Not much is known about the Pearl of Wisdom aside from the manipulative effect it has on its victims. It is shown on the Warehouse 13 trading cards that the pearl was once owned by Lao Tzu.
The user places the Pearl in the ear of an intended victim, where it attaches to the inner ear. The process induces terrible nightmares in the victim, and once attached, allows the person who placed the Pearl to control the thoughts and actions of the victim.
The Pearl can only be removed by bringing the victim to the point of death, whereupon the Pearl detaches itself from the victim's brain and rolls out of the ear canal.
The Pearl can be manipulated by a large, unnamed Amber Orb to explore the memories of the person with the Pearl in their ear. The orb is currently in the possession of Warehouse Memory Proper Taka.
A 'pearl of wisdom' is an idiom in the English language, meaning a succinct, insightful saying, piece of information, or moral precept, although in contemporary usage it is very frequently ironic.