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Why the Pedigree of
Your Diamond is Suddenly Very Important
New issues are emerging within
the jewelry industry regarding the pedigree of diamonds... issues about
which you should be aware.
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SYNTHETIC DIAMONDS
In the 1960’s General Electric
developed technology to produce synthetic diamonds. Production
costs, however, exceeded the cost of natural diamonds and GE’s
synthetic diamonds never became commercially viable. Recent
research from Russia has resulted in economically viable synthetic
diamond production technology. |
As of mid- 1999 a firm in
Massachusetts has been distributing synthetic Russian diamonds. A
Florida based company began creating synthetic gem quality diamonds in
August of 1999. The history of synthetic gems shows that after
development their price usually starts selling at a significant discount
from the natural and continues to fall with the passage of time while
natural gem values typically rise over time. A new synthetic diamond
manufacturing plant is reported being built in Gainesville, Florida with
an estimated potential capacity to produce over 35,000-one carat
diamonds a year. As of this writing, fewer than 1% of all American
Jewelers have even seen a synthetic diamond and only a small percentage
of those are qualified to test and identify a synthetic diamond. This
situation will certainly change during the next several years. In the
meantime, knowing the pedigree of a diamond is more important than ever.
Synthetic diamonds are so new their discount from natural has yet to be
established. It is estimated that discounts may initially be 50% and
greater.
Cross’ Position
We sell only natural gems. All of our Cross
Ultimate Ideal Cut diamonds are guaranteed 100% natural. We know the
pedigree of our diamonds from the mine, to the cutter, to our store and
we guarantee it in writing.
COLOR ENHANCED DIAMONDS
A new secret process developed by General Electric
whitens offcolored diamonds. While GE has promised to label all diamonds
with a microscopic inscription, the Gemological Institute of America has
already seen instances where the label has been removed prior to seeking
certification. Rumors have also circulated recently that the Russians
may have developed artificial whitening techniques years ago which
places Russian diamonds in question as to whether their diamonds possess
a natural white color or have been altered. At present, most color
enhanced diamonds are undetectable by conventional testing techniques..
The Gemological Institute of America is working on new detection
techniques. Revelation of this whitening process is so new that the
discount for artificially whitened diamonds has not yet been
established. It is speculated that it may be from 15%- 30% off.
Cross’ Position
The color of our white diamonds is 100% natural
because we know the pedigree of the diamond from the mine to our cutter,
to our store. We guarantee the whiteness of all of our Cross Ideal Cut
diamonds to be 100% natural.
Note: Cross does carry natural diamonds which have
been color enhanced to fancy colors. Green, blue, pink, orange, yellow,
teal, and purple... all are clearly marked as to the origin of their
color. All of our fancy-colored enhanced diamonds are fully disclosed
and accompanied by documentation attesting to the origin of color.
CLARITY ENHANCED DIAMONDS
Diamonds which previously had visible cracks and
fractures which break the surface are now being filled with a glass-like
substance making the clarity grade appear several grades better.
Fracture filling is potentially undetectable under the microscope,
resulting in some jewelers unknowingly selling clarity enhanced
diamonds. Clarity enhancement is at risk of degradation and reversal as
a result of standard jewelry repairs, and even exposure to ordinary
sunshine’s ultraviolet radiation which can cause clouding. The apparent
savings of clarity enhanced diamonds - 20% to 40% off. (See our 8-page
position paper on clarity enhancement.)
Cross’ Position
The inherent short and long term risks associated
with clarity enhanced, fracture filled diamonds is unacceptable. Cross
will not sell fracture filled diamonds.
COUNTRY OF ORIGIN
The jewelry industry is doing everything possible
to certify diamonds as coming from countries which are conflict-free. A
system of certification known as the Kimberly Process has been
established where rough diamonds are boxed, sealed, and certified by
legitimate governments of the country of origin. Certification follows
the diamond through trading, cutting, and final distribution. This is an
extraordinarily detailed process unprecedented in any other industry to
guarantee, as much as possible, the purity of the diamond and legitimacy
of the country of origin. While less than 2% of all diamonds were at
issue and far less now, in truth, no American jeweler can absolutely
guarantee any diamond sold is conflict-free unless it is one of the new
Canadian certified diamonds. If you are interested, we can obtain
certified Canadian diamonds. (Prices run typically 10% above other
sources.)
