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Performance hit with VBS enabled

After enabling "Virtualization Based Security" in Windows 2019 VM's it gives performance issues during group policy execution:

While the general performance hit is as low as 1% or 2% on new hardware, it stays very significant during computer group policy execution. Group policy components which require only milliseconds to execute when VBS is turned off, take multiple seconds or are giving a timeout on VM's with VBS enabled. Users notice login delays because of this.

We do not notice these group policy execution delays on Windows 2019 VM's running on Hyper-V hosts, only on ESX hosts. Group policies, enabled VBS features, and all other factors are the same. 

VMware ESXi, 7.0.3, VM version 19, CPU hardware virtualization/io mmu & secure boot enabled.

Is this expected behaviour with nested virtualization?

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