Warren Buffett, the legendary investor and CEO of Berkshire Hathaway, has overtaken Microsoft co-founder Bill Gates in the Bloomberg Billionaires Index. Buffett’s net worth has surged by an astonishing $18.7 billion this year, reaching a total of $161 billion and placing him in sixth position on the list. This marks the first time Buffett has surpassed Gates in wealth rankings since Bloomberg launched its billionaire index in 2012.
Buffett’s Climb to the Top
Buffett’s impressive rise can be attributed to a strong performance in Berkshire Hathaway’s Class A shares, which have increased by 13% so far in 2025. In contrast, Gates’ net worth has been constrained by an 8% decline in Microsoft’s stock value, limiting his gains to just $1.3 billion this year.
While Buffett has often trailed Gates in the rankings, their fortunes have fluctuated over the years. For instance, during the market downturn in October 2022, Gates’ net worth dipped below $110 billion, while Buffett’s fell below $100 billion. Similarly, in the pandemic-driven crash of March 2020, Gates’ wealth dropped to $95 billion, while Buffett’s shrank to $65 billion.
Even as recently as March 2022, Gates maintained a slight lead over Buffett, with a net worth of $135 billion compared to Buffett’s $130 billion. However, the current rally in Berkshire Hathaway’s stock and Microsoft’s relative underperformance have helped Buffett pull ahead.
Investment Strategies and Market Trends
Buffett’s financial success is closely linked to his conservative investment philosophy. Amid economic uncertainty, including inflation fears and recession concerns driven by policies under the Trump administration, investors have been shifting away from riskier technology stocks in favor of more stable and value-driven assets. Berkshire Hathaway has benefited from this shift, as its diversified portfolio and strong cash reserves provide a hedge against market volatility.
In 2024, Berkshire Hathaway nearly doubled its cash and liquid assets to $334 billion, while selling a net $134 billion worth of stocks. The company also significantly reduced its share buyback activity, spending less than $3 billion on repurchases and halting them entirely in the second half of the year.
Buffett and Gates’ Philanthropic Legacies
Despite his recent financial gains, Buffett remains one of the most generous philanthropists in history. Since 2006, he has donated approximately 57% of his Berkshire shares—primarily to four of his family foundations and the Gates Foundation. If he had retained these shares, his net worth would now exceed $360 billion, making him the world’s richest person, surpassing Elon Musk’s estimated $320 billion.
Gates, alongside his former wife, Melinda French Gates, has also made significant philanthropic contributions, having donated nearly $60 billion to the Gates Foundation by 2023. Most of Gates’ wealth is now managed through Cascade Investment, a holding company he established using proceeds from Microsoft stock sales and dividends.
The Bigger Picture in Billionaire Rankings
While Buffett has climbed the rankings, Elon Musk continues to hold the top spot as the world’s richest person, with a net worth of approximately $320 billion, despite experiencing a staggering $112 billion decline this year. Jeff Bezos follows in second place, while Mark Zuckerberg is close behind in third, with an estimated $214 billion after a $7.2 billion increase this year.
Buffett’s resurgence highlights the enduring power of value investing and the shifting dynamics of wealth in an evolving economic landscape. As markets continue to react to policy changes and economic uncertainty, the rankings of the world’s richest individuals may see further reshuffling in the months ahead.
For more updates on global markets, finance, and investment strategies, stay tuned to IX Broker’s news section.
