A diamond is the hardest substance known to man. Because of this fact, it is resistant to deterioration or deformity and its beauty will be enjoyed for many generations. Diamonds are rare. Although there have been new discoveries of gem diamond resources, the supply is still limited. And, only 20 percent of all rough diamonds are suitable for cutting into gem diamonds.
Diamonds retain value.
While diamond prices may fluctuate with economic conditions, even after years of being worn and enjoyed, a diamond retains value. A carat is equal to 200 milligrams and there are 142 carats to an ounce. Carats are further subdivided into points. There are 100 points to a carat. For example, a 45-point diamond weighs a little less than half a carat.