Understanding convert_utc


Am i misunderstanding the convert_utc function of Appdaemon?
Accorning to the documentation:

Gets a datetime object for the specified UTC.

Home Assistant provides timestamps of several different sorts that may be used to gain additional insight into state changes. These timestamps are in UTC and are coded as ISO 8601 combined date and time strings. This function will accept one of these strings and convert it to a localised Python datetime object representing the timestamp.

I have my timezone is configured correctly on my server within Home Assistant, and appdaemon.yaml, but when passing in a string such as:
2020-12-18 16:39:00+00:00
the resulting date object is still in UTC time, and has not been converted to the correct localized time.
Am i miss-understanding the purpose of this function?