The Wall Street – Location of Buffett’s investor activity (Photo: Freepik, F11photo)
Warren buffet occurs – and how! After almost 6 decades at the top of Berkshire Hathaway the “Oracle of Omaha” hands over the scepter. Not with timpani and trumpets, but with Grandzza. What remains: a stock market empire with billions of-cash, crystal-clear investment principles-and a successor that may not afford to make any errors. If you want to benefit from the Buffett principle, you can do this via specifically selected funds and ETFs.
A resignation with style – and a message to politics
Warren Buffett is none for large gestures. No bye with tears, no last applause in the spotlight. And yet the past Saturday in Omaha was a moment for the history books. At the general meeting of Berkshire Hathaway, the “Woodstock of the Capitalists”, Buffett made it clear: The era ends.
The 94-year-old withdraws from day-to-day business. The operational leadership goes to Greg Abel. No bang, but a powerful finger to the future. “I’m ready to let go,” said Buffett. And everyone knew: he is serious. The withdrawal is not a phrase, but a neatly prepared transition. With announcement. With style. Like everything with him.
A quiet departure – and clear words
In addition to his withdrawal announcement, Buffett also used the stage for clear words on US trade policy-and indirectly criticized President Donald Trump. “Trade should not be a weapon,” he said, without name. The wealthier other countries are, the more wealthier the United States would.
A balanced trade is good for the world. The idea that some countries could look forward to a “victory” in world trade rejected: “I don’t think it is a good idea to create a world in which a few countries say: Ha ha ha, we won.”
Significant words also followed the international role of the United States: “It would be a big mistake if 7.5 billion people don’t like you and 300 million boast of how well they are doing,” warned Buffett. It was an appeal for more cooperation – and common sense in an increasingly nationalist world policy. This is a very sensible addition – it brings topicality and underlines Buffett’s focus on operational business and liquidity management.
5.5 million percent – that’s not a typo
Since Buffett took control of Berkshire in 1965, he has created a stock exchange miracle from a dilapidated textile operation. The A-share increased to fabulous 5,500,000 percent. These are not fantasy numbers – that is Stock exchange history. Anyone who invested $ 1,000 at the time has over 55 million today. Otherwise such returns only write the Wall Street fairy tale book.
And even in the annual point of view that was anything but an investor’s dream, the B-share lay Around 33 percent to. In an environment full of interest rate and recession concerns. Berkshire – the bulwark of the stock exchange.
A company like out of time – and that’s why it is modern
What makes Berkshire so special? No hip vision, no PowerPoint battles, no gaming with money. Buffett has principles. And he lives:
- Rule No. 1: Do not lose any money.
- Rule No. 2: Never forget the number 1.
He only invests in business models that he understands. No blockchain games, no AI hype. Dear Coca-Cola, American Express and Apple. Old School? Perhaps. But it has substance.
In addition, a decentralized leadership style that does not fit the current microbilagement mode. Buffett’s managers act like entrepreneurs – with freedom, responsibility and their own shares in the company. “Skin in the game”, as the capitalist kaudersch says.
$ 348 billion on the high edge
Berkshire sits on a cash mountain from 348 billion dollars – A treasure, almost as big as the gross domestic product of Denmark. Why? Because Buffett prefers to wait instead of buying overpriced. “You don’t have to beat every pitch,” he says. A sentence that says more about risk management than any Harvard case. For successors Greg Abel, this is a start with a tailwind – but also with a huge pressure to expect. Because now it turns out whether Berkshire really works without a buffet.
Strong cash register, weaker profit – quarterly figures in focus
The current quarterly figures were also presented in Omaha – and they were tough: the business profit of Berkshire Hathaway fell $ 14 percent in the first quarter to $ 9.64 billion. The reason for this were, among other things, high insurance damage from the violent fires in California. The decline in net profit was even clearer: minus 64 percent to just $ 4.6 billion. The main responsibility for this were not realized losses in the stock portfolio – including Apple.
But Buffett would not be buffet if he could get himself disturbed. The real treasure remains the cash stock: it increased again-from $ 334.2 billion to $ 347.7 billion at the end of the year. Flexibility remains the trump card.
Buffett’s view of the numbers
Buffett does not surprise that the net profit fluctuated so strongly – and doesn’t worry him either. According to the US accounting obligation, the value also contains not realized price gains and losses from the gigantic stock portfolio. These numbers are not very meaningful for Buffett.
