I only use the PSR on-board sequencer...works for me.
I do agree that software sequencing gives you more control with editing, but I've only needed to do a small bit of editing...perhaps an effect amount or maybe a transposition...this is easily done on the PSR.
Ian
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Yamaha Tyros4, Yamaha MS-60S Powered Monitors(2), Yamaha CS-01, Yamaha TQ-5, Yamaha PSR-S775.