Distance Field Ambient Occlusion DFAO: Visible only on short distance from camera

I have a setup problem in Unreal 4.26 regarding Distance Field Ambient Occlusion (DFAO).

When enabling moveable on the skylight, the DFAO seems to only cover a close-by area in front of the camera. I have tinted DFAO red here to see clearly:

There is a dark shadow area around the camera, moving alongside, and it seems to me that is the DFAO range:

Also, my visualization of the DFAO looks … wrong?

Generation of Mesh Distance Field is enabled in project settings:

When I visualize the Mesh Distance field, it also seems to be at a very short distance from the camera, cutting off or culling objects from further behind.

Any tips are welcome. I’ve already used all the checkboxes and number sliders in skylight and directional light to see if anything has an effect, and I’ve also tried various cvars via console without any luck.

PS:

Also the changing the setting here (Occlusion Max Distance) does not have any effect on distance of the DFAO: