November 25, 2014
Greg Medcraft, chairman of the Australian Securities and Investments Commission, said national watchdogs should share information in their battle to protect companies and markets infrastructure. Photographer: Victor J. Blue/Bloomberg
Markets regulators across the world must work together to counter cyber crime as the attack on JPMorgan (JPM:US) Chase & Co. exposes the risks posed by hackers, according to the head of Australia’s financial markets watchdog.
“Cyber crime is a global problem that requires a global solution,” Greg Medcraft, chairman of the Australian Securities and Investments Commission, said in the text of a speech at Bloomberg’s Sydney office today. “The links between market players and infrastructure mean that the impact of a cyber attack can spread quickly and has the potential to dangerously affect the integrity and efficiency of global markets.”
Medcraft, who also chairs the International Organization of Securities Commissions, IOSCO, is pushing more than 120 national regulators to cooperate on ways to disclose cyber threats and enforce methods to prevent them. Companies from JPMorgan to Home Depot Inc. (HD:US) and Target Corp. have been subject to hacks.
Some 73 percent of Australian firms said their perception of the risks posed by cybercrime has increased over the past 24 months, according to a PricewaterhouseCoopers survey this year. The study found companies can benefit from sharing their cyberattack experiences with each other.
Medcraft said national watchdogs should share information in their battle to protect companies and markets infrastructure. The international body is working on a “range of projects to guide coordinated regulatory responses,” he said.
JPMorgan said last month that a data breach by hackers affected 76 million households and 7 million small businesses, with customer names, addresses, phone numbers and e-mail details taken. The biggest U.S. bank may double its $250 million annual computer-security budget within five years, Chief Executive Officer Jamie Dimon said.
Sony Corp.’s computer network was hacked in what may be a blackmail attempt, a person with knowledge of the matter said this week.