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Interestingly if I create a .bat file which launches the game, and register that bat file as a steam game, then the game runs flawlessly. But that's a problem, because in-home streaming thinks the .bat file is the game, and it doesn't retain the controller config when the bat file "switches focus" to the actual game.
To turn off steam overlay, you need to go into steam settings. In top left of the steam app, click steam, settings, in game. You will see a checkmark items saying "Enable steam overlay in games". Uncheck it and see if it improves you non-steam game. This may or may not work. Good luck. If it does not work, come back and tell us please!
Sadly, no dice. Even with steam overlay disabled, game is still completely laggy if launched via steam.
It maybe an FPS limit issue.
The thing is, Steam burns something on top of the game that checks it. (the Overlay is basically always on, its just not visible)
That said, perhaps disabling the overlay for that specific game alone helps a bit at least. That said, you likely need the overlay for Streaming it over remote play.
Anyway, try figuring out what exactly causes the fps decrease.
Edit: here's how you could do it
Process Monitor + Process Explorer
(set it up to see GPU processing on the App)
(also keep an eye on ram filling see if there is a limit, stuff like that)
(take a look at all gpu cores and see how many the game uses at most, maybe they're just too busy and not all are used)
Figure out what phases it starts dropping fps down, etc.
I used the .bat trick explained above in order to be able to launch the game via steam without lagging. Then I used an external controller key mapper (joy2key in my case) to map my controller.
It’s only a minor annoyance having to launch joy2key first, and then it works flawlessly. I bought a phone mount for my Xbox controller and now I can play Pokémon insurgence like a mobile game out on the porch!