Those within the finance industry are at constant risk of cyber criminals. There are numerous ways for cyber crime to find its way into hedge funds, including phishing and other data breaching methods. It takes the right protection plan for hedge fund cybersecurity to remain secure in the face of significant cyber risk.
Hedge Fund Cybersecurity Protocols to Safeguard Data
A cybersecurity breach can cost a hedge fund more than money. Often, a large-scale breach means loss of the private information of employees as well as a loss of client trust. When responsible for the money of others, businesses that exist within an online space are often vulnerable, but keeping an eye on the signs of cyber breaches, as well as constructing a strong cybersecurity plan is key to achieving strong risk posture.
When dealing in assets such as financial information and portfolios, a large target is often placed upon a business by fraudulent parties. One way cyber criminals attack is through ever-advancing use of phishing. What is key for defense against phishing tactics is employee education throughout every level.
Key aspects of a phishing defense plan are as follows:
- The use of personal devices to sign onto a company network should be prohibited
- Two-factor authentication should be necessary for signing onto company accounts
- Avoid clicking on hyperlinks within emails from untrusted sources
The ability to protect against phishing is a great first step for any hedgefund’s cybersecurity protocol, but there are other elements to a hedge fund’s online defense that should be noted.
For the past several years ransomware has become a frequent issue for hedge funds and other groups within the finance industry. Ransomware allows for malicious parties to extort hedge funds through file encryption, forcing users out of their own network unless a ransom is met. Installing a cybersecurity system to protect your business’s data is the main way to defend from targeted ransomware attacks and can prove effective when implemented well.
Hedge funds are responsible for the assets and information of clients, as well as their own employees. Drawbridge is aware that a robust hedge fund cybersecurity plan and a platform to match is key in the defense of any firms’ online assets. It is possible to remain stable in the face of growing cyber adversity, but action must be taken to shore-up cybersecurity to account for new threats.
