A fluid composition or nanofluid is described that includes a dielectric base fluid, a chemical dispersant, and nanoparticles dispersed in the dielectric fluid. The chemical dispersant is used to facilitate the nanoparticle dispersing process and also to increase the stability of the nanofluid thus produced. The nanofluid is compatible with electronics and has enhanced thermal conductivity for use in cooling electronics. Techniques are described that can be used to efficiently disperse different forms of nanoparticles into a base fluid and produce a stable nanofluid which is compatible with electronic circuitry and components.