| Invested through / Financed by |
|
|---|---|
| Asset class | Listed equity |
| Impact strategy | Impact Equities and Bonds |
| Sector | Education |
| Bloomberg ticker | STRA US |
| ISIN code | US86272C1036 |
| Industry group | Consumer services |
| Sustainable Development Goals (SDGs) |
Strategic Education is a for-profit tertiary education provider (post high school) at its university campuses in the United States, and worldwide via its online offering. It provides associate, bachelor’s and master’s degrees in areas such as business, education, health services administration, public administration, and criminal justice. Its students are mainly working adults who have not been able to complete a college degree before. In addition, students are often from minority groups. The company was founded in 2018 after the merger of Strayer University (founded in 1892) and Capella (founded in 1993).
Investment rationale
Strategic Education fits our Social Inclusion and Empowerment impact theme. The company is a for-profit university, mainly serving minority groups, working adults and non-traditional students, providing them with the flexibility required to advance their education. The company is a leader when it comes to providing online education. COVID-19 has accelerated the acceptance of this way of providing education. The main criticism of for-profits education relates to the high fees, which results in high debt-burdens for students. Over the past few years Strategic Education has embarked on a path to make its programmes more affordable for students, while also striving for better student outcomes. With a focus on improving college affordability, student engagement and workforce readiness, Strategic Education supports the growing number of non-traditional students and ensures that its graduates have the skills required to succeed in today’s jobs.