2020 was a strange year in a number of ways. But among the more strange things last year brought ASX investors, none was perhaps more unprecedented than the quantitative easing (QE) program the Reserve Bank of Australia (RBA) initiated for the first time in our country’s history.

Around the world, QE is not a new thing. The United States has been doing it in varying stages since the global financial crisis. Japan’s central bank has been doing QE-like measures for even longer.

But here, we Aussies seemed to be exempt. Or we were, at least. Last November, the RBA announced that our exemption had expired and that the central bank would be buying $100 billion worth of Australian government bonds.

The whole idea behind QE is that it increases liquidity and lowers borrowing costs (interest rates) across the whole economy. That, in theory, leads to higher economic growth. But, as its critics also point out, it also leads to a form of currency creation. That’s why its detractors often label QE as ‘money printing’.

But I’d wager ASX investors haven’t minded QE quite as much. See, QE is normally associated with higher share markets as a result of the increased liquidity in the financial system. Indeed, the S&P/ASX 200 Index (ASX: XJO) is up more than 14% since the RBA began its program at the start of November.

Could quantitative easing be coming to an end?

But according to reporting in the Australian Financial Review (AFR) this week, the party could have an end in sight. According to the report, forecaster Capital Economics is predicting that the RBA will be wrapping up its QE program in April of this year. That’s due to its predictions that, “employment will return to pre-virus levels in the first quarter of 2021, and the unemployment rate will decline to about 6 per cent by the end of 2021, and to about 5.5 per cent by the end of 2022”.

It is also predicting that, across the ditch, the Reserve Bank of New Zealand (RBNZ) will lead the world in actually raising interest rates this year. That is a result of the prediction that the New Zealand unemployment rate will decline to “around 5% by the end of 2021”. 

Another factor in these decisions across both economies is rising house prices. The report states that:

One reason to be optimistic about the outlook is that housing markets in both countries are roaring back to life. House prices in New Zealand are rising by around 20 per cent year-on-year and those in Australia may soon be rising at a double-digit pace, too.

What does no QE mean for ASX shares?

So if the RBA does indeed roll back its QE programs, what would it mean for the ASX 200 and ASX shares? Well, it may indeed result in the market coming off the boil.

But since Australian QE has had a relatively short lifespan, we might not see the same kind of ‘taper tantrum’ that the US markets saw back in 2018 when the US Federal Reserve started rolling back its own QE programs (since reversed, of course). And who knows, maybe if house prices continue to rise and unemployment indeed drops significantly in 2021, it might offset investors ‘dismay’ at QE coming to an end.

However, it is worth keeping in mind that, judging the experiences that other countries have faced, QE seems to be a lot easier to bring in than take away. I’ll personally believe the end of QE is here when I see it.

More reading

• Morgans picks February’s reporting season ASX heroes to buy now
• These were the best performing ASX 200 shares last week
• These were the worst performing ASX 200 shares last week
• These ASX shares are falling after being hit by broker downgrades today
• The latest ASX broker “buy” ideas that got a valuation upgrade

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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If you’re looking to gain exposure to the small side of the market, then you might want to take a look at the ASX shares listed below. 

Here’s why these four small cap ASX shares could be ones to watch this year:

Bigtincan Holdings Ltd (ASX: BTH)

Bigtincan is a provider of enterprise mobility software. Its software allows sales and service organisations to increase their sales win rates, reduce expenditures, and improve customer satisfaction through improved mobile worker productivity. It has a large number of blue chips using its platform. This includes ANZ Bank (ASX: ANZ), Cardinal Health, Nike, and Red Bull. Demand from these companies underpinned solid recurring revenue growth in FY 2020 and the current financial year.

Damstra Holdings Ltd (ASX: DTC)

Damstra is a growing integrated workplace management solutions provider. Its cloud-based workplace management platform is used by businesses globally to track, manage, and protect their workers and assets. Demand has been growing strongly in recent years and has continued in FY 2021. For example, in the first quarter, Damstra revealed record first quarter revenue, cash receipts, and operating cash flow. 

MyDeal.com.au Limited (ASX: MYD)

MyDeal.com.au is an online retail marketplace that has been a positive performer in FY 2021. It recently released its second quarter update and revealed a 165% increase in gross sales to $70.1 million. This led to MyDeal’s first half gross sales increasing 217% over the same period last year to $126.7 million. This was driven by a strong increase in active customers to a record 813,764 and repeat use. Looking ahead, the company intends to use the $40 million raised from its IPO to drive future growth. This includes growing its private label business and investing in advertising to grow its customer base and brand.

