Investing, in general, is seen as a good way to build on your money and set yourself up for the future, however, in this day and age, there are a lot of different investments that people can delve into to help them build on their money and portfolio.
Investing in the stock market, art, property, real estate, etc., are well-known ways for people to put their money into.
However, if you are not interested in investing in New York real estate or trading stocks, and would rather cast your eye over precious metals and jewelry such as rare vintage rings, natural saltwater pearls, and colored and fancy diamonds, basically any fine jewelry pieces that have a promising future, then investment jewelry may just be your kind of thing.
Gold jewelry, silver jewelry, and other precious metals are well sought after and they have been known to increase in value over time as well (depending on the type and care of the precious metal), so if you plan on getting into jewelry investment, we will go into why jewelry is a good investment and how you can build on your jewelry portfolio.
What is Jewelry Investing?
When you invest in jewelry, you invest in collectibles. Fine jewelry pieces do not go along with the stock market, so investors will look at investing in jewelry pieces that protect their wealth.
Not every piece will rise in price consistently or even drastically, it depends on the piece and the designer, so it takes time and dedication to find what you are looking for.
It is Not an Easy Process
Jewelry, especially when made out of precious metals, can be a relatively liquid asset. While it may not be as instantly liquid as cash or highly traded stocks, it can still be bought and sold relatively easily in the global market. Gold in particular has a well-established market with a high trading volume, making it accessible for investors to convert into cash when needed. If you are a retiree who is looking for a better way to preserve your wealth, you could consider a 401k conversion, which would allow you to hold physical gold and other precious metals as part of your retirement portfolio.
It takes skill to find jewelry pieces to invest in, so if you are not a person who can identify natural pearl necklaces or know what true platinum jewelry looks like, you will need to hire an expert who can provide you with the insight you need to buy and sell.
Buy From a Reputable Jeweler
Buying from a jeweler who has a good reputation, much like Jacobs the Jewellers (jacobsthejewellers.com) can make all the difference when looking to invest in quality pieces. It can be important as people have been fleeced before and given jewelry that isn’t real or less than the value they paid for.
To secure your investment, you may also want to bring in the expertise of a third-party appraiser to ensure that they are the quality you have been seeking.
You will also want to choose a jeweler who is well-known for the type of jewelry you are looking for.
If you are focused on sterling silver jewelry or jewelry from the art deco era, you want to know that the person you are going to has a background in this and can provide items that have value.
Storing Your Jewelry Investment
How you store your jewelry and the insurance you get is essential in keeping your jewelry safe and secure.
You can keep it in your jewelry box or wear your jewelry if you want, but to keep it as safe as possible, you may want to look at using a bank safety deposit box or in a safe at your bank to make sure that you don’t lose it or it gets stolen.
When it comes to getting insurance, you may find that part to be tricky, as insurance companies will cover theft and damage, but if you want your entire jewelry portfolio as an investment to be covered it can get quite expensive, so you will need to weigh up the pros and cons and see if it is worth it or you can just protect it yourself.
What Makes Jewelry a Good Investment?
Now that you are aware of what investing in jewelry is and what would be the best course of action when you are investing in jewelry, it is now time to dive into why it might be a good idea for you to invest in it and how that can benefit you.
If this is your first time investing at all, then you will need assistance from experts in making the right decision.
With any investment that you do, you need to know that you are financially secure to do so and that any money you put in you are willing to part with in case anything were to happen.
Some investments are more volatile than others, and hopefully, your investment experts have been able to go over your options with you before you decide what to do.
Material
Not all jewelry is a good investment. It is important that you buy real gold and sterling silver from a reputable supplier. So if you want to buy sterling silver jewelry and/or gold jewelry, make sure that you are getting certified and checked items that are what you have asked for.
Plated silver and steel can look a lot similar, and to the untrained eye, you won’t see much of a difference and a non-reputable supplier will see that in you.
Steel has unique properties of its own, but you are looking for sterling silver and real gold, so don’t try and get swayed by something else.
Sterling silver and gold do not corrode, so they stand the test of time which is great for keeping them for long periods and building on their value.
Did you know that gold bullion is inflation-proof? If you want to put your money into gold, you may feel a bit more secure about your choices than the stock market. A leading coin and bullion dealer in DFW can help you find the right gold bullion for your needs, should you choose to take this route.
Appearance
Precious metals and gems definitely have a universal appeal as they can be used in multiple ways.
Gold and silver have been used for centuries with them exerting power, wealth, and status in society. Even in the modern age people seek well-designed and beautiful pieces that they can show off and collect which they can pass on as a family heirloom.
These kinds of precious metals are always going to be valued not just by investors but by everyone, so they are always something that people want and are willing to buy for themselves or others, they will never go out of style as the base materials can be used for different eras and needs.
The appearance of jewelry is not something that people ever get tired of.
How Can You Invest in Jewelry?
If you have your heart set on investing in jewelry, then there are two ways that you can do so –
- Defensive Asset
- Business Opportunity
Store of Value
Jewelry made of precious metals is considered a store of value. When a currency drops, precious metals such as gold, silver, and others tend to stay high or they have the potential to increase in value.
You can protect against currency devaluation when you buy gold and silver as you are storing your wealth in these items. You can increase your value just by having your jewelry as it normally increases over time anyway which is good if you want to keep your money and not see it fluctuate on the stock market or in other ventures that are not as secure.
While investing in jewelry can serve as a safeguard against currency devaluation, it is important to note that these precious metals can still tarnish or lose their luster over time if not adequately maintained. As a result, their resale value may diminish. If you intend to enjoy the long-term benefits of jewelry investment, it is advisable to prioritize timely jewellery repairs melbourne (or your local area), which often include services such as metal polishing to restore the shine and the replacement of any missing gemstones or diamonds.
Wholesale Reselling
You can make it even more lucrative by using the jewelry you have invested in to buy and sell.
To do this properly, you will need to source high-quality jewelry that you can sell throughout the world to multiple people, so going for gold and silver jewelry would be the best way to do this.
You can buy in bulk from wholesalers which can help you save quite a lot of money on your jewelry ready for you to sell and gain a profit.
It is considered to be a safe investment unlike other business opportunities, so you will find that you won’t be losing out on much money with investment jewelry, instead, you are likely to increase your value over time and reap the rewards.
Conclusion
Is jewelry a good investment? It does look to be so if you want an investment opportunity that is a lot more secure than others.
It is up to you and how you want to invest your money, but always be aware of what the risks and rewards are to help you make an informed and knowledge-based decision along the way.
There are experts in this field that will be able to help you out and steer you in the right direction, it is crucial that you always turn to them for assistance as going it alone can open you up to people who do not have your best interests and investments at heart.