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Cyber criminals target small advice firms

Cyber criminals target small advice firms

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By l.santacruz ·
June 06 2017

Cyber criminals target small advice firms

Cyber criminals target small advice firms
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A lower spend on security makes small financial advice firms ripe targets for cyber criminals, KPMG Forensic partner Stan Gallo has said.

Speaking at the Sydney Adviser Innovation Summit last week, Mr Gallo said it is false for a small business to believe it is less of a target for cyber criminals than a big bank.


Mr Gallo said companies will often try and bargain with the criminal, but this only leads to an increase in the ransom price.

"If you send out a ransom to somebody and they come back begging 'Please don't charge us. We are a poor small business' - the fact that you're contacting us tells me that you don't have backups and you're in trouble, so the price goes up," he said.

"Does that mean you should just pay the ransom? I think not. It leads to two things: it doesn't guarantee that you'll get decrypted and secondly, it sets you up as someone who should be revisited in the future."

Mr Gallo said the average loss to a company as a result of a cyber attack is around $500,000, which to a small company can be catastrophic.

"If the company doesn't think about security, they will be a target," he said.

The ifa Excellence Awards are back in 2021 and nominations are now open!

This prestigious accolade recognises exceptional professionals within the financial advice industry, shining a light on the outstanding achievements from the nation's best and brightest. If this sounds like you or someone you know, then nominate today for the ifa Excellence Awards 2021!

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