Pointerra Ltd (ASX: 3DP)

Pointerra is a technology company that provides a powerful cloud-based solution for managing, visualising, working in, analysing, using, and sharing massive 3D point clouds and datasets. Its platform is able to extract vital information from the data that would otherwise take many hours to do. Management estimates that its market opportunity is currently worth an enormous $500 billion annually.

More reading

• Why Afterpay, Ansell, MyDeal, & PolyNovo shares are storming higher today
• Here’s why the MyDeal (ASX:MYD) share price surged 7% higher today
• The Bigtincan (ASX:BTH) share price has dropped 35% in 3 months
• 2 buy-rated small cap ASX shares for your watchlist
• Why the Bigtincan (ASX:BTH) share price is edging higher today

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends BIGTINCAN FPO and Damstra Holdings Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Pointerra Limited. The Motley Fool Australia has recommended BIGTINCAN FPO, Damstra Holdings Ltd, and Pointerra Limited. 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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Are you fed up with the low interest rates on savings accounts? You’re not alone, if you are.

The good news is that the ASX is home to a large number of shares with attractive dividend yields.

National Storage REIT (ASX: NSR)

The first dividend share to look at is National Storage. It is one of the region’s largest self-storage operators with over 190 locations tailoring self-storage solutions to residential and commercial customers.

Although it has a large network, management still sees plenty of room for growth through its acquisition strategy. In fact, since the end of FY 2020, the company has completed eight acquisitions for $139 million and is working to complete a number of development projects.

Management recently reiterated that it expects to report underlying earnings per share of 7.7 cents to 8.3 cents in FY 2021. It also plans to pay 90% to 100% of its earnings out to shareholders as distributions.

Based on the middle of both guidance ranges (8 cents and a 95% payout ratio), this equates to a 7.6 cents per share distribution. Based on the current National Storage share price, this represents a 3.9% yield.

Super Retail Group Ltd (ASX: SUL)

Another dividend share to look at is Super Retail. It is the retail group behind popular store brands such as Macpac, Rebel, and Super Cheap Auto.

It has been a very positive performer in FY 2021. Last week it revealed that it expects to report a 23% increase in half year sales over the prior corresponding period. Things were even better on the bottom line thanks to margin expansion. It is expecting a normalised net profit after tax in the range of $174 million to $177 million. This represents a 135% to 139% increase on the first half of FY 2020.

One broker that is positive on the company is Goldman Sachs. It has just reiterated its buy rating and lifted its price target on the company’s shares to $14.80. The broker also estimates that it will pay a fully franked dividend of 78 cents per share in FY 2021. Based on the current Super Retail share price, this equates to a 6.8% dividend yield.

More reading

• Leading broker tips Super Retail (ASX:SUL) share price to rocket higher
• 2021 has its worries… even for an optimist
• ASX 200 drops 0.8%
• ASX 200 down 0.5%: JB Hi-Fi guidance impresses, Super Retail update, Ramsay surges
• Why the Super Retail (ASX:SUL) share price is surging higher today

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Super Retail Group Limited. 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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There are some ASX shares that could be worth looking into.

The Australian dollar has strengthened over the last year to be worth US$0.77. That makes it cheaper to buy US assets or US earnings.

One of President Biden’s urgent goals is to administer 100 million vaccine shots in 100 days to combat the spread and impact of COVID-19, which may have the effect of helping the various parts of the economy recover.

Here are three ASX share ideas:

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

This exchange-traded fund (ETF) aims to give exposure to a diversified portfolio of attractively priced US companies with sustainable competitive advantages according to Morningstar’s equity research team.

The focus is on quality US companies that Morningstar believes have wide economic moats. The investments that VanEck Vectors Morningstar Wide Moat ETF targets must be trading at an attractive price relative to Morningstar’s estimate of fair value.

On 21 January 2021, its biggest positions include: Charles Schwab, John Wiley & Sons, Corteva, Intel, Wells Fargo, Cheniere Energy, Bank of America, Constellation Brands, Zimmer Biomet, US Bancorp, Aspen Technology, Blackbaud, Medtronic, Yum! Brands, Gilead Sciences and Berkshire Hathaway.

The ETF has an annual management fee of 0.49% per annum. Over the past five years the VanEck Vectors Morningstar Wide Moat ETF has delivered net returns of 16.6% per annum, beating the S&P 500’s return of 14.5% per annum over the same time period.

