Orthogonal frequency division multiplexing (OFDM) is a prominent, new multicarrier modulation technology used with most 4G wireless communication systems. It was configured with MIMO to transmit very high rates of digital information with enhanced performance and speed. However, OFDM faced high peak to average power ratio (PAPR) issue at the transmitter. In this paper, a new companding method called advanced exponential companding (AEC) is proposed to provide better PAPA and BER performance than standard exponential companding (EC) and Mu-law companding while keeping constant average power before and after companding process. In addition, a new efficient hybrid scheme that is containing Zaddoff Chu Matrix Transform (ZCT) precoding and the proposed AEC companding is developed. The new scheme lessens the signal distortion caused by AEC companding and gives a great improvement in both PAPR & BER performance in comparison with AEC in both LTE SISO-OFDM and LTE MIMO-OFDM systems. It produces high PAPR performance with slight SNR loss at 10^-3 BER against ZCT precoding with LTE MIMO-OFDM system. It offers the best results in terms of PAPR & BER against those related existing hybrid methods, namely; discrete hartley transform (DHT) precoding + Mu-law companding, Zadoff -chu matrix transform (ZCT) + Mu-law companding, Walsh Hadamard Transform (WHT) precoding + Mu-law companding, Walsh Hadamard Transform (WHT) precoding + exponential companding (EC), and discrete cosine transform (DCT) precoding + Mu-law companding for LTE SISO-OFDM system.