In today’s cyber environment with all the news headlines focusing on the big data breaches and state sponsored attacks, it is easy for family offices to avoid considering themselves as potential targets. In our presentations to, and discussions with, family offices, we find they continue to have this notion that they are too small and insignificant to be hacked. The truth of the situation is that they are the perfect targets, and cyber criminals are actively going after them.
Cyber criminals are very organized and business-oriented; they understand the fundamental concepts of risk vs. reward. Family offices and wealth advisors are typically smaller entities that have basic to weak cyber protections in-place making them easy to breach successfully, potentially yielding a large payout. We do not hear about these hacks in the news because very few victims are willing to openly discuss them.