insearchofprat
Please advise the most correct, distortion-free way to set this up.
Always best for noise to use as much of the source’s gain as you can.
Wind you sources volume up to a couple of notches back from full up with your quietest recording. Then while listen to this set the rear passive volume on the Parasound for the max loudness you listen to. That gives you a little more in reserve on the source if you play anything even more quite than you had.
NB: And if the sources volume control is done in the digital domain, this way ensures that you won't do any "bit stripping" (loss of resolution) because the source volume is down too low.
Cheers George