LONDON, Nov 11 (Reuters) - Hedge funds snapped up bank

stocks at the quickest clip in three years while taking bets

against renewable electricity producers last week, a Goldman

Sachs ( GS ) note showed, as investors reacted to Donald Trump's win in

the U.S. presidential election.

Financial stocks, such as banks and trading companies, were

the most popular and most net bought sector on Goldman Sachs' ( GS )

prime brokerage trading desk last week, the note from Friday and

seen by Reuters on Monday showed.

While the note did not specify which region's banks

attracted the most attention, a second note also sent from

Goldman Sachs' ( GS ) prime brokerage the same day said U.S. banks

would benefit.

Financial stocks are expected to get a boost from a

lighter regulatory touch

which many believe will come with the new Trump term, the

second note said.

Finance companies were also seen benefiting from expected

tax reform, it added.

"There is scope for U.S. Financials positioning to rise

further," the second Goldman note said, adding that current

hedge fund positioning in this stock sector remained on the

lower side, historically.

U.S. bank stocks rose as much as 11.1% on Nov. 6,

from the previous day's close after the news of Trump's election

win.

Prime brokerage desks lend to and arrange trades for hedge

funds.

Long stock bets, expecting rising prices, were led by banks

as well as companies offering consumer finance, capital markets

and financial services, the first note said.

Bullish bets centered on U.S. stocks but included equities

in developing markets in Asia. In Europe, hedge funds exited

short positions and added long ones. A short bet anticipates the

value of an asset price will fall.

Utilities companies were net sold for the first time in four

weeks, "driven almost entirely by short sales," Goldman Sachs' ( GS )

first note said.

Independent power and renewable electricity producers were

the most sold, with hedge fund bets against U.S. utilities

companies numbered at two shorts for every long position, the

bank said.