You are comparing the returns of two portfolios for a 10-year period. Portfolio I has a lower dispersion of returns and a higher average rate of return than Portfolio II. Given this, what do you know with certainty?
Portfolio I has a lower standard deviation than Portfolio II.
Portfolio I is riskier than Portfolio II.
Portfolio II has less total risk than Portfolio I.
Portfolio I will outperform Portfolio II over the next 10 years.
Portfolio II consists of more individual stocks than Portfolio I.