diff --git a/docs/sources/setup-grafana/configure-grafana/feature-toggles/index.md b/docs/sources/setup-grafana/configure-grafana/feature-toggles/index.md
index ee061998259..b327416c5f8 100644
--- a/docs/sources/setup-grafana/configure-grafana/feature-toggles/index.md
+++ b/docs/sources/setup-grafana/configure-grafana/feature-toggles/index.md
@@ -58,7 +58,7 @@ Some stable features are enabled by default. You can disable a stable feature by
 | `disableAngular`                     | Dynamic flag to disable angular at runtime. The preferred method is to set `angular_support_enabled` to `false` in the [security] settings, which allows you to change the state at runtime. |
 | `grpcServer`                         | Run the GRPC server                                                                                                                                                                          |
 | `accessControlOnCall`                | Access control primitives for OnCall                                                                                                                                                         |
-| `nestedFolders`                      | Enable folder nesting                                                                                                                                                                        |
+| `nestedFolders`                      | Enable folder nesting for dashboards and alerts. Note that managed alert rules aren't supported for nested folders. This feature is only supported for test and development environments.    |
 | `alertingNoNormalState`              | Stop maintaining state of alerts that are not firing                                                                                                                                         |
 | `renderAuthJWT`                      | Uses JWT-based auth for rendering instead of relying on remote cache                                                                                                                         |
 | `refactorVariablesTimeRange`         | Refactor time range variables flow to reduce number of API calls made when query variables are chained                                                                                       |
diff --git a/pkg/services/featuremgmt/registry.go b/pkg/services/featuremgmt/registry.go
index 10e552e3c86..7ac2531638a 100644
--- a/pkg/services/featuremgmt/registry.go
+++ b/pkg/services/featuremgmt/registry.go
@@ -270,7 +270,7 @@ var (
 		},
 		{
 			Name:        "nestedFolders",
-			Description: "Enable folder nesting",
+			Description: "Enable folder nesting for dashboards and alerts. Note that managed alert rules aren't supported for nested folders. This feature is only supported for test and development environments.",
 			State:       FeatureStateBeta,
 			Owner:       grafanaBackendPlatformSquad,
 		},
diff --git a/pkg/services/featuremgmt/toggles_gen.go b/pkg/services/featuremgmt/toggles_gen.go
index c4383b168a8..5ce3445c400 100644
--- a/pkg/services/featuremgmt/toggles_gen.go
+++ b/pkg/services/featuremgmt/toggles_gen.go
@@ -164,7 +164,7 @@ const (
 	FlagAccessControlOnCall = "accessControlOnCall"
 
 	// FlagNestedFolders
-	// Enable folder nesting
+	// Enable folder nesting for dashboards and alerts. Note that managed alert rules aren't supported for nested folders. This feature is only supported for test and development environments.
 	FlagNestedFolders = "nestedFolders"
 
 	// FlagAccessTokenExpirationCheck