The setting in Update Rings policies is there for those customers who do not want to use feature update policies for any reason. They are not intended to be used together. We recommend using the feature update polices because they offer benefits like gradual rollouts, starting on a specified date, specifying the version, and reporting... not to mention the new feature that will also ensure devices not eligible for Windows 11 are update to the latest Windows 10 22H2 release (something the Update Ring setting does not do). So, when using the Feature update policies, leave the Upgrade Windows 10 devices to Latest Windows 11 release setting to No, so that the feature update policy can do it's magic. Hope that helps.