The new fine jewelry company is a leader in rare fluorescent stones.
All diamonds shimmer when light hits them. Under master hands, they are cut into interesting shapes that spark joy. Gems from Luminous Diamonds, a new fine jewelry brand, however, have an attribute that many precious stones don’t: They glow.
Luminous Diamonds’ parent company, Alrosa, is a leader in sourcing fluorescent stones, which are formed under unique geological conditions that leave trace elements during the carbon crystallization process. As a result, Luminous Diamonds shine extra bright in the sun and, most intriguingly, emit a blue glow under UV light.
“These diamonds are stunning, luminous, and make a statement,” says Rebecca Foerster, Alrosa’s president of North America. “They reflect the way modern women wear confidence like a rare jewel, and they dare us all to stand out by sharing our inner selves. Greatness in people, like diamonds, is made under pressure. When a woman follows her own inner light, others see it. Our diamonds are an enduring reminder of this light.”
To highlight this point, Luminous Diamonds enlisted female leaders from disparate industries to model its debut collection in a campaign titled Greatness Under Pressure. They are WNBA athlete Skylar Diggins-Smith, attorney and travel writer Cynthia Andrew, violinist Ezinma Ramsay, gender-fluid advocate Elliott Sailors, model Denise Bidot, and photographer Marian Moneymaker.
The 28-piece collection consists of brilliants and pavé diamonds on open-work hexagon settings. They include long necklaces with pendants, crawler and chandelier earrings, and bracelets. Each design comes with an illuminator charm that emits UV light so you can get that inner glow all the time.
Russia’s Alrosa, the world’s top diamond miner by volume, announced that it will start implementing the OECD due diligence guidance for responsible supply chains of minerals from conflict-affected and high-risk areas.
In a press release, the company said that to improve the efficiency of this work and guarantee compliance, it has launched an internal diamond supply chain management system. The mechanism is based on the Regulations on Responsible Diamond Supply Chain Management recently approved by its executive committee.
According to Alrosa, the internal diamond tracking and traceability system applies to all the segments of the diamond supply chain. It allows the firm to provide its clients with the information not only on the country of origin but the region of origin of its rough and polished diamond production.
The system also guarantees that rough diamonds produced by Alrosa in different regions are not mixed in the process of sorting, valuation, cutting and polishing, and trading.
“As part of Alrosa obligations as a certified RJC member, we are very proud to launch our tailored diamond supply chain due diligence system,” Peter Karakchiev, head of international relations, said in the media brief.
“It marks the start of a process which we believe will positively contribute to ensuring that all Alrosa diamonds are produced in compliance with the high standards of responsible business conduct.”
Russia’s Alrosa the world’s top diamond miner by volume, is betting on a new strategy to boost its sales amid an industry-wide slowdown that has hit small companies the hardest.
The state-owned company is now selling naturally occurring fluorescent diamonds mixed with others. At the same time, it’s holding talks with global jewellery retailers about jointly marketing its ‘Luminous Diamonds’ brand, which uses the glowing stones.
Fluorescence, a bluish glow produced by ultraviolet rays (UV), is a characteristic of 25% to 35% of diamonds, according to the Gemological Institute of America (GIA).
Fluorescence, a bluish glow produced by ultraviolet rays (UV), is a characteristic of 25% to 35% of diamonds, according to the Gemological Institute of America (GIA).
The feature has traditionally been seen as a negative attribute as it can make a diamond appear “milky” or “oily” in direct sun or UV light. Alrosa’s marketing efforts are centred on changing those perceptions.
Glowing diamonds are most common in Russia and Canada due to their proximity to the Arctic, where they are usually found.
GfK market research agency recently conducted a study involving over 4,000 jewellery consumers to determine how they perceived fluorescent diamonds.
The survey revealed that 74% of the respondents in the US didn’t know what they were or were poorly informed about them. When educated, however, over 82% of respondents said they would consider buying a diamond with such a feature. And almost 60% of customers, mostly millennials, expressed their willingness to pay as much as 15% more to obtain a fluorescent diamond.
About half of all diamonds produced globally have some fluorescence, but those in which the feature is “strong” — the focus of Alrosa’s campaign — represent as much as 5-10% of global supply.
