CSA Staff Notice 11-326 – Cyber Security

Introduction

On September 26, 2013, the Canadian Securities Administrators ("CSA") issued Staff Notice 11-326 Cyber Security ("Staff Notice"). The Staff Notice highlights the importance of strong and individually-tailored cyber security measures for issuers, registrants and regulated entities, as such controls promote the reliability of their operations and the security of their confidential information. The Staff Notice identifies two major types of cyber threats in particular that have increased in sophistication and frequency: Denial of Service attacks and Advanced Persistent Threats.

CSA Recommendations for Issuers

The CSA notes that issuers, registrants and regulated entities should be aware of the risks and challenges posed by cyber crime and should take appropriate measures to protect themselves. In particular, the CSA provides the following guidance: