Why Investing in Jewellery is not considered Good Investment?
Investing in Jewellery is generally not considered a good Investment for several reasons: 1. Lack of Liquidity: Jewellery is not easily converted into cash when needed. Selling jewellery often involves finding a buyer, negotiating a price, and potentially paying fees to a jeweler or an auction house. It may take a considerable amount of time to sell jewellery and realize its value. 2. High Markups and Depreciation: When you buy jewellery, you often pay a significant markup that covers manufacturing costs, brand value, and the retailer's profit. However, when you sell the jewellery, you may only receive a fraction of the original purchase price, as the resale value is typically lower due to the markup and the fact that it is a second-hand item. Additionally, jewellery can depreciate in value over time, especially if it goes out of style or if the market for certain types of jewellery weakens. 3. Maintenance and Insurance Costs: Owning jewellery involves additional expenses such as i...