Development of reliable protocols for the synthesis of nanoparticles of well-defined sizes and good monodispersity is an important aspect of nanotechnology. In this paper, we present details of the synthesis of gold nanoparticles of good monodispersity by the reduction of aqueous chloroaurate ions by the amino acid, aspartic acid. The colloidal gold solution thus formed is extremely stable in time, indicating electrostatic stabilization via nanoparticle surface-bound amino acid molecules. This observation has been used to modulate the size of the gold nanoparticles in solution by varying the molar ratio of chloroaurate ions to aspartic acid in the reaction medium. Characterization of the aspartic acid-reduced gold nanoparticles was carried out by UV-visible spectroscopy, thermogravimetric analysis and transmission electron microscopy. The use of amino acids in the synthesis and stabilization of gold nanoparticle in water has important implications in the development of new protocols for generation of bioconjugate materials.