Friday, July 14, 2017

Colorado Division of Securities Cybersecurity Rules Become Effective Monday, July 17, 2017

Attention: State Advisors Registered in Colorado


Colorado Division of Securities has updated and streamlined rules to become effective Monday, July 17, 2017. The rules cover numerous regulatory topics including:
  • cybersecurity,
  • succession planning, and
  • equity crowdfunding.

Regarding CyberSecurity, the Division is incorporating a rule that firms must now consider. The rule outlines new requirements for investment advisers to adopt reasonable policies to protect information stored electronically, including their client’s personal information. The rule is requiring firms to conduct routine risk assessments to determine the possibility of damage to business and client accounts, and be able to identify methods for preventing and/or address any security breaches.

The full revised “Rules Under the Colorado Securities Act” can be found on the Division of Securities website, and a red-line version released earlier this year detailing the soon-to-be-enacted rules can also be accessed via the Division’s Statement of Basis and Purpose.  

For additional details on CyberSecurity read our blog post and guest post.

For additional details on Business Continuity and Succession Planning read our blog post.

If you have any questions, please contact us at support@advisorassist.com or directly to your compliance consultants.

Thank you

The AdvisorAssist Team