The magnetic phase transition in the invar Fe 65 Ni 35 alloy has been investigated by small-angle polarizedneutron scattering ͑SAPNS͒ along with both three-dimensional neutron depolarization and thermal-expansion measurements. The data give evidence for a smeared phase transition. A spatial distribution in the Curie temperature T C is introduced to explain the experimental data. The local T C variations are described by the standard deviation of the transition temperature ⌬T C and by the characteristic length of the T C variations, R 0 .The deduced parameters are ͗T C ͘ϭ485Ϯ0.5 K, ⌬T C ϭ12.5Ϯ0.2 K, and R 0 Ϸ300 nm. The critical SAPNS experiment was performed in a special inclined geometry (H ជ is inclined to the wave vector k ជ ). Two different contributions to the critical scattering were analyzed in the magnetic-field range ͑1-1000 G͒ and the temperature range (T C Ϯ0.1T C ) of interest. First, the two-spin-correlation function was studied. Second, the dynamical three-spin-correlation function, or the so-called dynamical chirality of the system, was investigated by extracting the asymmetric part of the polarization-dependent scattering. We distinguish two contributions in the chiral scattering, which stem from the spin waves in the large magnetic inhomogeneities and from the three-spincorrelation function of the critical fluctuations. The data are interpreted in terms of the static and dynamic scaling theory accounting for the concept of local T C variations.