Investment Dealer


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Investment dealer licence

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The Investment Dealer licence as issued by the Financial Services Commission in Mauritius is getting increasing popularity among many of the Brokerage Houses worldwide. Application for Investment Dealer licence must be made under the structure of a Global Business Company (GBC) and licence is granted subject to the approval of the Financial Services Commission. The Securities Act 2005 coupled with the the Securities (licensing) Rules 2007 remain the main legal framework governing the provisions and setting the parameters within which a GBC with an Investment Dealer licence can operate.

The Securities (licensing) Rules 2007 clearly set out the activities authorized to be carried out under an Investment Dealer licence:

Type of Licence Authorised to:
Investment Dealer (Full Service) Can be with or without underwriting

– Act as an intermediary in the execution of securities transactions for clients;

– Trade in securities as principal with the intention of reselling these securities to the public;

– Underwrite or distribute securities on behalf of an issuer or a holder of securities;

– Give investment advice which is ancillary to the normal course of his business activities; and

– Manage portfolios of clients

Investment Dealer (Broker)

– Execute orders for clients;

– Manage portfolios of clients; and

– Give advice on securities transactions to clients

– Give advice on securities transactions through printed materials or any other means

Investment Dealer (Discount Broker) – Execute orders for clients without giving advice

Requirements for Set up of a Global Business Company with Investment Dealer (Full Service Excluding Underwriting) license:

  1. KYC of Directors/Shareholders/Ultimate Beneficial Owners as per Due diligence Checklist
  2. Consent form of Director & shareholder to be signed (will send those forms duly filled in for signature once order confirmed).
  3. Personal Questionnaire Form (PQ) to be filled in and signed by the Director/Shareholder/ Ultimate BO (form to be sent later).
  4. Detailed Business Plan
    There is no specific format for the business plan, but should include the following details, among others:

      • Introduction and background of director(s)/beneficial owner(s)/shareholder(s)
      • The rationale for setting up the company in Mauritius
      • Business objective, strategy and proposed activity
      • Detailed description of the products (securities) on which the services will be provided
      • Details on the pricing methodology of ‘securities’
      • Confirmation with related details whether company will be linked to any securities exchange
      • Capital investment and source of funding
      • Details on the Organization structure/team

    Note: Need to ensure that the company has at all times two officers based full time and who are conversant with the operations of an investment broker.

    • Composition of members of the investment brokerage team (inc. qualifications & experience)
    • An indication as to who will be responsible to carry out the AML/CDD checks and where these documents will be kept with confirmation that these will be made to the FSC upon request
    • Target customers/Client profile and targeted geographic markets
    • Location where the business activity will be conducted
    • Place where server will be hosted
    • Minimum amount client needs to open an account with the company
    • 3 years’ financial forecasts (Profit & Loss, Cash Flow and Balance sheet)

     

  5. Draft copy of the Operations and Compliance Manual
    The manual should be well detailed including information like:

    • Internal procedures describing the operational & compliance processes
    • Indication as to who will be responsible to conduct due diligence checks on clients and confirmation that same will be kept at its registered office address.
    • Organizational structure with clear lines of responsibility, supervision & authority
    • Detailed description of measures to be put in place with regards to infrastructure, confidentiality, security and safety of client information and records.
    • Details of IT infrastructure to support the day to day operations
    • Internal controls systems
    • Risk management policies & procedures
    • Policies and processes on conflict management & monitoring of unethical conduct & market abuse
    • Policies and processes to ensure compliance with applicable laws and regulations
    • Internal audit procedures
    • Internal dispute resolution system
    • Draft copy of the Disaster Recovery and Business Continuity Plan.
    • Procedures for complaints handling and indication as to who will be responsible to handle complaints & the time frame within which complaints will be handled.

     

  6. Draft customer agreements
  7. An indication of the amount of professional indemnity insurance cover that the company intends to subscribe to, along with a quote from the insurer.

NOTE: The above are the standard documents which are normally requested by the Financial Services Commission (FSC) but given that each application is dealt with on a case-to-case basis, additional information may be requested by the FSC upon review. If the promoters of the proposed company already have investment-related licence in some other jurisdictions, then this will definitely act as an advantage for the review of the application.

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Blueprints of success: what clients say about us

We would like to thank the team at VA Global Ltd for providing exceptional service to Blessov Ltd Mauritius since 2012. Your personal commitment to meet our demands and accuracy continuously exceeds our expectations. You have become a trusted resource from the moment you registered our company and began to handle our company accountancy . Your enthusiasm for the dedication in providing Blessov with timely and efficient solutions made the decision to continue year after year with VA Global. The key factors for choosing to work with VA Global is your in depth knowledge , dedication to fulfil our requirements as well as your ability to supply Blessov Ltd with day to day information . Throughout the years we have learnt to appreciate your high level of service you repeatedly provide. I would like to specifically thank you for the extraordinary service that you provide every time we need. We Blessov Ltd are very satisfied and happy to be your client and are looking forward to a long-lasting relationship.
Blessov Ltd
In 2015 we created our company Austral Technical Management in Port Louis - Mauritius. All the process was successfully handled by VA Global, with the so efficient leadership of Vidya Ramanah and her team. Even in the more complicated moments they have been at all times extremely serviceable and kind. Their advice was always accurate and wise.
Austral Technical Management
Having worked tightly and in various occasions with VA Group for several years, we can confirm that our experience was always amazing and up to SFM expectations.
SFM Corporate Services
Our experience for the past eight years with VA Global Limited as a management company institution has been excellent. Their resolution to issues are expeditious and their responses are quick.
Dunitek Limited
Our Company ICOM Ltd providing offshore manpower and catering services working with VA Global Business Ltd for many years. We are very satisfied with the quality of services of VA Global providing to our International business. With no hesitation we recommend VA Global
ICOM Ltd
It’s a very delightful and an excellent experience to work with VA Global. Staff is commendable, proactive, skillful and have complete knowledge of the subject matter. They work as a partner which is excellent
Innovis Telecom Services Ltd
We have been collaborating with your firm for a number of years and our experience has been most positive from the very beginning. The advice we received was essential and timely. The level of services was professional. Keep on doing great job!
Privacy Unlimited Ltd
We, BBC Incorp, have such a great experience in working with VA Global Limited. The entire staff is amazing as always fast in response and very knowledgeable to answer our questions in an easy way to understand as well as handle any issues with professionalism. We really appreciated all of the support and will continue using your company service whenever we need. Thank you for your hard work and great performance.
BBCIncorp
VA Global as a management company in Mauritius stands out and our experience has been excellent with them.  They have expertise in helping any new client in incorporating a new company, open bank accounts, legal documentation, making financial summaries and accounts. We have been associated with them for more than a year now.
Quramax Holding

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