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The performance of platinum nanoparticles dispersed functionalized multiwalled carbon nanotubes (Pt/f-MWNTs) and platinum-iron alloy nanoparticles dispersed functionalized multiwalled carbon nanotubes (Pt3Fe/f-MWNTs) electrocatalysts have been investigated for oxygen reduction reaction in a polymer electrolyte membrane fuel cell. The electrocatalysts have been synthesized by sodium borohydride reduction method. Pt3Fe/f-MWNTs give the highest performance with a maximum power density of 432 mWcm-2 at 60°C without any back pressure. The enhanced catalytic activity of Pt3Fe/f-MWNTs towards ORR is due to proper alloying, uniform dispersion and optimum particle size of Pt3Fe alloy nanoparticles over the surface of f-MWNTs.