The distributions of rates of return for Companies AA and BB are given below:

state of the economy	probability of this State occurring	AA	BB
Boom	0.2	30%	-10%
Normal	0.6	10%	5%
Recession	0.2	-5%	50%

We can conclude from the above information that any rational, risk-averse investor would be better off adding Security AA to a well-diversified portfolio over Security BB. Do I agree with this briefly explain the rationale ?