Berkshire Hathaway stock picker Todd Combs departs to lead new strategic investment group at JPMorgan
Todd Combs, one of Warren Buffett’s investment aides and CEO of GEICO, departure Berkshire Hathaway (BRK-B, BRK-A) and Join JPMorgan Chase (JPM) has been appointed to a new role as part of a major shakeup spanning both firms.
Combs is leaving Berkshire Hathaway and leading GEICO to run the bank’s new investment group as part of its broader “security and resilience” initiative announced in October.
Combs will report directly to JPMorgan CEO Jamie Dimon and will step down from the company’s board, where he has served since 2016. Combs will also serve as a special advisor to Dimon and the bank’s operating committee.
“Todd Combs is one of the greatest investors and leaders I know,” Dimon said in a statement. “Having served on our board for nine years, he truly understands all aspects of our company.”
“JPMorgan, as is often the case, made a good decision,” Warren Buffett said in a press release issued by Berkshire Hathaway.
Buffett and Dimon had a friendly relationship for years, and Dimon frequently visited Buffett in Omaha, Neb. Buffett was known to attend JPMorgan events in New York before quitting traveling several years ago, according to a person familiar with the matter.
JPMorgan’s “security and resilience” initiative involves the bank dedicating $1.5 trillion to lend and finance efforts to strengthen America’s interests in supply chains, technology capacity and industrial resilience. It also includes a $10 billion pool dedicated to strategic venture capital and equity investments for companies interested in artificial intelligence, minerals and defense manufacturing.
JPMorgan also announced an all-star external advisory council, chaired by Dimon, that will advise on the broader national security initiative. The group includes Amazon founder Jeff Bezos, Dell founder Michael Dell, Ford (F) CEO Jim Farley, Johnson & Johnson (JNJ) CEO Alex Grosky, General Dynamics (GD) CEO Phebe Novakovic, former Secretary of State Condoleezza Rice, and numerous former defense, intelligence, and industry executives.
“We’re a pretty patriotic company, and then what more can we do?” We started asking. Dimon said during a fireside chat at a defense conference held at the Ronald Reagan Presidential Library over the weekend.
“We will have partners, lots of people. We will also partner with other banks if we have to,” he added.
The move also comes after Berkshire announced a broader executive shakeup ahead of a planned CEO transition later this month, with Greg Abel set to take over from Buffett on Jan. 1.
