An asset management licence from the FSC of Mauritius allows a company to offer specialised financial services that involve managing clients’ assets. This encompasses a variety of services including portfolio management, investment advice, and strategic asset allocation. Companies holding this licence can operate with the credibility and regulatory assurance provided by the FSC, ensuring they adhere to the highest standards of financial practice and transparency.
Advantages of Holding an Asset Management Licence in Mauritius
Regulatory Assurance and Credibility
The FSC of Mauritius operates under a regulatory framework that aligns with international best practices. This provides a high level of confidence and trust among clients, knowing that their assets are managed under the supervision of a regulator.
Moreover, Mauritius has established itself as a stable and reputable jurisdiction for financial services. Holding an asset management licence from the FSC signals to clients that a firm is reliable and adheres to regulatory standards.
Tax Efficiency
Mauritius offers an attractive tax regime for global business companies. The jurisdiction has a low corporate tax rate, and there are various tax treaties in place that can minimise withholding taxes on dividends, interests, and royalties.
Global Business Companies (GBCs) managing assets from within Mauritius benefit from exemptions on capital gains tax, which can enhance the returns on investment portfolios.
Access to International Markets
Mauritius is strategically located as a gateway to both African and Asian markets. This geographical advantage allows asset management firms to tap into emerging markets with significant growth potential through its extensive network of DTAAs to facilitate smooth cross-border investments and reduce the tax burden on international transactions.
Business Environment and Infrastructure
Mauritius consistently ranks high in the global ease of doing business indices. The regulatory environment is business-friendly, and the process of obtaining licences and approvals is streamlined and efficient. Furthermore, the country boasts state-of-the-art telecommunications and financial infrastructure, ensuring seamless business operations and connectivity with global markets.
Steps to Obtain an Asset Management Licence in Mauritius
1. Preparation and Planning
Develop a comprehensive business plan that outlines your asset management strategies, target markets, and financial projections.
2. Application Submission
Blue Azurite will assist you in the preparation of the application documents and will submit all necessary documentation, including the business plan, financial projections, and details of the directors and key personnel amongst other documents to the authorities. The authorities will then start a thorough compliance check to ensure the application meets all regulatory standards.
3. Approval and Licensing
The FSC may request additional information or clarification and once the review is complete and the application is approved, the FSC will issue the asset management licence. Blue Azurite will finalise the opening of the bank account once the licence has been issued.
4. Operational Readiness
Establish the necessary infrastructure and operational systems to start you asset management operation. Hire and train staff to ensure they are well-versed with the regulatory requirements and best practices of asset management.
As you have read above, obtaining an asset management licence from the FSC of Mauritius offers numerous advantages for financial professionals seeking to expand their service offerings. The robust regulatory framework, tax efficiencies, access to international markets, business-friendly environment, and availability of skilled professionals make Mauritius an ideal jurisdiction for asset management activities. By securing this licence, firms can enhance their credibility, attract international clients, and optimise their business operations in a strategically advantageous location.
