Warren Buffett is growing more and more confident in the investment team that he has assembled, as shown by his decision to increase the allocation of funds to $4 billion each for Todd Combs and Ted Weschler. I believe Buffett is absolutely sincere in his praise for these managers, and I believe that by publicly showing his support he is allowing them to grow their reputations for the sake of removing concerns about succession. Buffett is far too intelligent to not plan adequately for the future of Berkshire Hathaway (BRK/A, BRK/B) beyond his time and this is just another reflection of that. It will be interesting to see if any of the investment managers takes a larger leadership role particularly in whole company acquisitions or if those decisions will only be made by the new operating manager who will succeed Buffett. My bet is that Ajit Jain will be the operating manager as I believe that he is the one Buffett has the most confidence in, but a couple of years ago I would have guessed David Sokol so who knows.
Disclosure: I am long BRK.B.