The rare-earth magnetism in the intermetallic compound Yb0.5Ce0.5Ni5 was studied using X-ray diffraction, magnetization, heat capacity, and electrical resistivity measurements. The effect of spin fluctuations (SF) was observed in M(T) at ~40 K. The measurement of thermal and transport properties supported the results obtained from magnetic measurements. Collected experimental data showed that Yb/Ce substitution shifts the maximum temperature for spin fluctuations to a lower temperature compared to that for pure CeNi5. Moreover, at low temperatures, an anomaly in the heat capacity of possible magnetic origin arising from Yb3+ was detected. Ce atoms seemed to remain in a non-magnetic valence state at almost 4+.