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Foglight PI install on windows 2016 server VM best configuration

New to Foglight and the discussion board. Got a newbie question. Looking for insight from someone who has done this before. We have 120 potential agents and so have spec'd the resources needed.

How should it be architected?  3 VMs or one big one?  Broken out like the specs show into 3 servers one for Foglight Manager, one for Agent manager, and one for PI repository?

Or perhaps FMS, Agent Mgr. + PI, FMS repository.

Also any advantages for us to not use the FMS embedded postgres  repository and use sql server instead ?  I can see having external sql server will require another license, patching, upgrading and other maintenance where the Postgres is embedded and taken care of by Foglight.

Thanks

sjb