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Is 18k Gold Jewellery A Good Investment?

Though 18k gold jewellery contains 25% metal alloy to make them fairly durable, they have 75% pure gold, making them good gold investments. Since gold retains its value over time, storing wealth in 18k gold jewellery is a good investment.

Whether 18k gold jewellery is an investment option should interest anyone who does not want fluctuating economic situations to erode their wealth.

Deciding to invest in 18k gold jewellery comes with a lot of questions like:

  • Why invest in gold jewellery, not other gold investments like gold bars/ coins?
  • Why invest in 18k gold jewellery, not gold jewellery of other karatage?
  • What are the pros and cons of investing in 18k gold jewellery?
  • What are good examples of 18k gold jewellery for investment?

We’ll answer these questions in this article. 

So, read on to find answers to these and more.

Should you invest in 18k gold jewellery?

18k gold jewellery is the perfect blend of quality and durability. High amounts of pure gold give them excellent lustre. And without compromising quality, they also contain reasonable amounts of alloyed metals for increased durability.

Men and women alike have been using the shiny metals to adorn themselves for thousands of years. First, it is immensely beautiful. Secondly, it does not rust or tarnish.

Also, gold has long been recognized as a good store of value. That’s why many countries adopted the gold standard and fixed the value of their currencies in terms of a specified amount of gold

Gold retains its value over time. While inflation erodes the value of currencies, it makes gold a good hedge over inflation. 

So why not invest in gold?

When deciding to invest in gold, there are different options. 

Some of these are gold bullion (gold bars and coins), gold ETFs, and gold jewellery. 

Gold jewellery is a popular option because it comes with a unique advantage – you can wear your gold to gain social status.

The perfect gold jewellery for investment is 18k because its concentration of pure gold (75%) and alloyed metals (25%) gives it incredible shine while keeping it relatively durable.

Know that the more pure gold a piece of jewellery has, the less durable it’ll be, so it can’t withstand daily wear.

But the less pure gold it has, the less shine it’ll have.

The pros of investing in 18k gold jewellery

There are many reasons why you should consider investing in 18k gold jewellery.

  • It has a wonderful appearance
  • It is hypoallergenic

1. 18k gold jewellery has a great appearance

18k gold jewellery has a 75% concentration of pure gold, which is very high. For this reason, 18k gold jewellery have near-pure appearances.

This is unlike 14k gold jewellery that can look dull because of having only about 58% of pure gold.

2. 18k gold jewellery is hypoallergenic

Because of having fewer alloyed materials, especially nickel, 18k gold jewellery is relatively less likely to cause an allergic reaction.

Pure gold is too soft to wear, so it is usually alloyed with nickel, platinum, palladium, copper, zinc, or silver. 

Sadly, nickel which is a primary agent for bleaching gold causes allergic reactions.

The cons of investing in 18k gold jewellery

Investing in 18k gold jewellery is not without a few issues. This is because the investment is:

  • Susceptible to damage
  • Relatively expensive

1. 18k gold jewellery is susceptible to damage

Because gold is soft, the higher the concentration of pure gold in a piece of jewellery, the less durable it is. This is because a high gold concentration means a low amount of alloyed metals to “strengthen” it.

With 18k gold jewellery having 75% of soft pure gold and only 25% strengthening metals, it is very durable. 

It is less likely to tarnish or have scratches than 14k gold jewellery with 58.3% pure gold and 41.7% metals. 

2. 18k gold jewellery is relatively expensive

The more pure gold jewellery has, the more expensive it’ll be. Of the popular gold jewellery purity levels (10k, 14k, and 18k), 18k is the most expensive because it has more pure gold. 

If you invest in 18k gold jewellery, you’ll have to stump up more cash.

Know that there are a few other cons, but they generally apply to physical gold investment and not just investments in 18k gold jewellery. 

These include:

3. Lack of passive income

When you invest in 18k gold jewellery, the piece will just sit where it’s kept away. Except when you sell it, it’ll not give you any monetary reward.

This is unlike some other investments that will put passive income in your pocket regularly. 

For example, equity investment will bring dividends, investment in real estate will bring rental income, and fixed income will earn interest.

4. Gold requires additional storage and safety equipment

Having a good stock of 18k gold jewellery calls for having a safe place to store them. Gold jewellery attracts burglars. 

You may have to buy a safe and/or install security cameras.

5. Gold requires costly insurance

Having 18k gold jewellery may even be taking money out of your pocket regularly in the form of insurance. 

Having insurance ensures that you don’t lose your gold investment should your efforts at safeguarding it fail. 

If you choose to invest in gold jewellery, keep reading to choose wisely.

18k gold jewellery as an investment

Storing wealth in 18k gold jewellery is possible because they have high contents of pure gold, and gold does not lose value over time.  

