Berkshire's New Boss Bets Big on Japan

Greg Abel allocates $46 billion of Berkshire's portfolio to Japanese trading houses and insurers.

Apr. 9, 2026 at 9:06am

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A minimalist, high-contrast studio photograph featuring a carefully arranged composition of premium business objects like a Japanese yen note, a Berkshire Hathaway stock certificate, and a model of a Japanese trading house, all set against a clean, monochromatic background to symbolize Berkshire's strategic shift towards international investment opportunities.Berkshire Hathaway's new CEO bets big on Japan's undervalued corporate giants to drive future growth.Omaha Today

After taking over as Berkshire Hathaway's CEO from Warren Buffett, Greg Abel has made a major investment move by allocating around $46 billion of Berkshire's $316 billion portfolio to Japanese companies. Abel sees value in Japan's trading houses, known as 'sogo shosha', as well as insurer Tokio Marine, citing their shareholder-friendly capital return programs, modest executive compensation, and attractive valuations compared to the overheated U.S. market.

Why it matters

Abel's big bet on Japan represents a significant shift from Buffett's long-standing focus on the U.S. market. This move signals Abel's intention to maintain Berkshire's value-investing approach while also seeking opportunities overseas, particularly in Japan where certain companies exhibit the traits that Buffett and Abel find most appealing for long-term investments.

The details

Since the summer of 2019, Berkshire has been building up stakes in Japan's five largest trading houses - Mitsubishi, Mitsui, Itochu, Marubeni, and Sumitomo. Additionally, in March 2026, Berkshire's National Indemnity subsidiary took a $1.8 billion position in Japanese insurer Tokio Marine. In total, Abel has allocated approximately $46 billion, or 15% of Berkshire's $316 billion investment portfolio, to these Japanese companies.

  • In the summer of 2019, Buffett and Abel began building up Berkshire's stakes in Japan's five major trading houses.
  • In March 2026, Berkshire's National Indemnity took a $1.8 billion position in Japanese insurer Tokio Marine.

The players

Warren Buffett

The 95-year-old billionaire who recently retired as Berkshire Hathaway's CEO after a legendary career, though he remains the company's chairman.

Greg Abel

Buffett's successor as Berkshire Hathaway's CEO, who has continued the company's value-investing approach while also seeking opportunities overseas, particularly in Japan.

Mitsubishi

One of the five major Japanese trading houses, or 'sogo shosha', in which Berkshire has built up a significant stake.

Mitsui

Another of the five major Japanese trading houses in which Berkshire has invested.

Tokio Marine

A Japanese insurance company in which Berkshire's National Indemnity subsidiary has taken a $1.8 billion position.

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What’s next

Investors will be closely watching to see if Abel's big bet on Japan pays off in the coming years, as he seeks to maintain Berkshire's strong track record of investment returns under Buffett's leadership.

The takeaway

Greg Abel's decision to allocate a significant portion of Berkshire's portfolio to Japanese companies reflects his confidence in finding value overseas, even as the U.S. market remains at historically high valuations. This move signals a shift in Berkshire's investment strategy under Abel's leadership, as he aims to build on the company's success while also exploring new opportunities beyond Buffett's traditional focus on the American market.