The thing is, the literal/direct/faithful translation (for me at least) means that it not contains unnecessary changes. So than, what is an unnecessary change? I'm sure all of us would answer differently to that, but for me changes that are not needed to fully understand the story, for example: Japan->Los Angeles. I know why they changed this, the localized English names would be weird in a Japanese setting. Than again, what's the matter with the names? And this is the part where our opinions will differ. I think names are unnecessary to change, first of all these puns are not adding to the game that much (when I played the games first, I didn't understood most of these puns, but I loved the game the same way), and mainly names are kinda sacred for me. For a long time a really hate when translators change the names of the characters, they don't have any right to do that, and think about it this way: would you, Dowolf, like it if I would call you Sun, just because of your avatar. If we can't change people's names in real life willy nilly, why we can change characters names just like that? Yeah, characters wont argue, but what about the author?
I never said or meant there are no downsides to a translation. I said, because of the huge timeskip, there is no need to elaborate where Phoenix lives and why he lives there.