Tranquilli Financial Advisor LLC

Item 5. Fees and Compensation
Tranquilli Financial Advisor offers services on a fee basis, which includes fixed and/or hourly fees, as well
as fees based upon assets under management. Additionally, certain of the Firm’s Supervised Persons, in
their individual capacities, offer insurance products under a separate arrangement. There are clients who
are Legacy Clients of the Firm who receive different services and/or are charged different fees that are no
longer on offer by the Firm.

Financial Planning and Consulting Fees

Tranquilli Financial Advisor charges a fixed and/or hourly fee for providing financial planning and
consulting services under a stand-alone engagement. These fees are negotiable, but range from $1,500 to
$10,000 on a fixed fee basis and/or $550 on an hourly basis, depending upon the scope and complexity of
the services and the professional rendering the financial planning and/or the consulting services. If the client
engages the Firm for additional investment advisory services, Tranquilli Financial Advisor may offset all or
a portion of its fees for those services based upon the amount paid for the financial planning and/or
consulting services.

The terms and conditions of the financial planning and/or consulting engagement are set forth in the

Financial Planning Agreement and Tranquilli Financial Advisor requires one-half of the fee (estimated
hourly or fixed) payable upon execution of the Advisory Agreement. The outstanding balance is due upon
delivery of the financial plan or completion of the agreed upon services. The Firm does not, however, take
receipt of $1,200 or more in prepaid fees more than six months in advance of services rendered.

Investment Management Fees

Tranquilli Financial Advisor offers investment management services for an annual fee (“Our Management
Fee”) based on the amount of assets under the Firm’s management.

Our Management Fee
Our Management Fee, outlined below, is prorated and charged monthly, in arrears, based upon the market
value of the assets being managed by Tranquilli Financial Advisor on the last day of the previous month,
including cash and cash equivalents being managed by the Firm. For the initial period of an engagement,
Our Management Fee is calculated on a pro rata basis. In the event the advisory agreement is terminated,
Our Management Fee for the final billing period is prorated through the effective date of the termination
and the outstanding or unearned portion of the fee is charged or refunded to the client, as appropriate. For
the purposes of determining Our Management Fee, for clients with multiple accounts, account values are
combined to determine the advisory fees paid.

                                               Our Management Fee
Our Management Fee is charged in accordance with the following schedule:

                    Portfolio Value                                                 Our Management Fee

                   Up to $1,250,000                                                            1.00%

              $1,250,001 - $3,000,000                                                          0.95%

              Greater than $3,000,000                                                          0.90%
An example of the calculation of fees: Assets valued at $1,000,000 will be billed the annual fee of 1.00% or 0.00083% per month,
which equals $833.33. Assets valued at $2,000,000 will all be billed the annual fee of 0.95% or 0.00079% per month, which equals
$1,583.33.

Additionally, for asset management services the Firm provides with respect to certain client holdings (e.g.,
held-away assets, accommodation accounts, alternative investments, etc.), Tranquilli Financial Advisor
may negotiate as Our Management Fee a fee rate that differs from the range set forth above.

Independent Manager Fees
Tranquilli Financial Advisor utilizes its discretion to select certain Independent Managers to actively manage
a portion of its clients’ assets, or it recommends Independent Managers to clients who will enter into a
separate agreement with the Independent Managers for this purpose. Clients are responsible for the fees of
these Independent Managers (“Independent Manager Fees”) in addition to Our Management Fee. Tranquilli
Financial Advisor does not receive any portion of the Independent Manager Fees.

Regardless of whether Tranquilli Financial Advisor utilizes its discretion to select the Independent
Manager, or the clients signs an agreement with the Independent Manager upon Tranquilli Financial
Advisor’s recommendation, Independent Manger Fees are billed monthly, in arrears, based on the market
value of the assets on the last day of the previous month as valued by the custodian of the assets. When
Tranquilli Financial Advisor utilizes its discretion to select an Independent Manager, the Independent
Manager Fees are outlined in the agreement that the client signed with the Firm and will not exceed 0.65%.
When the client signs a separate agreement with an Independent Manager upon Tranquilli Financial
Advisor’s recommendation, the fee will be outlined in that agreement. Additionally, the selection of
Independent Managers is often done through third-party platforms that allow the Firm to choose portfolios
for clients that are managed by the Independent Managers. The operators of those third-party platforms
sometimes receive compensation in the form of participation fees charged to Independent Managers.
Tranquilli Financial Advisory does not receive any portion of any participation fees charged by third-party
platforms to the Independent Managers.
Direct Fee Debit

Clients provide Tranquilli Financial Advisor and the Independent Managers with the authority to directly
debit their accounts for payment of the investment advisory fees. The Financial Institutions that act as the
qualified custodian for client accounts, from which the Firm retains the authority to directly deduct fees, have
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Item 7. Types of Clients
Tranquilli Financial Advisor offers services to individuals, trusts, estates, charitable organizations,
corporations, pension plans, 401(K) plans, and business entities.