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Greg Abel Takes the Helm at Berkshire Hathaway as Warren Buffett Steps Back

Investor attention shifts to how he will deploy Berkshire’s record cash hoard.

Overview

  • Buffett relinquished the CEO role on Jan. 1 and remains chairman, saying he is going quiet and will not take the stage at this year’s shareholder meeting.
  • Berkshire ended September with a record $381.6 billion in cash after being a net seller of equities for 12 straight quarters, heightening interest in near-term capital allocation.
  • The roughly $300 billion public-equity portfolio faces fresh scrutiny as analysts question whether active stock picking will continue under the new leadership team.
  • Investor uncertainty increased with the recent departure of longtime investment hand Todd Combs to JPMorgan, removing a seasoned stock picker from Berkshire’s bench.
  • Buffett strongly endorsed Abel, called him the decider going forward, and leaves a company valued above $1 trillion with a decades-long record of outperformance.