I haven’t read all the responses so apologies if it has been covered. An add chord has the note added to a triad (1 3 5). If you replace the 3rd with a 2 or 4 it’s considered a suspended chords (sus or sus4, sus2). When you add a note it is assumed you have the base triad so in a sense it’s an extension. Add 9, add 11 have the 3rd. Sus4, Sus2 do not.
Typically above the chord tones. Which Is why they have higher numbers. Doesn’t really relate to guitar that much though since we can play the same note on different strings.
I think the distinction here is a chord versus a series of chord tones and passing tones.
I have been a professional reading guitarist for over 30 years and professional charts almost never include add2 or add4 chords. They are always written add9 and to be honest I don’t see add11 chords enough to remember the last time I saw one. I DO see notes added to chords however so instead of Dadd11 it might read D(addG) - for that cool “Hysteria” tri-chorus sound.
The provided arpeggio on the other hand doesn’t sound very 11th-y because it does not emphasize the fourth interval at all. That interval is occurring as a passing tone between the third and fifth of the chord each time it occurs. If it were my transcription I would mark it as a simple Am chord. The line doesn’t sound 11th-y and the chord you are going to play over doesn’t need to be an Am(add11) either.
Hope that helps!
D