Morgan Stanley has agreed to buy online brokerage E*Trade Financial.
This is an all stock deal worth around $13bn.
E*Trade is a direct-to-consumer, digitally-driven offering.
The deal adds about 5.2mn client accounts to Morgan Stanley’s wealth management unit.
What does this mean?
This marks the largest acquisition by a Wall Street bank since before the 2008 crash. E*Trade CEO Mike Pizzi will retain his role and run the unit as part of Morgan Stanley.