Billionaire investor Warren Buffett, 95, announced Monday that he will accelerate the disbursement of his fortune to his children’s foundations. This follows his May announcement that he will step down as Berkshire Hathaway CEO by the end of the year.
Key Facts
Buffett said he needed to “step up the pace of lifetime gifts” to his children’s three foundations to “improve the probability that they will dispose of what will essentially be my entire estate before alternate trustees replace them.” He plans to give roughly $1.35 billion worth of Berkshire Hathaway Class B shares to the foundations.
He will retain a significant amount of Class A shares until shareholders are confident in his successor, Berkshire Hathaway Energy CEO Greg Abel. Buffett emphasized that both his children and the board fully support Abel.
Buffett also announced he will “go quiet” and will no longer write Berkshire’s annual report or speak extensively at annual meetings.
Crucial Quote
“All three children now have the maturity, brains, energy, and instincts to disburse a large fortune,” Buffett said. “Ruling from the grave does not have a great record, and I have never had an urge to do so.”
Additional Context
Buffett’s children, ages 72, 70, and 67, have three alternate trustees in place in case of premature deaths or disabilities. Buffett described the trustees as “exceptional humans and wise in the ways of the world” with “no conflicting motives.”
Buffett’s planned retirement coincides with his replacement by Greg Abel as CEO. At Berkshire’s annual meeting, Buffett also commented on U.S. trade policies, criticizing President Trump’s tariffs and emphasizing the importance of global trade. He reassured shareholders, saying market volatility from tariffs was “really nothing” compared to larger economic crises in U.S. history.
