A novel “raisin bun”-like nanocomposite, where Pd clusters are embedded in porphyrin matrix, is developed as a promising electrocatalyst. Thanks to the synergy between the Pd clusters and the porphyrin matrix, this composite exhibits a low oxidation potential, high mass activity and excellent stability toward electrochemical oxidation of formic acid, which opens new routes for the design of high-performance catalysts in fuel cells.