The Zr-based bulk metallic glass matrix composites of a mixture of gas-atomized metallic glass powders and Fe-based nanostructured powders were fabricated by spark plasma sintering. The Fe-based nanostructured powders adopted for the enhancement of plasticity were well distributed in the matrix after consolidation, and the matrix remains as a fully amorphous phase. The successful consolidation of metallic glass matrix composite with high density was attributed to viscous flow in the supercooled liquid state during spark plasma sintering. Unlike other amorphous matrix composites, in which improved ductility could be obtained at the expense of their strength, the developed composite exhibited improvement both in strength and ductility. The ductility improvement in the composite was considered to be due to the formation of multiple shear bands under the presence of the Fe-based nanostructured particles.