Kuala Lumpur – At Berkshire Hathaway’s 2026 annual meeting, the first under new CEO Greg Abel, Warren Buffett issued a strong warning that today’s investment environment is far from ideal, describing the current financial markets as being in the highest state of gambling fever he has ever seen.
Buffett, now serving as Chairman, addressed the crowd at the CHI Health Center in Omaha. He compared the market to “a church with a casino attached to it,” noting that many investors are now more interested in short-term gambling such as one-day options and prediction markets rather than traditional value investing.
“We have never seen people in a greater gambling mood than they are now,” Buffett said.
He also revealed that Berkshire Hathaway is not in an ideal investment environment to deploy its massive cash pile. The company recorded a record $400 billion (approx. RM1.7 trillion) in cash after selling more shares than it bought in the first quarter of 2026.
Greg Abel Leads for the First Time In his debut as CEO, Abel emphasized Berkshire’s cautious approach toward Artificial Intelligence (AI). “We are not going to do AI just for the sake of AI,” he said, adding that the company is developing practical AI solutions to improve its railroad and other businesses.
Abel also confirmed that Berkshire has no plans to break up or sell off its subsidiaries and will continue operating as an efficient conglomerate without unnecessary layers of management.
Key Highlights:
- Ajit Jain, Vice Chairman of Insurance Operations, said Berkshire is willing to provide insurance for ships in the Strait of Hormuz — “depending on the price.”
- The meeting paid a special tribute to Buffett by hanging his No. 60 jersey from the ceiling — the highest honor similar to retired athletes.
- Buffett praised Greg Abel as a “100% successful” choice for CEO and commended Tim Cook for his outstanding management of Apple.
Berkshire’s operating earnings jumped 18% in the first quarter, largely driven by its insurance businesses. However, Berkshire shares have lagged behind the broader market since the leadership transition.
Known as the “Woodstock for Capitalists,” this year’s meeting marks a new era for Berkshire following Buffett’s handover of the CEO role earlier in 2026. Global investors will continue to watch closely for further developments.
