Paul Didyk, Chief Technology Officer, MUFG Fund Services, on Aima’s warning that hedge fund managers cannot fly under the radar of cyber criminals…
It is vital for managers to recognise and address that the hedge fund business is a prime target for cyber threats because of its reputation as a high value arena. Bigger firms may have adequate protection in place, but smaller companies who don’t have the sufficient security infrastructure are at a real risk.
Cyber crime is evolving and proactivity is key to tackling its greatest threats. A commitment of time and resources is paramount in getting to grips with new methods and techniques used by criminals. Small and medium sized hedge funds are essential for the sustainability of the industry, but a barrier to entry for smaller shops is the affordability of these robust security frameworks.
Fund administrators have a responsibility to partner with managers and equip them against the danger of cyber crime. The industry is waking up to the threat and some providers are pushing the boundaries of technological advancement to meet the challenge head on. Administrators now need to work together with regulators to ensure that manager and investor data are protected by iron clad defences.
Download the Hedgeweek Special Report: Cybersecurity for Hedge Funds here
