THank you, Komatos. I have activated the two PSD options. Old Bruce, your tip was helpful. I could change the word (there were many layers to the word, but when I changed one, they all changed... see attached circle indicating a random one I chose to double click then edit in a new window).
And thank you, Walt. I'm starting to think the downloaded Freepik psd might just be a smart object that cannot be handled by AP
PROBLEM: the dynamism (blue glow) and original font are gone. See attached (what it is suppoed to look like vs what it looks like). Is this because of the smart object not being handled completely? Do I need to have the original font installed (I dont know what the original is... the psd file doesnt say).