Pushpay Holdings Ltd (ASX: PPH)

Pushpay is the next ASX share that has a lot of US exposure. Its client base is predominately large and medium US churches. It’s an electronic donation business that also offers other services such as a church management system, a livestreaming service and donor tools.

The company has seen an elevated level of processing volume over the past year as it helps churches and the congregations adapt to the COVID-19 world. In the FY21 half-year result it saw total processing volume increase by 48% to US$3.2 billion. This strength saw earnings before interest, tax, depreciation, amortisation and foreign currency (EBITDA) surge 177% to US$26.7 million in the FY21 half-year result.

Pushpay said that it benefited from growing operating leverage and it’s expecting further operating leverage to come with limited growth of operating expenses whilst operating revenue grows at a faster pace. Pushpay’s gross profit margin went up from 65% to 68% and the EBITDAF margin jumped from 17% to 31%.

The ASX share is hoping to grow its market share to 50% and eventually reach US$1 billion of annual revenue. It’s looking to expand into smaller churches and possibly other geographies to make this goal a reality.

Betashares Nasdaq 100 ETF (ASX: NDQ)

The ETF is invested in 100 of the largest businesses on the NASDAQ.

Many of the world’s biggest and most dominant technology businesses are listed in North America.

The biggest positions in the portfolio are: Apple, Microsoft, Amazon, Tesla, Facebook, Alphabet, Nvidia, PayPal and Netflix.

Betashares Nasdaq 100 ETF is actually invested in many global leaders, not just the FAANGs. It also gives exposure to Adobe, Intel, Broadcom, PepsiCo, Qualcomm, Costco, Texas Instruments, Moderna, Starbucks, Booking Holdings and Intuitive Surgical.

The ETF has management costs of 0.48% per annum. Betashares Nasdaq 100 ETF has delivered net returns of 34.8% over the last year, 27.4% per annum over the last three years and 21.4% per annum since inception in May 2015.

More reading

• 3 extraordinary ASX shares to buy right now
• 2 tech ETFs delivering rapid growth
• Afterpay and BrainChip were some of the most traded ASX shares last week
• 3 compelling ASX growth shares to buy
• Got money to invest? Here are 3 ASX shares to buy

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of BETANASDAQ ETF UNITS and PUSHPAY FPO NZX. The Motley Fool Australia has recommended BETANASDAQ ETF UNITS, PUSHPAY FPO NZX, and VanEck Vectors Morningstar Wide Moat ETF. 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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There are some ASX dividend shares that have a reputation for paying out income to shareholders each year.

It’s harder to make money from bank accounts these days because of how low the official interest rate from the Reserve Bank of Australia (RBA) has gone. It’s now down to just 0.25%.

Here are three businesses that could be considerations for their dividends:

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

Soul Patts is the ASX dividend share with the longest dividend record in Australia. It has grown its dividend in consecutive years going back to 2000 including during COVID-19. The company was formed in 1903, so it’s one of the oldest companies in Australia.

How has it managed that record streak, which goes back before the GFC?

The company has a diversified portfolio of different assets. Some of the key holdings in Soul Patts’ portfolio are: TPG Telecom Ltd (ASX: TPG), Brickworks Limited (ASX: BKW), New Hope Corporation Limited (ASX: NHC), Bki Investment Co Ltd (ASX: BKI) and Milton Corporation Limited (ASX: MLT).

Soul Patts also has unlisted holdings like agriculture, resources and swimming schools.

The portfolio of assets provides Soul Patts with annual cashflow in the form of dividends, distributions and interest. There are defensive businesses within the portfolio, which pay consistent dividends to Soul Patts.

Soul Patts was recently unsuccessful at trying to acquire Regis Healthcare Ltd (ASX: REG), though it shows the type of contrarian approach that management try to take with opportunities.

At the current Soul Patts share price it has a grossed-up dividend yield of 3.1%.

Pacific Current Group Ltd (ASX: PAC)

Pacific Current is a business that takes investment stakes in global fund managers and then helps them grow either with funding or expertise.

Dean Fremder of Perpetual Limited (ASX: PPT) said when Pacific Current shares were a bit lower: “The stock’s really cheap. It is on nine times earnings. It’s growing earnings at double digits, so more than 10% a year. It’s paying a 6.5% fully franked yield. And most excitingly, we think they can pay out a much larger portion of their earnings as dividends. We see no reason, given the surplus franking credits they have on the balance sheet, they can’t be paying a 10 or 11% fully franked yield in the next 12 months. So, really excited about that one.”

