Diamonds are often associated with luxury and extravagance due to their rarity and brilliance. The D color grade is the highest color grade for diamonds, indicating a completely colorless stone. As the rarest and most desirable type of diamond, D color diamonds command extremely high prices compared to other color grades. But just how expensive are they, and why do they cost so much more than lower color grades?
Diamond Color Grading System
The Gemological Institute of America (GIA) grades diamond color on a scale from D to Z, with D being completely colorless and Z having a noticeable yellow or brown tint. Most diamonds used in fine jewelry range from D to J color. Here is a quick overview of the GIA diamond color scale:
| Color Grade | Appearance |
|---|---|
| D | Colorless |
| E, F | Near colorless |
| G-J | Faint yellow |
| K-M | Very light yellow |
| N-R | Light yellow |
| S-Z | Yellow |
As you move down the alphabet from D, the yellow hue becomes more apparent. But only a trained eye can detect the subtle differences between D, E, and F color grades. To the untrained eye, they will all look colorless.
Rarity of D Color Diamonds
D color diamonds are exceptionally rare. They make up less than 2% of all naturally occurring diamonds. The majority of diamonds mined around the world fall into the G-J near-colorless ranges. Out of all the diamonds submitted to the GIA each year, less than 0.1% receive the top D color grade.
The rarity of D color diamonds is due to the rigorous geological conditions needed to produce a stone with no hints of color. Most diamonds contain small amounts of nitrogen impurities that cause a yellow or brown tint. D color diamonds have negligible to no nitrogen present. They come exclusively from deposits of pure crystallized carbon formed deep underground over billions of years.
High Demand for D Color Diamonds
The extreme scarcity of D color diamonds creates high demand, especially among luxury buyers. Consumers want the best, and D color is the highest grade a diamond can achieve. These exceptional diamonds appeal to the same ultra-wealthy customers who purchase top quality premium goods across all consumer categories.
D color diamonds command the steepest premiums over lower color grades. According to the Rapaport Diamond Report, D color diamonds on average trade for 15-25% more than E color, and 50-100% more than F. As color worsens, the discount increases exponentially. By the time you reach J color, the discount from D is 80-90%.
The extreme preference for D color translates directly into higher prices. When supply is scarce and demand is unlimited, prices rise.
Added Value of D Color
D color diamonds possess the most sparkle and life of any diamond. The complete absence of color enables maximum light reflection and dispersion. Skilled diamond cutters can craft D color diamonds to optimal proportions, showcasing the most impressive brilliance and fire.
Diamonds with lower color grades often appear dull and lifeless in comparison. As color grade declines, cutters must compensate by lessening certain angles to hide the tint. This results in reduced light performance. D color diamonds permit the best possible cut to fully unlock a diamond’s light.
The added beauty and sparkle boost the appeal and value of D color diamonds. Lower color grades cannot replicate the same visual appeal. D color diamonds will embody the highest amount of “fire,” scintillation and brightness.
Perfect Proportion Symmetry
The finest D color diamonds also tend to have excellent polish and symmetry. Cutters exert maximum effort to cut and polish D color diamonds to ideal parameters, showcasing the best that nature has to offer. Diamonds with lower color grades do not warrant such time and effort since the color limits potential.
Symmetrical patterning, aligning facets, and minimizing the faint lines caused by tiny polishing wheel grooves will enhance the beauty of D color diamonds. Well-crafted D color diamonds with near perfect optical symmetry command even higher premiums.
Flawless Clarity
The vast majority of natural D color diamonds are Type IIa diamonds, which have exceptional chemical purity. These diamonds not only lack color-causing nitrogen, but also have the fewest imperfections and inclusions. Over 95% of all flawless clarity diamonds carry a D color grade.
Pairing flawless clarity with a D color grade makes the diamond exceptionally rare and valuable. A diamond that achieves D color and FL (flawless) clarity will fetch prices far above a D color with lower clarity. In many cases, the clarity has an even greater impact on price for D color diamonds. A 1 carat D VS1 may cost 50% less than a 1 carat D FL stone.
Large Carat Sizes
Extra-large D color diamonds are the epitome of rarity. It is extremely unusual to find a D color diamond over 3 carats. The number of diamonds mined drops exponentially as carat weight increases. Over 99% of all diamonds are under 1 carat. At 5 carats, your chance of finding one is 1 in 150,000.
