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Behavioral researchers argue that although individuals often rely on heuristics or rules of thumb that reduce the complexity involved in predicting values, such heuristics can lead to severe and systematic errors. I test this argument in an investment context by focusing on a simple heuristic whereby momentum traders are attracted to buying stocks that have recently doubled in price in anticipation of further gains. I show that such a strategy can lead to predictable disappointment for these investors and severe underperformance relative to the market (‐28% over a 4‐year period), whereas investors who avoid relying on this simple heuristic are likely to perform as expected, on average similar to the overall market. I also find that underperformance is more severe for stocks that have doubled faster. The “doubling” variable is a significant predictor of future price reversals in addition to past performance per se, as uncovered by the previous researchers.

To provide personal memories of the work of Heinz von Foerster.

The approach is one of personal reflection.

How the philosophy and science of cybernetic and cybernetics of cybernetics Heinz von Forester helped create was visible in his behavior with others is described. The relationship between von Forester and research associates of the Mental Research Institute is outlined.

Provides an insight to the importance of the work of von Foerster.

Considers that in ecosystem, landscape and global ecology, an energetics reading of ecological systems is an expression of a cybernetic, systemic and holistic approach. In ecosystem ecology, the Odumian paradigm emphasizes the concept of emergence, but it has not been accompanied by the creation of a method that fully respects the complexity of the objects studied. In landscape ecology, although the emergentist, multi‐level, triadic methodology of J.K. Feibleman and D.T. Campbell has gained acceptance, the importance of emergent properties is still undervalued. In global ecology, the Gaia hypothesis is an expression of an organicist metaphor, while the emergentist terminology used is incongruent with the underlying physicalist cybernetics. More generally, an analytico‐additional methodology and the reduction of the properties of ecosystems to the laws of physical chemistry render purely formal any assertion about the emergentist and holistic nature of the ecological systems studied.

The paper serves as an introduction to the special issue on Heinz von Foerster. Major episodes of his life are sketched and related to his scientific convictions regarding transdisciplinary research and radical constructivist. In the second part the contributions to the issue are summarized. Finally, the relevance of Foerster's work is discussed.

The arguments are based on the scientific literature.

Foerster argued against reductionist science and in favor of transdisciplinary research in order to trigger further scientific developments.

By using transdiciplinary and choosing the constructivist perspective, science will increase its productivity. This should be reflected in science policy.

By pointing at the variety of his scientific output and his influence on many colleagues and students, the paper is in support of Foerster's non‐reductionist worldview.

Seeks to promote an understanding of a multidisciplinary approach to artificial intelligence and the humanities.

This paper is based on an interview with Heinz von Foerster.

Describes von Foerster's personal and intellectual journey which made him a transdisciplinary scientist and the founder and director of the Biological Computer Laboratory.

Provides a better understanding in how the complexity of scientific practice should be reflected in an open and flexible attitude towards the objects of enquiry.

From the radical constructivist point of view the mainstream conception of memory as an encoding‐storage‐retrieval device is considered questionable. The paper aims at an alternative perspective on memory and its interaction with cognition.

The argumentation is based on various experimental data such as cognitive problem‐solving, change blindness, and childhood amnesia. Theoretical insights of the radical constructivist epistemology developed by Heinz von Foerster and others contribute as well.

Describing memory as storage‐retrieval device separated from cognition is rejected. Rather, memory is the expression of a static snapshot of otherwise dynamical cognitive processes. As an embodied network of constructive components, the evolutionary evolved cognition‐memory compound is not geared toward reproducing “true” facts. Rather, its goal is to produce structure that maintains coherence with the rest of the network.

Memory research should not judge recognition in terms of “correct” or “false” but rather reassess its performance in terms of the super‐ordinate cognitive faculty.

The results imply that the role of memory should be reconsidered both in memory research as well as in practical areas such as psychotherapy and law.

The new characterization of memory rejects the narrow computational theory of mind. It provides a better account for memory distortion phenomena such as false recognition, intrusion, and confabulation.

A sample of twenty‐six Mexican and fifty‐nine Canadian equities listed on the New York Stock Exchange are examined to determine whether these foreign equities outperform the S&P 500 as a result of the North American Free Trade Agreement of 1994. Data are tested for significant differences in performance before and after the introduction of NAFTA during the period 1980‐2000. Findings show no significant post‐NAFTAdifference in the three‐year performance of the Mexican equities. However, the post‐NAFTA sample of Canadian equities significantly outperformed the S&P 500 by 28.8 percent, perhaps suggesting a NAFTA‐related wealth effect for the Canadian firms.

Delight, and the possibility that an observer might continually delight in the same thing, is difficult to deal with in a rigorous way. Very little has been written recently about this subject. The purpose of this paper is to offer insights about this vital subject with reference to design work being undertaken at UCL.

It is the contention of this paper that arguments taken from constructivism and second, order cybernetics can help in this. The cyberneticians who have most significantly dealt with cybernetics and physical architecture are Pask and Glanville. They offer significantly different and contradictory insights. Techniques for conceptualising an interactive performative architecture are discussed, based on work undertaken with postgraduate students at the Bartlett Interactive Architecture Workshop, UCL.

Glanville and Pask can be reconciled. When physical architecture can be considered as contributing to physical performance both sets of insights can exist in a common theoretical frame.

Designers should consider creating work that contains rich variety and the cues for observer construction, while also offering the possibility of ambiguity where different distinctions are equally possible. It is possible to utilise the differences that arise from changes in the external environment to manipulate the latter.

The paper suggests ways of creating places that offer continual delight to their observers.

This study aims to evaluate the adequacy of climate risk disclosure by providing empirical evidence on whether corporate disclosure meets rising stakeholders’ demand for risk disclosure concerning climate change.

Drawing on a triangulated approach for collecting data from multiple sources in a longitudinal study, we perform a panel regression analysis on a sample of multinational firms between 2007 and 2021. Inspired by the Global Reporting Initiative (GRI) principles, our innovative and inclusive model of measuring firm-level climate risks underscores the urgent need to redefine materiality from a broader value creation (rather than only financial) perspective, including the impact on sustainable development.

The findings of this study provide evidence of limited corporate climate risk disclosure, indicating that organisations have yet to accept the reality of climate-related risks. An additional finding supports the existence of a nexus between higher corporate environmental disclosure and higher corporate resilience to material financial and environmental risks, rather than pervasive sustainability risk disclosure.

We argue that a mechanical process for climate-related risk disclosure can limit related disclosure variability, risk reporting priority selection, thereby broadening the short-term perspective on financial materiality assessment for disclosure.

This study extends recent literature on the adequacy of corporate risk disclosure, highlighting the importance of disclosing material sustainability risks from the perspectives of different stakeholder groups for long-term success. Corporate management should place climate-related risks at the centre of their disclosure strategies. We argue that reducing the systematic underestimation of climate-related risks and variations in their disclosure practices may require regulations that enhance corporate perceptions and responses to these risks.

This study emphasises the importance of reconceptualising materiality from a multidimensional value creation standpoint, encapsulating financial and sustainable development considerations. This novel model of assessing firm-level climate risk, based on the GRI principles, underscores the necessity of developing a more comprehensive approach to evaluating materiality.