Back Arrow Back

Is $3.3M Price-Per-Carat Truly A Record-Breaking Sale For A Blue Diamond?

By The FCRF Team | 24.11.14
Is $3.3M Price-Per-Carat Truly A Record-Breaking Sale For A Blue Diamond?

Sotheby’s latest auction in New York on November 20th set a new auction record for price per carat for any diamond. Onlookers may contend that the sale of the rare Fancy Vivid Blue diamond will affect the market price of blue diamonds, but this stone should not set a new benchmark for blues – it is a stone with exceptional qualities and it remains in a class by itself.

Mellon’s pear-shaped, 9.75 ct, Fancy Vivid Blue, VVS2 (potentially IF) diamond sold for $3,348,205 per carat and was the top lot of the auction. The stone’s estimate was $1.0-$1.5M per carat, which indicates that the stone sold for more than double its high estimate.


According to The Fancy Color Diamond Index, blue diamonds appreciated 161.4% over the last decade, with Fancy Vivid Blue diamonds appreciating in value by as much as 172.3%. A mere 29% of blue diamonds are flawless or internally flawless and only 1% are designated Fancy Vivid.[1. John M. King, Gems & Gemology In Review: Colored Diamonds (Stevens Point: Worzalla, 2006) 159-162.]


In fact, the realized price of the Mellon diamond is the minimum price an end consumer would have to pay for a blue diamond sold by a luxury jewelry brand. Public record-breaking prices only indicate prices at auctions – they do not incorporate actual retail prices, where the majority of transactions occur. Auction prices for fancy color diamonds are occasionally lower than what end consumers would pay in retail, but this usually implies that the stone needs to be recut or improved in some way.


Investment potential creates a real demand for exceptional stones. The Mellon diamond’s undertone[2. Undertone: the presence of a unique tint in a color.] is truly spectacular and its overall aesthetic cannot be compared to the values of other blue diamonds currently in the market – more specifically, Vivid Blue diamonds should not see a significant price increase because of this sale. Based on the quality of its color, we are led to believe that this stone likely originated in Brazil, where extraordinarily deep blues were unearthed in the past. Conclusively, this stone is highly unusual and its price should not reflect the state of the blue diamond market.


The auction record for any diamond price per carat was set by a 14.82 carat Fancy Vivid Orange diamond sold for almost $2.4 million in November 2013. The Wittelsbach Diamond set the previous auction record for any blue diamond for a total of $24.3M in December 2008.


The article has been sent to your email address. Enjoy!

People who read this article, also read:
FCRF Insights
The Quiet Elegance of Wealth
As we navigate the currents of the modern era, an interesting evolution is taking place in the realm of wealth and affluence. The time-worn tradition of publicly parading one’s wealth is fading into the background, giving rise to a new phenomenon—the concept of ‘stealth wealth.’ At its heart, stealth wealth champions the virtues of privacy, […]
FCRF Insights
One in 10,000??
The issue of Fancy Color Diamonds’ rarity has never really preoccupied the geological community. This may be because the industry relies on rough numbers, so it may not be necessary to chase down these elusive figures. Hypothetically speaking, to come up with a rarity estimate of fancy color rough diamonds, a ###truncate### centralized body would […]
x close

To continue reading this article


Shopping Cart

You cart is empty

The FCRF App is now available for
Download Button
Continue To Website