AB ranked among best returns on investment
PHILIPPI — Alderson Broaddus University was ranked as one of the top private, non-profit, four-year universities in West Virginia for return on investment after 10-years out from graduation, according to a report from the Georgetown University Center on Education and the Workforce.
The report ranks colleges according to return on investment, using new data from the expanded College Scorecard, an online database started in 2015 to house information about private and public colleges. The focus of the report is the net present value (NPV) of colleges, which is calculated by assuming that earnings 10 years after first attending are a reasonable proxy for future earnings. The NPV is how much a sum of money in the future is valued today.
When compared to private and public universities, the value of an Alderson Broaddus education increases 20 years down the road, besting over half of the other 20 listed West Virginia 4-year bachelor’s degree granting institutions.
“At AB, we are living out our mission,” said President Dr. Tim Barry. “Being ranked as one of the top private universities in West Virginia on return on investment is one indication, among many, that our commitment to the mission of AB is working. We take pride in providing affordable and high-quality education to our students and preparing them to succeed in their chosen fields. Our number one focus is and will always be our students and their successes.”
The report ranks 4,500 colleges and universities and finds that bachelor’s degrees from private colleges, on average, have a higher return on investment than degrees from public colleges 40 years after enrollment and degrees from community colleges 10 years after enrollment.
AB is also ranked in the top 20% for all non-profit schools nationally for 10 years through 40 years after enrollment and continues to rank in the top 20% of all West Virginia schools at the 30 and 40-year net present value mark.
According to the report, the net present value (NPV) metric includes costs, future earnings, and the length of time it would take to invest and earn a certain amount of money over a fixed horizon. While the report considers the NPV at a long-term (40 years) horizon to be the most comprehensive benchmark for judging value, some might have different goals that make short-term returns more ideal.
“We understand the importance of value when it comes to the students and families who are looking for the best college experience,” said Dr. Eric Shor, vice president for enrollment management. “We attribute our top place rankings, in part, to the adoption of our affordability initiative.”
In 2017, AB became the first and only institution of higher education in the state of West Virginia to offer student loan assistance to all members of the incoming class with the announcement of the AB Advantage. The AB Advantage helps graduates with modest incomes repay their student loans after graduation. It applies to federal, private, and Parent PLUS loans.
“We know that student loan debt is a concern for students in the region and around the country,” Shor said. “The AB Advantage is a way for us to be responsive to our students’ needs and continue to show the value of an Alderson Broaddus education.”
All members of the incoming freshman class are offered the AB Advantage at no cost to the student. Upon graduation from Alderson Broaddus, graduates making less than $45,000 a year will qualify for reimbursement of their student loans until they make $45,000 a year or the loan balance is repaid.
“The assistance that the AB Advantage provides is substantial,” Shor said. “For many graduates, it is the extra help they need to jumpstart their careers.”
For more information on the AB Advantage, visit ab.edu/ab-advantage.