Effective investments and robust data security are a tandem march towards success, ensuring security for what are virtual data rooms made up for businesses and building trust in the business-customer relationship. Although it can be tempting to cut back on cybersecurity spending in times of economic uncertainty, an ounce of prevention is well worth one pound of cure and it’s cheaper to invest in preventative measures rather than paying for cleanup and recovery.
Investment banks typically have advanced security systems in place, which include firewalls and anti-virus software. However, it is important to remember that a successful cybersecurity strategy requires much more than these tools. It also requires best practices, such as allowing access to sensitive information only on a need-to-know basis and encrypting the information with authentication. It is also essential that financial institutions invest in the human firewall, as almost 90% breaches are the result of employee error.
Investment banks can boost their data security strategies, in addition to stopping cyberattacks. This is possible by implementing technology like blockchain. This technology improves security by encrypting the data in transit and at rest, rendering it unreadable to anyone who is not authorized. It also allows businesses to monitor their assets and secure them, enabling them to prevent data loss and other potentially dangerous results.
Many financial institutions struggle with the risk that sensitive data about customers or investors could be lost. This is a problem when employees work from outside of the office, attend offsite meetings or even choose to work at home. Investment banks can enforce their data protection policies regardless of whether the device is connected to a corporate network or public WiFi, home WiFi, or is not connected at all.