Berkshire Hathaway CEO, Warren Buffett, to step down from his position.
Warren Buffett is Calling Time on His Reign as Berkshire Hathaway CEO
The 'Oracle of Omaha' has surprised everyone with his decision to step down as CEO of Berkshire Hathaway towards the end of 2025, culminating a staggering 60-year career.
The renowned American investor has indicated that he will suggest the company's board to appoint Greg Abel, Chairman of Berkshire Hathaway Energy, as his replacement.
"It's high time Greg Abel assumes the mantle of CEO from me by year-end," said Buffett.
In a significantly emotional note, at the conclusion of his 60th annual general meeting, the famed investor revealed his intention of hanging up his boots. However, he emphasized that he has no plans to sell off any of his Berkshire Hathaway shares.
"Moving forward, I won't be selling a single share of Berkshire Hathaway. I'll eventually gift it away," said Buffett.
"The decision to retain every share stems from a fiscal standpoint because I foresee a brighter future for Berkshire under Greg's leadership than under mine."
Amidst the sea of shock, Buffett informed the audience that only Howie and Susie, his children who are also Berkshire directors, were privy to this decision.
Buffett had been tight-lipped about his retirement plans, with a recent statement in 2023 hinting at him playing "extra innings."
"I feel fortunate to have been part of this journey as Warren bid adieu to Charlie in 2023, and now looks set to depart himself in 2025," commented Keith Ashworth-Lord, CIO of Sanford DeLand Asset Management, after the AGM.
In 2023, Berkshire Hathaway Vice Chair Charlie Munger made his final appearance at the meeting, passing away later that year. The audience erupted into a standing ovation as Buffett noted that the applause could be taken as either an homage to the past or a welcoming of the future.
"In essence, the applause marked the end of an era as a new chapter unfolds for Berkshire Hathaway," concluded Ashworth-Lord.
The upcoming shift in Berkshire Hathaway's leadership, with Greg Abel set to replace Warren Buffett as CEO, signals a significant transition in the finance world, given Buffett's longstanding reputation as an influential investor in the business sector. Buffett's decision to retain all his Berkshire Hathaway shares signifies his confidence in the stock's future growth under Abel's leadership.
