The Al-Cu-Fe nano films were successfully deposited by magnetron co-sputtering with the Al, Cu and Fe independent targets. The surface morphologies, microstructure and composition of the films were analyzed by SEM and XRD. The bonding strength, friction coefficient, nanohardness and elastic modulus of the films before and after annealing at 600 °C were determined by nano-indentation and nano-scratch. The results show that the bonding strength of the film with stainless steel substrate is the highest among these substrates. The friction coefficient of the film for pure Cu substrate is 0.17. New fine β phases with approximate quasicrystalline structure are formed in Al-Cu-Fe films after annealing at 600 °C. Furthermore, the hardness and elastic modulus of the films are obviously increased respectively.