How is Berkshire Hathaway Owned? A Step-by-Step Guide to Understanding the Ownership Structure
Have you ever wondered who truly owns one of the world's most powerful and successful companies, Berkshire Hathaway? It's a question many investors and business enthusiasts ask, and the answer is more complex and fascinating than you might think. It's not just one person, but a diverse group of shareholders, with a truly legendary figure at the helm. Let's break down the ownership structure of this financial giant, step by step.
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| How Owns Berkshire Hathaway |
Step 1: The Public Company, The Shareholders
First and foremost, it’s crucial to understand that Berkshire Hathaway is a publicly traded company. This means it is owned by its shareholders, who hold pieces of the company in the form of shares of stock. So, if you were to buy a single share of Berkshire Hathaway, you would become a part-owner, a true shareholder in the company.
But it's not as simple as buying a share from your broker. Berkshire Hathaway has a unique and famous ownership structure that differentiates it from many other corporations.
Let's dive into the two distinct classes of shares that make this structure so interesting:
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Class A Shares (BRK.A): These are the original, and famously expensive, shares. They have never undergone a stock split, a deliberate decision by Warren Buffett to attract long-term investors. As of June 2025, a single Class A share trades for hundreds of thousands of dollars, making them inaccessible to the average retail investor. However, each Class A share carries significant voting rights, giving its holder a powerful voice in the company's decisions. The price reflects not just the company's value, but also Buffett's philosophy of attracting shareholders who are aligned with his long-term investment vision.
Class B Shares (BRK.B): Recognizing the need for accessibility, Berkshire Hathaway introduced Class B shares in 1996. These are far more affordable, trading at a fraction of the price of Class A shares. While they represent a much smaller economic interest and have significantly less voting power (1/10,000th of a Class A share's voting rights), they allow individual investors to participate in the company's growth and own a piece of the "Oracle of Omaha's" empire.
So, who owns these shares?
The ownership is a mix of individual and institutional investors. You, as a retail investor, can own Class B shares. The world's largest investment firms, pension funds, and other institutions own a significant portion of both Class A and Class B shares.
Step 2: The Largest Individual Shareholder - Warren Buffett
This is the key to understanding Berkshire Hathaway's ownership. While the company is publicly owned, one man holds an incredibly dominant position: Warren Buffett.
As of June 2025, Warren Buffett is the largest individual shareholder by a massive margin. He owns a substantial number of Class A shares, which, due to their superior voting rights, give him a disproportionately large voting power. In essence, he controls the company. This is why when people say "Warren Buffett's company," they are not far from the truth. His ownership and control are what have shaped the company's unique culture, investment philosophy, and incredible success over decades.
He has repeatedly stated his intention to hold onto his shares, and even upon his eventual retirement, he plans to keep his ownership. His commitment to the company is unwavering, and his shares are a testament to his belief in Berkshire's future, even after he steps down as CEO.
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Step 3: The Role of Institutional Investors
Beyond Warren Buffett, a significant portion of Berkshire Hathaway is owned by institutional investors. These are large organizations that manage money on behalf of others, such as:
Vanguard Group: A massive asset management firm that holds a significant stake in Berkshire Hathaway through its index funds and ETFs.
BlackRock: Another titan in the asset management world, BlackRock holds a substantial number of shares across its various investment products.
State Street Corporation: A major financial services company that also holds a large position in Berkshire Hathaway.
These institutional investors primarily hold Class B shares and represent millions of individual investors who own shares in their funds. Their ownership is a reflection of Berkshire Hathaway's inclusion in major stock market indices like the S&P 500, which these funds track.
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Step 4: The Impact of Key Insiders and Charitable Foundations
It's also important to consider other "insiders" and charitable foundations.
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Other Insiders: While no one comes close to Buffett's stake, other key executives and board members, such as his children, also hold shares, aligning their interests with the company's long-term success.
Charitable Foundations: A significant portion of Warren Buffett's wealth is earmarked for charitable giving. He has donated billions of dollars' worth of his Berkshire Hathaway shares to various foundations, most notably the Bill & Melinda Gates Foundation Trust. While these foundations hold a large number of shares, their voting power is managed in a way that doesn't disrupt the company's governance.
In essence, the ownership of Berkshire Hathaway can be described as a tiered structure:
Warren Buffett at the top, with his controlling stake in the high-voting Class A shares.
A large base of institutional investors, holding a significant chunk of the more accessible Class B shares.
Millions of individual retail investors, who own a piece of the company through Class B shares or indirectly through investment funds.
This structure has allowed Berkshire Hathaway to maintain its long-term, value-oriented approach to business and investment, all under the guidance of its legendary leader. Even with the succession plan in place, with Greg Abel designated to take over as CEO, Buffett's ownership ensures his philosophy will continue to influence the company for the foreseeable future.
10 FAQs about Berkshire Hathaway Ownership
How to acquire Class A shares of Berkshire Hathaway? To acquire Class A shares (BRK.A), you need a brokerage account and a significant amount of capital, as a single share's price is currently in the hundreds of thousands of dollars. You can purchase them through your brokerage, but most retail investors opt for the more affordable Class B shares.
How to buy Class B shares of Berkshire Hathaway? You can easily buy Class B shares (BRK.B) through any standard brokerage account. Due to their much lower price, they are accessible to almost any investor. You can simply search for the ticker symbol BRK.B and place an order to buy them just like any other stock.
How to determine my voting rights as a Berkshire Hathaway shareholder? Your voting rights depend on the class of shares you own. If you own Class A shares, you have one vote per share. If you own Class B shares, you have 1/10,000th of the voting power of a Class A share. This means a single Class B share has very little voting power, and you would need a massive number of them to have any significant influence.
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How to know who the top institutional shareholders are? You can find information on the top institutional shareholders by checking financial data websites like Nasdaq, TipRanks, or Fintel, which track major holdings based on regulatory filings (13F filings). These lists are updated quarterly and will show you which firms hold the largest stakes.
How to understand the role of Warren Buffett's shares after he retires? Warren Buffett has stated that he will not sell his shares upon retirement. Instead, they will be gradually donated to charitable foundations. While this reduces his personal ownership, it ensures a large block of shares remains with entities committed to his philanthropic vision, and his son Howard G. Buffett is expected to become the non-executive chairman to protect the company's culture.
How to attend the Berkshire Hathaway annual meeting? The annual shareholders' meeting, often called "Woodstock for Capitalists," is open to all shareholders. If you own even a single share of BRK.A or BRK.B, you are eligible to attend. You will need to show proof of ownership to get a pass.
How to know if my mutual fund or ETF owns Berkshire Hathaway? You can check the fund's prospectus or its holdings report on the fund company's website. If the fund tracks a major index like the S&P 500, it is highly likely to hold Berkshire Hathaway shares, as it is a major component of the index.
How to find out if the company has recently repurchased its own shares? Information on share repurchases is disclosed in the company's quarterly and annual financial reports (10-Q and 10-K filings) and in Warren Buffett's annual letter to shareholders. These are publicly available on the Berkshire Hathaway investor relations website and the SEC's EDGAR database.
How to become a member of the board of directors? To become a board member, you typically need to be nominated and then elected by shareholders at the annual meeting. With Warren Buffett's significant voting power, his nominations are almost always approved.
How to sell a single Class A share if I only need a portion of the value? You cannot sell a fraction of a Class A share. However, a Class A share can be converted into 1,500 Class B shares. You could convert your Class A share into Class B shares and then sell the number of Class B shares you need, retaining the rest.
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