Global demand for all types of diamonds fell between 2018 and 2019, affecting small stones producers the most, due to an oversupply in that segment that dragged prices down.
Increasing demand for synthetic diamonds also weighed on prices. Man-made stones require less investment than mined ones and can offer more attractive margins.
Big companies have not been immune to the downward trend. De Beers, the world’s No. 1 diamond miner, reported in February its worst set of earnings since Anglo American acquired it in 2012.
Russia’s Alrosa is talking to several global jewelery retailers about jointly marketing the miner’s jewelery brand that uses fluorescent diamonds, as it strives to create a new niche for the natural stones.
Diamond miners, which have long excelled at marketing, are seeking new approaches to battle falling demand and competition from diamonds manufactured in laboratories.
“We are completing talks with several major companies in different regions,” Alrosa Chief Executive Sergei Ivanov told Reuters.
Alrosa, which now sells these diamonds mixed with others in “lots”, expects the retailers to start offering its fluorescent stones in a year under the brand “Luminous Diamonds”, which it has recently created, in separate corners of their stores.
The aim is to create a new market for stones with fluorescence, often a blueish glow visible under light, that are still considered by many traders as being of lower quality.
Global demand for all types of diamonds has been hit by a trade war between the United States and China, the world’s two biggest diamond markets. Prices for smaller stones have fallen as deliberate output reductions have yet to remove oversupply. Alrosa and its competitors, chiefly Anglo American’s (AAL.L) De Beers, are betting on a “value over volume” strategy. Alrosa expects to produce 38.5 million carats in 2019 but will sell only 32 million to 33 million carats, stockpiling the rest until better days.
Alrosa does not disclose the names of the retailers it is talking to but says it has no plans to start its own retail business. Product sales will be organized by retailers via their own distribution chains.
“Our aim is to supply fluorescent polished diamonds – cut by Alrosa or its clients – to retailers and provide marketing support, including jewelery design if needed,” Ivanov said.
FLUORESCENT ADOLESCENT
Fluorescence, a bluish glow produced by ultraviolet rays from a lamp or the sun, is a characteristic of 25% to 35% of diamonds, according to the Gemological Institute of America (GIA). It is not bad for the precious stone, according to GIA, and it is not a grading factor like the traditional 4Cs — color, clarity, cut and carat weight — used to determine quality.
About half of all diamonds produced globally have some fluorescence, while 3% to 10% have strong fluorescence, Ivanov said.
But such diamonds are more difficult to sell as many traders now consider stones with more fluorescence as lower quality, so they often trade at a 25% to 45% discount, even though they could demand a premium several decades ago, he said.
With global annual rough diamond sales of $15 billion and diamond jewelery demand at $85 billion, any new marketing niche is attractive for the entire supply chain.
Diamond industry players have long been betting on “millennial”, born between the early 1980s and early 2000s, and “generation Z”, born from the mid-1990s to early 2000s, as drivers of growth in jewelery demand as their spending power rises.
Alrosa aims to woo this generation with florescent stones.
Recent research conducted by a consulting company for Alrosa in the United States and China showed millennial liked the stones for their unusual quality in jewelery, Ivanov said.
Alrosa fluorescence diamond daylight and black-light
“We saw that it can become a fashionable product and interesting for these young people,” he said.
The same research also showed positive results among women, so the “Luminous Diamonds” brand sought to appeal to women’s independence and purchasing power, which was rising in the United States, China and India, the CEO added.
“It will be a special line. A diamond which glows in a night club, in a theater or even in the rays of sun,” Ivanov said. “We see this demand in opinion polls and are sure that we will convert it into sales.”
The Effect of Strong Blue Fluorescence in Diamonds The term “Overblue” refers to a diamond that exhibits strong blue fluorescence when exposed to long-wave ultraviolet (UV) light. This phenomenon occurs when the diamond absorbs UV light and emits a visible blue glow. While fluorescence in diamonds can be a natural and even desirable trait in some cases, an overblue diamond refers specifically to stones with extremely strong blue fluorescence, which can sometimes negatively impact their appearance.
Understanding Fluorescence in Diamonds 1. What is Fluorescence? Fluorescence in diamonds is a natural occurrence that happens when a diamond absorbs ultraviolet light and then re-emits it as visible light, typically as a blue glow. Not all diamonds exhibit fluorescence, and its intensity can vary from none to very strong. Fluorescence is often graded on a scale from none to very strong, with the most common colors being blue (the most desirable) or less frequently yellow and green.
