Sectoral Asset Management, Inc. 1000 Sherbrooke Street West, Suite 2120 Montreal, Quebec H3A 3G4 Canada July 1, 2007

Sectoral Asset Management, Inc.
0000 Xxxxxxxxxx Xxxxxx Xxxx, Xxxxx 0000
Xxxxxxxx, Xxxxxx X0X 0X0 Xxxxxx

July 1, 2007

Quaker Investment Trust
000 Xxxxxxxxxx Xxxxx
Xxxxxxx, XX 00000

          Re:      Subadvisory Fee Waiver

Gentlemen:

     By our execution of this letter agreement (the “Agreement”), intending to be legally bound hereby, Sectoral Assement Management, Inc. (the “Subadviser”) agrees that in order to improve the performance of the Quaker Biotech Pharma-Healthcare Fund (the “Fund”), which is a series of the Quaker Investment Trust, the Subadviser shall reduce its subadvisory fee from an annual rate of 0.95% to 0.80%, as a percentage of the Fund’s average daily net assets, from July 1, 2007 through December 31, 2008. The Subadviser acknowledges that it shall not be entitled to collect on, or make a claim for, waived fees at any time in the future.

	Sectoral Asset Management, Inc.
	By:	/s/ Xxxxxx Xxxxx, CFA
		Name:	Xxxxxx Xxxxx, CFA
		Title:	Chief Executive Officer

Your signature below acknowledges acceptance of this Agreement:
Quaker Investment Trust
By:		/s/ Xxxxxx Xxxxxxxx
		Name: Xxxxxx Xxxxxxxx Title: Chief Operating Officer Date: July 31, 2007