Warren Buffett, billionaire investor and philanthropist, has announced he will retire from leading Berkshire Hathaway at the end of 2025.
Buffett shared the news at the company’s annual meeting in Omaha, Nebraska, surprising thousands of shareholders. He said he plans to recommend that Greg Abel, his current vice-chair who manages most of the company’s investments, take over as CEO. Abel, 62, has worked at Berkshire for 25 years and currently oversees all of its non-insurance businesses, including energy, real estate, and retail.
The crowd gave Buffett a long standing ovation, recognizing his 60 years of leadership. Buffett said, “It’s time for Greg to become the CEO.” He also added that he has no plans to sell his shares and believes the company will do even better under Abel’s leadership. “I’ll give away my shares eventually,” Buffett said, as he plans to donate 99.5% of his wealth to charity.
Only Buffett’s children, Howard and Susie, knew about the retirement announcement beforehand. Even Abel, who was sitting beside Buffett on stage, was surprised by the news.
Buffett has been leading Berkshire Hathaway since 1965. Under his leadership, it grew from a struggling textile business into a $1.03 trillion company with operations in insurance, railroads, energy, and more.
During the same event, Buffett warned about the dangers of former President Donald Trump’s trade tariffs. He said these policies could hurt international relations and cause instability. “Trade should not be used as a weapon,” he said, suggesting that countries should focus on doing what they do best and work together.
In February 2024, Berkshire reported a record operating profit of $47.44 billion, up 27% from the previous year. It’s unclear how Trump’s trade policies will affect the company’s nearly 190 businesses in the future.
Although Buffett is a Democrat and has supported Barack Obama and Hillary Clinton in the past, he didn’t endorse Joe Biden in 2020 or Kamala Harris in 2024.
Buffett’s career has also faced criticism, including lawsuits and investigations. One major issue involved deadly wildfires caused by Berkshire’s PacifiCorp utility in 2020. Abel addressed this, saying the focus now is on public safety and preventing fires, even if that means shutting off power during risky conditions.
Buffett’s retirement marks the end of an era, but with Greg Abel stepping in, Berkshire Hathaway looks set to continue its success.
