Warren Buffett, one of the richest people in the world and one of the most consummated investors, declared on Saturday that He wants to leave the position of executive president of Berkshire Hathaway at the end of this year. The announcement came after a period of five -hour questions and answers at the company’s shareholders board on Saturday and it was a big surprise, especially because the 94 -year -old man had previously said that he did not plan to retire.
Buffett said he will recommend Berkshire Hathaway’s advice on Sunday that the vice president Greg Abel replaces him. “I think the time has come when Greg should become the company’s CEO at the end of the year,” said Buffett. Thousands of investors gathered in their annual board, at the Omaha Stadium (Nebraska), dedicated Buffett A prolonged ovation After the announcement.
The billionaire investor took control of Berkshire Hathaway in 1965, when he was a textile manufacturer. In the last 60 years, Buffett turned the apparently failed textile company into a conglomerate, finding other businesses and actions to buy and sold for less than they were worth. His success made him A wall street icon and earned him the nickname“Oracle of Omaha”in reference to the city of Nebraska where the investor was born and lived.
Who is Greg Abel?
Abel has been Buffet’s designated successor for years and already manages all Berkshire’s non -insurers. But it was always assumed that he would not take office until after Buffett’s death. Buffett announced the news at the end without accepting questions about it. He said that The only council members who knew were their two children, Howard y Susie Buffett.
There was no warning for Abel, who was sitting next to Buffett on stage. An hour later, he responded again to the news, this time without buffett on stage. “I just mean that I couldn’t feel more humble and honest of being part of Berkshire as we advance, “said Abel. According to some analysts, several investors believe that Abel will do a good job by directing Berkshire, but it remains to be seen how good it will be investing Berkshire’s cash.
Cathy Seifert, CFRA research analyst, said it had to be hard for Buffett to reach this decision to resign. “It has probably been A very hard decision For him, but it is better to leave in your own terms, “said Seifert.” I think there will be an effort to maintain an environment of ‘Business As usual’ [seguir como hasta ahora] In Berkshire. That is yet to be determined. “
Buffett backed Greg on Saturday committing to maintain his fortune invested in the company. “I have no intention,” as I sell a Berkshire Hathaway action. At some point I will give it “said buffett. “The decision to maintain every action is an economic decision because I believe that Berkshire’s perspectives will be better under the management of Greg than under mine.”
Commerce is not a weapon, Buffett warns
Meanwhile, Buffett has warned of the dire global consequences of the commercial tariffs of US President Donald Trump, saying: “Commerce should not be a weapon.”
Buffett said at the Saturday meeting that Trump’s commercial policies have increased the risk of global instability by angry the rest of the world. “It is a big mistake, in my opinion, when you have 7.5 billion people who do not like them, and you have 300 million that boast of how Buffett said.
According to the billionaire investor, “there is no doubt that trade can be an act of war.” And although he believes that the best thing is that the trade is balanced between countries, Buffett said he does not believe that President Trump was doing it correctly with his generalized tariffs.
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