MAURITIUS Law and Practice Contributed by: Bhavna Ramsurun, Pinki Mahata, Lorna Senivassen and Shreya Mungur, BLC Robert & Associates
3.1.2 Common Process for Setting Up Investment Funds A fund in Mauritius is regulated as a CIS or a CEF and a fund authorisation is required from the FSC. A retail fund conducting business princi - pally outside of Mauritius, the majority of whose shares/voting rights/legal or beneficial interests are held by non-citizens, will also be required to apply for a GBL. The process for setting up retail funds would entail making a similar name reservation and for - mal application to the authorities as described in 2.1.2 Common Process for Setting Up Invest- ment Funds and the same timeframe and fees would apply. 3.1.3 Limited Liability The liability of investors participating in struc - tures such as companies limited by shares or limited partnerships will be limited to the amount they have contractually undertaken to pay to the fund, so long as their participation remains pas - sive, as detailed in 2.1.3 Limited Liability . 3.1.4 Disclosure Requirements A fund authorised in Mauritius needs to file an offering document with the FSC. The type of offering document and the relevant disclosure in this document will vary depending on the cat - egory of the fund and the target investors. The offering document should contain all the neces - sary information on the securities to be offered and the fund to enable investors to make an informed assessment of the investment. A prospectus is required for funds targeting the public or retail investors and needs to comply with the prescribed disclosure requirements, including the matters required by the Mauritius Securities Act 2005 and the rules and regula - tions made thereunder, such as:
• investment objectives and restrictions; • the details and functions of the investment manager; • events concerning the termination of a man - ager’s appointment; • the types of investors targeted and the rec - ommended lock-in periods; • the terms of subscription (including minimum initial or subsequent investment, distribution rights, entry or exit fees, method/procedure of subscription or redemption, and method and frequency of NAV calculations); and • any fees or charges to be attributed to the fund. Reporting Requirements Collective investment schemes (retail funds) An open-ended retail fund must file audited financial statements and an annual manage - ment report with the regulator, containing mat - ters prescribed by the fund regulations. The audited financial statements should be made public unless the fund holds a GBL. Closed-end funds (retail funds) A closed-end retail fund must file with the regula - tor and make public the following: • comparative quarterly financial statements prepared in accordance with the International Financial Reporting Standards (IFRS), no later than 45 days after the end of each quarter; and • an annual report, including audited com - parative financial statements prepared in accordance with the IFRS and audited as per International Standards on Auditing (or such other permitted standards), no later than 90 days after the fund’s balance sheet date.
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