Archegos was hedged. All of its long positions were matched with short index futures, and the fund was running at or near market neutral. Hedging doesn't mean

Archegos was hedged. All of its long positions were matched with short index futures, and the fund was running at or near market neutral. Hedging doesn't mean zero risk. It just means removing the risk of whatever it is being hedged. In this case it wasn't a general market decline that took out Archegos. It was a decline in the specific basket of stocks they were holding relative to the broader market.