Modern Portfolio Theory (MPT) is a framework used to help investors maximize returns for a given level of risk by strategically selecting a combination of assets. According to MPT, diversification can reduce the overall risk of the portfolio while maintaining an expected return. A key concept in MPT is the efficient frontier, which represents a set of optimal portfolios that offer the highest expected return for a defined level of risk.

Consider the following scenario: An investor is analyzing two portfolios, A and B. Portfolio A is composed entirely of stocks from the technology sector, while Portfolio B is a mix of stocks from technology, health care, and consumer goods sectors. Which of the following statements is true regarding the risk levels of these portfolios?