Refugums are a great addition to the reef tank. Not only will you, more often than not, eliminate the unwanted algeas, but you can dose your tank through it, add the necessary macroalgeas and overall add a greater possibility of a healthier tank.
In my sump/refugum I have rock rubble to break up the micro bubbles from the drain side, then a couple of baffles to further eliminate the bubbles, then a small area for filter floss, carbon, etc.. then the refugum (an area of low flow), then finally the section for the pump. You could switch the pump/fugum arrangement if you wanted to.
In my opinion, the filter area is necessary to clean and polish the return water. I also have the heater and protein skimmer in the sump.
I would also not be without one. As a matter of fact I am changing mine out to a larger capacity sump/fuge. I am going from a tidepool II (13g) to a 20g diy.