Precipitation hardening of Cu-4Ti-1Cd alloy has been studied using hardness measurements and transmission electron microscopy. This alloy exhibited hardness of 238 Hv in solution treated (ST) condition and attained peak hardness of 318 Hv after ageing at 450degreesC for 40 h. Electrical conductivity of Cu-4Ti-1Cd alloy increased from 5.7 % IACS ( International Annealed Copper standard) in ST condition to 8.9% IACS on ageing at 450degreesC for 16 h. This alloy exhibited markedly higher yield strength (751 MPa in the peak-aged condition) compared to Cu-4.5Ti alloy but the increase in UTS due to cadmium addition was less significant. The higher yield strength of ternary alloy in peak aged condition is due to the solid solution strengthening of cadmium as well as the presence of beta'-Cu4Ti precipitate. On over-ageing the alloy showed a decrease in hardness as a result of formation of equilibrium precipitate, beta-Cu3Ti. Optical microscopy reveals single phase with equiaxed grains in solution treated condition. A coherent, metastable phase beta'-Cu4Ti is responsible for high strength and hardness in peak aged condition. The over-ageing in this alloy shows the formation of cellular structure at the grain boundaries of the matrix phase. (C) 2004 Kluwer Academic Publishers.