Holding cash and waiting for a crash! Buffett warns: Financial system vulnerability is increasing

On Tuesday, March 31 local time, 95-year-old “the Oracle of Omaha” Warren Buffett appeared on CNBC’s Squawk Box—his first major public appearance since stepping down as CEO earlier this year. He shared his views on a range of topics, including the current market, investment decisions, and the financial system.

Below is a summary of the key takeaways:

If the market sees a major drop, he will use cash

Buffett said that if the market experiences a sharp decline, Berkshire will deploy cash.

In an interview with CNBC, Buffett said that the stock market’s valuations still do not look attractive, and after the market declined this year, Berkshire Hathaway did not find many things it could buy in the market.

Buffett downplayed recent market volatility, saying the current environment is far from the periods in the past that created major buying opportunities: “Since I took over, the market has fallen by more than 50% at least three times. Nothing about what’s happening now is worth being excited about.”

Made $100 billion investing in Apple—but sold too early

Warren Buffett said he sold his Apple stock too early, and he would still be willing to add to his position in the future, just not buy in the current market environment.

“I sold too early. But I bought it earlier—so that’s that.” Buffett said in an interview on Tuesday.

According to Insider Score, a financial data analytics firm, even though Berkshire Hathaway reduced its Apple holding to $61.96 billion at the end of last year, Apple is still Berkshire’s largest concentrated stock. Buffett said Berkshire has generated more than $100 billion in cumulative pre-tax gains on this investment.

Buffett said that if Apple’s share price were cheaper, he would continue to increase his stake. He said that although Apple’s stock has fallen more than 14% from its recent high and the drop this month is more than 6%, its appeal is still not enough.

Teaming up with Curry to restart the “charity lunch”

Warren Buffett is restarting the auction of his famous charitable lunches—this time with a high-profile new element added.

The 95-year-old chairman of Berkshire Hathaway will co-host a brand-new charitable auction event with four-time NBA champion and two-time regular-season MVP Stephen Curry, along with the writer and lifestyle entrepreneur Ayesha Curry, combining legendary influence in investing with star power.

In a statement, Buffett said: “For years, I have seen firsthand how business leaders and nonprofit organizations with an innovative spirit can come together to create real change. I have always strongly believed in supporting organizations that are making a tangible difference. This event is intended to bring together, once again, in a brand-new way, the people I admire, to support work that is truly extraordinary. I feel very honored to be able to work with Stephen and Ayesha to help launch a new project supporting these communities.”

The online bidding for the lunch will open on eBay at 7:30 p.m. Pacific Time on May 7 and run through 7:30 p.m. on May 14. Proceeds from the auction will be donated to the Glide Foundation and the “Eat. Learn. Play.” foundation, which was founded by the Curry family.

Warning: rising fragility in the financial system

Buffett warned that as ties between the banking system and non-bank institutions have grown tighter, he has started to see signs of fragility within the financial system.

He said that the stability of the financial system should be the Fed’s top priority, pointing out that banks such as JPMorgan Chase are key hubs for the economy, processing trillions of dollars in funds flow every day.

“They affect each other. If one has a problem, it could spread to other institutions.” Buffett said in an interview with CNBC on Tuesday.

After a series of blow-ups in the recent credit markets raised concerns about risks in banks’ and private credit funds’ balance sheets, investor sentiment has been hit. Buffett said that once market panic spreads, many investors could quickly pull out.

No more contact with Gates after the Epstein files came out

Buffett said that after all the documents related to Jeffrey Epstein were fully released, he had not spoken with Microsoft founder Bill Gates again.

He added: “I think after things get clarified, too much communication is meaningless. I don’t want to put myself in a position where I have inside information… in case I’m called to testify.”

When asked whether he is still friends with Gates, Buffett offered a warm assessment of their personal relationship—one in which they, together with Gates’s ex-wife Melinda Gates, previously launched The Giving Pledge, aimed at encouraging the world’s richest people to commit to using most of their wealth for charitable causes.

On the notorious sex offender Epstein, Buffett said: “I’m shocked that someone could make a con man’s business so successful. Men like lust… and some of them want to avoid taxes—he precisely targeted those people’s weaknesses. That man is absolutely the number one con artist in history. He has a way of playing everyone.”

He said Gates could have invited him to meet Epstein in New York, but fortunately he didn’t. “I guess I have to thank him for not pulling me into it,” Buffett said.

Still working every day at 95

Earlier this year, Buffett stepped down as CEO of Berkshire Hathaway, ending a 60-year run operating the group.

Even after stepping down as Berkshire Hathaway CEO, the 95-year-old Buffett remains deeply involved in investment decisions.

He said he still goes to the office every day, keeps a close watch on the market, and his daily routine includes calling Mark Millard, Berkshire’s head of financial assets, before the market opens to discuss market developments.

Millard will execute trades based on these discussions, showing that although Buffett handed over the CEO role to Abel in early 2026, he still remains personally involved.

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