You have the file system in memory, not the data...
That's still going to require a lot of memory. I just checked, the MFT for my C: volumes is 200MB (you can find this out on Vista/7 by running "defrag C: /a /v"). I have 5 volumes in total, and the MFTs of the others are around 100MB in size (it depends on the number of files on the drive more than anything else).
So keeping the entire MFT in memory for all my volumes would cost me about 500-700MB of memory. That's a rather substantial cost just to get better estimates of file copy times. Especially since this memory would have to be non-pageable, because that would defeat the purpose.