Security News > 2022 > November > Cyber risk focus areas for portfolio companies

"Cybersecurity as a subset of risks is sometimes overlooked. This analysis confirms the need to prioritize cyber defense in order to protect portfolio company value. The private equity space is beginning to get on track. However, we must button up the entire process to protect those vulnerable entities, as well as ramping up a cyber defense against less easily exploitable but equally damaging threats."

BlueVoyant analyzed 780 portfolio companies from private equity-backed firms, with the majority headquartered in the U.S., but including companies across Europe and around the globe.

"It is imperative that private equity firms effectively oversee their digital ecosystems by continuously monitoring their portfolio companies to quickly remediate issues and minimize the financial impacts of any cyber attacks," says James Tamblin, vice chairman, strategic development at BlueVoyant.

"Without proper cyber risk management, these companies can face costly repercussions, especially if improvements in IT hygiene are not made."

To maintain cyber vigilance within private equity firms, BlueVoyant recommends proactively working within portfolio companies to reduce cybersecurity risk and avoid the costs associated with breaches.

Working with portfolio companies to improve IT management practices to current standards is key, as well as establishing a prioritised risk reduction program, and continually assessing for any weaknesses in their real-time risk posture.

News URL

https://www.helpnetsecurity.com/2022/11/22/cyber-risk-focus-areas-portfolio-companies/