The $6 billion Qantas Superannuation Plan has appointed Russell Implementation Services to provide agency foreign exchange (FX) services.
The service could deliver cost savings to the fund's members of more than $1 million a year, Russell said.
Under the arrangements, the Qantas super fund will outsource its FX trades for active global equities and alternatives to Russell's global trading desk for efficient execution and settlement.
Russell will manage operational risk and provide Qantas Super with performance reporting tools.
"Implementation efficiency is a key focus for Qantas Super as we strive to deliver the best risk-adjusted returns to our members," Qantas Super chief investment officer Andrew Spence said.
"We have undertaken extensive due diligence to quantify the costs associated with FX trade execution and to find a solution that delivers enhanced transparency and cost efficiency."
Russell's agency FX model has been operating since 2003 and is designed to cut transaction costs through a process that is a cost-effective alternative to traditional execution services.
The program had surpassed $68 million in total savings on behalf of the Russell global equities funds as well as other institutional clients, according to the firm.
