Some of the major differences between QSI's core portfolios and mutual funds:

Better control over taxes: ETF's and index funds offer a unique opportunity for investors to benefit from the vehicles' inherent tax efficiency while gaining exposure to a portfolio that is potentially more diversified. Typically, investors only pay taxes on the capital gains they realize. In addition investors can align their portfolios with their tax strategies. Mutual funds on the other hand, may carry embedded gains, making shareholders liable for gains they never realized.

Simple Fee Structure: QSI charges a simple, clearly stated annual fee based on the size of the account. This is another level of transparency that gives investors peace of mind. In many cases this fee is tax deductible but you will need to confer with your tax advisor prior to any deduction. The expenses of mutual funds are not as often clearly stated. Mutual funds are likely to have other expenses that are not always clearly stated such as sales and distribution expenses and custody fees.

Diversification: Utilizing ETF's provides broad diversification with less risk associated with style drift. Active managers and mutual fund managers sometimes abandon their investment styles in an attempt to improve returns. This can lead to style drift or security overlap which can dramatically alter the risk return profile of the portfolio and stray away from the investors' original objectives.

Transparency: Can access account holdings 24 hours a day, 7 days a week whereas many mutual funds and independent investment managers only reflect top holdings or give access to all current holdings on a quarterly or less frequent basis. Also ETF's can be traded any time during normal market hours while mutual funds and some investment accounts have limited trading times or costs to buy in or get out of a certain investment.

One Easy Statement: Our clients receive one easy to understand statement and integrated performance report.