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Cyanobacteria, also known as blue-green algae, are known to be a rich source of secondary metabolites with diverse chemical structures and biological activities. Over 1100 natural constituents of cyanobacterial origin have been reported in the literature. These include various natural biologically active constituents with antimicrobial, antiviral, immunosuppressive, and anticancer activities. Terrestrial cyanobacteria of genus Fischerella (Family Fischerellaceae), belonging to order Stigonematales have recently received enormous attention from the researchers due to the presence of vast array bioactive compounds. Fischerella species are filamentous cyanobacteria with creeping thallus and sheath in filaments. Several species within the genus are known to produce interesting bioactive constituents. Perhaps the best characterized are F. ambigua and F. muscicola, which have been reported to produce antibacterial, antifungal and antialgal isonitrile containing indole alkaloids, such as hapalindoles, ambiguine isonitriles, fischerindoles, and wetwitindolinones. Keeping in mind these resources, a detailed literature survey on a cultured, fresh water and terrestrial cyanobacterium Fischerella ambigua (Nӓg.) Gom. has been carried out. The current review describes the chemical constituents isolated from different extracts of Fischerella ambigua, as well as their biological activities.