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wagsthadog
Penny Hoarding Member
USA
565 Posts |
 Posted - 09/15/2008 : 20:36:30
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Hi all,
Been filling my little head with all sorts of gold and PM information, and I have been reading about gold jewelry.
I'd like to have some jewelry on hand, just for barter purposes, and from what I've read, what's really popular in Europe and India is "investment jewelry," jewelry that is sold at close to it's spot value, and keeps its value on the basis of it's gold content rather than artisanship.
I'd love to get some of this but does anyone know any websites that sell this type of jewelry? I'm kinda leery about ebay, but does anyone know an online company or refiner that offers plain investment jewelry at close to spot?
wags
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Only when they CAN'T have it, ......THEN they'll want it.
I love Cents. If you get an UNC box, you win. If you get a regular circ. box, you win. If you get a zinc box, you don't lose....so you still win. |
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kavajava
Penny Collector Member
USA
490 Posts |
Posted - 09/15/2008 : 20:59:34
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Here in the US my experience is that you pay a large premium over spot for any kind of gold jewelry at a jewelry store, etc.
I agree stay away from ebay for this.
My best purchases for gold jewelry in the past have been to find a good reputable pawn shop and buy 14k & 18k chains, etc at a small premium over spot--had a great pawn shop I used in S Carolina, only recently found a guy here who is one of the "gold buyers" asked him about gold chain and he pulled out several pounds and gave me a price close to spot--found some pieces that were almost new.
I am not aware of anyone here who sells 22k & 24k jewelry anywhere near spot. Maybe others are. |
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jadedragon
Administrator
Canada
3788 Posts |
Posted - 09/15/2008 : 21:07:55
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quote:
Originally posted by wagsthadog
Hi all,
Been filling my little head with all sorts of gold and PM information, and I have been reading about gold jewelry.
I'd like to have some jewelry on hand, just for barter purposes, and from what I've read, what's really popular in Europe and India is "investment jewelry," jewelry that is sold at close to it's spot value, and keeps its value on the basis of it's gold content rather than artisanship.
Ya this is a way to store wealth in India, but I would not be caught dead wearing some of the ugly stuff they sell at near spot. It sells near spot because it's bad jewelry. I'd rather have my money in a gold coin that is easy to sell anywhere in the world. Stated purity and weight, no testing needed and not ugly. |
“The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.” – George Bernard Shaw.
Why Copper Bullion ~~~ Interview with Silver Bullion Producer Market Harmony
Passive Income blog |
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kavajava
Penny Collector Member
USA
490 Posts |
Posted - 09/15/2008 : 21:24:07
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| yeah, but gold jewelry (good looking stuff) makes good presents for wives, and daughters, and I'd rather spend my money on something that will hold value than some of the other stuff they want...I see what legacypac is saying though--if it is just for barter you want, then go for some tenth ounce k rands, maples or eagles, or some of the PAMP 1g. 2.5 g. packages... |
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horgad
1000+ Penny Miser Member
USA
1641 Posts |
Posted - 09/15/2008 : 21:25:15
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When considering which form of gold or silver to invest in, don't just compare it to the spot price. Maybe even more importantly look at the buy/sell spread. If you can buy gold jewelery at spot and sell it for say 94% of spot and you can buy a Krugerrand for $20 over spot and sell it for $10 over spot, which really is the better deal?
At $775 spot you immediately lose $46.4 on the jewelery and only $10 on the Krugerrand. (This is based on current buy/sell prices from Midwest Refineries and Tulving.) I used Krugerrands as an example because in the past they have had they smallest buy/sell spread of any of the gold coins. Not sure how they stack up now, but a 1.3% spread is pretty low.
I'm not saying that buying jewelery is a bad idea, just that you have to consider resale value not just spot. There was a time where a patient buyer could buy scrap gold on E-Bay for under 94% of spot. I'm not sure that can be done now, but at the time it was not a bad deal...basically it was a 0% spread or better between buy and sell after all was said and done.
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Edited by - horgad on 09/15/2008 21:30:53 |
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jadedragon
Administrator
Canada
3788 Posts |
Posted - 09/15/2008 : 21:36:34
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quote:
Originally posted by kavajava
yeah, but gold jewelry (good looking stuff) makes good presents for wives, and daughters, and I'd rather spend my money on something that will hold value than some of the other stuff they want...I see what legacypac is saying though--if it is just for barter you want, then go for some tenth ounce k rands, maples or eagles, or some of the PAMP 1g. 2.5 g. packages...
Yes, if you are going to gift it or wear it, try to buy nice stuff near spot all day long. If it is going in a box in case TSHTF, then I will not be trading my stuff to you for your hoarded gold jewelry at spot. To risky for me - and when no one can get food, water, gas etc what good is that gold jewelry going to be when it is all unique? Best mediums of exchange are commodities - all the same, interchangable, and easy to identify (dollar bills are perfect commodities). If money does not work well because there is way too much of it, think about things that can not be created from thin air, are in reasonably short supply, and are enough of a commodity that they can act as replacements for paper money.
