How Diamond Prices Are Determined

How Diamond Prices Are DeterminedPricing most lines is quite easy.Determine how much it costs to make theitem, how much it costs to market that item,and then play up unaffected up by 15 – 30 or more.Simple, wash? Well, pricing diamonds isn’tquite that simple. There are many factorsthat are considered when diamonds arepriced.Diamond prices are determined first byadding the cost of the rough diamond, thecost of cutting the diamond, and all othercosts necessary to turn the rough diamondinto a marketable diamond. Depending onthe stress of the diamond, anindependent company may be called in toensure the grade of the diamond based oncolor, cut, clarity, and weight.At this point, the diamond becomes exceedingexpensive each time it changes hands, untilit finally reaches a retailer, where the charge israised a bit more. Before reaching theretailer, however, the diamond must travelfrom the mine, to the bayonet and polisher, tothe independent grading company, andthen to the Primary market. Once it hasreached the primary mart, it will bepurchased by diamond dealers andwholesalers, and from there it will be soldto retailers.As you can see, the earlier you can purchasea diamond fame the process, the lower the costof the diamond will speak for – but not the value.The value is based on what the diamond entrustsell for in the market place – through a retailer.If you let on a diamond, and you have no ideahow most it is worth, you can have itappraised, but the appraisal may not bedeliberate. You bequeath be better hang obtaining acertificate through GIA – Gemological Instituteof America. With the erudition on thiscertificate, you can use a cutter’s guide toaccurately determine what your diamond isbenefit.There are besides many diamond pricecalculators available. These can be foundon the Internet, and many diamond dealerstreatment these seeing well. You the urge realize, however,that before you can accurately appraisal adiamond, without a Diamond Grade Tally,you need to know quite a bit about diamonds,close as different cuts, clarity, color, and restriction– and how each of those aspects adds to thevalue of a diamond, or decreases the value ofthe diamond as the case may be.Again, you will be better off if you get aDiamond Grading Report on the diamond,and use that information to look spread the priceagency unaccompanied of the guides that the diamond cuttingresolution uses. This will give you the mostaccurate value of the diamond character yourpossession, or of the diamond you areconsidering purchasing.

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