diff --git a/src/system4.c b/src/system4.c
index cab5696..fadea60 100644
--- a/src/system4.c
+++ b/src/system4.c
@@ -224,7 +224,7 @@ static char *get_xsystem4_home(void)
 	}
 
 	// If all else fails, use the current directory
-	return xstrdup(".");
+	return realpath_utf8(".");
 }
 
 static char *get_save_path(const char *dir_name)
@@ -491,7 +491,7 @@ int main(int argc, char *argv[])
 
 	if (argc < 1) {
 		if (!config_init_with_dir(".")) {
-			if (!config_init_with_dir("../"))
+			if (!config_init_with_dir(".."))
 				usage_error("Failed to find game in current or parent directory");
 		}
 	} else if (argc > 1) {
diff --git a/subprojects/libsys4 b/subprojects/libsys4
index 05b4cec..29d7356 160000
--- a/subprojects/libsys4
+++ b/subprojects/libsys4
@@ -1 +1 @@
-Subproject commit 05b4cec8a6085e8339d138fbde186873c849757b
+Subproject commit 29d73563ecc9fac4716e5ffdb8bf0796cff37ccb