550 all the way! Now, if someone could squeeze the 750 engine into the 550 frame...
And there's the rub. The 500/550 was a fine bike, it handled quite well (in it's day) and had a lower seat height than the 750. (probably the 750's only real "achilles heel" which limited ownership to taller riders, compared to the other "musclebikes" of the era like the Kawasaki Z1 etc )
The trouble is, that the 500/550 engine, while not "underpowered" is not all that inspiring either, and due to the compact nature of the engine design, there's not much room for big bore kits, crank stroking etc, so the most you can safely over-bore it to is a tad under 600cc. While the ideal overbore size for a 750 is 836cc, with bigger sleeves etc, 900, 970 and even 1000+ CC is possible, and then there's crank swaps that'll take it out to 1200cc, if that's your thing.
Sure, you can get a bit more power from head/cam mods, but you're restricted by the design limitations, and if you're looking for more performance, nothing beats cubic inches. Back in the day, a good 500/550 rider could keep up with a 750 and scare it through the twisties, but weren't particularly successful on the track, due to these design limitations, and by the time the Suzuki and Kawasaki mid range DOHC bikes came along, the 500/550 was going the way of the Dodo, as sales had all but dried up.
As to Two Tired's suggestion that some people need more cc's to feel adequate, well, I suppose that's possible, but if there was any real merit in that theory, the 350/400F set would be saying the same thing about you guys, and so on and so forth all the way down to Honda 50 scooter riders. (another fine bike, by the way) Enjoy your bike mate, you might not catch the 750's on the straights, but you'll give them some "brown moments" in the curves! Cheers, Terry.