My understanding is that, per the "Alterations the Magic" section in Curse of Strahd: –
spells cast for the purpose of leaving Barovia simply fail, as do effects that banish a creature to another plane of existence.
Given that the Arcane Archer's Banishing Arrow feature states that it
banish[es] your target to a harmless location in the Feywild.
Am I right in understanding that it simply has no effect while the character is in Barovia (and therefore might be a bad pick for a potential player to choose)?
Best Answer
You are right
The Feywild is another plane of existence (see the DMG p. 49). The arrow causes an effect that would banish a creature to another plane of existence. Hence it would not work, and would be a bad choice for a player to pick for their character in a campaign playing in Barovia.
The full text of the restriction states:
The effect is extremely powerful. There should be no exceptions if not even wish can create any.