According to Centroid, you do need to run 1:1 on the spindle vs. encoder. They suggest a minimum of 2000 lines/rev (8000 cpt with quadrature).
I have several lathe projects in the future, and Acorn seems like the best low(er) cost solution - I'm with you on the software and hardware being from the same company! The encoder support, etc all work to make it superior. With the price increase on Jan 3rd, 2018, I'm buying 2 more (already ordered one).