A multinational bank subject to GLBA, PCI DSS, and FFIEC guidance is short-listing vendors to provide 24×7 managed security monitoring and incident response. The board insists that any engagement must not increase regulatory exposure or hamper ongoing audits. Which evaluation criterion should carry the GREATEST weight when selecting the managed security service provider?
Geographic location of the provider's SOC
Cost effectiveness and expected ROI
24×7 Security Operations Center capabilities
Ability to meet regulatory compliance requirements
Financial institutions operate under strict frameworks (GLBA, PCI DSS, SOX, FFIEC) and remain legally accountable for compliance even when tasks are outsourced. Choosing a provider that can demonstrably meet all relevant regulatory requirements therefore mitigates the most significant legal, financial, and reputational risk. Round-the-clock SOC coverage, attractive pricing, and preferred data-center locations are valuable, but none compensate for non-compliance; a vendor lacking verifiable compliance could expose the bank to fines, supervisory action, or forced contract termination.
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ISC2 CISSP
Security Operations
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