Archive for September 2013

 
 

The Difference Between Diamond Lab Reports – Part II

Last week we wrote about a recently conducted study which aimed at comparing the differences in grading standards between different diamond labs. Essentially, the conclusion was overwhelmingly clear that certain labs Lab Reportshave extremely lax standards which often showing variances as much as four grades on either clarity, color, or even cut. Although results may vary from time to time, this study was more a question of the consistency in grading from each lab.

But what does this mean for you? Here’s your answer.

Diamonds are valued based on wholesale price lists. These lists give average diamond prices based on their grade. As you can imagine, there can be a significant difference in value between two diamonds of  different grades. To make this clearer, let’s compare the results of one of the tests shown in our last article and compare what the differences in value would be.

Lab Report Test10

GIA: The full retail replacement value of the diamond using the grade on the GIA lab report would be $9300.00.

EGL Israel: The full retail replacement value of the diamond using the EGL Israel lab report would be $15,100.00.

That being said, even at a significant discount, the same diamond using the EGL lab report is tremendously overpriced. It should be noted that diamonds with EGL lab report are also discounted at the wholesale level, but in the end, the retailer and the consumer has increased odds of overpaying; and typically, they do.

Diamond GradingDoes this mean you shouldn’t buy diamonds because they have an EGL lab report? Not at all. However, a trusted jeweller is one who discloses these types of inconsistencies and shows you what the diamond really is, and then evaluates it for what it’s really worth. Moreover, a trusted jeweller should be using a standard more consistent with GIA’s standard and isn’t afraid to get a diamond properly graded if he/she doesn’t agree with a report.

Always remember:

–          A lab report does not tell you whether a diamond is beautiful or not.

–          Two diamonds with the same grade can have very different valuations.

–          Lab reports are strictly opinions, not certifications.

Kind regards,

 

The La Mine d’Or Family

The Differences Between Diamond Lab Reports – Part 1

A recent study was done regarding the differences between different labs and their diamond grades. If you’ve ever spoken to us or read our blog, you’ll know that we constantly advocate that no two diamonds are created equal, and that even though two diamonds can be graded exactly the same on paper, one can be worth twice as much as the other just by the way it looks. That being said, not all labs are created equal either.

Just like different jewellers have different standards, different labs have different standards as well. In this study, ten diamonds were sent to the same group of labs for grading. Here are the results.

Lab Report Test 1 and 2

Lab Report Test 3

 We’ll refrain from posting every single result; however, if you’re interested in seeing the entire set of results, please email us at info@laminedor.ca. But just in case you’re not yet convinced at the differences in consistency between these labs, have a look at the following results:

Lab Report Test10

It’s important to understand that lab reports are only opinions; just because a stone is graded by GIA as an SI1 clarity, F color, and excellent cut doesn’t necessarily mean it’s a nice stone. You have to see it.

Moreover, every jeweller has their standards. He/she should be able to show the differences between each diamond you’re selecting and then be able to properly explain the differences in value for each. In the end, you make the choice with a full understanding of the diamond you’re purchasing.

In Part II of this series, we’ll be talking about the differences in value which can be caused by inaccurate grading and what that means for you.

Kind regards,

The La Mine d’Or Family