CoO nanoparticles in the 38-93 nm range have been prepared by thermal decomposition. The particles were characterized to be pyramid shape with a hexagonal close-packed structure. Their anomalous magnetic behavior includes: (i) vanishing of antiferromagnetic transition around 300 K; (ii) creation of hysteresis below a blocking temperature of 6-11 K; (iii) presence of relatively large moments and coercivities accompany with specific loop shifts at 5K: and (iv) appearance of an additional small peak located in low field in the electron spin resonance spectrum. Further, the present results provide evidence for the existence of uncompensated surface spins. The coercivity and exchange bias decrease with increasing particle size, indicating a distinct size effect. These observations can be explained by the multisublattice model, in which the reduced coordination of surface spins causes a fundamental change in the magnetic order throughout the total CoO particle. (C) 2011 Elsevier Ltd. All rights reserved.