The function of ENSG00000164062 (APEH, acylaminoacyl-peptide hydrolase) is as follows. Aminopeptidase involved in the degradation of N(alpha)- acylated peptides. Displays exopeptidase activity toward N-formyl and N-acetyl peptides with a preference for dipeptide substrates (By similarity). Catalyzes the hydrolysis of the N-terminal peptide bond of an N-acetylated peptide to generate an N-acetylated amino acid and a peptide with a free N-terminus (PubMed:10719179, PubMed:1740429, PubMed:2006156). It preferentially cleaves off Ac-Ala, Ac-Met and Ac- Ser (By similarity). Hydrolyzes N-formylated peptides likely arising from N-terminal proteolytic cleavage of bacterial and mitochondrial proteins. May act sequentially with ACY1 in the degradation of N- acylated peptides: APEH first cleaves N-acylaminoacids from N-acylated peptides, then ACY1 further hydrolyzes the N-acylaminoacid into free aminoacid and a carboxylate (By similarity). Displays endopeptidase activity involved in the degradation of oxidized and glycated proteins (PubMed:10719179). {ECO:0000250|UniProtKB:P13676, ECO:0000269|PubMed:10719179, ECO:0000269|PubMed:1740429, ECO:0000269|PubMed:2006156}.