In wanting to learn more about why EGL USA tends to carry a poor reputation, and whether or not these diamonds are even worth purchasing, I scoured the Pricescope forums over the past few years, looking for expert opinions as well as consumer experiences with regard to EGL USA certified diamonds. Below I have compiled a summary of expert opinions from this forum with regard to EGL USA certified diamonds and some of their recommendations on how to proceed if considering an EGL stone. I have also included my own personal experience along with the exceptional savings I was able to obtain by purchasing an EGL USA certified round 1.81 carat excellent cut G VS2 stone with faint blue fluorescence for $13,864 for a savings of close to $6000(all specs and info listed below):
Quote: David S. Atlas
1)Generalizations which imply or outright say that a particular lab is always soft compared to the GIA orAGSL are not based on fact, but more on feeling or rumor. The subjectiveness of the grades combined with the business motivation secondary labs have not to grade more harshly than the GIA or the AGSL forces legitimate secondary labs to use their best efforts at not being tougher than necessary. This leads to slightly to moderately softer grading overall, but on any individual diamond, one should not guess about how the accuracy of the grading is.
The study we did on Pricescope indicated that some of the best bargains had EGL reports. Dealers tend to discount in a broad way with EGL reports, yet on occasion, these reports are right on the money for grading with GIA specs. Those diamonds then tend to be the best deals.
EGL-Israel has earned the poor reputation it now has, but it is not connected with EGL-USA.
David S. Atlas
GG(GIA), ASG, Sr. Mbr. NAJA
www.datlas.com
www.datlasestates.com
www.dglaservices.com
David S. Atlas:
Quote: David S. Atlas
2)I have had a diamond at GIA for a month now getting some ID work done. One thing which influences dealers to submit diamonds to labs other than GIA is the speed at which the work gets back to them. It costs a significant amount of money to be delayed in turning over a relatively low margin product. The number of "turns" per year plays a major role in financial success at the dealer level.
Another thing touched upon is that different diamonds are going to different markets. Many or most markets don''t care so much about a cut grade as we do on Pricescope. Our part of the diamond trade is minute compared to the commercial portion which looks at color/clarity/shape/weight and the overall important bottom line cost. EGL reports come faster and cost less. Those are real benefits for a majority of diamond dealers in the overall real world. The "cert" is not the major thing for dealers. The "cert" plays more to the public demand. Many retailers will say every lab and every cert is "the same". We know better, but again, we are very much in the minority.
David S. Atlas
GG(GIA), ASG, Sr. Mbr. NAJA
www.datlas.com
www.datlasestates.com
www.dglaservices.com
Quote: David S. Atlas
3)"It is OK to buy an EGL graded diamond and you might find a good deal as long as you know what you are doing and what you are getting. "
It is OK to buy any diamond you like, but you are very unlikley to find a good deal if you don''t know what you are doing."
Nearly all EGL graded diamonds have a somewhat larger discount generally applied to them versus GIA or AGS graded diamonds. Every so often, an EGL diamond is graded just like it might have been graded by GIA and that particular diamond may be a very good deal. Knowing enough to catch one of those elusive bargains is not the easiest thing for a dealer to do, let alone a beginner. You might just happen to have it occur by accident if you are just plain lucky. We''ve seen it happen more often than people winning the million dollar lottery, so don''t give up hope.
David S. Atlas
GG(GIA), ASG, Sr. Mbr. NAJA
www.datlas.com
www.datlasestates.com
www.dglaservices.com
Quote: John Pollard
4)For the well-educated shopper in a live market, buy away. Train your eye and "buy the diamond, not the paper."
It''s never a bad idea to verify you''re getting what you think you are. I''m sure appraisers are pleasantly surprised when a consumer comes in with a ''soft'' report and states, up front, he''s aware it might not be up to the strictest trade standards.
Some companies - us included - don''t extend future trade-up options to non AGS/GIA graded stones. This has nothing to do with the diamonds themselves; it has to do with the need for strictness and consistency in our sight-unseen offerings.
John
__________________________
John Pollard
Whiteflash Director of Education 2004-2007
Using the above information and after looking at about 30 different EGL USA certified diamonds in the 1.5 – 1.8 carat range with excellent cut, G-H color and VS clarity I ended up purchasing the following stone:
EGL LA Certified Diamond
1.81 carat round brilliant
7.82 - 7.85 x 4.81 mm
cut: EGL ideal plus (non-hearts and arrows; arrows were present but a true hearts pattern was not; nevertheless an excellent cut)
Clarity: VS1
Color: G
Crown: 36.0
Pavilion: 41.1
Table percent: 57%
Girdle: 0.8% - 1.7%
Depth: 61.30%
pavilion height: 15.80%
crown height: 43.20%
polish: very good
symmetry: very good
cutlet: very small
Fluorescence: faint blue
Price: $13,864
The diamond looked amazing in all different types of lighting! And despite it being what some would consider a “Steep Deep cut”, the personally viewed Idealscope images confirmed little to no light leakage. Also, when compared side by side with multiple AGS 000 stones, there really was no visual difference.
In that I am new to the world of diamonds, of course I wanted to have this information verified. So, I had the diamond independently appraised by an extremely well respected and highly recommend former GIA graduate gemologist with the following qualifications:
Gemological Institute of America (GIA) Diamond Course – 1979
GIA Colored Stone Course – 1982
American Gem Society (AGS) Registered Jeweler 1983
GIA Gem Identification – 1985
Awarded GIA Graduate Gemologist Certificate in 1987
American Gem Society Registered Jeweler 1980
Awarded AGS Certified Gemologist Title in 1988
Former Member of International Society of Appraisers (2000 – 2006)
Former Member of American Society of Appraisers (2000 – 2006)
He subsequently did verify that the stone was in fact 1.81 ct G colored stone with excellent cut and faint blue fluorescence. All other specifications on the certification were also verified as being accurate. However, he did note that because of a very small nick in the girdle the stone was closer to a VS2 as opposed to a VS1. But, he did mention that some might still consider it a VS1. Estimated retail price per carat $13,475 with a total retail price of $24,389.75. Despite it being a VS2, a similar GIA graded stone at Blue Nile with the following characteristics cost $19,766
Blue Nile GIA graded stone:
Stock number:LD01435925
Price:$19,766
Bank wire price: $19,470
Price per carat: $10,860
Carat weight: 1.82
Cut: Ideal
Color: G
Clarity: VS2
Depth %: 61.6%
Table %: 57%
Symmetry: Excellent
Polish: Excellent
Girdle: Medium to Slightly Thick, Faceted
Culet: None
Fluorescence: None
Measurements:7.85 x 7.82 x 4.83 mm
From the above information and from my own personal experience, for the truly diligent consumer who does not wish to trade-in their stone, EGL USA certified stones can represent and exceptional value when compared to GIA or AGS certified stones. While it may take you a little longer to find that exceptional EGL USA certified diamond as the experts mention, in the end, the overall saving can be considerable!
In Summary:
1) Learn thoroughly about the 4Cs and the other aspects of diamond specifications
2) Trust your own eyes and strongly consider investing in an Idealscope. View the diamond in multiple different light sources
3) Without a doubt, obtain an independent appraisal prior to purchasing or make sure the merchant has a solid return policy should you find that the EGL certification is not representative of the diamond
4) Be aware that some companies do not offer trade-ins on non-GIA/AGS graded stones