Hedge fund chief Kenneth Griffin donates US$150m to Harvard

Billionaire US investor Kenneth Griffin, who started his hedge fund in his dormitory room at Harvard University, is donating US$150 million to his alma mater in what will be the largest single gift ever made to the Ivy League school.

Griffin, who graduated from Harvard 25 years ago, said the gift would mainly support the university's financial aid programme, benefiting as many as 800 undergraduate students every year.

The donation should be "an investment in the next generation of leaders as we continue to break down barriers to an outstanding education", Griffin said in a statement.

After beginning to bet on convertible bonds while living at Cabot House, Griffin went on to found Chicago-based Citadel, one of the world's biggest and most successful hedge funds. Last year, Griffin's net worth was estimated at US$4.4 billion, according to Forbes.

For Harvard, already the richest university in the world with a US$32.7 billion endowment, the donation comes at a time when ever more students are relying on aid to help pay the way.

The high cost of a college education in the United States has saddled many young people with thousands of dollars in debt and sparked criticism that only the wealthy can afford a top-notch education.