Cybersecurity for Venture Capital & Private Equity

SEC cybersecurity rules require registered investment advisers to adopt and implement written cybersecurity policies and procedures, conduct periodic risk assessments, report significant cybersecurity incidents to the SEC, and disclose material cyber risks and incidents to investors and clients. The rules also require designating a qualified individual to oversee the cybersecurity program and maintaining records of compliance activities.

Attackers compromise fund manager or administrator email accounts and monitor communications for upcoming capital calls. They then send fraudulent capital call notices to LPs with modified wire instructions pointing to attacker-controlled accounts. Because capital calls involve large dollar amounts and LPs are conditioned to respond quickly, this attack vector has resulted in losses of millions per incident. Defense requires AI-powered email security, strict out-of-band verification procedures, and MFA on all email accounts.

We provide portfolio-level cybersecurity assessments that evaluate each company’s security posture, identify systemic risks that could affect fund value, and create remediation roadmaps. Our CyberOne platform can manage assessments across your entire portfolio from a single dashboard, tracking risk scores and compliance status for each portfolio company. This helps fund managers fulfill their fiduciary duty and SEC cybersecurity obligations.

Leaked material non-public information can trigger SEC investigations for potential insider trading, even if the leak was the result of a cyberattack rather than intentional disclosure. Beyond regulatory risk, leaked deal data can torpedo pending transactions, expose fund strategy to competitors, and destroy LP confidence. Our dark web monitoring and managed SOC provide early warning of data exposure, and our email security prevents the most common exfiltration methods.

Absolutely. While we are headquartered in McKinney, TX, we serve VC and PE firms across all 50 states. Our managed SOC, compliance platform, and remote penetration testing capabilities allow us to deliver enterprise-grade security to fund managers anywhere in the country. Whether you manage a single fund or a multi-fund platform, we can help you protect deal data, investor information, and meet SEC cybersecurity requirements.