At the 2025 Berkshire Hathaway shareholders meeting, Warren Buffett finally announced that he would hand over the position of CEO to his successor Greg Abel before the end of the year. This shareholder meeting, which is hailed as the most grand one, also had many focuses, such as Berkshire Hathaway has been selling stocks for ten consecutive quarters and its cash level has reached a new high. Even if Japan raises interest rates, it has no intention of selling stocks, and uses "churches and casinos" as a metaphor for the development of American capitalism. And Buffett himself talks about the current market situation, etc. Chain News takes you to the front line.

Berkshire Hathaway sells stocks for ten consecutive quarters, and its cash on hand hits a new high

Berkshire Hathaway has sold more stocks than it bought for 10 straight quarters, according to a report released Saturday. Berkshire Hathaway sold more than $134 billion worth of stocks in 2024, mainly due to reductions in its two largest positions, Apple and Bank of America. As a result of the sell-off, Berkshire Hathaway's cash holdings hit a new record high of $347 billion.

Jobs made the right choice by choosing Cook as his successor

At the beginning of the meeting, Buffett first mentioned that he listened to Cook's conference call on Thursday afternoon after Apple released its latest financial report, which was the only conference call he listened to. He then joked, "Tim Cook makes more money for Berkshire than I do for Berkshire Hathaway," and said he believed Jobs made the right choice in choosing Cook as his successor.

Buffett reiterates opposition to tariff war

Buffett then criticized the idea of ​​tariffs and protectionism, saying: "Trade should not be a weapon." He said: "In the United States, we should seek to trade with the rest of the world. We should do what we do best, and they should do what they do best." In this paragraph, he did not mention Trump. He had previously pointed out that the tariff war was an act of war to some extent, and this speech continued the same position.

(Warren Buffett rarely criticizes politics! Commenting on Trump's tariff policy: an act of war to some extent)

Berkshire Hathaway plans not to sell Japanese assets for the next 50 years

Asked if he would stop investing in Japanese stocks if the Bank of Japan raises interest rates in the future, Buffett made it clear that he would not sell his shares. “We will not consider selling these assets in the next 50 years,” he said, adding: “Apple, American Express and Coca-Cola, for example, have been doing very well in Japan.”

He also said: "The five Japanese companies he invested in (ITOCHU, Marubeni, Mitsubishi, Mitsui and Sumitomo) treated him very well and said that the relationship he established with these companies is very long-term."

"They have different customs. They have different ways of doing business. That's true all over the world, and we have no intention of trying in any way to change the way they do business because they're very successful," Buffett said. “We’re not selling any shares. Not for decades.” He continued: “Japanese investments are exactly what we want.”

Buffett finally retires! Greg Abel to be appointed CEO by year end

Buffett said the time when Berkshire Hathaway will use its cash on hand to look for opportunities is likely within the next five years. “One of the problems with the investment business is that things don’t unfold in an orderly fashion,” he said. “The odds of finding a good buy get higher and higher over time, and it’s a bit like death.” He then lightheartedly joked that he planned to hold onto the cash until a leadership transition, which would give his successor, Greg Abel, room to shine.

And Buffett has already said this at the meeting. The board will appoint Greg Abel to replace him as CEO by the end of the year. He will still stay to help, but everything depends on Greg Abel and it is not confirmed whether the chairman's position will change.

Mr. Ba's words to young investors: Happy people live longer than those who do things they don't like.

In his advice to young investors, Buffett said finding a way to be fulfilled and happy can help people live longer. "I think happy people live longer than people who do things they don't particularly enjoy," he said.

Buffett: There is actually nothing wrong with the current market

“What’s happened in the last 30 to 45 days is really nothing,” Buffett said of recent market turmoil, noting that Berkshire Hathaway’s stock price has been cut in half three times during his 60 years at the helm. Therefore, he said the recent moves in U.S. stocks should not be viewed as huge moves. “This isn’t an extreme bear market or anything like that,” Buffett said.

