Are Natural Diamonds a Good Investment? Here's What You Need to Know

If you're planning to spend $10,000 or more on a natural diamond, you're not just buying jewelry—you're making a decision that blends emotion with long-term value. But do natural diamonds actually appreciate? Can they be considered investments? The short answer: sometimes, yes. The long answer depends on what you buy, how you buy it, and where. Let’s break it down. 

The Case for Investing in Natural Diamonds 

Natural diamonds are rare and finite. While lab-grown diamonds continue to grow in popularity for affordability, it’s the natural ones—formed over billions of years—that hold legacy and scarcity value. Over time, certain stones can retain or even increase in value, especially if they check the right boxes.  

Which Diamonds Hold Value? 

• Cut: Always go for Excellent or Ideal. A poor cut reduces both beauty and resale potential. 
• Carat Weight: Stones just below key thresholds (like 1.90ct vs. 2.00ct) offer smart savings now with resale appeal later. 
• Color & Clarity: Stick to G–H color and VS1–VS2 clarity. These look clean and cost less than flawless stones. 
• Shape: Timeless shapes like Round, Oval, and Emerald have strong demand and resale markets. 
• Certification: GIA or nothing. Period.  

Avoid These Common Misconceptions 

• Bigger isn’t always better. A well-cut 1.80ct can outperform a poorly cut 2.00ct. 
• Not every diamond appreciates in value. Buy quality and rarity, not just size. 
• Lab-grown diamonds are not investment-grade. Their resale value is minimal today. 

Bonus: Fancy Colors Can Be a Goldmine (If You Know What You're Doing)

Natural pinks, blues, and yellows—especially with vivid intensity—can be extraordinary investments. But they require expertise and patience. This is not for casual buyers. 

If you're thinking long-term and shopping for a natural diamond, you're already ahead of the curve. By focusing on the right specs and partnering with a transparent jeweler, your purchase can be as smart as it is sentimental. 

Watch the below video to learn what makes a diamond a smart long-term investment and how to buy one confidently.