Gold Bullion or Jewelry – The Brighter Light at the End of the Tunnel
Yes, investing in gold is a very wise path to take. Over generations, investments in gold have proved profitable with the prices of this precious yellow metal showing a steady increase. So, the debate here is not about whether to invest in it or not. Gold, as you know, can be bought in bullion form (coins, bars and biscuits) or as gold jewelry. The question we attempt to answer here is whether bullion or jewelry makes a better investment.
Let us study the facts as they exist in today’s marketplace. When you purchase jewelry, there are three things you pay for and that is the gold, the making charge, and any wastage that might occur during the creation of the piece. However, when you sell the same piece of jewelry, you are paid for the gold alone. It effectively means that you pay more when buying and are paid less when you sell.
Gold coins, bars and biscuits on the other hand can be bought without charges for making or wastage. Therefore, your returns are better when you decide to sell. And if you buy from an online store, you pay even less as store running and inventory costs are not added to your bill.
Secondly, coins, bars and biscuits can be bought in 22K as well as 24K, whereas jewelry is predominantly made using 22K gold. Gold bullion thus offers you the flexibility of conversion to jewels without any loss whatsoever.
Another advantage of investing in 24K coins is that, being the purest form of gold it will offer you the best returns in the long term.
Jewelry styles can over a period of time go out of fashion. This could impact its resell value. Additionally, different jewelers could have slightly different estimations of value, which will again affect the returns on your investment.
Another factor that seriously affects the resale value is the presence of precious stones. Stones rarely command anything close to its initial price when sold back in the Indian market. That further reduces the value of returns on jewelry.
Coins can also be just be bought, stored away and pulled out when you want to sell them. Jewelry on the other hand requires periodic maintenance due to regular use, which results in wear and tear. This in turn adversely affects the value.
All said and done, the evidence in favor of gold coins, bars and biscuits far outweighs jewelry as an investment option. You must however reconcile yourself to the fact that no matter what the value of bullion you own, you will not be able to wear gold coins, bars or biscuits to a party. If you want to make any ornament in future or buy from the store you can just exchange the coin or bar to the equivalent price of the ornament. But as an investment option gold is always the best choice and safest one as the prices is never going down in future.
Purchasing Gold coins online is really a risky business. Make sure you check the quality of the items you wish to purchase.
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One of the best and the safest ways to invest money is to buy gold and Diamond jewelry.
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Author Bio: Purchasing Gold coins online is really a risky business. Make sure you check the quality of the items you wish to purchase.
Click here for 100% quality Gold jewellery online.
Category: Business
Keywords: 24 karat gold price, Buy gold coins, Gold coins