Warren Buffett has a tip for you – The oracle of Omaha is the only one who hasn’t lost money on the tariff crisis thanks to this strategy

While other billionaires took big hits, Buffett stayed ahead by doing something smart before the market shifted

Modified on:
April 8, 2025 6:45 pm

When the economy takes a hit, most investors panic or lose big. But Warren Buffett? He plays it differently. In a year when tariffs, inflation, and interest rates have rattled the market, Buffett’s net worth actually rose by $11.5 billion. Let us talk about the simple move he made that helped him dodge the losses everyone else is feeling.

What is Warren Buffett doing differently in 2025?

While many top investors saw their fortunes shrink, Buffett’s wealth climbed to $154 billion. That makes him the only one among the top 10 billionaires whose net worth has gone up this year.

So, how did he do it?

  • He sold a large number of Apple shares before the price dropped in 2025
  • He built up cash reserves instead of holding onto risky assets
  • He avoided the trap of emotional investing

These smart decisions helped him sidestep the heavy losses caused by trade tensions and rising costs.

Why did Buffett sell Apple stock?

Buffett has long been known for holding Apple stock. But in 2024, he began selling off a big portion of it. At the time, many people questioned this move. But in 2025, Apple shares dropped sharply—down nearly 5% due to the impact of tariffs and trade tensions caused by President Donald Trump’s policies.

By acting early, Buffett avoided those losses. It was not a guess—it was preparation. Buffett once said, “Be fearful when others are greedy, and greedy when others are fearful.” That is exactly what he did.

How much cash is Buffett holding now?

One of the reasons Buffett stayed strong while others fell behind is because he has been building large cash reserves. Holding cash gives you options. It means you can buy when prices are low and you are not forced to sell when the market dips.

This is something everyday investors like you can learn from too:

  • Do not put all your money into stocks that feel too risky
  • Always keep some savings aside for unexpected turns
  • Be patient and wait for good opportunities

Who else is winning during the tariff crisis?

Buffett is not the only one doing well, but he stands out. While people like Elon Musk have seen their net worth drop by over $135 billion, Buffett is growing stronger. A few others, like TikTok’s Zhang Yiming and trader Jeff Yass, also saw gains—but not for the same reasons.

Buffett’s success is not luck. It is discipline.

Is it a good time to buy Berkshire Hathaway stock?

Right now, analysts rate Berkshire Hathaway (BRK.B) as a “Moderate Buy”, with a potential 5.94% upside. While that does not guarantee big short-term gains, it shows confidence in Buffett’s long-term strategy.

If you are thinking about investing like Buffett, here is what you can take away:

  • Think long term
  • Keep some cash on hand
  • Stay calm when the market shakes

You do not have to be a billionaire to follow this advice—it works no matter your income.

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Enobong Demas
Enobong Demashttps://polifinus.com/author/e-demas/
I write on social welfare programs and initiatives for the United States, focusing on how these programs impact the lives of everyday Americans. My background in environmental sciences allows me to approach these topics with a unique analytical lens to provide my readers with a clear and well-rounded insight, eliminating the complexities often common with these topics.

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