Cross’ Position
We and the jewelry industry are doing everything
possible to insure all diamonds are conflict-free.
LASER DRILLED DIAMONDS
Laser drilling is a technique used to drill one or
several microscopic holes into a diamond, flush out a dark inclusion to
improve the appearance of a diamond, often raising the apparent clarity
grade of the diamond and making it saleable. The process leaves small
open drill holes in the surface of a diamond, not generally noticeable
to the trained eye except under the microscope. Soon after laser
drilling was introduced, the jewelry industry insisted that the seller
disclose to a buyer the presence of drill holes in the diamond. This
became standard industry practice. In the mid-1990’s the Federal Trade
Commission rewrote the guidelines governing the jewelry industry. The
new guidelines characterized laser drilling as merely a part of the
fashioning process and therefore something that was no longer necessary
to disclose. As of this writing, the Federal Trade Commission has been
petitioned by the Jewelers Vigilance Committee to mandate disclosure of
laser drilling. Currently and for several years it has been legal to
sell laser drilled diamonds without disclosing the process and its
effect on the value of the drilled diamond. In the intervening years,
10’s of thousands of drilled diamonds have been sold, many potentially
without disclosure to an unsuspecting public. Technically it is possible
to refill laser drill holes with the fracture filling techniques making
the drill holes virtually invisible. Typically laser drilled diamonds
sell for 20%- 50% less than their apparent after drilled grade.
Cross’ Position
We will not sell laser drilled diamonds.
WEB DIAMONDS
One of the maxims of buying and investing is that
if something sounds too good to be true, it probably is too good to be
true. Which brings us to the internet and web diamonds. Can you shop
on-line and save big? Perhaps in airline tickets, books, and computers.
In diamonds?... not really. Throughout the jewelry industry, fine
quality diamond prices are extremely competitive and margins are razor
thin. A diamond with a deep discount needs to be questioned. There are
too many variables and too many questions to trust an unknown entity to
provide your fiancée with the diamond that is meant to last a lifetime.
After you have given your credit card number to charge your account
$5,000; or $10,000 who or what do you go back to if there is a quality
or authenticity question? Will the website be around in two years... or
even two months? Slick 60-day wonder websites with all the bells and
whistles are springing up everywhere. Consider carefully what it is that
you may really be buying if you shop for a web diamond. If you consider
the issue of clarity enhancement, color enhancement, laser drilled
diamonds, and synthetic diamonds, to mention only four of the issues
which can significantly impact the value of a diamond, it is more
important now than ever before to know who you are buying your diamond
from and the pedigree of the diamond you are buying. It’s important to
do business with a firm that is solidly rooted within your community, a
firm that has been around for generations, a firm that is likely to be
around for many more generations.
Know Your Jeweler...
Ask about a physical presence. Ask if you can visit
their location.
Ask about how long they have been in business.
Ask if they are willing to guarantee natural
origin. Ask how they are certain their diamonds have not been color
enhanced or altered in any way.
All Cross Ultimate Ideal Cut Diamonds are
guaranteed to be 100% natural and free of any artificial enhancement...
and we put it in writing.
DIAMOND PEDIGREE & VALUE
ISSUES
New value issues are emerging within the jewelry
industry regarding the pedigree of diamonds… issues about which you
should be aware.
The same diamond
after alteration |
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N color (E color after
enhancement) has a touch sleepiness Apparent value after
alteration:
$10,609.00
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Probable sale price after alteration:
$7,400.00 |
Natural Diamond
without alterations |
|
| 1 carat |
| Ideal Cut |
| E Color |
| VS1
Clarity |
| Value:
$10,609.00 |
Now more than ever before it is vital to
know the pedigree of the diamond you are considering for purchase.
As these new concerns regarding natural versus
synthetic emerge, Cross Jewelers’ position is that we will only purchase
diamonds from sources that can meet our pedigree standards.
*Synthetic Diamonds
Currently tested by lingering fluorescence and
definitive inclusions. High clarity and possible advances in
manufacturing may render these tests obsolete at any time. Research
continues for development of a simple definitive test.
**Color Altered or Enhanced Diamonds
Currently there are no absolutely definitive tests.
Strong indicator tests however exist showing high probability for
alteration of color. One manufacturer of this process places an
inscription on girdle identifying color enhancement. Research continues
for development of a simple definitive test.
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