Distaloy, a low-alloy steel powder, is extensively used worldwide for the powder metallurgy production of complex, precision, high-strength machine parts. In this study, the effect of BN, B4C, and FeB contents on the microstructure, mechanical, and corrosion behaviors of Distaloy AE was investigated. The metal-matrix composite samples containing 2.5, 5, and 10 wt.% of BN, B4C, and FeB were prepared using a high-energy ball mill followed by hot-press sintering. An increase in the BN composition increases the intensity of diffraction peaks corresponding to the monoclinic BN along with alpha-Fe phase. An increase in the B4C and FeB resulted in the formation of new cubic Ni1C1 and orthorhombic FeB phase along with their normal crystalline peaks. The addition of additives decreases the density of Distaloy AE, but increased the hardness. The electrochemical corrosion-resistant studies revealed that an increase in the concentration of the additives decreases the corrosion-resistant properties of Distaloy AE.