Warren Buffett is set to retire as chief executive of Berkshire Hathaway at the end of 2025, concluding an extraordinary 60-year tenure that transformed the company into a sprawling conglomerate and made him a household name. Greg Abel, currently Vice Chairman of non-insurance operations, will take over as CEO. This transition was initially signaled in 2021 when Abel was designated as Buffett’s successor. Although Buffett is relinquishing the CEO role, he plans to remain chairman, with the chairman position eventually passing to his son, Howard Buffett, upon Warren Buffett's death.
The decision comes as Buffett reportedly felt his own pace had slowed compared to the energy brought by his successor, leading him to believe the time was right for the leadership change. While Abel will assume final authority over Berkshire’s companies and investments starting in 2026, he will continue to have support from Buffett, Ajit Jain (vice chairman of insurance operations), and investment managers Ted Weschler and Todd Combs. The CEOs of Berkshire’s numerous subsidiaries will maintain responsibility for day-to-day operations.
The announcement of Buffett's step down as CEO, approved by Berkshire’s board, led to a more than 5% drop in Berkshire Class B shares, despite hitting an all-time high just prior to the news. However, many investors viewed the plan positively, with some analysts, like Macrae Sykes of Gabelli Funds, suggesting it would provide Buffett with more bandwidth and offer Abel greater transparency while still benefiting from Buffett's mentorship as chairman. Buffett has affirmed his "zero" intention to sell his Berkshire stock.
