PDQ in Azure VM - best practices for storing installers/packages?

I'm needing to deploy PDQ into an Azure VM. The VM would be on a network that has connectivity to our on-prem network via an IPSec tunnel. 

Question I have is, where should I store the installer/packages? I'm considering either putting them on an Azure File Share if possible, or keeping them on an on-prem file server that most computers will have closer connectivity to most of the time. 

I am not sure if PDQ server is pulling the files to itself first, or simply telling the computer where to pull the piles from upon executing the deployment, 



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