Gold Bar Purity Guide: 24K vs 22K

• A 24-carat gold bar is the purest form of gold available in the market and is ideal for investment.

• A 22-carat gold bar contains other forms of metal in small quantities, which makes it slightly less pure, but it is still a popular option for jewellery lovers.

• Always look for the BIS hallmark and a certificate of authenticity before purchasing any gold bar, regardless of purity.

If you're considering purchasing a 24k gold bar in India, it's essential to understand the differences in purity of the gold. Most people still wonder whether it is higher than a 22K gold bar and how it will help their investment portfolio.

Indians are known for their strong affinity towards gold. The reality is that both types of gold are authentic and are extensively distributed across the country. Read on to learn more about the difference in purity between the two and more.

A pure gold bar merely indicates how much genuine gold is in the product. Higher purity means more gold and a better resale value. In India, purity is measured in carats or by a fineness number such as 999 or 916 gold.

A 24-karat gold bar contains 99.9% pure gold. There's almost nothing else mixed in this form of gold, and it's considered one of the best options for long-term investors. When you purchase a 24ct gold bar from a reputable brand such as MMTC-PAMP or PAMP Suisse, it comes with a serial number, tamper-proof packaging, and a certificate of purity. It also has a higher resale value because of its demand and dealers' regard for this type of gold.

A gold bar of 22k has 91.6% gold. The remaining 10% is typically copper or silver, making the bar slightly tougher and more durable. This product remains a popular choice among jewellery makers in India. It has the BIS hallmark and is accepted throughout the country. Please note that this bar contains less gold than a 24K bar, and the base value per gram is significantly lower. For pure investment purposes, most financial gurus prefer 24K gold. However, if you plan to buy gold for both personal and financial goals, a 22K gold bar is an excellent choice for your portfolio.

Here’s how you can check whether a gold bar is pure or not:

1. BIS Hallmark

A BIS hallmark on a pure gold bar indicates authenticity and fulfils Indian quality standards.

2. Stamp

Gold bars of 24k are marked with 999 or 999.9. On the other hand, a 22K gold bar is stamped with 916 on the backside of the product.

3. Certificate

A renowned dealer will provide a certificate, indicating weight, purity level, and a unique serial number.

4. Packaging

Most reputable brands sell gold bars in sealed blister packaging. If the packing appears to be tampered with or damaged, it’s better not to accept the gold.

A 24K gold bar contains more gold, and it is worth more when sold. Most bullion dealers and jewellers will provide a higher resale value for 24K than 22K gold. Having said that, a 22K gold jewellery product or coin is still well-recognized throughout India. The difference in buyback rate is higher if you sell a larger portion of gold.

Choosing between a 24K gold bar and a 22K gold bar depends on your financial goals. For pure investment purposes, a 24-carat gold bar is the obvious choice. However, a 22K product also works well for your portfolio.

Platforms such as Aditya Birla Capital offer digital gold services, powered by MMTC-PAMP. You can explore certified gold bar options from one of the most trustworthy dealers in the country. Download the ABC app or explore their website to get started and learn more.