There were issues for latency regarding some of the previous versions of Cubase, but these issues were always related to the playback being slightly behind after a recording had taken place; playing live never had any trouble.
To solve the latency after recording in Cubase 3 for example, it was a matter of making/moving a file named "ignoreportfilter" into the root directory. I just did a search with "ignoreportfilter cubase-5 latency" and it came back with a heap of hits, so this might help with your situation too.
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