Ni-Co ultrafine particles (UFPs) were prepared by hydrogen plasma metal reaction. Particle characteristics, oxidation, and magnetic properties were investigated and compared. fcc structured Ni-Co UFPs with a sphere shape were prepared over the whole composition range. The particles distribute from 5 to 100 nm in size with an average particle size of about 35 nm. They are thermally stable in air below 433 K, but oxidize quickly at the higher temperatures. The saturation magnetization of the UFPs is lower than that of the corresponding bulk alloy, especially in the Co rich side. Formation of oxide layer on the particle's surface is an important reason for this reduction. Ni-Co UFPs possess large residual magnetization and coercive force above 60% Co. The composition dependence of the saturation magnetization and the coercive force changes remarkably around 60% Co, which implies a large variation in magnetic status around this composition.