This second edition provides a fresh look at the legal framework for the protection of foreign investment. The chapters analyse some of the key issues surrounding this subject focusing on international arbitration between states and investors under bilateral investment treaties. Since the previous edition, major changes have taken place in this dynamic field. Proliferation of investment disputes and multi-billion-dollar arbitral awards have helped attract more attention to this technical field. The profound impact of the disputes and the shortcomings of the arbitration mechanism of investment treaties have also caused a global backlash, landing a spot for the reform of investor-state arbitration on the agenda of the United Nations Conference on International Trade Law. All chapters, therefore, have been revised to take into account these developments and the massive volume of jurisprudence and commentary on the subject of international investment arbitration since the first edition. The chapters carefully consider the latest theoretical approaches to foreign investment protection and the most intellectually challenging awards issued in the intervening decade, as well as the most recent practical guidance on the procedural recourse available to investors who face political risks.