FSC - Financial Services Commission

FSC - Financial services commission

License categories

1. Full Service Dealer (Including Underwriting)

Such licence allows the licensee to trade in securities as principal with the intention of reselling these securities to the public, to underwrite or distribute securities on behalf of an issuer or a holder, to give investment advice which is ancillary to the normal course of its business activities and to manage portfolio of clients.

Minimum unimpaired stated capital of MUR 10 million or an equivalent amount in a major currency and shall have a Professional Indemnity cover that varies with the volume of activities and risk of its business.

2. Full Service Dealer (Excluding Underwriting)

As opposed to the Full Service Dealer Including underwriting, this category of licence does not allow the licensee to underwrite or distribute securities on behalf of an issuer or a holder.

Minimum unimpaired stated capital of MUR1 million at all times or equivalent amount in a major currency. The licensee is also requested to have a Professional Indemnity cover that varies with the volume of activities and risk of its business.

3. Investment Dealer – Broker

An Investment Dealer – Broker licence allows the licensee to execute orders for its clients, to manage portfolio of clients and to give advice on securities transactions to its clients.

Minimum unimpaired stated capital of MUR 700,000 or equivalent in any major transaction and it should also comply with the minimum competency standard requirements for its representatives and officers.

You will require 2 dealers to be appointed, however they can be based anywhere geographically and it is usual practice that the shareholders appoint their own dealer team.

Timeframe

The preparation of the application package takes approximately 1 (one) month. Upon submission of the application package, the Commission will examine it and will come back asking for additional information and clarifications. The timeframe for approval is usually 8-12 months from the date of submission of the application package to the Commission.