Warren Buffett Announces Retirement from Berkshire Hathaway CEO Position at Age 94. He amassed a $169 Billion fortune through investments.
Warren Buffett: Warren Buffett, the world's fifth-richest person, announced his retirement from the CEO position at his investment company, Berkshire Hathaway, at the age of 94. He made this announcement at the company's annual general meeting in front of over 40,000 shareholders. Buffett stated that he will hand over the reins of the company to Greg Abel, currently the company's vice chairman, by the end of 2025.
First Investment at Age 11
Warren Buffett's investment journey has been incredibly inspiring. He bought his first share at just 11 years old, a time when most children are engrossed in schoolbooks. He took his first step into the world of investment by purchasing three shares of Cities Service Preferred. Gradually, he gained a better understanding of the market and, in 1965, acquired Berkshire Hathaway, a then-struggling textile company.
At that time, no one could have imagined that this same company would one day become one of the world's largest holding companies.
Transforming Berkshire Hathaway's Fortune
Buffett transformed the textile company into an investment holding company, adding to its portfolio a range of industry giants in railways, insurance, banking, consumer goods, food and beverages, technology, healthcare, and retail.
Today, Berkshire Hathaway boasts a market cap of approximately $1.16 trillion and is one of the largest companies in the United States. Its portfolio includes companies like Apple, Coca-Cola, American Express, BNSF Railway, Geico, and Duracell.
A Humble Life Despite Immense Wealth
Buffett's current net worth is $169 billion (approximately ₹14 lakh crore). Despite this, he continues to live in the same modest home he purchased in 1958 for just $31,500.
He drives his own car, enjoys fast food, and uses an older model iPhone. This simplicity in his life sets him apart from other billionaires.
Retirement Announcement and a Message for the Next Generation
In announcing his retirement, Buffett clarified that he will not be selling his shares. He also stated that his estate will be donated to charity after his death.
He believes that the biggest investment one can make is in oneself. He once said, "If you can't communicate your ideas and knowledge effectively, it has no value."
Warren Buffett's 5 Investment Formulas
- Invest wisely, not based on others' opinions.
- Don't invest in what you don't understand.
- Avoid using debt to invest in the stock market.
- Stay invested for the long term; compounding works wonders.
- Invest in index funds; this is the easiest and lowest-risk approach for ordinary investors.
Strong Opinion Against Credit Cards
Warren Buffett believes that excessive use of credit cards traps people in a cycle of debt. He advises against using them like a "piggy bank." According to Buffett, "If you buy everything on credit, true wealth will remain distant from you."
