This policy setting controls whether file names and metadata for Office files are roamed and appear in the list of recently opened files in an Office app, such as Word, on different devices.
Roaming, which relies on a web-based Microsoft service, occurs when a user signs into Office with the same work or school account on different devices.
Note: This policy setting only applies to Office files that are saved to on-premises instances of SharePoint Server or OneDrive for Business.
If you enable this policy setting, file names and metadata won't roam and won't appear in the list of recently opened files in Office apps on other devices, unless the file has been opened on that device.
If you disable or don't configure this policy setting, file names and metadata will roam and will appear in the list of recently opened files in Office apps on other devices, even if the file hasn't been opened on that device.