Everyone is fully aware of what a colorless diamond is. In fact, if you don't have one on your finger or if you don't wear one around your neck, there is no doubt that just about everyone else you know does. Naturally, people like to be unique and allow themselves to step outside of the box. Only, when it comes to selecting the perfect gift, a stable investment, or better yet the diamond engagement ring, no one wants to veer too far off track. However, there is one suitable option to use as a replacement that some are not even aware of. This unique and precious stone is known as a natural fancy colored diamond.

Fancy Color Diamonds

Over the past ten years colored diamonds have attracted a lot of attention. Only, many still don't know exactly what these fantastic gifts of nature really are. Compared to colorless diamonds are they as authentic, are they real, and most importantly do they really have the ability to retain value as much as some say? A lot of questions have come up whether people want to remain traditional with a colorless stone or add a little color to their life. The latest fashion trends are shouting yellow diamond jewelry and fancy pink diamond engagement rings, but there is still so much to know about these treasures, hence we decided to focus on the most frequently asked questions about fancy colored diamonds.

How are Colored Diamonds Made?

The way natural colored diamonds are made is a process that takes place over millions and millions of years. Yeah, that's right, the stone on your finger is really, really, really old! Under conditions of immense pressure and unimaginable heat, Carbon elements form together into rough diamond rocks. The addition of color is simply other elements that compound themselves together with the Carbon. Studies show that high levels of Nitrogen can cause Yellow coloring whereas Boron would cause a bluish tint. Different elements can have different affects to the stones we see. Also, other natural causes, such as radiation which is known to influence a greenish tint, can happen and that will affect the color as well.

Are Colored Diamonds Natural?

Natural fancy color diamonds are completely authentic in every way. The colors were developed within the stones through nature and over millions of years formed into the rough stones found in the mines throughout the world. Experienced diamond polishers then work on the rough stones and create the final products we see today. But again, the colors seen are 100% natural unless otherwise stated.

What is the Rarest Diamond Color?

Questioning the rarest natural diamond color is actually quite a disputed topic. The majority of people in the trade will adamantly declare that natural red diamonds are in fact the rarest color found. Although it might be true, absolutely pure violet diamonds are seen more infrequently then red diamonds. Therefore, if you were to ask us, we would say Violet, Red, and even Purple are among the rarest colors found.

How do Fancy Colored Diamonds Compare to Colorless Stones?

With colorless diamonds the absence of color is what makes them so precious. However, with fancy colored diamonds, it is the presence of color and the intensity of how it shines which makes these pieces so incredible and unique. Colored diamonds are in essence the very same things, only the colors with which they are found make them 10,000 times rarer than the more common colorless stone.

A colorless Round diamond next to a Fancy Vivid Pink and a Fancy Vivid Yellow Radiant shape Diamonds

Both colorless stones and natural fancy colored diamonds are assessed by the same four main diamond attributes (color, clarity, cut, and carat). However, unlike colorless stones where they are all considered equal value, the color is significantly more important in fancy colored diamonds. As a result of the rarity of these stones, not only are they used in the most fantastic and articulate pieces of diamond jewelry, but they are collected, traded, and utilized as exceptional sound investments as well.

Are Color Diamonds Real?

People often get worried when considering such an important purchase, that they won't get an authentic product. That is actually one of the most common reasons people steer away from natural colored diamonds. However, these people couldn't be any more wrong!

The addition of color to the diamond is the minerals that exist in the compound element. It is actually the atomic structure of the stone itself. Having that said, as long as they can assure (with the help of a diamond certificate from GIA, IGI, EGL) that it is a NATURAL fancy colored diamond, there is nothing to worry about. Colored diamonds are just as "real" as any colorless stone out in the market today.

Is the Color Authentic?

As nice as natural colored diamonds are, some people tend not to approach these stones because they are simply not familiar with the trend. Though these diamonds are beautiful, they are different and unique. However, the colors we see in the diamonds are natural and authentic.

Since some natural fancy colored diamonds are so unique, many can often demand a higher cost. As a result, in order to make it more affordable, there are a number of artificial enhancements that some companies make to their stones. First off, there is nothing "wrong" with purchasing an artificially enhanced diamond. However, cubic zirconium for example, which is a great example of a "fake" colorless stone, is not considered by the general public as an authentic stone as it is not a "real" diamond. Artificially enhanced colored diamonds fall in a similar category. When searching for a colored diamond, make sure it is certified NATURAL, and you have nothing to worry about.

NATURAL Fancy Deep Blue Oval diamond

What colors do diamonds come in?

In order to classify the types of diamonds available, the Gemological Institute of America (GIA) developed a uniform list of 12 main colors, 90 secondary hues, 9 different intensity levels, and over 230 color combinations. Diamonds are found with dominant colors of Yellow, Pink, Green, Champagne, Gray, Violet, Blue, Orange, Chameleon, Purple, Fancy White and Fancy Black. The 9 different intensity grades are Faint, Very Light, Light, Fancy Light, Fancy, Fancy Intense, Fancy Vivid, Fancy Deep and Fancy Dark.

