Skip to Main Content
Gold Portfolio Tracker

Education

Gold Purity and Melt Value Basics for Portfolio Accuracy

Improve portfolio accuracy by converting karat purity into effective gold content and applying clean melt-value calculations to each position.

Published January 28, 2026Updated February 8, 20263 min read

Sponsored

Quick Summary

Improve portfolio accuracy by converting karat purity into effective gold content and applying clean melt-value calculations to each position.

Table of Contents

Portfolio Action

Run Your Gold Allocation in the Calculator

Apply today's insights directly to your holdings. Open the calculator and validate weight, performance, and rebalancing targets in minutes.

Open Gold Calculator

Convert Karat to Purity Ratio

24K equals 99.9 percent, 22K equals 91.7 percent, and 18K equals 75 percent. Convert karat values into decimal purity before calculating melt value.

Sponsored

Apply a Consistent Melt Formula

Use quantity multiplied by spot price and purity ratio. Keep units aligned and avoid mixing grams with ounce pricing without conversion.

Portfolio Action

Run Your Gold Allocation in the Calculator

Apply today's insights directly to your holdings. Open the calculator and validate weight, performance, and rebalancing targets in minutes.

Open Gold Calculator

Distinguish Melt Value and Market Value

Melt value reflects metal content only. Market value may include premium and collectability. Track both when relevant.

Sponsored

Reduce Input Errors With Templates

A simple input template lowers calculation mistakes. Validate purchase dates and numeric ranges before saving.

Use Purity Data for Better Rebalancing

Purity-adjusted exposure gives a more accurate allocation picture than nominal weights.

FAQ

Why does purity matter for allocation?

Allocation based on nominal quantity can overstate real gold exposure when purity differs.

Related Guides

Sponsored

Explore More Pages