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Schwab is reportedly in talks to buy USAA's wealth management, brokerage units for $2 billion

Key Points
  • Schwab would add approximately $100 billion of assets under management from USAA and a deal could be reached this month, the Journal reported, citing people familiar with the matter.
  • This move would allow Schwab, one of the largest brokerage firms with more than $3.5 trillion in client assets, to move further into wealth management business.
A pedestrian walks past a Charles Schwab office in New York.
Scott Eells | Bloomberg | Getty Images

Charles Schwab is in talks to buy USAA's brokerage and wealth-management operations for about $2 billion, The Wall Street Journal reported.

Schwab would add approximately $100 billion of assets from USAA and a deal could be reached this month, the Journal reported, citing people familiar with the matter.

Shares of Schwab jumped 2.3% following the news. This move would allow Schwab, one of the largest brokerage firms with more than $3.5 trillion in client assets, to move further into wealth management business.

A spokesperson at Schwab declined to comment. USAA also declined to comment.

Texas-based USAA offers banking, investing and insurance to people and their families in the U.S. military. USAA earlier this month sold its asset-management business, including its mutual fund and ETF operations and its 529 college-savings plan, to Victory Capital in a $850 million deal.

Click here to read the orginal story from the Wall Street Journal.

—CNBC's Maggie Fitzgerald contributed reporting.