b'THE STATE OF THE THE JEWELRY THE COLOREDMAJORS DIAMOND DESIGN STONE MARKETINDUSTRYsurpassing the pre-sale estimate of $45 million by a diamond-paved country mile.Next up is The Pink Legacy, an 18.96-carat rectangular-cut fancySHINING AT AUCTIONvivid pink, sold to Swatch Group-owned jeweler Harry Winston for $50.4 million at Christies Geneva in November 2018. What do the top five most expensive Renamed The Winston Pink Legacy, it is the most expensive pinkjewels ever sold at auction diamond ever sold at Christies and set a world auction record for high- have in common? They est price-per-carat for a pink diamond, which was $2.7 million per carat. are all natural colored The fourth highest-grossing auction jewel of all time is the Bluediamonds.Moon, a 12.03-carat fancy vivid blue diamond sold for $48.5 million at Sothebys Geneva jewelry sale in November 2015. Purchased by1. CTF Pink Star a Hong Kong billionaire for his young daughter, Josephine, the dia- 59.60 caratsmond set the price-per-carat record for a blue diamond, which wasSold at: Sothebys Hong Kong,$4 million per carat. April 2017The Graff Pink is No. 5, a 24.78-carat fancy intense pink diamondPrice paid: $71.18 million, or $1.2 millionthat sold for $46.2 million at Sothebys Geneva sale in Novemberper carat2010.The diamond set the world auction record for a fancy2. Oppenheimer Blueintense pink diamond at $1.8 million per carat.14.62 caratsPRICING TRENDS Sold at: Christies Geneva, May 2016The best of the best natural colored diamonds canPrice paid: $57.5 million, or $3.9 millioncommand astronomical amounts of money at auction,per caratskyrocketing past pre-sale estimates time and time again.The broader market, however, sees more of a moderate and3. Winston Pink Legacygradual rise in pricing, says the Fancy Color Research Foundations Chen, noting general market stability. 18.96 caratsOverall, prices of fancy color diamonds slipped 0.1Sold at: Christies Geneva, November 2018per cent in the second quarter of 2019. Price paid: $50.4 million, or $2.7 million per caratPink diamonds were the top performers, with prices for the gemstones rising 0.44. Blue Moon of Josephinepercent while blue diamonds dipped about12.03 carats0.3 percent. Sold at: Sothebys Geneva, November 2015Looking ahead, Chen says: AlthoughPrice paid: $48.5 million, or $4 million per caratfancy color diamonds are not subjected to common pricing trends, our years of experi-ence gives us an option to make an educated5. Graff Pinkestimation for the next few years. 24.78 caratsIn the worst-case scenario, we wont see anySold at: Sothebys Geneva, November 2010change at all in pricing, or, alternatively, we will witness aPrice paid: $46.2 million, or $1.8 millionmoderate increase in all colors. per caratOnly an extreme crisis could cause prices to plummet, she says, which is exactly what happened in 2008 at the onset of the global financial crisis.When the U.S. Congress rejected the bank bailout bill in Septem- and current president of the Natural Color Diamond Association.ber 2008, the Dow Jones Industrial Average suffered the largest pointNobody, at any level, should buy a natural diamond or natural drop in history up until that date, taking fancy colored diamondcolored diamond, whether $1,000 or $15 million, on the premise that prices down with it. it will appreciate in value, he says.However, they bounced back by the end of 2009, says Chen. You cant be intuitive about what the future holds. You can have a In 2010, they made significant moves in the other direction; prices rosegood guess, but you never really know. Past performance is an indica-as a result of Chinese buyers who began investing heavily in natural col- tor, but its not a guarantee of future performance.ored diamonds, viewing them as a secure asset class and a store of wealth. Bronstein is certainly not alone in his views on colored diamonds and promises of future value. FOR THE LOVE OF THE STONES Earlier this year, New Orleans Saints quarterback Drew Brees won a Referring to a natural colored diamond as an asset class is the equiv- $6.1 million judgement against a San Diego jeweler, Vahid Moradi of CJ alent of nails on a chalkboard to Alan Bronstein, CEO of Aurora GemsCharles Jewelers, after suing the jeweler for selling him colored diamonds 48 STATE OF THE MAJORS 2019'