Magni is a leader in governance research on both countries and companies, focusing on the behavior of the entity. Governance is more than just the structure, rules, and regulations of the country or company. It is important to ascertain if they actually adhere to these factors. More importantly it is about the values of the country or company and how it interacts with all its relevant constituents. This deeper and more insightful level of research is required to identify those entities that are most likely to endure over time. In other words, those that are truly sustainable.
In 2008, Magni created the Sustainable Wealth Creation principles based on widely accepted economic concepts on country-level governance. They were developed by researching the accounting, legal, regulatory, adjudicative, and economic infrastructures of the investible countries around the world. Our extensive database goes back over 17 years and contains analysis across 280 qualitative factors measuring the honesty and transparency of governance across these countries. Magni scores and ranks countries on their ability to provide an environment conducive to effective corporate governance. It uses this information to construct international portfolios through its proprietary Country Selection Technique.
Magni’s Corporate Governance Assessment has taken the research methods used on good country-level governance to create the Sustainable Value Creation principles. These principles analyze 316 qualitative factors on each company. Magni goes beyond assessing each company’s relationship with its shareholders and employees; we also assess relationships with customers, suppliers, competitors, and communities in which the company operates. This approach provides a holistic analysis of governance that includes the social aspects of ESG investing. The assessments are the basis for Magni’s secular and faith-based portfolios (Catholic Values and Islamic Stewardship) of U.S. companies.
Magni uses its research to provide asset management, investment advice using model portfolios, and indexes to investment professionals.