I answered 1st, which is where I keep mine most of the time at lights, although there are 2 trains of thought on this.
Be in 1st in case someone behind you doesn't stop, good thought.
Be in neutral because if my clutch gives way the cars coming across will make a mess of me.
As I said, most of the time 1st, but always keeping both brakes on until the last second before I move off. Even if I needed to move out of the way in a hurry because someone behind me was failing to stop I would not be leaping out into cross flowing traffic without much thought.
I'm more likely to take the hit on the back of the bike. My reason for that being if I opt to run the light because I hear/see a car not stopping then it could be I cause my own accident for no reason and get hit by someone in the crossing traffic. Even worse the car behind me might actually stop within a safe distance..
Hopefully I never find out, but it really does depend on which will give me the most damage at the time.