Bernie Madoff's journey to jail has had a lot of fallout, including effects on wealth managers who now have a new dynamic on their hands: scared clients with shrinking assets who've also lost faith in the wealth management profession.

"These scandals like Madoff and (R. Allen) Stanford have been a catalyst for people wanting to know what's going to happen to their money, and who want to take a more active role," says David Kaufman, CEO of Voyant, an Austin, TX-based tech firm that sells online user-driven financial planning solutions. "The downturn has damaged the (advisors') credibility."

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