AXYS Stockbroking - Securities Market Overview

Securities Market Overview

The Mauritian securities market is governed by the Securities Act 2005 and regulated by the Financial Services Commission (FSC).

The Stock Exchange of Mauritius (SEM) is the sole securities exchange in Mauritius and specialises on equity and fixed income securities.

The SEM is still a 'traditional' market whereby sellers cannot 'short sell' (i.e. sell securities that they do not yet own) and buyers have to take delivery of securities that they purchase. The SEM allows trading in multiple classes of securities: equity, fixed income and exchange traded funds (ETFs).

Equities are traded on two markets: the 'Official List' and the 'Development and Enterprise Market' (DEM). The difference between the two lies principally in the minimum free-float and number of shareholder thresholds. Fixed Income securities are also traded on multiple boards: one for 'Official List' debentures, one for 'DEM' debentures, and final board for Government of Mauritius Treasury Bills. ETFs are all traded on the same board at equities.