Warren Buffett to Remain Chairman of Berkshire Hathaway Despite New CEO
Buffett transformed a struggling Massachusetts textile company into a sprawling yet nimble conglomerate that owns everything.
Quick overview
- Warren Buffett will remain chairman of Berkshire Hathaway as Greg Abel takes over as CEO in 2026.
- The board's decision to keep Buffett as chairman aims to reassure shareholders about the company's future.
- Buffett's continued role allows him to mentor Abel and provide insight on major capital allocation decisions.
- Berkshire Hathaway currently holds $348 billion in cash, with Buffett indicating a lack of investment opportunities at this time.
Billionaire Warren Buffett will remain chairman of the board at Berkshire Hathaway when Vice Chairman Greg Abel takes over as CEO starting in 2026.
The conglomerate’s board voted on Sunday to keep the legendary 94-year-old investor as chairman—a move likely to reassure shareholders concerned about maintaining Berkshire’s extraordinary track record. At the same meeting, the board formally approved Buffett’s chosen successor, longtime Berkshire executive Greg Abel, 62.
“Staying on as chairman means Warren can continue mentoring Greg and other Berkshire leaders, while also offering valuable insight when major capital allocation decisions inevitably arise,” a source close to the board noted.
Over six decades at the helm, Buffett transformed a struggling Massachusetts textile company into a sprawling yet nimble conglomerate that owns everything from Dairy Queen and See’s Candies to BNSF Railway and major insurers.
As the company grew, so did Buffett’s legend, with Berkshire Hathaway stock consistently outperforming major indexes—returning an average of 19.9% annually versus the S&P 500’s 10.4%.
This decision to retain the “Oracle of Omaha” as board chair marks a departure from the succession plan previously outlined for after Buffett’s death, under which his son, Howard Buffett, would have taken over the chairmanship to safeguard Berkshire’s culture.
Abel, who has overseen all of Berkshire’s non-insurance operations since 2018, now faces big questions about the future of the firm. Buffett himself has warned of potential pitfalls ahead, including his view that President Trump’s tariffs were a “big mistake.” There are also concerns that Berkshire may eventually face pressure to break up—like many conglomerates—to unlock shareholder value.
What’s Next for Berkshire?
The company currently holds $348 billion in cash. Buffett told some of the 40,000 attendees at Berkshire’s annual shareholder meeting in Omaha, Nebraska, that he doesn’t see many bargains to invest in at the moment—not even Berkshire’s own shares. Still, he assured investors that someday, the firm would be “bombarded with opportunities.”
Buffett reaffirmed his trust in Abel during the meeting and said he would retain his entire stake—giving him 30% voting control of Berkshire Hathaway.
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