Advantages of brokering in Mauritius
Mauritius is one of the most favorable jurisdictions for brokerage activities. Among its advantages are quick registration, low taxes, reasonable licensing fees. It is also worth noting the excellent banking infrastructure, 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, 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 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, other securities.
- Transactions can be conducted from abroad.
- Strict privacy laws.
- Fast and easy registration.
- Flexible company, securities and trust laws based on international norms.
- 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 has a number of agreements on the protection of investments, their promotion.
On the island since 1989, operates Mauritius Stock Exchange, which 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, such 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., in order to resell them.
- Provide advice in addition to normal business activities.
- Handle 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 regulator
- Certificate of Registration.
- If the broker has already obtained a license or authorization in Mauritius or in any other country, a certified copy should be provided.
- List of shareholders, directors and information about them.
- Recent financial statements.
Authorized capital - from 700 thousand Mauritian rupees or equivalent amount in another currency. The applicant must provide an undertaking that this amount will always be in the account and if not, they will not make transactions, start transactions 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 firms 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.