Warren Buffett, 94, has announced his retirement as CEO of Berkshire Hathaway. The declaration came at the end of the company’s five-hour annual shareholder meeting yesterday, on May 3rd, closing a storied chapter in American capitalism and marking the beginning of a new era under his chosen successor, Greg Abel.
I think the time has arrived where Greg should become the chief executive officer of the company at year end,” Buffett told the crowd. His understated delivery belied the weight of the moment, punctuated only by a standing ovation and his trademark wit: “The enthusiasm shown by that response could be interpreted in two ways.”
From Textile Mill to $1.16 Trillion Titan
Buffett’s retirement caps off a transformative six-decade tenure during which he built Berkshire Hathaway from a faltering textile manufacturer into a $1.16 trillion conglomerate. With liquid assets totalling $300 billion, the company holds controlling or significant stakes in brands such as Geico, Dairy Queen, Duracell, Coca-Cola, and Apple. Berkshire also posted $9.6 billion in quarterly profits, despite a 14% decline from the previous year.
Buffett’s investment acumen earned him the moniker “The Oracle of Omaha.” Equally revered for his accessible insights and ethical leadership, he became a fixture in both Wall Street circles and American popular culture. Through homespun shareholder letters, unwavering frugality, and a refusal to cash in on his fortune, Buffett cultivated an image of principled success. “I have no intention, zero, of selling one share of Berkshire Hathaway,” he reiterated. “It will get given away.”
The Rise of Greg Abel
Sitting quietly beside Buffett during the announcement, Greg Abel appeared visibly surprised. Though he had been named as Buffett’s heir apparent in 2021, the transition was widely assumed to be years—if not decades—away. An hour later, Abel returned to the stage alone to conduct the formal business session, humbly addressing shareholders: “I couldn’t be more humbled and honoured to be part of Berkshire as we go forward.”
Abel, 62, has long overseen the company’s sprawling non-insurance operations and has been a member of the board since 2018. Known for his no-nonsense management style and demanding rigour, he is expected to maintain the core of Buffett’s strategy while bringing a more hands-on operational focus. Still, questions remain about how he will handle Berkshire’s famed capital allocation strategy, one of Buffett’s hallmarks.
A Private Decision, a Public Transition
In classic Buffett fashion, the handover was arranged with minimal fanfare. Only two people, his children, Howard and Susie Buffett, were informed beforehand. The board is expected to unanimously support the transition.
“I would still hang around and could conceivably be useful in a few cases,” Buffett said, “but the final word would be what Greg said in operations, in capital deployment, whatever it might be.” His remaining role, as he described it, would be as a mentor and advisor rather than an executive.
A Legacy in Values as Much as Value
Buffett’s departure leaves behind not just a financial empire but a legacy of character. A billionaire who has lived in the same modest Omaha house for more than 65 years, he has pledged to give away his entire fortune. Forbes lists his current net worth at $168.2 billion.
His personal values, humility, long-term thinking, and a steadfast belief in American capitalism, have shaped investor behaviour across generations. Apple CEO Tim Cook summed up the sentiment in a public tribute: “There’s never been someone like Warren, and countless people, myself included, have been inspired by his wisdom.”
A New Era and a Watchful Eye
Although industry observers have expressed confidence in Abel’s capabilities, they are also mindful of the shoes he must fill. “The question is will he allocate capital as dynamically as Warren? And the answer is no,” said Omar Malik of Hosking Partners. “But I think he’ll do a fine job with the support of the others.”
Abel will now assume responsibility for Berkshire’s vast insurance businesses, a domain previously overseen by Vice Chairman Ajit Jain. The transition may bring a different management cadence, but analysts expect strategic continuity, at least for the near term.
The Last Word
In a closing remark that felt both definitive and deeply personal, Buffett 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.”
The man who started investing at age 11 and filed his first tax return at 13 is finally stepping away from the helm—but not from the company or the principles he enshrined in it.
As shareholders exited the arena in Omaha, there was no panic or confusion—only reverence. After six decades, Warren Buffett is passing the torch, but the flame of his philosophy continues to light the path forward for Berkshire Hathaway.