Global Business & Taxation



Funds set up in Mauritius are commonly structured as companies holding a Category 1 Global Business Licence or as trusts or any other legal form approved by the Financial Services Commission.

A fund is normally a structure where the company’s business consists of investing its funds mainly in securities, real estate or derivatives with the aim of spreading investment risk and giving members of the company the benefit of the results of the management of its funds.

A fund can take the form of:

  • A close-ended company with a fixed share capital. Investors do not have the right to call for their shares to be redeemed at net asset value by the company. A close-ended company can be listed on the Stock Exchange enabling investors to buy and sell shares in the market thereby preventing any lock in. The company may be formed with a limited life after which the assets are distributed to investors on winding up.
  • An open-ended company with a variable share capital. Investors are allowed to redeem their shares at net asset value at pre-determined times in accordance with the constitution of the company.

It is also possible to constitute an umbrella fund under each of the foregoing structures. The umbrella fund may comprise of two or more sub-funds and investors subscribe for shares or units in specific sub-funds. Each sub-fund may have its own investment policy with segregated assets and accounting records. Investors may switch their investment from one sub-fund to another without redeeming their shares or units. A Mauritian fund can also be set up as a sub-fund of an umbrella fund not established in Mauritius.