Caveonix is sponsoring the upcoming FS-ISAC 2024 Americas Fall Summit, October 27-30 in Atlanta, which makes it a great time to look at the current state of cyber compliance for financial services. Stop by and see us at booth #66! 

Accelerated by a surge in digital transformation during the pandemic, 98% of financial institutions now use some form of cloud computing and 57% currently have a multi-cloud strategy. Regulations are also propelling cloud adoption, such as open banking in the European Union which drives data sharing to support the delivery of innovative digital services.

It’s easy to get swept up in the rush to move to the cloud. However, many financial institutions continue to keep certain aspects of their operations firmly rooted in their on-prem world. Data privacy concerns, regulatory risk, and proprietary applications built for legacy environments make it daunting for banks to store or process regulated information within cloud services. In fact, 25% flatly say that while the cloud is integral to their business strategy, they have no plans to migrate additional workloads. The main blockers cited for moving sensitive workloads to the cloud include requirements from their compliance function and technical staffing gaps.

For most of the financial services sector, a hybrid, multi-cloud computing environment will remain in the forecast, with regulatory headwinds strengthening. A multi-cloud strategy can help organizations build resilience, but it also creates compliance complexity. Among the most notable examples:

• Shared responsibility model – The delineation of security responsibilities between the cloud provider and user falls along a spectrum, which creates ambiguity. However, the U.S. Department of Treasury advises financial institutions to understand that the onus falls on them to understand where their responsibility begins and ends and to ensure alliance with security obligations and compliance standards.

• Talent and tools gaps – Financial services firms need the expertise, tools, and information necessary to uphold their end of the shared responsibility model. But cloud providers differ in the tools and information they provide to understand security posture, and many organizations lack the skills or resources to manage diverse cloud environments equally well.   

  
  

• Compliance disparity – Cloud providers vary in their abilities to support frameworks and regulations like GDPR, PCI, and NIST. Organizations must navigate this and understand how their different providers specifically address issues like data privacy and sovereignty.

  
  

• Evidence collection issues – Organizations wrestle with inconsistency in the documentation cloud providers deliver in response to requests for technical control evidence to support audit requests.

Continuous cyber compliance automation technology addresses the pain. The Caveonix platform optimizes tedious, incomplete, and expensive cyber compliance programs across complex financial services environments.

• Caveonix runs in any type of environment and addresses regulatory mandates across multi-cloud and on-prem to cover your dispersed digital initiatives as well as your data centers and legacy technology.

• The platform automatically pulls evidence that resides inside your defensive technologies, including your cloud native application protection platform (CNAPP), vulnerability management technologies, and more. In fact, one of our financial services customers just deprecated a legacy platform based on the value they’ve received from our enhanced evidence module.

• Caveonix associates all your technical control evidence to frameworks, regulations, and mandates – PCI, DORA, CRI, SWIFT, SOC 2, and more than 50 others – so you can quickly demonstrate you’re taking the right actions when you find deficiencies.

Banks and large fintech providers including AIG, Fiserv, BNP Paribas, and others trust the Caveonix platform to reduce technology complexity, address framework sprawl, and automate evidence collection and reporting.

Interested in learning how Caveonix can help you simplify compliance and stay always audit ready? Stop by booth #66 at FS-ISAC for a demo.

Not attending FS-ISAC? Request a demo here.