Warren Buffett's final letter: Accelerating donations of 150 billion, quietly saying goodbye but not completely disappearing

During his tenure as CEO of Berkshire Hathaway, Warren Buffett stated in his last few letters to shareholders that he plans to accelerate donating most of his personal wealth of $150 billion to his children’s charitable foundations. The 95-year-old Buffett wrote in his letter, “My children are in their prime, full of experience and wisdom, but not yet old,” referring to his daughter and two sons, aged between 67 and 72.

60-Year Legend Bows Out at 63: Abel Takes Over

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In May, Warren Buffett announced that he would step down at the end of this year, handing over the leadership of Berkshire Hathaway to 63-year-old Gregory Abel. Abel joined the company in 2000 when Berkshire acquired his leadership of the energy business. Buffett wrote on Monday that Abel “knows many of our businesses and people better than I do now.”

Abel will take over a multinational conglomerate with a vast portfolio of businesses and extremely high stock prices. Its Class A shares closed last Friday at $748,320 per share. Over sixty years, Warren Buffett led Berkshire Hathaway, transforming it from a textile mill acquired through investment funds into a giant with operations across various sectors of the U.S. economy. In building this trillion-dollar business empire, Buffett also became a household name, renowned for his investment acumen and friendly management style.

Berkshire owns many consumer-familiar brands: GEICO, Dairy Queen, See’s Candies, Fruit of the Loom, Benjamin Moore, and NetJets. Recently, the company has been optimistic about U.S. Treasuries, holding over $300 billion in government bonds as of the end of September, surpassing the Federal Reserve at times this year.

Abel’s succession was not sudden but the result of long-term grooming. Over his 25 years at Berkshire, he rose from head of the energy division to vice chairman overseeing a large portfolio including railroads, energy, manufacturing, and retail. Warren Buffett has spoken highly of him, believing Abel’s business understanding and personnel management skills have surpassed his own. This public endorsement provides strong confidence in Abel’s succession.

Accelerating the Donation of $150 Billion to Children’s Foundations

Warren Buffett stated that he will accelerate his plan to donate most of his $150 billion personal wealth to his children’s charitable foundations. The 95-year-old Buffett wrote in his letter, “My children are in their prime, full of experience and wisdom, but not yet old.” He refers to his daughter and two sons, aged between 67 and 72.

This timing is highly meaningful. Buffett admits he has limited time left and hopes to see these funds make an impact during his lifetime, rather than executing his will after his passing. His children are in their peak years of experience and wisdom but are also beginning to consider their inheritance. Accelerating donations means Buffett wants his children to manage these funds under his supervision and guidance, rather than facing the burden alone after his death.

Buffett acknowledged his limited time and, aiming to donate a large sum, stated that on Monday he converted 1800 shares (worth $1.35 billion) from Class A to the lower-priced Class B shares and delivered them to his four family foundations. He said, “To increase the likelihood that they will handle my entire estate before the designated trustees take over, I need to accelerate my lifetime giving to their three foundations.”

Key Points of the Donation Plan

Total Wealth: Approximately $150 billion (mainly Berkshire Hathaway stock)

Latest Donation: 1800 Class A shares converted to Class B, valued at $1.35 billion

Recipients: Four foundations managed by his children

Reason for Acceleration: To ensure the funds are allocated before successor trustees take over

Children’s Ages: 67-72, at the peak of experience and wisdom

This type of donation structure is relatively rare in the history of wealthy philanthropy. Most billionaires establish permanent foundations managed by professional teams, with funds operating over decades or even centuries. The Bill & Melinda Gates Foundation and Rockefeller Foundation are examples of this model. Buffett’s approach, however, is different: he directly transfers funds to his children with a limited lifespan, requiring all funds to be used for charity within a set period. This “time-limited donation” model ensures rapid impact rather than long-term accumulation.

Low-Key Farewell but Not Completely Disappearing

Warren Buffett’s annual letters to shareholders have become part of his legendary persona. These rich letters blend economic analysis, investment advice, leadership maxims, and personal essays, updating on Berkshire’s railroads, energy, retail, and blue-chip operations. Abel said he will continue this tradition, issuing his own annual letter to shareholders.

Buffett stated on Monday that he will soon “fade from the public eye”—but not remain silent. He said he will continue to send his Thanksgiving letters each year. Using this year’s pre-Thanksgiving letter, he expressed nostalgia and reassured Berkshire investors and followers that he remains healthy. “Although I move slowly and reading becomes harder, I still go to the office five days a week and work with a great team,” he wrote. “Occasionally, I get some useful ideas, or someone offers us opportunities we might not have otherwise considered.”

Warren Buffett often infuses his notes with patriotic sentiments—especially pride in Omaha, where he was born and still lives. On Monday, he returned to these themes, writing, “Mid-America is a wonderful place to be born, raise a family, and start a business.”

In his letter, Buffett suggested that the U.S. “sometimes distributes returns erratically, even greedily,” but investors should “remember to thank America because it maximizes your opportunities.” “Remember, a janitor is just as human as a chairman,” he wrote, ending with a somewhat sarcastic note: “Happy Thanksgiving to everyone reading this. Yes, even to those jerks; it’s never too late to change.”

An Approachable Investment Icon

Over decades in the spotlight, Warren Buffett has successfully become a symbol of two seemingly opposite things: a tireless dealmaker and capitalist, and a kind, approachable elder offering practical advice. The “Omaha Prophet” has become an idol in investing, diligently cultivating an image of humility and relatability, especially through his letters to shareholders.

Berkshire Hathaway’s annual shareholder meeting is unlike any other; it’s often called the “Woodstock of Capitalists,” featuring displays of Berkshire’s diverse businesses. Buffett himself often appears in the trading hall, promoting his companies—from eating Dairy Queen ice cream to having his photo and name on limited-edition merchandise—while security personnel keep fans from taking photos or chatting with the so-called “Omaha Prophet.”

His investment strategy focuses on value investing, with Berkshire often holding large cash reserves until suitable opportunities arise. In today’s market, which emphasizes short-term returns, few CEOs demonstrate Buffett’s patience. He hopes Berkshire can distinguish itself from him. Yet many of Berkshire’s traits are closely tied to Buffett himself; for example, it’s hard to imagine the low-profile Abel putting his face on a ketchup bottle to boost sales.

Realistic Expectations for Berkshire’s Future

Buffett expressed high hopes that Berkshire, the conglomerate he has led for sixty years, will continue to thrive after his departure, but with a realistic outlook. Berkshire’s stock (BRK.B) has risen over 10% this year, with a market cap reaching $1 trillion. He wrote, “Overall, the prospects for Berkshire’s various businesses are slightly better than average, mainly due to a few large, high-quality, unrelated companies. However, in ten or twenty years, many companies will outperform Berkshire; our scale advantage will eventually work against us.”

This statement reflects Buffett’s usual honesty and humility. Admitting that scale can become a disadvantage over time is rare in a CEO’s farewell letter. Most leaders paint a bright future, but Buffett chooses to speak candidly. From now on, the “Woodstock of Capitalists” may be a little less lively.