Risk Free & Zero rate Curve - Same?

[Delo]

hi All
I have a basic question ... but confuses me - are risk free rate and zero curve same? We use zero curve to calculate PV of bonds cash flow, but we can use risk free too, right?

If this is answered specifically in material, you can point me there or any other post.
Thanks in advance.

 

[ShaktiRathore]

Hi,
Risk free rate and zero curve are not same. We use zero curve to know discount rate(which is yield of zero) at some point of time, use these series of zero rates determined from several zero coupon bonds as discount rates at various points in time to calculate PV of the coupon bond which is valued.
Risk free rate is different ,we can say its the zero rate(or yield) of risk free Govt bonds (zero not coupon bond)of some maturitoy.zeros are used in general to denote the yield of any zero coupon bond,its not risk free,besides special case when zero bond is govt gauranteed risk free bond in this case both are equal.
Risk free and zero coupon rate are diferent where zero yield has some added risk component to risk free rate.
We attach zero curve to zero coupon bonds which may not be risk free with some particular yield and not risk free rate. We associate risk free rate with risk free bonds.
hanks