The position channel is reading the position off the PRT file, not the transformed position based on the PRT Loader. Could we get a lookup to the WS position of the particle? For gizmo stuff, I sort of need the WS position, not the channel off the PRT file.
Also note that in the upcoming Beta 6, Position and Normal channels modified by deformation modifiers below the KCM will be taken into account.
In Beta 5 and 4, the KCMs are run BEFORE all other modifiers on the stack, but we fixed that two days ago.
On a vaguely related note, when calculating camera space shading, it is obviously faster to transform the camera and lights into the PRT’s local space using FromWorld instead of transforming all particles into world space (one or two matrix multiplications vs. millions). Haven’t benchmarked the difference yet, but I bet there is one.