I've done a quick test and it actually fixes one of the things I hated about playing ranged. Basically, when shooting down at an angle and aiming in 3rd person, your arrows don't go where you're aiming - they go to where your crosshair is located in first person mode. (Your 3rd person crosshair is placed slightly higher than your 1st person one, as you can see in the video below). With the setting enabled, they line up perfectly. I'll definitely be keeping this on.