One of the challenges is that hackers are operating outside the United States, with most of the more serious attacks coming from Russia and China, he said.
Chertoff described “outsider trading,” in which hackers break into corporate computer systems for information on which to trade.
Ways to guard against such attacks include: Network sensors, traffic-flow monitoring, deep-packet inspection, big-data analytics and cyber forensics, Chertoff said.
Trader Joe Terranova offered a couple of ways to play the sector: ITT and CACI International, which counts on the Pentagon for 80 percent of its revenue.
Pete Najarian said he liked Symantec, as well as the sector in general.
“There’s going to be plenty of dollars spent in this area for sure,” he said.
______________________________________________________
Got something to to say? Email fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you prefer to comment but not have it published online, email fastmoney@cnbc.com.
Trader disclosure: On Dec. 15, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders: Finerman owns BAC and AAPL; Adami owns AGU, MSFT, NUE, BTU, C, GS, INTC.; Najarian is long AAPL; Najarian has BAC long calls; Najarian has JPM calls; Najarian has WFC calls; Najarian is long INTC; Najarian is long YHOO; Terranova is long VRTS; Terranova is long IBM; Terranova is long LQD; Terranova is long MUB; Terranova is long EMC; Terranova is long CSCO; Terranova is long AXP; Terranova is long TRLG; Terranova is long SBUX; Terranova is long SWN; Terranova is long SU;
Karen Finerman
Finerman’s firm owns AAPL AND short calls
Finerman’s firm owns JPM and leaps
Finerman’s firm owns IBM and short calls
Finerman owns JPM and leaps
Stephen Weiss
Weiss is long JPM
Weiss is long QCOM
Weiss is long SDS
Weiss is long TWM
Weiss is long WLP
Weiss is long BRCM
Weiss is long HPQ
Weiss is long EUO
Mike Khouw
Cantor Fitzgerald is a market maker in securities of AAPL
Cantor Fitzgerald is a market maker in securities of BAC
Cantor Fitzgerald is a market maker in securities of C
Cantor Fitzgerald is a market maker in securities of XLF
Cantor Fitzgerald is a market maker in securities of GOOG
Cantor Fitzgerald is a market maker in securities of JPM
Cantor Fitzgerald is a market maker in securities of GDX
Cantor Fitzgerald is a market maker in securities of MS
Cantor Fitzgerald is a market maker in securities of NFLX
Cantor Fitzgerald is a market maker in securities of ORCL
Cantor Fitzgerald is a market maker in securities of GLD
Cantor Fitzgerald is a market maker in securities of XLU
Cantor Fitzgerald is a market maker in securities of TLT
Cantor Fitzgerald is a market maker in securities of GS
Cantor Fitzgerald is a market maker in securities of RIMM
Cantor Fitzgerald is a market maker in securities of FRX
Cantor Fitzgerald is a market maker in securities of THOR
Cantor Fitzgerald is a market maker in securities of WBMD
Cantor Fitzgerald is a market maker in securities of FDX
Cantor Fitzgerald is a market maker in securities of UPS
Cantor Fitzgerald is a market maker in securities of EXPD
Cantor Fitzgerald is a market maker in securities of SBUX
Cantor Fitzgerald is a market maker in securities of NVLS
Cantor Fitzgerald is a market maker in securities of PHM
Cantor Fitzgerald is a market maker in securities of FSLR
Cantor Fitzgerald is a market maker in securities of DECK
Cantor Fitzgerald is a market maker in securities of TRIPV
Cantor Fitzgerald is a market maker in securities of CVX
Dan Dicker
Dicker owns SLB
Dicker owns RIG
Dicker owns APA
Michael Chertoff
No disclosures
Stacy Widlitz
Widlitz owns LULU
Colin Gillis
RESEARCH IN MOTION (RIMM): Investment banking (next 3 months): BGC Financial LP and/or its affiliates, expect to receive, or intend to seek, compensation for investment banking services within the next three months from all of the companies referenced within this report.
Lead or Co-manager: BGC Financial LP and/or its affiliates, has not acted as lead or co-manager in a public offering of equity and/or debt securities for Research in Motion within the last 12 months. BGC Financial LP and/or its affiliates has not received compensation for investment banking services in the last 12 months from Research in Motion.
Taposh Bari
Nike (NKE), VF Corporation (VFC), and Wolverine Worldwide (WWW): As is the case with all Jefferies employees, the analyst(s) responsible for the coverage of the financial instruments discussed in this report receives compensation based in part on the overall performance of the firm, including investment banking income. We seek to update our research as appropriate, but various regulations may prevent us from doing so. Aside from certain industry reports published on a periodic basis, the large majority of reports are published at irregular intervals as appropriate in the analyst's judgment.