QM Advisors LLC

Item 5: Fees and Compensation

A. Fee Schedule

Portfolio Management Fees

Portfolio management fees are generally negotiable subject to a maximum of 1.5%
annually. The negotiated fee will be memorialized in the client’s advisory agreement. The
advisory fee is calculated using the value of the assets in the Account on the last business
day of the prior billing period. The fee for the first quarter is prorated based on the
number of calendar days using the value of the assets in the Account on the last business
day of the first quarter.

Clients may terminate the agreement without penalty for a full refund of QAL's fees
within five business days of signing the Investment Advisory Contract. Thereafter, clients
may terminate the Investment Advisory Contract generally with 30 days' written notice.

Hedge Fund Advisory Fees

For advisory services to the QM Alpha Fund LP, QAL is paid a management fee quarterly
in advance equal to 0.50% (2.0% per annum) of the beginning Capital Account balance of
each Limited Partner for each quarter. A pro rata portion of the Management Fee will be
paid out of any initial or additional capital contributions to the Partnership on any date
that does not fall on the first day of a quarter, based on the number of days remaining in
such partial quarter. In the case of a withdrawal from a Limited Partner’s Capital Account
other than as of the last day of a quarter, a pro rata portion of the Management Fee (based
on the number of days remaining in such quarter and the portion of the amount
withdrawn from such Capital Account) will be repaid by the Investment Manager to the
Partnership.

Financial Planning Fees

Fixed Fees

The negotiated fixed rate for creating client financial plans is between $1,000 and $10,000.
The fixed fee is dependent on the complexity of the engagement and an estimate of the
amount of work entailed in providing the services.

Hourly Fees

The negotiated hourly fee for these services ranges from $350 to $850

Clients may terminate the agreement without penalty, for full refund of QAL’s fees,
within five business days of signing the Financial Planning Agreement. Thereafter, clients
may terminate the Financial Planning Agreement generally upon written notice.

Retirement Plan Advisory Service Fees

The negotiated but generally range from 0.20% to 1.00% annually. The fee is dependent
on the complexity of the engagement and an estimate of the amount of work entailed in
providing the services.

B. Payment of Fees

Payment of Portfolio Management Fees

Asset-based portfolio management fees are withdrawn directly from the client's accounts
with client's written authorization on a quarterly basis or may be invoiced and billed
directly to the client on a quarterly basis. Clients may select the method in which they are
billed. Fees are paid in advance.

Payment of Financial Planning Fees

Financial planning fees are paid via check.

Fixed financial planning fees are paid in arrears upon completion.

Hourly financial planning fees are paid in arrears upon completion.

Payment of Retirement Plan Advisory Services Fees

Retirement Plan Advisory Services Fees are billed in arrears, and may be paid out of plan
assets, on a quarterly basis or the Plan Sponsor may choose to be invoiced and pay the
fees directly.

C. Client Responsibility For Third Party Fees

Clients are responsible for the payment of all third-party fees (i.e. custodian fees,
brokerage fees, mutual fund fees, transaction fees, etc.). Those fees are separate and
distinct from the fees and expenses charged by QAL. Please see Item 12 of this brochure
regarding broker-dealer/custodian.

D. Prepayment of Fees

QAL collects certain fees in advance and certain fees in arrears, as indicated above.
Refunds for fees paid in advance but not yet earned will be refunded on a prorated basis

       and returned within fourteen days to the client via check or return deposit back into the
       client’s account.

       For all asset-based fees paid in advance, the fee refunded will be equal to the balance of
       the fees collected in advance minus the daily rate* times the number of days elapsed in
       the billing period up to and including the day of termination. (*The daily rate is calculated
       by dividing the annual asset-based fee rate by 365.)

       E. Outside Compensation For the Sale of Securities to Clients

       Neither QAL nor its supervised persons accept any compensation for the sale of securities
       or other investment products, including asset-based sales charges or service fees from the
       sale of mutual funds.

Item 7: Types of Clients

QAL generally provides advisory services to the following types of clients:

       ❖       Individuals
       ❖       High-Net-Worth Individuals
       ❖       Corporations or Business Entities
       ❖       401K Plans
       ❖       Private Hedge Funds

There is no account minimum for any of QAL’s services.