Ferromagnetic are the substances that would make better permanent magnets. Metal ions are grouped together in a small region known as domain in case of ferromagnetic substances. Each of this region act as a tiny magnet. So, when a substance comes in contact with the magnetic field, then all the domains or tiny magnets get positioned in the direction of the magnetic field. This produces a strong magnetic field. Even if this external magnetic field is removed, the domains order remains, making ferromagnetic substances quite suitable for making permanent magnets.