Esri strongly don't recommend altering the user profile as performance issues can arise. Esri does not take an official stance regarding support of Non-Local/Roaming User Profiles however since such configurations are not part of the standard testing process they are not officially certified.
Re-locating the ArcGIS User Profile
The ArcGIS User Profile is located within the "AppData" location specified by the OS which can be found at the following Registry Endpoint:
[HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Explorer\Shell Folders]
Since the above value is based within HKCU (HKEY_CURRENT_USER) it is user specific and must be controlled by Group Policy. For more details on how to accomplish this see: Managing Roaming User Data Deployment Guide
