Oh, not at all. As powerful as the charactres are (compared to core charcters) that advantage only goes so far.
If the PCs walk through the world of Midnight like its a hack-fest, you can expect them to die quickly.
Midnight combat is very focused on melee, since most devestating spells aren't gained until after about 7th level. Even then using them only draws the unwanted attention of the local legates.
In Midnight, you are surrouned by evil on all sides, working to fight back the Shadow an inch at a time.
So far my gaming group has really embraced the world and has started to adapt to its finer points. They avoid large cities, and when they must go into one they send an Erenlander (human) in to scout out the situation first. They never allow one of their Fey members to enter a town, knowing that anyone could be a spy that turns them in.
So far their new found caution has meant they are doing quite well in their fight against the Shadow.
Hope that helps,
Todd