ASX 200 falls on Friday but records 13% gain in 2021

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The S&P/ASX 200 Index (ASX: XJO) has just closed for the final time in 2021 with a disappointing 0.9% decline to 7,444.6 points.

But that can’t take the shine off what has been an incredibly positive 12 months for the benchmark index. Despite today’s setback, the ASX 200 has finished the year with a gain of 13%.

What happened on New Year’s Eve?

The big four banks were major drags on the ASX 200 on Friday. Three of the big four banks recorded declines of over 1%, with the National Australia Bank Ltd (ASX: NAB) share price the worst performer in the group with a fall of 1.6%.

Though, much like the ASX 200, that couldn’t stop the banking sector from recording strong gains in 2021. Only Westpac Banking Corp (ASX: WBC) underperformed the market this year with its gain of 10.2% over the 12 months.

NAB shares were the strongest performers among the big four in 2021 with a gain of almost 28%. The Commonwealth Bank of Australia (ASX: CBA) share price wasn’t far behind with a 23% gain, closely followed by Australia and New Zealand Banking GrpLtd (ASX: ANZ) share price with a gain of 21.2%.

Elsewhere, the Bega Cheese Ltd (ASX: BGA) share price finished the year on a positive note. The diversified food company’s shares rose 3% on Friday, which means it is now up 12% since before the market open on Christmas Eve. News that Andrew Forrest’s Tattarang AgriFood Investments business became a substantial shareholder gave its shares a boost this week.

One area of the market that finished the year in the red was the tech sector. Declines across the sector dragged the S&P ASX All Technology index down 1.1% for the day, reducing its 2021 gain to a disappointing 3.7%.

The Afterpay Ltd (ASX: APT) share price, which managed to squeeze out a small gain on Friday, lost 29% of its value in 2021 despite accepting a takeover offer from Square. Another former market darling, Pointsbet Holdings Ltd (ASX: PBH), fared even worse. After falling almost 1% on Friday, the sports betting company’s shares recorded an annual decline of 39%.

But it wasn’t the worst performer on the ASX 200 in 2021. That unwanted honour goes jointly to Magellan Financial Group Ltd (ASX: MFG) and Polynovo Ltd (ASX: PNV) with their 60.5% declines over the 12 months.

Lithium miner Pilbara Minerals Ltd (ASX: PLS) takes the best performer crown with a gain of 268% for the year.

Roll on 2022!

The post ASX 200 falls on Friday but records 13% gain in 2021 appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Afterpay Limited and POLYNOVO FPO. The Motley Fool Australia owns and has recommended Afterpay Limited. The Motley Fool Australia has recommended Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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