Regulatory documents should be readable.

Cover Page

Harbor Advice, 1991 Broadway, Suite 520, Oakland, CA 94612. (510) 555-0148. info@allux.ai. This brochure is a specimen for a fictional demonstration firm and has not been filed with a regulator.

Advisory Business

Harbor Advice is presented as a California state-registered investment adviser serving individuals and high-net-worth individuals. The firm offers ongoing financial planning and investment management as one relationship and may offer a planning-only engagement. Advice is delivered directly by Daniel Okafor, CFP®.

Client assets remain in the client’s name at an independent qualified custodian. Harbor does not take custody of client funds or securities beyond any custody deemed to arise from authorized fee deduction under applicable rules.

Fees and Compensation

The annual investment advisory fee is 0.90% on the first $1 million managed, with lower tiers above that amount. The annual minimum is $6,000. The fee is calculated on the average daily balance and billed quarterly in arrears.

A planning-only relationship starts at $4,800 per year. Harbor is fee-only and is compensated solely by clients. It receives no commissions, revenue sharing, referral payments, or product compensation.

Methods of Analysis, Investment Strategies, and Risk of Loss

Harbor uses plan-led allocation, broad diversification, disciplined rebalancing, cash-flow coordination, and tax-aware implementation. Investing involves risk, including possible loss of principal, and results vary with market conditions.

Brokerage Practices

Clients maintain assets with an independent qualified custodian. Custodian selection and trade practices would be described in the filed brochure of a real firm. Harbor does not receive compensation for selecting a custodian or investment product.

Review of Accounts

Accounts and plans are reviewed on a deliberate schedule and when material changes arise in the household, portfolio, tax picture, or stated objectives. Clients receive direct access to the advisor responsible for the relationship.

Introduction

Harbor Advice is presented as an investment adviser registered with the State of California. Brokerage and investment advisory services and fees differ, and it is important for a retail investor to understand the differences. This is a specimen for a fictional demonstration firm.

What investment services and advice can you provide me?

Harbor offers ongoing financial planning and discretionary or non-discretionary investment management for individuals and high-net-worth individuals. The work may cover retirement income, portfolio design, tax-aware coordination, benefits, cash flow, and implementation. A planning-only engagement may also be available.

Conversation starter: Given my financial situation, should I choose an investment advisory service? Why or why not?

What fees will I pay?

For managed relationships, the annual advisory fee is 0.90% on the first $1 million managed, with lower tiers above that amount, subject to a $6,000 annual minimum. It is calculated on the average daily balance and billed quarterly in arrears. A planning-only relationship starts at $4,800 per year.

The client pays the advisory fee even if the account does not have transactions. Other costs charged by custodians, funds, or other professionals may also apply. Harbor receives no commissions or product compensation.

What are your legal obligations to me when acting as my investment adviser?

Harbor is presented as a fiduciary and must act in the client’s best interest and not put its interest ahead of the client’s. Conflicts that could affect the relationship must be disclosed. Conversation starter: How might your conflicts of interest affect me, and how will you address them?

How do your financial professionals make money?

Daniel Okafor is presented as compensated through client-paid advisory fees. Harbor is fee-only and receives no commissions, revenue sharing, referral payments, or product compensation.

Do you or your financial professionals have legal or disciplinary history?

This specimen describes a fictional firm and fictional advisor and is not a regulatory record. A real Form CRS would direct clients to the applicable public disclosure database and provide a current answer.

Additional information

For additional information about the specimen services, contact info@allux.ai or (510) 555-0148. Conversation starter: Who is my primary contact person, and is that person a representative of an investment adviser or a broker-dealer?