There is no usage guidance for this tag … yet!

Usage guidance, also known as a tag wiki excerpt, is a short blurb that describes when and why a tag should be used on this site specifically.

A risk-free rate does not contain credit risk premium. Usually risk-free rate in a country is yield on government bonds. Taking all maturities, it is possible to construct risk-free yield curve.

Sometimes, a key rate of a central bank is also considered as risk-free short-term rate.