September 9, 2013 – In the inaugural Matters Now™ Magni places Mexico and South Africa in the top positions on its bargain investment list. Mexico made the list based on its effective financial services regulations and key strengths in financial infrastructure when matched against their country’s recent equity market performance. “Mexico’s banking, securities, and insurance legal and regulatory environment are robust, particularly for an emerging market county”, said Matt Zimmer, Magni Director of Research.
South Africa made the list based on its widespread strengths in many areas of policy, legal and regulatory environment, and financial services infrastructure. “South Africa has some similar legal and regulatory strengths as Mexico, while also having a stable and transparent fiscal policy,” said Mr. Zimmer.
The equity markets of both Mexico and South Africa may be experiencing short-term softness as current events put downward pressure on prices. Magni measures the underlying relative intrinsic value of a country’s equity market using the Sustainable Wealth Creation principles. Magni believes the adherence to Sustainable Wealth Creation principles is a leading indicator of future country-level equity performance.
Magni Global Bargains are those countries with relatively high country scores from Magni research where recent performance of the country’s equity market has not matched expectations. Magni Global Bargains change over time