The present invention provides a peptide represented by formula (I) of X1-Leu-X2-Leu-X3 wherein X1 represents Glu or Asp, X2 represents His, Lys or Arg, X3 represents Asp or Glu, with Glu, Asp, Leu, His, Lys and Arg being respectively glutamic acid, aspartic acid, leucine, histidine, lysine and arginine; or a pharmaceutically acceptable salt thereof; a composition for the treatment or prevention of at least one selected from cartilage damage and arthritis, containing the same peptide or a pharmaceutically acceptable salt thereof as an active ingredient; and a composition containing the same peptide or a pharmaceutically acceptable salt thereof and TGFβ1. The above-mentioned peptide or a pharmaceutically acceptable salt thereof is effective for the treatment and/or prevention of cartilage damage and/or arthritis and is capable of exhibiting effects of the regeneration of cartilage tissue, the inhibition of the expression of cartilage tissue matrix degrading enzyme and/or the inhibition of cartilage tissue ossification.