I imported the sword into max and its says 612 tris. hmmmm.
As a game model, the yellow bit (hilt?) as too many polys. Even if you are within your polybudget, you moght want to spread it around a little. I also noticed from the top view. It looks like you made the handle from a cylinder a scaled it to almost, you might have scaled it a little to much as the handle is thinner than the blade or is that the design.
You might want to try out what Tinkergirl said and bevel/chamfer the edges. What this does, in a very loose sense
, is it will split up an edge and create a polygon in between. This gives a sharp edge a soft look ie.beveled.
Ok not a clear explanation. I'll throw up some pics if you need. Your're using wings are you?