From Reactive to Proactive: Cybersecurity Needs of Financial Firms

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Over the last two decades, nearly one in every five reported cyber incidents has affected a financial services firm, according to the International Monetary Fund, causing direct losses of 12 billion dollars. Financial firms invest heavily (albeit unevenly) in cybersecurity, not least due to regulatory obligations as a critical pillar of the global economic infrastructure.

However, as CyXcel’s Chief Product Officer Megha Kumar writes in the Finance Derivative today, we need a more proactive approach to ensuring that organizational defences are robust and agile, business continuity and contingency plans are tested, and post-incident remediation plans cover everything from technology to litigation support.

When it comes to cybercrime, financial services are top targets, with firms around the world losing hundreds of millions to attacks every year.

That financially motivated attackers should be drawn to sector players is not surprising. Not only do they hold vast amounts of sensitive data and commercially sensitive assets, but they’re also responsible for significant funds.

Financial firms invest heavily into cybersecurity (albeit to varying degrees) – something that’s become increasingly mandatory owing to regulatory obligations, such as the EU’s Digital Operational Resilience Act (DORA) and other requirements for critical infrastructure entities.

However, in today’s rapidly evolving cyber landscape, financial companies shouldn’t treat cybersecurity as a tick-box exercise of administrative burden. Instead, it is critical that they are proactive in the face of emerging threats, of which there are many.

Today, nothing less than an incredibly robust defences and mapped out resilience policies that are tested and reviewed on a regular basis will be adequate.

Read the full article here: Financial firms must pay attention to a rapidly escalating cyber risk landscape - Finance Derivative

 

[Photo by Alexander Schimmeck on Unsplash]

We Can Help 

CyXcel’s multi-domain expertise in proactive cybersecurity transformation, regulatory compliance, incident response and post-breach litigation support enables financial firms to implement appropriate resilience and holistic remediation strategies.
 

For more information, or to speak with one of our team about how we can help your business, contact us today.