Coloured Diamonds explode on Scene

Two huge coloured diamonds, the star attractions at jewel auctions in Geneva in the coming days, are expected to fetch tens of millions of dollars and possibly set world records.

The anticipated sales prices for the stones are part of a trend that has seen the market for coloured diamonds explode, with values more than doubling over the past two decades.

 

"The biggest reason is the scarcity of these coloured diamonds," said Rahul Kadakia, the international head of jewellery at Christie’s.

While classic white diamonds once made up the prize lot at jewel sales, "there is a little bit of softness in the white diamond market", Mr Kadakia said.

The Sotheby’s blue diamond, which goes under the hammer on Wednesday, has been tipped as a world record-beater, with the auction house listing its projected sale price at $35-$55m.

The flawless Blue Moon stone was discovered in SA in January last year.

Sotheby’s is aiming to beat its own record, set in 2010 in Geneva, when a 24.78-carat pink diamond sold for $46m.

Christie’s puts its prized jewel up for sale on Tuesday.

The cushion-shaped stone, dubbed In the Pink, is estimated to sell for $23-$28m, but Mr Kadakia said the price could be even higher, beating the per-carat record for such a stone.

 

A five-carat stone sold for more than $10m in 2009.

Scottish actor Sean Connery is selling two jewels at Sotheby’s next week, including a 15.4-carat pink-and-orange diamond, which could fetch above $2m.

Among the other exceptional pieces set to go under the hammer is an emerald-and-diamond necklace designed by Harry Winston in 1959 and previously owned by the American socialite and jewellery collector, Dolores Sherwood Bosshard.

Mr Kadakia said buyers were increasingly aware that, at the elite level, precious stones had proven to be sound investments. "A diamond that was making $200,000 a carat is now making $2m a carat. That hasn’t happened in (any) other asset class, or any other investment," he said.

AFP