The microstructures and mechanical properties of Al matrix composites reinforced by different volume fractions of Al-Ni-Co intermetallic particles were investigated. Three different volume fractions of Al-Ni-Co particles were added to pure Al matrix using a stir-casting method. Microstructural analysis shows that with the increasing of the reinforcement volume fraction, the matrix grain size decreases and the porosity increases. The mechanical properties of the composites are improved over the matrix materials, except for the decreasing of the ductility. Fracture surface examination indicates that there is a good interfacial bonding between the Al matrix and the Al-Ni-Co particles and the fracture initiation does not occur at the particle-matrix interface.