Rarity and Value
Diamonds become increasingly rare when considering higher clarity gradings. Only about 20% of all diamonds mined have a clarity rating high enough for the diamond to be considered appropriate for use as a gemstone; the other 80% are relegated to industrial use. Of that top 20%, a significant portion contains an inclusion or inclusions that are visible to the naked eye upon close inspection. Those that do not have a visible inclusion when the gem is examined approximately 6 inches from the naked eye are known as "eye-clean", although visible inclusions can sometimes be hidden under the setting in a piece of jewelry. The most expensive gem diamonds fall within the VS and SI grades with FL, IF, and even VVS stones commanding significant premiums. FL and IF stones are sometimes referred to as "museum quality" or "investment grade" to denote their rarity although the term "investment grade" is misleading as diamonds have historically been illiquid and questionable stores of value.
As many diamond purchases are infrequent, for example an engagement ring, there is a level of concern by end consumers having to pay large premiums for clarity grade differences that are important to the certificate or diamond industry but not to the buying public who cannot discern the difference with the naked eye.
Read more about this topic: Diamond Clarity
Famous quotes containing the word rarity:
“Television hangs on the questionable theory that whatever happens anywhere should be sensed everywhere. If everyone is going to be able to see everything, in the long run all sights may lose whatever rarity value they once possessed, and it may well turn out that people, being able to see and hear practically everything, will be specially interested in almost nothing.”
—E.B. (Elwyn Brooks)