diff --git a/common/base.c b/common/base.c
index 5b35a2e3..9d572c90 100644
--- a/common/base.c
+++ b/common/base.c
@@ -1334,6 +1334,8 @@ REALIGN_STACK int x264_param_parse( x264_param_t *p, const char *name, const cha
         p->rc.i_aq_mode = atoi(value);
     OPT("aq-strength")
         p->rc.f_aq_strength = atof(value);
+    OPT("fade-compensate")
+        p->rc.f_fade_compensate = atof(value);
     OPT("pass")
     {
         int pass = x264_clip3( atoi(value), 0, 3 );
@@ -1442,7 +1444,10 @@ char *x264_param2string( x264_param_t *p, int b_res )
     s += sprintf( s, " subme=%d", p->analyse.i_subpel_refine );
     s += sprintf( s, " psy=%d", p->analyse.b_psy );
     if( p->analyse.b_psy )
+    {
+        s += sprintf( s, " fade_compensate=%.2f", p->rc.f_fade_compensate );
         s += sprintf( s, " psy_rd=%.2f:%.2f", p->analyse.f_psy_rd, p->analyse.f_psy_trellis );
+    }
     s += sprintf( s, " mixed_ref=%d", p->analyse.b_mixed_references );
     s += sprintf( s, " me_range=%d", p->analyse.i_me_range );
     s += sprintf( s, " chroma_me=%d", p->analyse.b_chroma_me );
diff --git a/encoder/encoder.c b/encoder/encoder.c
index b946cddf..9e43ad7c 100644
--- a/encoder/encoder.c
+++ b/encoder/encoder.c
@@ -1189,10 +1189,15 @@ static int validate_parameters( x264_t *h, int b_open )
             x264_log( h, X264_LOG_WARNING, "--tune %s should be used if attempting to benchmark %s!\n", s, s );
     }
 
+    if( h->param.analyse.i_weighted_pred == X264_WEIGHTP_NONE )
+        h->param.rc.f_fade_compensate += 0.1;
+    if( !h->param.rc.b_mb_tree )
+        h->param.rc.f_fade_compensate = 0;
     if( !h->param.analyse.b_psy )
     {
         h->param.analyse.f_psy_rd = 0;
         h->param.analyse.f_psy_trellis = 0;
+        h->param.rc.f_fade_compensate = 0;
     }
     h->param.analyse.f_psy_rd = x264_clip3f( h->param.analyse.f_psy_rd, 0, 10 );
     h->param.analyse.f_psy_trellis = x264_clip3f( h->param.analyse.f_psy_trellis, 0, 10 );
diff --git a/encoder/slicetype.c b/encoder/slicetype.c
index 0315ba6b..527287a8 100644
--- a/encoder/slicetype.c
+++ b/encoder/slicetype.c
@@ -459,7 +459,7 @@ void x264_weights_analyse( x264_t *h, x264_frame_t *fenc, x264_frame_t *ref, int
         else
             SET_WEIGHT( weights[plane], 1, minscale, mindenom, minoff );
 
-        if( h->param.analyse.i_weighted_pred == X264_WEIGHTP_FAKE && weights[0].weightfn && !plane )
+        if( weights[0].weightfn && !plane )
             fenc->f_weighted_cost_delta[i_delta_index] = (float)minscore / origscore;
     }
 
@@ -1031,7 +1031,7 @@ static void macroblock_tree_finish( x264_t *h, x264_frame_t *frame, float averag
     int fps_factor = round( CLIP_DURATION(average_duration) / CLIP_DURATION(frame->f_duration) * 256 / MBTREE_PRECISION );
     float weightdelta = 0.0;
     if( ref0_distance && frame->f_weighted_cost_delta[ref0_distance-1] > 0 )
-        weightdelta = (1.0 - frame->f_weighted_cost_delta[ref0_distance-1]);
+        weightdelta = (1.0 - frame->f_weighted_cost_delta[ref0_distance-1]) * 10.0f * h->param.rc.f_fade_compensate;
 
     /* Allow the strength to be adjusted via qcompress, since the two
      * concepts are very similar. */
diff --git a/x264.c b/x264.c
index 4765973a..e06d622d 100644
--- a/x264.c
+++ b/x264.c
@@ -751,6 +751,8 @@ static void help( x264_param_t *defaults, int longhelp )
         "                                  - 3: Auto-variance AQ with bias to dark scenes\n", defaults->rc.i_aq_mode );
     H1( "      --aq-strength <float>   Reduces blocking and blurring in flat and\n"
         "                              textured areas. [%.1f]\n", defaults->rc.f_aq_strength );
+    H1( "      --fade-compensate <float> Allocate more bits to fades [%.1f]\n", defaults->rc.f_fade_compensate );
+    H2( "                                  Approximate sane range: 0.0 - 1.0\n" );
     H1( "\n" );
     H0( "  -p, --pass <integer>        Enable multipass ratecontrol\n"
         "                                  - 1: First pass, creates stats file\n"
@@ -1092,6 +1094,7 @@ static struct option long_options[] =
     { "no-dct-decimate",      no_argument,       NULL, 0 },
     { "aq-strength",          required_argument, NULL, 0 },
     { "aq-mode",              required_argument, NULL, 0 },
+    { "fade-compensate",      required_argument, NULL, 0 },
     { "deadzone-inter",       required_argument, NULL, 0 },
     { "deadzone-intra",       required_argument, NULL, 0 },
     { "level",                required_argument, NULL, 0 },
diff --git a/x264.h b/x264.h
index d9644b6f..a2aeb769 100644
--- a/x264.h
+++ b/x264.h
@@ -454,6 +454,7 @@ typedef struct x264_param_t
 
         int         i_aq_mode;      /* psy adaptive QP. (X264_AQ_*) */
         float       f_aq_strength;
+        float       f_fade_compensate; /* Give more bits to fades. */
         int         b_mb_tree;      /* Macroblock-tree ratecontrol. */
         int         i_lookahead;