Larger diamonds demand higher premiums because of supply limitations. But D color magnifies those premiums even further. A 5 carat D color diamond could auction for over $5 million. At 10 carats, you have entered the realm of multi-million dollar diamonds sought after by royalty.
In 2016, a 10.10 carat D color flawless diamond sold at auction for close to $10 million. In this elite size range, D color diamonds are the absolute pinnacle. Even billionaires may only obtain one in a lifetime.
Branded Diamonds
Certain diamond companies have staked their reputation on supplying only the finest D color diamonds. Brands like Tiffany & Co., Harry Winston, and Graff specialize in diamonds with D color and above. Consumers pay a premium for these branded diamonds that come with strict quality guarantees.
Being able to purchase a D color diamond from an iconic luxury jeweler brings added provenance and value. Buyers can rest assured that diamond specialists have verified the D color grade and perfect quality. Premier designers will maximize the beauty by setting these diamonds in exclusive settings.
Investment Potential
Like other top tier luxury collectibles, D color diamonds hold long-term value and appeal to investors. Demand continues to grow while supply is fixed. As more regions experience economic development, demand for diamonds accelerates.
D color diamonds have outperformed many traditional financial market benchmarks over the past decades. Investors buy these top diamonds knowing they represent lasting value. The combination of extreme rarity and desired investment properties propels prices upward.
Price Impact of Cut and Clarity
Within D color diamonds, prices fluctuate most according to cut grade and clarity. Well cut D color diamonds with higher clarity will be more expensive. Diamonds cut to maximize brilliance and fire, such as with an ideal or excellent cut grade, drive prices higher compared to average or poor cuts.
Clarity has an even greater impact on D color diamond prices. As stated earlier, a 1 carat D color FL will cost at least 50% more than a D color VS1 clarity. Since over 95% of all flawless diamonds are D color, this combination raises prices significantly. If the same diamond also has an excellent or ideal cut, prices escalate even more.
Average Cost of 1 Carat D Color Diamonds
The Rapaport Diamond Report provides the average retail price for 1 carat D color diamonds by clarity:
| Clarity | Price |
|---|---|
| IF (internally flawless) | $23,000 |
| VVS1 | $15,500 |
| VVS2 | $13,800 |
| VS1 | $11,200 |
| VS2 | $8,600 |
As you can see, D color diamonds with higher clarity ratings are significantly more expensive. At online retailers, you may find prices discounted 15-30% below Rapaport values. Brick-and-mortar stores tend to align with Rapaport prices more closely.
Cost of Custom Designs with D Color Diamonds
When set by premier designers into exclusive jewelry pieces, D color diamonds become even more valuable. Unique custom settings crafted from platinum and gold will add $5,000-$50,000 or more to the total price, depending on the intricacy and labor required.
High-end retailers like Tiffany & Co. are well known for delicate designs that maximize light performance. Their premium D color diamond rings and necklaces often cost 2-4x the price of the center diamond itself. Bespoke designs allow them to charge upwards of $100,000 for jewelry containing 2-3 carats of D color diamonds.
Record Diamond Prices at Auction
The most expensive D color diamonds are those that achieve record sales at public auction. Diamonds with perfect grades and extraordinary size fetch 8-figure dollar amounts from wealthy buyers looking to procure the best of the best. Some record D color diamonds sold in recent years include:
– The Pink Star (59.60 carats) – $71 million in 2017
– The CTF Pink Star (59.60 carats) – $83 million in 2022
– The Winston Blue (13.22 carats) – $23.8 million in 2014
– The Oppenheimer Blue (14.62 carats) – $57.5 million in 2016
– The De Beers Millennium Jewel 4 (10.10 carats) – $10 million in 2016
These diamonds represent a tiny fraction of 1% of all diamonds in existence. Their prices reflect the absolute pinnacle of diamond value.
Conclusion
D color diamonds occupy the very top tier of diamond quality, accounting for under 2% of natural diamonds. Their unrivaled colorlessness, brilliance, and extreme rarity result in very high prices, especially once you move above 1 carat sizes. While online retailers may offer discounts, D color diamonds at retail still average $10,000+ per carat for 1 carat stones. Luxury jewelers charge far higher premiums for custom designs using D color center stones. Records are constantly being shattered at diamond auctions, where individual D color diamonds can sell for tens of millions. For diamond lovers, D color represents the ultimate achievement of perfection.
