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As close as possible to the centre of mass of the frame, so that it doesn't make the bike respond in any unexpected or unusual way
It's <1% change in bicycle mass, and we can assume that the rider and/or team will train thoroughly with the ballasted bike before riding the record attempt/championship race.
There's an interesting thing here for more advanced maths illustration. Leaving the inner tubes aside, because they are nothing like a simple change of mass, let's say the initial sample bike comes in at 6.75kg. To pass scrutineering, you buy a 50g slug of Tungsten and glue it inside one of the frame tubes. On a pursuit bike, where do you glue it to maximise the benefit?