FRM Part II · FRM Exam Part II · Risk Mitigation
A bank's incident response plan is reviewed. Which element most improves its ability to limit damage during an actual cyber incident?
Regular exercises and simulations with defined roles, escalation paths and communication protocols most improve damage limitation. They ensure people know what to do and decisions are fast during a real incident, whereas templates, licence renewals and reporting policies do not build response capability.
- ARegular exercises or simulations with defined roles, escalation paths and communication protocolsCorrect
- BA detailed post-incident report template completed within one year
- CAnnual renewal of the antivirus software license
- DA policy statement that all incidents will be reported to the board
Explanation
Rehearsed plans with clear roles and escalation let staff act quickly under pressure, reducing dwell time and impact. A report template and board reporting policy are useful but come after or beside the response, and licence renewal is a preventive housekeeping item.
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