Advantages of brokering in Mauritius
Mauritius is one of the most favorable jurisdictions for brokerage activities. Its advantages are quick registration, low taxes, and reasonable licensing fees. The excellent banking infrastructure is also worth noting, as well as the ability to open a multi-currency account, protected from hacking. Brokerage activity in Mauritius is conducted according to western standards. The jurisdiction is respected by other countries, and there are no problems with establishing international links.
Mauritius is a thriving offshore financial center, which was removed from the list of high-risk third countries by the European Commission in January 2022. The reason is the high progress that Mauritius has made in combating money laundering. The Commission noted the effective reforms and deemed the jurisdiction compliant with EU requirements.
Other advantages of Mauritius include:
- High economic growth rates of 5-8% per year.
- Ability to provide clients with first-class services for transactions in currency, stocks, bills of exchange, and other securities.
- Transactions can be conducted from abroad.
- Strict privacy laws.
- Fast and easy registration.
- Flexible company, securities, and trust laws based on international standards.
- Low taxes.
- Ability to obtain a residence permit in three days.
- Mauritius is a member of the International Court of Justice and the International Centre for Settlement of Investment Disputes.
- The island state has many agreements on the protection of investments and their popularization.
Since 1989, the Mauritius Stock Exchange operates, and it is a full member of the World Federation of Exchanges. It is open to global commercial companies and funds seeking a primary or secondary listing. It has a multi-currency platform for capital raising, listing, trading, and settlement. It is the only African exchange to trade in dollars, euros, and pounds sterling.
WHAT A BROKER CAN DO
Depending on the form of registration, the following brokerage activities are allowed in Mauritius:
- Sell securities on behalf of their owner.
- Act as an intermediary in transactions with customer securities.
- Sell and buy stocks, bills of exchange, bonds, etc., with the purpose to resell them.
- Give professional advice in addition to regular business activities.
- Manage client portfolios.
- Sell brokerage-related services to clients.
The Financial Services Commission (FSC) will not issue an investment broker license unless the broker meets all of the requirements listed in the Securities Rules of 2007. To obtain a license, the broker must provide the documents and information:
- Certificate of Registration.
- A certified copy should be provided if the broker has already obtained a license or authorization in Mauritius or any other country.
- List of shareholders, directors, and information about them.
- Recent financial statements.
Authorized capital can start from 700,000 Mauritian rupees or an equivalent amount in another currency. The applicant must provide an undertaking that this amount will always be in the account. If not, they must not make transactions and initiate operations until the balance is restored. At the same time, the broker must notify the regulator that 700,000 Mauritian rupees are not in the account.
Employees must have experience and qualifications that meet the rules specified in the Securities Act. Regardless of the form of registration, all brokerage companies must file financial reports every six months.
HOW TO REGISTER AS A BROKER IN MAURITIUS
To open a brokerage company in Mauritius, contact IT-OFFSHORE experts.