Do you mean the baremetal host or the virtual machine itself?
Host: We have the agent install on a 2008R2 HyperV server without any issues.
VM: If the operating system installed on the virtual machine is supported by McAfee then yes but there is a performance hit, but if you can afford to throw enough CPUs and I/O at it then it's not so much of an issue.
What i meant was the virtual machine itself & if McAfee certified Agent handler installation on VMware etc & would support if we come across issues in a simialar setup keeping in mind the Agent handler pre-requistes are satisfied in the VMware too.
Appreciate if you could pool in some suggestions for the CPU & I/O for the agent handler barely required to take care of 1000 clients.
Will the agent handler take care of the daily DAT update push too or do we necessarily have to have a distributed repository for the daily updates..??
See support article KB51569 - Supported environments for ePolicy Orchestrator on Microsoft Windows
(and bear in mind that every ePO server is itself an agent handler too by default).