Gold, as most people know, is worth a certain amount of money for its weight. Diamonds are judged by the 4 C's (clarity, cut, color, and carat weight). And, even though it might make more sense that diamonds would hold their "weight in gold," as opposed to the soft, scratchable metal, gold, there's a reason for that well-known phrase.

Gold is an easy metal to liquidate - it's recognized as a "form of international currency," as  the managing director of Chow Tai Fook Jewelry (Hong Kong), Kent Wong, calls it. He says that it's commonplace for gold owners to sell their jewelry back to jewelers.

The only problem is that gold is much softer than diamonds, which means you need to take good care of your gold to maintain its newness. However, even if it's not well taken care of, gold will still not be judged like diamonds are. You won't see a jewelry scrutinizing your gold for clarity and color, but rather simply throwing the gold on the scale to find out how much it weighs.

Because gold prices per weight are completely transparent and posted to the general public, there will be no questions as to how much your gold is worth. Diamonds are not that easy to determine the value of.

Gold in your jewelry box is like money in your wallet.