Venture capital legend Vinod Khosla launches $1.1 billion green fund

If conventional wisdom mattered, super venture capitalist Vinod Khosla could not have picked a worse time to launch a massive venture capital fund focused on extremely risky green technology investments. Yet Khosla, a VC legend in Silicon Valley, not only pulled it off but ended up money away, according to the New York Times.

In fact, many of Khosla's investors are gun-shy state pension funds, still smarting from nasty losses suffered in venture capital and private equity placements that went horribly wrong in the economic meltdown of the past two years.