The Facts About Platinum and Gold
Over 5 billion ounces of precious metals, such as platinum and gold, have found their way out of mines and into the wallets of society. Today, these “symbols of wealth” remain a powerful force in the markets of both finance and fashion. In fact, the two are often connected by experts' claims that one full ounce of gold –typically in the form of a single builon or coin-- yields about $1300 USD value, enough to buy an upscale mens' suit.
Determining the Worth of Gold
Be it coinage or jewelry, the worth of gold is determined by karats, beginning with 24 karat (pure gold). The gold metal is hardened when blended with other materials like silver copper, nickel and palladium. The most popular types of gold in USA is 18 karat (18K -75% pure gold) and 14 karat (14K- 55% pure). The minimum karat accepted for American gold to be classified as such is 10K, or about 42% pure gold combined with metals used to harden. It is important to know that gold percentages are often advertised falsely; for example, 55% pure gold will likely be advertised at about 58% purity. Several European nations have a higher standard for gold, employing an 18K minimum for purity. In England, the purity standard begins at 9K.
Along with karat measurements, hardness is also considered when determining the worth of gold merchandise. 24-karat gold is extremely soft, creating the need for 18K and 14K versions. Combining the pure gold with metals creates an alloy, making it durable enough to sculpt into jewelry and other objects.
When it Comes to Gold, Does Color Matter?
Gold, a metal that is yellow by nature, is often combined with different metals to create alloys, resulting in a variety of shades for aesthetic use. Rose gold, for example, is gold combined with copper to create an interesting hue. Ever-popular white gold is made with the use of silver or similar metals. Regardless of it's color, a proportion of gold to alloy metal is the same. Therefore, a ring that is crafted from 18 karat rose has the same amount of gold as the yellow version and should not have a difference in price. Due to its higher demand, white gold jewelry and watches may be sold at slightly higher retails.
So, What Kinds of Gold Merchandise is Most Valuable?
Consumers looking to sell their gold should have a basic knowledge of the different types of gold and their values. It makes sense to think that antique “estate” pieces of jewelry carry a higher worth, right? Well, the answer may surprise you. Truth is, a precious metal item (namely those featuring pricey gemstones and/or antique history) will fetch a higher price unblemished than it will melted down. Jewelersdetermine a gold's worth by weight, especially when he or she intends to recreate the metal into a new item by melting. Gemstones, however precious, are irrelevant when determining the price of gold.
When it comes to gold merchandise, basic and plain gold jewelry pieces, such as solid rings, weighty bracelets or chains, are worth selling off to third-party gold buyers. Buillons and coins, as mentioned above, are also of worth to investors in the form of Gold Exchange-Traded Funds (GETF).
The Real Value of Platinum
Platinum is a metal used in a nearly pure form. Denser than gold, it is revered for it's durability and fetches a higher price than gold in any market. For example, an ounce's worth of pure platinum (typically about 95% pure) is valued over $1600 USD, $300 more than gold.
The USA's standards for platinum jewelry are higher than other nations, requiring a 95% minimum purity (85% overseas) to be classified as such. Platinum may appear as fastening prongs in gold jewelry, used to hold precious gemstones in place. This metal is also an important part of everyday living, used for decades in automobiles and to make fuel. Platinum is also used to coat computer disk drives, which increases memory storage.
The process for selling platinum mimics the criteria for gold: Heavier weight, higher worth. Unlike gold, it is less typical for even seasoned investors to purchase platinum in coins or buillons. This metal possesses a much greater risk of declining in value than gold ETFs.