A system and method can rout traffic between distinct subnets in a network environment. A router that connects the distinct subnets, such as InfiniBand (IB) subnets, can receive a list of destinations that the router is responsible for routing one or more packets to. Then, the router can generate a random number based on a source local identifier (LID) and a destination LID associated with the one or more packets, and use a modulo based hash to select one router port from a plurality of output router ports of the router.