Whom do you believe has a greater capability to hold anything for a longer period of time: the individual, or the investment firm? And for holding for a short period, and thus having to deal with taxes: again, whom do you believe more capable of dealing with that?

Any regulation is an advantage to large over small, at the right level of large vs. small, since the burden of optimizing to win is more easily borne by the former. In some cases, it's just more obvious.