PURPOSE: To provide the low-cost manufacturing method of a magnetic powder, for anisotropic bonded magnet use, whose coercive force is high and which is provided with an excellent energy product.

CONSTITUTION: The following process is provided: an alloy ingot which is composed mainly of 10 to 30 atomic % of neodymium, dysprosium or terbium (where the total of dysprosium and terbium is at 1 to 5 atomic %), 2 to 28 atomic % of boron, 65 to 81 atomic % of M (where M represents at least one kind out of iron, cobalt and nickel) and 1 to 5 atomic % of silicon and/or chromium is heat-treated at a temperature of 500 to 1000°C in an inert gas or in a high vacuum of 10-2Torr or higher; and, after that, the ingot is cooled down to room temperature. In addition, the manufacturing method of a magnetic powder for anisotropic bonded magnet use is composed of a process wherein the heattreated ingot is crushed coarsely to 50 to 500μm, and it is crushed by a mechanical crushing method in an organic solvent so as to obtain an average particle size of 0.5 to 50μm.