Abstract The subject of this paper is the research performed under the auspices of Ferrofluidic's Rosensweig Research Grant announced at the Fifth International Conference on Magnetic Fluids. The first project involved the use of ferrofluid particles as a catalyst for the fabrication of carbon-carbon composites. In the second project, magnetic vesicles were produced with ferrofluid trapped in the interior and Fc receptors incorporated into the membrane wall to achieve a separation of biomaterials.