InvestmentNews: Regulators assure industry CAT will not expose consumer data
Christopher Iacovella, chief executive of the American Securities Association, argued in a March 14 comment letter to the Senate Banking Committee that CAT could expose investor data to online theft.
“I’m very happy to see that the SEC chair agrees that retail investor PII should not be collected by the CAT,” Mr. Iacovella said.
Mr. Iacovella said the ASA, which represents regional broker-dealers, supports a market-wide surveillance system to flag potential investor harm posed by certain securities transactions. But that system would jeopardize investor safety if it collected information such as their Social Security numbers.
“If that were to happen, the CAT would become the world’s biggest one-stop shop for cybercriminals,” he said.
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