Omaha, NE – Berkshire Hathaway, led by Warren Buffett, reported a record cash and Treasury bill holding of approximately $344 billion by the end of June 2025, a figure that reached $347.7 billion in the first quarter of the year. This substantial cash reserve comes as the Nasdaq 100 (QQQ) continues its upward trajectory, gaining around 11% year-to-date and frequently hitting new record highs, primarily fueled by advancements in artificial intelligence and robust technology sector growth.
The conglomerate's accumulating cash has sparked discussion among investors, particularly given Buffett's long-standing investment philosophy. As noted by entrepreneur Martin Varsavsky, Buffett famously stated, > "It’s not about timing the market, but TIME IN the market." Varsavsky highlighted the apparent paradox in Berkshire's current strategy, where it holds a massive cash hoard while growth-oriented technology indexes are performing exceptionally well.
Buffett has consistently indicated that his reluctance to deploy this capital stems from a lack of attractive investment opportunities that meet Berkshire's stringent criteria and valuation standards. He has often referred to waiting for a "fat pitch," signifying a clear, undervalued investment opportunity. This cautious approach has been interpreted by some as a reflection of high market valuations rather than a negative long-term outlook.
Conversely, Martin Varsavsky advocates for a different strategy in the current market environment. He stated, "Whenever I have liquidity I buy the index Nasdaq 100." Varsavsky believes that in a market increasingly driven by AI and relentless technological momentum, deploying capital into broad tech indexes like QQQ at any price, when liquidity is available, represents a more effective long-term game.
The record cash position has also been linked to geopolitical uncertainties, such as ongoing tariff disputes, and potential leadership transitions within Berkshire Hathaway. Despite the growing cash, Buffett has reaffirmed his commitment to deploying capital into equities when suitable opportunities arise, dismissing concerns that the cash pile signals a pessimistic market view. The contrasting strategies underscore the ongoing debate between value-oriented investing and growth-focused deployment in today's dynamic market.