A 
magneto-resistance effect element comprises; a 
magneto-resistance effect stack including an upper 
magnetic layer and a lower 
magnetic layer in which respective 
magnetization directions change in accordance with an external 
magnetic field, a non-magnetic intermediate layer sandwiched between the upper and lower magnetic 
layers, an upper gap adjustment layer and a lower gap adjustment layer provided at respective ends in the direction of stacking the 
magneto-resistance effect stack, an upper exchange 
coupling transmission layer configured to generate exchange 
coupling between the upper 
magnetic layer and the upper gap adjustment layer, and a lower exchange 
coupling transmission layer configured to generate exchange coupling between the lower magnetic layer and the lower gap adjustment layer; an upper shield 
electrode layer and a lower shield 
electrode layer which are provided to sandwich the magneto-resistance effect stack therebetween in the direction of stacking the magneto-resistance effect stack, wherein the upper shield 
electrode layer and the lower shield electrode layer supply sense current in the direction of stacking, and magnetically shield the magneto-resistance effect stack; and a bias magnetic layer which is provided on a surface of the magneto-resistance effect stack opposite to an 
air bearing surface, and wherein the bias magnetic layer applies a bias 
magnetic field to the upper and lower magnetic 
layers in a direction perpendicular to the 
air bearing surface, wherein the upper and lower shield electrode 
layers are each magnetized in a track width direction by a 
magnetization controller, and the upper and lower gap adjustment layers are composed of a material having a higher magnetic permeability and a lower 
saturation magnetic flux density than the upper and lower shield electrode layers respectively.