Difference between Render As Separate or Block Events?

I read the manual but I cannot wrap my head around it. Render “As Separate Events” and Render “As Block Events” seems to do the exact same thing for me. How does Block Events merge adjacent events to one sound file? I could not reproduce it.

I hoped that if I select, say 5 events that are below each other on 5 different tracks, each with separate FX, that I would get ONE resulting file of that block, as those events are vertically adjacent. But I get 5 separate files instead. Or is this only meant for horizontally adjacent events, meaning events that are adjacent ON THE SAME TRACK?