Torque is just a turning force. You can have torque without motion, for example, using a torque wrench on a seized bolt. When you combine torque with motion (RPM), then you have power since work is being done.
Open CD systems don't necessarily have to be 50/50. Changing the rear differential ratio will change the torque split between front and rear (while all the wheels have traction). Changing the rear ratio on the 5MT will cause problems because the plates in the VC would move much faster relative to each other and possibly overheat.