CIS – PCC

The legal framework for CIS in Mauritius is primarily governed by the Securities Act 2005 and the Financial Services Act 2007. For PCCs, the Protected Cell Companies Act 1999 provides the necessary legal structure. Together, these laws ensure that CIS structured as PCCs operate within a well-defined and secure legal framework.

One of the primary advantages of using a PCC for a CIS is the segregation of assets and liabilities within separate cells. This structure ensures that the assets of one cell are protected from the liabilities of other cells, providing a high level of asset protection and risk isolation. This is particularly beneficial for CIS managers who wish to offer multiple investment strategies or funds under a single corporate structure.

The PCC structure offers significant flexibility in fund structuring, allowing for the creation of multiple cells under a single corporate entity. Each cell can represent a distinct investment strategy, asset class, or investor group, providing investors with a tailored investment experience. This flexibility is particularly advantageous for CIS managers looking to diversify their offerings and attract a broad range of investors.

By operating multiple CIS investment funds under a single CIS PCC structure, Fund managers can achieve significant cost efficiencies. Shared administrative and operational resources, such as accounting, compliance, and legal services, can reduce overall costs and improve operational efficiency. This is particularly beneficial for smaller funds or new fund launches, where cost efficiency is a critical factor.