The importance of managed fund governance structures has become apparent in recent years. Looking at the Australian not-for-profit pension funds, we find correlations between funds’ internal governance structures and their level of costs. Larger boards are linked to higher investment management fees and expenses, operating expenses and trustee and audit fees. We also find a positive relation between the proportion of independent trustees and investment management fees and expenses and operating expenses. These fund costs increase as the number of board committees and fund size increase. Finally, we observe that the presence of board committees affects different types of fund costs. Overall, these findings suggest that the conventional good governance practices do not benefit superannuation fund members in terms of cost reduction. We find no evidence of economies of scale in cost minimisation, since the relation between fund size and costs is mixed across various governance variables.