Rather, the decisive factor is the profit – that is what Berkshire earns with insurance, railways, energy and industrial companies. “We look at what we can control,” said Buffetts Credo.
Lessons for investors: What we can learn from Buffett
Buffett’s investment style is a counter -design to the hectic present – and precisely therefore a role model:
- Capital preservation comes first. Avoiding losses is more important than maximizing profits.
- Patience is a success factor. Buffett only strikes if the evaluation is right.
- Understand before you invest. No stories, no dreams – only business models with substance.
- Cash is not laziness, but flexibility. Liquidity is a strategic weapon.
- Long -term nature pays off. Buffett does not think in quarters, but in decades.
5 paths, via ETF and funds to benefit from the buffet pattern
Who this Buffett principle Not only wants to admire, but also wants to get it into your own custody has several options-not only about the direct purchase of Berkshire shares, but also about funds and ETFs in which Buffett is prominently represented:
- SPDR US Financials Select Sector ETF (ISIN: IE00BWBXM500)
This ETF depicts the US financial sector- Berkshire is the largest position with around 12.85 percent. The fund physically replicates the S&P Financials Selector Daily Capped 35/20 Index, costs slim 0.15 percent PAthesaur the yields and has a volume of around 697 million euros. Buffett plus banking bundle – from JPmorgan to Visa. - Acatis Value Event Fund (ISIN: DE000A0x7541)
An active fund that breathes Buffett’s spirit: Value Investing meets special situations. It invests in cheap quality companies – and uses events such as mergers or turnarounds. Berkshire is with 6.3 percent Among the top positions. Goal: Reduce volatility, take opportunities. - Investco S&P 500 QVM UCITS ETF (ISIN: IE00BDZCKK11)
Multifactor meets Buffett-DNA. The ETF combined Quality, value and momentum – Three approaches that Buffett appreciates. Berkshire is with Around 5.9 percent represented prominently. The ETF physically depicts the S&P 500 QVM index, pours out the quarterly and demands 0.35 percent fees. A structured alternative to the classic S&P 500. - L&G Global Brands Ucits ETF (ISIN: IE0007HKA9K1)
Anyone who relies on the most valuable brands in the world is in the sense of Buffetts: Because strong brands mean the power of pricing, loyalty to the customer – and usually also stable profits. This is exactly what this ETF focuses on, which invests in companies with a particularly high brand strength worldwide. Berkshire Hathaway is prominently represented here with a share of 5.1 percent – in addition to giants like Apple, Meta, Amazon and Microsoft. With 81 titlesa strong one USA focus (about 79 percent)one Ter of 0.39 percent PA and reinforcing use of income, the fund is particularly suitable for long -term investors who understand brand strength as an investment factor. - IMGP US Value Fund (ISIN: LU0821216339)
This actively managed fund is a prime example of applied value investing – and thus a clear commitment to Warren Buffett’s investment philosophy. The IMGP US Value Fundmanaged by Sharply investmentsrelies on undervalued US shares with solid business model, stable yields and clear long-term potential. Berkshire Hathaway is with Around 6.3 percent One of the largest positions in the portfolio. Fund management follows one Fundamental, bottom-up-oriented approach and attaches particular importance Predictability, risk control and evaluation. Investments are only made where the key figures are right – with increasing profits, cash flows or book values.
Greg Abel takes over – and has big footsteps
Buffett named Abel as a successor in 2021. The Canadian, responsible for the non-insurance business, is not a loudspeaker, but a quiet handlebar-with Buffett-DNA. Not a Twitter king, not a visionary with PowerPoint-but someone who knows the Berkshire system, and is supposed to develop it.
Buffett himself remains a shareholder and advisor – but he handed over the helm. Like a patriarch who knows that his work should live on. Not as a monument – but as a system.
The big picture: a legacy for generations
What remains? A company with a clear compass. An investment culture that defies every fashion. And a man who has shown: patience, discipline and principal loyalty pay off – even on the most hectic stock exchange in the world.
Warren Buffett goes. But his legacy remains. And that may be his biggest deal: not the entry at Apple or Bank of America. But the fact that he built a system that works without it.
A resignation with style. A legacy with a billion dollar power. And a memorial for investors worldwide: success is not a sprint – but a life of clever decisions.
Buffett style-without a glass ball.
Disclaimer:
No investment advice. No call to buy or sell securities.