Gold Jewelrys feaver

Gold Jewelry is one way to buy gold. It comes in many shapes and sizes but its value is based on its gold content and artistry. Artistry is a more speculative investment because beauty is in the eye of the beholder and much of what we hold as valuable to us will fail to elicit the same emotional response in others. Thus, from an investment perspective, less art and more gold is what an investor wants to look for. Gold Chains, for example, have minimal art and can have maximum gold. Gold Watches, on the other hand, have maximum art and may use minimal gold.

Gold Rings can fall into either category and may or may not contain a separately valued precious or semi-precious stone. Gold Bracelets can fall into the same category.

To understand gold content, you need to understand the karat system used by goldsmiths and professional jewelry manufacturers:
24 karat (24K) gold is pure gold.



18 karat (18K) gold contains 18 parts gold and 6 parts another metal or metals, making it 75% gold.

14 karat (14K) gold contains 14 parts gold and 10 parts another metal or metals, making it 58.3% gold.

10 karat (10K) gold contains 10 parts gold and 14 parts another metal or metals, making it 41.7% gold. 10k gold is the minimum karat designation that can still be called gold in the US.

Other Metals are added to gold to make it harder and more resistant to scratching or malformation. These can include copper or nickel or other metal like zinc. From an investment perspective, purity is everything. Most gold jewelry in the United States is either 14 Karat or 10 Karat gold. 24 Karat is popular in the Far East.

Many companies have formed that will buy your gold jewelry solely based on its gold content. These companies will melt down the jewelry and separate the gold from the other base metals. The gold is then reformed as ingots or bars and then sold off to investors.

Gold Content value changes daily. The "Spot Price" of gold is what investors will pay for one ounce of bullion. This is what you should use to calculate the value of the gold in your jewelry. The karat value is stamped on the jewelry itself on a part that is not visible to the human eye. It can also be verified with a signed certificate from the manufacturer.

One of the difficulties of melting gold down yourself is verifying its purity. Most gold resellers rely on professional "Asayers" to certify the purity and weight of the gold they sell to investors. Hiring a private "Asayer" is an expensive proposition and should only be considered when the amount of gold is larger than a few ounces.

Security should be a primary consideration when investing in gold. Most investors mistrust the system and want to hold the investment on their own. These individuals fear losses that may occur with economic or social destabalization. In reality, it is very difficult to store large amounts of gold in the average home. A safe may offer some protection from amateurs, but is nothing more than an inconvenience for the true professionals.

Please see: Storing Your Gold for home storage suggestions.

It seems that effective home storage is based more on deception and obfuscation than on the strength of any one safe. Most individuals that store gold also have a way to protect that gold from a forced home intrusion. Thus, gold and firearms usually go together.

A more elaborite security system might involve multiple storage areas so that the entire amount of gold is never fully at risk. The key is, loose lips sink ships. So, if you brag about your holdings and can't keep a secret, you are more at risk of the wrong people finding out that you have them. All it takes is one wrong person, and you can end up losing everything.
Tips from Get Paul A Drockton M.A.