Tag Archives: endowment

The HBCU Endowment Feature – Grambling State University

Posted on April 15, 2013 by | Leave a comment

grambling_state_university

School Name: Grambling State University

Median Cost of Attendance: $17 894

Undergraduate Population: 5 277

Endowment Needed: $1 888 532 800

Analysis: Grambling State University needs approximately a $1.9 billion endowment for all of its undergraduates to attend debt free annually. Grambling also affectionately known as “The House That Eddie Built” referring to Eddie Robinson, Sr. who was the legendary football coach that in many ways put Grambling State University on the map. There is no accurate source to know just what GSU’s current endowment is but it is safe to say by best guess estimates it is smaller than its in-state arch rival. A frightening prospect when one considers just the shape its arch rival is in although for different reasons. Grambling has one of the most loyal alumni in HBCU nation but it is not translating into consistent giving. There is some sense that Grambling has never quite had an academic niche. That it was prominently known for and at times seems to be in the jack of all trades and master of none box. This can work to their advantage if a strategy is developed around it, but right now it feels more like a ship at sea with no destination. It is geographically located in a great area to develop its graduate school. Located in the northern part of Louisiana, it has above average access to three states which it could heavily recruit in for graduate talent. It is there they could create higher quality donors. It faces a major obstacle in the politics of Louisiana seem intent on dismantling HBCUs. Primarily, this comes in the form of current governor Bobby Jindal and while Louisiana trails in almost every major educational category in the nation, the governor continues to find cuts. Particular those cuts are coming at the expense of African Americans. A joint political strategy between Grambling State University and Southern University to elect a governor that is more HBCU friendly could go a long way, but in order to do that each must first get its economic house in order. Demographics suggest that Grambling State University could be a $50 million endowment without blinking. Whether or not leadership can formulate a unique plan that entices the purse strings of its rabid alumni over the next 5-10 years remains to be seen. Grambling’s importance in northern Louisiana to the strategic development of HBCUs can not be understated. The eye of the tiger must find 20/20 focus or be endangered of going blind.

As always it should be noted that endowments provide a myriad of subsidies to the university for everything from scholarship, faculty & administration salaries, research, and much more.

Leave a comment

Posted in Philanthropy

Tagged , ,

The HBCU Endowment Feature – Shaw University

Posted on April 8, 2013 by | Leave a comment

ShawBlock_Sealandlogo-1

School Name: Shaw University

Median Cost of Attendance: $22,258

Undergraduate Population: 2,265

Endowment Needed: $1.1 Billion

Analysis: Shaw University needs approximately $1 billion for all of its undergraduates to attend debt free annually. A media darling among HBCU circles over the past five years as its athletic program grabbed the spotlight in both football and basketball. It culminated with a Division II national championship for the women’s basketball team. Traditionally, athletic achievements have spurred alumni giving but it is still too early to tell if Shaw’s success will translate into significant donations for the Univesity. The school boast a healthy science tradition that if nurturted over the next ten to twenty years could produce significantly high quality donors based on the economy shifting towards a major healthcare boom thanks to the baby boomer generation’s looming retirement. This could provide a significant increase to their endowment over the coming generation. Shaw University has a limited graduate studies program and unless it has plans for expansion in that area it will need to see its undergraduate increase significantly in size. Geographically, the university is located in Raleigh, the heart of North Carolina’s Research Triangle, and lends itself a great opportunity for quality academic and economic recruitment. Raleigh is home to four community colleges and ten four year colleges (including Shaw) so recruitment is fierce. One thing is for sure though if Shaw University continues to find ways into the media spotlight through its balanced approach of bio-academic and athletic achievements it will be an endowment with the potential to make waves in the coming decades.

As always it should be noted that endowments provide a myriad of subsidies to the university for everything from scholarship, faculty & administration salaries, research, and much more.

