Allen & Overy (A&O) is moving to build its reputation for substantive research with the publication of a client guide for the global leveraged finance market.

The report forms the first piece of research from the magic circle firm's recently-established intelligence unit, which brings together senior partners and leading academics to provide clients with business intelligence on areas of international law. The team, led by special global counsel Philip Wood QC, is designed to give clients an overview of the risks and benefits of doing business in different global jurisdictions.

Released last week, the finance report colour codes countries based on how problematic it may be to do deals under the countries' legislation.

A&O set up the team earlier this year, marking one of the first examples of a law firm building a dedicated research function, a model well-used by leading accountancy and consultancy firms.

In addition to aiding clients, A&O hopes the intelligence arm will help the firm keep close contact and build further relations with its network of global referral firms. The firm has called upon its international offices, as well as around 200 international referral firms in jurisdictions where it does not have offices, to submit information in a number of surveys on basic framework legislation in the countries.

Wood commented: "There has been a massive increase in terms of the sheer quantity and intensity of legislation. This combines to mean that clients are really in a labyrinth, as there are 320 legal systems altogether. Our objective is to help sort out the mess."