- Feature enables clients to meet new data protection requirements of FINRA Rule 8210 -
Portland, Ore., Feb. 16, 2011 - Smarsh, the managed service leader in secure, innovative and reliable email archiving and compliance solutions, today announced the addition of file encryption to its solution platform. Clients can securely upload files to be encrypted on portable media devices, alongside messages from their electronic messaging archive, satisfying recent amendments to FINRA (Financial Industry Regulatory Authority) Rule 8210.
As outlined in Regulatory Notice 10-59, which took effect Dec. 29, 2010, the amendments mandate that organizations apply encryption when sending electronic documents to FINRA via portable media devices, such as CDs, DVDs, USB drives or portable hard drives. To ensure adequate protection of the data, which may include sensitive personal information, firms must meet industry standards for strong encryption (256-bit or higher) and provide FINRA staff with the confidential process or key to decrypt in a communication separate from the encrypted portable media device.
"FINRA has signaled that the protection of sensitive investor data needs to be a priority for registered firms," said Stephen Marsh, Smarsh founder and CEO. "Smarsh clients are already encrypting email and messages that are exported to portable media devices within the Smarsh Management Console, so extending the service to other documents and file types was a logical next step. Now, rather than having to implement new systems or tie up IT resources to comply with Rule 8210 encryption requirements, firms can simplify their procedures with one solution and have peace of mind in meeting this compliance obligation."
Comprehensive Platform for Encryption
Smarsh clients have a single interface to upload and encrypt files (such as documents, databases, audio, etc.), as well as emails and other electronic communications from their archive, onto portable media devices. After securely uploading requested documents within the Smarsh Management Console, clients can choose their preferred encryption method, and then export these files to a portable media device or have Smarsh specialists handle the task. The process automatically ensures that decryption information is sent to FINRA in a communication separate from the data itself, and all related activity is logged and preserved within the system.
Smarsh clients can also transfer files digitally through the smarshEncrypt secure messaging platform.
Rule 8210 gives FINRA staff the authority to compel registered firms to produce documents, provide testimony or supply written responses or electronic data in connection with an investigation, complaint, examination or adjudicatory proceeding. Responses to requests from FINRA frequently require the use of physical electronic media because of the size and format of files.
Smarsh® provides hosted solutions for archiving electronic communications, including email, instant messaging and social media platforms such as Facebook, LinkedIn and Twitter. Founded in 2001, Smarsh helps more than 10,000 organizations manage and enforce flexible, secure and cost-effective compliance and records retention strategies. For more information, visit www.Smarsh.com or follow Smarsh at www.twitter.com/SmarshInc.
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