Tech Funds Profit on Cyber Attack Fears

Companies are spending billions to improve their cyber security - good news for firms developing this technology, and the funds that invest in them

Holly Black 19 June, 2017 | 3:57PM
Facebook Twitter LinkedIn

A high profile cyber-attack on the NHS and a computer system meltdown at British Airways have put cyber security stocks firmly in the spotlight. But experts who have been tracking the trend say the real momentum in the sector started with an attack on US retail group Target (TGT) in 2014.

There are around 180,000 recorded data breaches across the world every day. Given an estimated 70% of cyber breaches go undetected, the true scale of this problem is colossal.

Not only do organisations who suffer security breaches undertake severe reputational damage, new legislation set to come into force next year could impose fines on companies which do not do enough to protect themselves – and their customers. From 2018, listed companies will be forced to reveal any cyber security breach, no matter how big or small, and firms are spending billions to avoid any potential situation.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Facebook Twitter LinkedIn

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Alphabet Inc A2,786.17 USD0.00Rating Inc3,376.07 USD0.00Rating
CyberArk Software Ltd179.09 USD0.00
Liontrust Global Technology C GBP Acc4.15 GBP0.59Rating
Microsoft Corp310.11 USD0.00Rating
Mimecast Ltd70.57 USD0.00
Palo Alto Networks Inc486.55 USD0.00Rating
Pictet-Security I dy GBP333.17 GBP-0.24Rating
Polar Capital Global Tech Inc103.35 USD0.29Rating
Proofpoint Inc  
Target Corp258.73 USD0.00Rating

About Author

Holly Black  is Senior Editor,