During the Tang Dynasty, there was a man named Lu Chengqing from Zhuodi in Youzhou, known for his humility and an eye for talent.
Emperor Taizong of Tang held him in high regard, appointing him Vice Minister of War and placing him in charge of selecting and evaluating fifth-rank officials.
This was originally the emperor's favor to him, yet he earnestly submitted a memorial declining, saying, "Selecting officials should fall under the jurisdiction of the minister of personnel; letting me handle it exceeds my duties." The emperor found him even more loyal and trustworthy, and naturally did not agree.
Once, during an official performance review, Lu Chengqing was evaluating candidates for promotion when one examinee accidentally fell from his grain boat into the water. After much effort, he was pulled ashore, disheveled and soaked, looking utterly bedraggled.
Lu Chengqing thought this man was careless—after all, who falls into a river while on a boat?—so he decided to rate his performance as "below average."
When the assessment results were announced to him, this person showed no anger at all and said calmly, "If it's beyond my ability, even scoring a middling grade wouldn't make me happy."
Lu Chengqing, impressed by the man's calm demeanor during a career-defining evaluation, remarked, "You remain unruffled whether favored or disgraced—truly a man of great caliber. As for falling overboard, it was likely a momentary lapse, not worth harsh judgment." He then declared loudly, "You are one who is neither elated by favor nor dismayed by disgrace, worthy of high recognition. Your assessment ranks as 'above average.'"
The idiom "unmoved by favor or disgrace" means remaining indifferent to both favor and humiliation. Later, it came to refer to being unconcerned about gain or loss.
Source: *New Book of Tang*, "Biography of Lu Chengqing"
Meaning of the Idiom: Later, the Chinese idiom "宠辱不惊" came to describe remaining indifferent to both favor and humiliation.