These are in-line preamps powered by your interface's phantom power that will boost the gain by 20-25dB before the mic signal hits your preamp/interface. Short of replacing the interface or buying a better external preamp, you can try a Triton Fethead or Cloudlifter with your SM57. That's one of the difference between high quality and cheap preamps - high quality pre's will be very quiet and sound great through the whole sweep of the gain knob, whereas cheap pres usually have a narrow range where they sound optimal and don't hiss. The answer is that most cheap interfaces hiss when the gain is cranked above a certain level. Albeit it happened higher up on the gain knob, around 4:00 or 5:00. This thread is old, but I wanted to chime in because I've encountered a similar hissing problem recording with my interface (Native Instruments Audio Komplete 6).

When you guys record in your homes, are you getting a ton of hiss and hum just from recording a silent room? I'm a guitarist who knows nothing about this stuff. Noise gates help it of course but there's so much noise that when, putting a noise gate on it, it ends up effecting the guitar tone by dampening it. Just recording the room, not even with the guitar playing. I've isolated certain variables like the tube preamp, etc. Feeding out of the preamp into the Behringer XENYX mixer, feeding into the laptop. Both knobs (Vol/Gain) set to about 10 o'clock. Those are both feeding into the Behringer Tube Preamp. The Fat Head is about 14 inches back also in the center. SM57 is dead center, right up to the grill cloth. Right now I have a Fender Roadworn Strat going into a dirt box going into the Victoria Tweed Champ. So I am in the process of started to track some pedal demos for youtube, but I'm having a lot of noise issues.

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