Rubber modified epoxy based composites were designed by low cost production methods. Basically, clean and recycled materials were used to provide a solution for manufacturing of lightweight, cost efficient composites in industrial applications such as automotive and aeronautical engineering. In the present study four different compositions have been developed and characterized for their potential usage as structural materials. The matrix was prepared by treatment of epoxy with 10% recycled rubber. Nano-magnetic iron oxide, Fe3O4, was added to the matrix as reinforcement elements in different percentages. Nickel and aluminium were also add as auxiliary additional elements. Measurements of magnetic permeability and dielectrically properties have been carried out for electronic devise applications basically in aeronautical engineering. Dynamic Scanning Calorimeter (DSC) and Dynamic Mechanical Analysis (DMA) were carried out to determine thereto-mechanical properties. Static tests have been carried out by 3-point bending (3PB) tests for mechanical characterization. Furthermore, creep and wear behaviour of these compositions were evaluated by means of nanoindentation tests to analyze time dependent behaviour of these composites. Macro scratch tests were made in very high cycle test conditions for their measurements in long time resistance. Microstructural and fracture surface analyses have been carried out on the scanning electron microscopy (SEM).