The proper term for these devices would be "AC-to-AC converters." These devices take one AC waveform, rectify it (make it DC), and then pass it through an inverter to produce a new AC waveform.
A transformer would only change voltages, and 120V and 127V are basically the same from an electrical engineer's point of view. There's no problem there. If you know how noisy the power line is in most apartment complexes and office buildings, you'll be aware that those 7V are largely irrelevant.
For devices that rely on the frequency (few), you should certainly get a converter. For devices like portable electronics with battery chargers, it shouldn't be an issue. Why? Because portable electronics already have a good bit of power-handling circuitry built into them. The chargers, for example, are basically just AC rectifiers and controlled current sources. The rectifier in the charger will produce DC with just a tad bit more ripple when energized with 50Hz than 60Hz. You can safely assume that ripple will be nicely dealt with by bypass capacitors.
Be the most concerned with the following devices: Televisions, monitors, and radios. These devices often don't use just rectified AC for power; they depend in some way on the power frequency.
In general, if it's modern and has a battery charger, it'll be fine on 127V/50Hz. If it's old or uses the line directly, opt for the safety of an AC-to-AC converter.
- Warren