It was a historic pledge. In 2006, oilman T. Boone Pickens donated $165 million to Oklahoma State for its sports program. It was the largest gift of its kind ever to a U.S. university.
But it came with a catch: the money had to be invested in Pickens' hedge fund, BP Capital.
Initially, the requirement seemed a stroke of genius. The money swelled to more than $300 million, at which time some university officials urged the school (unsuccessfully) to take money off the table. The money stayed in. And when oil prices plunged, so did Mr. Pickens' fund. It was down $1 billion as of late September.