Discount-brokerage firm Charles Schwab (SCHW) - Get Report is in talks to purchase the brokerage and wealth-management businesses of USAA for about $2 billion, the Wall Street Journal reported Monday.
The move would increase San Francisco-based Schwab's presence in financial advice, the Journal reported. Its number of new retail clients opening managed accounts has risen 63% since 2015, the paper reported.
The deal would add $100 billion of assets to Schwab's portfolio. Schwab currently has more than $3.5 trillion in client assets through its brokerage, home life and auto insurance, online banking and investment services segments.
Charles Schwab is scheduled to report second-quarter earnings on Tuesday.
USAA is the San Antonio, Texas, provider of banking, investment, and insurance services to military personnel and veterans. The company had $155.4 billion in total assets as of 2017.
Schwab shares were trading up 0.4% at $40.29.