Researchers have struggled for decades to determine whether ability grouping is helpful or harmful; however, study findings have been inconsistent. To assess the effect of grouping and program type on scholastic and affective outcomes, three grouping types (gifted separate-class enrichment, pull-out gifted enrichment, and no enrichment), three program types (gifted program, high-ability students not in a gifted program, and average students in regular classes) and a sample of 600 male students were used in this study. Results show that grouping and program type affect students' scholastic outcomes, with gifted enrichment programs having a significant effect on student learning, and students participating in gifted programs having a significantly more positive self-perception, both scholastically and socially, than do non-participating students. The present results support the grouping of gifted students homogeneously based on cognitive ability, and reinforce the notion that affective outcomes are a complicated issue where the factors are inter-related and capable of influencing students' perceptions in different ways.