Charlie Munger, the esteemed vice chairman of Berkshire Hathaway and Warren Buffett’s long-standing right-hand man, passed away on Tuesday morning at a hospital in California. Munger, who was 99 years old and on the brink of his 100th birthday on January 1st, died in a peaceful manner, according to an announcement from Berkshire. The cause of his death was not disclosed.
Warren Buffett, the chairman and CEO of Berkshire Hathaway, highlighted Munger’s critical role in the company’s development. In a statement, Buffett acknowledged that Munger’s guidance, wisdom, and active involvement were indispensable in building Berkshire Hathaway to its current stature.
Since 1978, Munger had served as the vice chairman of Berkshire, collaborating closely with Buffett in managing the conglomerate’s capital allocations and often providing candid feedback on Buffett’s decisions. His passing is seen as a significant loss by many in the investment community.
Thomas Russo, a partner at Gardner Russo & Quinn and a longstanding Berkshire shareholder, expressed his shock at Munger’s death, noting the substantial void it will leave for investors who have long been influenced by Munger’s insights and perspectives.
Despite Munger’s passing, Berkshire Hathaway’s operations are not expected to undergo significant changes. The conglomerate has two other vice chairmen, Greg Abel and Ajit Jain, who are responsible for the day-to-day management of its numerous businesses. Abel is anticipated to take over as CEO following Buffett’s eventual departure.
Russo commented that while Berkshire’s operational structure might not see major alterations, the absence of Munger’s intellectual contributions could make the company a little less dynamic. Munger’s presence and shared ideas with Buffett have long been a hallmark of Berkshire’s success and appeal.
