This is by design. The full list is defined by the roms directory, menu.txt, include.txt, exclude.txt, and *.sub files. The playlists, including the favorites list, are sub-lists of the full list. The items in these lists are direct links to the full list. This prevents duplicates, allows for the same sorting method to be used, and will tell RetroFE how to handle each of the items: the same as they are handled by the full list.