SEBI Circular No. SEBI/HO/IMD/DF2/CIR/P/2019/12 dated January 10, 2019 addressed to All Mutual Funds/ Asset Management Companies (AMCs)/ Trustee Companies/ Boards of Trustees of Mutual Funds/ Association of Mutual Funds in India (AMFI), regarding "Cyber Security and Cyber Resilience framework for Mutual Funds / Asset Management Companies (AMCs)", reads as follows:
1. With rapid technological advancement in securities market, there is greater need for maintaining robust cyber security and to have cyber resilience framework to protect integrity of data and guard against breaches of privacy.
2. As part of the operational risk management, the Mutual Funds / Asset Management Companies (AMCs) need to have robust cyber security and cyber resilience framework in order to provide essential facilities and services and perform critical functions in securities market.
3. Based on the recommendation of SEBI’s High Powered Steering Committee - Cyber Security, it has been decided that the framework prescribed vide SEBI circular CIR/MRD/DP13/2015 dated July 06, 2015 on cyber security and cyber resilience also be made applicable to all Mutual Funds / AMC. Accordingly, all Mutual Funds / AMCs shall comply with the provisions of Cyber Security and Cyber Resilience as placed at Annexure-1.
4. Mutual Funds / AMCs are advised to take necessary steps to put in place systems for implementation of this circular. The guidelines annexed with this circular shall be effective from April 1, 2019.
5. This circular is issued in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with the provisions of Regulation 77 of SEBI (Mutual Funds) Regulations, 1996, to protect the interests of investors in securities and to promote the development of, and to regulate the securities market.
ANNEXURE -1 IS AVAILABLE IN THE SEBI CIRCULAR FILE.
Please check out the circular at SEBI website >> Legal >> Circulars >> Jan 10, 2019 Cyber Security and Cyber Resilience framework for Mutual Funds / Asset Management Companies (AMCs).