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Whether it's coins, medallions or bars - 'pure' gold is a sound investment for those with a budget. But what about jewelry? Given the opportunity to buy behind the current market value of gold based on karat weight of the piece, jewelry can be not only a good investment but also a source of enjoyment. (Link to calculate gold value for karat weight online.)
However, not all jewelry qualifies as being a gold investment - given that you discount the aesthetic value assigned for it being an antique or artistic piece. We are specifically talking about jewelry items that are referred to as 'gold' but have little actual gold content. Three of the more common terms you are most likely to find as they relate to jewelry are discussed below.
Gold-filled - refers to a layer of 10k or higher that has been bonded under heat and pressure, or mechanically, to one or more surfaces of the supporting base metal - then drawn or rolled to a specified thickness. The jewelry industry has set the quantity of gold for gold-filled at being 1/20th by weight of the total product while the Federal Trade Commission has regulated that any gold-filled item must be part of the marking designation. While gold-filled items may not be suitable for 'investment' purposes due to their small gold content, will wear just like gold.
Rolled gold - basically produced the same way as gold-filled, the main difference being that the gold content is lower. The standard for rolled gold is set at 1/40th of the total weight of the product. You would find a rolled-gold item marked as 10K RGP meaning the item is 1/40th 10kt gold by weight.
Vermeil - is sterling silver (.925 silver) that has been gilded with gold and then polished. The Federal Trade Commission is defined as follows, "An industry product may be described or marked as 'vermeil' if it consists of a base of sterling silver coated or plated on all significant surfaces with gold, or gold alloy of not less than 10 karat fineness, that is of substantial thickness and a minimum thickness throughout equivalent to two and one half (2 1/2) microns (or approximately 100/1,000,000ths of an inch) of fine gold."
Hope you find this helpful should you find yourself in a situation where you have the opportunity to buy jewelry made with the 'other' golds.
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