In my Windows 11/ARM64 VM running in Parallels on M1 any Windows x64 code that calls AVX will fail with an illegal instruction. This seems to be a limitation of the x86/x64 emulator built into Windows 11 that also applies to Rosetta. I assume this is because emulating AVX is just not feasible on the current ARM architecture.
Apparently the latest builds of windows 11 on ARM64 will emulate AVX. Will this apply to a parallels VM on M series Macs?