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Photo: Sotheby’s
Pink diamonds have fascinated the world since they were discovered in India during the Mughal Empire. The stuff of legends and believed to possess magical powers, these extremely rare gems lived only in the domain of the royals.
Some magnificent historical examples include the 182-carat Daria-i-Noor, the world’s largest known pink diamond, and the approximately 60-carat Noor-ul-Ain, which boasts an almost identical colour and clarity to the former. Today, both belong to the crown jewels of Iran.
While modern mine discoveries and production have democratised the ownership of pink diamonds, their prices have soared remarkably over the years. This is especially so following the 2020 closure of Australia’s Argyle mine, which had been producing them since 1983. A Sotheby’s Asia jewellery specialist sheds light on their market dynamics and timeless allure.
Why are pink diamonds so special?
The Williamson Pink Star is a 11.15-carat fancy vivid pink diamond. (Photo: Sotheby’s)
Throughout history, pink diamonds have always been regarded as precious treasures. They were first discovered in India during the early 17th century in the Kollur mine within the Guntur district of Andhra Pradesh, part of the legendary Golconda kingdom known for its flawless white diamonds. Since their discovery, pink diamonds have also been mined in Brazil, South Africa, Tanzania, Canada, Australia, and Russia.
They are among the rarest occurrences in nature and are mined in extremely limited quantities. Their scarcity, beauty, and historical significance make them highly coveted by collectors and investors alike.
Tell us more about their rarity.
Of all diamonds submitted to the Gemological Institute of America (GIA) annually, no more than 3 per cent are classified as coloured diamonds, and less than 5 per cent are predominantly pink. While red diamonds, which are part of the family of pinks, are even rarer, their smaller yields make pink diamonds more frequently traded at auction due to their desirability.
What kind of impact did the closure of Australia’s Argyle Mine have?
It is thought that around 80 per cent of the world’s pink diamonds originated from the Argyle mine in Kimberley, Western Australia. Of the mine’s 20 million carat annual output, only 0.1 per cent are classified as pink diamonds. Since it’s shut down, we’ve observed a rising demand for pink diamonds due to their limited supply.
The Eternal Pink is a 10.57-carat fancy vivid purplish pink diamond. (Photo: Sotheby’s)
Clients are well-educated about their rarity and seize the opportunity to own one, regardless of size. The value of pink diamonds should continue to grow since the mine’s closure, as there is no new output and a higher cost to replace what is sold.
How have their prices gone up through the years?
These rare-coloured diamonds are considered a hedge against market fluctuations. For instance, in 2009, the per-carat price of fancy vivid pink diamonds was around US$2 million (about US$2.91 million or $3.98 million in today’s value) and has been growing consistently.
However, recent exceptional collectables hitting the market have pushed the price per carat more than twofold. At Sotheby’s, the 11.15-carat fancy vivid pink Williamson Pink Star closed at a record-breaking US$5.2 million per carat in October 2022, while a 10.57-carat fancy vivid purplish pink diamond named The Eternal Pink sold for US$3.3 million per carat in June 2023.
The honour of the world’s largest and most expensive pink diamond goes to the CTF Pink Star, a 59.60-carat oval-shaped, fancy, vivid pink, and internally flawless diamond. It went for US$71.2 million at a Sotheby’s Hong Kong auction in April 2017. It set a world auction record for any diamond or piece of jewellery ever sold.
How often do pink diamonds show up in your auctions?
The CTF Pink Star, which sold for US$71.2 million, is the world’s largest and most expensive pink diamond. (Photo: Sotheby’s)
While it may seem that special pink diamonds frequently appear in auctions, large ones are very rare. Each season, auction houses strive to secure these special gems, providing a platform for global collectors to bid and achieve the prices they deserve.
The popularity of pink diamonds ensures continued demand, and Sotheby’s consistently offers various diamonds throughout our auctions in different regions. Many clients also aim to buy a pink diamond to complete their collection.
Surely, not all such diamonds are made equal. What are Sotheby’s selection criteria?
We consider each piece’s desirability, beauty, and value before accepting them. When we are fortunate enough to secure the cream of the crop, you will see those special pinks making headlines. We also accept other beautiful and rare pink diamonds at competitive estimates, allowing clients and collectors to enjoy them as jewellery.
There are pinks, and then there are reds.
Red diamonds are often perceived as sitting on a thin line between very strong pink and red colours. However, when you look at a red diamond, you will see the red without any doubt. Some may say it takes on the colour of a ruby, but only with the lustre of a diamond and a purer clarity.
Fancy red diamonds are a pleasant crimson colour without modifications. Since red diamonds don’t usually come in large sizes, pink diamonds have taken the spotlight in our auctions.
Do you think Asians view gems and jewellery differently from the West — more as pure investments and not something they’d wear?
In Asia, we tend to see more clients prioritising investment. The value a piece retains over time is a primary consideration when buying high-value jewellery. We have clients with very sophisticated tastes for pieces to wear, from gemstones to antique jewellery.
Our specialists enjoy exchanging insights with clients, some of whom have been collecting for over 20 years. We also see clients’ tastes become more refined through their collecting journey — it is a process of self-discovery.