How Rare are Colored Diamonds?

The market demand of certain diamond colors over the others has a strong affect on its price. However, the rarity of a natural fancy colored diamond is actually one of the most influential characteristics of its value. Unlike colorless stones, where the "more beautiful" the stone the more expensive it will cost, fancy color diamonds work on an entirely different price scale. Granted, beauty is essential for any product to sell, but "beauty" is the least of any quality diamond's troubles.

The rarest diamond colors, such as red, pink, violet, and blue diamonds can be found. However, even the "more common" colored diamonds, such as brown and yellow stones account for less than 0.1% of colorless quality diamond carats. Natural fancy colored diamonds are the rarest gemstones on the planet.

Are Colored Diamonds Natural or Manmade?

We live in amazing times, and given that fact, people today will find a way to do or create almost anything. Science has proved it possible to artificially enhance diamonds and actually influence the colors we see in the stones. However, one they are enhanced, because these stones are not natural, the World Federal Diamond Bureau (WFDB) and the Gemological Institute of America (GIA) said that any stones have been artificially enhanced absolutely must make mention on the certificate as not to fool the consumer.

Are Colored Diamonds Used in Engagement Rings?

The first thing any of these lucky ladies will be flaunting after announcing the engagement will be the precious stone on her finger. What better way to prove how unique your love is than to present something that shows her love is like no other. People enjoy standing out from a crowed and there is no better way to do it than a sparkling colored diamond engagement ring.

Yellow and red diamonds set as engagement rings

In fact, this fashion trend has attracted so much attention that some of the most famous celebrities have been seen about with their pink or yellow diamond engagement rings.

Which Colored Diamonds are the Most Recommended Investment Pieces?

When assessing the price performance of colored diamonds over the past fifteen years, it seems that just about any colored diamond has appreciated in value. However, we recommend that those looking for the right stones to invest in should focus on Argyle Pink Diamonds and high quality Fancy Intense Yellow diamonds above 2.00-carats.

Argyle Pink diamond

Argyle Pink Diamond

As a result of a depleting supply and a very high demand, the realized prices paid at auction for these colors has increased at a phenomenal rate far beyond other investment options one may consider.

Are Colored Diamonds Valuable?

When it comes to value there are almost no other assets that retain value as well as colored diamonds. Even the strongest alternative investment options in the market, such as Platinum or Gold, have seen a shaky ground through history. However, as a hard asset which people physically claim into their possession, together with the ease of mobility, fancy colored diamonds have recently become sought after by some of the most influential economists as exceptional investment options.

Are Colored Diamonds Worth More?

In general, natural fancy color diamonds are indeed worth more per carat than white diamonds. However, the diamond characteristics will determine the value of the stone. That means that although a natural fancy vivid yellow diamond is worth far more per carat than a white diamond, if it was only 0.50 carats with a low clarity grade and the value was compared with a 50.00 carat flawless white diamonds, logically the white diamond would be worth a lot more.

Which are Considered More Beautiful?

One of the greatest benefits of a colored stone is that one cannot say that any specific diamond color is more beautiful than another. When looking at a colorless stone one can clearly say that a whiter stone, a D color for example, is indeed more beautiful than a J-H-I colored stone. However, colors speak to people in different ways since people familiarize certain color tones to certain moods or special moments in their life. Regardless of how rare the stone is, some might prefer a blue diamond because they see luxury or prestige while others go for a pink because of the passion and femininity.

Fancy color diamonds are made with 12 main natural diamond colors, 9 intensity grades, and over 230 color combinations. Just have a look at the World of Colors to get a clearer idea of how many variations each stone offers! The image below depicts Pink, Blue, and Green Diamonds with only single colors at different intensity levels.

Fancy color intensity

Fancy Color different intensities as shown in Pink, Blue and Green diamonds

Can the Everyday Person Afford a Colored Diamond?

Some people scare from the words like luxury, thinking this is definitely not for their crowed. Especially after reading such stories of high price tags, or how fancy colored diamonds broke over 13 price records between 2007 and 2012 in the largest auction houses in the world. However, what most people don't realize is that not all colors or intensities are considered "high priced." In fact, a nice Champagne diamond sells for about 30% less than a comparable Yellow diamond and can cost half of what a quality white diamond of the same quality would run them.

The prices of colored diamonds vary according to the rarity and market demand. Meaning, that through the wide selection of stones available it isn't all that difficult to find one that fits within your price range.

Take all the information you have learned and browse through some of the loveliest precious stones available in the market. You would be surprised at some of the products you can find!

Contributor: Benji Margolese