In the past 30 years, pink diamonds have significantly grown in demand and consequently in value and not just as an added collection to your jewelry but also as a viable investment opportunity.
This one-of-a-kind diamond crystal is ranked higher than the white diamond but what exactly makes pink diamonds so expensive?
Pink diamonds are a rare breed of diamonds because most diamonds share some similarities in their colors with hues ranging from yellow, brown, and white. The true value of a diamond lies in the intensity of its natural color.
In the case of the white diamond, perfection is attained when you find a crystal-clear gem free of blemishes, inclusions, and flux. One free of cloudy blurs and produces great color spectrums against the light. This same clarity and intensity of the color are required of highly valuable pink diamond as well.
Why Are Pink Diamonds So Expensive?
Pink diamonds are exceptionally rare and at this time only one source is known across the globe, that inhibits these breathtaking gems.
The Argyle Mine in Kimberley, Australia is the lone source of these Argyle pink diamonds that are so heftily priced due to their rarity and limited supply.
This mine supplies 90% percent of all pink diamond crystals which are world-renowned for their intense colors.
Unfortunately, it is expected that operations around the mine will halt this year because the Australian source is said to have been exhausted.
Pink diamonds are formed from carbon elements similar to the white diamond. the only difference is that these diamonds are developed inside kimberlite pipes of volcanoes over millions of years.
The pressure is applied and under great temperatures, the carbon particles combust into the glass-like diamond structure.
The heightened temperatures, pressure, and time applied to these diamonds cause wood-like grains to form in its molecular construction.
It is these tightly compressed wood grins in the diamond that reflect the pink hue characterized by pink diamonds.
Through scientific technologies such as the High-Pressure High-Temperature (HPHT) process impure and imperfect diamonds can be clarified into more striking white grades and can convert the brown tainted crystals into arrays of colors from pink, blue to green.
A treated diamond has added value because it attains a more vivid and saturated color. The process is irreversible and has a permanent effect on the diamond crystal making it whiter or infusing it with fancy color.
Whether you settle for a natural pink diamond or the treated versions that are more affordable either way, you will still enjoy the experience of a pink diamond.
The two variations have no differences between them to the naked eye and in fact, some treated diamonds have greater brilliance compared to the untreated versions.
How Much is One Carat Pink Diamond Worth?
Fancy Vivid pink diamonds that have been certified by a gemological institution are the most valuable in the entire universe.
The price of 1-carat pink diamond crystal could range anywhere between 30,000 dollars and 100,000 dollars based of course on the grading criteria for colored diamonds.
Among the high-end market that consists of diamond investors and collectors who attend diamond auctions, these pink diamonds will sell for anywhere between 1 million and 3 million dollars per carat. Now, that’s staggering.
The value of a white diamond of high-grade stands at barely 10,000 dollars which means pink diamonds are three times or at least twice more valuable than clear white diamonds. The price of pink diamonds has been steadily increasing month after month and specialists see no end to this trend.
In a few years, these pink diamonds will be worth even much more than they are now.
Are Pink Diamonds a Good Investment?
Yes, pink diamonds are currently a very lucrative investment opportunity. According to the Fancy Color Research Foundation, pink diamonds have risen 180% in price in seven years between 2019 and 2016.
In the diamond investment world, a carat of pink diamond sells for anywhere between 1 million to 3 million dollars per carat. These prices are predicted to keep going up because the main source of pink diamonds is set to close down. Once this happens, the prices are sure to skyrocket. If that is not lucrative, I don’t know what is.
Argyle pink diamonds have an investment growth rate of 15% going on to 20% in specific instances. Due to the rarity and exclusivity of pink diamonds, their prices increase every month. Judging from records of diamond trends across the world for the past 15 years, pink diamonds will continue to increase in value and elite status.
Another reason to invest in pink diamonds is that they are wearable, transportable, and easily storable investment unlike any other asset available in the investment market.
Many auctions have been done in the past where pink diamonds rocked the market with their staggering going rates. The last most expensive pink diamond to go on sale was the CTF Pink Star that sold for a whopping 71.2 million dollars in a record five minutes. that’s impressive.
These rare pink diamonds such as the Pink Star get their glorious pink hue from impurities manifested in their creation. These impurities could be in the form of gases like hydrogen or nitrogen or in the form of minerals like boron which have engrained themselves deep into the diamond’s crystal lattice.
As predicted, pink diamonds are gradually going extinct which is evident by the smaller sized crystals that are now emerging. This contrasts greatly to the larger sized crystals that were possible at their discovery.
This finite nature, increased demand, and their diminishing sizes suggest a need for urgency in action for any interested pink diamond investor.
If you are wondering whether to invest in pink diamonds, this is the confirmation you were looking for. Pink diamonds are a profitable venture that could make you millions in years to come.
There is no disputing the beauty and magnificence of these rare and almost extinct pink diamond crystals.
Their value seems to be brilliantly glowing and deeply appreciated by the elites. Their rarity and scarcity continue to fuel demand which cements their expensive price tag.
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As a diamond jewelry lover, I will explain why diamond is so expensive in the next post!
Stephanie is a jewelry lover when she was a teenager. Her major was fashion design when she was in college. She is a jewelry designer at SOQ Jewelry and other design companies. Now she is also a writer for our website. She writes a lot of designs&brands posts with very actionable tips.