v. zero-bond

see zero-coupon rate

v. zero-curve

bond without interim payments of interest,Zero-bonds are issued at a discount to the principal amount. The yield results from the difference between the issue price and the redemption value.

the yield which result from the investment in a zero-bond, if one holds it till maturity (yield-to-maturity),The advantage of investing in a zero-bond is that the calculated yield can be reached in reality because there is no re-investment-risk, due to the absence of interim coupon payments

The zero-curve shows the relation between the maturity and the zero-coupon rate.The zero-curve can be derived from the normal interest curve, by eliminating the interim interest payments.