Does indeed seem to work as designed. Place it in 2" draw tube with inbuilt set screw opposite 2" draw tube set screw. Place 1.25" item in Parallizser and tighten. It has fine tolerances and special guides which keep the adaptor parallel with the draw tube and the 1.25" item parallel with same. It stops the 1.25" item (including laser collimaters) from pointing off axis as the set screws are tightened. I will try to rustle up some pics of it in situ.
Some pics in situ. Detailed photos of the parallizing ridges can bee seen in the link in Eric's post above. It has a low profile. The right hand image is with a tublug in place.