International Management

LUMNI TAKES THE US STAGE

Milton Friedman

David Bowie

Muhammad Ali

UNIVERSITY STUDENT

Financing Payment

for educationEducation and related services

Payment after graduationSocial and financial return

HOW IT WORKS

LUMNIINVESTORS

MARKET PROFILE

THE HARD FACTS WORTH THE EFFORT

THAT DEBT IS TROUBLE STUDENT LOANS

COMPETITION LEGAL ISSUES

IMCOME DISTRIBUTION

THE HARD FACTS

30%OF PEOPLE WILL

NEVER BE ABLE TO REPAY THE DEBT

$1 TRILLIONOF STUDENT LOANS

37 MILLIONBORROWERS

75%OF COLLEGE GRADUATES ARE WORKING AT JOBS

THAT REQUIRE A DEGREE

30%SAY DEBT HAD AN

IMPACT ON CAREER CHOICES

$33 000AVERAGE DEBT

WORTH THE EFFORTMEDIAN ANNUAL EARNINGS OF FULL-TIME WORKERS AGES 25-34, BY EDUCATIONAL ATTAINMENT, 2012

Source: nces.ed.gov

Less than high school

High school diploma

Associate's degree

Bachelor's

Master's or higher

15 000 30 000 45 000 60 000

$22,900

$30,000

$35,700

$46,900

$59,600

IMPORTANCE OF POSTSECONDARY DEGREE

Very important Somewhat importantNot very important Not at all important

94% 93%

97%92%

U.S. adults

With high school diploma

With some college

With college degree

WORTH THE EFFORT

Source: gallup.com

WORTH THE EFFORT

Source: gallup.com

IMPORTANCE OF POSTSECONDARY DEGREE

April

0 25 50 75 100

A degree beyond high school is essential for getting a good job

April

0 25 50 75 100

Postsecondary degree leads to a better quality of life

Strongly disagree Strongly agree

5 6 16% 29% 44%

3 6 17% 34% 40%

WORTH THE EFFORT

12,5 25 37,5 50

47%43%

8%2%

12,5 25 37,5 50

30%50%

16%4%

Somewhat important

Very important

Not very important

Not at all important

Candidate’s college or university major

Where the candidate received his or her college degree

IMPORTANCE OF POSTSECONDARY DEGREE

Source: gallup.com

AVERAGE DEBT PER BORROWERTHAT DEBT IS TROUBLE

Source: nces.ed.gov

5 000 $

10 000 $

15 000 $

20 000 $

25 000 $

30 000 $

35 000 $

2000 2002 2004 2006 2008 2010 2012 2014

Inflation-adjusted

THAT DEBT IS TROUBLETHE PERCENTAGE OF STUDENTS WITH LOANS

Source: nces.ed.gov

40

45

50

55

60

65

70

1993

1996

1999

2002

2005

2008

2011

2014

45%

50%

55%

60%

65%

70%

40%

THAT DEBT IS TROUBLETOP FINANCIAL PROBLEM FACING FAMILY

Source: gallup.com

April

0 25 50 75 100

College expenses/loansLack of money/low wagesHousingOther financial problemsHealthcare

18 to 29 years

April

0 25 50 75 100

30 to 49 years

21% 15% 14% 50%

14% 14% 13% 59%

THAT DEBT IS TROUBLETOP FINANCIAL PROBLEM FACING FAMILY

Source: gallup.com

0

5

10

15

20

2005

2008

2011

2014

% Healthcare costs% College expenses% Utility/Energy costs

THAT DEBT IS TROUBLEPERCENT CHANGE FROM 2005 IN MEDIAN ANNUAL EARNINGS OF PEOPLE 25-34 WITH BACHELOR’S AND AVERAGE STUDENT LOAN BALANCE FOR PEOPLE UNDER 30

Source: nces.ed.gov, ny.frb.org

-505

10152025303540

2005

2006

2007

2008

2009

2010

2011

2012

Student debtEarnings

-5%

0%

5%

10%

15%

20%

25%

30%

35%

40%

PERCENTAGE OF COLLEGE GRADUATES THRIVING IN 2 (OF 5) ELEMENTS OF WELL-BEING

THAT DEBT IS TROUBLE

Source: gallup.com

12,5 25 37,5 50

40%Less than $25 000No student debt

$25 001 - $50 000Over $50 000

Financial well-being Physical well-being

31%26%

25%

12,5 25 37,5 50

30%26%

24%

34%

QUESTIONS AND COMMENTS ARE WELCOME

BELENOVA

LEONT’EV

SOURCESapparat.cc lumni.net consumerfinance.gov nces.ed.gov projectonstudentdebt.org ny.frb.org gallup.com naceweb.org www.collegedata.com huffingtonpost.com businessweek.com forbes.com wsj.com nytimes.com businessinsider.com usatoday.com 2013 Gallup-Lumina Foundation Poll on Higher Education The 2014 Gallup-Purdue Index Report The Institute for College Access & Success. 2014. Should All Student Loan Payments Be Income-Driven? The Institute for College Access & Success. 2014. Student Debt and the Class of 2013 Edvisors. 2014. Student Aid Policy Analysis. Debt at Graduation Consumer Financial Protection Bureau. 2012. Private Student Loans Report Consumer Financial Protection Bureau. 2013. Student Loan Affordability National Center for Education Statistics. 2013. Digest of Education Statistics National Center for Education Statistics. 2014. Projections of Education Statistics to 2022 National Center for Education Statistics. 2014. The Condition of Education