Diamond brokers are essentially brokers in the gem field. A broker is a person who acts for another or others and helps to buy or sell a diamond or some diamonds for another. They get a commission for brokering a deal of course.
Diamond brokers have to be very expert at grading diamonds and evaluating their value. He or she usually has contacts in the diamond industry such as wholesales, diamond cutters, private sellers and buyers and of course auction houses.
It requires many years of extensive training and study to become a diamond broker. Also experience counts for a great deal in this industry. For a successful diamond broker networking and diamond brokers need to be well connected as it can often be a case of who you know. .
If you want to use a diamond broker to either buy or sell a gemstone such as a high quality diamond (you would not be using one to buy or sell a diamond worth just a couple of thousand. We are talking the high end of the market here) you want to know that the broker is at least a Graduate Gemologist. The Gemological Institute of America has programs to train people as experts in appraising and grading diamonds and your broker should qualify on this count to start with.
He or she should also be a Certified Gemologist Appraiser (CGA.). This title is, according to the American Gem Society, "the most highly regarded in the industry. Earning the CGA title requires more advanced training and experience in determining the value of gemstones and jewelry." This titleholder is so important in the trade that a title holder is required to resit the exam each year in order to retain their certificate. In addition a titleholder is required to work for an established. Only a minority of the applicants who apply are granted membership in the American Gem Society. Also the applicant must have a high degree of gemological knowledge. This includes having at least one full-time employee who has studied and completed an Accredited or Graduate Program from the GIA or Gemological Association of Great Britain. This individual must hold a title of a Registered Jeweler, Certified Gemologist, or Certified Gemologist Appraiser..
Any training or education should be from these types of registered associations and organisations. A broker cannot be trained simply by reading on the internet. Ask to see the qualifications of the broker you are considering using.
Experience, at least 5 years, would be an important aspect also. Does the broker know what they are talking about? Do they have a good idea of a diamonds value on the open market? Also importantly does the diamond broker have good contacts? Most sales will be done with a phone call and chat. Known and experienced brokers in the trade will be respected and their assessment or appraisal of a diamond will tend to be accepted based on their knowledge, experience and qualifications.
Diamond brokers charge a fee for their services of course. Although it can be anywhere from 10 to 20 percent of the diamonds value, that is much less that the retail mark up which can range anywhere from 300 to 600 percent of the value of the diamond.
One of the best ways to buy a diamond then is by using a broker to represent one and get the best price for a stone you want.