as Bob mentioned it seems to be the end of a sequence of drills (some "oldfashioned" included), not a TI-demo of a competition sprint stroke...
Although: Yes, it will help in the development of a calm sustainable stroke with a patient lead arm and focus on FQ and swimming all well balanced strokes to be improved further. Where around 2:05 I think there is no pause in your sense. (IMHO he's even not patient enough and could set up his catch a little more in front.)
And no, although he seems to have always one arm in movement, his patient lead arm and the under water view of it might be what SwimSmooth led to "develop" the Overglider-term to blame TI. (Yes, I know they stated the term is independent from TI...)
I am aware about Rued's (remembering name right?) researches, he showed here, that windmilling will be the physically best and efficientest way for continues (and fastest) pace, but he never answered about the influence of resulting bad balance and streamline for normal mortal swimmers. So his answer about your question of best efficence is not comprehensive (am away from your quesition...).
And as sometimes posted here, Terry said: A nanosecond full extension is enough... then building a good catch should have started. (So no, it doesn't help his efficency taken literally.)
Last but not least, you won't get one opinion of us coaches. Will be dependent where we are working in our own strokes and where we're working with our students... and sometimes the efficentest way to learn might be not the efficientest stroke for a moment :-)