What We Learned Watching Warren Buffett Announce His Retirement as CEO
Since 1973, Warren Buffett has been leading the annual shareholder meeting of Berkshire Hathaway. Last weekend, Brian Houts and I made the pilgrimage to Omaha to see the “Oracle.” It was our first shareholder meeting. Most in the crowd seemed like regulars. We expected tens of thousands of enthusiastic investors, an exhibition hall full of shopping opportunities, and hours of insightful Q&A from Mr. Buffett.
What we didn’t expect was the surprise announcement that Warren would be retiring from the CEO position at the end of 2025. Warren sprang this news on an unsuspecting audience and board of directors. In classic Buffett fashion, he plainly stated his intentions without an ounce of fanfare. The 20,000-plus seat arena jumped to a lengthy standing ovation to thank Buffett. Incoming CEO Greg Abel stood next to Warren and led the respectful applause, fitting for an amazing career.
It is hard to dispute Warren’s (and Charlie Munger’s) long-term investment record. His company, Berkshire Hathaway, is in pretty much every portfolio we manage. Watching the 94-year-old Buffett was humbling. While his voice had lost some of its strength, his mind is sharp. His passion for investing was only rivaled by his passion for elevating the investment industry and creating world-class, enduring companies that benefit society. He masterfully answered tricky questions ranging from climate change to tariffs to politics. Unlike most politicians, he gave real answers—all without doublespeak or wading unnecessarily into partisan corners. It was a refreshing, neutral view of the world around us.
Warren’s perspective is one of his strongest assets. What feels scary, novel, or unprecedented often is none of those. When times get tough in markets, folksy quotes from Warren Buffett feel like a hug from Mom.
Something Warren said at this meeting struck me.
“Life today is better in almost every way. You’ve got to figure that you started at a pretty lucky spot just by being born when you were. Imagine staying in some cosmic waiting room for hundreds of thousands of years and then getting dropped into the present — not bad timing. So I would focus on what’s been good in your life, rather than what’s gone wrong. Yes, bad things happen — sometimes very bad things. But life can still be wonderful.”
“If it makes a difference to you whether your stocks are down 15% or not, you need to get a somewhat different investment philosophy,” he said.
“People have emotions, but you’ve got to check them at the door when you invest,” he said.
“What has happened in the last 30, 45 days … is really nothing,”
“I don’t get fearful by things that other people … are afraid of in a financial way,” he said. “Let’s say Berkshire went down 50% next week, I would regard that as a fantastic opportunity, and it wouldn’t bother me in the least.”
It is easy to quip that Warren isn’t bothered by market volatility because he is 94 years old and has $178 billion. A mom-and-pop retiree seeing $2,000,000 turn into $1,500,000 probably feels a lot worse. But maybe that is because of perspective, not circumstance. In our heart of hearts, we know things will come back in the fog of a downturn. Warren’s secret sauce is his perspective and temperament: Be fearful when others are greedy and greedy when others are fearful.
I left Omaha with a sense of gratitude—thankful to see one of the greats in action, but also appreciative of the opportunities we have living at this moment in history.
At Frazier Financial, we strive to emulate Warren’s humility, frankness, and drive. Thanks for trusting us to be your “Oracle.”
