Skip to main content
The Actuary: The magazine of the Institute and Faculty of Actuaries - return to the homepage Logo of The Actuary website
  • Search
  • Visit The Actuary Magazine on Facebook
  • Visit The Actuary Magazine on LinkedIn
  • Visit @TheActuaryMag on Twitter
Visit the website of the Institute and Faculty of Actuaries Logo of the Institute and Faculty of Actuaries

Main navigation

  • News
  • Features
    • General Features
    • Interviews
    • Students
    • Opinion
  • Topics
  • Knowledge
    • Business Skills
    • Careers
    • Events
    • Predictions by The Actuary
    • Whitepapers
    • Moody's - Climate Risk Insurers series
    • Webinars
    • Podcasts
  • Jobs
  • IFoA
    • CEO Comment
    • IFoA News
    • People & Social News
    • President Comment
  • Archive
Quick links:
  • Home
  • The Actuary Issues
  • January 2019
01

UK wealth managers urged to change 'nonchalant' approach to cyber risk

Open-access content Friday 11th January 2019 — updated 5.50pm, Wednesday 29th April 2020

Less than a third of wealth managers in the UK agree their clients are growing more concerned by data breaches and cyber crime, a new survey has found.

2


This is in stark contrast to their global counterparts, with three in five wealth managers worldwide believing their clients are increasingly worried by cyber risk.

Analytics company GlobalData, which carried out the research, said the "nonchalant" view among UK clients reflects the attitudes of the firms themselves.

It found that over 20% are "not at all concerned" about the impact that data breaches can have on their reputations, compared with just 8% that feel the same way globally.

"UK wealth managers should not underestimate the risks related to cybercrime and data breaches," GlobalData wealth management analyst, Sergel Woldemichael, said.

"Not only because of reputational damage, but also the hefty fines introduced by GDPR. Reassuring clients that companies have relevant security measures and contingency plans is critical."

GlobalData said the lack of alarm could be due to the UK wealth industry not yet seeing data breaches related to cyber crime, but warned that low levels of client concern won't persist.

The firm highlighted how awareness around data is rising after companies outside financial services like Facebook and British Airways experienced security breaches last year.

This comes after research from Aon found that the impact of cyber attacks and other 'reputational events' on share prices is two times higher today than before the introduction of social media.

It revealed that companies now risk losing up to 30% of their value in the immediate aftermath of a crisis, but that an instant response based on honesty could boost reputations.

"Although risk management awareness and tools have evolved, reputation risk continues to weigh on corporate executives as one of their leading concerns," Aon enterprise client leader, Randy Nornes, said.

"Savvy companies that develop and use a robust risk management framework can not only better navigate reputation events, but can often see a net gain in value post-event."


Sign up to our free newsletter here and receive a weekly roundup of news concerning the actuarial profession

This article appeared in our January 2019 issue of The Actuary .
Click here to view this issue

You may also be interested in...

2

Just half of natural catastrophe losses insured in 2018

There was $160bn (£125bn) worth of economic damage caused by natural disasters across the world last year, just half of which was covered by insurance.
Wednesday 9th January 2019
Open-access content
2

Blockchain and cryptocurrency investment rises 10-fold

Blockchain and cryptocurrency developers received record levels of investment in the UK last year, with the country’s FinTech sector continuing to be among the most attractive in the world.
Wednesday 9th January 2019
Open-access content
2

Global investors shifting risks to private markets

Institutional investors are increasing their asset allocations to private markets amid rising concerns about a downturn in the economic cycle, a global survey has found.
Tuesday 8th January 2019
Open-access content
2

15 FTSE 100 companies set to offload pension plans by 2021

As many as 15 of the UK’s 100 largest listed companies are set to offload their defined benefit (DB) pension schemes to insurers in the next three years, new research suggests.
Tuesday 8th January 2019
Open-access content
2

Demand for financial services falls for first time in five years

The last three months of 2018 saw total business volumes in the UK’s financial services sector fall for the first time since September 2013, a survey has found.
Monday 14th January 2019
Open-access content
2

Stock market woes hit US pension scheme funding

A sharp decline in the US stock market during the final quarter of 2018 dashed hopes that the nation’s largest corporate pension plans would enjoy consecutive years of improved funding.
Monday 7th January 2019
Open-access content

Latest from January 2019

Pension funds suffer biggest losses since financial crash

The average UK pension fund experienced its biggest loss since the financial crash last year, with less than one in ten generating positive investment returns.
Wednesday 30th January 2019
Open-access content

