It automatically removes trapped air from a central heating installation.
It has a shut off cap that can be used to stop auto venting if so required. The valve in the picture shows a plastic shut off cap, sometimes they have a brass cap (makes no difference to operation of the valve).
Please note that in certain circumstances air can be drawn into a system through an auto valve when the pump is running. If this is the case use the small cap to close off after venting has finished.