Public pension funds hold a unique and critical position in the financial ecosystem. They manage vast sums of money, often serving as the backbone of financial security for millions of retirees. However, their high-value assets and reliance on third-party vendors make them prime targets for cyber threats. Compounding this challenge, these funds often operate with limited resources and face immense pressure to protect their reputations. For CISOs of such organizations, adopting the Continuous Threat Exposure Management (CTEM) framework can be a game-changer for public pension funds cyber risk.
Why Pension Funds Are High-Value Targets
Public pension funds are enticing targets for cybercriminals due to:
The Value of Their Assets: With billions of dollars under management, a breach could lead to catastrophic financial losses.
Third-Party Dependencies: Funds frequently depend on external vendors and platforms for investment management and operations, increasing their attack surface.
Reputation Sensitivity: The trust of pensioners and stakeholders hinges on the fund’s ability to safeguard its assets and data. A single breach can severely damage this trust.
The Challenge: Balancing Risk with Resources
CISOs in pension funds face a tough balancing act. While their organizations are high-value targets, they often lack the extensive resources of larger financial institutions. This constraint can make it difficult to:
Continuously assess and improve security controls.
Manage third-party risk effectively.
Quantify and communicate cyber risk in terms that resonate with stakeholders.
CTEM as a Solution
The Continuous Threat Exposure Management (CTEM) framework, introduced by Gartner, provides a structured, proactive approach to managing cyber risk. Gartner developed CTEM to help organizations systematically identify and mitigate vulnerabilities in an increasingly complex threat landscape. Here’s how CTEM can address the unique challenges of public pension funds cyber risk:
Actionable Insights: CTEM delivers detailed assessments of your organization’s security posture, identifying gaps in prevention, detection, and response capabilities. This ensures you focus your resources on the most critical vulnerabilities.
Quantified Risk: With CTEM, cyber risk is translated into financial terms, enabling CISOs to communicate effectively with boards and stakeholders. This financial quantification is particularly valuable for managing third-party risk, as it provides a clear picture of the potential impact of vendor-related breaches.
Threat Simulation and Validation: Utilizing breach and attack simulation built on the MITRE ATT&CK framework, CTEM evaluates how well your current security controls defend against real-world threats. These simulations provide measurable scores, ensuring continuous improvement and alignment with industry standards.
Peer Comparisons: CTEM benchmarks your organization’s security posture against similar entities in the industry, offering insights into where you stand and where you need to improve.
Strengthening Reputation of Public Pension Funds through Proactive Risk Management
For public pension funds, reputation is everything. Demonstrating a proactive approach to cybersecurity not only protects assets but also builds confidence among stakeholders. By adopting CTEM as a service, pension funds can:
Show a clear commitment to safeguarding retiree investments.
Ensure compliance with evolving regulations.
Strengthen their ability to withstand and recover from cyber incidents.
Conclusion
Public pension funds operate in a high-stakes environment where the cost of a cyber incident could be devastating. For CISOs, adopting the CTEM framework is more than a strategy—it’s a necessity. With actionable insights, financial quantification of risk, and continuous improvement, CTEM provides the tools needed to manage cyber risk effectively and maintain trust in a competitive and highly scrutinized industry.
Ready for Cyber Resilience?
Are you ready to secure the future of your pension fund? Let’s discuss how CTEM as a service can help you protect your organization and its stakeholders.
