No shadows on Parallels Desktop on M1 Pro mac

@woejd  Everything looks fine there, although it appears that you may have put a space after (WDDM) in one or both files.  (It's difficult to tell with the fonts the files use.)  One simple test here is to change the false in graphicsrules, a few lines down from the Parallels entry and just above the RenderShadowMode info, to true.  If this helps, it means that the game recognizes that you have a Parallels GPU but isn't matching it with the exact entry in graphicsrules.  If it doesn't help, the entire Parallels info in graphicsrules isn't working.

@woejd I got this working now, thanks @puzzlezaddict for your help.

First thing I did this time round is download Sublime Text (free trial), enable C++ formatting and edit the files there - makes it easier to check if the syntax is correct. 

At the very end of Graphicscards I added the following:

vendor "" 0x5404c42
card 0x0000 "Parallels Display Adapter (WDDM)"
end

If Deviceconfig has a name for your vendor, you should enter it between the quotes after vendor in Graphicscards above. Mine does not, so I leave it blank as above. The number after 'vendor "" 0x' is the Vendor number in Deviceconfig and the number after  'card 0x' is the Device number after 'Chipset:' in Deviceconfig

I added the following to Graphicsrules in the same place as the screenshot attached by @costalovesit, i.e. before the ATI entries:

elseif (match("${cardVendor}", ""))
if (match("${cardName}", "*Parallels Display Adapter (WDDM)*"))
seti cardLevel $cardLevelUber
seti isCardMatched true
else
seti cardLevel $cardLevelUber
seti isCardMatched false
endif
setProp $ConfigGroup RenderShadowMode 2
setProp $ConfigGroup ShadowMapAllowNullColor 1

Again, if you have a vendor name in Deviceconfig you should add it between the quotes.

Please see attached screenshots. 

Shadows work in TS3 & Edit-in-Game but not in CAW. So you'll need to at least boot EIG to test this!