Buffett stepped down as chairman of Berkshire (BRK.A.US), and his son Howard took over the “guardianship” culture, and Abel took charge of the management

The Zhitong Finance App learned that Berkshire Hathaway (BRK.A.US, BRK.B.US) announced on Friday that 96-year-old Warren Buffett will immediately step down as chairman and be replaced as honorary chairman, and his son Howard G. Buffett will take over as chairman. At this point, the most legendary investment group in American business history has completed the final round of power transfer. Buffett's career as chairman of the board for more than half a century since 1970 came to an end, and the CEO position had previously been handed over to Greg Abell.

This was not an unexpected shift. Howard has been a director of Berkshire since 1993, and there have been signs since he took over as chairman. Buffett will remain a director to ensure a smooth transition. In the company statement, Abell said that Buffett's influence on Berkshire and its shareholders was “unprecedented in American business history,” and that Howard would be the “guardian” of the culture and values created by Buffett.

For Howard, his career on the board will be very different. He looks strikingly similar to his father, a legendary investor, and knows that this handover will change his life. For a long time, his life consisted of frequent trips around the world to do charity work and the everyday life of a farmer who personally farmed the land every day.

“I've been to about 155 countries and traveled all year round. I went to Ukraine five times in 2022, five times in 2023, and about four or five times this year. I won't go on these trips again.” Howard said in an interview with Yahoo Finance in 2024.

Howard, 71, is regarded as the “guardian” of the unique Berkshire culture created over decades by his father and long-time deputy Charlie Munger. The company itself is huge and requires professional planning and supervision by the Berkshire Board of Directors. The business ranges from operating Burlington North, one of America's most important railroads, to supporting the housing market through homebuilder Clayton Homes.

Howard has extensive management experience, worked in investor relations at commodity company Archer Daniels Midland (ADM), and served as a director of his father's favorite beverage and long-term stock investment Coca Cola (KO). (He retired from the Coca Cola board of directors in 2016 and served for 17 years.) He is also the Chairman and CEO of the Howard G. Buffett Foundation, which was founded in 1999.

“I need to keep in mind that I have to work and take responsibility for Berkshire. As a result, I think the level of risk in my life today may be lower.” In a 2024 interview, Howard said, “As a non-executive chairman, I'm not going to run the company. My job is to support future CEO Greg Abell as much as I can.”