If you have been searching for engagement rings for a while, you must have come across the term ‘loose diamond’. As the name implies, this is a diamond that is not mounted on a piece of jewelry or set in an engagement ring setting. If you have decided to buy loose cut diamonds, it must be said that you are prudent.

There are a couple of main reasons why going down the loose diamond route is a wise option. Firstly, it gives you the flexibility to set the rock in whichever way you want. You only need to seek the services of a custom designer or jeweler to make the best possible piece for your money. When you choose to go with a diamond-set engagement ring, you are deprived of that option. You only get what you pay for, although this is not necessarily a bad option. It is just that buying a loose diamond is a wiser option for an investor. Your diamond’s resale value will depend only on it. If it is set on a ring, your metal band or other elements might just influence that value.

Tips for Investors

Grading and different diamond cuts affect the price. The fire ensuing from the rock depends most on the way it is cut into shape – the ideal one should neither be flattened nor increased too much in height.

Facets have to be the same in proportion to keep light leakage in a diamond from happening. Emerald, cushion, princess and round cut diamonds are some of the commonly sought ones. You can tell the stone’s cut quality via its grade. Choose “very good” or “excellent” ratings; anything less, and your stone might just not satisfy your expectations.

You also have to look at the clarity before purchasing a diamond. Flawless graded diamonds are the ideal ones for investment. Diamonds that fall under this grading category do not have any inclusions that are noticeable under 10x magnification. For investment purpose, you should go for at least VVS2 clarity grade. VVS-graded diamonds have slight internal flaws, which are not easy for an adept grader to spot under 10x magnification. If that professional cannot spot it using that magnifying device, how can an untrained and unaided eye spot the inclusions?

The grades are a common way to categorize diamonds, and flaws in two rocks under the same category can be different from one another. So, you should inspect each diamond to make sure that you choose the best available option.