NEW YORK ( TheStreet) -- Bank of America ( BAC) may be suffering a lot of bad press, but it's a great franchise with a cheap valuation, says Randall Dishmon, manager of the Oppenheimer Global Value Fund ( GLVAX), who also likes competitor Citigroup ( C).

The mutual fund, which garners four of five stars from Morningstar ( MORN), has returned over 30% in the past year, putting it in Morningstar's 13th percentile for world stock funds. During the past three years, the Oppenheimer Global Value Fund has returned an average annual gain of 14%, placing it in the top 2% of all funds in this category.

Welcome to TheStreet's Fund Manager Five Spot, where America's top mutual fund managers give their best stock picks and views on the market in a five-question format.

With all the worry about a double-dip recession, why is the U.S. your favorite market right now?

Dishmon: Relative to other markets in the world, it's cheaper. The accounting and corporate governance is better, which provides more certainty on outcomes. And you've got an opportunity right now in the midst of this rough market for some great values.

Bank of America has clearly been struggling as a company of late. Tell me, why do you want to own that stock?

Dishmon: Bank of America is in the midst of a perfect storm and it has been for a couple of years. It's had bad press and pretty much everything that could go wrong with the bank has gone wrong. But what you've got at the heart of it is a great banking franchise. And at this point it is overcapitalized and it's trading at 75% of tangible book value. That's the value you would get if you broke it up and sold off the pieces. It's wildly misunderstood at this point, people will look back in a couple years and regret not purchasing that stock today.

On the other hand, a lot of analysts are upgrading Citigroup for the first time in a long time. What's your outlook for that company?

Dishmon: Citigroup is one of the best, if not the best, international banking franchises that has ever been assembled. It is also trading at a wild discount to tangible book value, again about 77%. And you can buy Citigroup today for less than the cash on its balance sheet. You don't get many opportunities like that. It's a wonderful franchise and a wonderful opportunity.

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