Mr Shek pointed out that the economic phenomenon in 2008, which had overturned numerous economic theories concluded in the past, was something difficult to explain with economics. For example, past experiences showed that a rise in some currencies normally came along with a fall in the others, but what happened in 2008 was that numerous currencies fell simultaneously. To explain this phenomenon, it was believed that the major cause was "panic", an emotion that could make things lose their values all at a time.

In envisaging the economic situation in 2009, Mr Shek considered that the situation was not optimistic based on the fact that industries that had given rise to extensive impacts, such as the American automobile industry, credit card companies and student loan agencies, were all facing the risk of bankruptcy. As for Hong Kong, Mr Shek, being a keen observer, pointed out that while Hong Kong was facing financial downturn with a dim outlook, there were still long queues waiting outside restaurants. It reflected that some people in Hong Kong were rather shortsighted, thinking only of the present and neglecting long-term planning. In this generation dominated by advanced technology and finance, it seemed that thoughts like "taking advantages" and "reaping without sowing" were introduced and encouraged.

What should we do at this time of economic turbulence? In the previous edition of this series, it was mentioned that diligence was one of the six core values of financial management, which is most relevant to financial management and money. However, diligence, a moral excellence, has gradually been considered as something old-fashioned and outdated.

"Genius is one per cent creativity and ninety-nine per cent perspiration!" - Thomas Alva Edison

Diligence, as a matter of fact, is the cornerstone of success, whether for a genius or an ordinary person.

One of the guest writers of the book "Wisdom on Financial Management" published by the "Tung Wah Group of Hospitals Healthy Budgeting Family Debt Counselling Centre" and a legal practitioner, Ms Vera Lam has a profound understanding of "effort precedes reward" through her personal experience. She said that during her younger days, diligence was not only a value but also a necessary quality. If you did not work diligently, it would be difficult to survive in society. Your friends and family members would not care about you if you were lazy. On the contrary, your diligence could impress them and gain love and respect for you.

Ms Lam found that nowadays, many young people have the idea that one does not necessarily reap what one sows, and they do not endeavour to do anything but simply look forward to good fortune. Ms Lam said that from her experience, even though you may not reap what you have sown, you would still be rewarded with many invisible gains. By working diligently, you can gain experience and build up a good reputation. You may even earn the appreciation of others and you thus are given more opportunities for your career development - these are gains that may not materialise immediately.

Another guest writer of the same book, Mr Ignatius Chan, former Vice-President of Bank of China, Hong Kong, fully supported the views of Ms Lam. Mr Chan asked: "What is the most invaluable asset in life?" The answer is "Having tasted poverty when one is a youngster".

Mr Chan continued: "Think of a 15-year-old possessing all the things he desires. What will he pursue for the rest of his life?" Chinese wisdom has it that poverty is an invaluable experience for a youngster. The word "poverty" marks the beginning of one's character building, the catalyst for one's diligence, and the foundation of one's positive financial management concept.

"Effort precedes reward" is an everlasting golden rule. In the face of financial tsunami, shall we slow down our pace and rethink this long forgotten value before considering investment plans?

(Part of the content is extracted from "Wisdom on Financial Management" published by the Tung Wah Group of Hospitals Healthy Budgeting Family Debt Counselling Centre.)