As far as we know, the Sunburst cyber attack hit government agencies, but Wall Street remained unaffected. For financial groups of all kinds, a mega cyber breach would be a worst nightmare.
More than 60% of finance executives anticipate that cyber security budgets will continue to grow. In the past four years, as cyber attacks skyrocketed, banks, brokers, insurers and other financial groups significantly increased cyber security spending.
This year alone, cyber spending increased by 15%, the rough equivalent of investing an additional $1 billion for each of the largest banks in the US.
The good news for the financial industry?
Banks have become difficult cyber targets for hackers. As a result, “the ‘bad guys’ have gone elsewhere,” says Accenture.
Among CISOs, efforts have been made to invest in new software and threat intelligence platforms. Other C-levels now participate in cyber security conversations and as a result, organizational security is stronger overall.
In addition, a project led by the financial industry, known as Sheltered Harbor, backs up data off-grid for savings and checking accounts across the US. In the event that an institution is hacked, this data can be used to restore consumers’ financial information.
Taking it to the bank
The Sunburst attack highlighted how vulnerable our most tightly secured organizations and resources really are. In the past 5 years, multiple serious cyber security issues have plagued banks, affecting millions of Americans.
“The financial system is interconnected and adversaries are smart and relentless—so we must continue to be vigilant,” says CEO of JPMorgan, Jamie Dimond.
For more on this story, visit Bloomberg.