KPMG: Institutional investors have no faith in company boards over cyber security

[InfoSec News <alerts () infosecnews org>]

http://www.techworld.com/news/security/kpmg-investors-have-no-faith-in-company-boards-over-cyber-security-3607927/

By Antony Savvas
Techworld.com
Apr 16, 2015

Institutional investors believe the majority of the companies they have 
invested millions in are not up to the job when it comes to delivering 
cyber security, according to KPMG research.

KPMG also found that 79 percent of investors would be discouraged from 
investing in a business that has been hacked. The findings revealed that 
investors believe less than half of the boards of the companies that they 
currently invest in have adequate skills to manage cyber risk.

Furthermore, they believe that 43 percent of board members have 
unacceptable skills and knowledge to manage innovation and risk in the 
digital world. This sentiment was mirrored in a recent KPMG survey of FTSE 
350 businesses, which found that 39 percent of boards and management 
agreed they were severely lacking in their understanding of the area.

Malcolm Marshall, global leader of KPMG’s cyber security practice, said: 
“Investors see data breaches as a threat to a company’s material value and 
feel discouraged in investing in a business that has had its sensitive 
information compromised.”

[...]

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