According to Statista, global payment card fraud is a $32 billion problem and is expected to be a $38.5 billion problem by 2027. Riskified (NYSE: RSKD) is a small company aiming to solve this big problem. And it may just be cheap enough to have limited downside from here, giving today's investor a relatively low-risk way to invest in this space.

Keep in mind that all investments are fraught with risks, and Riskified is no exception. We'll look at what's holding this company back. But it could be worth taking a speculative position.

E-commerce companies obviously don't like fraud and actively try to avoid it. They'll decline transactions that look suspicious. If their hunches are correct, they'll avoid losing money when transactions are disputed and chargebacks result. However, if they're incorrect, they miss out on legitimate revenue. Riskified aims to solve both of these problems for e-commerce companies.

Continue reading

Source Fool.com