From what I've noticed during recent extensive research and demo'ing, some components and speakers just don't match well. IMHO, Paradigm is sonically a little on the laid back side, and I think Elite is also. The muddiness you describe may be a result of matching "laid back" components with "laid back" speakers. I have heard Paradigm with NAD and Yamaha, and the combos have been awesome.
I recently purchased an Elite 53TX on closeout, and I am matching it with Monitor Audio S6's, which IMHO, are a bit on the "forward" side. I can say that so far, the combo is superb.
(I tried really hard on this thread to avoid using the terms "bright" and "mellow".
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