Fundamental: Arpeggios work by triggering a note. The difference between playing back a MIDI sequence and playing back an Arpeggio, is anyone (including your pet cat) can start playback of a MIDI sequence... pressing the PLAY button requires no musical skill whatsoever.
Starting an Arpeggio, on the other hand, can require some musical skill. You need to know to hit Fminor7 to start play and you need to know how and when to trigger Bb7 a measure and a half later.

Arpeggios are alive and musical knowledge may be required. If your cat jumps up and presses the [PLAY] button, the Sequencer will play and sound the same as if you pressed it. If you cat jumps up and lands on the Keys the Arpeggio will start but everyone in the audience will soon know that the cat was faking it, and doesn’t know how to Voice an Fminor7 chord at all. And they totally missed the cue for the Bb7 and hit the wrong notes...

Add to this, you need to be precise about start time and data entry when controlling Arpeggiators in real-time... if you are 26 clocks ticks behind the beat when entering controlling notes, the Arpeggio phrase will remain 26 clocks late; in sync but offset late by the amount you were late. This is a major difference in behavior between an Arpeggiator Phrase, as found on Yamaha Synths, and a Style Phrase, as found on an Arranger (which seeks to always make you look good).

The Arpeggio Phrase can be purposefully offset an eighth note behind the beat, by triggering the start 240 clock ticks after the downbeat (this can be effectively used as it inverts the phrase). Timing correction for the Arpeggiators becomes very important. And KEY ON START, and LOOP Record Off, are some of the tools. The “Arp Sync Quantize” value positions your chord input to the nearest musical value. This way you can relax when changing and entering chords for ‘chord intelligent’ Arp Phrases that must be adjusted in real-time.

Recording Arpeggios to a Pattern
It is highly recommended that to record Arpeggio phrases to the Pattern Scene, that you use “KEY ON START” = ON, and “LOOP” = OFF.
This will relieve you from having to hit the trigger notes on the Downbeat, and it relieves you from having to try to STOP recording between clock tick 479 and the Phrase returning to the top.

“KEY ON START” = ON, and “LOOP” = OFF contrary to what you have written, work to Automate punch in and punch out during the Arpeggio Transfer.

“Key On Start” automates the start of the Arp, and guarantees the synchronization of your trigger note on Measure 1, Beat 1, Clock 000
On a regular count-in you would miss Clock tick 000 most of the time (because you’re only human)
Loop Off during Record, ensures that the recording STOPs precisely at the end of the set LENGTH. As a human you are even worse at stopping the transport before it would cycle back to the top. It is virtually impossible to manually hit STOP between Beat 4, Clock 479 and Beat 1, Clock 000 (you are simply NOT that good).

Automating the transfer of Arpeggio Phrases to the Pattern Sequencer using these two functions is accurate, perfect, and brilliant every single time! HIGHLY RECOMMENDED. Once an Arp Phrase has been transferred to the Sequencer Track we stop referring to as an Arpeggio Phrase... it is now MIDI event data written to the Track. It is now indistinguishable from any other event data. Significantly, the Pattern “Play FX” can be applied to recorded/document Track event data.

Extra Credit:
[SHIFT] + [ARP ON/OFF] = Arp Bypass

Record Setup: When you press the [RECORD] button, you arrive at the Record Setup screen. If a brand-new recording, you will be given an opportunity to set the “Time Signature”. Both the Time Signature and the Length must be set prior to the original recording. You can also set “Tempo”, “Record Quantize” value, “Loop” On/Off. “Key On Start” is also available.

Important Note: (Key On Start = ON, Loop = Off would be the setting when recording ARP Phrases to the Pattern Sequencer. This will ensure a clean automatic start and finish to the Recording – especially useful with Arp Recording. “Key On Start” can also be used for normal recording instead of using the Count-in. This will guarantee your first note is placed at the very top of the section (Scene).

Shown below is the Record Setup screen (the RECORD button will be flashing red) for normal (manual) play

However: When recording Arps, switch “Key On Start” = On, and set “Loop” = Off
Try it, let us know.

Worked like a champ.

As usual, you are one Bad Mister on all these tools that we love to make
music with.

Thanks Phil.

mt