Hello,
Just wanted to update everyone that this is a known/tracked issue:
Unreal Engine Issues and Bug Tracker (UE-55375)
As a workaround:
"FPrimitiveSceneInfo::ApplyWorldOffset should call DistanceFieldSceneData.UpdatePrimitive(this); That will cause ProcessPrimitiveUpdate to be called again for that object, fetching the new offsetted proxy bounds and uploading them to the DistanceFieldSceneData (GPU representation of the scene).