"Japanese stocks are the elephant in the room as President Obama visits the Asian democratic countries, among them Japan," says international stock expert Vivian Lewis.

The editor of Global Investing highlights two favorite Japanese stocks for investors comfortable buying individual shares: Hoya (HOCPF) and Makita Corp. (MKTAY).

Q. Charles, global markets have really taken it on the chin recently, yet you have bravely launched two new funds, IVA Worldwide (IVWAX) and IVA International (IVIOX). Does that mean that you are near-term optimistic on the markets?

A. The October 1st launch date of our two new funds was somewhat coincidental. We realized this spring that the private funds IVA offered were not sufficient and that there was a considerable demand for mutual funds. It took us a few months to get the registration of these mutual funds effective. But, though we believe our strategy is resilient to downturns, we are thrilled to launch these two funds now that stocks have become so much more attractive than a year ago.

Q. Your funds are not constrained by any particular sector or capitalization concentration, as long as the investments are value-oriented. What is your definition of value and in which sectors and countries are you currently investing the funds' money?