Now I like where this is going! I particularly like the whole background story (nice idea Wintersong!).
One thing that I notice is that so far the list consists almost entirely of traits that, while appropriate to the sovereign, are actually applied to the faction. This is good - I like that sovereign traits will affect the kingdom to a similar extent as actual faction customization. However, I'd like to see traits that also affect the sovereign personally. Things like:
• Magic Proficiency: overall increased magic effectiveness for your sovereign (only your sovereign)
• Attuned to Air/Earth/Water/Fire/Life/Death: increases effectiveness in a particular element for the sovereign
• Artificier: receives twice the effects from equipped items
• Hardy: No movement penalty over rough terrain for channeler and his army
Things like that. Some of these could be pushed into the negative as well.
Now that we've got a decent list of passive traits going, I'd like to voice my humble support for 'active' traits as well. I know some people are opposed to them, but I think they'd be quite nice. There could be certain 'utility' spells that can only be obtained through sovereign customization, for example. Non-magical active traits would be nice too. Some ideas:
• Focused Magic: The next spell to be cast at double effectiveness for 1.5x mana cost. Prevents your sovereign from casting spells next turn.
• Involved Leader: Your sovereign can commit himself to a city's or national endeavor, boosting/speed but preventing the sovereign from acting or contributing to things like magic/technology research (unless that is the chosen endeavor).
These things are kind of hard to come up with, though. Active abilities tend to either be relevant for only a particular stage of the game, or too strong/weak over the entire course of the game. Balancing them against passive traits is tough, but I think they'd be lots of fun!
Also note: I hope the list of traits in the final game is huge! Once I really get into the nooks and crannies of the game I want to be able to spend 20 minutes deciding what combinations of sovereign traits to use this time! Also, I hope balance isn't an overriding concern when it comes to these traits. There should definitely be balance considerations, but ensuring that every combination of traits is 'balanced' against all others would be... well, probably fruitless! Make sure no trait is superior to all others (of course taking into account the 'cost' of said trait), but it's fine if certain trait combinations tend to synergies better than others.