Financial regulators are emphasizing the risk poor cybersecurity poses to market integrity and financial stability, and elaborating on policies and controls they expect the firms they oversee to have in place. Investment managers’ responsibility for cybersecurity has grown like compound returns. The SEC’s Office of Compliance Inspections and Examinations disclosed that its examination staff would be testing investment advisers to assess cybersecurity procedures and controls, and the National Futures Association proposed an interpretive notice expressly…

As the end of 2015 approaches, financial regulators continue to emphasize the risk that poor cybersecurity poses to market integrity and financial stability, and to elaborate on the policies, procedures and controls they expect investment advisers, commodity pool operators and registered investment companies to have in place. Click here to read more.…

Cybersecurity continues to be a priority for the Securities and Exchange Commission (SEC). The SEC’s Office of Compliance Inspections and Examinations conducted a cybersecurity “sweep” examination in 2014 and released a summary of its results in early 2015. The SEC’s Division of Investment Management — which regulates investment companies and investment advisers — has now issued additional cybersecurity guidance in the form of a Guidance Update, which provides more detail on what reasonable security measures…

As cybersecurity continues to remain a key focus for hedge funds, there is a growing number of questions surrounding the associated legal issues and requirements. Click here to read the interview with HFMTechnology, in which SRZ partners Marc E. Elovitz and Brian T. Daly and special counsel Michael L. Yaeger discuss some of the challenges facing firms and how managers can mitigate any legal risks emerging from cybersecurity.…

Click here to read this Q&A with The Hedge Fund Journal in which SRZ partner Marc E. Elovitz and special counsel Michael L. Yaeger talk about the growing need for cybersecurity policies for hedge funds, both in light of recent regulatory attention and the increasingly prominent attacks on major corporations.…

Information security is not only a good idea — it is also a legal obligation. Federal and state laws impose obligations on businesses, including investment advisers, to keep their data secure. Most of these laws focus on requiring businesses to take reasonable security measures. While it may take regulators and courts years to clearly define what exactly those are, best practices that facilitate compliance can and should be developed and followed now. Click here…

Cybersecurity continues to be a priority for the Securities and Exchange Commission. The SEC’s Office of Compliance Inspections and Examinations conducted a cybersecurity “sweep” examination in 2014 and released a summary of its results in early 2015. The SEC’s Division of Investment Management — which regulates investment companies and investment advisers — has now issued additional cybersecurity guidance in the form of a Guidance Update. Most registrants will find the Guidance Update to be fairly…