theres no problem on where the pwc is, well at least first time i just had it in the installation folder ( cos mercy told me to put it there
) and i could enter server no problem, then when i had the toolset problem i uninstalled and searched for every nwn2 thingsto delete them and reinstall so i noticed the pwc folder in my documents and moved it there, so i think as long its in installation directory or in my documents it should work.
if it doesnt, do like i did, uninstall, wipe every nwn2 folders/files you can find after uninstall (less savegames of course
) then reinstall.
that fixed my toolset problem maybe it fix your pwc problem
edit: i tested it in some other nwn2 related folders and only works on those 2, main nwn2 installation folder (Program Files\Atari\Neverwinter Nights 2) and the other 420 stated above