Independent broker-dealer LPL Financial is exploring a potential sale of the business, according to Reuters.
Shares in the company jumped 6.9% yesterday as the news broke, although they settled back 5.2% lower today.
Reuters said the firm was working with Goldman Sachs on a sales process that has attracted other companies and private equity firms.
The news comes after LPL lowered commissions on some of its high fee investment offerings, in light of the Department of Labor's (DOL) fiduciary rule.
The DOL fiduciary rule will require brokers who give retirement account advice to act as ‘fiduciaries’ and act in the clients’ best interest, instead of offering products that land them hefty commission.
As a result of the incoming rule, a number of firms have ended commission on retirement accounts, as Merrill Lynch announced last week, or even cut access to mutual funds through their retirement accounts, as Edward Jones did in August.
A spokesman for LPL said: 'As a matter of policy, LPL does not comment on rumors or speculation.'
Goldman Sachs could not be reached for comment.