The Securities and Exchange Commission (SEC) last week proposed new cybersecurity rules to oversee how private equity firms manage risk, SC Media reports. The development could influence cyber practices at Thoma Bravo, Summit Partners, Vista Equity Partners and other firms that invest in MSP-centric technology companies.
According the the SC Media report:
"Under the leadership of SEC Chair Gary Gensler, the commission voted on Feb. 9 to propose a new set of rules, aimed at registered investment companies, registered investment advisers and business development companies or funds that would require concrete cybersecurity policies and procedures that would essentially bring this segment of the financial industry more in line with other areas. The new rules would also demand that advisers report to the SEC cybersecurity incidents that impact themselves, the firm or fund or their clients."
If the new rules move forward, ChannelE2E will be watching to see if or how private equity firms develop and share cybersecurity best practices across their portfolio companies. The topic is especially important in the MSP software market. Indeed, the MSP sector remains a popular target for hacker and and ransomware attacks that seek to spread malware from software suppliers out to MSP partners and then down-stream to end-customer systems.
MSP Software Suppliers: CISOs Emerge
Even before the proposed SEC rules arrive, private equity-backed technology companies that serve MSPs have been improving their cybersecurity postures. Among the moves to note:
Dig a little deeper and you'll notice:
