What is Managed Code?

Managed Code is what Visual Basic .NET and C# compilers create. It compiles to Intermediate Language (IL), not to machine code that could run directly on your computer. The IL is kept in a file called an assembly, along with metadata that describes the classes, methods, and attributes (such as security requirements) of the code you’ve created. This assembly is the one-stop-shopping unit of deployment in the .NET world. You copy it to another server to deploy the assembly there—and often that copying is the only step required in the deployment.
Managed code runs in the Common Language Runtime. The runtime offers a wide variety of services to your running code. In the usual course of events, it first loads and verifies the assembly to make sure the IL is okay. Then, just in time, as methods are called, the runtime arranges for them to be compiled to machine code suitable for the machine the assembly is running on, and caches this machine code to be used the next time the method is called. (This is called Just In Time, or JIT compiling, or often just Jitting.)
As the assembly runs, the runtime continues to provide services such as security, memory management, threading, and the like. The application is managed by the runtime.
Visual Basic .NET and C# can produce only managed code. If you’re working with those applications, you are making managed code. Visual C++ .NET can produce managed code if you like: When you create a project, select one of the application types whose name starts with .Managed., such as .Managed C++ application.