They can't all make profit in a bear market. But some will. All are still making profits on fees.

Literally, please ask ChatGPT this: "please explain to my friend why very rich people use several hedge funds that are underperforming SPY"

And, of course, all hedge funds would like to be profitable all the time, but that's not a reason why people invest in them.

Some people invest in hedge funds that only buy whiskey, tequila, and cigars.