The legendary investor announced that he will step down from management at the end of the year but will keep his shares
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Legendary American investor Warren Buffett has announced his formal retirement from the management of Berkshire Hathaway, the conglomerate he led for more than six decades and turned into one of the world's most valuable groups. In a letter addressed to shareholders, Buffett reported that he will step down at the end of December, although he will retain a "significant portion" of his shares and will remain connected to the group as its main moral reference and majority shareholder.
At 95 years old, Buffett confirmed that Greg Abel, current vice chairman of non-insurance operations, will assume executive leadership starting January 1, 2026. "He will become the boss at the end of the year. He is a great manager, a tireless worker, and an honest communicator," wrote the businessman in his letter, in which he acknowledged that "the time has come to go quietly."
Warrent Buffet
Buffett also detailed that he will convert 1,800 class A shares into 2.7 million class B shares, which will be donated to four family foundations: the Susan Thompson Buffett Foundation, The Sherwood Foundation, The Howard G. Buffett Foundation, and the NoVo Foundation. The transfers were completed on the same day the statement was published.
The billionaire still holds about 30% of Berkshire Hathaway's voting rights, which ensures him decisive influence over the group's strategic decisions. According to him, he will keep his shares "until shareholders feel comfortable" with Abel's management.
"The succession process shouldn't take long," noted Buffett, nicknamed the Oracle of Omaha for his historic investment success and his residence in Nebraska. In the letter, he also remembered his historic partner Charlie Munger, who passed away in 2023, and highlighted that both had trusted years ago in Abel's ability to lead the company.
Warrent Buffet
Buffett used the message to bid farewell to shareholders, whom he thanked for their loyalty and generosity. "Berkshire has a very special group of investors who share their profits with the less fortunate. I enjoy staying in touch with you," he expressed. He also confirmed that he will continue writing his traditional Thanksgiving letter, in which he usually reflects on personal and economic topics.
Founded in 1965, Berkshire Hathaway is now a conglomerate with investments in iconic companies such as Apple, Coca-Cola, American Express, and Kraft Heinz, as well as a broad network of insurance, energy, and industrial companies. Buffett's departure marks the end of an era on Wall Street and paves the way for a new stage under Abel's leadership, who is considered a continuer of his investment philosophy based on discipline and the long term.
