It doesn't, not compared to most of the "realistic" realms, seems half baked.Alfheim looks absolutely beautiful. Also, what? The vegetation even moves by a swoosh of the axe. It's even mentioned in the Digital Foundry/NXgamer analyses.
and the sparse vegetation in it doesn't react to you body, go check it again. And its just a tiny detail, in one level with one specific lone plant that you go by. But the devil is in the details, and if the game has any visual award going for it is the huge ammount of AAA polish in unusual/overlooked details, anything somewhat lacking jumps like a sore thumb.