Co2FeAl (CFA) nanoparticles (NPs) of different sizes were synthesized by chemical route. The effect of the size of NPs upon the structure and magnetization compared to its bulk counterpart was investigated. The structure and composition were determined from X-ray diffraction (XRD) and electron microscopy. XRD analysis shows that the samples are having single (A2-type) disordered phase. Magnetization measurements suggest that the samples are soft ferromagnetic in nature with very low coercivity. Enhanced magnetic properties like saturation magnetization, coercive force, retentivity, and Curie-temperature are observed with a decrease in particle size. The effect of particle size on hysteresis losses is also discussed. The smallest particles of size 16 nm exhibited the highest saturation magnetization and transition temperature of 180.73 emu/g and 1261 K, respectively. The origin of enhancement in magnetization of Co2FeAl nano-alloy is attributed to the strong Co-Co exchange interaction due to disorder present in the systems.