By Eric Bernstein, CEO, Drawbridge
Cyber risk has become a defining factor in how private equity firms protect value, manage portfolios and demonstrate governance to investors. Yet for many PE sponsors, cyber oversight remains fragmented, reactive or difficult to scale across multiple portfolio companies. In this three-part series, we explore how portfolio-level cyber analytics are reshaping private equity oversight in 2026. We look at why point-in-time assessments are no longer enough, how a consistent cyber score creates clarity and comparability across portfolios, and how private equity firms can actively use cyber data to prioritize remediation, strengthen reporting and support value creation throughout the investment lifecycle.
For private equity firms, cyber maturity has historically been difficult to define, let alone compare. Portfolio companies operate in different sectors, at different stages of growth, with varying internal resources and technology stacks. As a result, cyber risk has often been discussed in broad, qualitative terms rather than measured consistently.
That approach is becoming increasingly unsustainable. In today’s market, cyber maturity is no longer judged in isolation. Investors, buyers, insurers, and regulators are comparing firms against one another, whether PE firms choose to participate in that comparison or not. Without a common metric, sponsors are left managing cyber risk without a shared language or defensible benchmark.
Why a portfolio needs a common metric
At portfolio level, inconsistency creates blind spots. One portfolio company may present well in isolation, while another carries disproportionate risk that only becomes visible late in the investment lifecycle. Without a standardized way to measure cyber posture, private equity sponsors – the firms responsible for portfolio-wide governance rather than day-to-day company management – struggle to prioritize remediation, track progress or communicate clearly with LPs.
A portfolio-wide cyber score changes that dynamic. It provides a consistent reference point across every entity, enabling sponsors to understand relative maturity, identify outliers and focus attention where it matters most. Importantly, it also creates alignment between sponsors and portfolio company management teams by grounding discussions in objective data rather than subjective assessments.
The cyber score as market context, not abstraction
A meaningful cyber score is not just an internal management tool. It reflects how firms are already being viewed externally. Increasingly, cyber maturity is assessed comparatively during due diligence, regulatory reviews, and insurance underwriting. Firms are measured against peers, and gaps are quickly exposed.
This is where independence and data scale matter. A score derived from a narrow ecosystem or a single IT provider’s client base offers limited context. In contrast, a score grounded in broad market data provides PE firms with a realistic view of how portfolio companies stack up across the industry, not just within a closed environment.
Customized benchmarking for better decisions
One of the most important developments in cyber scoring is the ability to customize peer benchmarking. Not all comparisons are equally useful. A software business should not be measured against a manufacturing firm, nor a growth-stage company against a mature enterprise.
Customized peer groups allow sponsors to benchmark portfolio companies against organizations that are genuinely comparable by size, sector, geography or operating model. This creates more relevant insight and supports better decision-making. Sponsors can identify which companies are performing strongly relative to peers, and which require targeted intervention to avoid becoming value-draining areas of elevated risk.
Just as importantly, customized benchmarking allows PE firms to identify characteristics they want to emulate across the portfolio, using high-performing peers as reference points rather than theoretical best practice.
From score to strategic tool
When used correctly, a cyber score becomes far more than a compliance checkbox. It becomes a portfolio management tool that supports prioritization, reporting, and governance. Strong scores can be used to demonstrate maturity to LPs and buyers, while weaker areas are surfaced early enough to address without time pressure.
In an environment where cyber scrutiny continues to intensify, knowing your portfolio’s cyber position is no longer optional. The firms that benefit most will be those that treat the cyber score not as a technical output, but as a strategic signal – one that creates clarity, confidence and control across the portfolio.
To learn how the Drawbridge Cyber Risk Intelligence platform supports continuous portfolio oversight, benchmarking and remediation tracking, visit our Portfolio Analytics page or speak with a member of our team.
