"As Warren Buffett prepares to hand over leadership of Berkshire Hathaway ( )( ) to Greg Abel by year's end, his strategy remains focused on resilience amid market uncertainty. Even in his final months at the helm, Buffett has continued trimming major stakes in Apple ( NASDAQ:AAPL ) and Bank of America ( ), reducing exposure to high-valuation sectors. At the same time, he has made modest additions to positions in companies like Nucor ( ) and UnitedHealth Group ( ), signaling selective opportunism rather than broad buying."
"The bulk of Berkshire's cash hoard - approximately $314 billion - is invested in U.S. Treasury bills, short-term government debt instruments known for their safety and liquidity. This allocation has grown significantly in recent years, reflecting Buffett's preference for low-risk parking spots over overpriced equities. Remarkably, this amount now exceeds the Federal Reserve's own holdings of Treasury bills, which stand at about $195 billion as of mid-October, according to the central bank."
"Yet Buffett's largest "holding" by far is cash - totaling around $344 billion. This massive reserve underscores his patience, positioning Berkshire to capitalize on a potential market downturn . By staying liquid, he is ready to acquire quality assets at steep discounts during a crash, a tactic that's defined his career."
Warren Buffett is preparing to hand leadership of Berkshire Hathaway to Greg Abel by year-end while maintaining a resilience-focused strategy amid market uncertainty. Buffett has trimmed major stakes in Apple and Bank of America and made modest additions to Nucor and UnitedHealth Group, indicating selective opportunism. Berkshire holds approximately $344 billion in cash, with roughly $314 billion invested in U.S. Treasury bills for safety and liquidity. That Treasury-bill allocation now exceeds the Federal Reserve's holdings of about $195 billion. The cash position preserves capital and positions Berkshire to acquire high-quality assets at steep discounts during a market downturn.
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