The 38-year-old has been appointed in succession to Mark Bradley who was sacked two weeks ago following Rose's 6-2 defeat at Musselburgh.
Ferguson returns to management just under a year after his surprise dismissal from Stenhousemuir, his first managerial job.
He was axed despite having guided the Warriors to promotion to League One - following the previous season's relegation - just a few months earlier.
Ferguson was replaced by Colin McMenamin, who was himself sacked earlier this season after a poor start to the season bu Stenny who were relegated back into League Two in May.
After leaving Ochilview Ferguson worked for a while with Lowland League champions East Kilbride before being appointed as a coach at the Rangers Youth Academy in March.
However he is now back in the managerial hotseat at Prestonfield with Rose currently in eighth place in the East Of Scotland League Premier Division table.