Fix "New Local Asset" From Right Click Menu In Marketing Activities

It seems that the "New Local Asset" option from the right-click menu in Marketing Activities was recently made more confusing and more broken then it had been previously.  Now, when I right-click on a folder and select "New Local Asset", not only does it not recognize the fact that I right-clicked on a folder, but it won't even allow me to select a Folder where it asks me to choose the Folder.

This is counter-intuititive and frustrating since I regularly create asset folders to organize my emails, landing pages, and other local assets.  Why should I not be able to right-click on the folder I want the item created in, or at least be able to select it where it specifically asks for the folder I want to put it in.