The idea behind the Servo Wave levers is that you get maximum cable pull for great clearance between pads and rims, but that once the pads contact the rims you get lots of power through maximum leverage.
With this in mind, here's how I set up the XTR servo wave v-brakes:
- find the point on the lever pull where the servo wave action starts;
- adjust cable length at v-brake arm so that pads are just contacting the rim;
- use servo wave barrel adjuster to fine tune how much power you need/want - adjuster further in provides more leverage and power but with a mushy feel.