A share (also known as stock) is essentially a portion of the capital of a company. The shareholders are the owners of a company. In theory, the owners make money when the company makes money, and risk losing money when the company loses money. As a shareholder, you can attend annual meetings, receive reports, dividends, and have rights to additional share issues.

A stock exchange is a regulated marketplace where shares, bonds, and derivatives are traded. It helps companies raise capital (primary market) and allows investors to buy and sell securities among themselves (secondary market). The Stock Exchange of Mauritius (SEM) was established in 1989.

The CDS is a subsidiary of the SEM and provides the logistic platform for depository, clearing and settlement services for the securities listed on markets operated by The Stock Exchange of Mauritius.

Although stock markets can be volatile, they have historically offered higher returns than many other investments. Benefits include easy access, low initial investment, low transaction costs, diversification opportunities, dividend income, capital gains potential, transparency, and shareholder rights.

A minor can hold a CDS account, but must be represented by one or both parents, or a legal guardian. To open an account for a minor, you should visit our customer desk. Visits on appointment only.

A joint account is shared by two or more people, typically family members who trust each other. Joint accounts can have restrictions like requiring multiple signatures. Joint account holders can agree in advance on how to manage the account and what happens when one holder passes away. Upon the death of one account holder, the account is temporarily suspended until heirs and survivors agree on next steps. To open a joint account, all joint holders should visit our customer desk. Visits on appointment only.

Yes. Foreign investors can trade on the Stock Exchange of Mauritius without prior approval. Foreign individuals need an MCB Ltd bank account; foreign institutions must complete additional formalities. To open an account if you are a foreign national, you should visit our customer desk. Visits on appointment only.

First you need to open a CDS account with us. A CDS account is a ‘securities’ account held with a CDS participant and is used for transactions in securities. MCB Securities Ltd is a participant in the CDS.

Then, you need to submit identity documents and proofs of residential address and bank accounts (minimum requirement).

Then select the securities you want to buy. We will provide you with a contract note which is evidence of your transaction; the same applies to sale of shares.

The minimum is one (1) share.

• Tax-free Capital gains, as per current laws
• Tax-free Dividends (up to a certain level of total income), as per current laws
• Low transactions and holding cost compared to other asset classes
• Flexibility compared to other asset classes
• Allows diversification among asset classes, areas, sectors and brands
• Possibility of re-investing dividends
• Liquidity compared to other asset classes
• Can start with a small initial investment
• Can benefit from further issues (bonus and rights)

Investing in the stock market involves several key risk factors, including:

• Market Risk: The overall market can decline due to economic downturns, geopolitical events, or financial crises, affecting most stocks.
• Company-Specific Risk: Poor management, product failures, lawsuits, or financial issues can impact a specific company's stock performance.
• Volatility Risk: Stock prices can fluctuate significantly in short periods due to news, investor sentiment, or trading volume.
• Liquidity Risk: Some stocks may be hard to sell quickly without affecting the price, especially in smaller or less-traded markets.
• Interest Rate Risk: Rising interest rates can negatively impact stock prices, especially for growth stocks and sectors like real estate.
• Inflation Risk: Inflation can erode the purchasing power of returns, especially if stock gains don’t outpace inflation.
• Currency Risk (for international investments or stocks traded locally in foreign currency): Changes in exchange rates can affect the value of foreign investments.
• Regulatory/Political Risk: New laws, taxes, or political instability can disrupt markets or specific industries.
• Emotional/Behavioural Risk: Investor overreaction, fear, or greed can lead to poor decision-making, such as panic selling or chasing trends.
• Timing Risk: Wrong timing in buying or selling can significantly affect investment outcomes.

You buy shares from existing shareholders through their brokers (investment dealers). Payments go to the seller(s) of the shares via the seller’s broker and the clearing and settlement system, after deducting fees and commissions. When you sell, you sell to other investors willing to buy and you get paid by them through the same mechanism.

You will receive settlement via bank transfer; we shall have your MCB account debited or credited on the settlement date, currently three (3) business days after the transaction date.

A contract note is the legal record, and serves as the confirmation of, your transaction through us on stock exchanges, and it includes all details of the trade/s executed on a particular share / security, including a breakdown of all the charges incurred.

You will receive a CDS account statement every month, if there is at least one trade, or every six months. The statement will be sent by email to your registered email address, which is mandatory.

We shall suspend your CDS account, charge you interest on / for late payment, and we can go up to selling enough shares from your account to settle your debt.

No, all share transactions go through the stock market and must be handled by a licensed broker like MCB Securities Ltd. We can arrange for the transfer of shares, via the stock exchange, between a shareholder and his direct family.

Share prices change based on supply and demand. More buyers push prices up, while more sellers push prices down. Prices are also influenced by the company’s performance, economic conditions, and investor confidence.

Listed companies report quarterly performance via press releases and on this website. You’ll also receive annual reports detailing financial results and company outlooks. The value of your shares’ portfolio is available on MCB Internet Banking and MCB Juice.

Gains are only realized when you sell shares. Until then, any increase in value is an unrealized (paper) gain and can fluctuate.