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Cybersecurity…..Is your PE Firm Ready? October 30, 2014

Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

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Page 1: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Cybersecurity…..Is your PE Firm Ready?

October 30, 2014

Page 2: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

What you will learn……. • Understanding SEC’s interest in cybersecurity

• Mitigating cyber risk at the PE firm and the portfolio companies

• Developing a plan to protect investor identification and private information, a

portfolio company intellectual property and related confidential information

• Handling the conflict between business access and security

• Planning for disaster, business continuity and client notification

Page 3: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Why are we discussing it?

• In April, The SEC Announced It Would Be Spreading More “Sunshine” on

• Private Equity by Examining the Industry’s Preparedness for Cybersecurity

Page 4: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

“Dozens of large private equity firms are currently compromised, and they don’t even know about it”

John Watters, chief executive, iSight Partners Inc.,

a cybersecurity intelligence company

Source: Wall Street Journal, March 10, 2014

Why are we discussing it?

Page 5: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Why are we discussing it?

31% of all targeted cyber attacks in 2013 hit businesses with less than 250 employees

Source: Symantec 2013 Internet Security Threat Report

Page 6: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Why are we discussing it?

Data breaches cost U.S. companies $5.4 million per breach – that amounts to

$188 per stolen record

Source: Ponemon Institute: “2013 Cost of Data Breach Study: Global Analysis.”

Page 7: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Panelists:

Joe Campbell, CTO, PEF Services LLC Eric Feldman, Chief Information Officer,

The Riverside Company Melinda Scott, Managing Partner,

Scott Goldring Associates

Moderator: Mark Heil, EVP, Business Development, PEF

Services LLC

Who Will You Hear From Today?

Page 8: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Joe Campbell, CTO, PEF Services LLC

• UBS Financial Services, Senior Developer, Consolidated Order Entry System

• Application Development The Chubb Institute of Technology and Rockland College

• B.A., Queens College

Page 9: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Eric Feldman, CIO The Riverside Company

• Instrumental in creating Riverside’s Information Security Program and restructuring the global business continuity plan to align with evolving business requirements.

• Served as the Director of MIS for the Office of the Mayor, City of New York.

• B.A. from Eastern Illinois University.

Page 10: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Melinda Scott, Managing Partner, Scott Goldring Associates

• Managing Partner at Scott Goldring Associates in New York City.

• Specializes in Securities Law and alternative investment vehicles.

• Graduate of Howard University School of Law

• Licensed member of the New York State Bar and the Federal Southern District of New York.

• Qualified to practice law in England and Wales.

Page 11: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Mark Heil EVP-Business Development

PEF Services LLC • Founder and Managing Director, CereNova

Fund Marketing, placement agent for small and emerging managers

• Board member of Private Investors Forum (Angel Network) and Entrepreneurs Forum of Greater Philadelphia (former president)

• MBA, Drexel University, Marketing; BS, St. Joseph’s University, Marketing & Finance

Page 12: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

PEF Services LLC is the leading fund administrator for small to middle market private

capital funds. We provide high-quality, cost-effective administrative solutions with a specialty

in emerging manager and Small Business Investment Companies (SBIC) funds.

Page 13: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

The Riverside Company is a global private equity firm focused on investing in growing enterprises valued at up to $250 million/€200 million. The

firm’s global portfolio includes more than 75 companies. Since its founding in 1988, Riverside

has invested in more than 300 transactions.

Page 14: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Scott Goldring Associates is a boutique law firm specializing primarily in Securities Law. They

have expertise in formation and ongoing compliance for Hedge Funds, Private

Equity/Venture Capital Funds and Family Offices.

Page 15: Cybersecurity…..Is your PE Firm Ready?...• Understanding SEC’s interest in cybersecurity • Mitigating cyber risk at the PE firm and the portfolio companies • Developing a

Contact Us

PEF Services LLC Joe Campbell

212-203-4685 x 106 [email protected] www.pefundservices.com

PEF Services LLC

Mark Heil 212-203-4679

[email protected] www.pefundservices.com

The Riverside Company Eric Feldman 212 484 2178

[email protected] www. riversidecompany.com

Scott Goldring Associates Melinda Scott 646-652-8567

[email protected] www.scottgoldringassociates.com