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Warren Buffett Shows How Patience Pays: 98% Of His $160 Billion Wealth Came After Turning 65, Thanks The Power Of 'Compound Interest'

Benzinga·05/14/2025 08:18:48
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According to the recent data shared by Creative Planning, Inc., the ‘Oracle of Omaha,’ Warren Buffett earned 98% of his current net worth after turning 65 years old.

What Happened: The 94-year-old veteran investor Buffett has a net worth of $160 billion according to Bloomberg’s Billionaire Index.

Peter Mallouk, the president and CEO of Creative Planning, shared data showcasing that the ace investor’s net worth stood at $3 billion nearly 34 years ago, when he was just 65.

His wealth has compounded by nearly 5,233% since then to $160 billion as of May 14. This shows that he earned 98% of his wealth after the age of 65.

Mallouk also quoted Buffett, highlighting that the growth in his wealth was possible through the power of compounding.

“My life has been a product of compound interest,” Buffett once said.

See Also: Kevin O’Leary Lauds Robinhood’s Acquisition Of WonderFi Will ‘Transform Cross-Border Trading:’ ‘No More Outrageous Bank Fees’

Why It Matters: Buffett holds his investments via the holding company, Berkshire Hathaway Inc. (NYSE:BRK) (NYSE:BRK), which is headquartered in Omaha, Nebraska.

Known to be one of the best portfolio managers of all time, Buffett, via Berkshire, holds major investments in Apple Inc. (NASDAQ:AAPL), American Express Co. (NYSE:AXP), Bank of America Corp. (NYSE:BAC), and Coca-Cola Co. (NYSE:KO).

BRK has returned 13.47% this year so far, while SPY is up 0.13%. This, as Berkshire is sitting on a cashpile worth $348 billion as of the first quarter of 2025.

Price Action: As of Tuesday, BRK closed -0.47% lower at $511.88 apiece. The SPDR S&P 500 ETF Trust (NYSE:SPY) and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 index and Nasdaq 100 index, respectively, ended on a positive note on Tuesday. The SPY was up 0.66% to $586.84, while the QQQ advanced 1.52% to $515.59, according to Benzinga Pro data.

On Wednesday, the futures of the S&P 500, Dow Jones, and Nasdaq 100 indices were trading slightly above the flatline.

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