Explain why investors who have diversified their portfolios will determine the price and, consequently, the expected return

Question:

Explain why investors who have diversified their portfolios will determine the price and, consequently, the on an asset.

Expected Return
The expected return is the profit or loss an investor anticipates on an investment that has known or anticipated rates of return (RoR). It is calculated by multiplying potential outcomes by the chances of them occurring and then totaling these...