Since May 6, 2010, the U.S. equity trading industry has been going through the five stages of grief. We are currently in the fourth stage, depression. It is not clear to me if the industry will ever move on to the next and final stage of acceptance and recognize that U.S. equity market structure is mostly okay and only requires a few tweaks around the edges. 

I do not believe that the so-called flash crash, and the increased awareness of various market structure foibles, has had a long-term impact on asset allocation decisions. Country equity fund flows continue to be highly correlated with emerging markets continuing to win market share. But the reexamination of market structure in the wake of the flash crash....