Setting Up a Trust in Mauritius
A complete guide to the process, documents, costs and key considerations for establishing a discretionary, fixed or purpose trust under Mauritius law.
Mauritius is a well-recognised trust jurisdiction governed by the Trusts Act 2001, administered by the Financial Services Commission (FSC) and interpreted by a sophisticated local judiciary drawing on English common law principles. A Mauritius trust can hold assets located anywhere in the world — including company shares, real estate, investment portfolios, intellectual property and bank accounts — and is commonly used for multi-generational succession planning, asset protection from future creditors or forced heirship regimes, family governance and cross-border wealth management. The settlor retains significant flexibility to customise the trust deed — including reserved powers, letter of wishes, protector mechanisms and distribution schedules — while maintaining the arm's length relationship with trust assets required for effective legal separation.
Types of trust available in Mauritius
Discretionary trust
The most common form for wealth structuring. The trustee has full discretion over the timing, amount and recipient of distributions within a defined class of beneficiaries. The settlor may guide the trustee through a non-binding letter of wishes. Because no beneficiary has a fixed entitlement, a discretionary trust provides the strongest asset protection profile and maximum flexibility for multi-generational planning.
Fixed trust
Beneficiaries have fixed, defined entitlements to income and/or capital — for example, equal shares to four named children on attaining age 25. Less flexible than a discretionary trust, but useful for specific wealth transfer objectives where the settlor wants certainty of outcome and the distribution formula is unlikely to need revision over time.
Purpose trust
Created for a specific purpose rather than for identified beneficiaries. Under the Trusts Act 2001, a purpose trust must have an enforcer responsible for ensuring the purpose is carried out. Commonly used in structured finance as a bankruptcy-remote orphan vehicle, or as the holding entity above a Private Trust Company (PTC) where the purpose is to hold shares in the PTC in perpetuity.
Charitable trust
Established for charitable purposes as defined under the Trusts Act 2001. Does not require an enforcer in the same manner as a purpose trust. Can be used to formalise a family's philanthropic programme, hold endowment assets and distribute to qualifying charities — including international NGOs — subject to the trustee's supervision and applicable AML obligations.
How to set up a trust in Mauritius
Define your objectives and governance structure
We conduct a detailed briefing to understand the assets to be settled, the identity and relationships of intended beneficiaries, the settlor's concerns (forced heirship exposure, creditor risk, succession timing) and governance preferences. At this stage we also assess whether a protector should be appointed, whether the settlor wishes to retain any reserved powers under the deed and whether a PTC structure is warranted.
Select the trustee and establish the holding vehicle
Appoint a licensed professional trustee (such as Sunibel) or establish a Private Trust Company to act as trustee. For families with significant assets and complex governance needs, a PTC — a dedicated Mauritius company licensed by the FSC specifically to act as trustee — provides greater family involvement in decision-making while maintaining professional oversight. We advise on the pros and cons of each approach based on your asset profile and family dynamics.
Draft and negotiate the trust deed
The trust deed is the founding constitutional document. It defines the trust's governing law (Mauritius), duration (up to 99 years under the Trusts Act 2001 for non-charitable trusts), trustee powers, distribution provisions, reservation of powers (if any), protector's veto rights and the procedure for trustee removal or replacement. We prepare the initial draft and work through any revisions with the settlor's legal advisors in their home jurisdiction.
Complete KYC and FSC notification
All parties — settlor, beneficiaries, protector (if applicable) and any UBOs of underlying entities — must pass standard AML/KYC due diligence as required by the FSC's AML/CFT guidelines and the Financial Intelligence and Anti-Money Laundering Act 2002 (FIAMLA). For international families, this includes certified passports, apostilled police clearances and source-of-wealth documentation. The trustee notifies the FSC of the trust establishment and obtains the trust registration number.
Transfer assets into the trust
Assets are settled into the trust by the settlor — typically via a deed of gift or a sale at fair value. The trustee takes legal title and administers the assets in accordance with the deed. For company shares, a stock transfer form is executed; for real estate, a notarial deed of transfer is required; for bank or investment accounts, account mandates and beneficial ownership records are updated. We coordinate each asset class transfer and update the trust's asset register accordingly.
Ongoing administration and compliance
Following establishment, the trustee assumes responsibility for ongoing administration: maintaining trust records and minutes, preparing annual accounts, filing tax returns with the MRA, distributing in accordance with the deed and letter of wishes, and conducting periodic reviews of the trust's compliance status. The FSC requires licensed trustees to maintain CRS and FATCA classification records and, where the trust is a Reporting Financial Institution, to file annual reports with the MRA.
Key requirements for establishing a Mauritius trust
- At least one trustee must be a company holding a Trustee Licence issued by the Financial Services Commission (FSC) of Mauritius — a licensed Management Company such as Sunibel.
- The trust must have a valid, written trust deed executed by the settlor and accepted by the trustee. The deed must specify the governing law (Mauritius), the objects or beneficiaries, the trustee's powers and the duration.
- Non-charitable trusts may endure for a maximum of 99 years under the Trusts Act 2001. Purpose trusts must have an enforcer appointed in the deed.
- Full AML/KYC documentation is required for all parties: settlor, all named and ascertainable beneficiaries, protector (if appointed) and any individual exercising effective control over the trust.
- Source of wealth and source of funds documentation is required for all assets being settled into the trust — particularly for significant transfers of cash, investment portfolios or company shareholdings.
- The trust must maintain proper accounting records and prepare annual financial statements. Licensed trustees are required to retain these records for at least seven years.
- Where the trust holds assets in foreign jurisdictions, local legal opinions may be required to confirm the recognition and validity of the trust structure in those jurisdictions — especially for real estate in civil law countries.
- CRS and FATCA self-certification is required from all controlling persons and reportable account holders. Where the trust is a Reporting Financial Institution under the Mauritius IGA, annual returns must be filed with the MRA.
Indicative costs
| Item | Indicative range |
|---|---|
| Trust deed drafting & establishment | USD 3,000 – 8,000 |
| PTC incorporation & FSC licensing (if applicable) | USD 5,000 – 12,000 |
| Annual trustee fee (licensed trustee) | USD 5,000 – 15,000+ |
| Annual trust administration | USD 2,500 – 8,000 |
| Annual trust accounts preparation | USD 1,500 – 4,000 |
| Asset transfer coordination (per asset class) | USD 500 – 2,000 |