Cyber-Brief

The painful reality
of cyber threats

Operational stoppage
Ransomware
Lost trust
Data loss
Lost productivity
Data breach
Operational stoppage
Ransomware
Lost trust
Data loss
Lost productivity
Data breach
Strategic Briefing

The 2026 Regulatory
Outlook.

The Bottom Line

Modern regulatory exams now prioritize operational resilience and WISP compliance over traditional technical snapshots.

1. The Deep Dive: Resilience vs. Resistance

In 2026, "Operational Resilience" is the new benchmark. Regulators now assume a breach will happen. Their question for you during an exam will be: How quickly can you recover critical business lines without impacting the broader financial ecosystem?

The SEC's 2026 Priorities have officially displaced cryptocurrency with a laser focus on AI Governance and Regulation S-P amendments. For smaller firms, the June 2026 deadline for these amendments is approaching fast. You are now required to have a written incident response program that can notify affected individuals within 30 days—and sometimes as little as 72 hours for certain federal agencies.

2. The Pulse: 2026 Financial Sector Quick Hits

The "Shadow AI" Data Leak: 87% of financial firms identified AI-related vulnerabilities as their fastest-growing risk this year. Are your employees pasting sensitive client spreadsheets into unvetted AI "productivity" tools?

FFIEC Strengthening Third-Party Oversight: Regulators are increasing scrutiny on "SaaS Sprawl." Your security is now legally tied to the security of your fintech vendors.

The IRS & The Mandatory WISP: If you handle tax data, a Written Information Security Plan (WISP) is no longer a "best practice"—it is a legal requirement for PTIN renewal.

3. The Win: Your 15-Minute "WISP" Check

A Written Information Security Plan (WISP) is the first document an examiner will ask for. Don't let a "shelfware" PDF from 2022 be your answer.

DO THIS TODAY: Find your WISP and check the "Last Updated" date. If it doesn't mention Multi-Factor Authentication (MFA) for remote access or AI usage policies, it's obsolete. A modern WISP must be a living document that reflects your current tech stack.

4. The Executive Action: Don't Guess. Know.

Knowing you have gaps is the first step. Closing them before an examiner finds them is the second.

Move from "hope-based security" to proof. A qualified partner should provide a roadmap that mirrors a regulatory examination, identifying gaps in WISP documentation before they become liabilities.

What's next:

Protect the Bottom Line.

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