Abstract: A method for the preparation of alloys of the SE.sub.2 Fe.sub.17-x TM.sub.xN.sub.y type where SE stands for a rare earth metal, including Y or a mixture of these metals, while TM stands for Co, Ni, Cu, Zr, Ga, Hf, Ta, Nb, Ti, Si, A1, V, Mo, Cr, Zn or Sn or a mixture of these metals, x=0 to 10, y=>0 to 5 is described. The preparation involves calciothermal reduction of a finely divided, homogeneous mixture of the alloying components, subsequent diffusion of the components, followed by nitriding and separating the calcium oxide and excess calcium formed. The method is characterized by:a) Preparation of an alloy of the SE.sub.2 Fe.sub.17-x TM.sub.x bya1) Adjusting the exothermic reaction of the calciothermal reduction by the oxide content of the reaction mixture, so that T.sub.M >TR .gtoreq.0.9 T.sub.M where T.sub.M is the melting temperature of the intermetallic phase, and T.sub.