Cleaves and degrades bioactive peptides, including angiotensin, Leu-enkephalin and Met-enkephalin (PubMed:3233187, PubMed:1515063). Also cleaves Arg-Arg-beta-naphthylamide (in vitro) (PubMed:9425109, PubMed:3233187, PubMed:11209758). Release of an N-terminal dipeptide from a peptide comprising four or more residues, with broad specificity. Also acts on dipeptidyl 2-naphthylamides. Binds 1 zinc ion per subunit. Activated by Co(2+). Inhibited by EDTA and o-phenanthroline (in vitro). Optimum pH is 8.8. Detected in placenta (at protein level) (PubMed:3233187). Detected in erythrocytes (at protein level) (PubMed:1515063). May be produced at very low levels due to a premature stop codon in the mRNA, leading to nonsense-mediated mRNA decay. Belongs to the peptidase M49 family.