But most of us are never or rarely trade stocks. To be quite frankly, the commission fees are just to high to ever be able to be in the money. I have checked out sharebuilder.com. the bad thing about sharebuilder is that it is not a live trade. By the time your trade is executed prices would have changed dramatically. After some research I stumbled on a site called brokerageamerica.com. they offer commision free trading. The catches are that the support is minimum ( you have to fend for yourself ). I don't have enough knowledge to even try to explain how they make money, but check out the site. leo here is a exerpt from the site explaining the way they make there money : How do we make money? As a market maker, we make money by providing liquidity, assuming risk, and from a portion of the difference between the bid and offer price for a stock, the way market makers always have. This includes all market makers, even those your current online broker uses. As a result, we don't need to charge you a commission on market or stop orders. And on every stock trade you make, including limit orders, we can pass a portion of the payment for order flow back to you. Think of it as an incentive from us to you. The way it used to be an incentive from the market maker to the broker. Of course, since there's no difference between the bid and offer price on a limit order, we charge you $5. So we make money that way. And we save money simply because our business model is more efficient, by using advanced cost saving technologies, and also by eliminating the middleman.