Controlling your character in-game is different from moving a portrait. These settings should not be linked. Inverting the Y-axis for one should not affect the other. I initially assumed this was a bug because why wound moving your mouse UP move your character DOWN, but it's right there in the patch notes:
"Camera Controls settings applied via the Character Configuration window will now be reflected when adjusting character positioning in the Edit Portrait interface."
When controlling your character, you are moving the camera around a central pivot point. For some people it's more natural to push up to look down (maybe if you first started playing flying games before FPSs?).
When moving your character in the portrait, character screen, fitting room, etc., you are are basically grabbing your character and moving it left/right/up/down. This is NOT the same thing. One is pivoting a camera, the other is moving an object.
I can now either pilot my character naturally, OR move my character model naturally. I don't have the option to do both.
I understand if some people have the same preference for both (someone obviously asked for this), but they are not the same thing, and should not be FORCED to be the same. Please either implement them as two separate options, or revert the change.