Par rate curve vs the spot rate curve

CFA Level II
#1

Does this mean the same thing?

Or is it only same provided that it is a zero coupon bond?

Can anyone explain the difference between the 2?

#2

Par curve assumes the bond trades at par (coupon rate=yield). Spot curve is taking a zero coupon books into consideration. Check out the following link from S2000magician’s site:http://financialexamhelp123.com/par-curve-spot-curve-and-forward-curve/

#3

The par curve gives the YTM for coupon-paying bonds: the discount rate applied to a series of payments (coupons and principal).

The spot curve gives the discount rate for a single payment at each maturity.

#4

Is “par curve” ==“curve of par yield”?

and the value of “par yield” is defined as c in https://en.wikipedia.org/wiki/Par_yield

#5

Yes.

#6

Thank you

#7

You’re welcome.

#8

An important thing is that you can derive the spot curve from the par curve.

#9

And vice-versa.

#10

True.