For the past few years I've been experimenting with patches to some of the Genesis Sonic games to allow custom music and I'm interested in putting up long-play videos of the soundtracks I came up with, but recording them is a whole other matter. Outputting via cables to my DVD recorder seems cost-prohibitive, so I'm leaning towards direct recording, and I'm wondering if anyone has recommendations as far as software they use for capture.
The three criteria I'm looking for, in descending order of importance, is that it (1) runs and records smoothly on my computer, which is fairly old and has "only" 2 GB of RAM, (2) is inexpensive, ideally free, and (3) doesn't throw watermarks all over the screen. It would also need to be able to capture from both emulators (for Sonic 1 and 2) and stand-alone programs (specifically the Collection versions of Sonic 3 & Knuckles and Sonic CD). I realize asking for all three I might as well be asking for the secret to cold fusion, but mainly I'm just trying to get an idea of what people use for recording their PC runs.