2. Types of Fluorescence None: No fluorescence; the diamond remains unchanged under UV light. Faint to Medium: Noticeable fluorescence, but usually doesn’t significantly impact the diamond’s appearance under normal lighting. Strong to Very Strong: A bright, noticeable glow, which may be more obvious under UV light or in low-light conditions. In the case of overblue diamonds, this fluorescence is very intense and can affect the diamond’s overall appearance. What Makes a Diamond Overblue? An overblue diamond refers to a diamond with extremely strong blue fluorescence. This can result in a distinctive blue glow that may be evident under long-wave UV light or sometimes even in regular daylight. While fluorescence can enhance the diamond’s appearance in certain conditions, an overblue diamond can present issues for the stone’s overall aesthetic and value.
Issues with Overblue Diamonds 1. Oily or Milky Appearance in Daylight Diamonds with strong fluorescence can appear cloudy, oily, or milky under normal daylight or incandescent lighting, which can affect their brilliance. This happens because the fluorescence can cause the diamond to scatter light unevenly, diminishing its overall sparkle. High-color diamonds (D-F grades) with strong fluorescence are often the most affected, as their lack of color accentuates the milky or oily appearance. 2. Misleading Perception of Superior Colour In the past, the term “overblue” was sometimes used to suggest that a diamond with strong blue fluorescence had a superior color grade, leading to confusion in the market. Some buyers believed that a strong blue fluorescence was an indicator of a higher-quality diamond. However, fluorescence does not directly correlate with the color grade of a diamond, and a diamond’s appearance under normal lighting is far more important in assessing its true beauty. 3. Impact on Diamond Value While some buyers find fluorescence attractive, an overblue diamond can decrease the diamond’s market value. This is because it affects the overall visual quality, particularly if the stone appears cloudy or oily under natural light. Diamonds with extremely strong fluorescence can also be perceived as less desirable due to the unpredictable visual effects they may exhibit in different lighting environments. Should You Avoid an Overblue Diamond? Whether or not to buy an overblue diamond depends on your personal preferences and how the diamond appears to you in real-world lighting.
Reasons to Avoid an Overblue Diamond Aesthetic Concerns: The milky or oily look that can appear under normal lighting may not appeal to everyone, especially those seeking a diamond with the highest possible brilliance and clarity. Reduced Value: Overblue diamonds may be worth less in the market compared to their counterparts with less noticeable fluorescence. Reasons to Consider an Overblue Diamond Personal Preference: Some people enjoy the blue glow that fluorescence provides, especially under UV light. Price: Due to the perceived lower value, diamonds with strong fluorescence may be available at a lower price, which could appeal to those on a budget. How to Detect Overblue Fluorescence If you’re interested in purchasing a diamond, it’s essential to check the fluorescence grading and assess how it might affect the diamond’s appearance.
1. Check the Diamond’s Certification Reputable gemological laboratories like GIA, DCLA, and AGS will include a fluorescence grade on the diamond’s certificate. If the diamond is marked as strong blue or very strong blue, it may exhibit the overblue effect.
2. View the Diamond in Different Lighting It’s essential to examine the diamond in natural light to see if the overblue fluorescence makes it appear cloudy or oily. Examine the diamond under UV light to observe the fluorescence intensity and its effect on the stone’s visual appeal. 3. Personal Preference Ultimately, whether to choose a diamond with strong fluorescence, including overblue, depends on your personal taste and the diamond’s appearance in various lighting conditions. If you are unsure, you may want to consult a gemologist or diamond expert to better understand how fluorescence will affect the look and value of the diamond.
Overblue diamonds exhibit extremely strong blue fluorescence, which can result in a distinct blue glow under UV light. In the past, the term was used misleadingly to suggest that the diamond had a superior color, but it can actually cause the diamond to appear milky or oily in normal daylight, especially for high-color diamonds. Fluorescence in diamonds is a natural phenomenon, but when it is too strong, it can detract from the diamond’s beauty. Whether you should buy an overblue diamond depends on your personal preference for the glow and how it looks in natural light. Be sure to check the fluorescence grading and view the diamond in different lighting before making a purchase decision.
