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How to Choose a Diamond

Updated on August 20, 2016
Austinstar profile image

L. Cargill, B.A., Sam Houston University, Huntsville, TX., has been writing cool and interesting articles for the internet world since 1995.

Investing in Diamonds

If you are going to invest in precious gem stones, diamonds are the best value around.
If you are going to invest in precious gem stones, diamonds are the best value around. | Source

Diamonds are Great Investments

Buying stocks and bonds as investments will reward you financially in the long run. You can plot your earnings on a chart. You can plan ahead. You can add and withdraw funds just like having a bank account. But wait.... how fun is that?

Some people advance to investing in precious metals like gold, silver and platinum. While these metals are tangible, meaning you can hold them in your hands, they do not have much variation. Metal is metal. The way to make metal beautiful is to form it into shapes. However, those shapes do not necessarily enhance the value of metals.

Precious gems, on the other hand, have intrinsic beauty and are valued for this beauty. They come out of the earth with the power to amaze the viewer. Practically every precious stone is different. There are very few identical or near identical diamonds on the planet. Once a raw diamond is processed, the value of the diamond increases dramatically and it will hold that value for a very long time.

Diamond Investment - An Engagement or Wedding Ring

A wedding or engagement ring will most likely be the first purchase of a quality diamond investment. Learn how to choose a diamond for investment purposes.
A wedding or engagement ring will most likely be the first purchase of a quality diamond investment. Learn how to choose a diamond for investment purposes. | Source

Tips on Choosing a Diamond

Most people are already aware of the "4 C's" of diamond comparisons. This is how a diamond is valued and priced. Each upgrade of one of the following affects the diamond investment:

  • Cut - Diamonds are cut to enhance the way the natural prism of a diamond will reflect the light. Gemologists may study for many years to learn the basics of diamond cutting. The best cuts made by professional diamond cutters will increase the value and price of a diamond. Cuts refer to the measurements of each cut, not the final shape of the diamond. So, an 'emerald cut' may or may not be as valuable or more valuable than a 'diamond or round cut'.
  • Color - Diamonds come in a variety of colors. The clear, white diamonds are the ones currently most sought after. Yellow, blue, pink, green and even black diamonds go in and out of style. Other colors exist and may may become a fad for a while. The best investment would be in a color or colorless diamond that stays in demand.
  • Clarity - Clarity in a diamond denotes the lack of flaws or inclusions in a diamond's matrix. The carbon crystals are seldom pure, but some of them are near flawless. Some inclusions can be seen with the naked eye, but others must be identified with a loupe or a microscope.
  • Carat Weight - This is the actual weight of a diamond and does not indicate the size of the stone. The weight of a diamond is determined by density. The densest crystals make for the hardest and weightiest diamonds.

Choosing an investment diamond means being aware of the cut, color, clarity and carat weight of these gems. All diamonds have value as they are the hardest crystal structures known to man and they have many industrial, private and commercial uses. Getting a good deal involves negotiating each of the four C's to get the best price.

Pricing a diamond and diamond prices are determined much like the fluctuations of gold pricing. A chart of current prices are consulted based on the four C's. For instance, a 1 carat, H color, VVS2 Clarity and Ideal Cut may be priced at $6,445 U.S.Dollars. The chart updates are known to jewelers worldwide and a sample may be found at Diamond

These prices do not include graded diamonds by companies like the GIA, so the diamond prices are only a general idea of what any particular diamond is worth. Other things like the shape of a diamond and where it came from may come into play when determining the price of a diamond.

Choosing a Diamond Using the Four C's

GIA Guide
Range - High to Low
Excellent to Poor
Good or Better
D to Z
D to J
Flawless to I-3
VS2 or higher
Carat Weight
1 carat = 200 milligrams
1 carat or higher

Top Diamond Producing Countries


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Current top diamond producer


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Second largest producer


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Number three in diamond producing countries


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A surprise diamond producer at number four


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Possible Blood Diamonds

South Africa:
South Africa

get directions

Large diamond mines exist here


get directions

So far, the African continent produces the most diamonds of the world.

What does a natural or raw diamond look like?

A diamond among rocks.
A diamond among rocks. | Source

How to Find a Diamond

In the great state of Arkansas, U.S.A. there is a natural diamond pipeline where diamonds are discovered daily. Hunting your own diamond is an excellent way to get into the rock collecting mania. A small entrance fee investment is all it takes to go hunt, find and keep your very own diamond.

Crater of Diamonds State Park is a great vacation destination that may even pay for itself! The park is open to the public and no commercial diamond mining takes place there now. It is every diamond hunter's dream.

The diamond field is 37.5 acres of plowed earth exposing an ancient volcano pipe. Many diamonds have been found here including a whopping 16.37 carat diamond found by a Texan in 1975. It was a valuable white diamond also.

