16 Mar 2023
Financial licenses
16.03.2023 Universepay

Brokerage license in Mauritius

Due to stricter regulations governing the financial industry in the European Union, global corporations are seeking other jurisdictions to legitimize their operations. Nonetheless, getting a suitable license is still essential, even in offshore locations. Consider obtaining a brokerage license in Mauritius.

The Republic of Mauritius is among the most sought-after jurisdictions for securing a brokerage license, offering an excellent opportunity to lawfully engage in the worldwide financial marketplace.

Situated in East Africa and approximately 900 km east of Madagascar, the Republic of Mauritius is a modern and rapidly growing offshore financial hub with a positive reputation, secure legislation, minimal bureaucracy, and a supportive government. Hence, if you wish to avoid the complex procedures of EU regulators while still conducting business freely and legally, Mauritius presents the perfect opportunity for that. In this jurisdiction, you can operate with minimal restrictions and additional expenses, relishing the comfort and liberty offered by this magnificent island paradise.

Regulation of a brokerage license in Mauritius:

In the Republic of Mauritius, the primary regulatory body for financial services, except for banking and global business, is the Financial Services Commission Mauritius (FSC Mauritius). Established in 2001, FSC Mauritius operates under a transparent international legal framework, including the Financial Services Act 2007, and is responsible for overseeing brokerage, credit, and leasing firms, as well as pension companies. As a result, non-residents seeking to secure a brokerage license from Mauritius must submit their application to the FSC.

The main laws governing the activities of the brokerage industry in Mauritius are:

  • Financial Services Act 2007
  • Securities Act 2005

    • The range of services that a company possessing a brokerage license in Mauritius can provide:

  • Acting as an intermediary in the execution of securities transactions;
  • Trading (buying and selling) securities on behalf of the issuer or holder;
  • Managing portfolios for clients;
  • Offering investment advice.

    • Advantages of obtaining a brokerage license in Mauritius:

  • Stable and actively developing economy;
  • Modern and flexible securities law in line with the European legal framework;
  • Relatively low tax rate (only 3% corporate income tax);
  • Comparatively low license fees and capital requirements;
  • The right to provide brokerage services in the majority of countries of the world (most of Europe, Africa, and the Asia-Pacific region);
  • Relatively fast approval and application process;
  • Recognition of the license by foreign brokerage organizations and international structures (since Mauritius is a member of ESAAMLG and has signed an agreement to combat money laundering and terrorist financing);
  • Reliability of jurisdiction;
  • Strict standards of AML compliance and confidentiality;
  • English and French are business and trade languages;
  • The time difference with Central Europe is only 2 hours, so you can easily interact with European partners.

    • Requirements for obtaining a brokerage license in Mauritius

    1. For the company:

  • Registration of a company in Mauritius;
  • Physical office in Mauritius with a minimum of 1 local employee;
  • Adoption of the company’s charter;
  • Opening a bank account at a local bank;
  • The presence of 2 directors with experience in the financial or brokerage sector (at least one of them should be a resident of Mauritius);
  • Detailed business plan for the company, including forecasts for the next 3 years;
  • Presence of a minimum authorized capital;
  • Drafted risk management policy and AML regulation;
  • Information about the appointed auditor, who is registered with the Mauritius Institute of Professional Accountants (MIPA).

    • 2. For individuals:

  • Copy of an identity document;
  • Proof of address (utility bill, certificate from bank statement);
  • Letter of recommendation from the bank;
  • CVs of all people involved in the management of the company;
  • Certificates of no criminal record.

    • The procedure for obtaining a brokerage license in Mauritius:

  • Filling out questionnaires and collecting documents for directors and shareholders;
  • Verification by the registration agent of all key personnel of the company (KYC);
  • Company registration in Mauritius;
  • Opening a corporate bank account;
  • Submission of an application and related documents for obtaining the license;
  • Communication with the regulator and making corrections (on request);
  • Obtaining the license.

    • Terms of obtaining a brokerage license in Mauritius

    On average, the duration of the process of obtaining a brokerage license in Mauritius is from 4 to 8 months.

    How To Get A Brokerage License In Mauritius

    If you need assistance in obtaining a brokerage license in Mauritius or other jurisdictions, please don’t hesitate to reach out to UniversePAY by sending an email to info@universepay.eu or completing the form below.

    Our team of skilled international lawyers will guide you through each step of the licensing process and address any inquiries you may have. By collaborating with UniversePAY, you will save time, money, and energy. Please feel free to contact us via any channel that best suits you.

    Contact us now!