A. Firm Information
Sandbox Financial Partners, LLC (“Sandbox Financial” or the “Advisor”) is a registered investment advisor with
the U.S. Securities and Exchange Commission (“SEC”). The Advisor is organized as a Limited Liability Company
(“LLC”) under the laws of the State of Delaware. Sandbox Financial was founded in June 2018, and is owned
and operated by Brian Salcetti (Chief Executive Officer and Managing Partner), Frederick Bohlander (Founder
and Managing Partner), and Andrew Salcetti (Chief Compliance Officer). This Disclosure Brochure provides
information regarding the qualifications, business practices, and the advisory services provided by Sandbox
Financial.
For more information regarding this disclosure Brochure, please contact Andrew Salcetti, the Chief Compliance
Officer, at (301) 214-4190.
B. Advisory Services Offered
Sandbox Financial provides advisory services to individuals, families, trusts, estates, charitable organizations,
businesses and retirement plans (each referred to as a “Client”). Sandbox Financial provides individualized
services to each Client, which are determined during initial conversations and updated over the course of the
relationship as needed or requested by the Client.
Sandbox Financial serves as a fiduciary to Clients, as defined under the applicable laws and regulations. As a
fiduciary, the Advisor upholds a duty of loyalty, fairness and good faith towards each Client and seeks to mitigate
potential conflicts of interest. Sandbox Financial’s fiduciary commitment is further described in the Advisor’s
Code of Ethics. For more information regarding the Code of Ethics, please see Item 11 – Code of Ethics,
Participation or Interest in Client Transactions and Personal Trading.
Investment Management Services
Sandbox Financial works closely with each Client to identify their investment goals and objectives as well as risk
tolerance and financial situation in order to create a portfolio strategy. Sandbox Financial will then construct a
portfolio, consisting of primarily of active and passive mutual funds, exchange-traded funds (“ETFs”), individual
equity securities, individual fixed income securities and other types of investments, as appropriate to meet the
needs of each Client. Sandbox Financial will also use inverse ETFs, options and alternative investments for
Client accounts when it is deemed appropriate. Evaluation of legacy investments will include a review of portfolio
fit, tax situation and other considerations. The Advisor may retain certain legacy investments based on portfolio
fit and/or tax considerations.
Each Client will have the opportunity to place reasonable restrictions on the types of investments to be held in
their respective portfolio, subject to acceptance by the Advisor. Sandbox Financial will construct, implement and
monitor the portfolio on a discretionary basis with respect to the Client’s investment policy statement. At no time
will Sandbox Financial accept or maintain custody of a Client’s funds or securities. All Client assets will be
managed within their designated account[s] at the Custodian, pursuant to the Client investment advisory
agreement. Please see Item 12 – Brokerage Practices and Item 15 - Custody.
Retirement Accounts – When the Advisor provides investment advice to Clients regarding ERISA retirement
accounts or individual retirement accounts (“IRAs”), the Advisor is a fiduciary within the meaning of Title I of the
Employee Retirement Income Security Act (“ERISA”) and/or the Internal Revenue Code (“IRC”), as applicable,
which are laws governing retirement accounts. When deemed to be in the Client’s best interest, the Advisor will
provide investment advice to a Client regarding a distribution from an ERISA retirement account or to roll over
the assets to an IRA, or recommend a similar transaction including rollovers from one ERISA sponsored Plan to
another, one IRA to another IRA, or from one type of account to another account (e.g. commission-based
account to fee-based account). Such a recommendation creates a conflict of interest if the Advisor will earn a
new (or increase its current) advisory fee as a result of the transaction. No client is under any obligation to roll
over a retirement account to an account managed by the Advisor.
Use of Independent Managers
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Sandbox in certain situations will recommend that a Client utilize one or more unaffiliated investment managers
or investment platforms (collectively “Independent Managers”) for all or a portion of a Client’s investment
portfolio. In such instances, the Client may be required to authorize and enter into an advisory agreement with
the Independent Manager[s] that defines the terms in which the Independent Manager[s] will provide investment
management and related services. The Advisor may also assist in the development of the initial policy
recommendations and managing the ongoing Client relationship. The Advisor will perform initial and ongoing
oversight and due diligence over the selected Independent Manager[s] to ensure each Independent Manager’s
strategies and target allocations remain aligned with the Client’s investment objectives and overall best interests.
The Client, prior to entering into an agreement with unaffiliated investment manager[s] or investment platform[s],
will be provided with the Independent Manager's Form ADV 2A (or a brochure that makes the appropriate
disclosures).
