The biggest stumbling block toward inculcating cyber resilience among regulated institutions has been high-level automation and use of systems that are heavily integrated with third-party service providers and customers. This has resulted in an attack surface that is growing by the day and has only served to increase accessibility from potential adversaries. Increased third party integration implies that the perimeter of interest to financial sector regulators has gotten bigger, and cloud computing means the perimeter is shared.

Options B, and C all come up as a result of high-level automation and integration.

Things to Remember

• Cyber resilience refers to an organization's ability to prevent, detect, respond to, and recover from cyber attacks or security breaches.
• Regulated institutions in the financial sector are subject to strict cybersecurity regulations and guidelines to protect sensitive data and maintain trust with customers.
• Third-party risk management is crucial for regulated institutions as they often rely on external vendors for various services, increasing the potential attack surface.
• Cloud computing offers scalability and cost-efficiency benefits but also introduces new security challenges related to data protection and access control.