This interchange (http://alt-sinistra.dreamwidth.org/30007.html) between Poppy and Aurora makes it pretty clear to me that, at least in Alternity, the wizarding world understands a lot about sex and sexuality.

Dear darling Dolores? Not so much. Or if she does have a clue, she's quite good at ignoring said clue to further her goal of world Hogwarts domination.