Cybersecurity, Cyber Risk and Financial Sector Regulation and Supervision

The threats and impacts of cyber attacks on financial sectors are on the rise and authorities in the financial sector are trying to cope with cyber risk and cyber security issues.

According to the estimates of the World Bank Group, customers of financial services in 2016 experienced 65% more cyber attacks than customers in any other industry, up 29% over the previous year.

It is important to improve coordination between financial authorities and other agencies dealing with cyber risk and cyber security. In order to proceed with this work, the World Bank Group published two reports.

Financial security indicators for the financial sector to assess existing regulatory and regulatory practices, including cyber security laws, regulations, guidelines, and other important documents related to cyber security in the financial sector

Several major jurisdictions are strengthening regulations and regulatory practices to deal with cyber risk. The best practices from all over the world are as follows.

Establish coordination agreements with financial sector authorities and other agencies involved in the monitoring and monitoring of cyber risk as well as financial stabilization agreements

Sharing voluntary and anonymous network event information among market participants. Regulators prepare classification criteria for risks and incidents and require mandatory reports to estimate the actual or potential impact on basic service continuity to facilitate information sharing

Some jurisdictions require financial institutions to develop an ICT strategy including incident response plans and a framework for risk management and a clear command system to make necessary business decisions. In some countries it is also required to appoint an information security officer.

However, as pointed out in the article on "Cyber ​​security regulation and regulation of the financial sector", more work is needed.

As with the New York State Department of Treasury cyber security regulations, the US Securities and Exchange Commission is in charge of the board of directors of listed companies to plan and respond to cyber security vulnerabilities. "I would like the US Securities and Exchange Commission to disclose cyber security risks and events important to investors to businesses," as stated in Intelligencer's article. Network engineering and technical support are part of our foundation and through this 360 degree approach to technical solutions and services in the areas of audiovisual, network and physical security, wireless / copper infrastructure, consulting / project management We will keep proud traditions. Coranet is ISO 9001, Lean Six Sigma, and WBENC certified.

Business leaders in the financial technology industry face difficult technical challenges and risks that network security is beyond the list. In the face of constantly changing cyber threat prospects, a fast pace of life cycle, and critical regulatory and compliance obligations, financial technology leaders face the same security challenges as huge existing companies in the financial industry But with much less budget And internal network security expertise is far less than its extensive network security expertise. As the peer attack model continues to evolve, it is more important than ever to positively implement cyber security best practices. You might be thinking about how to build the network security features your financial technology company needs. There are ten things you should ask yourself to help you plan an action plan:

Regulators agree that cyber security threats pose significant risks to financial companies, investors, and markets. As such, the focus of this year's regulatory review by financial industry regulators (FINRA) and the US Securities and Exchange Commission (SEC) is cyber security practice. At the recent annual meeting of FINRA in 2017, David Kelley, the director of the Kansas City regional office of the US financial industry regulatory authority, announced that the US Securities and Exchange Commission (SEC) Compliance Inspection and Inspection Bureau's Richard Hannibal He served as chief. Regulation and Senior Legal Advisor T. Rowe Price Investment Services, Inc. Andy Zolper, Senior Vice President and Chief Information Security Officer Raymond James Financial, Inc. Provides guidance on cyber security practices in the financial services industry