Buffett explains why the balance sheet is key to investing in a company

Buffett then explained why he believes the balance sheet is the key point in deciding whether to invest in a company. “I spend more time looking at the balance sheet than I do the income statement. Wall Street doesn’t really pay much attention to the balance sheet, but I like to look at eight or 10 years of balance sheets before I look at the income statement because some things are harder to hide or cheat on the balance sheet.”

Why suspend stock buybacks? Inflation reduction bill adds 1% sales tax

Buffett said Berkshire Hathaway is suspending its stock buyback program this year in part because the (Inflation Reduction Act) will impose a 1% excise tax on stock buybacks. Making buybacks less attractive than before. Berkshire shares are up nearly 19% this year, also far outperforming the S&P 500. Class A shares rose 1.8% on Friday to a record high of $809,350.

Berkshire Hathaway successor Greg Abel: Will maintain Buffett and Charlie Munger's consistent investment philosophy

When asked about his views on capital allocation, particularly in new businesses, Berkshire scion Greg Abel said Berkshire Hathaway has a strong set of values ​​to follow, including maintaining its existing reputation. He responded, “Our values ​​as a management team are defined by Warren, Charlie, and everyone associated with the business. They have great values, and they really provide a good foundation for the future of the company.”

This means he will maintain Berkshire's strong balance sheet. Greg Abel said the company's current large amount of cash is a huge strategic asset that he can deploy in the future to make Berkshire Hathaway's success independent of any bank or other entity. In addition to investing in excellent operating companies that can generate large cash flows, it is also important to correctly understand and manage risks. He will stick to the investing approach that Buffett and Charlie Munger have followed for the past sixty years.

Buffett warns: US economy must strike a balance between churches and casinos

Buffett uses the metaphor of "church and casino" to describe the dual nature of American capitalism and express the success and potential risks of its economic system. The church represents the core of American capitalism: an economic system that creates real value. The church symbolizes robust, long-term, productive economic activity, such as business innovation, manufacturing, and the service industry, which provide goods and services to hundreds of millions of people, drive economic prosperity, and create unprecedented wealth. Buffett stressed that this sector is the backbone of the U.S. economy and must maintain long-term stability and growth.

Casinos represent speculative behavior and short-term profit-seeking activities in the financial markets, such as frequent trading in the stock market, derivatives speculation, etc. Casinos are full of temptations, people are chasing quick fortunes, money flows quickly, and the atmosphere is lively. However, this part does not always create real value and can bring instability. Buffett noted that the allure of casinos may have caused people to overlook the importance of churches.

Buffett warned that the U.S. economy must maintain a balance between "churches" and "casinos." If we focus too much on the speculative activities of casinos and ignore the real economy of the church, it may lead to economic imbalance and even threaten long-term prosperity. He believes that in the next hundred years, the United States needs to ensure that the church (real economy) is not swallowed up by the casino (speculative market).

Buffett mentioned that the distribution of rewards in capitalism seems "capricious," meaning that wealth is unevenly distributed or market results may not reflect true contributions. A speculator in a casino may make a short-term profit, while a long-term builder in a church may take more time to reap the rewards. This reflects his view of capitalism's achievements as well as its imperfections.

Buffett agrees with D.O.G.E.’s vision, but controlling government budget deficits is not the complete solution

When asked about the Department of Government Efficiency (D.O.G.E.), Buffett said controlling the government budget deficit is a problem that "can never be fully solved." “The deficit situation we’re in now is not sustainable for a very long time,” Buffett said. “We don’t know if that means two years or 20 years, because there has never been a country like the United States, but it can’t go on forever.”

While Buffett did not discuss D.O.G.E. specifically, he did say that reducing the budget deficit will be a difficult but important task. “I don’t want to do the work, but I think it’s the work that should be done, and Congress doesn’t seem to be doing it,” Buffett said.

(The Buffett indicator has fallen recently. Will the Berkshire shareholders meeting reveal whether Buffett has bought on the dip?)

This article Warren Buffett, the stock god, announced his retirement at the end of the year! Directly watching the Berkshire shareholders meeting, the cash level has reached a new high, will the buying point appear within five years? First appeared in Chain News ABMedia.