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Its almost impossible, for me, to do fates on the PS3 since enemies do not render, what does render is the players around me and not until all players are loaded can I see the enemies if other players are moving around then it takes even longer for enemies to render. By the time I start seeing enemies the FATE is halfway to almost over while I am unable to take any action which will qualify me to acquire XP. This also includes NPCs.
Im also on ps3 and never had any problems with fates. Maybe its your internet connection or something?
This isn't just a PS3 issue, it effects PC users as well. Its a rendering order problem - one that they are supposed to be fixing for the highest level fates (Odin and Behemoth), and looking from there as to which others they will address.
It's silly really, in V1 they had similar rendering priority problems IIRC in the cities where it took 30 secs or more at times to render the NPCs due to the number of players. Seems that's yet another lesson learned in V1 and forgotten in V2.