Virtual RAM must be the term they given to PAGEFILE. Actually its a virtual RAM.
As the name indicates its virtual only. it doesn't exist in your system physically.
Let me tell you what is a pagefile. a page file is a memory area occupied by the operating system in the hard disk . where it keeps the contents (pages) of the RAM (that you actually have) for temporary purpose. It is used when your system's RAM is not enough to load the programs and execute it.
Let me explain this with an example. consider you only have 256 mb of ram. your operating system occupied 100 mb of it, and you opened a movie of 700 mb (think how), the movie player is of 50 mb. Still you can play a game of 100mb. how?
The processor can perform only one task at a time. but it perform with a faster speed that we think all the applications are running simultaneously. this is the case of processor. when a application is to be executed the operating system is the one who loads the program into memory and assign CPU time to it. while loading , instead of loading the complete file it will be loading only the required portions of the 100mb program, these portions are called pages. when your memory is full, you still need to run some other programs, the operating system will move some of these pages (unused for a long time, but still under execution) in to your hard disk, in order to make some space for the new program. this space in hard disk is called virtual memory or VRAM.
now think about a 700 mb movie, how, because the complete movie is not loaded in to memory , a part of it is been loaded, and keep on loading as you finished watching the loaded part,( we call it bufferring when we watch videos in youtube)