Correlated risk in cybersecurity

1. A computer-implemented method for quantifying correlated risk in a network of a plurality of assets having at least one dependency, each asset belonging to at least one entity, the method comprising:

generating a dependency graph based on relationships between the plurality of assets, the at least one dependency, and the at least one entity, wherein:

each of the plurality of assets is selected from the group consisting of: Internet Protocol (IP) address, domain name, and server system;

each of the at least one entity is selected from the group consisting of: a company and an organization; and

each of the at least one dependency is selected from the group consisting of: hosting provider and software version;

executing a plurality of Monte Carlo simulations over the dependency graph by:

generating a seed event in the dependency graph, the seed event having a probability distribution; and

propagating disruption through the dependency graph based on the seed event;

assessing loss for each asset of the plurality of assets; and

aggregating losses in a nonlinear sum for two or more assets of the plurality of assets to determine correlated risk in the network.

2. The method of claim 1 , wherein each of the plurality of assets is weighted according to its importance to the at least one entity having the asset.

3. The method of claim 1 , wherein the seed event is a breach or failure of the at least one dependency.

4. The method of claim 1 , wherein the probability distribution is a probability that the asset will become unavailable if the at least one dependency fails.

5. The method of claim 1 , further comprising:

storing information related to the aggregated losses for the two or more assets of the plurality of assets in a database.

6. The method of claim 1 , wherein the at least one entity comprises at least two entities, and wherein a first asset of the two or more assets belongs to a first entity of the at least two entities and a second asset of the two or more assets belongs to a second entity of the at least two entities.

7. The method of claim 6 , wherein at least one of the first and second assets belongs to another entity of the at least two entities.

8. The method of claim 6 , further comprising:

aggregating losses for two or more entities of the at least two entities to determine correlated risk in the network.

9. The method of claim 8 , further comprising:

storing information related to the aggregated losses for the two or more entities of the at least two entities in a database.

10. The method of claim 6 , wherein each of the at least two entities is assigned to at least one portfolio, and wherein the method further comprises:

aggregating losses for two or more portfolios of the at least one portfolio to determine correlated risk in the network.

11. The method of claim 10 , further comprising:

storing information related to the aggregated losses for the two or more entities of the at least two entities in a database.

12. The method of claim 1 , wherein a number of the plurality of Monte Carlo simulations is selected to reduce a statistical variance of the plurality of Monte Carlo simulations.

13. The method of claim 1 , wherein the executing a plurality of Monte Carlo simulations over the dependency graph further comprises:

determining if a statistical variance is equal to or less than a threshold; and

terminating the plurality of Monte Carlo simulations if the statistical variance is equal to or less than the threshold.

14. A computer-implemented method for quantifying correlated risk in a network of a plurality of assets having at least one dependency, each asset belonging to at least one entity, the method comprising:

receiving information indicative of the relationships between the plurality of assets, the at least one dependency, and the at least one entity;

storing information indicative of the relationships between the plurality of assets, the at least one dependency, and the at least one entity in a database, wherein the information is at least one of the group consisting of: domain name system (DNS) record, server banner, traffic data, malware infection, and software version;

generating a dependency graph based on relationships between the plurality of assets, the at least one dependency, and the at least one entity;

executing a plurality of Monte Carlo simulations over the dependency graph by:

generating a seed event in the dependency graph, the seed event having a probability distribution; and

propagating disruption through the dependency graph based on the seed event

assessing loss for each asset of the plurality of assets; and

aggregating losses in a nonlinear sum for two or more assets of the plurality of assets to determine correlated risk in the network.

15. The method of claim 14 , further comprising:

observing traffic to and from a particular one of the plurality of assets in the network to identify at least one of (i) an entity and (ii) a dependency related to the particular asset.

16. The method of claim 14 , wherein the information indicative of the relationships includes inter-business payment data.

17. The method of claim 14 , wherein the seed event is a breach or failure of the at least one dependency.

18. The method of claim 14 , wherein the probability distribution is a probability that the asset will become unavailable if the at least one dependency fails.

19. A computer-implemented method for quantifying correlated risk in a network of a plurality of assets having at least one dependency, each asset belonging to at least one entity, the method comprising:

generating a dependency graph based on relationships between the plurality of assets, the at least one dependency, and the at least one entity;

executing a plurality of Monte Carlo simulations over the dependency graph by:

generating a seed event in the dependency graph, the seed event having a probability distribution; and

propagating disruption through the dependency graph based on the seed event until a threshold amount of loss is aggregated among the two or more assets;

assessing loss for each asset of the plurality of assets; and

aggregating losses in a nonlinear sum for two or more assets of the plurality of assets to determine correlated risk in the network;

wherein the dependency graph comprises (i) a plurality of edges representing relationships between the plurality of assets, the at least one dependency, and the at least one entity and (ii) a plurality of nodes representing the plurality of assets, the at least one dependency, and the at least one entity, and

wherein each edge has a conditional probability that the asset on a receiving node of a particular edge, of the plurality of edges, is compromised given that the providing node, of the plurality of nodes, is compromised.

20. The method of claim 19 , wherein the propagating disruption through the dependency graph based on the seed event further comprises:

propagating disruption through the dependency graph until a threshold number of nodes is affected.

21. The method of claim 19 , wherein the seed event is a breach or failure of the at least one dependency.