Warren Buffett makes his move, the first big bet of 2025
Warren Buffett makes his move: the first big bet of 2025
Warren Buffett has finally made his move. After months of waiting, with Berkshire Hathaway’s cash reserves reaching record levels, the legendary investor has decided to take action.
Once again, his focus is on Japan. Buffett has long shown a particular interest in the country’s major trading houses, and now he has decided to double down. Official filings from Japan’s Ministry of Finance reveal that Berkshire Hathaway has increased its stakes in five of the sector’s giants: Mitsubishi, Marubeni, Mitsui & Co., Itochu, and Sumitomo. The increase is substantial, bringing his holdings ever closer to the 10% threshold—a limit that Buffett had initially set for himself.
This move is not entirely unexpected. Back in October, Berkshire raised nearly two billion dollars through a multi-tranche bond sale, a move that already suggested something significant was in the works. Now, with the official confirmation, the picture is complete. Buffett, with his usual prudence, waited for the right moment before strengthening his position in the Japanese market.
The question is: why Japan? The answer lies in the choices he has made over the years.
The companies in which he has invested have demonstrated solid financial management, generous dividend policies, and well-structured buyback strategies. But it’s not just about numbers. Buffett appreciates the way these companies handle capital, with a long-term vision that perfectly aligns with Berkshire’s philosophy.
Meanwhile, Berkshire’s cash reserves continue to soar. By the end of 2024, available cash had surpassed $334 billion, an all-time record. Investors had been expecting a move from Buffett—he is not one to let money sit idle for too long.
Now the question is whether this is just the first step in a year that could bring more surprises. With such a vast amount of liquidity still at his disposal, it’s hard to imagine that Buffett will stop here. The market has started 2025 with a clear signal: the Oracle of Omaha is back to doing what he does best.