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BlackRock strategist warns of low returns, years of uncertainty and volatility

Low return, high volatility market: Pro

Britain's vote to leave the European Union is adding to a world of uncertainty that could last years, BlackRock's global chief investment strategist told CNBC on Monday.

"This feels more and more like we're in an environment of low returns and high volatility for some time," Richard Turnill said on "Squawk Box, " citing slower growth in Britain and rest of the Europe. "There's [also] going to be some impact on the rest of the world."

"The period of political [Brexit] uncertainty ahead of us isn't going to last for weeks or quarters, but potentially for years," he said.

Some of the immediate political uncertainty may be abating, with U.K. Interior Minister Theresa May likely to succeed Prime Minister David Cameron as Conservative Party leader after lawmaker Andrea Leadsom pulled out of the race.

And with near-term investment community concerns about the Brexit vote also fading, the was taking aim at record highs ahead of Monday's opening bell on Wall Street.

But Turnill said the long-term forces were still stacked against investors.

"It's very hard to find value in fixed-income anywhere. Today, yields are at exceptionally low levels," he said. But he recommended two areas to explore: investment-grade credit — bonds with low default ratings — and emerging market debt.

To deal with what he expects to be slowing U.K. growth, Turnill sees an interest rate cut by the Bank of England later this week and possibly quantitative easing stimulus measures.

"We're [also] expecting more QE in Europe ... more QE from the Bank of Japan later this year, and we now have the Fed, which looks like it's on hold for the foreseeable future, " he added, predicting bond yields won't be rising anytime soon.

Meanwhile, U.K. companies with a heavy exposure to exporting stand to benefit from the fall in the pound, Turnill said. A decline in Britain's currency makes goods sold by U.K. companies overseas cheaper, which can give them a pricing advantage over their foreign competitors.

"Eighty percent of revenues from the FTSE-100 come from outside the U.K.," he said, which would explain why the key measure of the British stock market has recovered so sharply from its initial Brexit plunge.

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