I'm not sure you would use h265 for "better latency" as the encoding overhead is greater than that compared to h264. Sure, h265 requires less bandwidth but it also is a slower encoder. AV1 is supposedly a fast encoder but hardware to encode it is limited to the recent generation.

Capture method can have a big effect on latency and technologies like the Desktop Duplication API or NV FBC are also necessary for achieving lower latencies by minimising data transfer between cpu and the gpu when capturing and encoding.