Warren Buffett to step down as Berkshire Hathaway CEO by year’s end

Warren Buffett, the CEO of publicly traded investment company Berkshire Hathaway, announced at the company’s annual shareholder meeting that he will step down by the end of 2025, and his chosen successor will take over as CEO, pending approval from Berkshire’s board of directors.

According toCNBC, Buffett reiterated that Greg Abel, the company’s vice chairman of non-insurance operations, who was previously named by Buffett as his successor, will take over. The Berkshire founder announced:

Buffett added that he would stay at the company in an advisory role “but the final word would be what Greg decided,” the CEO said. Buffett’s decision to step down as CEO comes at a time when Berkshire Hathaway is sitting on cash reserves of roughly $348 billion.

The legendary stock investor has repeatedly called the growing US national debt unsustainable and issued warnings on theincreasingly unstable macroeconomic environmentthat has taken a toll on the stock market.

Related:Galaxy Digital plans Nasdaq listing as crypto stocks post strong rebound

Berkshire Hathaway outperforms S&P but is outclassed by Bitcoin

Despite being renowned for consistently returning roughly double the average performance of the S&P 500 to investors throughout his career, Buffet hasfailed to outperform BitcoinBTC$95,336BitcoinChange (24h)0.85%Market Cap$1.89TVolume (24h)$17.53BView Moreand gold.

Although Berkshire Hathaway’s class A common stock carries a price tag of over $809,000, and amarket cap of over $1 trillionat the time of this writing, shares of the company havemassively underperformed against Bitcoinin percentage terms since 2015.

Bitcoin has returned gains of over 781% to investors since 2020, while Berkshire Hathaway only returned approximately 150% over the same period.

Buffett haslong been critical of BTC, arguing that the decentralized, supply-capped, digital currency has no value and likened it to a scam on several occasions.

The Berkshire founder and his business partner Charlie Munger have repeatedly said that Bitcoin does not even qualify as an investment and should be avoided by traders.

Magazine:Bitcoin in Senegal: Why is this African country using BTC?

Explore more articles like this

Subscribe to the Markets Outlook newsletter

Get critical insights to spot investment opportunities, mitigate risks, and refine your trading strategies. Delivered every Monday

By subscribing, you agree to ourTerms of Services and Privacy Policy