Smart investments and data security go hand in hand to ensure the safety of business and build trust between the business and its customers. It may be tempting to reduce cybersecurity investments during times of economic uncertainty. But prevention is better than cure and is more economical to prevent the occurrence of an incident than paying for cleanup and recovery.
While investment banks often have sophisticated security strategies with firewalls and anti-virus software, it’s essential for them to remember that a successful strategy for cybersecurity requires more than tools such as those. It also includes best practices like limiting access to sensitive data to those who need it, encrypting and authenticating. It is also essential that financial institutions invest in the human firewall, since nearly 90% of data breaches are the result of errors made by employees.
Investment banks can boost their data security strategies, as well as avoiding cyberattacks. This is possible through using technologies such as blockchain. This technology improves security by encrypting data both at the point of storage and during transit, making it unreadable to non-authorized users. Additionally, it allows companies to monitor and secure their assets, allowing them to avoid data loss as well as other negative consequences.
Many financial companies struggle with the risk of losing sensitive customer or investor information. This can happen when the role of data security in wealth management employees take work devices out of the office, take part in offsite meetings or opt to work from home. By implementing solutions like DLP, investment banks are able to apply their data protection policies regardless of whether a device is connected to the company network or a home or public WiFi, or is not connected to the Internet at all.