The Securities Act 2005 and rules & regulations made under it allow for Investment Dealer companies to be set up and licensed in Mauritius under the following 3 categories: (1) Full Service Dealer (2) Discount Broker (3) Broker
| CATEGORY | FULL SERVICE DEALER | DISCOUNT BROKER | BROKER |
|---|---|---|---|
Definition as in Securities Act 2005 |
Authorised to: i) act as an intermediary in the execution of securities transactions for clients; ii) trade in securities as principal with the intention of reselling these securities to the public; iii) underwrite or distribute securities on behalf of an issuer or a holder of securities; iv) give investment advice which is ancillary to the normal course of his business activities; and v) manage portfolios of clients. |
Authorised to execute orders for clients without giving advice |
Authorised to execute orders for clients, to manage portfolios of clients and to give advice on securities transactions to clients |
Type of Licence required to be eligible |
Global Business Corporations (GBC) |
GBC |
GBC |
DTA Benefits |
Yes |
Yes |
Yes |
Taxation |
15% on net profits (minus 80% Partial Exemption subject to meeting the Substance Requirements *) |
15% on net profits (minus 80% Partial Exemption subject to meeting the Substance Requirements *) |
15% on net profits (minus 80% Partial Exemption subject to meeting the Substance Requirements *) |
Minimum Stated Capital |
MUR 10,000,000 - circa USD 283,000 (including underwriting); or MUR 1,000,000 - USD 28,300 Circa (excluding underwriting) |
MUR 600,000 - circa USD 17,000 |
MUR 700,000 - circa USD 20,000 |
Total Government Fees |
USD 15,250 (including underwriting); or USD 6,000 (excluding underwriting) |
USD 4,500 |
USD 5,250 |
GBC Licence Processing Fees |
USD 500 |
USD 500 |
USD 500 |
GBC Annual License Fees |
USD 1,950 |
USD 1,950 |
USD 1,950 |
Investment Dealer License Processing Fees |
USD 3,000 (including underwriting); or USD 750 (excluding underwriting) |
USD 250 |
USD 500 |
Investment Dealer License Annual Fees |
USD 9,500 (including underwriting); or USD 2,500 (excluding underwriting) |
USD 1,500 |
USD 2,000 |
Registrar Annual fees |
USD 300 |
USD 300 |
USD 300 |
Financial Statements |
File audited financial statements within 6 months of financial year end. |
File audited financial statements within 6 months of financial year end. |
File audited financial statements within 6 months of financial year end. |
In order to issue a GBC Licence, the Mauritius FSC considers whether the company has substance in Mauritius through its management and control. The following substance requirements are considered:
(1) The Company shall have at least 2 dire ctors, resident in Mauritius;
(2) The Company shall maintain at all times its principal bank account in Mauritius;
(3) The Company shall keep and maintain, at all times, its accounting records at its registered offic e in Mauritius;
(4) The Company shall prepare its statutory financial statements and causes such financial statements to be audited in Mauritius;
(5) The Company shall provide for all meetings of directors to include at least 2 directors from Mauritius; and
The Company must meet, at all times, the following additional pre-defined substance requirements:
(6) carry out its core income generating activities in, or from, Mauritius, as required under the Mauritius Income Tax Act, as amended and this includes:
(a) carrying out its core income generating activities in Mauritius;
(b)employing, dire ctly or indire ctly, an adequate number of suitably qualified persons to conduct its core income generating activities; and
(c)incurring a minimum expenditure proportionate to its level of activities.
(7) be managed and controlled from Mauritius; and
(8) be administered by the Management Company, Premier Financial Services Limited.
The Investment Dealer companies are particularly beneficial for Brokerage Houses operating worldwide since:
• Mauritius has the advantages of having a modern and flexible Securities Law.
• It issues clear Investment Dealer licences within reasonable time, requires reasonablecapital requirements, charges reasonable license fees and has a low tax rate.
• Mauritius is one of the best places to save on costs and at the same time, client can enjoy the array of service providers in the country.
Premier Financial Services Limited provides the following main services with respect to the activities of the Investment Dealers:
•Structuring services
•Licence Application and renewal of Investment Dealers Licence
•Provision of registered office address
•Provide professional dire ctors and qualified secretary resident in Mauritius
•Open bank accounts
•Preparation of quarterly accounts and filing with authorities
•Prepare and file tax returns
