Geopolitics and trade tensions have ousted cybersecurity as the biggest threat to the global financial system in 2020, according to a new survey from the U.S.-based Depository Trust & Clearing Corp. (DTCC).
The DTCC reported that this is the first time in seven years that cyber risk has not taken top spot in its annual industry risk survey.
Instead, this year, 23% of respondents pointed to geopolitical risks and trade tensions as their top concern, edging out cyber threats at 22%.
“Respondents cited concerns about potential impacts on macroeconomic conditions and growth as well as heightened market volatility,” DTCC reported.
The other top concerns in this year’s survey include a U.S. economic slowdown, Brexit and the prospect of an economic slump in Asia.
DTCC noted that the risks of economic slowdowns in the U.S. and Asia saw the largest increases in this year’s survey.
“The survey results show that, while cyber risk continues to remain top of mind across the industry, shifts in the geopolitical and macroeconomic landscape are becoming an increasingly important cause of concern for the financial services industry,” said Michael Leibrock, chief systemic risk officer at DTCC.