Less than 60 percent of new students graduate from the nation’s four-year colleges and universities within six years, according to a new study, and the rate is even lower at most of the historically Black and Hispanic-serving institutions included in the study.

  The report being released today, “Diplomas and Dropouts: Which Colleges Actually Graduate Their Students (and Which Don’t),” by the American Enterprise Institute used federally reported data from the 2001 entering class to compare graduation rates between institutions of similar standing, based on student selectivity as classified by Barron’s Profiles of American Colleges. The data do not include transfer students.

Within similarly classified schools, graduation rates varied vastly. The researchers contend these schools are admitting students with similar levels of preparedness and suggest that the practices of the schools themselves factor prominently in student success.  

According to the report, noncompetitive institutions graduate, on average, 35 percent of their students, while competitive institutions graduate 88 percent. Less competitive and competitive schools do better than noncompetitive institutions, but the average graduation rate is less than 50 percent. The higher graduation rates among competitive schools is to be expected because they’re admitting highly talented students.

However, it’s important for prospective students and parents to be aware of the disparities among similar schools when picking a school, researchers say. President Obama’s stated goal of improving completion rates warrants a look at what schools need to do a better job of graduating their students, they add.