Gold!

It seems Spandau Ballet had a point when making a song and dance about it….

The beauty and allure of gold has made it a desirable commodity throughout the centuries.  It has also been regarded as a symbol of wealth.  But it is also considered a good and solid (pardon the pun) investment.

The value of gold has fluctuated over the years, but in an uncertain climate it’s one of the most stable investments because the general trend is that the value increases, despite worldwide economic pressure in all other areas.

Unlike other commodities, gold is not consumed – it is hoarded, collected, stored.

Did you know?

• When economies are uncertain, gold is still seen as a ‘safe’ investment, which leads to increased value in times of conflict
• Gold is largely unaffected by inflation
• Gold does not pay out interest. So, when interest rates are low, gold becomes a more attractive investment
• Gold can protect against inflation. When the value of currencies drop, gold usually rises, particularly when the US Dollar is weak
• Gold prices have increased by nearly 3-fold in recent years

We’re not just talking about gold bars or bullion here – gold jewellery also forms part of the overall gold market, which is why it’s so important to keep jewellery valuations up to date.  At Macbeth, we recommend updating valuations every 3 – 5 years.  A valuation might not keep completely up to date with market trends, but it provides a good indication.

We also recommend keeping a concise record of each item, usually including a photo as this makes it much simpler to identify an item in the event of a loss. Some jewellers offer a ‘remake’ service and while the item might have had emotional value, and as such may be irreplaceable, a photo of the item will allow a good jeweller to provide a replica.

Most private client policies offer an enhanced cover – some offer up to 150% of the original value, if there is an up-to-date valuation.

So, in the words of Spandau Ballet, now that “you’ve got the power to know”, if you’d like advice on insurance for your jewellery or you’d like details of reputable valuation firms, please get in touch and we’ll be ‘there on the case”.