Warren Buffett, the 95-year-old legendary investor and chairman of Berkshire Hathaway Inc., on Monday announced a step back from his leadership role and detailed plans to accelerate the distribution of his fortune to family foundations.
In his annual Thanksgiving message, the veteran investor said: “I’m going quiet”.
In a news release, Berkshire Hathaway stated that Buffett has converted 1,800 of his A shares into 2.7 million B shares, which were immediately donated to four family foundations (Class A and B shares differ in voting power, pricing and even availability). The Susan Thompson Buffett Foundation received 1.5 million shares, while The Sherwood Foundation, The Howard G. Buffett Foundation, and the NoVo Foundation each received 400,000 shares.
In a characteristically witty message to shareholders, Buffett confirmed that ‘Greg Abel will become the boss at yearend’. He praised Abel as a great manager, a tireless worker and an honest communicator, expressing full confidence in his successor.
Buffett also declared an end to an era, stating, "I will no longer be writing Berkshire’s annual report or talking endlessly at the annual meeting. As the British would say, I’m 'going quiet.'" He will, however, continue to communicate with shareholders through an annual Thanksgiving message.
In his message, Buffett highlighted the profound influence of friends and business partners who, often by chance, also hailed from Omaha, including his ‘best pal’ Charlie Munger, former Buffalo News publisher Stan Lipsey, and former Coca-Cola president Don Keough.
Accelerating philanthropy
Citing his "unexpected longevity" and the advanced age of his children—who are 72, 70, and 67—Buffett explained the need to step up the pace of his lifetime gifts to their foundations. He expressed confidence in his children's maturity and ability to manage the disbursement of his estate, noting they are now ‘at their prime in respect to experience and wisdom’.
He emphasised that this acceleration is "in no way" a reflection of dimmed confidence in Berkshire's future under Greg Abel, whom he endorsed unreservedly.
Buffett concluded with life advice, urging readers to learn from mistakes, choose heroes carefully, and live by the Golden Rule.
"Decide what you would like your obituary to say and live the life to deserve it," he wrote. "Greatness does not come about through accumulating great amounts of money... When you help someone in any of thousands of ways, you help the world."