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Has anyone tried it? Get some powdered iron, mix it into the gray/green/milliput stuff to fill a slot, replace the tab/post with a magnet and badda boom, you're magnetized. Maybe. I'm not sure if the iron will have enough density for the magnet. But if it does, I like the idea better than drilling out so many parts. I've also thought of rubberized steel sheets, I've seen a video of a guy who used a metal shears on soup can lids. The metal powder + putty follows that idea, but with fewer sharp edges, and more malleability.

I haven't tried it, but it sounds like a bad idea. With our models, there usually isn't a lot of space available. Enough space for the strength of neo-dymium magnets and for many light parts - like Tau heavy weapons - a piece of flat metal cut with metal shears or clippers will do well, even though it is weaker. Your concept will make it weaker still by diluting the metal with putty.

For small bits of sheet metal I clip parts from Brass fasteners from the supermarket. Note that these are obviously only brass plated, otherwise the magnet would have no adhesion, so take a magnet with you to check before you buy.
https://en.m.wikipedia.org/wiki/Brass_fastener

I can't see it working either, you'd likely need a density of metal so great that the putty would start to lose its properties and probably break down. Plus, as noted above, you'd likely need to pack enough in that you'd not get away from needing to drill out a gap for the putty - so a magnet would likely work far better and still take up just as much room.

Some quick reading suggests you can go up to 4 parts of iron per 1 part of putty. I also though of just filling the hole with powder and super gluing it in. I'm contemplating this for smaller pieces, like the shroud panels on the sponsons not the sponsons itself.

I may try and weigh a Land Raider sponson weapon set - probably the Hurricane Bolter seems like it has the most weight, then chop up some sprue until I have equal weight, just to see what it can hold. I thought I'd ask if anyone else had tried it though.

The only properties of the putty I'm looking for are filling the hole/slot/female end that the peg/tab/male end gets inserted into with plastic glue and holding the iron in place while the magnet pulls on the powder.