Kega Fusion
Kega Fusion is an emulator created by Steve Snake, with the latest update dating back to 2010. It has native VGM logging, but this feature is not recommended for modern use.
Advice
If you want to create a new VGM file, open the Sound tab menu and/or press CTRL+V to record a labelled VGM yourself (example: abc1234.vgm). If the VGM playback is off or not looping, you can use VGMTools to improve it (remove empty parts and add a loop section). For better VGM results on Sega Genesis, use BlastEm instead of Kega Fusion.
Converting the VGM you created with Kega Fusion to SMPS will not record the DAC because it is PCM data. It is not recorded unless you recreate the drum sounds yourself. Playing the VGM with RYMcast VGM Player or transferring it to XGM Sound Driver will also not play the PCM samples; they will only play the sequence data. Also requires to you optimize the DAC and follow the exact how VGM work with PCM used for FM 6.
Known issue
VGM files can be large due to the high number of notes and long durations, especially for instrument data and PCM samples.
If you are finding it difficult to create VGM with Kega Fusion, which feels like an old method from around 14 years ago, please see our recommended emulators for logging VGM.
How to make loop in VGM made with Kega Fusion
Follow this guide about manually looping VGM. It's better checking the page instead of just writing the entire tutorial in here, you can use foobar2000 with foo_gep to convert the VGM to WAV Audio.