Almost two years on, the cause of the May 2010 financial markets "flash
crash" that wiped US$1 trillion in shareholder equity before bouncing
back is still unknown, but plenty of fingers have been pointed at
possible culprits for this electrifying event. Aiming to avoid a repeat,
securities exchanges around the world now are following the lead of the
US regulator by bringing on circuit breakers. Michael Aitken, chair of
Capital Market Technologies at the University of New South Wales, says
there's no evidence to support market design changes soon expected to be
introduced in Australia. While gathering evidence is costly, he argues,
it's the best way to stop future shocks.