colorless'. The difference in each letter grade is very subtle and negligible and loose diamonds are compared for their grades under controlled lighting conditions. Loose diamonds are viewed in the face-up position and the color of the diamond is accordingly judged. Thus diamond color is a rarity factor that affects the appearance and price by about 10-15% per color grade.

3) Diamond clarity- diamonds are formed naturally deep within the earth's surface under tremendous pressured and high levels of heat. Owing to these conditions, most loose diamonds bear certain internal or external blemishes; after being polished it helps a purchaser or seller in determining its clarity. No two diamonds are alike, just as in humans. Diamond clarity is effectively and accurately determined after viewing it under an eyeglass or diamond magnifier. GIA uses 11 clarity grades varying from ‘Flawless' to I (Included). The in-between clarity grades include VVS (Very very small), VS (very small) and SI (slightly included). The SI and I graded loose diamonds usually showcase blemishes to the naked eye whereas diamonds of the VVS and VS reflect inclusions or blemishes even to the unaided eye.

4) Diamond cut- when the term ‘cut' is used in the diamond jargon, very often it is misinterpreted as the diamond's shape. However, a loose diamond's cut signifies its various proportions and finish. Even though diamond is the hardest of all the gemstones known to man, it is the simplest in composition. In fact you need a diamond to cut a diamond because there is nothing else stronger than it. The cut of a diamond is the contribution of the cutter and polisher and involves the process of transforming a rough, unpolished crystal into a faceted, polished and finished gem. Proper cutting is more of an art where the cutter creates a masterpiece that reflects beauty and brilliance. When a diamond is cut with accurate proportions and polished with finesse, light refracts into the diamond, which then reflects form one facet to another and then returns through the top of the diamond resulting in a kaleidoscope of brilliance (white light), dispersion (rainbow colored light), scintillation (sparkles when the diamond is moved) and luster (bright reflection from the surface). Loose diamonds are further classified into ‘ideal cut', ‘excellent' and ‘very good'. Ideal cut is a very narrow range and is prescribed for very rare, valuable and the most brilliant diamonds. The excellent cut diamonds also include loose diamonds with as much light. And finally very good signifies diamonds with a proper proportions and value for money price.

Selecting the right diamond for you requires a clear understanding of the 4 C's and how they work together in helping to determine a loose diamond's rarity and value. If you wish to select a loose diamond with a larger size but keeping a certain price range in mind, then you may have to choose a less rare quality diamond. However if you are more keen for a rarer quality diamond and the price factor needs to be considered, then you might have to select a loose diamond of a smaller size. If your budget is not on the higher side, then you can invest in fine diamonds or diamonds that are small and low in carat weight. Fine diamonds can be easily utilized to make jewellery and after they are set and encrusted well in a mould, their shine and brilliance is admirable. Fine diamonds need to be bought in bulk and they are priced per carat. Fine diamonds cost way lesser than bigger rocks and is also a good form of investment. When these diamonds are bought in bulk, you may also get a discount and such loose diamonds are called discount diamonds. If you have mastered the 4c's and follow its principles, you will know how to choose a loose diamond with confidence and success.