Folder Tree Display style isn't changing

I’ve two folders, parent and child, with the child inside the parent. The paren’t comes inside Root.

I’ve set the style to both to be ‘Go to the subfolder’ but it’s still showing the tree and opening the subfolder in the tree when I click on it.

From the docs, my impression was that, if I change the style, it’ll show only my current folder in the sidebar.

Am I missing some other setting? or did I misunderstand the docs?