Most diamonds are in the smaller point weight size. One hundred points equals one carat. But every diamond is special to someone or valuable as commercial diamond dust. So, happy hunting!


No investment in 100% safe. Do not invest invest without doing your homework. Any commodity can decrease in price. It is a gamble to think that all investments will be worth money in the future. Buy from reputable jewelers and get certified gems only.

© 2012 Lela

Comments - What kinds of investments look good to you?

Submit a Comment
  • Austinstar profile imageAUTHOR


    6 years ago from Somewhere near the center of Texas

    My sister seems to think that Opals should be included in the list. I like Rubies the best.

  • drbj profile image

    drbj and sherry 

    6 years ago from south Florida

    Thank you for the pertinent information, Lela. Diamonds are still a girl's best friend. And sapphires, emeralds and rubies are not too shabby either.

  • Ruchira profile image


    6 years ago from United States

    Diamonds are a girl's best friend :)

    I also tend to get a certificate for their authenticity. Helps when I want to sell it.

    Good pointers, Austinstar!

  • lauramaryscott profile image


    6 years ago from Boise, Idaho

    Austinstar, another excellent hub. A few years back I purchased diamonds to have rings made for my daughters. In the process a jeweler in Nampa, Idaho, sold me a solitare rhinestone along with the smaller diamonds. On my receipt he wrote "diamonds." When I took them to be set into the rings, the gemologist caught the discrepancy and called him. He said, "Alan you know what this means, if this gets out?" The Nampa jeweler challenged Stewart's remark by asking how he could prove it and that is when I, too, learned fakes weigh twice as much as a diamond of the same size. I returned to Nampa and he made my purchase right.

  • akirchner profile image

    Audrey Kirchner 

    6 years ago from Washington

    Ah yes - the old wringer washing machines...I actually did get something stuck in there but it wasn't my ear--thank goodness. It was a sheet only by the time it was done going back and forth, it was a of my many little Audrey moments and boy did I get it for that one! I just wanted to see how it worked...thankfully I didn't stick my ARM in there trying to get the sheet back out~~ I actually thought about it---a little frightening but I was just a kid~

  • Austinstar profile imageAUTHOR


    6 years ago from Somewhere near the center of Texas

    OMG, yes a big problem with investing in diamonds is that they are so small and easily lost.

    Audrey, I can just picture you running one of those old wringer washing machines with your ear caught in the roller! Only you could manage that one.

    I too was surprised at Canada. There are actually many other countries that have diamond mines, I didn't list them all for sure.

  • akirchner profile image

    Audrey Kirchner 

    6 years ago from Washington

    Who would have known Canada produces diamonds? I think I might invest in their diamonds to tell you the truth because (maybe) they have more humane ways of "harvesting" them.

    I personally am not a bauble type of gal mainly because I worry that I'm going to lose them (which I usually do while my hand or ear is CAUGHT IN SOMETHING--I know--hard to believe) and I'd feel very guilty had someone spent a lot of dough to give me something and then I destroy it or lose it.

    It's a miracle that I still have my original diamond (and my crushed gold nugget wedding bands which are actually my favorite part of the rings) on my hand these 38 years later! Although I've had my rings cut off once already thanks to a dog scootering accident--hard to believe I know~

    Bob very romantically gave me tiny diamond studs for my ears one Valentine's Day--I couldn't believe it--I asked him point blank in the restaurant---you know who I am right? I've somehow managed to keep those too and the dogs haven't swallowed them (yet)~~

    Great info and again...who knew about Canada? I'm passing that info on!

  • Austinstar profile imageAUTHOR


    6 years ago from Somewhere near the center of Texas

    I think diamonds are scientifically interesting as well as beautiful. Any crystal has a certain charm, even snowflakes. I just love looking at patterns, it soothes my brain.

  • christopheranton profile image

    Christopher Antony Meade 

    6 years ago from Gillingham Kent. United Kingdom

    I don't own any diamonds. They seem like they would be a good investment though. Very beautiful as well.

  • Austinstar profile imageAUTHOR


    6 years ago from Somewhere near the center of Texas

    Yellow is a popular color for diamond jewelry. As an investment though, I would choose white diamonds. I would consider buying any kind of diamond if I had the money :-)

    Currently, I do not own one single diamond that I know of. But like you wanted to invest in land not too long ago. I just though you might want some alternatives. Diamonds are a lot easier to carry around, but then they are also a lot harder to sell.

  • RealHousewife profile image

    Kelly Umphenour 

    6 years ago from St. Louis, MO

    So I did want you to write another hub about emeralds or rubies (maybe even sapphires - I love blue sapphire)...tanzanite? I got that wrong and failed my quiz! haha

    Colored diamonds do go in and out of style I noticed now that you mention it. My mom has yellow Canary diamonds but IDK? They look like regular diamonds to me!


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