>>Yes, a heavier arm is better for the MC pick-ups, but an AC-2 is not what I would call very "low" complinace. Yes, the DENON 103r is (about 1/3 as compliant). One of the major factors in all this is indeed the compliance of the cartridge more closely matching tonearm's range. So, I am looking to keep thing at or near the AC-2. I 100% agree that that detail isn't probably a detail.<<
Denon compliance ratings are measured at 100 Hz. The standard spec for most cartridges is to measure compliance at 10 Hz. Accuphase, IIRC measures at 10 Hz. To reconcile the difference, a 100 Hz compliance rating should be multiplied by 1.8. There's some argument whether the multiplier should be 2.0, 1.5, etc. 1.8 works about right, in my experience. So the Denon 103R compliance rating of 5 is not "1/3 as compliant" as the Accuphase. It's more like 15 for the AC2 vs. 9 for the 103R. The 103D works out to 21.6 on an apples to apples basis.
Even the AC2 is not really in its sweet spot in the SME III, but the combination gets into the working zone, whereas the 103R motor is just not being worked in that arm. A 103D would be deep in its zone so my suggestion is to go back to that, if you aren't going to upgrade the tonearm. Another route: you have a good dynamic match for a Denon DL-S1 or a DL304. A DL-S1 is right at the threshold of your price range and will easily best many or most cartridges at the top of it. However, my better advice is to upgrade the arm, for more reasons than changing effective mass.
Phil