Silver coins, Gold coins, PM bars, copper pennies all come to mind. So does items that are useful in thier own right. |
“The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.” – George Bernard Shaw.
Why Copper Bullion ~~~ Interview with Silver Bullion Producer Market Harmony
Passive Income blog |
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wagsthadog
Penny Hoarding Member
USA
565 Posts |
Posted - 09/16/2008 : 13:03:00
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Hi all,
good responses-
but, I think the general concensus is that PM bullion/coin holders are a severe minority of the population, and, if the SHTF, most people wouldn't have any gold coins but most people have some gold jewelry.
There's TONs and TONs of jewelry out there. So, it's probably to your benefit if you are at least familiar with the approximate weights/karats of jewelry to accomodate the tremendous influx that would occur if the SHTF.
And, sad as it is, lots of people don't really know gold in terms of 1/10 oz, 1/2 oz, etc. They just know earrings and necklaces. So, which is easier- to sit down and have a two hour talk about the history of the gold standard with them, or just trade a damn ring for a box of bullets?
Finally, why then are (or at least were) gold rings included in the gold survival kits of air force pilots? The fact of the matter is, if the S truly HTF, anything goes, and who knows where your journeys will take you. Some cultures (India was mentioned) prize gold jewelry above bullion. If they have something you want, what would they be more interested in??
I wasn't badmouthing gold bullion/coins in the LEAST : ) If fact, I'm almost all into coins. But, I think it could be worth it to have some jewelry just to be ready for anything-
wags- |
Only when they CAN'T have it, ......THEN they'll want it.
I love Cents. If you get an UNC box, you win. If you get a regular circ. box, you win. If you get a zinc box, you don't lose....so you still win. |
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kavajava
Penny Collector Member
USA
490 Posts |
Posted - 09/16/2008 : 13:22:49
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The survival kits used to contain a gold sovereign coin...
You make interesting points--definitely good to be familiar with gold jewelry...
I think when bartering though, you will get back more of your investment with coins/bars than chains/rings/earrings...because the people who are prepared and actually have the stuff you want will be more savvy and better businessmen, than the average person who has nothing but the 10k bling to trade...when bartering there is the issue of what karat it really is, and what it really weighs--and whose scale do you trust...is it gold plated, gold filled, 1ok, 14k etc...
but, as you say, you never know--best to be have the knowledge beforehand, be diversified, and if you can get jewelry at or below spot--go for it! |
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jpf231
Penny Collector Member
USA
340 Posts |
Posted - 09/16/2008 : 16:22:12
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| Investment jewelry: oxymoron : a contradiction in terms. |
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Delawhere Jack
1000+ Penny Miser Member
USA
1680 Posts |
Posted - 09/16/2008 : 17:42:56
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Get the best of both worlds. Gold coin jewelry. You're happy, the old ladies happy sorry, I meant you're sweety's happy, it's a win-win!
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"Educate and inform the whole mass of the people... They are the only sure reliance for the preservation of our liberty." Thomas Jefferson
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Edited by - Delawhere Jack on 09/16/2008 17:43:51 |
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pencilvanian
1000+ Penny Miser Member
USA
2209 Posts |
Posted - 09/16/2008 : 18:08:01
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The closest I ever came to obtaining gold jewelry as investment/at spot price was the following ways-
1. K-Mart was running a special, 70% off gold jewelry. I bought two gold rings that were made to look like gold nuggets (they were 10K gold). When gold was at $800 per ounce or roughly $25.72 per gram, I broke even on the purchase. (the rings weighed 3.5 grams pure gold, $90.03 for gold, the rings cost me $90 each.)
2. At a house sale I was able to buy a 14K gold necklace for $30, after weighing it and detrmining the total gold content I figured the current melt value is $41. Not a really great profit, but I will take what I can get.
My favorite quotes from this story-
You must be logged in to see this link.
"When the Red Army placed Budapest under a siege those who had gold ate; those who didn't went hungry. My family did not have much gold, but there was a heavy gold chain that used to hold the gold pocket watch of my grandfather in better days. The watch itself had been bartered away in hard times for food before I was born during the hyperinflation following World War I. During the next hyperinflation, following World War II, dentists refused to take paper money for professional services rendered. My mother paid for dental work needed by my sister in gold. I still remember the dentist's delicate hands: he clipped off an agreed length of the chain."
I have always considered jewelry made of precious metals as wearable wealth.
If you are still thinking about buying gold jewelry for investment/barter, proceed with the greatest care to get the most bang for your gold buying buck. |
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 09/16/2008 : 19:00:06
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| Do what all of the "gold buyers" are doing now, buy old used gold jewelry at at rock bottom prices. You can even beat their offers and both you and the seller can still come out ahead. |
Realcent.forumco.com disclosure. Please read.
