I've never used this method, so I know only a little about it. Does it describe distortions due to the optics as well as field of view, eye position, etc?
The plain SPAAM algorithm just uses Direct Linear Transform (DLT) to approximate the extrinsic (pose) and intrinsic orientation of the virtual camera (eye-display combination). DLT assumes a pinhole camera model. Hence, it does not consider radial distortion.
SPAAM is simply put just a procedure to collect your 3D-2D point correspondences. Hence, you could also use other models (considering distortion parameters) and estimation methods.