The blueprint screenshot above is all you need. It’s just a simple blueprint with a static mesh and text renders. No event graph with a simple construction graph which let’s me input custom text with each blueprint placed in the level.
It happens even without using the above blueprint. Try this to see if you can reproduce the problem: place an independent text render in a level, set the horizontal spacing adjustment to anything above 0.0 (to 5.0 in my case). The updated spacing should be correct except between the last two characters of each word.