What is 24, 22, or 18 Karat Gold? How to Check Purity? Types of Gold for Investment

What is 24, 22, or 18 Karat Gold? How to Check Purity? Types of Gold for Investment

What is the Difference between 24 Karat, 22 Karat and 18 Karat Gold?

When buying gold, people often ask how many carats it is? You don't need to worry about carrots. In simple words, more carats indicate the purity of gold. That indicates, the higher the carat, the purer the gold and the lower the carat, the lower the purity. Generally, 18 and 22 carat gold is used in the jewellery market, while 24 carat gold is more in trend for investment. To know in details Let's see what the differences are

What is 24 Karat Gold?

24 karat gold is 99.9% purity, and the 24-carat gold become very soft in nature.  Also, It becomes difficult to mould it into an ornament. For this reason, 24 karat gold is used for investment.

Note: Most of the coins and gold bars are 24 karat gold.

What is 22 Carat Gold?

22 carat gold is considered to be 91.7 per cent pure, about 9% of it is made up of other metals. Other metals such as zinc, copper are added to it. The Gold hardens when it is mixed with other metals. It is considered, that 22 karat gold is more durable than 24 karat gold.

For jewellery, 22 carat gold is considered a more ideal option as compare to 24 karat gold.

What is 18 Carat gold?

18 karat gold consists of 75% gold and 25% other metals, including copper, brass, bronze, and other metallic. Usually, 18 karat gold is used in making stone studded and diamond jewellery. It is cheaper than 24 karat and 22 karat gold. However, you will also find gold jewellery made of 12 carat and 10 carat in the market. They contain less amount of gold and these are more economical.

How to check the purity of gold?

Before investing in gold, be sure to take care of hallmarking. With this, you can instantly identify real or fake gold. Here are the necessary steps to know about hallmarking:

• If the gold is of 22 carat, then 22K916 will be written there.
• Similarly, if 999 is written on the hallmark, it means that the gold is 99.9 per cent pure.
• 917 mean 91.7%, 833 means 83.3%, 750 means 75.0%, 583 means 58.3%, 417 means 41.7% pure gold.
• If the hallmark of gold is 375, it is 37.5 per cent pure gold.

The government has issued new guidelines for gold business. According to this new guideline, shopkeepers cannot sell gold without HUID i.e. Hallmark Unique Identification Number. A HUID is a six-digit alphanumeric number. The HUID tag on gold jewellery is given by the Bureau of Indian Standards (BIS). This tag assures the purity of gold. Earlier, it used to be a tag of four numbers. Later, the tags with numbers 4 and 6 were used. Now from April 1, 2023, only 6 digit HUID tag is being used.

Understand: What are different types of gold for investment? Which is better and Why to Invest?

If you want to invest in gold, you can invest in it in five ways:

Buying Physical Gold

You can invest in gold through physical gold. You can buy it in any jewellery store.

For the purity of gold, the government has fixed the rules of hallmarking. Most people in the country prefer to buy physical gold.

If you buy physical gold, then there is a possibility of good returns in the coming time. But there is a limit to holding physical gold.

Digital Gold

You can also invest in digital gold instead of physical gold.

Digital gold in India is offered by MMTC-PAMP, Augmont and SafeGold. It can also be purchased from mobile e-wallets, broking firms and financial institutions.

If you want, you can buy digital gold worth 1 gram, you can also sell it at any time. You can even opt for physical delivery.

The Gold ETFs

Gold exchange-traded funds are traded on stock exchanges like stocks. Since gold ETFs are listed and traded on stock exchanges, investments in gold ETFs are considered safe.

You can buy and sell units of Gold ETF on the same day or any other day on the stock exchange. A dematerialized account is required to invest in gold ETFs.

If you invest in gold ETFs, there is no need to store it. Compared to physical gold, it is a much safer investment.

Gold Mutual Funds

These mutual funds are managed by various asset management companies (AMCs). Gold mutual funds invest in units provided by gold ETFs.

Since it is held in the form of physical gold, its value directly depends on the price of gold. It works just like any other mutual fund.

This is a safe investment option. Gold mutual funds are open-ended investment products that invest in gold exchange-traded funds (gold ETFs) and their net asset value (NAV) is linked to the performance of the ETFs.

Sovereign Gold Bonds

Sovereign Gold Bonds are issued by the Reserve Bank of India (RBI) from time to time. It can be purchased through major public and private sector banks.

Its return is calculated from the price of gold. This is guaranteed by the Government of India. In fact they do not have physical gold as an underlying asset.

In Sovereign Gold Bond, investors get that day's price of gold and periodic interest at the time of maturity.

The price of Sovereign Gold Bond is linked to the price of gold of 999 purity and is tradable on exchanges.

Top 5 Apps to Know Gold and Silver Rates in India

You can also get daily gold price updates with the help of the app.

1. India daily gold silver price
2. Gold and Silver Spot Price
3. Daily Silver Gold Price India
4. Gold and Silver Prices
5. Gold Live! Gold Price, Silver

Today, on January 3, 2024, the price of 24-carat gold in India is Rs 63,602 per 10 grams, while the rate of 22-carat gold is Rs 58,259.

If you want to invest in gold or buy gold jewellery for personal use, then you must know the rate of gold before buying. In this article, we have given information about today's 24 karat and 22 karat gold rates in major cities of the country including Delhi. Today, on January 3, 2024, the price of 24-carat gold in India is Rs 63,602 per 10 grams, while the rate of 22-carat gold is Rs 58,259.

Gold Price in India (January 03, 2024)

What is the rate of gold (10 grams) today in major cities in India, Check out and learn in the following table:

Gold prices for the last 10 days in the country

In the last 10 days, the prices of 24-carat gold (10 grams) in the India have been listed you can learn and compare in the below index...

Last 10 Days Gold price History for 22 Carat in India

In the last 10 days, the price of 22-carat gold (10 grams) in India has been listed as in below index...

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Conclusion:

We have tried our best to differentiate the 24, 22 and 18 carat gold, along with the tips to check the gold purity. At PrimeNewsly, we also given the idea on different types of Gold for investment purpose. So friends if you find this post is helpful, then you can share it with you friends and  family. We will keep continue to share the good  information with you.