Investors urge fast food giants to root out climate risks

More than 80 investors with $6.4trn (£5trn) in assets under management have told six of the world’s largest fast food companies to urgently tackle climate and water risks in their supply chains.
Wednesday 30th January 2019
Open-access content
2

US life insurers missing out on $70bn in premiums

The average life insurance policyholder in the US is massively underinsured, new research has found, with firms potentially missing out on almost $70bn (£53bn) in annual premiums.
Tuesday 29th January 2019
Open-access content

Latest from small_opening_image

2

COVID-19 forum for actuaries launched

A forum for actuaries has been launched to help the profession come together and learn how best to respond to the deadly coronavirus sweeping the world.
Wednesday 25th March 2020
Open-access content
2

Travel insurers expect record payouts this year

UK travel insurers expect to pay a record £275m to customers this year as coronavirus grounds flights across the world, the Association of British Insurers (ABI) has revealed.
Wednesday 25th March 2020
Open-access content
2

Grim economic forecasts made as countries lockdown

A sharp recession is imminent in the vast majority of developed and emerging economies as the deadly coronavirus forces businesses to shut down across the world.
Tuesday 24th March 2020
Open-access content

Latest from inline_local_link

2

COVID-19 forum for actuaries launched

A forum for actuaries has been launched to help the profession come together and learn how best to respond to the deadly coronavirus sweeping the world.
Wednesday 25th March 2020
Open-access content
2

Travel insurers expect record payouts this year

UK travel insurers expect to pay a record £275m to customers this year as coronavirus grounds flights across the world, the Association of British Insurers (ABI) has revealed.
Wednesday 25th March 2020
Open-access content
2

Grim economic forecasts made as countries lockdown

A sharp recession is imminent in the vast majority of developed and emerging economies as the deadly coronavirus forces businesses to shut down across the world.
Tuesday 24th March 2020
Open-access content

Latest from 01

Pension funds suffer biggest losses since financial crash

The average UK pension fund experienced its biggest loss since the financial crash last year, with less than one in ten generating positive investment returns.
Wednesday 30th January 2019
Open-access content

Investors urge fast food giants to root out climate risks

More than 80 investors with $6.4trn (£5trn) in assets under management have told six of the world’s largest fast food companies to urgently tackle climate and water risks in their supply chains.
Wednesday 30th January 2019
Open-access content
2

US life insurers missing out on $70bn in premiums

The average life insurance policyholder in the US is massively underinsured, new research has found, with firms potentially missing out on almost $70bn (£53bn) in annual premiums.
Tuesday 29th January 2019
Open-access content
Share
  • Twitter
  • Facebook
  • Linked in
  • Mail
  • Print

Latest Jobs

Capital & Reserving, Nearly Newly

London (Greater)
Depending on experience
Reference
149031

Reserving Actuary

Dublin
Competitive
Reference
149027

Senior Analyst - Actuarial and Funding Risk

England, London
£60000 - £65000 per annum + bonus + benefits
Reference
149029
See all jobs »
 
 
 
 

Sign up to our newsletter

News, jobs and updates

Sign up

Subscribe to The Actuary

Receive the print edition straight to your door

Subscribe
Spread-iPad-slantB-june.png

Topics

  • Data Science
  • Investment
  • Risk & ERM
  • Pensions
  • Environment
  • Soft skills
  • General Insurance
  • Regulation Standards
  • Health care
  • Technology
  • Reinsurance
  • Global
  • Life insurance
​
FOLLOW US
The Actuary on LinkedIn
@TheActuaryMag on Twitter
Facebook: The Actuary Magazine
CONTACT US
The Actuary
Tel: (+44) 020 7880 6200
​

IFoA

About IFoA
Become an actuary
IFoA Events
About membership

Information

Privacy Policy
Terms & Conditions
Cookie Policy
Think Green

Get in touch

Contact us
Advertise with us
Subscribe to The Actuary Magazine
Contribute

The Actuary Jobs

Actuarial job search
Pensions jobs
General insurance jobs
Solvency II jobs

© 2023 The Actuary. The Actuary is published on behalf of the Institute and Faculty of Actuaries by Redactive Publishing Limited. All rights reserved. Reproduction of any part is not allowed without written permission.

Redactive Media Group Ltd, 71-75 Shelton Street, London WC2H 9JQ