The financial-services sector needs to strengthen its information-sharing network to learn more quickly of threat data and thereby stay ahead of hackers, said panelists at the recent SmartBrief Cybersecurity Forum in New York City.

Cybercriminals are colluding and collaborating frequently, which creates a crucial need for the industry to work more closely together on a regular basis, said George Rettas, managing director and chief of staff, Global Information Security Department — Information Protection Directorate, Citigroup.

“You cannot beat a network without being a network yourself. You’re not going to do it alone,” Rettas explained.

Al Berg, chief security and risk officer of Liquidnet Holdings, said information shared by other organizations “can be a force multiplier for us, because we don’t have to redo that analysis.”

Karl Schimmeck, managing director of financial services operations for the Securities Industry and Financial Markets Association, said that his group and the industry has spent a decade developing relationships to share information through the Financial Services Information Sharing and Analysis Center, or FS-ISAC. (read more…)

Cybersecurity is at the top of the agenda of nearly every board of directors meeting on Wall Street. As the threats evolve, so to do the countermeasures. Firms are deploying new methods to prevent cyberattacks and recover quickly when hackers penetrate defenses. Meanwhile, a big piece of the cybersecurity puzzle lies at the intersection of industry and government, where enhanced collaboration and information sharing are starting to produce positive results.

With the above landscape in mind, SmartBrief recently partnered with SIFMA and the Financial Services Roundtable to assemble a pair of panels to talk about the state of cybersecurity in financial services. The panels focused on cybersecurity public policies — those in place and others under consideration — and the best practices current practitioners have adopted to enhance the cybersecurity of their individual firms and the financial services industry as a whole.

Below you will find video highlights and a brief description of each panel. (read more…)

Collaboration between the financial services industry and government entities has increased in response to rapidly evolving cybersecurity threats, but both sides agree there is room for improvement. Experts at the SmartBrief Cybersecurity Forum in New York City on Tuesday identified increased information sharing and the enactment of legislation already making the rounds on Capitol Hill as two ways to enhance the security of today’s financial markets.

Policy Enhancements

Karl Schimmeck, managing director of financial services operations for the Securities Industry and Financial Markets Association, said cybersecurity initiatives undertaken by the Obama Administration earlier this year have spurred greater engagement from a host of government agencies. Schimmeck also cited the NIST Framework unveiled in 2014 as example of the government helping industry devise best practices that can be put to use by all firms – large and small.

Chris Feeney, president of the Financial Services Roundtable’s BITS technology policy division, said government could help by harmonizing state laws within the U.S. (read more…)

“Without financial services, nothing else happens.” So says Broadridge President and CEO Rich Daly. SmartBrief caught up with Daly on the sidelines of the 2015 Milken Institute Global Conference to discuss how financial services firms can turn technology challenges and operational burdens into competitive advantages.

What do you think about the potential of financial utilities?

I have heard this idea for a long time. The elephant in the room is that nobody in the history of the world has ever taken a single-entity platform and successfully converted it to a multi-entity platform. I am not saying it is impossible, but no one has ever done it. It is like taking a studio apartment and saying you want to convert it into a sports arena. I guess you could do it, but you are starting with something that is entirely different to begin with.

The answer is trying to take the infrastructure we already have and using technology to re-engineer it so it is truly less costly for everyone. (read more…)

A few highlights and memorable quotes from Day Three of the 2015 Milken Institute Global Conference:

Commerce Secretary Penny Pritzker says offering corporations a one-time tax repatriation holiday is not some kind of silver bullet that would solve the challenge of trying to get U.S. multinationals to bring their profits home. Pritzker said the repatriation holiday is only part of a more complex plan. It will be interesting to see if Pritzker feels the same way once she leaves her current job.

The person quizzing Pritzker about the repatriation holiday was CME Group Executive Chairman and President Terry Duffy; a man who knows more than a few things about financial markets. Yet, Duffy says even he has a hard time understanding why major geopolitical events like ISIS or trouble in the Ukraine no longer moves markets.

Cal-Berkeley professor Susan Graham says there is one big reason it is so hard to even define exactly what information a ‘right to privacy’ entails: “Privacy is contextual.” Graham explained that the information individuals choose to share about themselves varies depending on if they are talking to their neighbors, work colleagues, doctors, etc. (read more…)