From Nevergrind Wiki

Magic find increases the chance of finding rare items. There are multiple ways of boosting your magic find. You can boost it by wearing equipment with magic find, racking up chain combos, or by receiving a horde bonus for fighting two or more enemies at a time. Different monsters also inherently have higher magic find ratings. For example a boss drops rare items more often than a normal monster.

When a monster dies it checks the following in order:

Roll to check if the monster dropped an item.

Roll to check if it's a unique/set item.

Roll to check if it's a rare item.

Roll to check if it's a rare item.

If all magical rolls fail, it will be a plain white item with no magic properties.

The item appears in your inventory's first open slot and the game checks for additional items dropped.

Magic Find

Magic find from equipment is a great way to increase your magic find since it requires the least amount of risk. Your character can benefit from up to 300 points of magic find until it hits a hard cap, however magic find suffers from harsh diminishing returns. Equipping more than 80 magic find results in little benefit. Breakpoints exist at 20, 40, 60, and 80.

Equipped Magic Find Increased chance to find Unique/Set items 20 2% 40 3.6% 60 4.8% 80 5.6% 300 10%

Chain Combos

Chain combos are another great way to boost your magic find by taking a moderate risk. Like equipped magic find, chain combos also have key break points

Chain Combo Increased chance to find Unique/Set items 5 2.2% 10 3.8% 15 5% 20 5.6% 45 8.3% 70 11.1%

Horde Bonus

Horde bonus awards passive magic find for fighting more than one mob. This is very risky, but you are greatly awarded. Note that horde bonus does not apply to bosses.

Monsters Increased chance to find Unique/Set items 1 0 2 1% 3 2.5% 4 5% 5 8%

Monster Types

See the table below for drop rates given various bonuses. Note that each item checks first if it is a unique/set item first. If it fails it then checks if it is a rare item. If it fails it then checks if it is a magic item. If all rolls fail then it becomes a plain white item.

Chance to Find Unique/Set Items Monster Type Base Unique/Set Drop % 70+ Chain Combo 5x Horde Bonus 300+ Magic Find Maximum Value Normal 3% +11.1% +8% +10% 32.1% Champion 5.5% +11.1% +8% +10% 34.6% Rare 10% +11.1% +8% +10% 39.1% Boss 20% +0% +0% +10% 30% First-time Boss Kill 70% +11.1% +0% +10% 91.1%

Chance to Find Rare Items Monster Type Base Rare Drop % 70+ Chain Combo 5x Horde Bonus 300+ Magic Find Maximum Value Normal 12% +25% +40% +50% 100% Champion 37% +25% +40% +50% 100% Rare 82% +25% +40% +50% 100% Boss 100% +25% +0% +50% 100% First-time Boss Kill 70% +25% +0% +50% 100%