Firm Description
Koenig Investment Advisory, LLC is an Oregon limited liability company founded in October 2020 by its
sole principal, Jeffrey McCullough, CFP®. We became registered as an investment advisor with the SEC in
November 2020 and our CRD number is 311422. Our sole offices are located in Ashland, Oregon. We are
the successor-in-interest to the client accounts of Koenig Investment Advisory, LLC, CRD number 117098.
The information contained in this firm brochure describes our investment advisory services, practices, and
fees. Please refer to the description of each investment advisory service listed below for information on
how we tailor our services to the needs of our clients. As used throughout this firm brochure, the words
“Koenig,” “we,” “our,” “firm,” and “us” refer to Koenig Investment Advisory, LLC, and the words “you,”
“your,” and “client” refer to you as either a client or prospective client of our firm.
Prior to forming an investment advisor-client relationship, we may offer you a complimentary general
consultation to discuss the nature of our services and to determine the possibility of an advisory
relationship. Investment advisory services begin only after the prospective client and Koenig formalize
their relationship by the execution of a written advisory agreement.
We are a “fee-only” investment advisor. This means that neither our firm, nor any of our financial
professionals receive any commissions, transactions-based fees, referral fees, or any other form of
compensation in connection with sale of securities or insurance products to clients. Our only source of
income is the advisory fees paid to us by our clients for our investment advice. We believe this method of
business best aligns with our fiduciary duty to you.
When we provide you with portfolio management services, you will be required to establish an account
with an independent qualified custodian (the “Custodian”), typically a licensed broker-dealer, banking or
savings institution, for deposit of the assets you wish us to manage on your behalf. You will typically be
required to grant our firm the discretionary authority to buy and sell securities within your account
without obtaining your consent prior to each transaction as a condition of engaging these services. This is
known as discretionary trading authority. The full scope of our authority with respect to your account will
be set forth in a written advisory agreement. We act as your fiduciary, responsible for the management
of your account held at the Custodian, where assets are custodied in your name. Clients may impose
reasonable restrictions on our ability to invest in certain securities, types of securities, or market sectors.
For most clients, ongoing portfolio management is an integral part of our overall advisory services. In
addition, we typically advise most clients regarding common financial planning topics such as cash flow
planning, college savings planning, retirement planning, tax planning, estate planning and other financial
matters, as applicable or requested.
Reviews of client accounts are typically performed quarterly, and their pertinent results communicated to
clients to provide reminders of progress made and to advise of any specific courses of future action that
may be needed to meet the client’s stated goals. More frequent reviews of client accounts may occur but
are not necessarily communicated to the client unless immediate changes are recommended. Other
professionals (e.g., lawyers, accountants, insurance agents, etc.) are engaged directly by the client on an
as-needed basis. Conflicts of interest will be disclosed to the client in the unlikely event they should occur.
Types of Advisory Services
Koenig offers investment supervisory services to client accounts (encompassing ongoing investment
strategy selection, portfolio design, investment implementation, supervision, monitoring, and reporting
services); furnishes financial planning and consulting advice; issues economic commentary to clients on a
periodic basis; issues special reports about securities; and issues, charts, graphs, formulas, or other
devices which clients may use to evaluate securities. The specific services to be provided to the client will
be set forth in a written investment advisory agreement.
Most clients choose to have us manage their assets
in order to obtain ongoing in-depth investment advice
and life planning. All aspects of the client’s financial affairs are reviewed, including those of their children.
Realistic and measurable goals are set and objectives to reach those goals are defined. As goals and
objectives change over time, suggestions are made and implemented on an ongoing basis. These services
are set forth in an Advisory Service Agreement.
The scope of work and fee for an Advisory Service Agreement is provided to the client in writing prior to
the start of the relationship. An Advisory Service Agreement includes: cash flow management; insurance
review; investment supervisory services; education planning; retirement planning; estate planning; and
tax preparation, as well as the implementation of recommendations within each area, where applicable.
Clients who are small business owners can create SEP, SIMPLE, 401(k), or other similar accounts for
themselves and/or employees to be managed by our firm. Accounts may be employer-directed,
employee-directed, or jointly directed, dependent on individual plan regulations. 401(k) plans must be
administered by a qualified outside party. We will actively work with the third-party plan administrator to
ensure that the management of plan assets conforms to plan rules and investment policies. There is
typically no separate contract or fee for these services.
On an occasional basis, Koenig furnishes limited advice to clients on matters not involving securities, such
as financial planning matters and trust services that often include estate planning. Clients may be referred
to knowledgeable professionals, such as attorneys and tax advisors, for in depth information on such
topics on an as needed basis. We do not charge any additional fees for these services or accept any
compensation for referring our clients to any third-party professionals, however clients are separately
responsible to pay any fees charged by third party professionals they decide to separately engage.
Types of Investments
Client portfolios are typically constructed primarily of no-load or low-load mutual funds and exchange-
traded funds (“ETFs”). Other investments may include, without limitation, individual stocks, corporate
bonds, master limited partnerships (“MLPs”), preferred stocks, cash and cash equivalents. Less commonly
recommended investments may include, without limitation, options, U.S. government and municipal
securities, variable life insurance policies and variable annuities, futures contracts, and interests in
partnerships. We generally do not recommend initial public offerings to our clients.
Tailored Relationships
The goals and objectives for each client are customized according to household needs. They generally
include an individual mix of income and account growth designed to meet both the short-term and long-
term financial objectives of each client. We strive to balance current needs and future planning with an
amount of market risk comfortable for each individual.
Clients often modify their investment objectives and/or risk comfort levels over time and Koenig strives
to adapt its investment advice to the unique needs of the client. As described above, clients may always
impose reasonable restrictions on our ability to invest their accounts in specific securities, types of
securities, or market sectors.
No Participation in Wrap Fee Programs
Koenig does not offer, sponsor, or act as a portfolio manager to any wrap fee program.
Assets Under Management
As of December 31, 2022, we manage approximately $192,528,325 of client assets on a discretionary basis
and $0 of client assets on a non-discretionary basis.
Termination of Our Services
Clients may terminate any of our advisory services within 5 business days of the signing our client
agreement without incurring any fees from Koenig. There may be ticket charges, account transfer fees,
account termination fees, and similar charges initiated by the client’s Custodian(s) that are not subject to
refund. Thereafter, a client may terminate any of our services at any time by notifying us in writing and
paying a pro-rated fee for services rendered prior to notification of termination. Koenig may terminate
any of its services to the client at any time by notifying the client in writing.