Certified Diamond Auction To Be Launched

The first step in establishing competitive, standardized and transparent pricing of diamonds will take place with the launch of the Rapaport Certified Diamond Auction, September 17 through September 20. The auction, will be conducted via a newly established internet auction site (www.diamonds.net/auction) offering select, quality controlled, “Excellent to Very Good” cut diamonds graded by the world’s leading independent diamond grading laboratory, the Gemological Institute of America (GIA). Every diamond will also be certified and guaranteed by Rapaport ensuring that only fine quality high standard diamonds will be offered for sale. Bidding will be open to the diamond trade and financial institutions. Consumers wishing to access the auction may do so through a registered market participant. Auction terms will be Spot Cash FOB NY with a three percent commission charged to sellers.

The Rapaport Certified Diamond Auction will initially be held monthly. The transaction prices resulting from these auctions will be used to establish a definitive Rapaport Diamond Index. The index, in turn, will be used in the development of a diamond futures market and the subsequent introduction of other diamond-related financial products. The overall goal is to establish diamonds as a broadly traded and investable commodity, not unlike precious metals and currencies.

“The diamond industry is undergoing a complex transition from monopolistic cartel control to free markets, at a time of great global change. The Rapaport Certified Diamond Auctions will provide unprecedented levels of transparency and market access enabling the development of futures markets. The Rapaport Group is fully committed to the development and expansion of honest, free, fair, open, efficient and competitive diamond markets.” said Martin Rapaport, chairman of the Rapaport Group.

Additional information on the Rapaport Certified Diamond Auction is available at www.diamonds.net/auction