Triangle,
If I were you, I would use the CH conversion setup as it arrived. It should provide adjustment for the sensor and is a proven design. The magnet needs to pass the sensor when the crankshaft is 28 degrees before top dead center. It doesn't matter where the two items are positioned, just that they creat a spark at the right time. Magnet size and depth of the hole are important considerations. Centifrical force can loosen and throw the magnet if it is not secure enough. Too small of a magnet may lack reliable operation. Good luck.

Dave