Instanced meshes called in player character do not correctly register overlaps

Instanced meshes called in player character do not correctly register overlaps with other actors.

1. Open Editor (any project with a character blueprint)
2. In Character Blueprint, add an instanced mesh component with 1 element (any mesh)
3. In Event Graph, select instanced mesh component and create a begin component overlap event>Print string
4. Compile.
5. In level, add an actor to overlap.
6. Press PIE, move character to allow instanced mesh component to overlap other actor.

Results:

Overlap event does not fire.

Expected:

Overlap event fires, printing a string to screen.