In FY20 the ASX dividend share grew its dividend by 40% to $0.35 per share with funds under management (FUM) going up 62% to $93 billion. In the three months to 30 September 2020 it saw its FUM rise another 14% to $106.4 billion.

According to Commsec, the Pacific Current share price is valued at under 10x FY22’s estimated earnings.

APA Group (ASX: APA)

APA owns a large network of 15,000km of natural gas pipelines around Australia with a presence in every mainland state and the Northern Territory. It also owns or has interests in gas storage facilities, gas-fired power stations and renewable energy generation (wind and solar farms). APA owns, or manages and operates, a portfolio of assets and delivers half the nation’s natural gas usage.

The infrastructure ASX dividend share has grown its distribution every year for a decade and a half. It recently decided to increase the annualised distribution from 50 cents per unit to 51 cents per unit.

APA continues to invest in new projects which should unlock more operating cashflow as they are completed.

At the current APA share price it has a distribution yield of 5.4%.

More reading

• 3 ASX shares rated as strong buys by brokers
• 3 top ASX dividend shares to buy for 2021 and beyond
• Why the Soul Patts (ASX:SOL) share price will be on watch today
• 5 things to watch on the ASX 200 on Friday
• 3 reasons why Soul Patts (ASX:SOL) is a great ASX dividend share

Motley Fool contributor Tristan Harrison owns shares of Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of APA Group. 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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I’m a big fan of buy and hold investing and believe it is the best way for investors to grow their wealth.

To demonstrate how successful it can be, I like to pick out a number of popular ASX shares to see how much a single $20,000 investment 10 years ago would be worth today.

This time around I have picked out the three ASX shares that are listed below:

Cochlear Limited (ASX: COH)

The Cochlear share price has been a market beater over the last decade. This has been driven by growing demand for hearing solutions products due to ageing populations across the world. In addition to this, the high barriers of entry and its significant investment in research and development has supported its growth and cemented its leadership position. Over the last 10 years, Cochlear shares have generated an average total return of 10.8% per annum. This would have turned a $20,000 investment into ~$56,000 today.

REA Group Limited (ASX: REA)

The REA Group share price has absolutely smashed the market since 2011. Thanks to the structural shift to online listings, the dominance of its realestate.com.au website, and its growing international operations, REA Group has been able to grow its earnings at a strong rate over the last 10 years. This has led to the company’s shares providing investors with an impressive 28.8% per annum total return. This means that a $20,000 investment in REA Group’s shares in 2011 would now be worth $251,000.

Technology One Limited (ASX: TNE)

Finally, another market beater over the last 10 years has been the Technology One share price. Thanks to its evolution from a small enterprise solutions company to one of the biggest players in the region, TechnologyOne has delivered very strong earnings growth over the last decade. Its shift to a software-as-a-service business model has also gone down well with investors. This is leading to a greater proportion of its revenues becoming recurring in nature. All in all, this has led to its shares generating a 25.1% per annum average total return over the last decade. This means a $20,000 investment in its shares in 2011 would be worth $188,000 today.

More reading

• 3 extraordinary ASX shares to buy right now
• Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders
• CV Check (ASX:CV1) share price flat on results update
• Insiders have been buying Appen (ASX:APX) and ASX share
• 3 ASX 200 shares to buy right now

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Cochlear Ltd. The Motley Fool Australia has recommended Cochlear Ltd. and REA Group Limited. 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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If you’re on the lookout for some new additions to your portfolio, then you may want to take a look at the ASX shares listed below.

Here’s why these three ASX shares comes highly rated right now:

Altium Limited (ASX: ALU)

The first share to look at is Altium. It is an award-winning printed circuit board (PCB) design software provider. Over the last few years it has carved out a leading position in this growing market. This is a big positive given the proliferation of electronic devices, which is expected to lead to increasing demand for its software over the next decade. Credit Suisse believes investors should look beyond the short term COVID headwinds it is facing and focus on the long term. This month it put an outperform rating and $35.00 price target on Altium’s shares.

Pushpay Holdings Group Ltd (ASX: PPH)

Pushpay is a leading donor management and community engagement platform provider for the faith sector. The company is aiming to win a 50% share of the medium to large US church market in the future. This represents a US$1 billion revenue opportunity. Given that FY 2020’s revenues increased 32% to US$129.8 million, this clearly gives it a long runway for growth over the 2020s. Due to the quality of its platform and last year’s US$87.5 million acquisition of church management system provider Church Community Builder, Pushpay has been tipped to achieve this. Goldman Sachs is a fan and has a conviction buy rating and $2.59 price target on its shares.

