On carbs, always install dry. any sealant can get into jets or other parts clogging things up.
My boy had a 912 once, and a little RTV ball got into one of the air jets. It took a long time to diagnose, and boy, could that car backfire!!
On the piston lifting rod, mine do not have them so I can't comment. Which model ZS do you have? CD, CDSE, ??
jerry