In this paper, a series of iron (Fe) containing nanoparticles were prepared by employing PAMAM (Poly(amidoamine), dendrimers with different generations (G0-G3) as templates and sodium borohydride as a reducing agent. The products have been characterized by TEM, FT-IR, XRD, VSM, TGA, and XPS. XRD analysis reveal low crystallinity of formed particles within the dendrimers, however, crystallinity of the nanoparticles was observed to increase with increasing generation of dendrimers. Dominant phases were determined as magnetite (Fe3O4 or maghemite, gamma-Fe2O3). XPS analysis revealed the chemical composition of nanoparticles as iron oxide which indicated the oxidation of Fe species subsequent to the reduction process, in agreement with XRD analysis. The magnetization curves have superparamagnetic nonhysteretic characteristic at lower fields and with nonsaturation characteristic at high fields. Magnetic evaluation of samples with the 20:1 molar ratio of Fe:PAMAM showed decreasing superparamagnetic character and decreasing saturation magnetisation with increasing generation of dendrimers.