Gilding is a process of painting on a glue called size. When the size is just right, small sheets of gold leaf are placed over the area. The gold only sticks to the size, and the rest of the gold can be reclaimed. When the glue is dry, the area is wiped with a wet ball of cotton to remove small flecks of gold. Finally, the letter is outlined. This name was gilded in palladium, which will not tarnish like silver.
Engine turning puts microscopic scratches in the gold. This makes the gold catch the light, no matter what direction the light is coming from. It also makes the light glint and flash as the boat rocks in the water. Gold is so soft that the scratches can be made with a piece of velvet. A ball of velvet can just be twisted while gently touching the gold. For large jobs I use an electric screwdriver to hold and spin the velvet.