Fe86.5Zr7B3Cu3.5 nanocrystalline ribbon can be directly fabricated by melt – spinning technique with an appropriate quenching speed without annealing processes. The average grain size of α-Fe for Fe86.5Zr7B3Cu3.5 as quenched ribbon prepared with a quenched speed V=40 m/s is about 10-13 nm estimated from X-ray diffraction and TEM observation. For Fe86.5Zr7B3Cu3.5 nanocrystalline as quenched ribbon (V=40m/s), the saturation magnetic induction Bs is 1.47 T, permeability μe at 1 kHz is 25600 and saturation magnetostriction λs is -2×10-6. The magnetoimpedance value Z/Z0 of the Fe86.5Zr7B3Cu3.5 nanocrystalline as quenched ribbon reaches –38.32 % under H=7162 A/m. Our present results reveal a novel route to fabricate the nanocrystaline ribbons with excellent soft magnetic properties and giant magnetoimpedance.