Enhancing cyber-resilience: safeguarding financial firms against cyber-threats and data breaches
Enhancing cyber-resilience: safeguarding financial firms against cyber-threats and data breaches
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THE ARTICLES ON THESE PAGES ARE PRODUCED BY BUSINESS REPORTER, WHICH TAKES SOLE RESPONSIBILITY FOR THE CONTENTS. Linedata Global Services is a Business Reporter client. How asset managers, hedge funds and private capital firms can ensure cyber-resilience and address AI threats.
The risk to investment management entities is particularly serious, because asset managers, hedge funds and private equity firms depend on uninterrupted access to trading applications and mission-critical data – and because they succeed or fail on the strength of their reputations. A ransomware attack that renders an organisation inoperative for days can cause substantial financial damage. Exposing sensitive client information in a data breach can have a devastating effect on investor confidence.
Firms without a robust cyber-resilience strategy face an existential threat. Cyber-resilient investment managers, by contrast, can lower the risk of a successful attack, reduce downtime, and minimise losses if a cyber-incident occurs. Moreover, they can be confident they meet regulatory compliance requirements and client expectations.
As 2025 unfolds, investment management businesses face three key cyber-resilience challenges:. 1. Regulatory requirements are increasing. As cyber-threats continue to evolve, particularly with the rise of AI-powered attacks, investment firms must proactively enhance their cyber-resilience capabilities to meet regulatory expectations and the challenges posed by an increasingly sophisticated threat landscape. Building a cyber-resilient organisation will simultaneously be more important and more challenging than ever before.