Things to consider when buying 18k gold

When buying 18k gold jewellery, consider the purity level of the jewellery, the purpose of the jewellery, and the alloyed materials. 

1. The jewellery purity level

You should make sure that you buy 18k gold and not some lower karat gold. Simply look at the “hallmark” stamped on the jewellery to certify its purity.

Know that even experienced jewellers cannot tell the purity of gold by sight alone. Thankfully, the law protects consumers by requiring that any jewellery sold as gold is certified correctly, and the purity level stamped on it. 

So, to make sure that the jewellery you are buying is 18k gold, buy only hallmarked jewellery with the 18k gold certification.

2. Your lifestyle/ purpose of the jewellery

Consider whether you’ll be actively using the gold jewellery. 

The high amount of pure gold in 18k gold jewellery makes them susceptible to damage.

So, if you have an active lifestyle or plan to use the jewellery every day, you need a lower karat gold jewellery that is more durable (like a 14k). 

3. The alloyed materials

Ensure that the gold jewellery contains metals that are safe for you.

As mentioned earlier, nickel, a metal commonly used in gold jewellery, causes allergic reactions. 

So, if you are very sensitive, you should go for only Nickel-free gold jewellery.

For this, it’s important to know what metals give particular gold colours.

  • Yellow gold: This is an alloy of pure gold and metals like zinc and silver.
  • White Gold: This is an alloy of pure gold and white metals like nickel, palladium, and silver.
  • Rose Gold: This is an alloy of pure gold and a lot of copper

Examples of 18kgold investment jewellery

You’ll find stunning 18k gold necklaces, bracelets, bangles, and rings in Aquae Jewels that’ll make a good investment, 

Some of these are:

1. Bangle Hermes

  • Price: $1,444
  • Weight: 12 grams of 18k gold

The beautiful patterns of the Bangle Hermes portray sophistication, yet they are amazingly simple. This gives the gold band a versatile design. You’ll be able to pair it with other jewellery.

You can order the Bangle Hermes in three gold colours – yellow, white, and rose.

Importantly, the gold band will help you store away 9 grams of pure gold.

2. Earrings Python

  • Price: $834
  • Weight: 12.60 grams of 18k gold

The Earrings Python is fierce and elegant. Its design features beautiful patterns that echo a snake’s skin.

The Earrings Python are also available in yellow, white, and rose colours. 

Each piece weighs 6.30 grams of 18k gold. 

3. Necklace Chiara

  • Price: $2,297
  • Weight: 20 grams of 18k gold

The Necklace Chiara’s elegant design gives it the look of rectangular gold bars joined side by side into a chain.

It comes with a simplicity that’ll make it sit well with other jewellery and clothing pieces. 

The 36cm necklace is available in yellow, rose, and white colours.

The Necklace Chiara is a very good 18k gold jewellery investment because it has 20 grams of pure gold.

4. Necklace Cleopatra

  • Price: $722
  • Weight: 5.90 grams of 18k gold

If you want to make a statement with your wearable gold investment, Necklace Cleopatra is what you should go for.

Golden chain tassels of varying lengths are attached to the chain to form a beautiful pattern.

The chain itself features a gold clasp and three openings that allow it to be easily adjusted to three different sizes – 36cm, 37.5cm, and 39cm.

The Necklace Cleopatra is the perfect jewellery to complete a breathtaking look in an evening dress. 

5. Necklace Identity

  • Price: $1,156
  • Weight: 12.48 grams of 18k gold

The Necklace Identity is another simple piece to dazzle in and store value.

It is a classic chain with two simple pendants with beautiful engravings. With its clean look, the Necklace Identity will be stunning, whatever cloth it is worn on.

The chain also features a gold clasp and three openings to adjust its size to 36cm, 37.5cm, or 39cm.

6. Ring Nude

  • Price: $896
  • Weight: 7 grams of 18k gold

The Ring Nude is an easy pick for all occasions. It may be called “nude”, but it isn’t by any means plain.

Rather, it has an exquisite design that looks like gold blocks joined together. It’ll surely add elegance to your look.

The ring is available in yellow, white, and rose colour.

7. Bracelet Cuban Links Hollow

  • Price: $925
  • Weight: 6.05 gram of 18k gold

The Cuban Links Hollow bracelet is an elegant piece to grace your hand. 

The 17.5cm bracelet comes with a classic chain design that can be paired with other jewellery pieces and worn on any clothing style.

The Cuban links Hollow bracelet is also available in yellow, white, and rose. 

Conclusion

The high concentration of pure gold in 18k gold jewellery makes them good gold investments.

They are more durable than pure gold and are not likely to cause allergic reactions like 14k gold jewellery. 

But their near-pure appearance makes 18k gold jewellery quite pricey.

Here at Aquae Jewels, you’ll find fairly priced 18k gold jewellery that you can buy as investments.