UGFs are highly efficient biofilters provided you suck the gunk out from underneath them when doing weekly water changes. I used them for years (might tell you when I started keeping fish), and the main problems with them are plants don't do as well and they lose efficiency when cichlids dig.
That said, kribs and rams don't dig much if you have lots of nice caves for them. While I prefer a HOB filter, if you really want the ideal filter for fry of small cichlids get an airpump and a sponge filter. The fry will feed of the organisms that grow on the surface of the sponge - no worry ever about the fry being sucked into it, and...despite the fact they're older technology, they do work very well. You do need to rinse the sponge off in your tank water (the bucket of water you just sucked out of the tank) so you don't destroy the good bacteria but do keep it clean enough to work.
Eric
That said, kribs and rams don't dig much if you have lots of nice caves for them. While I prefer a HOB filter, if you really want the ideal filter for fry of small cichlids get an airpump and a sponge filter. The fry will feed of the organisms that grow on the surface of the sponge - no worry ever about the fry being sucked into it, and...despite the fact they're older technology, they do work very well. You do need to rinse the sponge off in your tank water (the bucket of water you just sucked out of the tank) so you don't destroy the good bacteria but do keep it clean enough to work.
Eric