As this publication gears up to discuss cyber-security in New York later this month, the issue was thrown into sharp relief by another huge data breach.

A forthcoming conference by this publication in New York about cyber-security has been given added relevance after credit-reporting company Equifax said yesterday that hackers had penetrated some of its systems, affecting data of about 143 million clients. 

“Criminals exploited a US website application vulnerability to gain access to certain files. Based on the company's investigation, the unauthorized access occurred from mid-May through July 2017.  The company has found no evidence of unauthorized activity on Equifax's core consumer or commercial credit reporting databases,” the US-listed firm said in a statement. 

The data breach is not the largest so far: that dubious honor goes to Yahoo, hit last year, and affecting about one billion users; it was also hit the same year with about 500 users affected.

Other firms hit include JP Morgan (2014), where 76 million clients were affected although no actual thefts were reported. 

“The information accessed primarily includes names, Social Security numbers, birth dates, addresses and, in some instances, driver's license numbers.  In addition, credit card numbers for approximately 209,000 US consumers, and certain dispute documents with personal identifying information for approximately 182,000 US consumers, were accessed,” it continued.

“As part of its investigation of this application vulnerability, Equifax also identified unauthorized access to limited personal information for certain UK and Canadian residents. Equifax will work with UK and Canadian regulators to determine appropriate next steps.  The company has found no evidence that personal information of consumers in any other country has been impacted,” it said.

Equifax has set up a dedicated website, www.equifaxsecurity2017.com, to help consumers determine if their information has been potentially impacted and to sign up for credit file monitoring and identity theft protection. The website also provides information on steps consumers can take to protect their personal information. Equifax recommends that consumers with additional questions visit www.equifaxsecurity2017.comor contact a dedicated call center at 866-447-7559, which the company set up to assist consumers. The call center is open every day (including weekends) from 7:00 a.m. – 1:00 a.m. Eastern time.

The temptation of hackers to target banks and wealth management institutions, given the assets of clients, are obvious. The private client wealth management industry has devoted more time and attention to the matter in recent years. As reported in July, the US Office of the Comptroller of the Currency, warned banks that cyber threats are increasing in speed and sophistication. It is also worried about emerging technology making it harder for firms to obey the Bank Secrecy Act. To view some commentaries about cyber-security and wealth management, see here and here.