Charles Schwab in negotiations to buy TD Ameritrade, and deal could be announced as early as today

Charles Schwab is in talks to buy TD Ameritrade, a source told CNBC's Becky Quick Thursday. An appointment could be announced as early as today.

Shares of TD Ameritrade rose 20% in trading on the market after the report.

An agreement between Schwab and TD Ameritrade would fortify an industry that has been through massive disruption. In recent months, all major brokerage houses have announced plans to move to zero commissions.

Schwab was the first of the largest players to move and move commissions in early October. Schwab's competitors, including Fidelity and TD Ameritrade, were quick to follow.

Conversations with Schwab and TD Ameritrade were not immediately returned.

Not charging the trade is a boon to consumers, but it has left the brokers to encrypt to find ways to maintain profits. An agreement between Schwab and TD Ameritrade would create a $ 5 trillion behemoth in total assets.

Major brokerage firms have been pressured to go for zero fees since 201

3 when Silicon Valley startup Robinhood offered stock trading for free. Since then, Vanguard Group has dropped fees on exchange-traded mutual funds, and J.P. Morgan Chase started his own free trading app. Interactive Brokers also announced a commission-free product called IBKR Lite.

Schwab and TD Ameritrade are the two largest listed discount brokers. Schwab has a market capitalization of $ 57.5 billion and Ameritrade has a market value of $ 22.4 billion. Other players include ETrade Financial.

The shares of discount brokers rose in the hope of further consolidation in the sector, with Interactive Brokers up 3.3% and E-Trade up 6.8%.