Madrid Financial Services Inc

Item 5.     Fees and Compensation
The Adviser will assess an Advisory Fee (the “Advisory Fee”) to provide discretionary advisory service.
The specific manner in which Advisory Fees are charged by the Adviser is based on a percentage of
assets under management(“AUM”). The Adviser reviews and redetermines the applicable Advisory Fee
rate approximately every six (6) months based on each client’s current assets under management and the

                                                                                      Madrid Retirement Services
                                                                                     Form ADV Part 2A (Feb ’26)

Adviser’s published fee schedule.
Client will pay an annual Advisory Fee (billed quarterly in advance) based on the following negotiated
fee schedule(s) for services outlined in the client’s Advisory Agreement.

                   Assets under Management                          Annual Fee %

                      Less than $249,999                                1.50%

                     $250,000 - $499,999                                1.45%

                     $500,000 - $749,999                                1.40%

                     $750,000 - $999,999                                1.35%

                   $1,000,000 - $1,999,999                              1.30%

                       Over $2,000,000                                  1.25%
Please note the Advisory Fee is not tiered based on a Client’s change in AUM. The Adviser reviews and
redetermines the applicable Advisory Fee rate approximately every six (6) months based on each Client’s
current AUM based on the fee schedule above. When the Adviser reviews each Client’s current AUM, if
the Client’s AUM has passed one of the tiers listed above, the Adviser will adjust the Client’s Advisory
Fee to the next lower Annual Advisory Fee %. For example, if a Client’s initial AUM is $225,000, the
Client will be charged an Advisory Fee of 1.50% of the Client’s AUM, for a total of $3,375 for the entire
year. When the Adviser reviews the Client’s Account(s) six (6) moths later and based on additional
contributions to the Client’s Account(s) and increase in value of the account, the updated AUM is for
example $550,000, the Adviser will adjust the Client’s Advisory Fee to 1.40% on the entire $550,00
AUM. As mentioned above, the Client’s Advisory Fee is not automatically adjusted based on
deposits/withdrawals and/or decrease/increase in the value of a Client’s Account(s). The Advisory Fee is
only adjusted upon the review by Adviser every six (6) months.
As disclosed below at Item 12 - Brokerage Practices, we recommend that clients use the brokerage
services of LPL Financial. Therefore, if a client is not using one of the Program in addition to our fees,
the client will be required to pay underlying fees and charges assessed by LPL Financial, including
brokerage and other transaction costs. LPL Financial may also receive an administrative fee from certain
money-market mutual funds; if this is the case, it should be disclosed in LPL Financial’s agreement with
the client.
As mentioned above, the Adviser may allocate a portion of a client’s portfolio to a TPM to provide
investment services on behalf of the Adviser. Clients will not be charged any additional Advisory Fee if
the Adviser elects to allocate a portion of a client’s managed portfolio to a TPM.
Fee Calculations
LPL Financial, calculates the Advisory Fees on a quarterly basis in accordance with each client’s
Advisory Agreement. Advisory Fees are typically deducted directly from the client Account(s) and are
not payable by any other method. LPL Financial provides clients with monthly account statements
reflecting current account values, holdings, and any advisory fee deductions. Clients are encouraged to
review these statements carefully.
The Advisory Fee will be assessed upon a percentage (%) of the daily average Net Assets (securities,
cash, and cash equivalents) under management of such client's account(s), averaged over the relevant
period, payable in advance as of the first business day of each calendar quarter.

                                                                                       Madrid Retirement Services
                                                                                      Form ADV Part 2A (Feb ’26)

        [Quarter End Value x Advisory Fee] / 360 x 90 Days = Advance Billing.
Advisory fees are deducted directly from client Account(s) held at the custodian designated by the client.
Clients authorize the custodian to remit Advisory Fees to the Adviser pursuant to the client’s Advisory
Agreement.
The Advisory Fee will be appropriately prorated to reflect any withdrawals and/or contributions which
occur during billing cycle and shall be paid to the Adviser regardless of the account’s profitability. The
Adviser reserves the right to discount fees based on the needs and circumstances of clients. All the above-
referenced Advisory Fees are negotiable.
Depending on, among other things, the size of the account, changes in its value over time, the ability to
negotiate fees or commissions, and the number of transactions, the amount of this compensation may be
more or less than what the Adviser would receive if the client participated in other programs, whether
through LPL or another sponsor, or paid separately for investment advice, brokerage and other services.
If the Advisory Agreement is terminated before the end of the quarterly period, client is entitled to a pro-
rated refund of any pre-paid quarterly Advisory Fee based on the number of days remaining in the quarter
after the termination date.
Lower fees for comparable services may be available from other sources.
The above fee schedule outlines the standard Advisory Fees applicable for the Adviser’s Services.
However, actual fees are negotiable and may vary among clients based on a variety of factors, including
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Item 7.     Types of Clients
The Advisory services offered by the Adviser are primarily offered to individuals and high net-worth
individuals. The Adviser is currently not working with other types of clients or pursuing them as
prospects but would not turn away any opportunities that may arise.
For customized advisory services, any required minimum account value will be set out in the client’s
Agreement.