SEC Chair Gensler Maps out Potential Overhaul to Agency’s Cyber Rules

Securities and Exchange Commission (SEC) Chair Gary Gensler testifies before a Senate Banking, Housing, and Urban Affairs Committee oversight hearing on the SEC on Capitol Hill in Washington, on Sept. 14, 2021. Evelyn Hockstein/Reuters

WASHINGTON—The U.S. securities regulator is considering extending cyber risk management rules to third-party service providers, and beefing up public company disclosures when they experience a breach, the head of the Securities and Exchange Commission (SEC) said on Monday.

Gary Gensler, in an address to securities industry professionals, mapped out a sweeping overhaul of SEC cyber rules, including changes to how stock exchanges and clearinghouses mitigate, and report on cyber risk under the Regulation “Systems Compliance and Integrity” (SCI) aimed at reducing systems issues and improving resilience.