5G wireless networks are evolving to meet the rapid increase in the demand of the users to get high-quality broadband services with high-speed data rate. This advance development came up with a lot of challenges such as coverage region, security, energy efficiency, spectrum utilization, cost, latency, and data rate. To ensure the security, there are many conventional key exchange algorithms that need complex infrastructure. In recent times, physical layer-based security has gained a lot of attention since it offers the simple and efficient way of key exchange by exploiting wireless channel characteristics. In this project, for secret key sharing between the two legitimate users through the correlated channel that is shared with eavesdropper, a pre-equalization transmit filter that inverts the main channel is employed. Further to decrease the probability of interception by eavesdropper while permitting successful decoding by the legitimate user. Low-Density Parity Check (LDPC) code is used to assure reliable communication. Modulation schemes such as basic QPSK and 64,128 and 256- QAM are used to achieve higher bit rates. To achieve high secrecy between the legitimate users zero forcing algorithm is used to invert the channel. Through simulations, the effect of channel correlation will be studied to analyze the low secret key mismatch between the Bob and Eve. Here Eve having high Bit Error Rate(BER) so that eve could not obtain the original bits. The simulation will be done using Matlab.