Esta pequeña historia es demasiado simple para explicarlo todo.

English Translation

This little story is too simple to explain everything.

la hisoria … explicarLA. Why “explicarLO”?

It’s because it refers to todo. Spanish speakers often complement todo with a redundant lo; you can see many examples of this in the corpus.

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To add to morbrorper’s explanation, the speaker isn’t using his story (la historia) to explain the story itself. In the weird and unlikely case that a story is meant to explain itself, you wouldn’t use the pronoun “la.” You’d have to use “se,” giving you Esta pequeña historia es demasiado simple para explicarse.

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