CSS — Consulting Company

Gold is not only jewelry; it is also a valuable asset from financial and legal perspectives.
Accurate valuation of gold is especially important in cases of sale, pledge, inheritance division, court proceedings, or insurance processes.

Main Criteria for Gold Valuation

The value of gold is determined based on several key factors, which together form the final price.

Weight (measured in grams)

The weight of gold is the primary and most important factor in valuation. It is usually calculated in grams and directly affects the price.

The heavier the gold, the higher its total value.

What Does Karat (Fineness) Mean?

Karat indicates the purity level of gold. The most common fineness levels are:

585 fineness – 58.5% pure gold
750 fineness – 75% pure gold
999 fineness – almost pure gold

As the fineness increases, the value of gold also rises. For example, 750-fineness gold is more expensive than 585-fineness gold.

How Is the Market Price Determined?

The market price of gold depends on:

international gold exchanges,
daily currency exchange rates,
supply and demand in the local market.

This price may change daily, so valuation is always based on the current date.

Simple Example of Gold Price Calculation

Let’s assume:

Gold weight: 12 grams
Fineness: 585
Market price of 1 gram of pure gold: 110 AZN

Calculation:

12 × 110 × 0.585 = 772 AZN

This amount reflects only the value of the metal. For jewelry items, design and craftsmanship costs may be added.

Why Can Jewelry Be More Expensive?

The price of jewelry is not determined solely by gold weight.

Additional factors affecting the price:

Design and craftsmanship
Precious stones (diamonds, emeralds, etc.)
Brand and manufacturer
Condition of the item

For example, two rings of the same weight may differ in price by 2–3 times if one is simple and the other is branded and set with diamonds.

How Are Antique Gold Items Valued?

For antique gold items, historical and cultural value plays a major role in addition to the material.

Key aspects of antique valuation:

Age and origin of the item
Degree of rarity
Historical period and craftsman
Condition of preservation

Sometimes a lightweight gold item with historical significance may be more valuable than a heavier modern piece.

Why Is Gold Identification Important?

Before valuation, it is essential to verify whether the gold is authentic.

Common identification methods include:

Checking fineness hallmarks
Testing with special devices
Chemical analysis (acid test)
Magnet test

This step helps prevent risks related to counterfeit or mixed metals.

Legal Risks and Important Considerations

Incorrect gold valuation may cause serious problems in the following cases:

Inheritance division
Pledge and credit relations
Court disputes
Purchase and sale agreements

Valuation without proper documentation or professional expertise can lead to legal conflicts.

Gold valuation does not end with the question “how many grams is it?”
Fineness, market price, design, historical value, and legal context must all be considered together. A professional approach is especially crucial for official and legal purposes.