Hedge-Fund Father Uses $31M to Hedge Kids' Chances at Elite Schools

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Meh, not really news as far as I’m concerned. And the article supports that too…

from a hedge funder’s perspective, investing in multiple colleges is a classic asymmetric bet — one with minimal risk and massive potential upside. “For someone of his mentality, making a portfolio bet would make a lot of sense,” said one former Ivy League development officer. “I can tell you that within the hedge-fund community and private-equity community, this wouldn’t be unusual. It’s common for people to be giving to two or three or four schools.” (Just how many of these donations are made is hard to know because, while those from foundations like the Shaws’ are typically publicly reported, gifts from individuals are not.)

As Parke Muth, an independent counselor and former associate dean of admissions at the University of Virginia, explained, the very wealthy “are accustomed to diversifying their investments, and they apply that same philosophy to their kids’ choices.”