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Glossary

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Seven Deadly Sins of DSTs

The seven deadly sins of Delaware Statutory Trusts (DSTs) state that:
1. Future equity contributions are not allowed.
2. Trustees can't renegotiate the terms of existing loans or borrow new funds.
3. Trustees can't reinvest proceeds from the sale of DST investments.
4. Trustees' capital expenditures are limited.
5. Liquid cash must be invested in short-term debt obligations.
6. Cash must be distributed to beneficiaries on a current basis.
7. Trustees can't renegotiate the current leases or enter into new ones.

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