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I have a site with Magento 2.3.3 version with over 10000 catalog products. For performance purposes which Indexer should set "Update on Save" or "Update On Schedule".

Thank You.

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All Indexer should be set "Update On Schedule". If you wanna update at that times you changes can run magento cli reindex via SSH.

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Update on Save: The index is set to update whenever a change is saved form backend Or from API

Update on Schedule: The index is set to update on schedule according to a cron job. It is recommended set indexers to Update on Schedule.

To Optimize indexing process, I recommend you to check below post as I refer it multiple times:

https://medium.com/@royandre/how-we-reduced-the-magento-2-price-reindex-process-from-hours-to-minutes-and-how-you-can-too-51744c6571b4

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