End of an Era: Warren Buffett to Step Down as Berkshire CEO

This article was originally published on Linkedin.

The surprise announcement was delivered by Buffett on Saturday at the end of his 60th annual shareholder meeting at Berkshire Hathaway.

And while the 94-year-old will still remain as Chairman of his conglomerate holding company, this marks the end of an era.

Buffett's investment genius and long-term approach have propelled him to become one of the richest men on earth. And those who stuck with him were handsomely rewarded.

From 1965 until 2024, Berkshire Hathaway's market value grew by an unbelievable 5,502,284%.

Compare this to the US stock market as measured by the S&P 500, which is considered the toughest benchmark to beat: It grew by 39,054% over the same period.

A TRUE ROLE MODEL

We know from movies and real life that monumental success is often riddled with elements of shadiness, ruthlessness and tremendous luck. Step into the financial world, and the odds of that do not decrease.

This is why Buffett is such an important figure.

He proved that wealth doesn’t have to change your values. That frugality and modesty aren’t just quaint habits, but powerful statements in an industry obsessed with excess.

He's lived in the same ordinary house for 67 years. He doesn't drive flashy cars, he's never had a taste for fine dining and he's certainly generous having pledged to give 99% of his wealth to charity. Despite how unattractive this lifestyle may appear to some, his influence has stretched further than any hedge fund titan or Wall Street executive.

Buffett’s genius wasn’t just in his investments - it was in his clarity of thought. He stripped away jargon, resisted 'hot' trends and stuck to a simple philosophy: Buy great businesses at good prices, hold them for the long run and always act with integrity.

He also did the world a favour by being a strong advocate for index funds, recognising that the vast majority of people are unlikely to outperform the aggregate results of the US stock market.

So even as Warren Buffett steps back, his influence will continue to compound.