The Faerie World...

is a parallel existance... the pure imagination and dreams, and it isn't EXACTLY separate from our world -- not like the Garou umbra.
At any point, the fae see the world we see and "The Dreaming" simultaneously. For them, chimerical (imaginary, not effecting "real" things) armor or weapons are just as effective as a real weapon... iz all confusing.

Tho if Jim would force the spirit keeper to also mess around with Chimera... that would suck. Because at least the werebunnies and magi spend lots of time only in the real world. The Fae ALWAYS see the Dreaming and any creatures within it.