A method for manufacturing a magneto-resistance effect element includes: forming a first magnetic layer; forming a first metallic layer, on the first magnetic layer, mainly containing an element selected from the group consisting of Cu, Au, Ag; forming a functional layer, on the first metallic layer, mainly containing an element selected from the group consisting of Si, Hf, Ti, Mo, W, Nb, Mg, Cr and Zr; forming a second metallic layer, on the functional layer, mainly containing Al; treating the second metallic layer by means of oxidizing, nitriding or oxynitiriding so as to form a current confined layer including an insulating layer and a current path with a conductor passing a current through the insulating layer; and forming, on the current confined layer, a second magnetic layer.