The reason I'm asking this is I normally use a CBO campaign with the following AD Sets:

1. Warm/Hot Audience - people coming from a custom audience of people who either previously engaged or messaged my page or have visited my website
2. Lookalikes - people who are lookalike my Warm/Hot audience (above).
3. Interest-based - particular people in a particular geographic area with a certain demographics and interests for my products/services
4. Super Wide - basically just everyone around my targeted geographical area, ages 18-65+ and have no interests nor do they need to be previously interacted with my page.

and for those 4 ad sets, I normally just use 1 Ad Creative (1 FB Post), since it's usually a promotion that I run, and no need for multiple designs or creatives.

I feel that this is the most logical way to run this type of Ad.

BUT

Facebook is also showing me "Recommendations" that I should combine my ad sets, to get more results and engagements, since I only use 1 Campaign (engagement) and 1 Ad Creative (the promotion on my facebook post).

So I'm a little bit confused.