G-7 FUNDAMENTAL ELEMENTS FOR THREAT-LED PENETRATION TESTING Executive Summary In light of the increasing sophistication and persistence of cyber risks, which can threaten to disrupt our interconnected global financial systems, the G-7 continues to promote the development of frameworks to enhance public and private sector approaches to strengthening cyber resilience of critical entities in the financial system following its publication in 2016 of the G-7 Fundamental Elements of Cybersecurity for the Financial Sector (“G7FE”). These efforts include steps to ensure strong cyber resilience measures are assessed and evaluated, as highlighted by the G-7 Fundamental Elements for Effective Assessment of Cybersecurity in the Financial Sector (“G7FE-Assessment”), published in 2017. The G7FE-Assessment included components to consider and embed when developing cyber resilience assessment frameworks. The G-7 Fundamental Elements for Threat-Led Penetration Testing (G7FE-TLPT) provide entities with a guide for the assessment of their resilience against malicious cyber incidents through simulation and a guide for authorities considering the use of Threat-Led Penetration Testing (TLPT) within their jurisdictions. These fundamental elements are intended to complement a wider suite of cyber resilience assessment tools and techniques, and are not meant to be considered as a singular approach. The core objectives of the G7FE-TLPT are to enhance and assess the cyber resilience of entities and the financial sector more generally, by:  Providing core elements of and approaches for the conduct of TLPT across G-7 jurisdictions. The G7FE-TLPT aim to facilitate greater compatibility among TLPT approaches, whilst also encouraging flexibility and local tailoring based on the unique markets and regulations within each jurisdiction;  Providing a guide to authorities considering the use of TLPT within their jurisdiction;  Providing a guide to entities with respect to conducting their own TLPT assessments; and  Supporting cross-authority interaction and cross-jurisdictional TLPT for multinational entities, facilitating mutual acceptance of test results. The G7FE-TLPT seek to drive greater compatibility among TLPT approaches and do not invalidate existing frameworks or prevent their continuous adaptations to the evolving threat landscape. TLP WHITE: Subject to standard copyright rules, this document may be distributed freely, without restriction. 1

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