Sounds like you nailed my problem. I guess I didn't read the manual well enough, because what you described about the sound level is precisely what I experienced. The Yamaha has a light the comes on when it's playing an SACD, and the screen read "SACD", so that what I thought I was playing. Too bad I can't test what you found - I already returned it to Amazon.
The ARCAM settings ask which layer should be default, and it was set to SACD. So it looks like I was playing SACD out of the box. No wonder!
I fear from reading this that you are still misunderstanding.
An SACD disc can* have 2 'layers' on it:
the DSD layer -- only an SACD player can access this; sometimes called the 'SACD' layer
the PCM layer -- any player can access this; sometimes called the 'CD' layer
(*not all have a PCM layer, but most do. These two layer SACDs are called 'hybrid')
But JUST AS IMPORTANTLY, the DSD layer itself can* contain two versions:
A multichannel (e.g. 5.1) DSD mix
A stereo DSD mix
(*not all DSD layers have a multichannel mix, but many do)
So the full SACD disc architecture can look like:
DSD layer (aka the 'SACD' layer):
--multichannel mix
--stereo mix
PCM layer (aka the 'CD' layer):
--stereo mix
If the SACD disc has a DSD layer with two mixes, and you always want to play the *stereo DSD mix*, it is necessary, but
not enough, for the player to play the 'SACD' layer. Your Yamaha in fact did that part correctly. The player ALSO has to be set to play the *stereo* part of the DSD layer of the disc. Your player did not do
that step by default. Its default behavior was to play the *multichannel* mix of the DSD layer. ** (Even so you -- probably -- could have switched to the stereo DSD mix using your remote control. To avoid having to do that every time, though, you would have to go in to settings menu and change the default DSD layer playback behavior to *stereo*.)
So I suspect your ARCAM isn't merely set to play DSD ('SACD') layer by default -- again, your Yamaha did that too -- it is also set to access the
stereo mix of the 'SACD' layer by default. The alternative is, it's playing the multichannel mix by default, and you are only hearing the front left & right channel content, which is wrong; or it's downmixing to stereo, like your Yamaha did.
I would check this if I were you.
** if the SACD layer only has a stereo mix, no multichannel, then just having the player default to the DSD layer
should be sufficient to get you to the DSD stereo mix.