Illustrate the formula for portfolio beta and portfolio expected return.

The formula for portfolio beta is the weighted average of the individual asset betas in the portfolio. Mathematically, portfolio beta can be expressed as: ?p = ? (wi x ?i) where ?p is the portfolio beta, wi is the weight of the ith asset in the portfolio, and ?i is the beta of the ith asset in the portfolio. The portfolio expected return formula is the weighted average of the individual asset returns in the portfolio. Mathematically, portfolio expected return can be expressed as: E(Rp) = ? (wi x E(Ri)) where E(Rp) is the portfolio expected return, wi is the weight of the ith asset in the portfolio, and E(Ri) is the expected return of the ith asset in the portfolio. These formulas are important in understanding how the risk and return of a portfolio can be managed by adjusting the weights of individual assets. By diversifying the portfolio with assets that have different betas and expected returns, an investor can achieve a desired level of risk and return.