Abstract: An improved optical isolator having a pre-aligned first and second collimator and a pre-aligned core assembly joined with the first collimator, the first and second collimators and core assembly all disposed within a housing tube. The core assembly is aligned with and joined directly to the first collimator and fits snugly within the housing tube. The second collimator fits within the housing tube such that it can be aligned with core assembly to minimize insertion loss. The first and second collimators are connected to the housing tube by solder joints, at least one of which is made from a low temperature solder. The core assembly includes a cylindrical permanent magnet, a pair of birefringent wedges and an optical rotator. The optical rotator is joined to a wedge on either side and the combined structure is affixed to the cylindrical permanent magnet.