Final answer:
The law that ensures U.S.-based financial institutions protect the personal financial information of their clients is the GLBA or the Gramm-Leach-Bliley Act. The GLBA requires financial institutions to develop and maintain safeguards to protect the privacy and security of customer information. The correct option is 3) GLBA
Step-by-step explanation:
The law that ensures U.S.-based financial institutions protect the personal financial information of their clients is the GLBA or the Gramm-Leach-Bliley Act. The GLBA requires financial institutions to develop and maintain safeguards to protect the privacy and security of customer information. This includes implementing measures such as encryption, data backup, and employee training. The GLBA applies to banks, credit unions, insurance companies, securities firms, and other financial institutions.
The other laws mentioned are not specifically focused on financial institutions' protection of personal financial information. HIPAA (Health Insurance Portability and Accountability Act) sets standards for the protection of patient information in the healthcare industry. SOX (Sarbanes-Oxley Act) regulates corporate financial reporting and governance. PCI DSS (Payment Card Industry Data Security Standard) outlines security requirements for organizations that handle credit card information. The correct option is 3) GLBA