So it turns out even legends don't always go out on top. Warren Buffett officially stepped down as CEO of Berkshire Hathaway Inc. (BRK.B) after decades of leading one of the most successful investment conglomerates in history. And while his final year at the helm wasn't exactly a disaster, it wasn't the triumphant send-off you might have hoped for either.

The 2025 Scorecard

The SPDR S&P 500 ETF Trust (SPY), which tracks the broader market index, had a stellar 2025. It set multiple records throughout the year and finished near all-time highs, hitting peak levels during the week of Christmas. Not a bad year to be a passive index investor.

Meanwhile, Berkshire Hathaway (BRK.B) posted a respectable 11.5% gain for the year. That's solid performance by most standards, but it lagged the S&P 500's 16.6% return. After years of beating the market, Buffett's final year as CEO came up short.

The Long View: 25 Years of Buffett vs. The Market

Here's where things get more interesting. One down year doesn't define a career, especially one as storied as Buffett's. Looking at the full 25-year picture using data from Macrotrends, the competition between Berkshire and the S&P 500 has been remarkably tight.

What The Numbers Really Tell Us

After winning three of the previous four years against the S&P 500, Buffett's 2025 stumble makes the overall scorecard surprisingly close. Over the full 25-year period, Berkshire outperformed the index in 13 years while the S&P 500 took the crown in 12. That's about as evenly matched as it gets.

Some other interesting observations from the data: The S&P 500's last down year was 2022, when it dropped 17.5%. Berkshire's last losing year came earlier, in 2015, with a 12.1% decline. So while the market has been more volatile recently, Berkshire has been more consistently positive.

The best year for SPY was 2013, when it gained 32.3%. Remarkably, Berkshire nearly matched that performance in the same year with a 32.2% return. Talk about a photo finish.

Even in the worst of times, Buffett's defensive positioning paid off. During the 2008 financial crisis, SPY plummeted 36.8% while Berkshire fell 32.1%. Still painful, but relatively less so.

Perhaps the most telling metric: When you average the annual returns over the full 25 years, Berkshire edges out the S&P 500 with an 11.1% average return compared to 10.3%. That extra 0.8 percentage points compounded over decades? That's real money.

What Comes Next

Greg Abel now takes the reins as Berkshire's new CEO, and investors are understandably curious about what changes might be coming. Berkshire already surprised some observers in 2025 by picking up new positions in UnitedHealth Group (UNH) and Alphabet Inc. (GOOGL). The big question now is whether these were Buffett's final moves or the first hints of Abel's investment philosophy.

Will Abel add to these positions or take profits and move on? That's what everyone will be watching as the new era of Berkshire Hathaway begins. The Oracle of Omaha set a high bar with his performance across multiple metrics over the past quarter century. Abel has big shoes to fill, but at least he's starting with a proven playbook and a fortress balance sheet.