The Fe-Pd ferromagnetic shape memory alloy is a multifunctional material. We investigated the behavior of the superelastic properties of rapidly solidified Fe-Xat%Pd (X=29.3, 29.6, 30.2 and 30.4) alloy ribbons to develop biomedical materials applicable to orthodontics and medical instrumentation. The appearance of a stress-induced martensite phase under the loading stress was confirmed by X-ray diffraction measurements. Stress-strain curves were drawn from results obtained using a tensile testing machine at temperature of 290 and 313 K. The Fe-Xat%Pd (X=29.6, 30.2, 30.4) ribbons exhibited superelastic strain of 3.0–3.5%. Moreover, when these Fe-Pd alloy ribbons were treated in Hanks’ solution for 150 days, they exhibited good biocorrosion resistance.