How much are jewels worth? How much is a ring, a necklace or a pair of earrings? Here’s what determines the value of your jewelry ♦ ︎
The most famous financier in the world or, better, the long-term investor who does not miss a beat, namely Warren Buffett, has in the portfolio of his funds the shares of Borsheim’s Fine Jewelry, a Nebraska jewelry company founded in 1870. This kind of choice has convinced many that if Warren Buffett, one of the richest men in the world, invests (also) in jewels, then buying gold rings and necklaces is a good idea to direct the savings. This statement is right and wrong at the same time, let’s see why.
What are jewels for?
You could consider them useless, yet since humanity exists, women have always chosen to wear jewelry, as evidenced by archaeological findings. The jewels are therefore part of the culture, of society, and consequently have a value that is in addition to the venal one, that is the material of which they are composed. The value of a jewel is determined by the shape, the type of work, the material used, the fame of the Maison that made it. But not only. There is another important aspect, which usually those who buy and then sell a jewel do not calculate: it is the value of use, exactly like for an apartment or a car. In economics by use value we mean the ability of a good or service to satisfy a given requirement and this opportunity, for jewelry, can be translated into numbers, just like for other material goods. In short, a jewel was created to be worn and the use of a pair of earrings, a ring, a necklace must be taken into account. If you want to sell a jewel, remember that it is a used object. So, from this point of view, a jewel offers an intangible but real return: it is the one given by its use.
How much is a jewel worth?
The value is variable. For example, a jewel created in the nineteenth century has a different shape from that of a corresponding contemporary object: once even the materials and the cutting of the stones was different, because the processing technique was different. Today what was good a hundred years ago may seem outdated. It is not surprising, therefore, that a jewel has a value that changes over time. The price of a jewel can go up, but it can also go down if its shape corresponds less to the concept of beauty, what is required on the market. But a jewel of excellent quality, which has certificates of origin and is of good quality, is likely to maintain its value or even increase it.
How much is a jewel of a brand?
Despite the aesthetic criteria are changeable, the jewels of famous Maisons, like Cartier, Tiffany, Buccellati, manage to keep their value more easily than those of anonymous artisans. This, however, is especially true for large jewels, pieces that can be enhanced in an auction sale. A simple silver pendant, even if it was sold by a famous company, has little chance of increasing its value over time.
How much are gold and precious stones worth?
The value of a jewel is determined above all by its appearance and, if you like, by the hours that were necessary to create it. For example, high jewelry is made up of unique pieces, with a craft work that sometimes lasts weeks or even months, often with particularly expensive precious stones. The value of these jewels will be high, but not only for the material used. Instead for a normal jewel, for example a ring equal to many others, the value will be very determined by the materials of which it is composed. The gold of a ring, for example, will be valued by weight. In this case, bear in mind that the value of the metal will be determined by the gold contained in the alloy with which the ring was made, or the earrings or necklace. 18 carat gold, for instance, is only 75% yellow metal, the rest is 7-12% silver and 13-18% copper. 14 or 9-10 carat gold jewelery contains even higher percentages of other metals. The same goes for pink or white gold: also in this case we are dealing with alloys with other metals, which give a different color (in nature, gold is only yellow). Evaluation is more complicated for stones. While usually a gold jewel is easier to classify, for stones that do not have a certificate issued by a universally recognized gemology institute one must trust the jeweler or an expertise. In general, it is very easy for the price offered for a small diamond to be far below your expectations: don’t think that a 0.05 carat diamond on the engagement ring has great value.