Hedge fund managers have spent more than $3 billion since the financial crisis on compliance costs to meet new global regulations, with smaller managers facing the biggest burden, according to a new survey.

The report, which was produced by KPMG alongside trade bodies the Alternative Investment Management Association and the Managed Funds Association, found that the average spend on compliance was at least $700,000 for small fund managers (assets under $1 billion), $6 million for medium-sized fund managers (between $1 billion and $5 billion in assets) and $14 million for large fund managers (over $5 billion).