REA Group Limited (ASX: REA)

REA Group is the property listings company behind the market-leading realestate.com.au website and several international equivalents. It has been a strong performer over the last few years despite the housing market downturn and COVID-19. The good news is the housing market has been tipped to recover strongly this year. This appears to have positioned REA Group for growth in the second half of FY 2021. Morgan Stanley is positive on REA Group and has a buy rating and $150.00 price target on its shares.

More reading

• How to turn $20,000 into $250,000 in 10 years with ASX shares
• Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders
• 3 compelling ASX growth shares to buy
• One bullish growth signal for the Afterpay (ASX:APT) share price in 2021
• 2 high quality ASX growth shares to buy immediately

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of PUSHPAY FPO NZX. The Motley Fool Australia has recommended PUSHPAY FPO NZX and REA Group Limited. 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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Respected fund manager Wilson Asset Management (WAM) has recently identified two ASX shares that it owns in its portfolio.

WAM operates several listed investment companies (LICs). Two of those LICs are WAM Capital Limited (ASX: WAM) and WAM Leaders Ltd (ASX: WLE).

There’s also one called WAM Active Limited (ASX: WAA) which looks at businesses it thinks are the most undervalued.  

WAM says WAM Active invests in market mispricing opportunities in the Australian market.  

The WAM Active portfolio has delivered gross returns (that’s before fees, expenses and taxes) of 12% per annum since inception in January 2008, which is superior to the Bloomberg AusBond Bank Bill Index return per annum of 3.1%.  

These are the two ASX shares that WAM outlined in its most recent monthly update:

Ingenia Communities Group (ASX: INA)

The fund manager described Ingenia Communities as a business that owns, operates and develops a portfolio of 74 holiday and lifestyle communities throughout Australia. According to the ASX, it has a market capitalisation of $1.6 billion.

WAM said that in December, Ingenia announced three acquisitions: the Big4 Inverloch Holiday Park in the Gippsland region of Victoria, the Middle Rock Holiday Park and Village in Port Stephens in New South Wales and the Merry Beach Caravan Park on the New South Wales South Coast for a total cost of $73.9 million.

The fund manager is positive on the ASX share’s holiday parks division, which is benefiting from strong levels of domestic tourism and WAM believes that the company will continue to make earnings accretive acquisitions. Given the positive backdrop of increasing property prices across Australia, the fundie expects strong demand for Ingenia’s residential business, which should be reflected in stronger than expected settlements at the half year result in February.

Last month Ingenia said in a trading update for its holidays division that lower FY21 first quarter revenue was offset by a strong second quarter performance. The year to date revenue to the end of November 2020 was up 5% compared to the prior corresponding period. The occupancy rate was steady at 59% for the ASX share with the revenue per available room (REVPAR) up 4% to $45.64. Management said that strong December performance should support revenue growth of around 10% for the first half of FY21.

Nuix Ltd (ASX: NXL)

WAM said that Nuix, which was listed on 4 December 2020, is a leading provider of investigative analytics and intelligence software, with over 1,000 customers in 78 countries utilising the software to manage cyber security risk, compliance and fraud. The company started in the early 2000s, with the development of an algorithm to search unstructured data.

The fundie said that Nuix’s platform is underpinned by more than 15 years of research and development, with more than $200 million of research and develop costs spent over the past 12 years.

The Nuix software was involved in some recent investigations like the Panama Papers and the Royal Commission into financial services in Australia.

Despite the company having Australian headquarters, 80% of its $175.9 million FY20 revenue came from overseas. The Nuix share price rose by 50% on its first day of trading.

More reading

• 2 quality ASX tech shares you can buy today
• 4 ASX ‘winners’ destined for growth: fundie
• Top brokers name 3 ASX shares to buy next week
• Wilson Asset Management (WAM) thinks these 2 ASX shares are a buy
• 4 ASX shares that helped this fund outperform in December

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Nuix Pty Ltd. 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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The S&P/ASX 200 Index (ASX: XJO) was back on form last week and stormed higher. The benchmark index rose 85 points or 1.3% to finish the week at 6,800.4 points.