All posts either by the members, moderators, and the administration of http://realcent.forumco.com are for your edification and amusement only. It is not the intent of realcent.forumco.com or its host to provide investment, medical, matrimonial, legal, security or tax advice and nothing posted here should be considered to be so. All rights reserved.
Think positive. |
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moboman
1000+ Penny Miser Member
USA
2555 Posts |
Posted - 09/16/2008 : 19:11:49
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I read somewhere that the gold jewelry like the indians buy is actually stamped 22 and 24 karat and the weight, because it is essentially bullion, but they also can wear it. It said they normally buy pure gold, not the 10 or 14k that we buy in the US.
I've been considering investing in some of this kind of jewelry if you find some. |
"99% of all lawyers give the rest of them a bad name" 
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Edited by - moboman on 09/16/2008 19:13:15 |
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 09/16/2008 : 19:19:51
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| I have always thought that if the SHTF gold jewelry would be a common money since most people have at least some of it even if it's only 10 or 14K. That is if they don't send it all away in the mail first so they can take that 'vacation'. |
Realcent.forumco.com disclosure. Please read.
All posts either by the members, moderators, and the administration of http://realcent.forumco.com are for your edification and amusement only. It is not the intent of realcent.forumco.com or its host to provide investment, medical, matrimonial, legal, security or tax advice and nothing posted here should be considered to be so. All rights reserved.
Think positive. |
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moboman
1000+ Penny Miser Member
USA
2555 Posts |
Posted - 09/16/2008 : 19:31:47
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quote:
Originally posted by Ardent Listener
I have always thought that if the SHTF gold jewelry would be a common money since most people have at least some of it even if it's only 10 or 14K. That is if they don't send it all away in the mail first so they can take that 'vacation'.
yes, that is very sad that. All these "we buy gold" places taking advantage of people. I cant believe all these people keep sending stuff in! And people wonder why America is in trouble! |
"99% of all lawyers give the rest of them a bad name"
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wagsthadog
Penny Hoarding Member
USA
565 Posts |
Posted - 09/16/2008 : 20:49:04
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quote:
Originally posted by Ardent Listener
I have always thought that if the SHTF gold jewelry would be a common money since most people have at least some of it even if it's only 10 or 14K. That is if they don't send it all away in the mail first so they can take that 'vacation'.
Hi there,
Exactly. Well, BROKEN jewelry I can understand sending in, but I'd rather keep perfectly good rings and necklaces than sending them it.
wags |
Only when they CAN'T have it, ......THEN they'll want it.
I love Cents. If you get an UNC box, you win. If you get a regular circ. box, you win. If you get a zinc box, you don't lose....so you still win. |
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Ant
Penny Hoarding Member
USA
894 Posts |
Posted - 09/16/2008 : 21:43:18
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quote:
Originally posted by Ardent Listener
I have always thought that if the SHTF gold jewelry would be a common money since most people have at least some of it even if it's only 10 or 14K. That is if they don't send it all away in the mail first so they can take that 'vacation'.
I know of a woman who sold nearly all of her late mother's gold jewelry as scrap. She used the money to buy a saddle. It's a great saddle, but still . . . This woman has enough money to go out and buy whatever saddle she wants, but she thought that the jewelry wasn't worth having around. She asked me where she should take the pieces to be sold and I advised her to keep it all -- they were quality things, just out of date, so you know they will come back in style. She ended up going to a pretty decent dealer and the saddle she bought sells for around $2K, so I guess she made out all right on the deal. Nevertheless, if she ever needs to trade for something, it will be hard to find someone who will swap for a saddle. |
Lovely dimes, the liveliest coin, the one that really jingles. --Truman Capote
Coins are the metallic footprints of the history of nations. --William H. Woodin |
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n/a
deleted
51 Posts |
Posted - 09/17/2008 : 08:59:10
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Ya know the melt ban on pennies/nickels doesn't apply (my understanding) to those making jewelry when it isn't an obvious intent to exploit the metal value. Surely an artist doesn't need to intend to only break even though.
Just a conversation starter. :-) |
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Saul Mine
Penny Collector Member
USA
343 Posts |
Posted - 09/19/2008 : 08:53:37
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| You can search Ebay for "scrap gold" and sometimes get a good buy. Bid $.80 times the karat number per gram. Don't bid on anything that doesn't specify the weight in grams. Don't bid on anything 12K, plated, layered, filled, or otherwise phony. (Most filled is 12K, most 12K is filled.) Sort what you get and send the bent or broken stuff to a refiner. I use midwestrefineries.com |
A penny sorted is a penny earned!
Please use tinyurl.com to post links. Long links make posts hard to read. |
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Investment jewelry
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