The ASX 200 financials sector was the top-performing market sector of FY25, closely followed by the technology sector.
The S&P/ASX 200 Financials Index (ASX: XFJ) rose by 24.45% in FY25 and delivered total returns including dividends of 29.39%.
The S&P/ASX 200 Information Technology Index (ASX: XIJ) lifted 23.89% and provided a total return of 24.19%.
The two sectors vastly outperformed the benchmark S&P/ASX 200 Index (ASX: XJO).
ASX 200 shares lifted 9.97% in FY25, with total returns of 13.81%.
The worst-performing ASX sector was energy, with the S&P/ASX 200 Energy Index (ASX: XEJ) falling 13.52%.
The second-worst sector was materials, with the S&P/ASX 200 Materials Index (ASX: XMJ) dropping 6.04%.
Let's review what happened with the best and worst-performing sectors in FY25.
Amazing CBA shares propel ASX 200 financial sector to the top
The financials sector includes bank shares, insurance companies, fund managers, financial services providers, and more.
There is no doubt that the incredible rise of Commonwealth Bank of Australia (ASX: CBA) shares boosted the whole sector in FY25.
CBA is the biggest stock in the financial sector.
The CBA share price hit a record high of $192 per share last Wednesday. At that point, CBA shares had grown by 50.7% over the year.
The CBA share price closed at $185 on Monday, up 45.23% for the year.
The strongest riser of the ASX 200 financial sector in FY25 was Generation Development Group Ltd (ASX: GDG).
Generation Development Group shares lifted 116% over the year.
Generation Development Group is a market leader in retirement and investment solutions.
Blackwattle Small Cap Quality Fund portfolio managers Robert Hawkesford and Daniel Broeren see further tailwinds for the stock in FY26.
ASX 200 energy sector faced multiple headwinds
The ASX 200 energy sector was weakened by geopolitical turmoil, global economic uncertainty, and weak commodity prices — especially oil.
The sector's largest stock is Woodside Energy Group Ltd (ASX: WDS).
In FY25, the Woodside share price crumbled by 16%, closing at $23.66 on Monday.
Australia's energy sector is dominated by oil and gas companies. However, they are not the only types of energy companies in the index.
For example, several ASX uranium shares fared pretty well in FY25.
In fact, the energy sector's top-performing stock was Deep Yellow Ltd (ASX: DYL), with the share price lifting 25%.
Market sector snapshot
Here's how the 11 market sectors performed over FY25, ranked in order of capital growth from highest to lowest.
| S&P/ASX 200 market sector | Capital growth | Total return (including dividends) |
| Financials (ASX: XFJ) | 24.45% | 29.39% |
| Information Technology (ASX: XIJ) | 23.89% | 24.19% |
| Communication (ASX: XTJ) | 23.44% | 27.78% |
| Industrials (ASX: XNJ) | 22.13% | 26.24% |
| Consumer Discretionary (ASX: XDJ) | 17.99% | 20.84% |
| A-REIT (ASX: XPJ) | 10.25% | 13.97% |
| Utilities (ASX: XUJ) | (1.55%) | 4.62% |
| Consumer Staples (ASX: XSJ) | (2.09%) | 1.32% |
| Healthcare (ASX: XHJ) | (5.99%) | (4.61%) |
| Materials (ASX: XMJ) | (6.04%) | (2.3%) |
| Energy (ASX: XEJ) | (13.52%) | (8.12%) |
Source: S&P Global