Leave a comment

Posted in Philanthropy

Tagged , ,

The HBCU Endowment Feature – Florida A&M University

Posted on April 1, 2013 by | Leave a comment

200px-Florida_A&M_University_logo

School Name: Florida A&M University

Median Cost of Attendance: $25 888

Undergraduate Population: 11 180

Endowment Needed: $5 788 556 800

Analysis: Florida A&M University needs approximately a $5.8 billion endowment for all of its undergraduates to attend debt free annually. Its current endowment is approximately 1.7 percent of its endowment needed. One of the most intriguing HBCUs given its size. It is one of the larger HBCU undergraduates in terms of sheer number and does an excellent job of creating loyalty from its graduates which arguably means its endowment should be larger. There are some that would argue given Florida A&M University’s size, rivaling Howard University in population, that the school’s endowment should be at least twice its current size. With the number of undergraduates it puts out each year in the coming decade it could become a major competitor for the race to $1 billion among HBCU endowments assuming the college’s demographics continue on a steadily increasing trajectory. It also has one of the 5 HBCU law schools which allows for potential high quality donors. Unfortunately, Florida A&M could become its own worse enemy. Lawsuits and continuing issues with hazing could cost the school millions and become a major setback. It also could do serious damage to an otherwise stellar brand. There is also a void in leadership currently as the school seeks to fill its presidency. This will certainly have a capacious impact on the direction and vision of Florida A&M University in the coming decade. Florida A&M University’s competition with the “other” Tallahassee college could influence the school’s ability to grow its graduate school and produce higher quality donors so it is important to watch the strategy developed when the new leadership is installed. It can not be understated that it is the most high reward/high risk endowment currently in the HBCU landscape given that it has so much going for it but facing sobering headwinds. The Rattler nation’s resolve should not be underestimated but let us just hope they do not continue to make things harder for themselves. If Florida A&M University can focus the ship greater pastures await and if it can not it has the danger of becoming the Titanic.

As always it should be noted that endowments provide a myriad of subsidies to the university for everything from scholarship, faculty & administration salaries, research, and much more.

Leave a comment

Posted in Philanthropy

Tagged ,

The HBCU Endowment Feature – Clark Atlanta University

Posted on March 25, 2013 by | Leave a comment

Clark_Atlanta_University

School Name: Clark Atlanta University

Median Cost of Attendance: $34 218

Undergraduate Population: 3 127

Endowment Needed: $2 139 993 760

Analysis: Clark Atlanta University needs approximately $2.1 billion for all of its undergraduates to attend debt free annually. The school where W.E.B. DuBois taught after achieving his doctorate from a college in the Northeast remains the least known of the AUC trio despite a storied history of its own. Clark Atlanta has a geographic advantage that it certainly can exploit by being the only HBCU with a graduate school in a major metropolitan in the deep southeast which should allow it to be a major draw for HBCU undergraduates within the states of Georgia, Florida, South Carolina, and even arguably Alabama. If Clark Atlanta focuses on developing its graduate school, it could become a research juggernaut among HBCUs in the southeast and the spillover effects into its endowment could easily catapult Clark Atlanta University into the billion dollar endowment conversation amongst HBCUs. The university must also do something to stem its declining undergraduate population. Something that will be very hard in terms of attracting top tier students being the proverbial third wheel in the AUC. Distinguishing itself on the graduate level could stabilize the school and help it produce high quality graduates that in turn would produce sizable gains for the Clark Atlanta endowment. If it does not find its niche we could see a continue steady decline at the teaching “home” of DuBois. However, if it can make the pivot and establish a vision on the graduate level then the Clark Atlanta endowment will find new air.

As always it should be noted that endowments provide a myriad of subsidies to the university for everything from scholarship, faculty & administration salaries, research, and much more.

Leave a comment

Posted in Philanthropy

Tagged , , ,

The HBCU Endowment Feature – Spelman College

Posted on February 25, 2013 by | Leave a comment

Spelman_College_logo

School Name: Spelman College

Median Cost of Attendance: $39 629

Undergraduate Population: 2 170

Endowment Needed: $1 719 898 560

Analysis: Spelman College needs approximately $1.7 billion for all of its undergraduates to attend debt free annually. Spelman College is the number 2 HBCU endowment behind Howard University and closing fast. Its current endowment is actually almost 18 percent of its needed endowment which leads the top endowments. Thanks to its Rockefeller heritage the school continues to be well connected to money outside of the African American community which allows for a faster pace of fundraising. This has its pros and cons of influence within any institution. Demographics are also in Spelman’s favor as African American women have a lower unemployment rate. African American women and men have the smallest gap in income disparity of any group. This is both good and bad since African America as a whole only makes 65 percent of what their European American counterparts make. The college’s recent disbanding of its athletic program should be an interesting dynamic to watch. With a healthy overall student body in the long term it could mean alumni who live longer which leads to larger financial estates, smaller medical bills, and more discretionary finances for donating back to the school. It could truly be the decision that propels Spelman to the number one spot in the coming decades. Yet, Spelman is not without its own headwinds. There are some possible questionable investments within the endowment by way of its investment committee chair that could derail the college if a clear conflict of interest policy is not show to be governing the committee’s decisions. Aside from that potential problem ( it should not be understated however how big of a problem it could become) Spelman is poised to make a serious run at becoming the first billion dollar HBCU endowment and nobody should bet against them (well except Howard).

Leave a comment

Posted in Philanthropy

Tagged , ,