Whether a piece is labeled as fine or costume jewelry ultimately depends on the material from which it is made. Fine jewelry is comprised of precious metals such as gold (fine jewelry is defined as gold with a purity of 10K or greater), sterling silver, and platinum. Because fine jewelry is composed of durable, high-quality materials, it can better withstand time (very often for multiple generations) than its costume counterpart. For this very reason, fine jewelry retains its value better than costume jewelry— fine jewelry is a worthy investment.