Assume that the market is in equilibrium and that Portfolio AB has $50\%$ invested in Stock A and $50\%$ invested in Stock B$.$ Stock A has an expected return of $10\%$ and a standard deviation of $20\%.$ Stock B has an expected return of $13\%$ and a standard deviation of $30\%.$ The risk$-$free rate is $5\%$ and the market risk premium, rM $$ rRF$,$ is $6\%.$ The returns of Stock A and Stock B are independent of one another, i$.$e$.,$ the correlation coefficient between them is zero. Which of the following statements is CORRECT?