What is a Troy Ounce?
A troy ounce is a precious metal weighing unit established during the Middle Ages. The unit of measurement for one troy Ounce, which originated in Troyes, France, is 31.1034768 grams, as stated by the U.K. Royal Mint.
In addition to sugar and grain, one standard Ounce (also known as an avoirdupois ounce) is utilized to weigh other commodities. At 28.35 grams, a standard ounce is marginally less than a troy ounce.
To ensure integrity standards, the Troy Ounce remains the standard unit of measurement in the precious metals market. It is expected to see the troy Ounce abbreviated as “t oz” or “oz t.”
Understanding the Troy Ounce
The Troy Ounce is the only unit of measurement for the Troy weighting system still in use today. It is applied to evaluating precious metals, including silver, platinum, and gold. Thus, the troy Ounce is frequently referenced when precious metal prices are expressed per Ounce.
AdditionaOunceit was utilized to evaluate particular gemstones. In contrast, the carat system has predominantly supplanted the troy weight system within precious stones and jewels.
An Overview of the Troy Ounce
The weight and measurement troy system is believed to derive its name from the medieval French metropolis of Troyes, a center of commerce that drew merchants from Europe and Britain.
According to Troy’s merchants, one troy pound was equal to 12 troy ounces, and a troy ounce was 480 barley grains.
However, some historians assert that the Troy Ounce originated during the Roman era. The Romans established a standardized monetary system by employing bronze ingots comprising 12 units known as “uncia,” or ounces, with an approximate weight of 31.1 grams per unit.
Since the 10th century, Europe’s economic significance has increased, and merchants worldwide have traveled there to purchase and sell products. Therefore, it was essential to establish a new standardized monetary weight system to facilitate business transactions. Some people think that the weights created by their Roman forebears inspired the merchants of Troy’s novel monetary system.
Before the European Community adopted the metric system, King Henry II of England, born in France, modified the British coinage system to reflect the French troy system more accurately. Although periodic adjustments were made to the system, the initial use of troy weights in England occurred in the 15th century.
The British used the Anglo-Norman French avoirdupois system before the implementation of the Troy system. The term “goods of weight” denotes its application to weighing non-precious and precious metal goods. The Troy Ounce was established as the official unit of measurement for gold and silver in Britain in 1527, and the United States adopted it in 1828.
The Troy Ounce, in contrast to the Ounce
The applicable unit of measurement for ounces and other commodities in the United States is the avoirdupois ounce, abbreviated as the Ounce (oz), excluding precious metals and coins. The metric equivalent is 437.5 grains or 28.349 grams. A troy ounce has a gram equivalent of 31.1, slightly heavier. For small quantities, the difference (2.751) may be negligible; however, for large quantities, it can be substantial.
The Ounce denoted in the expression “gold price ounce at $653” is a troy ounce, not a standard ounce. Due to the greater mass of a troy ounce compared to a standard ounce, one pound contains 14.6 troy ounces as opposed to 16 standard ounces. It should not be confused with a troy pound, which is composed of 12 ounces and is lighter than this pound.
Ounce to Troy Conversion
A table of conversions from troy ounces to other standard weights is provided below.
| Troy Ounce Conversion Table | |
|---|---|
| 1 Troy Ounce = | |
| Standard Ounce | 1.097 |
| Grams | 31.103 |
| Pounds | 0.0685 |
| Kilograms | 0.0311 |
| Grains | 480 |
| Pennyweight (dwt.) | 20 |
| Carats | 155.517 |
Investing in Precious Metals
The distinction between an avoirdupois ounce and a troy ounce primarily affects investors in precious metals.
Gold has traditionally been regarded as the quintessential secure refuge despite its highly unpredictable market value, partly due to its classification as an imperishable asset. Modernly, however, two additional precious metals have been incorporated into the age-old practice of storing prosperity in gold and silver:
Platinum infiltrated the realm of international precious metals commerce during the initial half of the eighteenth century when Europeans “discovered” it in South America. Although this silvery-white metal finds application in high-end jewelry, its primary function is in vehicle catalytic converters. It is utilized in the chemical industry as well.
Although palladium is infrequently encountered in the natural world, it can be economically extracted from platinum, copper, and zinc. In addition to belonging to the same industrial category as platinum, it finds application in medical, dental, and electronic apparatus.
Investment Methods for Precious Metals
Most contemporary investors wish to refrain from purchasing precious metals from the Troy Ounce and store them in a home safe. Fortunately, contemporary methods exist for investing in these metals:
Mutual funds and commodity exchange-traded funds (ETFs) are the simplest methods to begin investing in precious metals. Although you do not receive physical delivery of the metals you own via the fund, fund shares remain tradable like other funds.
Investing in precious metals through common stock shares of companies in the metals and mining industries is a more direct approach. They are also hazardous. You are placing your trust in the ability of a single company to locate and extract the valuable substance.
Precious metal futures and options markets are present. Although everything is now accessible online, professional traders and institutional investors dominate these markets.
Gold certificates, formerly a viable government-issued currency, remain available at select investment firms and institutions. They are equivalent to portable gold but no longer enjoy the full faith and credit of any government. They are secured by the organization from which they are acquired, which entails a certain degree of risk.
Which Unit Is More Massive: 1 Troy Ounce or 1 Oz?
The weight difference between troy and standard ounces is roughly 10% (1.0:1.097).
Presently, what are Troy Ounces used for?
Troy ounces continue to be employed as a unit of measurement for gemstones and precious metals (such as gold and silver). When weighing the majority of other products, either the metric system or standard ounces are utilized.
Define the Troy Pound.
A standard pound is 16 standard ounces, whereas a troy pound is 12 troy ounces. 0.823 pounds defines one troy pound.
In summary, the
Troy ounces are utilized to determine the mass of precious metals and jewels. One troy Ounce’s weight, equivalent to 1.097 stand ounce’s weight, is approximately 10%. The terminology originates from the significant commerce hub of Troyes, France, in the 16th century, which was standardized to 480 barley grains.
Revision—November 5th, 2022: Regarding Troy Ounce, the conversion values for one pound and one kilogram were erroneously cited in an earlier version of this article.
Conclusion
- It is used as a metric unit to weigh precious metals.
- The weight in grams of the ounce is 31.1034768.
- The conversion from one standard ounce to 28.349 grams is approximately 10 ounces.
- A standard pound (14.6 troy ounces) weighs more than a troy pound (12 troy ounces).
- The Troy Ounce is the final metric still employed within the weighting system.
