If the strings are too close to the polepieces the magnet "pulls" them and sometimes this affects (perceived) intonation. Perceived because its probably only noticed when you plug in, which is after all where it counts.Mick
Mick Tulk, January 2007
If the strings are too close to the pickup magnets, it could affect sustain. You want a compromise between sustain and voulume.
bwriter, October 2006
it is a matter of taste... generally, the closer the string, the louder the signal (and thus more possibity of distortion, wanted or unwanted).
Rex, October 2006
You can download the set-up manual from the Fender web-site Here :-