The presence of Laves phase has been found in melt spun Fe-Co-Nd-B magnetic alloy as well as in sintered magnet of the same composition. In the melt spun Nd(Fe_(0.92-x) Co_xB_(0.08))_(5.5) alloy, the Laves phase forms after crystallization treatment when x is larger than 0.17. When x corresponds to 0.22 in the sintered Nd(Fe_(0.92-x)Co_xB_(0.08))_(5.5) magnet, the Laves phase of Nd(Fe_(0.5)Co_(0.5))₂corresponds to 15 vol% of the magnet. It is proposed that the presence of certain amount of Laves phase activate the liquid phase sintering to have a high remanence while an excessive Laves phase deteriorates the coercivity in the Fe-Co Nd-B alloys prepared by both rapid solidification and powder metallurgy processing