A Protected Cell Company (PCC) is an innovative and cost‑efficient structure designed to manage multiple investment portfolios or insurance products under one umbrella, while ensuring robust segregation of risk. It comprises a central “core” and a series of independent “Cells,” with each Cell having its own distinct assets and liabilities. This sophisticated ring‑fencing mechanism ensures that the obligations of one Cell do not impact the assets of another, offering strong structural protection and investor confidence.
- Single entity, multiple Cells: Although a PCC operates as a single legal entity, it may establish numerous Cells with separate and defined purposes or investment strategies.
- Asset segregation: Assets are clearly classified as either—
- Cellular Assets: Allocated to a specific Cell and ring‑fenced from all others.
- Non‑Cellular (Core) Assets: Controlled and held by the PCC itself.
- Ownership & returns: The PCC can issue Cell Shares that directly reflect the performance and ownership of individual Cells. Dividends may be distributed on a Cell‑by‑Cell basis, ensuring profits remain isolated to their respective portfolios.
- Legal framework: PCCs in Mauritius are governed by the Protected Cell Companies Act 1999 and the Protected Cell Companies (Amendment of Schedule) Regulations 2005, providing a well‑defined and secure legal foundation.
- Strategic applications: The PCC model is ideally suited for—
- Investment funds
- Insurance businesses
- Structured finance vehicles
Mauritius’s PCC regime reinforces the jurisdiction’s reputation as a dynamic and innovative hub for global investment structures, enabling efficient portfolio diversification with strong safeguards.
