Aon is reportedly close to acquiring USI Insurance Services from KKR for roughly $17 billion including debt.

If completed, the deal would expand Aon's position in commercial insurance and the midsize business market.

For traders, the deal creates several potential winners and losers.

Winners

Alternative asset managers

Names: $KKR, $BX, $APO

The clearest winner is $KKR. KKR and CDPQ acquired USI in 2017 in a transaction worth about $4.3 billion including debt. A sale near $17 billion would represent a major increase in value.

$BX and $APO are not directly involved, but a large deal at a strong valuation could improve sentiment toward alternative asset managers.

Insurance brokerage valuation beneficiaries

Names: $AJG, $BRO

Arthur J. Gallagher and Brown and Brown could benefit ...