Advisory firms are spending a lot more money on high-tech solutions to regulatory problems, according to the latest numbers from auditors at KPMG.
KPMG polled 100 investment managers and found that 70 of them were "concerned" by the current regulatory environment.
In fact, a full 61 of the people the auditors talked to say regulation is the single biggest threat to their growth.
To address the challenge, they're investing in stronger technology in the office as well as reviewing their existing procedures and policies.
Many needed to upgrade their computers anyway, KPMG says, and so the need to adjust cost basis reporting and comply with other new regulations is simply providing a fresh incentive.
And once again, most advisory firms expect to boost their payrolls in the current year, but only by 3% to 4%.