Spontaneous strains during martensitic transformation and magnetic-field-induced transformation have been systemically studied for Ni46Cu4Mn38Sn12 Heusler alloy, respectively. A large spontaneous strain with the value of about 0.12% upon martensitic transformation has been observed in this alloy, which is almost three times larger than that in ternary Ni–Mn–Sn alloy. In addition, such a value of strain can be obtained through a fully reverse martensitic transformation induced by a field of about 45 kOe, exhibiting a considerable metamagnetic shape memory effect without any prestrain. This behavior can be attributed to magnetoelastic coupling between stable martensite and metastable fraction of austenite.