Frustrated with the sound of my system

Here is my system:
Rotel RCD-965BX CD Player as transport
MSB Link 2 DAC
Sonic Frontiers SFL-1 Signature preamp
Classe 10 amplifier
North Creek Audio Borealis speakers (Custom built kit speaker...something close to a Proac Response 2.5 design)
M&K V-75 sub
Kimber and Cardas interconnects
Kimber 4TC/8TC bi-wire speaker cables.

Here is my frustration:
The sound, regardless of music, sounds stringent, hard, really lacks air, and is anything but relaxed. It is fatigueing. I can listen to my Grado 60 headphones on an iPod and the sound is frustratingly more relaxed and has what I would call air.

I don't think that my system is that outstanding, but it really seems like I should be more pleased with what I am hearing.

I would be interested in your thoughts on where the most likely opportunity is. I really like the individual components of the system (OK the Rotel/MSB set up is old and just OK), but all together they seem to be underwhelming. I am thinking it is either in improving the digital front end (new player or DAC) or moving to a planar speaker to get the sound I desire. I have thought about new player like an OPPO 93 or 95, perhaps a tube based player or DAC, or else looking at something like a used pair of Maggie 12's or 1.6's. I have always enjoyed the Maggie sound.

In either case I am thinking that $2k is the absolute max I would want to spend on any solution. Thanks in advance. If there are other questions I would be glad to supply details.