When cooling from high temperature, the material of composition Ni 48.5Mn 30.3Ga 21.2 undergoes several magnetic and structural transitions. The phases are, at high temperature austenitic cubic L2 1 phase; at 297 K 5-layered modulated tetragonal martensite; and below 210 K non-modulated tetragonal martensitic phase with c/ a larger than unity. Five-layered martensite exhibits giant field-induced strain of about 6% (magnetic shape memory (MSM) effect). The mechanism of the MSM effect was substantiated by simultaneous measurement of the strain and magnetization.