Magnetostrictive composites were prepared by mixing Sm0.88Nd0.12Fe1.93 alloy particles with epoxy resin and curing under an external magnetic field. The microstructure, magnetostriction and electrical resistivity of bonded Sm0.88Nd0.12Fe1.93 composites prepared at different external magnetic fields were investigated. Results show that the maximum magnetostriction λ∥–λ⊥ at 1.3 T reaches –1088×10-6 for the bonded composites with 30% (volume fraction) Sm0.88Nd0.12Fe1.93 particles cured under 0.6 T, which is 86.6% of the magnetostriction for the as-cast alloy. Compared with the as-cast Sm0.88Nd0.12Fe1.93 alloy, electrical resistivity of the epoxy-bonded Sm0.88Nd0.12Fe1.93 composites prepared under 0.6 T is 6 orders of magnitude higher. Additionally, electrical resistivity for the composites cured under 0 field is higher than that cured under 0.6 T, which might be related to the alignment of SmNdFe powders.