Warren Buffett, the legendary investor who transformed Berkshire Hathaway from a struggling textile company into a $1 trillion conglomerate, has announced that he will step down as CEO by the end of 2025. The decision was made after putting the finishing touches on a succession plan that has been in place since 2021.
Dubbed as the Oracle of Omaha, Buffett, 94, will remain as chairman of the board. Under this leadership, Berkshire Hathaway achieved compounded annual gains of 19.9% compared to the S&P 500’s 10.4% over the same period.
The investor’s departure marks the end of an era characterized by a value investing philosophy and long-term approach that led to significant outperformance of the market. He helped turn Berkshire into a financial powerhouse after striking canny takeovers such as insurer Geico, building massive stakes in corporate giants like Coca-Cola, and rescuing Goldman Sachs during the 2008 crisis.
Greg Abel: The Chosen Successor
Greg Abel, currently vice chairman overseeing non-insurance operations, will success Buffett as CEO on January 1, 2026. Abel, a 62-year-old Canadian businessman, has been with Berkshire since its acquisition of MidAmerican Energy in 1999. He previously led Berkshire Hathaway Energy and has served as vice chair of non-insurance operations since 2018.
“I think the time has arrived where Greg should become the chief executive of the company at end of year,” Buffett said, referring to Abel, one of his top hands.
Abel is known for his operational expertise and adherence to Berkshire’s culture. He has pledged to uphold the company’s strong balance sheet and investment philosophy. As he prepares to take the helm, Abel inherits a substantial war chest of approximately $348 billion in cash, labeled by Buffett as a “strategic asset.”
Eldad Tamir’s Perspective: AI as the Next Buffett
In response to Warren Buffett stepping down, Israeli investor and FINQ founder Eldad Tamir took to LinkedIn to make a bold declaration: artificial intelligence won’t just match Buffett’s performance—it will surpass it.
Tamir writes, “We believe that technology and AI can do better than Warren Buffett in the future.” He points to Buffett’s legendary 60-year record, then contrasts it with what FINQ is already doing: using AI to analyze the entire market continuously, free of human biases or emotion.
According to Tamir, FINQ’s AI doesn’t aim to mimic Buffett’s strategy but to evolve beyond it, leveraging speed, scale, and collective intelligence. He highlights the growing influence of AI in the financial industry, where algorithms can analyze market trends, company fundamentals, and investor sentiment at unprecedented speed. This opens the doors for investment strategies that were once unimaginable.
on high-potential investments, moving away from conventional stock-picking techniques.
The Future of Investing is Here
As Berkshire Hathaway transitions to new leadership, the integration of AI technologies will likely play a supportive role in investment decisions. While AI offers promising tools for data analysis and risk assessment, many experts believe it cannot fully replicate the nuanced judgment and experiences that investors like Buffett bring to the table. Or maybe, not just yet. One thing is certain, the legacy of Warren Buffett underscores the enduring value of human insight and leadership in the financial world.
