AustralianSuper has begun an internal review of its securities lending program to ensure that it enhances member accounts.

The review has been undertaken to ensure the practice was of “net benefit to the portfolio,” Ian Silk, chief executive officer of the $29 billion industry fund, said.

He said the review would examine all aspects of the fund’s security lending program and was prompted by substantial changes in the investment environment.

AustralianSuper earns up to $6 million each year through its securities lending program, Silk said, which is managed by custodian JPMorgan.

The review is being conducted by senior manager of investments Peter Curtis and is scheduled to be completed by the end of the calendar year.

In a note issued to members at the end of June, the fund confirmed that it would continue its securities lending program in order to “maximise the retirement savings of its members”.

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