ARC Ref3 Bal-SE button..what for?


I was wondering what the BAL/SE button on the ARC Ref is for? I have my cdp connected to the balanced inputs but when I push the BAL/SE button on the Ref 3, I still hear music. Can someone please explain what this button is supposed to do?
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It is supposed to optimize the sound for single ended vs balanced cables. I use balanced cables for by cd player also...but I found when I switched the button from balanced to SE, the sound was waaay to thin. When I used RCA terminated cables on the cd player, the sound was just fine when switched to SE.
The BAL/SE switch is NOT for the outputs, but specifically for optimizing the circuit to match your INPUT. The output selection is made automatically by the type of cables you have connected to your amplifier.
From the LS26 owners maual:

"BAL/SE: Select as appropriate for each input. For source components having balanced (XLR) connections to the LS26, select BAL. For single-ended (RCA) sources, select SE. Once selected for an input source, the setting is memorized."