24K Gold - A Unique Investment

-

Gold as it is known is one of the most precious metals and one of the finest possessions from ages for the rich and the affluent and the common man alike. Gold becomes precious and valuable just for the finest qualities it has and the rarity of the metal. Gold has always been a measurement of wealth and authority since the beginning of civilization. Gold jewelry was a convenient means of both displaying one's wealth and a symbol of accumulated wealth. Throughout history gold has been a symbol of riches and wealth and a definite source of greed.

Pure gold alias 24k Gold is metallic yellow in color, very flexible and soft metal in comparison with other elements. Gold is a very stable metal which stands the test of time and is not known to rust, fade, or diminish in quality, quantity or luster by aging. Being a soft metal, it is easy to work with and ideal for shaping into beautiful jewelry pieces. Gold for Jewelry purpose will be mixed with additional alloys to strengthen it and increase its durability and to give glitter and color.

The purity of your gold is defined by the Karat weight. Karat is a measure of purity that is measured from 1 to 24. So the lesser the Karat the lesser the quality/purity of Gold and 24K Gold is assumed to be the most pure and clear form of the metal. Hence the value also increases with the Karat score!

Jewelries are often made with Gold having Karat value ranging from 10K to 22K. Hence the lesser the value of Karat, the jewelries are expected to be more durable and less valuable from the pure gold perspective. Ornaments with Higher 18K or 22K Gold will provide additional jewelry value significance and hence most desired for wedding jewelry etc. because of its additional gold value, still maintaining the strength benefits required for ornaments. Hence for making jewelry buying decisions it is suggested to make a choice considering the strength and durability and value of Gold.

Gold Jewelry

Gold jewelry is one of the most sought after form of jewelry all over the globe. From ancient times people used to make and wear jewelries made of gold and it was always a symbol of once richness and affluence. Usually Gold with purity from 10K to 24K is used for jewelries. However gold jewelry having 18K or higher Karat value is considered as a good asset too for the value of Gold. Usually people buy Gold jewelry as an investment too and in this case a higher Karat value is desirable as above. There are lots of jewelers offering gold jewelry in the form of specially designed, ornaments such as bracelets, rings, studs, earrings, chains etc. Off late, lots of designer jewelry also have come up with gold or with mixed combinations of gold, silver and diamonds. 24K Gold jewelry is supposed to be the most purest and valuable from the value of gold perspective.

24k Gold a Time Tested Investment.

Apart from ornamental use Gold is considered to be an excellent investment which is more or less insulated from all fluctuations in the economic cycles. One reason is the rarity of the metal; as per the latest published figures the total weight of gold extracted till date is only 160K tones. And the available deposits are scarce and hence no possibility of increasing production or reducing demand of Gold from the current levels. Even from the ancient times, the powerful nations used to accumulate and maintain a gold reserve which used to safeguard them from the currency fluctuations. Even at the modern times almost all the rich and powerful countries maintain a gold reserve.

Gold is normally, bought for investment purpose in the form of bullion, coins or bars etc.

Gold bullion is actually a recognized fineness and weight of gold, which can be purchased for whatever the current price of gold might be and in the form of bars which contains the stamp and seal for quality authenticity etc. Apart from value of gold other costs such as shipping, fabricating, and refining of the gold bullion etc. also may be applicable. Simply defined, bullion is a stamped and refined weight of precious metal. These large bars of gold bullion are mostly owned by governments and central banks. Gold bullion is suggestible when the investment is for longer term and value of investments are very high. Also liquidating Gold bullion may be time consuming considering the large value involved. It is more suitable for institutions etc. to invest in Gold bullion.

Gold coins

Gold Coins are looked at by many as collector's items. One ounce gold bullion coins are nothing more than a smaller, circular form of gold bullion. These gold coins that are backed by a government rather than a refiner and are efficiently mass produced, and compared to similar sized gold bullion bars are easier to resell and available at more competitive prices. Gold coins, especially older coins, can fetch much higher prices compared to their intrinsic value to be sold to private collectors at premium prices.

There are some proven advantages in investing in gold coins that are part of the Rare Coin Market.

Coins are minted at a time normally and the supply is always a limited number for a specific coin. Over a period of time the collectors get a premium since this is not available in the open market. Apart from value of the gold, trading in rare gold coins offers high upside potential and low down side risk. They are a great way to add leverage to an investor's portfolio while being free from economic downslides and recessions. Modern bullion coins for investment or collector purposes are typically fine 24k gold although there are minor variations in some of the famous coins.

Comments

Post a Comment

Popular posts from this blog

How to Sell Gold Jewelry

-
Image
1 Try to sell to jewelry stores.  You should always try to sell your gold to jewelry stores first. Especially if they are major jewelry stores, they are less invested in ripping you off, since their major source of income is elsewhere. 2 Avoid selling to pawn shops.  Pawn shops are in the business of paying the least amount of money possible for something that they can sell, so it's best to avoid going to a pawn shop if at all possible. Not only are they less likely to recognize high quality pieces, but they are also manipulative by nature. 3 Stay away from gold buyers.  Many gold buying companies have popped up in recent years and most are either scams or at least highly likely to take advantage of you. Some, like GoldLine, are well known for unsavory practices [1] . If you can, avoid these gold buyers altogether. 4 Shop around.  Always get multiple quotes before selling your jewelry. Different stores may offer lower prices ...
Read more

Why Invest in Silver Rather Than Gold?

-
Image
The main difference between gold and silver is that gold is held by almost any country as a stabilization device for their currency. Therefore, gold has a special status; governments tend to keep the gold price stable or influence it by holding or selling deposits. Furthermore, gold is treated differently for taxation, being tax free in many countries. In the case of silver in some places the buyer has to pay taxes when purchasing silver - an amount that will be lost when selling. This has to be considered in profit calculations. As gold is a good and reliable form of investment, and there is still a huge price difference between gold and silver, it could be questionable if silver really could become an efficient investment to return profit. Only one kilo of gold today is worth as much as about 50 kilos of silver. The key is in how much silver and gold will be available in the future, and therefore if increasing silver and gold prices could retain the same relationship as...
Read more

Buy Gold Safely - How Do You Buy Gold Safely in 2010?

-
Image
To buy gold safely is the number one concern behind every conversation I had with gold buyers as a gold broker. After years of buying and selling gold, I can tell you that it is much more difficult than the industry would have you believe. In order to buy gold safely, you need to find someone you trust, someone who will put your needs first and sell you gold safely. The problem is whenever you discuss investing and safety...it becomes a discussion of opinions more than facts. In my experiences, this is even truer in gold investing than broadly traded stock or other more mainstream investments. So then, how do you buy gold safely? In a one sentence answer - you do all your research on the gold you want to buy before you make any calls to gold brokers. In my experience as a gold broker - the people who bought the gold that no industry insider would ever own, were those who decided they thought they should buy gold, then called a broker and discussed what that should...
Read more