—
Daily Gains Letter (www.DailyGainsLetter.com), an e-letter published by Lombardi Publishing Corporation, a 29-year-old consumer publisher that has served over one million customers in 141 countries, is weighing in on how the cyber security market could be a boon for investors in 2015, as the National Security Agency (NSA) says that U.S. cyber infrastructure lags and President Obama seeks $14.0 billion to boost U.S. cyber security defenses.“The growth of the Internet has been one of the top advancements in history. But with this good news comes the darker side, namely cyber attacks that cost billions of dollars in damages, along with non-monetary impacts,” says financial analyst George Leong. ““Each year, millions of Americans have their personal data stolen and that number is expected to rise. There’s also the threat of cyber attacks on key government and intellectual assets.”
President Barack Obama’s budget proposal for fiscal 2016 seeks $14.0 billion for domestic cyber security efforts to better protect federal and private networks from hacking threats; the Pentagon's budget alone called for $5.5 billion in funding for cyber security. Federal cyber security funding has been increasing as the private and public sectors continue to face increasing threats from domestic and foreign threats. (Source: “Obama seeks $14 bln to boost U.S. cybersecurity defenses,” Reuters web site, February 2, 2015; www.reuters.com/article/2015/02/02/usa-budget-cybersecurity-idUSL1N0VC0XH20150202.)
The proposed increase in cyber security funding comes at a time when the nation’s top cyber security official at the NSA says he expects the U.S. to be on the receiving end of a major cyber security attack before he leaves office. As a result, America needs to be more proactive in its efforts to keep up with Russia, China, and other potential adversaries. (Source: Swarts, P., “NSA chief says U.S. cyber infrastructure lags behind adversaries, expects major attack,” The Washington Post, February 23, 2015; www.washingtontimes.com/news/2015/feb/23/adm-mike-rodgers-nsa-director-says-us-infrastructu/.)
Leong explains that private and public infrastructures are vulnerable to cyber attacks for many reasons, including misconfigured or outdated software. It is thought that the U.S. and its allies could be losing as much as $400 billion annually due to theft of intellectual property. But with the threat also comes a potential investment opportunity in cyber defense, says Leong.
“Cyber security companies are attracting focus as an investment opportunity. The catalyst that will drive up the share price of these stocks will be security attacks that continue to plague companies and governments around the world and cause excessive monetary damage,” Leong concludes. “Increased funding could be good news for big weapons makers, which play a big role in encryption and cyber security for defense and intelligence agencies. Investors looking for a more balanced attack in cyber security might want to consider a cyber security exchange-traded fund.”
For more information on Daily Gains Letter, visit www.DailyGainsLetter.com.
Founded in 1986, Lombardi Publishing Corporation, which has served over one million customers in 141 countries, is one of the largest consumer information publishers in the world. For more information on Lombardi Publishing Corporation visit www.lombardipublishing.com.
Contact Info:
Name: Wendy Potter
Email: Send Email
Organization: Lombardi Publishing Corporation
Address: 350 5th Avenue, 59th Floor, New York, NY 10118
Phone: 905 856 2022
Website: http://www.dailygainsletter.com/
Release ID: 75672
Google
RSS