# Diamonds Lose Lustre: Worth Buying?

> Diamonds' price drop and lab-grown rise challenge their value as investment and romance symbol.
- Title: Diamonds Lose Lustre: Worth Buying? · MoneyWeek | Shortify
- Summary: Diamonds' price drop and lab-grown rise challenge their value as investment and romance symbol. Diamonds have lost 50% value in five years, with lab-grown…
- Keywords: diamonds, lab-grown diamonds, de beers, investment, price drop, engagement rings, natural diamonds, carat, laboratory-grown diamonds, diamonds market, diamonds price, diamonds investment
- Source: MoneyWeek — https://moneyweek.com/investments/commodities/diamonds-have-long-lost-their-lustre-are-they-worth-buying
- Published: 2026-11-02T07:00:00+00:00
- Read time: 2 min
- Topics: diamonds, lab-grown diamonds, de beers, investment, price drop, engagement rings, natural diamonds, carat, laboratory-grown diamonds, diamonds market, diamonds price, diamonds investment
## Diamonds' Romantic Symbolism
Diamonds became a symbol of romance after World War II, driven by increased affluence and De Beers' marketing.
## The 'Diamond is Forever' Campaign
In 1947, De Beers' copywriter Frances Gerety coined the phrase 'a diamond is forever', hailed as the greatest advertising slogan of the 20th century.

> A diamond is forever
## Diamonds in Popular Culture
Diamonds appeared in films, songs, and literature, with Marilyn Monroe singing 'diamonds are a girl's best friend' in 1953.

> Diamonds are a girl's best friend
## Engagement Ring Shifts
By the 1980s, diamonds required two months' salary for engagement rings, up from 10% of rings containing diamonds pre-WWII.
## Price Drop in Five Years
Natural diamonds' prices dropped more than 50% over five years, from $8,007 per carat in 2021 to $3,898 last month.
## Diamond Standard Index
The Diamond Standard index hit an all-time low of $2,490 in August, now at $2,460, driven by lab-grown diamonds.
## Lab-Grown Diamonds Rise
Lab-grown diamonds are 60%-85% cheaper than natural ones, with 61% of US engagement rings now lab-grown by 2025.
## Lab-Grown Benefits
Lab-grown diamonds offer more options in size, cut, style, and price, with consumers buying 1.9 carats on average.
## Ethical Concerns
40% of US couples said lab-grown diamonds were important for ethical reasons, avoiding blood diamonds and supply chain issues.
## Supply Chain Challenges
Natural diamonds face declining supply, with major mines closing and De Beers slashing production by 12% in 2025.
## De Beers' Market Share
De Beers' market share dropped from 90% to 25%, losing $7 billion in value since 2023 with a $787 million loss in 2025.
## Investment Challenges
Diamonds lack liquidity and transparent pricing, making them poor investments compared to gold for inflation hedging.
## Collector Appeal
Rare diamonds like the Motswedi diamond or azure blue 32-carat stones appeal to collectors but are not reliable investments.
## What Happens Next
Diamonds may remain romantic symbols but are increasingly seen as poor investments due to price drops and lab-grown competition.
## Key takeaway

Diamonds have lost 50% value in five years, with lab-grown options now dominating the market.