Does the discount curve used for discounting cash flows have to be a zero coupon, annual compounding, actual by actual day basis curve? In practice, does a curve used for discounting necessarily have certain attributes, if so what are those?
Also, how can we convert a curve from one compounding and day count to another compounding and day count?
Am working on IFRS 13 where I need to compute discounted cash flows to measure fair value of an asset/liability. I have tried to find answers to these questions but have not found anything conclusive. There is mention on how to convert a discount rate from one day count to another but not a discount curve and also not while taking into consideration the compounding change as well.