Security measures in place to fight ransomware-like threats, say brokerage houses

The increasing use of technology comes with the risk of cyber threats. The recent example is ransomware WannaCry that started spreading on May 12 and ravaged networks in over 100 countries.

Ransomeware is one virus that locks down PCs and encrypts data on computers and promises to release them on payment of a ransom.

Cybersecurity is a large challenge for brokerage houses that store confidential information of investors and deal with billions of their money.

We spoke to a few brokerage houses to understand how they have secured or prepared themselves to deal with such a cyber threat.

"We have multi-tier security architecture in place and this ensures that all applications which are live are thoroughly tested on various information security standards on the basis of Internal Application Security Testing & external penetration testing. Apart from that we also have robust  perimeter level security i.e. firewall etc," said Ajay Menon, CEO- B&D, Motilal Oswal Securities.

Decoding: WannaCry Ransomware – Should You Worry?

Menon further said that their robust security architecture Motilal Oswal Securities has not faced any such kind of challenges, while most of the time the effective Security Operation Center (SOC) has provided them early warning of such issues.

DK Aggarwal, Chairman and MD, SMC Investments and Advisors told Moneycontrol, "Our websites and mobile app servers are on a secure platform and SSL encrypted with all recommended measures related to SSL encryption implemented (like SSL 2.0, TLS1.0 etc. are disabled)."

He also added that most of their websites and mobile apps are used for financial transactions, and all those transactions are being done through secure encrypted methods.

"Our websites and mobile app servers are deployed behind firewalls with complete UTM, to secure them from several attacks of hacking, spyware, malware etc. Website and mobile apps are open for outer access on particular ports only; all other unwanted ports are blocked," Aggarwal added.