How IBM MaaS360 Helps Mitigate Endpoint Security Challenges in the BFSI Industry

The banking, financial services, and insurance (BFSI) industry is at the forefront of a digital transformation. Massive data is generated through online banking, information collection, insurance claims and other digital payment activities, which makes cybersecurity breach a common occurrence in this industry. According to an IBM report, the global data breaches have increased by 10% between 2020 and 2021 and the costs have risen to $4.24 million from $3.86 million earlier.
The BFSI industry is facing several cyber security issues driven by factors such as an increased in cloud workspaces, complex security infrastructure, lack of visibility, and so on. There are several areas of cyber security in BFSI that seek attention, and endpoint security stands out among them. This post guides you through the importance of endpoint security for BFSI industry and more.

A Brief Introduction to Endpoint and Endpoint Security

• Endpoint: This term is used for devices that possess an endpoint on the network. Customers can use these devices to connect to the BFSI network. Some of the common examples of endpoint devices include tablets, smartphones, laptops, and desktops. All types of virtual environments are considered endpoints.    
• Endpoint Security: This is a comprehensive term for protocols, processes, as well as infrastructure designed to protect endpoints discussed above. Without these endpoint security services in place, financial institutions will face data breaches and various cybersecurity issues.

Some Shocking Numbers on Endpoint Security Breaches

The Third Annual Study on the State of Endpoint Security conducted by Ponemon Institute in 2021 suggests:

• 51% of BFSI respondents indicated that their endpoint solutions were ineffective in identifying advanced cyber threats
• 68% of the total organizations reported an increase in the frequency of endpoint cyber-attacks since 2020.
• 73% of respondents reported the evolution of new threats.

In addition to the above, the following are a few more shocking numbers on endpoint security for BFSI.

• 70% of financial organizations are concerned about their cybersecurity. (Conference of State Bank Supervisors)
• Cybercrime results in the loss of $2.9 million every minute. (RiskIQ)
• Cyberattacks need more time to mitigate with malware and ransomware claiming 89% and 30% more time, respectively.

 

Types of Endpoint Security Attacks in the Banking, Financial Services, and Insurance (BFSI) Industry

The following are a few common types of cyber security attacks in the BFSI industry.

• Ransomware: This is one of the most dangerous forms of malware that makes data inaccessible to the victim by encrypting it. Financial services are always at the prime target of cybercriminals who demand large payouts.
• Phishing: This is another form of cybercrime mainly targeting endpoints, wherein malicious links are sent through emails, instant messages, and text messages. Most financial services users use mobile phones or laptops to access their online banking services. Thus, they become an easy target for cybercriminals.
• Employee Mistakes: Many cyber security issues in the financial services industry are a result of human errors. For instance, a bank employee may access phishing mail from their mobile and this may download the virus in the bank’s network system, thereby leading to wider cybersecurity risks.
• Third-party Vendors: Most financial services organizations work with third-party vendors to deliver certain services. If the vendor suffers a cyber-attack, this makes financial services organizations a soft target to cybercriminals.
• Cloud Attacks: Nowadays, most financial services organizations have migrated to the cloud and store their business information on a cloud server. Although most cloud services providers have invested in advanced security mechanisms that is not enough. The threat landscape is constantly evolving. Every year banks lose important data due to malware infestation on the cloud server. This malware erases the information and leads to other privacy concerns and data theft.
• Complex Technologies: Increasing customer demand for innovative products has made banks and financial services to embrace complex technologies. Cybercriminals are finding security vulnerabilities that may arise due to incomplete knowledge of these technologies. A report by VMWare Carbon Black suggests that many CIOs across these financial organizations confirm that cyberattacks are becoming increasingly complex and social engineering is one of the most common causes of cyber-attacks.

 

Key Drivers of Endpoint Protection

Managed endpoint security services for BFSI sector is becoming the need of the hour. IBM is leading the segment and IBM MaaS360 has become an important driver for change in the BFSI industry. IBM MaaS360 for BFSI organizations focuses on three factors of endpoint protection.

1. Visibility: Most cyberattacks start at endpoints, and with the increasing number of users, it becomes difficult for financial services organizations to manage their endpoints. A report by SANS Institute states that on an average the IT teams across financial organizations can manage up to 50,000 endpoints at the maximum and they are yet to accomplish the 100,000 mark. IBM MaaS360 for BFSI sector enables these organizations to gain visibility across all their endpoints including wearables, mobile devices, applications, and IoT. Users can take advantage of a centralized management console for all their endpoints.
2. Quick Response Times: This has become a crucial regulatory requirement in the BFSI industry. In the US, in January 2021, The Office of the Comptroller of the Currency (OCC), the Federal Deposit Insurance Corporation (FDIC) and the Board of Governors of the Federal Reserve System issued a public notification that requires boards to report the cyber-attack incident within 36 hours. To meet this requirement, the endpoint security solution for BFSI industry must comply with NISF CSF (Cyber Security Framework). IBM MaaS360 is NISF CSF compliant and leverages IBM Watson’s cognitive technology as well as IBM X-Force threat intelligence to assure a quick response in threat management.
3. Data Encryption: Financial services industry is one of the highly regulated in the world and data encryption is one of the important security and regulatory requirements in this industry. BFSI services in the US comply with GLBA/FFIC, PCI DSS, SOX, and several other state security laws. All these regulatory laws require these services to encrypt any information that an individual uses to get a financial product, transaction, or individual connection. Encryption is usually employed at database and application level to meet these requirements. IBM MaaS360 for BFSI sector comes with advanced encryption capabilities and offers a fully encrypted container to protect any type of corporate data.

 
To leverage these features of IBM MaaS360, you need to partner with a trusted managed endpoint security services provider with vast experience in the BFSI industry. Futurism Technologies is one of the leading managed endpoint security services providers for the BFSI industry. Futurism Endpoint Secure powered by IBM MaaS360 is highly suited endpoint security solution for BFSI organizations of all sizes. Get in touch with the team at Futurism today to explore the opportunities of harnessing the power of IMB MaaS360 for your financial services organization.
 

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