Charles Schwab Corp. is in talks with USAA to buy the insurer's wealth management and brokerage business for roughly $2 billion, according to the Wall Street Journal.
The transaction, which may occur by the end of the month, would net Schwab approximately $100 billion of assets, according to the report, citing unnamed sources familiar with the matter.
Mayura Hooper, a spokeswoman for Charles Schwab, declined to comment on the report, citing a company policy of not discussing "market rumors or speculation." A spokesperson for USAA didn't return a call before press time.
Schwab, traditionally known as a discount brokerage, has made moves over the last several years to push further into the financial advice market. Most recently, the company, which has more than $3.5 trillion in client assets, switched to a subscription-based financial planning option for its digital advisory service. That service has attracted more than $1 billion in new assets since its launch at the end of March.
USAA, whose clients are current and former military members and their families, earlier this month sold its asset management division, including its mutual fund, exchange-traded fund and 529 businesses, to Victory Capital Holdings Inc.