Because it reduces reasoning based on detailed arguments to arbitrary 'numerical' grades that have no arithmetical validity as numbers and then adds them up, which in reasoning terms is garbage.
If a type of trial is known to be totally unreliable because it is open to very easy abuse through expectation bias then the evidence from it is prima facie valueless, not just one pip or two pips down from some non-existent number signifying validity. Moreover, there may still be useful information if you interrogate in detail, so an overall score is not good reasoning. You might be able to see that the trial makes a positive result not only uncertain but very unlikely indeed to be real - i.e. the trial is reliably negative, like PACE. A positive difference against control might be so huge (compared to similar trials) that a real result is actually likely after all. GRADE gets nowhere near this sort of subtlety, which, despite being subtle, is what we expect to be part and parcel of everyday decision-making. Human decision making depends on vastly complex and mostly unconscious comparison processes going on in our brains which if we are lucky we can trace back through and lay out in text in clear reasoning. It has nothing to do with giving scores of minus one or minus two to reliability.
This has been pointed out in the literature. It is not my idea. GRADE comes from the people at McMaster who are typical of the 'quality police' types who so often are actually the least insightful on such matters.