Berkshire Hathaway has named Howard Buffett as chair, succeeding his father Warren Buffett, who will become chair emeritus at age 96. The move completes a leadership transition that began in January when Greg Abel became chief executive. Howard, 71, a board director since 1993 and the second of Warren's three children, will "guard its culture and values" while Abel runs operations. Warren, who built Berkshire from a struggling textile mill into a $1.1tn conglomerate since 1965, wrote to shareholders: "Father Time always wins." He will remain on the board, providing "valued judgment and perspective."

The succession plan, long anticipated, was praised by investors. Christopher Rossbach of J Stern & Co called it a "significant moment" with the transition now complete. Kevin Chen of Horizon Financial noted Warren always wanted a family member to preserve culture. Howard manages a charitable foundation and farms in Nebraska and Illinois, and previously served as a county sheriff.

Since Abel took over, Berkshire shares have risen 2 per cent, trailing the S&P 500's 11 per cent gain. Abel has deployed part of the $365bn cash pile, including $10bn in Alphabet shares and an $8.5bn acquisition of Taylor Morrison. Analysts say Warren's letter clarifies Abel's full authority, ending speculation about his reliance on his predecessor.