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There are over 270 hue or colour variations found in Coloured Diamonds. The description of a coloured diamond will include a primary hue and any colour modiers. For example a BrownishYellow Diamond has a primary hue of yellow with brown modifying tints. The last colour mentioned in the description is the diamonds primary hue or colour. A diamond of pure colour will not have any modiers in its description.
The Yellow Diamond is the most common and affordable of the colours available. They are mined in Australia, South Africa & South America. Approximately 50% of the worlds supply of Yellow Diamonds comes from the Ellendale Mine in Australia. The Ellendale Mine is set to close in 2015. The impending closure of the mine is causing the prices of yellow diamonds to increase at unprecedented rates.
GREEN: Natural Green diamonds are amongst the most rare of the colours. The hue of the Green Diamond is created by natural exposure to Earths radiation. The prices of Green Diamonds vary greatly. Lighter hues are priced more reasonably, while Fancy Intense or Fancy Vivid varieties are very scarce and extremely expensive. The difference in price from one hue to another is much more notable in Green Diamonds than in other colours.
ORANGE: Orange Diamonds are also amongst the more rare of the colours available. Orange Diamonds have an aesthetic brilliance similar to that of Yellow Diamonds but are far more rare than the common Yellows. With this in mind, it is no wonder that Orange Diamonds are considered a prized nd to the worlds diamond enthusiasts. Fancy Vivid Orange Diamonds are extremely rare. The largest on record, known as The Orange is only 14.82 ct.
BLUE: Blue diamonds are mined in Australia and South Africa. They are the second most rare of the colours, behind only the Red Diamond. The level of color saturation in a Blue Diamond is determined by the amount of boron in its composition. Due to the extreme scarcity of Blue Diamonds they are amongst the most expensive of coloured diamonds available. As with Green Diamonds, the lighter hues are more affordable than those of the Intense or Vivid varieties.
BROWN: Brown diamonds are more commonly referred to as Cognac Diamonds or Champagne Diamonds. These diamonds are also among the more readily available and affordable colours. The leading producer of Brown Diamonds is the Argyle Mine in Australia. The Argyle Mine is set to close in 2018 or 2019 due to rapidly depleting production. With the closing of the Argyle mine in the not too distant future, it is quite likely that Brown diamonds will become less affordable as time wears on.
PINK: Pink diamonds garner the most attention in the media. This is largely due to the marketing initiatives taken on by Rio Tinto, the owner of the Argyle Mine. The Argyle Mine produces 90 % to 95 % of the worlds supply of Pink Diamonds. With the Argyle mine closing in 2018 or 2019 it is no wonder that Pink Diamonds have demonstrated the highest rates of return on investment over the past number of years. Although there are still a number of years remaining until the Argyle Mine closes, the number of carats mined each year is rapidly diminishing. It is expected that the price of pink diamonds will increase tenfold by 2020.
RED: The Red Diamond is the rarest of all natural coloured diamonds. Only a handful of pure Red Diamonds are graded as Fancy. Red Diamonds are the prized possession of the wealthiest of Diamond collectors. The largest Red diamond on record is only 5.11 ct. As with Pink and Brown Diamonds, the Argyle Mine is responsible for the majority of the worlds Red Diamonds. Accordingly the price of Red Diamonds is dramatically increasing each year, as we get closer to the impending closure of the Argyle Mine.
40%
20%
Annual Return %
This graph is based on the actual returns of a 1.59 ct Pink Diamond that increased in price by 996% over a 12 year period. This increase represents an average annual return of 83%. The points plotted on the graph are estimated annual prot percentages that would result in the 83% average annual return.
2006 2007 2008 2009 2010 2011 2012 2013
Growth in % terms from 2005-2011 Platinum Dow Jones FTSE100 Fancy Light Pink
80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 US Dollars 2006 2008 2010 2012 2013
Colourless, Pink an Yellow Diamond growth performance over the last past seven years Clear 1.00 carat D Colour VS1 Pink 0.50 carat VS/SI Yellow 2.00 carat VS1
A grading certicate providing ease of resale accompanies all diamonds that we recommend. Our diamonds are all graded by a suitable internationally recognized grading organization such as the Gemological Institute of America (GIA). How We Buy Low and Sell High: We have access to the best pricing available globally for Fancy Coloured Diamonds. At Paragon International we use our buying power to buy parcels of loose diamonds and pass the individual stone savings on to our clients to enable a lower price point when making the investment. At Paragon International we pay careful attention to our clients holdings and constantly monitor the auction and resale circuits for ideal liquidation opportunities. We use our creative investment strategies to maximize the resale prices and resulting prots of our clients portfolios. Matching Pairs: This is a simple investment technique implemented when possible. No two diamonds are identical, however when two diamonds are very similar in their grading reports, they are considered to be a matching pair. As such they can be resold at a higher value than the individual stones. Two diamonds making up a matching pair can be certied together resulting in a higher valuation and thus a higher resale value.
Invest:
Jewelry: Contrary to the belief of many, setting an investment quality diamond into Jewelry is benecial to the investment as a whole. Most importantly, setting the stone into jewelry increases the number of potential buyers for the diamond. This increase in demand naturally results in a higher resale value. At Paragon International we use our connections in the diamond industry to enable our clients to have their investment grade coloured diamonds set into jewelry at very low price points. This results in an overall value for the jewelry piece to be higher than the value of its parts (setting value and main diamond value). Online Resale: We can market our clients holdings via our website with use of online marketing and search engine optimization to bring high levels of web trafc to the items for sale. This service also collects invaluable information about the general public response to particular items. This information provides potential suggestions to increase demand and the resulting liquidity or liquidation value of our clients holdings. Auction: Often the highest price for diamonds can be garnered at auction. At Paragon International, where possible, we will arrange for our clients holdings to be placed up for sale at auction. We work closely with major international auction houses in organizing one to two auctions every year specically for the purpose of resale of our clients investments. It is possible at auction to signicantly increase the protability of your investments.
Closing remarks
Thank you for taking the time to meet Paragon International, Coloured Diamond Investment advisors with over 75 years of combined experience in the Diamond and Investment Services Industries. Our strategies and intimate knowledge of the nuances of the markets will give you the opportunity to reap the greatest benets from investing in Fancy Coloured Diamonds. Our connections in the jewelry and auction industries enable our clients to maximize the prots on their Coloured Diamond investments thus providing an incomparable edge for their portfolios. Our ability to acquire coloured diamonds at unbeatable prices combined with our sound investment advice and creative investment strategies makes Paragon International the obvious choice for the management of your Coloured Diamond Investment portfolio. We look forward to a long and prosperous partnership in your nancial future.
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488 Huron Street, Toronto, Ontario M5R 2R3, Canada - info@paragoniwm.com - www.paragoniwm.com Tel: +1.416.548.5636 - Fax: +1.647.477.7282 - Toll Free: +1.855.366.5636