The legendary Warren Buffett retired at 94.
Warren Buffett ends his career as perhaps the most famous and respected investor in the world, saying he will withdraw from the post of CEO of the Berkshire Hathaway Fund at the end of 2025 and hand over the reins to Deputy Chairman Greg Abel.
This solution ends an era for Berkshire after the exceptional 60 years of Buffett, who made it a well -known name, multimillionaire and American success history.
| « I think the time has come when Greg should become the CEO of the company at the end of the year, » said 94-year-old Buffett on Saturday as he graduated from Berkshire’s annual assembly in Omaha, adding that he would still be around and possibly useful in several cases, but the « last word » will be. |
The message caused an outburst of praise for Buffett by CEO and investors.
One -of -a -kind
« Warren Buffett represents all good in American capitalism and from America itself – investing in the growth of our nation and its business with honesty, optimism and common sense, » said Jamie Diaman, CEO of JPMorgan Chase & Co.
Tim Cook, CEO of Apple, wrote in X that « there was never someone like Warren and countless people, including myself, were inspired by his wisdom. He was one of the great privileges in my life to know him. »
Buffett’s move will fire Abel into the spotlight in Berkshire. Abel, who has long been identified by the Buffett Investment Fund, may not have the star force of Buffett, although he is expected to preserve the culture of the conglomerate.
Buffett said Abel and most of the board of directors were not aware of his plans before their announcement. Only his two children, who are directors, have been known in advance. Berkshire’s board of directors will gather on Sunday to discuss the transition, he said.
There is only one European in the top-10 of the supermillione
62-year-old Abel is Deputy Chairman of Berkshire in 2018 and was declared an expected successor to Buffett as CEO in 2021.
| « I couldn’t be more humble and flattered to be part of Berkshire as we move on, » Abel told the shareholders. |
Buffett also said he had no « intention to sell his shares in Berkshire, almost all of which would be donated after his death.
« The decision to maintain any action is an economic solution because I think Berkshire’s prospects will be better under Greg’s rule than under mine, » Buffett said.
How Buffett became a legend
The decision to withdraw is the end of the remarkable 60-year period in which Buffett transforms Berkshire from a failing textile company into a $ 1.16 trillion conglomerate with businesses throughout the US economy.
Buffett’s own state is $ 168.2 billion according to Forbes magazine, almost all of which are in Berkshire shares.
The price of Berkshire’s shares has increased by 19% this year.
Many investors view the conglomerate and management of Buffett as a safe haven for uncertainty caused by the economic and customs policy of US President Donald Trump.
« The question in the future is: Will Berkshire still have a Buffett premium when Buffett is gone? You buy shares and get a legend’s investment skills. After this legend has gone, what is the value? »
« Woodstock for capitalists »
The annual weekend of Berkshire’s shareholders, which Buffett calls « Woodstock for Capitalists, » annually attracts tens of thousands of people to Omaha for the meeting and a series of shareholders in the whole city, including shopping.
The company said it intends to continue the traditions. Many shareholders said they would continue to come after Buffett withdrew.
Buffett took over Berkshire in 1965 and, together with his longtime friend and business partner Charlie Mung, who died in November 2023, made him an American success history.
With the headquarters in Omaha, where Buffett and Munger grew up, Berkshire now has nearly 200 businesses, including GEICO car insurance, BNSF railway, industrial and chemical companies, utilities, Dairy Queen ice creams, Fruit of the Loom Self. As well as shares in Apple, American Express and Bank of America.
« Omaha Oracle »
Buffett became known as the « Oil Oracle » because of his investment success, as well as for his simple wisdom and modest lifestyle.
Warren Buffett donated shares for about $ 3.6 billion to five charity organizations
While Berkshire’s shares increased by 5 502 284% from 1965 to 2024, Buffett never moved from the home for which he paid $ 31,500 in 1958.
He was a follower of Benjamin Graham, the economist and his former professor, emphasizing the importance of the company’s foundations and unprecedented assets.
This approach often made it difficult to use Berkshire’s ever -increasing cash, which reached $ 347.7 billion at the end of March.
Abel joined the former Midamerican Energy, now known as Berkshire Hathaway Energy, in 1992, eight years before Berkshire took it. He later has been running the business for a decade.
Buffett’s condition would have been much greater if he had not given more than half of Berkshire shares for charity since 2006.
Almost all of the rest is expected to go to a new charity trust led by his daughter Susie and his sons Howard and Peter.
