My local Pride parade is very family-friendly. Some have sexual nature I'm sure, but I've been to loads and still haven't come across one of those. Though, sex does exist outside the bedroom. Heterosexual sex exists in advertising, hinted at even in children's shows, and deeply embedded in our culture. I haven't seen any of these overly sexual LGBT events, but because people have different standards of morality it's hard to really decide if something is beyond what I'd label a family-friendly event without examples.

Do you have a problem with topless girls wearing tape to cover their nipples? How about public displays of affection at the level of what straight couples do time-to time? Both are not sexual to me and would still be okay at a family-friendly event. I see nothing wrong with nudity or gay people passionately kissing. Now, get-a-room level making out? At a systemic level definitely not. You're going to always have that handful of people who end up feeding the bigots though because they did take it too far (and often were asked to leave). Heck, I caught a few straight people doing that level of making out at Disney World, which is not labelled as a sexual park.

And, riding naked is different than sexual. Only in the States is nudity a problem. I'd say if the parents are okay with nudity, it's perfectly okay for the kids to go. Some people are okay with it, like me, and others aren't. Neither is wrong, just different ways of seeing the world.