Financial Planning Services
Financial Planning Services are at the core of the Client relationship with Sandbox Financial. Financial planning
is an evaluation of a Client’s current and future financial
state by using currently known variables to predict future
cash flows, asset values and withdrawal plans while also understanding personal values, goals and objectives.
Through the financial planning process, all questions, information and analysis are considered as they impact
and are impacted by the entire financial and life situation of the Client.
Sandbox Financial will provide financial planning and consulting services to Clients pursuant to a written financial
planning agreement. Services are offered in several areas depending on the Client’s goals and objectives.
Generally, such financial planning services will involve a written report which provides the Client with a detailed
financial plan to assist the Client in achieving his or her financial goals and objectives. This planning or consulting
may encompass one or more areas of need, including but not limited to, financial position, tax considerations,
employee benefits, investment analysis, insurance analysis, retirement analysis, death and disability
considerations, and estate planning. Plans or consultations are typically completed within six months of contract
date, assuming all information and documents requested are provided promptly by the Client.
Financial planning and consulting recommendations pose a conflict between the interests of the Advisor and the
interests of the Client. For example, the Advisor has an incentive to recommend that Clients engage the Advisor
for investment management services or to increase the level of investment assets with the Advisor, as it would
increase the amount of advisory fees paid to the Advisor. Implementation of financial planning recommendations
is entirely at the Client’s discretion. If the Client elects to act on any of the recommendations made by the
Advisor, the Client is under no obligation to implement the transaction through the Advisor. Sandbox Financial
will work with Clients to implement recommendations and referrals to other professionals may be made where
appropriate to meet the Client’s needs.
Retirement Plan Advisory Services
Sandbox Financial provides retirement plan advisory services on behalf of the retirement plans (each a “Plan”)
and the company (the “Plan Sponsor”). The Advisor’s retirement plan advisory services are designed to assist
the Plan Sponsor in meeting its fiduciary obligation to the Plan and its Plan Participants. Each engagement is
customized to the needs of the Plan and Plan Sponsor. Services include both fiduciary and non-fiduciary
services to the Plan Sponsor and the Plan Participants. Advisory services are negotiated based on the needs of
the Plan and the direction and engagement by the Plan Sponsor and are included in the terms of a retirement
plan advisory agreement.
Sandbox Financial typically provides the following Plan Fiduciary Services pursuant to the scope and terms of
Sandbox Financial’s agreement with each Plan Sponsor:
Plan Participant Enrollment and Education Tracking
Investment Policy Statement (“IPS”) Design and Monitoring
Investment Management Services (ERISA 3(38))
Investment Oversight Services (ERISA 3(21)
Performance Reporting
ERISA 404(c) Assistance
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Qualified Default Investment Alternative Designation
Sandbox Financial may also provide communication and education services to the Plan and the Plan
Participants, pursuant to the terms of the retirement plan advisory agreement. Services may include:
Assist with Plan Participant enrollment
Plan Participant Investment Education
Periodic on-site visits with Plan Sponsor for account updates and reviews
Periodic Plan Participant Education Advice (may require separate engagement y the Plan Participant)
These services are provided by Sandbox Financial serving in the capacity as a fiduciary under the Employee
Retirement Income Security Act of 1974, as amended (“ERISA”). In accordance with ERISA Section 408(b)(2),
the Plan Sponsor is provided with a written description of Sandbox Financial’s fiduciary status, the specific
services to be rendered and all direct and indirect compensation the Advisor reasonably expects under the
engagement.
C. Client Account Management
Prior to engaging Sandbox Financial to provide investment advisory services, each Client is required to enter into
one or more agreements with the Advisor that define the terms, conditions, authority and responsibilities of the
Advisor and the Client. These services may include:
Establishing an Investment Strategy – Sandbox Financial, in connection with the Client, will develop a
strategy that seeks to achieve the Client’s goals and objectives.
Portfolio Construction – Sandbox Financial will develop a portfolio for the Client that is intended to meet
the stated goals and objectives of the Client.
Investment Management and Supervision – Sandbox Financial will provide investment management and
ongoing oversight of the Client’s investment portfolio. Sandbox Financial will review Client portfolios at
least annually.
Financial Planning – Sandbox Financial provides initial and ongoing planning services, to assist Clients in
meeting the financial goals.
D. Wrap Fee Programs
Sandbox Financial does not manage or place Client assets into a wrap fee program. Investment management
services are provided directly by Sandbox Financial.
E. Assets Under Management
As of December 31, 2022, Sandbox Financial manages $364,461,347 in Client assets, $330,328,799 of which
are managed on a discretionary basis and $34,132,548 on a non-discretionary basis. Clients may request more
current information at any time by contacting the Advisor.