Cybersecurity for Registered Investment Advisors: Top 3 Checkpoints

For Registered Investment Advisors (RIAs), cybersecurity is more than IT hygiene, it’s a fiduciary responsibility.

The SEC expects firms to protect client information, have document controls, and respond effectively to cyber incidents. But many small to mid-sized firms in the wealth management industry don’t have a clear roadmap for what “good cybersecurity” actually looks like.

At RIA Workspace, we specialize in helping RIAs simplify compliance and strengthen security without adding complexity or unnecessary third-party tools.
Here are the three cybersecurity checkpoints we think every registered investment advisor should review today.

Checkpoint 1: Strategic Planning and Risk Assessment

Cybersecurity starts with planning. An annual technology and risk assessment helps your firm:

• Identify vulnerabilities in your network, email, and user behavior.
• Map your controls to SEC expectations.
• Prioritize actions based on actual business risk and not just tech buzzwords.

Without a plan, your firm reacts to threats instead of preventing them. A strong IT roadmap defines policies, responsibilities, and response procedures so you can show auditors you’re proactive, not reactive.

👉 Tip: RIAs should review their cybersecurity plan at least once a year and document updates as part of their compliance file.  We work with our clients to complete an annual technology business review so they understand how their business is protected.

Checkpoint 2: Advanced Protection with Enterprise-Level Security

Every RIA firm, regardless of size, needs enterprise-level security. You’re safeguarding sensitive client data, facing evolving threats, and operating under strict SEC regulations. The size of your firm doesn’t change your risk exposure.

Modern enterprise protection includes:

• Multi-layered threat defensethat stops ransomware, phishing, and malware before they spread.
• Conditional access and MFAto verify user identity and secure logins.
• Data loss prevention (DLP)to keep confidential client information from leaving your network.
• Centralized monitoring and reportingto maintain full visibility for compliance audits.

The good news? You don’t need a patchwork of third-party tools to achieve this.
Microsoft 365 provides enterprise-grade protection out of the box with tools like Microsoft Defender, Conditional Access, and Purview.  These give your financial advisor firm a complete, integrated security framework.

👉 Tip: Ask your IT partner to audit your Microsoft 365 security settings. Most RIAs only use 60–70% of what they’re already paying for.

Checkpoint 3: Incident Response and Employee Readiness

Even the best tools can’t stop every threat. Human errors like clicking a phishing link, using weak passwords, or missing a red flag is still the number one cause of breaches.

That’s why your final checkpoint focuses on people and process:

• Test your incident response plan so everyone knows their role.
• Conduct quarterly phishing simulations and staff training.
• Document incidents and lessons learned for SEC review.

Planning for “what if” moments is what separates secure firms from vulnerable ones. Your goal isn’t zero risk, it’s documented control and rapid recovery.

Cybersecurity for RIAs doesn’t have to be complicated.

With the right plan, enterprise-level protection, and a prepared team, you can protect client data, meet SEC expectations, and reduce stress across your firm.

Ready to strengthen the cybersecurity strategy at your or Registered Investment Advisor firm?

Your firm’s reputation and compliance depend on how well you plan, protect, and respond. RIA Workspace helps you implement enterprise-level cybersecurity built for RIAs.  No unnecessary add-ons, just proven protection within Microsoft 365.  Schedule a discovery call to get started.