Highlight text in editor, drag-and-drop to a the binder ==> create new document with the original text now linking to it

Hello. Is this possible?

Let’s say you are editing a doc titled “SETTING”. You highlight the name “JOHN SMITH”. Now, you can right-click on it, choose ‘Link to Document’, then ‘New Link’, then under the “Create New Linked Document” tab, you select a parent folder as a destination, then click OK.

Or alternatively, is there a way to just drag the highlighted ‘JOHN SMITH’ to the specific place in the binder, and upon release, a new document with ‘JOHN SMITH’ as the name is created there? And the original text in the ‘SETTING’ doc is now a link?

Right now, if I do the drag-and-drop operation, a new document is indeed created in the correct place, but my original highlighted text is either removed or is left behind but it’s not a link. Or even if the automatic linking doesn’t work–is there a way to just drag-drop a highlighted text in the editor to an existing document in the binder and make the text a link to the said document?

Going through the context menu and searching for the correct document via the dropdowns/flyout menus is too time-consuming!