The financial services sector has long been a target for criminals. Technology and the advent of the internet has changed the game, posing an increasing number of cyber security threats to firms. The dangerous impact of these threats has become all too apparent in an industry that conducts massive trading volumes and financial transactions daily.
Cyber Security Risks
As the finance world embraces mobile, social, cloud and other technological developments to help fuel growth and establish customer trust, the need to quickly innovate and deliver an unparalleled customer experience is essential, all while ensuring the airtight security and digital privacy that customers demand.
Although the financial services industry is perceived as one of the most sophisticated when it comes to cybersecurity initiatives, the threat landscape is constantly evolving, making it all the more important for firms to be proactive when it comes to preventing cybercrime.
The more sensitive data a firm holds, the bigger the target they become for cyber criminals. So it follows that financial service firms, including online forex brokers, will always be a major target. As these firms embrace more digital channels such as online and mobile transactions, the risk of attack increases.
Top Security Threats
It is thus important for financial firms to take steps to protect themselves as far as possible. Primarily, firms should make every attempt to avoid common mistakes that create opportunities for hackers such as unencrypted data. Most data breaches tend to be caused by inadequate encryption, making data immediately accessible after it is stolen.
Unprotected third party services can also open the door for cyber attackers to acquire more data so firms should make security a priority when they connect services. It is essential to be always prepared for new episodes of hacking as hackers not only delete consumer data, they change or hold onto it for use later.
Firms should also beware of unsecured mobile banking. As mobile banking becomes more popular, less sophisticated security systems on mobile devices present opportunities for expert hackers. Encryption must therefore extend into the mobile space for customers to remain safe.
Firms should keep in mind that cyber criminals are also using the same technologies to launch increasingly damaging attacks because of the nature of the industry and the vast amount of sensitive data that involved.
Online brokers must therefore ensure that their services not only offer great customer experience, but are also secure. As a firm undertakes initiatives to update its products and services, an equally vigilant approach to cybersecurity risks is vital.
As well as being susceptible to cyber attacks, firms also face a growing number of strict industry regulations relating to data protection and privacy which increase regulatory compliance costs and risks.
Acutely aware of the inherent risks of both cybercrime and the related compliance issues, HYCM always makes its client’s information security its first priority. Its trading platform is designed to meet the rigorous security standards of international financial and banking institutions.
HYCM has also implemented state-of-the-art technology and detailed processes to handle key areas including user authorisation, data protection and network communication.
All connections and data communication between its clients and its servers are encrypted and secured with dynamically generated 128-bit keys. All personal and account information on the website are also encrypted by using VeriSign issued 128-bit-SSL certificates.
Traders should know that HYCM takes security and data protection very seriously and they can be confident that they are dealing with a trusted broker with a 40 year background in the industry.