OMAHA, NE — In a moment that stunned tens of thousands of devoted shareholders, Warren Buffett, the 94-year-old investing titan and face of Berkshire Hathaway for over six decades, announced his plans to retire at the end of 2025. The declaration came during Berkshire’s iconic annual meeting, traditionally a festival of business wisdom, long-term investing, and Buffett’s signature wit. This year, however, it took on the air of a farewell tour.
With little fanfare and no prior indication, Buffett delivered the news at the close of a five-hour Q&A session — a session that many now realize may have been his last of its kind. “I think the time has arrived where Greg should become the chief executive officer of the company at year end,” Buffett said, referring to Greg Abel, the man long touted as his successor.
Though Abel’s succession had been anticipated in the event of Buffett’s death, few expected the announcement to come while Buffett was still very much alive — and, until recently, still defiant about any plans to step aside. Only two people knew ahead of time: Buffett’s children, Howard and Susie. Abel himself was taken by surprise, seated next to Buffett on stage when the revelation dropped.
A Smooth Hand-Off or Big Shoes Too Big?
In the wake of the announcement, Abel returned to the stage alone for the company’s formal business meeting, offering a measured and humble response. “I couldn’t be more humbled and honored,” he told the crowd.
Abel, who already oversees all of Berkshire’s non-insurance businesses, has been gradually taking on more responsibility. His sharp managerial approach and deep familiarity with the company’s sprawling portfolio have earned him widespread respect internally. But even among confident supporters, there lingers one large question: can anyone truly fill Buffett’s shoes?
Buffett, for his part, expressed unwavering confidence in Abel’s future at the helm. “I have no intention — zero — of selling one share of Berkshire Hathaway. I will give it away eventually,” he said. “The decision to keep every share is an economic decision because I think the prospects of Berkshire will be better under Greg’s management than mine.”
It was the ultimate show of trust — and a signal to markets that he believes the company’s future remains bright.
Sixty Years of Financial Mastery
Buffett’s tenure has been nothing short of legendary. Under his leadership, Berkshire Hathaway evolved from a struggling textile firm into a $900 billion conglomerate with holdings across railroads, insurance, energy, consumer goods, and tech. Buffett’s annual letters became gospel for investors, his moves capable of moving markets, and his philosophy — “buy wonderful businesses at fair prices and hold them forever” — reshaped how people invest.
His 60-year reign saw the company nearly double the S&P 500’s performance, posting an extraordinary compounded annual return of 19.9%, compared to the index’s 10.4%. The numbers, however, only tell part of the story. Buffett’s integrity, discipline, and homespun charm turned him into a folk hero in the world of finance.
But recent observers noted some signs of his age. Cole Smead of Smead Capital Management, present at the meeting, remarked that Buffett no longer seemed as sharp as in years past. At one point, he made a minor math error — an anomaly for someone known for mental precision. Even so, his mind remains strong, and he hasn’t slowed down without reason.
“This was probably a very tough decision for him,” said CFRA analyst Cathy Seifert. “But better to leave on your own terms.”
The Challenge Ahead
Greg Abel steps into a role shadowed by greatness. While he has long been considered an effective operator, he will now be responsible for investment decisions — an area where Buffett’s instincts have long set him apart. He also lacks Buffett’s 30% voting control over Berkshire shares, which means he won’t have the same unquestioned authority.
Still, those close to the company express confidence in his leadership. Steven Check, of Check Capital Management, expressed surprise but also a sense of satisfaction: “I didn’t think he would retire while his mind is still working so well, nor did I think it’d happen at the annual meeting. But overall, I’m very happy for him.”
Others echoed the sentiment, noting that Abel’s management style is more hands-on. Buffett himself has said that Abel might push some of Berkshire’s businesses further than he did. And within the company, Abel’s reputation for tough questioning and operational discipline precedes him.
Reflections on Global Stability and Market Calm
While Buffett’s retirement dominated headlines, he also addressed other issues at the annual meeting, including global trade tensions. Taking a rare political stance, he criticized former President Donald Trump’s tariff policies, warning that using trade as a weapon risks global instability. “It’s a big mistake in my view when you have 7.5 billion people who don’t like you very well, and you have 300 million who are crowing about how they have done,” he said.
He emphasized that prosperity in more countries contributes to a safer world, a viewpoint consistent with his long-held belief in the power of economic cooperation.
Buffett also offered his thoughts on current market conditions. With $347.7 billion in cash on hand, Berkshire has yet to find investments it considers attractively priced. He described the recent market dip as “nothing,” contrasting it with the collapse he witnessed during the Great Depression.
“I was born in 1930. The Dow went from 240 to 41. That’s a bear market,” he said, brushing off the more recent fluctuations with his characteristic calm.
A New Chapter Begins
Berkshire Hathaway’s annual meeting, often dubbed “Woodstock for Capitalists,” drew over 40,000 attendees this year, including celebrities and high-profile investors. Among them was Hillary Rodham Clinton, marking a rare political presence. As always, fans camped overnight outside the arena for a chance to see Buffett live, perhaps suspecting this gathering would be different.
For longtime investor Devan Bisher, 72, who started buying Berkshire shares in the 1980s, the message was simple. “It’s been a good train to ride,” he said. “And I’m going to stay with it.”
Warren Buffett’s departure may mark the end of an era, but with Abel in place and a mountain of cash waiting for opportunity, Berkshire Hathaway’s next chapter is already underway. The legend has spoken — and passed the torch.
