Investment diversification is a great way to protect yourself in times of uncertainty. The value of cash, after all, diminishes with time. So, investing your money can be a great way to help increase the value of your savings and provide you with extra income sources.

Having different classes of investments, such as stocks, currencies, or real estate, can provide an additional layer of protection should one of them not meet growth expectations. Buying gold is one of the ways you can add variety to your portfolio.

Why Invest in Gold?

Gold is one of the few precious metals that has managed to maintain its value for centuries. Gold has universal appeal and value unlike regular currencies. Furthermore, it does not corrode, break, or tear, which makes it a durable product that retains its value as it is passed on from one generation to another.

The versatility of the metal is what makes gold a highly sought-after commodity. Its visual attractiveness makes it a desirable metal to wear as jewelry or even accessorizing clothing items. Besides being aesthetically beautiful, gold also has a variety of functional applications in electronics along with dental and medical treatments.

To get the most value out of your gold investment, you will have to know how to properly sell it. Since gold is in high demand, plenty of merchants will try taking advantage of you by under-appraising your items. Having proper knowledge of the market, however, will help you avoid losing money to unscrupulous traders.

If you are looking to get cash for gold, here are some important things to consider:

1. Know the Weight and Carats

Gold is traded on the basis of its weight and carats. You need to know the purity of gold before selling, which is measured in carats.

Gold may be combined with other metals to create alloys that have lower market value. 24K is the highest number of gold carats, which means that the metal is pure gold only. When you sell your item, the buyer will offer a price per gram and then compute it according to the carat value.

If you know the actual worth of your gold pieces, you will be more confident about the price when it comes to selling it.

2. Check the Price of Gold

The price of gold fluctuates each day, depending on the demand and supply across the globe. The global price of gold can be viewed online in real-time.

Depending on the purity and weight of your gold, small price fluctuations could mean the difference between a few hundred or a few thousand dollars. Watching the market will help you determine whether it is the appropriate time to sell your gold or you need to wait for a price that you feel more comfortable with.

3. Enquire with Different Buyers

If you have decided to sell your gold, resist the temptation to accept the first offer that you encounter. You need to shop around and look for different institutions that buy gold. You can either contact several buyers directly or get quotes online. Having multiple quotes will give you a fair idea of how much to expect from your pieces.

4. Negotiate

If you know the market price of gold, you shouldn’t be afraid to negotiate for a better price. A buyer will try to increase their profit margin; as such; they may start their offers relatively low. You always have the option to negotiate upwards, especially when looking to sell multiple pieces. If you are unable to get your desired price, move on to a different jeweler within your area.

5. Only Work with Reputable Buyers

It is generally advisable to only transact with buyers that a trusted friend or relative recommends. If you are unable to find a referral, you should review the reputation of the buyer online. Look for testimonials from satisfied customers. It can be tricky to find a reputable buyer, but after you have one, you will have peace of mind when selling any of your valuables.

Final Thoughts

If you need cash in desperate times, the gold in your portfolio can be easy to liquidate. Always remember that some pieces, particularly those from branded designers or artisan jewelry makers could be worth more as a whole rather than in parts.

The only time when you should ever consider selling gold is when there’s a potential to make a considerable profit. Otherwise, it could be better to protect your investments by selling off your other assets instead. Don’t forget to do proper research, shop around for the best rates, and only deal with reputable traders to get the best value for your gold as possible.