If an SMPS is to be shielded to prevent it from radiating to the environment…..
-then is it true that the shield must enclose the entire SMPS circuitry, or else the radiation will simply be emitted by diffraction out of any gaps in the shield?
Yes your are correct. Apetures on the SMPS walls ( for signal cabling and ventilation) are the raditation coupling paths. Aperture will resonate at half the wavelength, and it will start allowing the EMI from that frequency.