ADDENDUM TO PORTFOLIO MANAGEMENT AGREEMENT Allianz Global Investors Fund Management LLC 1633 Broadway New York, New York 10019 October 4, 2011

Exhibit (d)(2)(xxxviii)

ADDENDUM TO PORTFOLIO MANAGEMENT AGREEMENT

Allianz Global Investors Fund Management LLC
0000 Xxxxxxxx
Xxx Xxxx, Xxx Xxxx 00000

October 4, 2011

RCM Capital Management LLC
000 Xxxxxxx Xxxxxx, Xxxxx 0000
Xxx Xxxxxxxxx, XX 00000

Re: Allianz RCM Global Small-Cap Fund (the “Fund”)

Ladies and Gentlemen:

     This will confirm the agreement between Allianz Global Investors Fund Management LLC (the “Adviser”) and RCM Capital Management LLC (the “Portfolio Manager”) as follows:

     1. Allianz Funds (the “Trust”) is an open-end management investment company organized as a Massachusetts business trust and consisting of such separate investment portfolios as have been or may be established by the Trustees of the Trust from time to time. Up to seven separate classes of shares of beneficial interest in the Trust are offered to investors with respect to each investment portfolio. The Fund is a separate investment portfolio of the Trust.

     2. The Adviser and the Portfolio Manager have entered into a Portfolio Management Agreement between the Adviser and the Prior Portfolio Manager dated February 1, 2002 (as from time to time in effect, the “Agreement”), pursuant to which the Adviser retained the Portfolio Manager to provide investment advisory and other services specified in the Agreement to the Fund and certain other series of the Trust, and the Portfolio Manager has accepted such employment.

     3. As provided in paragraph 5 of the Agreement and subject to further conditions set forth therein, the Adviser shall with respect to each Fund pay the Portfolio Manager a monthly fee at the following annual rate based upon the average daily net assets of such Fund:

Fund		Fee Rate
Allianz RCM Global Small-Cap Fund			0.80	%

     4. This Addendum shall take effect with respect to the Fund as of November 1, 2011, and except as set forth in Paragraph 3 shall not otherwise alter the terms of the Agreement with respect to the Fund or any other series of the Trust.

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     If the foregoing correctly sets forth the agreement between the Adviser and the Portfolio Manager, please so indicate by signing and returning to the Adviser the enclosed copy hereof.

		Very truly yours,
		Allianz Global Investors Fund Management LLC
		By: Name:		/s/ Xxxxx X. Xxxxxxxx Xxxxx X. Xxxxxxxx
		Title:		Managing Director

ACCEPTED:

RCM Capital Management LLC

By: Name:		/s/ Xxxxxx Xxxxxxxxx Xxxxxx Xxxxxxxxx
Title:		Chief Executive Officer

[Signature Page — Addendum to Portfolio Management Agreement]