While a good number of shares climbed higher with the market, some climbed more than most. Here’s why these were the best performers on the ASX 200 last week:

Zip Co Ltd (ASX: Z1P)

The Zip share price was the best performer on the ASX 200 last week with a massive 28.9% gain. Investors were buying the buy now pay later provider’s shares following the release of its second quarter update. The buy now pay later provider delivered a 103% increase in transaction volume to a record $1.6 billion for the quarter. A key driver of this growth was Zip’s US-based QuadPay business, which recorded a 217% increase in transaction volume to $673.1 million. It also reported a 180% lift in customer numbers to 3.2 million and a 655% jump in merchants to 8,400 in the key market. This appears to indicate that the launch of buy now pay later offerings by PayPal and Shopify haven’t stifled its growth.

Lynas Rare Earths Ltd (ASX: LYC)

The Lynas share price wasn’t far behind with a sizeable gain of 26.1% over the five days. A good portion of this gain was made on Friday when the rare earths producer provided the market with an update on its US activities. According to the release, the company has entered into an agreement with the United States Government to build a commercial Light Rare Earths separation plant in Texas. The U.S. government will provide funding of US$30 million for its construction.

Netwealth Group Ltd (ASX: NWL)

The Netwealth share price was on form last week and stormed 20.5% higher. Investors were buying the investment platform provider’s shares following the release of its second quarter update. That update revealed that Netwealth’s strong form continued during the quarter. It reported a 14% or $4.8 billion quarter on quarter increase in its funds under administration (FUA) to $38.8 billion. This led to management upgrading its FY 2021 FUA inflow guidance to be in the range of $8.5 billion to $9 billion. This compares to its previous guidance of $8 billion.

Bingo Industries Ltd (ASX: BIN)

The Bingo share price was a strong performer over the five days and jumped a sizeable 20.2%. Investors were fighting to get hold of the waste management company’s shares after received a takeover approach from a private equity firm. BINGO has received an unsolicited, highly conditional, non-binding, indicative proposal from funds advised by CPE Capital. The indicative cash price currently offered to BINGO shareholders under the proposal is $3.50 per share.

More reading

• These were the worst performing ASX 200 shares last week
• ASX 200 drops 0.3%
• These ASX shares are falling after being hit by broker downgrades today
• The latest ASX broker “buy” ideas that got a valuation upgrade
• ASX 200 down 0.2%: Zip shares drop, Lynas rockets, Fisher & Paykel Healthcare impresses

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Netwealth and ZIPCOLTD FPO. The Motley Fool Australia has no position in any of the stocks mentioned. 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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Last week the S&P/ASX 200 Index (ASX: XJO) was back on form and raced notably higher. The benchmark index gained 85 points or 1.3% to end the period at 6,800.4 points.

Unfortunately, not all shares climbed higher with the market. Here’s why these were the worst performers on the ASX 200 last week:

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price was the worst performer on the ASX 200 last week with a 10.6% decline. This may have been driven by a combination of profit taking after a strong gain last week and concerns about the outlook for coal. The latter follows an update by BHP Group Ltd (ASX: BHP) which revealed that it expects to record an impairment charge of between US$1.15 billion and US$1.25 billion post tax in relation to its New South Wales Energy Coal (NSWEC) asset.

Unibail-Rodamco-Westfield CDI (ASX: URW)

The Unibail-Rodamco-Westfield share price wasn’t far behind with a 10.2% decline. The only news out of the shopping centre operator last week related to an asset sale. Unibail-Rodamco-Westfield announced the disposal of its SHiFT office building in Paris for 620 million euros.

Alumina Limited (ASX: AWC)

The Alumina share price was out of form last week and dropped 6.3% lower over the five days. This could have been driven by a broker note out of Macquarie. Its analysts have retained their underperform rating and $1.50 price target on the alumina company’s shares following its quarterly update. The broker fears energy costs and foreign exchange headwinds could weigh on its performance in 2021.

Premier Investments Limited (ASX: PMV)

The Premier Investments share price dropped a disappointing 6% over the week. This decline means the retail conglomerate’s shares have now given back all their year to date gains and more. Investors may have been selling shares amid concerns that they are overvalued based on its future earnings. Premier Investments has been tipped to deliver a bumper profit result this year, but is widely expected to then report a meaningful decline in its earnings in FY 2022.

More reading

• These ASX shares are falling after being hit by broker downgrades today
• The latest ASX broker “buy” ideas that got a valuation upgrade
• ASX 200 down 0.2%: Zip shares drop, Lynas rockets, Fisher & Paykel Healthcare impresses
• Why the Contact Energy (ASX:CEN) share price has surged 10% higher today
• 5 things to watch on the ASX 200 on Friday

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Premier Investments Limited. 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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