A method of forming a radially anisotropic toroidal magnetic core includes providing apparatus having a first magnet for providing a radial magnetic field extending across a cavity from an axial spindle to a surrounding second magnetic element, placing a substrate in the cavity, the substrate having a hole fitting around the head of the spindle; and sputter-depositing a film of ferromagnetic material onto the substrate. In an embodiment, the spindle is magnetically coupled to a first pole of the first magnet, the second magnetic element is coupled to a second pole of the first magnet, and a thermally conductive, nonmagnetic, insert separates the spindle and the second magnetic element.