XMarks setup for Internet Explorer failed, unable to find favorites

Xmarks IE setup failed, unable to find the favorites folder. But the error message indicates it was looking for favorites under my account folder, rather than the custom folder that I have told IE to use for all IE storage. I moved the IE storage for temporary files to a small partition on a separate disk for performance gain due to simultaneous disk access and reduced fragmentation of the C drive. It would appear that Xmarks is not using the folder setting that IE uses for bookmarks storage. Is that true?