Hi Jacob!

Suppose P is a program generating some binary description X of our universe. Suppose h is a program which extracts the cell values of the game of life on your computer from X in a format compatible with f. h is relatively low complexity since apparently the cell values are "naturally" encoded in the physical universe. Therefore the composition of h and P will have a significant contribution to the Solomonoff expectation value and the agent will take it into account (since it lives in our universe and therefore makes decisions logically correlated with X).