Key Factors for Determining the Worth of a Diamond

The key to a diamond's value is its rarity, and no two diamonds are alike. Rarity is determined by a diamond's unique characteristics as measured by the Four Cs: Cut, Color, Clarity and Carat Weight.

Cut

This refers to the face-up shape of the diamond (round, oval, square) as well as its proportions. The effect of cut on a diamond's appearance is indisputable. (Kim recently attended a 2-day conference held by the National Association of Jewelry Appraisers in Tucson Arizona where one of the things discussed was the new cut grading.)

Color

Colorless diamonds are extremely rare and highly valued. Most diamonds are nearly colorless with yellow or brown tints. But precision in grading color is essential to assessing the potential value of a diamond. The color alphabet starts with D (least color) and ends with Z.

Clarity

Created by nature, most diamonds contain unique birthmarks called "inclusions" (internal) and "blemishes" (external). Diamonds with few inclusions are rare — and rarity affects value. Using the internationally recognized GIA Diamond Grading System, diamonds are given a clarity grade that ranges from flawless (F), to diamonds with more prominent inclusions (I3). The cleaner the diamond, the more rare and valuable it is.

Carat Weight

Diamonds are weighed using metric carats. A carat weighs about the same as a small paper clip. Just as a dollar is divided into 100 pennies, a carat is divided into 100 "points." This means that a diamond of 50 points weighs 0.50 carats. But two diamonds of equal weight can have very different values depending on their clarity, color and cut. A small diamond of exceptional quality will likely be more valuable than a larger diamond of lower quality.