Investment Structures for Alternative Investments in Mauritius

Alternative Investment Vehicles (AIVs) are legal entities or structures specifically designed to facilitate investment in non-traditional asset classes, commonly referred to as alternative investments. These asset classes include private equity, venture capital, hedge funds, real estate, commodities, infrastructure, and other illiquid or non-publicly traded investments.

An AIV serves as a dedicated structure through which investors gain exposure to a specific subset of assets or strategies, often operating alongside or as a complement to a primary fund.

Purpose of Alternative Investment Vehicles

The primary purposes of AIVs are to:

Provide Access to Alternative Asset Classes

AIVs allow investors to participate in investment opportunities that are not available through traditional vehicles like mutual funds or listed securities.

Facilitate Structuring Flexibility

AIVs offer fund managers the flexibility to structure specific investments that may not align with the mandate, jurisdiction, or regulatory constraints of a main fund.

Enable Regulatory and Tax Efficiency

AIVs are often used to isolate certain assets, investors, or strategies in a way that aligns with legal, tax, or compliance requirements in different jurisdictions.

Protect Investor Interests

By isolating specific investments or groups of investors, AIVs help manage risks and provide tailored governance, rights, or exit terms.

Enhance Operational Efficiency

AIVs are commonly used to participate in co-investments, follow-on rounds, or special situations without disrupting the structure of the main fund.

Common legal forms of AIVs

Protected Cell Company

A Protected Cell Company (PCC) is a special type of company that separates its assets and liabilities into different “cells” within the same legal entity. Each cell is legally independent, so if one cell has debts or financial problems, the others are not affected. This structure helps protect the assets of each cell from the risks of the others.Learn more about Protected Cell Company

Limited Partnership

Limited Partnerships in Mauritius are regulated by the Limited Partnerships Act 2011. When used for investment purposes (such as a fund), they may also fall under the Securities Act 2005 and require a Global Business Licence.

A Limited Partnership combines the flexibility of a partnership with some features of a company. It consists of:

At least one general partner, who manages the business and is liable for its debts.
One or more limited partners, who invest in the partnership but have limited liability and do not take part in daily management.

Unlike a typical partnership, a Limited Partnership in Mauritius can choose to have a separate legal personality, giving it the ability to own assets and enter contracts in its own name.

Learn more about Limited Partnership

Variable Capital Company

A Variable Capital Company (‘VCC’) is a company incorporated under the Companies Act and which carries its activities through its sub-funds and Special Purpose Vehicles (“SPVs”). A VCC needs to be authorised by the FSC as a VCC Fund pursuant to the Variable Capital Companies Act (“VCC Act”).

The rationale behind the Mauritius VCC is to compete to provide enhanced flexibility while reducing the costs of the structure itself.

The VCC can operate as a standalone entity or as an umbrella structure comprising sub-funds. Special Purpose Vehicles (SPVs) can also be set up under the VCC or its sub-funds.

For fund managers having several investment strategies and objectives, the VCC could prove to be the ideal vehicle since it can have different sub-funds operating as either closed-end funds or open-ended funds as well as SPVs.

If it so wishes, the VCC, its sub-funds and SPVs can all share a board of directors, a fund manager, CIS administrator and other service providers which ultimately provides significant economies of scale.

Furthermore, the sub-funds and SPVs in a VCC can opt to have a separate legal personality and be structured as companies, in which case, they may have different Boards, fund managers, shareholders, etc.

How Renesis Financials can help in investment structures for Alternative Investments in Mauritius

At Renesis Financials, we specialize in designing robust investment structures tailored to meet the diverse needs of fund managers, high-net-worth individuals, family offices, and institutional investors seeking exposure to alternative asset classes in Mauritius.

With our deep expertise in the Mauritius regulatory landscape and global best practices, we assist clients in setting up and managing:

Special Purpose Vehicles (SPVs) for real estate, private equity, and infrastructure projects
Authorised and Global Business Companies (GBCs) for cross-border investment flows
Protected Cell Companies (PCCs) to segregate assets and liabilities
Trusts and Foundations for wealth preservation and succession planning
Variable Capital Companies (VCCs) for implement several investment strategies and objectives through different types of sub-funds and SPVs under a ‘group’ structure

We provide end-to-end support, including regulatory licensing, compliance reporting, accounting, tax advisory, and local directorship services.

Whether you're launching a private equity vehicle, entering into structured finance, or establishing a long-term investment vehicle, Renesis Financials acts as your strategic partner to navigate Mauritius’ dynamic alternative investment environment with confidence.