Wolters Kluwer Legal & Regulatory U.S. has issued a new white paper, “Financial industry cybersecurity concerns grow, New York acts“, detailing recent regulatory responses to growing concerns surrounding cybersecurity in the financial industry.
The white paper provides an in-depth analysis of New York State's recently enacted and first-in-the-nation requirement that banks, insurance companies, and other regulated financial institutions establish and maintain a program to protect consumers and the industry. The paper provides detailed coverage of issues under consideration by federal banking agencies. It also outlines clear explanations of SEC and CFTC requirements and key implementation dates.
The paper is authored by Wolters Kluwer's leading securities and banking law experts, J. Preston Carter, J.D., LL.M., John M. Pachkowski, J.D., and Mark S. Nelson, J.D.
“To address growing concerns over cyber risks, federal and state regulators have bolstered efforts to develop new standards for cybersecurity,” said Pachkowski. “As these efforts continue, they will ultimately impact several different areas of the law.”
Highlights of the paper's analysis include:
- A detailed overview of New York State's first-in-the-nation cybersecurity regulation, effective March 1, 2017, offering clarity into which entities are covered and what covered entities must do in order to be in compliance;
- Discussion of how the federal banking agencies’ issuance of an Advance Notice of Proposed Rulemaking could result in certain financial institutions being required to establish enhanced cyber risk management standards; and
- Broad coverage of final rules newly adopted by each of the Securities and Exchange Commission and the Commodity Futures Trading Commission. These new rules, as the paper explains, operate through Regulation Systems Compliance and Integrity in the case of securities and System Safeguards Testing Requirements in the case of commodities and futures, and are aimed at focusing key market participants’ attention on the resiliency of their cyber security-related systems and controls.
To obtain a copy of “Financial industry cybersecurity concerns grow, New York acts” or to download an electronic copy, visit: wolterskluwerlr.com/cyberwhitepaper