Buffett steps down as chairman of Berkshire (BRK.A.US), his son Howard takes over as "guardian" of the culture, Abel to manage operations

According to Jinse Finance APP, Berkshire Hathaway (BRK.A.US, BRK.B.US) announced on Friday that 96-year-old Warren Buffett will immediately step down as chairman and assume the title of honorary chairman, while his son Howard G. Buffett will take over as chairman. With this, the most legendary investment group in American business history completes its final round of power transition. Buffett’s tenure as chairman, which began in 1970 and lasted for more than half a century, has come to an end, while the CEO position had already been handed over to Greg Abel earlier.

This was not a sudden handover. Howard has served as a Berkshire director since 1993, and signals that he would eventually succeed as chairman have surfaced for many years. Buffett will remain on the board to ensure a smooth transition. In the company's statement, Abel said Buffett’s influence on Berkshire and its shareholders is “unprecedented in American business history,” and stated that Howard would become the “guardian” of the culture and values Buffett created.

For Howard, his career on the board will be entirely different. He bears a striking resemblance to his legendary investor father and is well aware that this transition will transform his life. For a long time, his routine has consisted of frequent global travel for philanthropic causes, as well as working daily as a hands-on farmer.

“I’ve been to about 155 countries, constantly on the move. In 2022, I went to Ukraine five times, and five times again in 2023. This year, it’ll probably be four or five times. I won’t be making those trips anymore,” Howard said in a 2024 interview with Yahoo Finance.

At 71, Howard is regarded as the “guardian” of the unique Berkshire culture built by his father and long-time deputy Charlie Munger over decades. The company itself is a giant, requiring the Berkshire board to engage in professional planning and oversight. Its business spans from operating one of America’s most important railroads, Burlington Northern, to supporting the housing market through home builder Clayton Homes.

Howard boasts extensive management experience, having worked in investor relations at commodities company Archer Daniels Midland (ADM) and served on the board of his father’s favored beverage and long-term equity holding Coca-Cola (KO). (He retired from Coca-Cola’s board in 2016 after 17 years.) He also serves as chairman and CEO of the Howard G. Buffett Foundation, which he founded in 1999.

“I need to keep in mind that I have to perform my duties and bear responsibilities at Berkshire. Thus, I think the level of risk in my life today might decrease,” Howard said in a 2024 interview. “As non-executive chairman, I won’t be running the company. My job is to support future CEO Greg Abel to the best of my ability.”