Equity oriented fund classification requires minimum equity investment thresholds and prescribed annual average computation. For tax purposes an equity oriented fund is a mutual fund scheme (or specified unit linked insurance scheme) that meets minimum equity investment thresholds and an annual average computation rule: under section 10(38) more than sixty five percent of proceeds must be in equity shares of domestic companies; under section 112A either inter fund investment requires ninety percent thresholds for both layers or, otherwise, sixty five percent must be in listed domestic equity, with insurance schemes required to satisfy the minimums throughout the policy term.